Edwyn
Over the five-year period, Applied Materials Inc.’s revenue increased from USD 17.2 billion in 2020 to USD 27.2 billion in 2024, reflecting healthy growth amid evolving market conditions. The most notable jump occurred from 2020 to 2021, when revenue surged by approximately 34%, an outcome likely influenced by macroeconomic recovery and increased investment in semiconductor production capacity. Subsequent annual increases moderated to around 2–12%, suggesting the company has reached a more mature phase of incremental growth. Gross profit followed a similar pattern—increasing from USD 7.7 billion in 2020 to approximately USD 12.9 billion in 2024—with margins benefiting from efficient cost of goods sold management. The growth in gross profit was especially pronounced between 2020 and 2021, with a 42% year-over-year increase, which then tapered in later years. Operating income and net income both experienced significant early gains, with operating income rising nearly 58% from 2020 to 2021 and net income growing roughly 63% over the same period. In the later period, operating income showed a modest dip between 2022 and 2023, while net income continued a steady, albeit slower, climb. These trends indicate that after a period of rapid expansion, the company transitioned into a phase of steady, sustainable profitability. Overall, Applied Materials Inc. demonstrates robust financial health, characterized by strong early growth followed by stable, incremental gains. Such performance aligns with its role as a leader in semiconductor equipment, supporting its long-term sustainability in a competitive industry.
This analysis is for informational purposes only and does not constitute financial advice or recommendations for any investment decisions. Please consult with a qualified financial professional for personalized guidance.