Applied Materials Inc. (AMAT) experienced a significant after-hours surge of 9.80% following the release of its quarterly financial results. The semiconductor equipment maker's stock moved sharply higher in post-market trading after reporting better-than-expected performance and issuing optimistic guidance.

The company reported first-quarter adjusted earnings per share of $2.38, surpassing analyst estimates of $2.20. Revenue for the quarter reached $7.012 billion, exceeding expectations of $6.871 billion. Management highlighted that results were driven by accelerated industry investments in artificial intelligence computing, which is boosting demand for high-performance chips.

Applied Materials also provided strong second-quarter guidance, forecasting revenue of approximately $7.65 billion (plus or minus $500 million) compared to analyst estimates of $7.01 billion. The company expects adjusted earnings of about $2.64 per share (plus or minus 20 cents), well above the $2.28 consensus estimate. CEO Gary Dickerson stated that the semiconductor equipment business is expected to grow more than 20% in the current calendar year, fueled by AI-driven demand for leading-edge logic, high-bandwidth memory, and advanced packaging technologies.