KLA (NASDAQ:KLAC) reports stronger momentum in semiconductor equipment markets, with Chief Financial Officer Bren Higgins stating that wafer fab equipment spending is projected to exceed $140 billion this year. This positive outlook was shared during J.P. Morgan’s 54th annual Global Technology, Media and Communications Conference.
Higgins indicated that KLA anticipates a growth rate exceeding 20% in the second half of the year compared to the first half, underpinned by increasing customer demand across leading-edge logic, memory, and advanced packaging sectors. The company has gained significant visibility into 2027 due to ongoing fab constructions, anticipating a growth rate in wafer fab equipment that surpasses that of 2026.
Advanced packaging is particularly noteworthy, with growth rates now exceeding 30%. KLA’s services business also demonstrated resilience, achieving a 15% growth last year and projected to maintain a consistent growth trajectory in line with historical performance. Overall, the company aims for $26 billion in revenue by 2030, with a targeted earnings of $84 per share.
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