Source: Form 10-K Annual Report Fiscal Year Ended June 30, 2026
- 1. Quick Facts
- 2. Company Overview
- 3. Business Segments
- 4. History and Evolution
- 5. Products and Services
- 6. Brand Portfolio
- 7. Geographical Presence
- 8. Board of Directors and Leadership Team
- 9. Future Strategy
- 10. Key Strengths
- 11. Key Challenges and Risks
- 12. Conclusion and Strategic Outlook
- 13. Official Site
- 14. Financial Performance and Quantitative Disclosures
- 15. Income Statement
- 16. Balance Sheet
- 17. Cash Flow
- 18. Subsidiaries & Joint Ventures
- 19. Other Investments & Holdings
- 20. Physical Properties
- 21. Investments and Capital Expenditure
- 22. Shareholding Pattern / Ownership
- 23. Frequently Asked Questions
Quick Facts
| Metric | Data Point |
|---|---|
| Official Company Name | KLA Corporation |
| Ticker & Exchange | (NASDAQ: KLAC) |
| Headquarters | Milpitas, California, United States |
| Fiscal Year End | June 30 |
| Total Revenues (FY 2026) | $13.58 billion |
| Net Income (FY 2026) | $4.83 billion |
| Total Employees | Approximately 17,000 regular full-time employees |
Company Overview
KLA Corporation is a leading global supplier of industry-defining process control, process-enabling, and yield management solutions that enable continuous innovation throughout the electronics and semiconductor industries. Founded originally as KLA Instruments Corporation and Tencor Instruments, the enterprise has grown into an essential pillar of the global AI and semiconductor ecosystem. KLA provides advanced inspection, metrology, data analytics, and software products to manufacturers of wafers, reticles, integrated circuits, packaged ICs, and printed circuit boards, supported by comprehensive engineering services across its extensive global installed base.
The company operates at the technological forefront, helping chipmakers accelerate product development cycles, improve manufacturing yields, reduce waste, and enhance overall profitability and return on investment. With sophisticated engineering centers and regional offices spanning the Americas, Europe, Middle East, and Asia, KLA leverages the KLA Operating Model—a unified operational framework built on collaboration, metrics-driven management, and disciplined capital allocation—to maintain market leadership and deliver durable stockholder value.
Business Segments
KLA organizes its operations and reports financial performance across three primary operating segments:
- Semiconductor Process Control: This segment delivers a comprehensive portfolio of inspection, metrology, chemical process control, in-situ process management, and data analytics systems, along with related field services. These tools support IC, wafer, reticle, and chemical manufacturers across all phases of the semiconductor fabrication process, generating $12.24 billion in segment revenue for fiscal year 2026.
- Specialty Semiconductor Process: This segment develops and sells advanced vacuum deposition and etching process tools used by specialty semiconductor manufacturers producing microelectromechanical systems, radio frequency communication devices, and power semiconductors for automotive and industrial applications. Segment revenue reached $584.06 million for fiscal year 2026.
- PCB and Component Inspection: This segment enables electronic device manufacturers to inspect, test, measure, and pattern printed circuit boards, IC substrates, and advanced semiconductor packaging to verify quality and precision. Segment revenue expanded by 21% to $750.42 million for fiscal year 2026, driven by high demand for advanced packaging technologies.
History and Evolution
KLA Corporation was formed in April 1997 through the merger of KLA Instruments Corporation (founded in 1975) and Tencor Instruments (founded in 1976), two pioneering companies in the semiconductor capital equipment market. Over the decades, KLA expanded its technological capabilities organically and through strategic acquisitions—such as Orbotech Ltd.—to encompass advanced packaging, printed circuit board inspection, and specialty semiconductor process technologies. The company has continually evolved from being primarily indexed to leading-edge R&D and fab capacity ramps to addressing all phases of wafer equipment investment, positioning its yield optimization portfolio as an indispensable enabler of modern high-performance computing and artificial intelligence infrastructure.
Products and Services
KLA offers an extensive array of advanced hardware, software, and service solutions across its served markets:
- Defect Inspection and Review: High-performance optical and electron-beam inspection systems—including the 39xx, R9xx, 29xx, Voyager, eSixx, and eSVx00 series—used to identify, locate, and characterize surface defects on patterned and unpatterned wafers, reticles, and advanced packaging architectures.
