Quarterly guidance

Revenue
$4.7 billion, plus or minus $200 million.
Gross margin
62.5%, plus or minus 1 percentage point.
Operating expenses
Approximately $710 million.
Non-GAAP diluted EPS
$1.44 plus or minus $0.11 based on a fully diluted share count of approximately 1.306 billion shares.
GAAP diluted EPS
$1.41 plus or minus $0.11.

Annual guidance

Wafer equipment market (Calendar 2026)
Raised to approximately the mid-$150 billion range.
Wafer equipment market (Calendar 2027)
Currently expected to exceed $200 billion.

Outlook

Wafer equipment market 2027
The wafer equipment market is expected to exceed $200 billion in calendar 2027, driven by leading-edge and greenfield investments.
Sequential growth trajectory
Sequential growth is expected to continue for the next several quarters in a more linear fashion through 2027.
Gross margin recovery
Persistent memory cost headwinds are expected to be offset over time by pricing initiatives, product cost reductions, and memory efficiency work.
Operating expense trend
Operating expenses are anticipated to grow sequentially through 2027 at a much slower pace than revenue growth.
China market share
China revenue is expected to moderate as a percentage of total revenue down to the low 20th percentile range in calendar 2027.
Advanced packaging growth
Advanced packaging process control systems revenue remains on track to hit approximately $1.1 billion in calendar 2026, growing faster than the broader advanced packaging market.