Common-Size Income Statement
Quarterly Data
Paying user area
Try for free
Applied Materials Inc. pages available for free this week:
- Analysis of Solvency Ratios
- Analysis of Reportable Segments
- Analysis of Geographic Areas
- Common Stock Valuation Ratios
- Enterprise Value (EV)
- Enterprise Value to EBITDA (EV/EBITDA)
- Enterprise Value to FCFF (EV/FCFF)
- Return on Equity (ROE) since 2005
- Current Ratio since 2005
- Total Asset Turnover since 2005
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Applied Materials Inc. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Applied Materials Inc., common-size consolidated income statement (quarterly data)
Based on: 10-Q (reporting date: 2026-01-25), 10-K (reporting date: 2025-10-26), 10-Q (reporting date: 2025-07-27), 10-Q (reporting date: 2025-04-27), 10-Q (reporting date: 2025-01-26), 10-K (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-Q (reporting date: 2024-01-28), 10-K (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-Q (reporting date: 2023-01-29), 10-K (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-Q (reporting date: 2022-01-30), 10-K (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02), 10-Q (reporting date: 2021-01-31), 10-K (reporting date: 2020-10-25), 10-Q (reporting date: 2020-07-26), 10-Q (reporting date: 2020-04-26), 10-Q (reporting date: 2020-01-26).
The common-size income statement reveals several noteworthy trends in the company’s financial performance over the observed period. Revenue consistently represents 100% of itself, as expected. A significant portion of revenue is consistently allocated to the cost of products sold, averaging approximately 53% throughout the period, with some fluctuation. Gross profit as a percentage of revenue demonstrates a general upward trend, increasing from around 44% in early periods to nearly 49% in the most recent quarters, though with some volatility.
- Cost of Products Sold
- The cost of products sold as a percentage of revenue generally decreased from 55.36% in January 2020 to a low of 50.92% in May 2022, before increasing again to 51.99% in July 2025. This suggests improved cost management or shifts in product mix over time, followed by a potential reversal in recent periods.
- Operating Expenses
- Operating expenses, encompassing research and development, marketing and selling, and general and administrative costs, initially represented around 19-20% of revenue. These expenses decreased to a low of 15.20% in August 2021, before gradually increasing, peaking at 22.88% in October 2025. The increase in operating expenses in later periods warrants further investigation.
- Research, Development and Engineering
- Spending on research, development, and engineering as a percentage of revenue exhibited a decreasing trend from 13.26% in January 2020 to 10.16% in August 2021. However, it has since increased, reaching 13.49% in October 2025, indicating a renewed focus on innovation or increased investment in these areas.
- Profitability
- Income from operations as a percentage of revenue showed considerable fluctuation, ranging from a low of 23.55% to a high of 32.96%. A general upward trend is observable, particularly from 2021 onwards, suggesting improved operational efficiency. Net income as a percentage of revenue mirrored this trend, fluctuating between approximately 19% and 35%, with a recent peak in 2025. However, a significant dip in net income percentage is observed in October 2025, potentially due to one-time charges.
- Non-Operating Items
- Interest expense remained relatively stable as a percentage of revenue, generally between 1.09% and 1.54%. Interest and other income (expense), net, experienced significant volatility, swinging from positive to negative values, with a substantial positive impact in late 2023 and early 2024. Several non-recurring items, including legal settlements, restructuring charges, and deal termination fees, impacted net income in specific periods, particularly in 2021 and 2025. These items require further scrutiny to understand their nature and impact.
- Tax Rate
- The provision for income taxes as a percentage of revenue varied considerably, ranging from approximately 2.12% to 5.30%. This suggests potential fluctuations in taxable income or changes in tax regulations. A particularly high tax rate in October 2025 (13.03%) contributed to the lower net income percentage observed in that period.
Overall, the company demonstrated improving profitability throughout much of the observed period, driven by a combination of cost management and revenue growth. However, recent quarters show increased operating expenses and the impact of non-recurring items, which require further investigation to assess their long-term implications.