- Metrology Systems: Advanced measurement solutions—including Archer, SpectraShape, Aleris, SpectraFilm, and OmniMap series—designed to measure critical dimensions, film thickness, film stress, overlay alignment, and surface topography.
- Chemistry Process Control and In Situ Management: Specialized equipment and sensor wafers—such as QualiSurf, QualiLab Elite, and SensArray—that qualify incoming process chemicals, monitor wet chemical baths, and visualize real-time reactor conditions.
- Software Solutions: Data analytics and process management platforms—such as Klarity, aiSIGHT, 5D Analyzer, and PROLITH—that centralize fab data to accelerate yield learning, reduce process variation, and simulate advanced patterning nodes.
- Specialty Deposition and Etch Tools: Advanced vacuum processing systems—such as SPTS Omega, Sigma, Delta, and Primaxx series—used for etching, plasma dicing, and deposition in specialty semiconductor manufacturing.
- PCB and Component Inspection Systems: Orbotech and ICOS branded systems providing direct imaging, optical shaping, laser drilling, and automated component inspection for PCBs and advanced packaging.
- KLA Services: Flexible service and maintenance programs designed to maximize tool uptime, operational productivity, and lifespan across the company’s large installed base.
Brand Portfolio
KLA markets its industry-leading technology under a wide umbrella of established corporate brands, product families, and proprietary trademarks, including:
- KLA, KLA Services, and the KLA Operating Model
- Surfscan, Archer, SpectraShape, Aleris, Voyager, Puma, Castor, and Teron
- Klarity, aiSIGHT, 5D Analyzer, PROLITH, and FabVision
- QualiSurf, QualiLab, SensArray, and Therma-Probe
- SPTS Omega, SPTS Sigma, SPTS Delta, Primaxx, and MVD
- Orbotech, Frontline, ICOS, Filmetrics, and Nano Indenter
Geographical Presence
KLA operates a globally integrated network of R&D centers, manufacturing facilities, and direct sales and customer service offices spanning 18 major regions. The company’s principal manufacturing operations are located in the United States, Singapore, Israel, China, and various locations throughout Europe. R&D activities are anchored primarily in the U.S., United Kingdom, India, China, Singapore, and Israel. International markets represent the vast majority of KLA’s commercial activity, accounting for approximately 87% of total revenues in fiscal year 2026, led by significant commercial hubs in Taiwan, China, Korea, Europe, and Japan.
Board of Directors and Leadership Team
KLA is guided by an experienced Board of Directors and an executive leadership team with deep technical and operational expertise in the semiconductor capital equipment industry:
- Robert M. Calderoni: Chairman of the Board and Director
- Richard P. Wallace: President, Chief Executive Officer, and Director
- Bren D. Higgins: Executive Vice President and Chief Financial Officer
- Mary Beth Wilkinson: Executive Vice President, Chief Legal Officer, and Corporate Secretary
- Ahmad Khan: President, Semiconductor Products and Customers
- Virendra A. Kirloskar: Senior Vice President and Chief Accounting Officer
- Brian Lorig: Executive Vice President, KLA Global Services
- Jason Conley: Director
- Tracy Embree: Director
- Jeneanne Hanley: Director
- Kevin J. Kennedy: Director
- Michael R. McMullen: Director
- Victor Peng: Director
- Jamie E. Samath: Director
- Susan J.S. Taylor: Director
As AI continues to reshape semiconductor innovation, KLA remains well positioned to help customers solve their most difficult manufacturing challenges while delivering long-term value for stockholders.
Richard P. Wallace, President and Chief Executive Officer
Future Strategy
KLA’s official strategy focuses on expanding its market relevance as momentum in high-performance computing infrastructure and artificial intelligence applications accelerates. The company intends to leverage its leadership in process control, advanced packaging, and specialty semiconductor processes to capture expanding market opportunities driven by stricter device performance requirements and increasing architectural complexity at advanced technology nodes (such as the 2-nanometer node and high-bandwidth memory). KLA remains committed to disciplined execution through the KLA Operating Model, sustained increases in research and development expenditures, and strong capital allocation strategies that support both organic growth and consistent stockholder returns.
Key Strengths
- Market Leadership: Recognized global leadership and differentiated technological advantage in semiconductor process control, inspection, and metrology.
- AI Ecosystem Enablement: High exposure to secular growth trends driven by accelerating investments in artificial intelligence infrastructure, leading-edge logic, memory, and advanced packaging.
