Core Viewpoint - The sales and profit outlook for Applied Materials, the largest chip equipment manufacturer in the U.S., is disappointing, raising concerns that trade disputes are suppressing demand [1] Group 1: Financial Performance - Applied Materials expects revenue of approximately $6.7 billion for the fiscal quarter ending October 31, significantly below the analyst average estimate of $7.32 billion [1] - The company anticipates an adjusted earnings per share of $2.11, also lower than the analyst forecast of $2.38 [1] - In the previous fiscal quarter, Applied Materials reported a year-over-year revenue increase of 7.7%, reaching $7.3 billion, which exceeded the analyst average estimate of $7.21 billion [1] - The earnings per share for the last quarter was $2.48, surpassing the expected $2.36 [1] Group 2: Market and Demand Factors - CEO Gary Dickerson indicated a reduction in demand from certain customers and delays in technology export approvals [1] - Ongoing tariff negotiations and other economic factors have led major customers to postpone some purchases [1] - Following the disappointing outlook, Applied Materials' stock price fell by as much as 12% in after-hours trading [1]
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