Applied Materials forecasts second-quarter revenue, profit above estimates

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Applied Materials forecasts second-quarter revenue, profit above estimates
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Chip gear maker Applied Materials Inc forecast second-quarter revenue and profit...

- Chip gear maker Applied Materials Inc forecast second-quarter revenue and profit above Wall Street estimates on Wednesday, as a global roll out of 5G mobile technology led to higher demand for semiconductor equipment.

Revenue from the company’s semiconductor systems segment, which supplies gears to chip makers, rose 24% to $2.81 billion, beating analysts’ estimates of $2.77 billion, according to IBES data from Refinitiv. Revenue from China rose 31.4% to $1.27 billion in the first quarter, contributing 30.5% to the company’s overall revenue.

The company expects adjusted profit to be in the range of 98 cents per share to $1.10 per share, higher than analysts’ estimates of 92 cents.

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