Applied Materials reported record fiscal 2026 revenue of $34.45 billion, up 21% from the prior year, while CEO Gary Dickerson forecast more than 40% growth for the Semiconductor Systems business in calendar 2026. Annual non-GAAP earnings per share rose 37% to $12.89, and non-GAAP gross margin expanded 130 basis points to 50.1%. Fourth-quarter revenue was $10.41 billion, up 53% year over year, and adjusted EPS reached $4.16, above analysts’ average estimate of $4.05. The company forecast fiscal first-quarter revenue of about $11.10 billion, plus or minus $500 million, exceeding the $10.89 billion average estimate compiled by LSEG, and forecast adjusted EPS of $4.35, plus or minus $0.20. Applied Materials said AI-related demand is prompting chipmakers and foundries to accelerate purchases of semiconductor manufacturing equipment. Semiconductor Systems revenue was reported at $8 billion in the fourth quarter, up about 64% from a year earlier, while China represented 25% of revenue and sales there rose about 35% to $2.64 billion. Shares were marginally higher in extended trading and have risen about 48% this year. The company expects wafer-fabrication equipment demand to increase more than 30% in 2027, when Dickerson said the market and Applied Materials could have another record year.