Lam Research shares surged 7.02% in after-hours trading on Wednesday, following the release of the company's quarterly earnings report that handily beat Wall Street expectations and came with an upbeat forecast.

The semiconductor equipment maker reported fiscal fourth-quarter revenue of $6.72 billion, topping the consensus estimate of $6.66 billion. Adjusted earnings per share came in at $1.82, well above the $1.69 analysts had projected. For the current quarter, the company guided for revenue of $8.1 billion, plus or minus $400 million, and adjusted earnings of $2.15 per share, both significantly exceeding analyst forecasts of $7.11 billion in revenue and $1.84 in earnings per share.

Chief Executive Tim Archer attributed the record results to AI-driven demand that is reshaping the semiconductor industry. The strong report and outlook helped lift the stock after it had slumped during the regular session, dragged down by a broader selloff in memory chip stocks and pre-earnings positioning. The earnings release removed uncertainty, sparking a sharp relief rally in after-hours trade.