Industry Segment Operations (Tables)

6 Months Ended

Apr. 26, 2026

Information for each reportable segment for and as of the end of each reporting period was as follows:


	Semiconductor Systems			Applied Global Services			Other		Total
	(In millions, except percentages)
Three Months Ended April 26, 2026
Revenue	$	5,965		$	1,665		$	280	$	7,910
Cost of products sold	2,701			1,088			174		3,963
Gross profit	$	3,264		$	577		$	106	$	3,947
Gross margin	54.7		%	34.7		%			49.9		%
Operating expenses:
Research, development and engineering	865			20			142		1,027
Selling, general and administrative	307			70			20		397



Operating income (loss)	$	2,092		$	487		$	(56)	$	2,523
Operating margin	35.1		%	29.2		%			31.9		%
Depreciation and amortization	$	101		$	16		$	18	$	135
Capital expenditures	$	120		$	14		$	501	$	635
Balance as of April 26, 2026
Accounts receivable	$	4,820		$	1,265		$	287	$	6,372
Inventories	$	4,309		$	1,852		$	182	$	6,343
Goodwill	$	2,661		$	964		$	199	$	3,824



	Semiconductor Systems			Applied Global Services			Other		Total

	(In millions, except percentages)
Six Months Ended April 26, 2026
Revenue	$	11,106		$	3,224		$	592	$	14,922
Cost of products sold	5,048			2,110			382		7,540
Gross profit	$	6,058		$	1,114		$	210	$	7,382
Gross margin	54.5		%	34.5		%			49.5		%
Operating expenses:
Research, development and engineering	1,663			38			254		1,955
Selling, general and administrative	623			151			34		808

Legal settlement	253			—			—		253
Restructuring charges	—			—			12		12
Operating income (loss)	$	3,519		$	925		$	(90)	$	4,354
Operating margin	31.7		%	28.7		%			29.2		%
Depreciation and amortization	$	182		$	30		$	50	$	262
Capital expenditures	$	196		$	24		$	1,061	$	1,281


	Semiconductor Systems			Applied Global Services			Other		Total
	(In millions, except percentages)
Three Months Ended April 27, 2025
Revenue	$	5,401		$	1,420		$	279	$	7,100
Cost of products sold	2,512			944			159		3,615
Gross profit	$	2,889		$	476		$	120	$	3,485
Gross margin	53.5		%	33.5		%			49.1		%
Operating expenses:
Research, development and engineering	774			18			101		893
Selling, general and administrative	345			80			(2)		423


Operating income (loss)	$	1,770		$	378		$	21	$	2,169
Operating margin	32.8		%	26.6		%			30.5		%
Depreciation and amortization	$	73		$	12		$	18	$	103
Capital expenditures	$	118		$	19		$	373	$	510
Balance as of April 27, 2025
Accounts receivable	$	4,925		$	1,159		$	103	$	6,187
Inventories	$	3,666		$	1,804		$	186	$	5,656
Goodwill	$	2,544		$	964		$	240	$	3,748



	Semiconductor Systems			Applied Global Services			Other		Total

	(In millions, except percentages)
Six Months Ended April 27, 2025
Revenue	$	10,998		$	2,773		$	495	$	14,266
Cost of products sold	5,123			1,860			302		7,285
Gross profit	$	5,875		$	913		$	193	$	6,981
Gross margin	53.4		%	32.9		%			48.9		%
Operating expenses:
Research, development and engineering	1,508			32			212		1,752
Selling, general and administrative	725			167			(7)		885



Operating income (loss)	$	3,642		$	714		$	(12)	$	4,344
Operating margin	33.1		%	25.7		%			30.5		%
Depreciation and amortization	$	142		$	24		$	42	$	208
Capital expenditures	$	225		$	23		$	643	$	891

Schedule of Disaggregation of Revenue

Revenue for Semiconductor Systems by market for the periods presented were as follows:


	Three Months Ended				Six Months Ended
	April 26, 2026		April 27, 2025		April 26, 2026		April 27, 2025
Foundry, logic and other	67	%	66	%	65	%	68	%
Dynamic random-access memory (DRAM)	29	%	27	%	31	%	27	%
Flash memory (NAND)	4	%	7	%	4	%	5	%

	100	%	100	%	100	%	100	%

Schedule of Revenue from External Customers by Geographic Areas

Revenue by geographic region, determined by the location of customers’ facilities to which products were shipped and services were performed, was as follows:


	Three Months Ended										Six Months Ended
	April 26, 2026				April 27, 2025				Change		April 26, 2026				April 27, 2025				Change

	(In millions, except percentages)
China	$	2,087	27	%	$	1,774	25	%	18	%	$	4,182	28	%	$	4,017	28	%	4	%
Korea	1,572		20	%	1,562		22	%	1	%	3,030		20	%	3,229		23	%	(6)	%
Taiwan	2,155		27	%	1,997		28	%	8	%	3,877		26	%	3,180		22	%	22	%
Japan	623		8	%	572		8	%	9	%	1,148		8	%	1,112		8	%	3	%
Southeast Asia	185		2	%	135		2	%	37	%	520		3	%	421		3	%	24	%
Asia Pacific	6,622		84	%	6,040		85	%	10	%	12,757		85	%	11,959		84	%	7	%
United States	941		12	%	808		11	%	16	%	1,597		11	%	1,725		12	%	(7)	%
Europe	347		4	%	252		4	%	38	%	568		4	%	582		4	%	(2)	%
Total	$	7,910	100	%	$	7,100	100	%	11	%	$	14,922	100	%	$	14,266	100	%	5	%