Applied Materials (AMAT) reported Q1 FY2026 results for the quarter ended Jan. 25, 2026, with revenue of USD 7.01 billion (-2%), gross margin of 49.0% (up 0.2 points) and operating income of USD 1.83 billion, for an operating margin of 26.1% (down 4.3 points). Net income was USD 2.03 billion and diluted EPS was USD 2.54. By segment, Semiconductor Systems revenue was USD 5.14 billion (-8%), Applied Global Services revenue was USD 1.56 billion (+15%), and Other revenue was USD 312.00 million (+44%). AMAT said Semiconductor Systems revenue declined as foundry and logic spending fell, driven by reduced demand for trailing edge logic systems, while memory spending rose due to increased DRAM technology transition investments. AGS revenue increased primarily due to higher long-term service agreement revenue and customer spending on spares. AMAT recorded a USD 253.00 million legal settlement charge related to a previously disclosed export controls compliance matter, and recognized USD 12.00 million in restructuring charges tied primarily to severance under its Fiscal 2025 Restructuring Plan. The company also said it moved its 200mm equipment business from AGS to Semiconductor Systems effective Q1 FY2026 and began fully allocating corporate support costs to its reportable segments, with prior periods recast.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Applied Materials Inc. published the original content used to generate this news brief via EDGAR, the Electronic Data Gathering, Analysis, and Retrieval system operated by the U.S. Securities and Exchange Commission (Ref. ID: 0001628280-26-009694), on February 19, 2026, and is solely responsible for the information contained therein.