The Top 5 Analyst Questions From KLA Corporation's Q2 Earnings Call

KLA Corporation’s second quarter results reflected strong momentum in the semiconductor manufacturing sector, primarily driven by rising demand for advanced process control systems supporting artificial intelligence (AI) infrastructure and high bandwidth memory (HBM). CEO Richard Wallace credited the company’s performance to “increased investments in AI, high-performance computing, and advanced packaging” as well as robust execution within its services segment. Management emphasized that expanded adoption of KLA’s solutions for complex chip designs and advanced logic contributed significantly to the company’s revenue growth.

Is now the time to buy KLAC? Find out in our full research report (it’s free).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions From KLA Corporation’s Q2 Earnings Call

• C.J. Muse (Cantor Fitzgerald) asked about early customer discussions for growth in 2026 and the drivers behind them. CFO Bren Higgins replied that visibility is still developing but cited strong momentum in high-performance compute and DRAM, with some headwinds expected in legacy and China markets.

• Harlan Sur (JPMorgan) questioned the drivers behind the strength in inspection versus patterning. Higgins explained that inspection benefited from supply chain improvements and high demand in packaging, while patterning faced mixed demand due to its link to lithography.

• Vivek Arya (Bank of America) inquired about process control intensity in high-bandwidth memory versus traditional DRAM. CEO Richard Wallace described higher requirements for inspection and defect detection in HBM, driving increased adoption of KLA tools and higher process control intensity.

• Shane Brett (Morgan Stanley) probed the outlook for foundry/logic and memory revenue mix in coming quarters. Higgins indicated that DRAM revenue is expected to strengthen in the December quarter due to project timing, with foundry/logic maintaining strong momentum.

• Yu Shi (Needham) asked about the sustainability of China’s contribution to KLA’s revenue mix. Higgins said China is expected to represent approximately 30% of sales for the year, with the second half slightly higher but overall in line with prior expectations.

Catalysts in Upcoming Quarters

In future quarters, the StockStory team will closely monitor (1) the pace of customer adoption for advanced packaging and inspection solutions, (2) the effectiveness of KLA’s strategies to offset gross margin pressure from tariffs, and (3) ongoing developments in AI-driven semiconductor demand, particularly as new designs and architectures proliferate. We will also watch for updates on KLA’s share gains in process control markets and any changes in end-market or geographic mix.

KLA Corporation currently trades at $936.71, up from $879.57 just before the earnings. Is there an opportunity in the stock?The answer lies in our full research report (it’s free).

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