Stock Analysis on Net

KLA Corp. (NASDAQ:KLAC)

$24.99

Return on Equity (ROE)
since 2005

Microsoft Excel

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Calculation

KLA Corp., ROE, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30), 10-K (reporting date: 2012-06-30), 10-K (reporting date: 2011-06-30), 10-K (reporting date: 2010-06-30), 10-K (reporting date: 2009-06-30), 10-K (reporting date: 2008-06-30), 10-K (reporting date: 2007-06-30), 10-K (reporting date: 2006-06-30), 10-K (reporting date: 2005-06-30).

1 US$ in thousands


Net Income (Loss) Attributable to KLA
The net income exhibited significant volatility over the observed period. From a positive income of approximately $466.7 million in mid-2005, earnings peaked and declined intermittently, with a notable loss recorded in mid-2009 amounting to approximately $523.4 million. Subsequently, net income rebounded strongly, reaching over $2 billion by mid-2021 and further surging to approximately $3.3 billion by mid-2022. Despite a slight decrease thereafter, income remained robust, culminating in a peak exceeding $4 billion by mid-2025. This trajectory indicates recovery and substantial growth following the mid-2009 downturn.
Total KLA Stockholders’ Equity
Stockholders' equity trends demonstrated fluctuations aligned partially with net income movements. Initially valued at approximately $3.0 billion in mid-2005, equity saw increases up to nearly $3.7 billion by mid-2014, followed by an anomalous significant drop to roughly $421 million in mid-2015. This sharp decline was followed by gradual recovery phases, reaching over $3.3 billion by mid-2023 and culminating at approximately $4.7 billion by mid-2025. The sizable dip around 2015 suggests either extraordinary events or restatements affecting equity, with subsequent recovery indicating restored shareholder value.
Return on Equity (ROE)
ROE fluctuated significantly across the years, reflecting changing profitability relative to shareholders' equity. Starting at 15.33% in mid-2005, ROE reached a low of -23.96% during the mid-2009 loss period. Post-2009, ROE increased dramatically, exceeding 100% in 2016 and maintaining high levels throughout, including a peak of 237.04% in mid-2022. These elevated percentages likely stem from the low base in shareholders’ equity during those years, particularly around the 2015-2017 period, magnifying returns. Despite this volatility, ROE remained strong in the latter years, consistently above 80%, suggesting improved efficiency in generating profit from equity.
General Observations
The financial data reveals a period of significant operational and financial challenges around 2009, marked by a net loss and concurrent decline in equity. Subsequently, the company underwent a period of strong recovery with both net income and equity growing substantially. The anomalies in equity values between 2014 and 2017, coupled with extremely high ROE percentages, indicate possible accounting adjustments or unusual events impacting reported figures. Overall, the trend from 2017 onward reflects consistent profitability and strengthening equity positions, supporting a positive outlook on financial performance.

Comparison to Competitors

KLA Corp., ROE, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30), 10-K (reporting date: 2012-06-30), 10-K (reporting date: 2011-06-30), 10-K (reporting date: 2010-06-30), 10-K (reporting date: 2009-06-30), 10-K (reporting date: 2008-06-30), 10-K (reporting date: 2007-06-30), 10-K (reporting date: 2006-06-30), 10-K (reporting date: 2005-06-30).


Comparison to Sector (Semiconductors & Semiconductor Equipment)

KLA Corp., ROE, long-term trends, comparison to sector (semiconductors & semiconductor equipment)

Microsoft Excel

Based on: 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30), 10-K (reporting date: 2012-06-30), 10-K (reporting date: 2011-06-30), 10-K (reporting date: 2010-06-30), 10-K (reporting date: 2009-06-30), 10-K (reporting date: 2008-06-30), 10-K (reporting date: 2007-06-30), 10-K (reporting date: 2006-06-30), 10-K (reporting date: 2005-06-30).


Comparison to Industry (Information Technology)