Lam Research Corp., adjustment to net income

US$ in thousands

12 months ended:	Jun 25, 2023	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018
Net income (as reported)	4,510,931)	4,605,286)	3,908,458)	2,251,753)	2,191,430)	2,380,681)
Add: Available-for-sale investments	1,333)	(3,248)	(3,312)	2,777)	3,336)	(2,296)
Net income (adjusted)	4,512,264)	4,602,038)	3,905,146)	2,254,530)	2,194,766)	2,378,385)

Download chart

Lam Research Corp., adjusted profitability ratios

	Jun 25, 2023	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018
Net Profit Margin
Reported net profit margin	25.88%	26.73%	26.72%	22.42%	22.70%	21.49%
Adjusted net profit margin	25.89%	26.71%	26.70%	22.44%	22.74%	21.47%
Return on Equity (ROE)
Reported ROE	54.94%	73.35%	64.85%	43.53%	46.89%	36.62%
Adjusted ROE	54.96%	73.30%	64.79%	43.59%	46.96%	36.58%
Return on Assets (ROA)
Reported ROA	24.02%	26.78%	24.59%	15.47%	18.26%	19.08%
Adjusted ROA	24.02%	26.76%	24.57%	15.49%	18.29%	19.06%

Profitability ratio	Description	The company
Adjusted net profit margin	An indicator of profitability, calculated as adjusted net income divided by revenue.	Lam Research Corp. adjusted net profit margin ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.
Adjusted ROE	A profitability ratio calculated as adjusted net income divided by shareholders’ equity.	Lam Research Corp. adjusted ROE improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.
Adjusted ROA	A profitability ratio calculated as adjusted net income divided by total assets.	Lam Research Corp. adjusted ROA improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Download chart

	Jun 25, 2023	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018
As Reported
Selected Financial Data (US$ in thousands)
Net income	4,510,931)	4,605,286)	3,908,458)	2,251,753)	2,191,430)	2,380,681)
Revenue	17,428,516)	17,227,039)	14,626,150)	10,044,736)	9,653,559)	11,076,998)
Profitability Ratio
Net profit margin¹	25.88%	26.73%	26.72%	22.42%	22.70%	21.49%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in thousands)
Adjusted net income	4,512,264)	4,602,038)	3,905,146)	2,254,530)	2,194,766)	2,378,385)
Revenue	17,428,516)	17,227,039)	14,626,150)	10,044,736)	9,653,559)	11,076,998)
Profitability Ratio
Adjusted net profit margin²	25.89%	26.71%	26.70%	22.44%	22.74%	21.47%

2023 Calculations

¹ Net profit margin = 100 × Net income ÷ Revenue
= 100 × 4,510,931 ÷ 17,428,516 = 25.88%

² Adjusted net profit margin = 100 × Adjusted net income ÷ Revenue
= 100 × 4,512,264 ÷ 17,428,516 = 25.89%

Download chart

Profitability ratio	Description	The company
Adjusted net profit margin	An indicator of profitability, calculated as adjusted net income divided by revenue.	Lam Research Corp. adjusted net profit margin ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

	Jun 25, 2023	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018
As Reported
Selected Financial Data (US$ in thousands)
Net income	4,510,931)	4,605,286)	3,908,458)	2,251,753)	2,191,430)	2,380,681)
Stockholders’ equity	8,210,172)	6,278,366)	6,027,188)	5,172,494)	4,673,865)	6,501,851)
Profitability Ratio
ROE¹	54.94%	73.35%	64.85%	43.53%	46.89%	36.62%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in thousands)
Adjusted net income	4,512,264)	4,602,038)	3,905,146)	2,254,530)	2,194,766)	2,378,385)
Stockholders’ equity	8,210,172)	6,278,366)	6,027,188)	5,172,494)	4,673,865)	6,501,851)
Profitability Ratio
Adjusted ROE²	54.96%	73.30%	64.79%	43.59%	46.96%	36.58%

2023 Calculations

¹ ROE = 100 × Net income ÷ Stockholders’ equity
= 100 × 4,510,931 ÷ 8,210,172 = 54.94%

² Adjusted ROE = 100 × Adjusted net income ÷ Stockholders’ equity
= 100 × 4,512,264 ÷ 8,210,172 = 54.96%

Download chart

Profitability ratio	Description	The company
Adjusted ROE	A profitability ratio calculated as adjusted net income divided by shareholders’ equity.	Lam Research Corp. adjusted ROE improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

	Jun 25, 2023	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018
As Reported
Selected Financial Data (US$ in thousands)
Net income	4,510,931)	4,605,286)	3,908,458)	2,251,753)	2,191,430)	2,380,681)
Total assets	18,781,643)	17,195,632)	15,892,152)	14,559,047)	12,001,333)	12,479,478)
Profitability Ratio
ROA¹	24.02%	26.78%	24.59%	15.47%	18.26%	19.08%
Adjusted: Mark to Market Available-for-sale Securities
Selected Financial Data (US$ in thousands)
Adjusted net income	4,512,264)	4,602,038)	3,905,146)	2,254,530)	2,194,766)	2,378,385)
Total assets	18,781,643)	17,195,632)	15,892,152)	14,559,047)	12,001,333)	12,479,478)
Profitability Ratio
Adjusted ROA²	24.02%	26.76%	24.57%	15.49%	18.29%	19.06%

2023 Calculations

¹ ROA = 100 × Net income ÷ Total assets
= 100 × 4,510,931 ÷ 18,781,643 = 24.02%

² Adjusted ROA = 100 × Adjusted net income ÷ Total assets
= 100 × 4,512,264 ÷ 18,781,643 = 24.02%

Download chart

Profitability ratio	Description	The company
Adjusted ROA	A profitability ratio calculated as adjusted net income divided by total assets.	Lam Research Corp. adjusted ROA improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Lam Research Corp. (NASDAQ:LRCX)

Analysis of Investments