Applied Materials (NASDAQ: AMAT) delivered a milestone quarter and fiscal year in 2026, powered by relentless global investments in artificial intelligence infrastructure. The semiconductor equipment giant reported an all-time high quarterly revenue alongside expanded joint research initiatives with major industry players.
According to the company's financial report released on November 15, worldwide revenue for the fourth quarter of fiscal 2026 (ended October 25) climbed 53% year-over-year to $10.41 billion. Profitability scaled alongside top-line growth, with GAAP operating income reaching a record $3.66 billion—representing a 35.1% operating margin.
On a non-GAAP basis, diluted earnings per share jumped 92% compared to the same period last year to $4.16. For the full fiscal year 2026, annual revenue reached $34.45 billion, accompanied by non-GAAP operating income of $11.42 billion.
The company's robust financial health was further underscored by strong cash generation. Fourth-quarter operating cash flow reached an unprecedented $3.3 billion, enabling Applied Materials to return $2.42 billion to shareholders through buybacks and dividends. Total annual shareholder returns for fiscal 2026 reached $4.75 billion.
To maintain its leadership in advanced nodes, Applied Materials is scaling up joint R&D operations at its newly opened EPIC Center in Silicon Valley. The hub brings together chipmakers, equipment suppliers, and academic institutions to shrink time-to-market for breakthrough process technologies. Recent additions to the center's collaborative framework include expanded partnerships with Intel on next-generation transistors and packaging, Kioxia on high-density memory structures, Besi on advanced interconnects, and UCLA for materials integration.
Furthermore, the company rolled out cutting-edge equipment innovations, such as the VeritySEM 20 CD-SEM, engineered to deliver ultra-precise metrology for High-NA EUV lithography.
"AI remains a primary structural catalyst for semiconductor innovation," said Gary Dickerson, President and CEO of Applied Materials. "Our broad portfolio uniquely positions us to capture long-term growth as the AI computing landscape evolves."
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