Core Viewpoint - Onto Innovation Inc. is actively participating in several upcoming investor events, showcasing its commitment to engaging with the investment community and highlighting its technological advancements in the semiconductor industry [1][2]. Company Overview - Onto Innovation Inc. is a leader in process control within the semiconductor sector, offering a diverse portfolio of advanced technologies including un-patterned wafer quality, 3D metrology, macro defect inspection, and factory analytics [3][4]. - The company is headquartered in Wilmington, Massachusetts, and employs approximately 1,590 individuals [6][10]. Financial Performance - For the fiscal year 2024, Onto Innovation reported revenues of $987 million and a net income of $201 million [6][10]. Upcoming Events - The company will participate in the RBC Capital Markets 2025 Global Technology, Internet, Media and Telecommunications Conference on November 19, 2025, and the UBS 2025 Global Technology and AI Conference on December 1-2, 2025 [1][2]. - Additionally, Onto Innovation will attend the Barclays 23rd Annual Global Technology Conference on December 10, 2025, where management will be available for one-on-one meetings [2].

Core Insights - KLA Corporation is in discussions with the Tamil Nadu government to establish a ₹3,000 crore R&D center in Chennai, which could create approximately 3,000 skilled jobs [1][6][7] - The planned R&D center will enhance KLA's existing operations in Chennai, where it currently employs around 800 people, and will focus on semiconductor manufacturing process control and yield management [1][4][6] - This initiative is distinct from other semiconductor investments in India due to its emphasis on core manufacturing processes rather than just software or design support [4][7] Company Operations - KLA's global R&D operations include sites in Newport, Wales, Ann Arbor, Michigan, Dresden, Germany, Israel, and Singapore, indicating a broad international presence [2][6] - The company specializes in inspection, metrology, and processing products that assist integrated circuit manufacturers in improving yield and efficiency throughout the semiconductor fabrication process [3][7] Industry Impact - The establishment of the R&D center in Chennai is expected to strengthen KLA's global innovation footprint and contribute to the depth of India's manufacturing ecosystem [5][7] - The new hub may lead to advancements in defect-detection algorithms, yield optimization, and quantum computing through collaboration with IIT Madras and KLA's global engineering network [4][7]

Financial Data and Key Metrics Changes - KLA reported revenue of $3,060 million for the March quarter, exceeding the guidance midpoint of $3,000 million, with a non-GAAP diluted EPS of $8.41 and GAAP diluted EPS of $8.16, both at the upper end of guidance ranges [5][12] - The gross margin was 63%, about 50 basis points higher than the guidance midpoint, driven by a stronger product mix within the Process Control segment [12][18] - Quarterly free cash flow was $990 million, with total capital returns of $733 million, including $507 million in share repurchases and $226 million in dividends [10][11] Business Line Data and Key Metrics Changes - KLA's advanced packaging revenue grew to over $500 million in calendar 2024 and is expected to exceed $850 million in calendar 2025, reflecting strong customer adoption [9][15] - The services business grew to $669 million in March, marking a 13% year-over-year increase, despite challenges from U.S. government export controls [10][12] - The process control share of the advanced wafer level packaging market has grown significantly, moving from third position in 2019 to a leading position expected in 2025 [7][8] Market Data and Key Metrics Changes - KLA maintained a strong global share in the WFE and process control markets, with a notable share gain in advanced wafer level packaging [7][8] - The company expects the WFE market to grow by mid-single digits in 2025, driven by investments in leading-edge foundry and logic, and high bandwidth memory [15][16] Company Strategy and Development Direction - KLA's strategy focuses on capital return and confidence in business opportunities, with a commitment to assertive capital allocation [6][11] - The company is adapting its product offerings to support advanced packaging and AI infrastructure, which are critical for future growth [9][17] - KLA plans to postpone its Investor Day to early 2026, hoping for a more stable macro environment to discuss growth strategies [6][30] Management's Comments on Operating Environment and Future Outlook - Management noted that despite macro uncertainties, there has been no change in customer demand or investment plans [6][30] - The company remains optimistic about growth opportunities in leading-edge logic, high bandwidth memory, and advanced packaging, despite potential impacts from global trade uncertainties [15][21] - KLA's management emphasized the importance of customer discussions and alignment with shipment requirements in a fluid business environment [17][21] Other Important Information - KLA announced a 12% increase in its quarterly dividend to $1.90 per share and a new $5 billion share repurchase authorization [14] - The company expects gross margins for the year to be approximately 62.5%, factoring in potential tariff impacts [18][19] Q&A Session Summary Question: Impact of tariffs on equipment and systems - Management acknowledged the fluidity of tariff impacts and the potential headwinds on gross margins, particularly in the service business [24][26][30] Question: Competitive positioning in e-beam inspection - KLA has seen significant progress in e-beam inspection, doubling revenues and gaining market share due to strong customer evaluations and interoperability with optical tools [34][36][38] Question: Full year outlook on services growth - Services growth is expected to trend around 10% for the year, slightly below long-term targets due to impacts from export controls [43][46] Question: Advanced Packaging competitive positioning - KLA's differentiation lies in adapting front-end solutions for back-end applications, particularly in CoAOS, driving significant growth in advanced packaging [47][49][50] Question: Outlook for China revenue - Management expects China to represent around 30% of total business for the year, with potential fluctuations in quarterly performance [54][56] Question: Factors influencing 2026 outlook - The company remains optimistic about continued growth driven by AI infrastructure investments, despite uncertainties in the macro environment [58][62][68]