Applied Materials reports results for its third quarter ended July 27, 2025.

Applied Materials reports record revenue of $7.30 billion, up 8 percent year over year. GAAP gross margin is 48.8 percent and non-GAAP gross margin is 48.9 percent. GAAP operating margin is 30.6 percent and non-GAAP operating margin is 30.7 percent.

“Applied Materials delivered record performance in our third fiscal quarter, and we are on track to deliver our sixth consecutive year of revenue growth in fiscal 2025,” says Gary Dickerson, president and CEO. “We are currently operating in a dynamic macroeconomic and policy environment, which is creating increased uncertainty and lower visibility in the near term, including for our China business. Despite this, we remain very confident in the longer-term growth opportunities for the semiconductor industry and Applied Materials.”

“We are expecting a decline in revenue in the fourth quarter driven by both digestion of capacity in China and non-linear demand from leading-edge customers given market concentration and fab timing,” adds Brice Hill, SVP and CFO. “We are navigating and adapting to the near-term uncertainties by leveraging our robust supply chain, global manufacturing footprint and deep customer relationships.”