LR

Lam Research Corporation stock research

Mar 26, 2023

FY2023 Q3

Lam Research (LRCX) Gross Margin — Quarter Ended Mar 26, 2023

Revenue decreased from the prior quarter and was slightly lower than the same quarter last year. Gross profit declined more than proportionally, resulting in a lower gross margin compared to both periods.

Gross margin takeaway

Quarter ended Mar 26, 2023 · FY2023 Q3

Revenue decreased from the prior quarter and was slightly lower than the same quarter last year. Gross profit declined more than proportionally, resulting in a lower gross margin compared to both periods.

  • The inclusion of restructuring charges in cost of goods sold increased total cost of revenue, which was the most observable factor behind the gross margin decline.
  • Compared to the prior quarter, revenue and gross profit were lower, and gross margin weakened. Versus the same quarter last year, revenue was slightly lower, gross profit was lower, and gross margin also weakened.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

41.5%

Gross profit

$1.6B

Revenue

$3.9B

Cost of revenue

$2.3B

Quarter-over-quarter change

n/a

Year-over-year change

-3.2 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 26, 2023$3.9B$1.6B$2.3B41.5%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Previous quarter unavailable

n/a

Year-over-year change

Mar 27, 2022

-3.2 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The inclusion of restructuring charges in cost of goods sold increased total cost of revenue, which was the most observable factor behind the gross margin decline.

Compared to the prior quarter, revenue and gross profit were lower, and gross margin weakened. Versus the same quarter last year, revenue was slightly lower, gross profit was lower, and gross margin also weakened.

Monitor the magnitude and recurrence of restructuring charges in cost of goods sold, as they directly affect gross margin.