Applied Materials delivers strong Q2 results

SANTA CLARA, USA: Applied Materials Inc. reported results for its second quarter of fiscal 2011 ended May 1, 2011. Applied generated orders of $3.19 billion, net sales of $2.86 billion, operating income of $677 million, and net income of $489 million or $0.37 per share. Non-GAAP operating income was $685 million, and non-GAAP net income was $501 million or $0.38 per share.

“Applied delivered one of the best quarters in the company’s history, including record net sales in our solar business,” said Mike Splinter, chairman and CEO. “While near-term economic conditions have tempered our growth expectations, our outlook for the year remains strong driven by our customers’ plans to invest in the advanced technologies needed to meet growing demand for mobile devices and consumer electronics.”

Splinter added: “Earlier this month, we announced the planned acquisition of Varian Semiconductor to strengthen our leadership in the semiconductor industry and deliver value to our customers, shareholders and employees worldwide.

“We exceeded our guidance for net sales in the second quarter and delivered earnings per share at the high end of the range,” said George Davis, chief financial officer. “During the quarter, we also raised our dividend by 14 percent to 8 cents per share and generated operating cash flow of more than $700 million.”