Applied Materials Sets Revenue Record as Taiwan Tops China in Q4

Applied Materials set a fiscal fourth-quarter revenue record of $10.41 billion, with Taiwan becoming its largest regional market for the period after surpassing China, though China retained its full-year lead.

Revenue for the quarter ended Oct. 25 climbed 53% from a year earlier. Applied Materials released the results Nov. 12. Taiwan generated $2.916 billion, or 28% of the total, while China contributed $2.642 billion, or 25%. Taiwan’s revenue rose 44% from the previous quarter and 59% from a year earlier.

The regional ranking had been reversed in fiscal third-quarter results. China generated $2.506 billion, or 28% of revenue, compared with Taiwan’s $2.025 billion, or 22%. Taiwan’s fiscal-year quarterly revenue was $1.722 billion, $2.155 billion, $2.025 billion and $2.916 billion. China’s was $2.095 billion, $2.087 billion, $2.506 billion and $2.642 billion. Taiwan led in the second and fourth quarters; China led in the first and third.

For fiscal 2026, China remained the larger market, generating $9.33 billion against Taiwan’s $8.818 billion. Those figures represented 27% and 26% of full-year revenue, respectively. Applied Materials recorded $34.45 billion in revenue for the year, up 21%.

Fourth-quarter non-GAAP gross margin was 50.6%, an increase of 2.5 percentage points from a year earlier. Non-GAAP earnings per share reached a record $4.16, up 92% year over year. Quarterly revenue was within the company’s earlier forecast range of $10.25 billion, plus or minus $500 million.

For fiscal 2027’s first quarter, Applied Materials forecast revenue of $11.1 billion, plus or minus $500 million, and non-GAAP earnings per share of $4.35, plus or minus 20 cents.