Applied Materials, the largest U.S. semiconductor equipment manufacturer, provided disappointing sales and profit guidance for the current quarter, reigniting concerns that trade disputes are dampening demand. The company's shares tumbled in after-hours trading.

Applied Materials projected revenue of approximately $6.7 billion for the quarter ending in October, significantly below the analyst consensus estimate of $7.32 billion. The company also forecast adjusted earnings per share of $2.11, falling short of the $2.38 analyst expectation.

In an interview, Applied Materials CEO Gary Dickerson indicated that demand from certain customers is declining, while technology exports are facing approval delays. Additionally, prolonged tariff negotiations and other economic factors have prompted major customers to postpone some purchases.

Applied Materials shares dropped as much as 12% in after-hours trading following the announcement.

For the previous quarter, Applied Materials reported revenue of $7.3 billion, representing a 7.7% year-over-year increase and exceeding the analyst consensus of $7.21 billion. Earnings per share came in at $2.48, also beating the estimated $2.36.