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Earnings Results: KLA stock declines as part of forecast earnings range falls below Street consensus

KLA Corp. shares slipped in the extended session Thursday after the chip-equipment maker reported a big earnings beat but part of its forecast earnings range for the current quarter fell below the Wall Street consensus.

KLA shares

reported fiscal fourth-quarter net income of $805.4 million, or $5.40 a share, compared with $636 million, or $4.10 a share, in the year-ago period. Adjusted earnings, which exclude stock-based compensation expenses and other items, were $5.81 a share, compared with $4.43 a share in the year-ago period.

Milpitas, Calif.-based KLA’s revenue rose to $2.49 billion from $1.93 billion in the year-ago quarter.

Analysts surveyed by FactSet had forecast adjusted earnings of $5.50 a share on revenue of $2.43 billion, based on KLA’s forecast of $4.93 to $6.03 a share on revenue of $2.3 billion to $2.55 billion.

Shares slipped 2% after hours, following a 2.5% rise in the regular session to close at $369.98.

“Our consistent, strong execution against various challenges in the marketplace, both in terms of macro-economic uncertainty and in addressing persistent supply-chain issues, highlights the resiliency of the KLA operating model, the dedication of our global teams, and our commitment to delivering long-term value to our stakeholders,” said Rick Wallace, KLA chief executive, in a statement.

KLA forecast earnings of $5.70 to $6.80 a share on revenue of $2.48 billion to $2.73 billion for the fiscal first quarter. Analysts surveyed by FactSet estimated $5.83 a share on revenue of $2.51 billion for the first quarter.

Over the past 12 months, KLA shares have gained 17%, while the PHLX Semiconductor Index 

has fallen 10% and the S&P 500 index 

has declined 7.5%.

Late Wednesday, rival Lam Research Corp.

topped Wall Street estimates for the quarter and forecast an outlook that was mostly above consensus. Last week, ASML Holding NV

lowered its revenue forecast for the year after the company said fast orders will push revenue recognition for those sales into next year.

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