Applied Materials generated revenue of $ 4.69 billion in Q4 - all-time record income in Israel

In the fourth quarter, Applied Materials generated revenue of $ 4.69 billion. Calculated according to GAAP, the company posted a gross profit of 45.4%, operating profit of $ 1.28 billion or 27.4% of net sales, and earnings per share of $ 1.23.
In a non-GAAP calculation, the company reported a gross profit of 45.7%, an operating profit of $ 1.33 billion or 28.3% of net sales, and earnings per share of $ 1.25.
Total cash from the company's operations totaled $ 1.32 billion. Applied Materials returned $ 250 million to shareholders, a total of $ 200 million in dividends and $ 50 million in share repurchases.
Results for the entire fiscal year - In fiscal year 2020, Applied generated revenue of $ 17.20 billion. Calculated according to GAAP, the company's gross profit was 44.7%, operating profit was $ 4.37 billion or 25.4% of net sales, and earnings per share were $ 3.92.
Calculated not according to GAAP, the company's gross profit was 45.1%, operating profit was $ 4.53 billion or 26.3% of net sales, and earnings per share were $ 4.17.
The company generated a record $ 3.80 billion in cash from operations, paid $ 787 million in dividends and used $ 649 million to repurchase 12 million common shares.
"Applied Materials ended the fiscal year 2020 with quarterly record performance thanks to high demand for semiconductor systems and services," said Gary Dickerson, president and CEO of the company. The ways of our customers and achieving performance that exceeds those of the whole market. "
Business forecast
In the first quarter of fiscal year 2021, Applied expects net sales of approximately $ 4.95 billion, plus or minus $ 200 million. Diluted earnings per share, other than GAAP, are expected to be in the range of $ 1.20 to $ 1.32.
The Process Diagnostics and Control process, in which Applied Materials Israel specializes, is an essential part of the entire chip industry and is critical to ensuring technological progress. The activity in Israel is done as an independent business division and it includes all activities related to the company's advanced inspection and control systems, planning and development through production, marketing and sales, customer support and more. Today, almost all the chips in the world have gone through the manufacturing process through the Applied Materials machines developed and manufactured here in Israel.
Regarding this area, Dickerson noted: "Our testing area has recorded record performance, with a 46% increase in revenue this year. We have significant demand from leading customers and gaining market share in optical testing and e-beam technologies with new products still in the early adoption stages."
Ofer Greenberger, CEO of Applied Materials Israel, said: “The scope of Applied Materials Israel's business activity has grown significantly above the market and generated an all-time record income in fiscal year 2020, all while tackling a challenging environment due to the plague. The products we develop and manufacture here in Israel enable our global customers to bring advanced chips to market faster, which drives the growth of cutting-edge technologies such as AI, high-performance computing and 5G. We are pleased with the excellent momentum we are in towards 2021. "
Applied, which employs about 1,700 workers in Israel, has recruited about 200 workers in the past year and even today it continues to recruit dozens of new workers, mainly in the fields of software, algorithms, engineering, product integration and more.