- Resilient Services Business: A growing, recurring, subscription-like services segment that strengthens free cash flow generation and provides predictable revenue across tool lifecycles.
- Operational Discipline: Proven execution through the KLA Operating Model, maintaining robust gross margins, strong investment-grade balance sheet flexibility, and disciplined capital returns.
Key Challenges and Risks
- Macroeconomic Vulnerability: Exposure to cyclical downturns in the global economy and semiconductor industry that can cause customers to decrease, cancel, or delay equipment orders.
- Geopolitical and Trade Regulations: Complex and evolving export control regulations, trade restrictions, and licensing requirements issued by the U.S. Bureau of Industry and Security and other authorities that impact sales and service operations in China.
- Technological Pace: The constant necessity to anticipate rapidly changing semiconductor manufacturing processes and successfully develop and introduce complex new products in a timely manner.
- Customer Concentration: A highly concentrated customer base where orders from a limited number of leading semiconductor manufacturers account for a substantial portion of total sales.
- Supply Chain and Operational Risks: Potential vulnerabilities related to sole-source or limited-source component suppliers, rare earth element restrictions, and cybersecurity threats to information technology infrastructure.
Conclusion and Strategic Outlook
Fiscal 2026 underscored KLA’s critical role in enabling the artificial intelligence ecosystem, delivering exceptional revenue growth, robust operating margins, and strong free cash flow generation. By combining differentiated technology portfolios across process control, advanced packaging, and specialty processes with disciplined operational execution, KLA has reinforced its market leadership. As semiconductor architectures become increasingly complex and industry demand for high-performance computing infrastructure accelerates, KLA remains uniquely positioned to support customer success, solve critical manufacturing challenges, and drive durable, sustainable long-term value for stockholders.
Official Site
Official Corporate Website: https://www.kla.com
Financial Performance and Quantitative Disclosures
Income Statement
| Financial Metric | Fiscal Year Ended June 30, 2026 | Fiscal Year Ended June 30, 2025 | YoY Growth (%) |
|---|---|---|---|
| Product Revenues | $10,453,537,000 | $9,472,854,000 | +10.35% |
| Service Revenues | $3,125,939,000 | $2,683,308,000 | +16.50% |
| Total Revenues | $13,579,476,000 | $12,156,162,000 | +11.71% |
| Costs of Revenues | $5,255,060,000 | $4,751,867,000 | +10.59% |
| Gross Margin | $8,324,416,000 | $7,404,295,000 | +12.43% |
| Research and Development Expenses | $1,532,118,000 | $1,360,334,000 | +12.63% |
| Selling, General and Administrative Expenses | $1,131,518,000 | $1,029,734,000 | +9.88% |
| Impairment of Goodwill and Purchased Intangible Assets | $0 | $239,100,000 | -100.00% |
| Interest Expense | $284,440,000 | $302,166,000 | -5.87% |
| Other Expense (Income), Net | $(229,585,000) | $(171,487,000) | +33.88% |
| Income Before Income Taxes | $5,605,925,000 | $4,644,448,000 | +20.70% |
| Provision for Income Taxes | $775,154,000 | $582,805,000 | +33.00% |
| Net Income | $4,830,771,000 | $4,061,643,000 | +18.94% |
| Basic Net Income Per Share | $3.68 | $3.05 | +20.66% |
| Diluted Net Income Per Share | $3.66 | $3.04 | +20.39% |
Balance Sheet
| Financial Metric | As of June 30, 2026 | As of June 30, 2025 | YoY Growth (%) |
|---|---|---|---|
| Cash and Cash Equivalents | $1,649,842,000 | $2,078,908,000 | -20.64% |
| Marketable Securities | $3,252,566,000 | $2,415,715,000 | +34.64% |
| Accounts Receivable, Net | $2,889,208,000 | $2,263,915,000 | +27.62% |
| Inventories | $3,648,538,000 | $3,212,149,000 | +13.59% |
| Other Current Assets | $941,636,000 | $728,102,000 | +29.33% |
| Total Current Assets | $12,381,790,000 | $10,698,789,000 | +15.73% |
| Land, Property and Equipment, Net | $1,380,550,000 | $1,252,775,000 | +10.20% |
| Goodwill, Net | $1,788,758,000 | $1,792,193,000 | -0.19% |
| Deferred Income Taxes | $1,037,224,000 | $1,105,770,000 | -6.20% |
