# Lam Research Q1 2027 Earnings Report Highlights

> Lam Research reports record Q1 2027 earnings with 40% operating margin and $8.2B revenue.
- Title: Lam Research Q1 2027 Earnings Report Highlights | Shortify
- Summary: Lam Research reports record Q1 2027 earnings with 40% operating margin and $8.2B revenue. Lam Research achieved record Q1 2027 results with $8.2 billion…
- Keywords: lam research, q1 2027, revenue, non-gaap gross margin, non-gaap operating margin, systems revenue, memory systems, foundry systems, customer support business group, free cash flow, share repurchases, wafer fabrication equipment
- Source: The Motley Fool — https://fool.com/earnings/call-transcripts/2026/10/21/lam-research-lrcx-q1-2027-earnings-call-transcript
- Author: Motley Fool Transcribing
- Published: 2026-10-22T00:38:15+00:00
- Read time: 2 min
- Topics: lam research, q1 2027, revenue, non-gaap gross margin, non-gaap operating margin, systems revenue, memory systems, foundry systems, customer support business group, free cash flow, share repurchases, wafer fabrication equipment
## Q1 2027 Results
Lam Research reported record quarterly results with $8.2 billion revenue, 22% sequential growth, and 54% year-over-year growth versus 2025.
## Non-GAAP Gross Margin
Non-GAAP gross margin reached 52.4%, an all-time record due to favorable customer and product mix.
## Non-GAAP Operating Margin
Non-GAAP operating margin hit 40.2%, exceeding 40% for the first time in company history.
## Non-GAAP Diluted EPS
Non-GAAP diluted EPS reached $2.20, driven by record revenue levels and increased profitability.
## Systems Revenue Growth
Systems revenue growth expected to exceed 40% year over year for calendar year 2026 at the midpoint of December quarter guidance.
## WFE Spending Outlook
WFE spending estimated in the mid $150 billion range for calendar year 2026 and preliminary expectations for more than $200 billion in calendar year 2027.
## Aether Cumulative Revenue
Aether cumulative revenue projected to reach approximately $2.5 billion by the end of the decade, representing a $1 billion increase over previous expectations.
## Memory Systems Revenue
Memory systems revenue accounted for 46% of total systems revenue, representing a record dollar level and 120% growth versus last year.
## Foundry Systems Revenue
Foundry systems revenue comprised 46% of total systems revenue, driven by investments in leading-edge process nodes and advanced packaging.
## Logic and Other Revenue
Logic and other revenue represented 8% of systems revenue, with the majority of spending targeted at leading-edge process nodes.
## China Revenue Contribution
China contributed 35% of total revenue, reflecting strong investments by both domestic and multinational customers in the region.
## Customer Support Business Group
Customer Support Business Group revenue reached $2.5 billion, marking a fourth consecutive record quarter and 40% growth versus the prior year.
## Free Cash Flow
Free cash flow totaled $3.2 billion, a record for the September quarter.
## Share Repurchases
Share repurchases allocated $1 billion during the quarter, with $3 billion remaining on the board-authorized program.
## Headcount
Headcount increased to 24,300 regular full-time employees, an increase of approximately 1,900 people from the June quarter.
## Inventory Turns
Inventory turns reached 3.4x, the highest level in nearly seven years, despite total inventory increasing to $4.6 billion.
## Key takeaway

Lam Research achieved record Q1 2027 results with $8.2 billion revenue, 52.4% non-GAAP gross margin, and 40.2% non-GAAP operating margin.