Applied Materials delivers strong Q3 results

SANTA CLARA, USA: Applied Materials Inc. reported results for its third quarter of fiscal 2011 ended July 31, 2011. Applied generated orders of $2.39 billion, net sales of $2.79 billion, operating income of $687 million, and net income of $476 million or $0.36 per share. Non-GAAP operating income was $683 million, and non-GAAP net income was $467 million or $0.35 per share.

"Applied delivered solid third quarter results, with earnings and revenue at the upper end of our expectations," said Mike Splinter, chairman and CEO. "While the fundamental drivers of our markets remain strong, we are seeing softness in our business resulting from the uncertain economic environment and overcapacity in solar."

"Our cumulative net sales and non-GAAP earnings per share over the past four quarters have been the strongest in the company's history," said George Davis, chief financial officer. "In our most recent quarter, Applied generated nearly $600 million in operating cash flow and issued $1.75 billion in long-term debt to support the Varian acquisition."