| Purchased Intangible Assets, Net | $255,835,000 | $444,785,000 | -42.48% |
| Other Non-Current Assets | $1,107,378,000 | $773,614,000 | +43.14% |
| Total Assets | $17,951,535,000 | $16,067,926,000 | +11.72% |
| Total Current Liabilities | $4,304,927,000 | $4,085,795,000 | +5.36% |
| Long-Term Debt | $5,887,415,000 | $5,884,257,000 | +0.05% |
| Deferred Tax Liabilities | $473,648,000 | $446,945,000 | +5.97% |
| Deferred Service Revenue (Non-Current) | $238,111,000 | $348,844,000 | -31.74% |
| Other Non-Current Liabilities | $697,614,000 | $609,632,000 | +14.43% |
| Total Liabilities | $11,601,715,000 | $11,375,473,000 | +1.99% |
| Total Stockholders’ Equity | $6,349,820,000 | $4,692,453,000 | +35.32% |
Cash Flow
| Financial Metric | Fiscal Year Ended June 30, 2026 | Fiscal Year Ended June 30, 2025 | YoY Growth (%) |
|---|---|---|---|
| Net Cash Provided by Operating Activities | $4,143,079,000 | $4,081,903,000 | +1.50% |
| Capital Expenditures | $(375,945,000) | $(335,259,000) | +12.14% |
| Net Cash Used in Investing Activities | $(1,190,095,000) | $(202,481,000) | +487.76% |
| Common Stock Repurchases | $(2,289,769,000) | $(2,149,946,000) | +6.50% |
| Payment of Dividends to Stockholders | $(1,057,832,000) | $(904,594,000) | +16.94% |
| Net Cash Used in Financing Activities | $(3,385,606,000) | $(3,785,687,000) | -10.57% |
| Effect of Exchange Rate Changes on Cash | $3,556,000 | $8,044,000 | -55.79% |
| Net Increase (Decrease) in Cash and Cash Equivalents | $(429,066,000) | $101,779,000 | +321.57% |
Subsidiaries & Joint Ventures
- KLA maintains various international operating subsidiaries, branches, and R&D centers located across major semiconductor manufacturing regions, including the United States, United Kingdom, India, China, Singapore, Israel, Germany, and various other European locations.
Other Investments & Holdings
- The company maintains a portfolio of marketable debt securities, government securities, time deposits, and corporate debt instruments totaling $4.90 billion in cash, cash equivalents, and marketable securities as of June 30, 2026.
- The company holds an equity investment in a publicly traded company on the Tokyo Stock Exchange valued at $46.8 million as of June 30, 2026.
Physical Properties
- Corporate headquarters is located in Milpitas, California.
- Principal manufacturing operations are located in the United States, Singapore, Israel, China, and various locations throughout Europe.
- Principal research and development centers are located in the United States, the United Kingdom, India, China, Singapore, and Israel.
Investments and Capital Expenditure
- Capital expenditures for the fiscal year ended June 30, 2026 were $375.9 million.
- Research and development expenditures for the fiscal year ended June 30, 2026 were $1,532.1 million.
Shareholding Pattern / Ownership
| Holder Category | Shares Held | Percentage Stake | Previous Period Stake |
|---|---|---|---|
| Common Stock Outstanding (As of August 3, 2026) | 1,306,546,783 | 100.0% | Not Disclosed |
| Non-Affiliate Public Float (As of December 31, 2025) | Not Disclosed | Not Disclosed | Not Disclosed |
Frequently Asked Questions
What is KLA Corporation’s primary business focus?
KLA Corporation is a leading supplier of process control, yield management, and process-enabling solutions for the semiconductor and related electronics industries, providing inspection, metrology, and data analytics systems that help manufacturers achieve target yields.
What were KLA’s total revenues and net income for fiscal year 2026?
For the fiscal year ended June 30, 2026, KLA reported total revenues of $13.58 billion and a net income of $4.83 billion.
What are KLA’s primary reportable business segments?
KLA reports its financial performance across three segments: Semiconductor Process Control, Specialty Semiconductor Process, and PCB and Component Inspection.
How does KLA return value to its stockholders?
KLA returns capital to its stockholders through a combination of share repurchases under an authorized stock repurchase program and regular quarterly cash dividend payments.
Where is KLA Corporation headquartered?
KLA Corporation is headquartered in Milpitas, California, United States.
