Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

Lam Research Corp., consolidated balance sheet: liabilities and stockholders’ equity

US$ in thousands

	Jun 28, 2026	Jun 29, 2025	Jun 30, 2024	Jun 25, 2023	Jun 26, 2022	Jun 27, 2021
Trade accounts payable	1,302,467)	854,208)	613,966)	470,702)	1,011,208)	829,710)
Accrued compensation	695,498)	618,370)	516,717)	481,354)	481,070)	552,925)
Warranty reserves	270,044)	248,783)	228,060)	256,781)	232,248)	176,030)
Income and other taxes payable	263,205)	541,426)	186,700)	460,630)	465,601)	348,206)
Dividend payable	325,402)	291,981)	260,905)	231,267)	205,615)	185,431)
Other	797,392)	693,806)	609,495)	580,605)	589,738)	456,891)
Accrued expenses and other current liabilities	2,351,541)	2,394,366)	1,801,877)	2,010,637)	1,974,272)	1,719,483)
Deferred profit	2,279,168)	2,565,540)	1,417,781)	1,695,221)	1,571,898)	967,325)
Current portion of long-term debt and finance lease obligations	4,073)	754,311)	504,814)	8,358)	7,381)	11,349)
Current liabilities	5,937,249)	6,568,425)	4,338,438)	4,184,918)	4,564,759)	3,527,867)
Long-term debt and finance lease obligations, less current portion	3,730,490)	3,730,194)	4,478,520)	5,003,183)	4,998,449)	4,990,333)
Income taxes payable	681,197)	603,412)	813,304)	882,084)	931,117)	948,037)
Other long-term liabilities	709,886)	581,610)	575,012)	501,286)	422,941)	398,727)
Long-term liabilities	5,121,573)	4,915,216)	5,866,836)	6,386,553)	6,352,507)	6,337,097)
Total liabilities	11,058,822)	11,483,641)	10,205,274)	10,571,471)	10,917,266)	9,864,964)
Preferred stock, at par value of $0.001 per share; none outstanding	—)	—)	—)	—)	—)	—)
Common stock, at par value of $0.001 per share	1,251)	1,268)	130)	133)	137)	143)
Additional paid-in capital	9,244,449)	8,697,290)	8,225,303)	7,809,002)	7,414,916)	7,052,962)
Treasury stock, at cost	(31,597,945)	(27,763,430)	(24,366,866)	(21,530,353)	(19,481,429)	(15,646,701)
Accumulated other comprehensive loss	(127,088)	(62,423)	(130,428)	(100,706)	(109,982)	(64,128)
Retained earnings	34,950,254)	28,988,914)	24,811,315)	22,032,096)	18,454,724)	14,684,912)
Stockholders’ equity	12,470,921)	9,861,619)	8,539,454)	8,210,172)	6,278,366)	6,027,188)
Total liabilities and stockholders’ equity	23,529,743)	21,345,260)	18,744,728)	18,781,643)	17,195,632)	15,892,152)

Based on: 10-K (reporting date: 2026-06-28), 10-K (reporting date: 2025-06-29), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-25), 10-K (reporting date: 2022-06-26), 10-K (reporting date: 2021-06-27).

The financial structure exhibits a strategic transition toward a more equity-heavy capital base and a systematic reduction in long-term leverage. While total liabilities have increased moderately from $9.86 billion in 2021 to $11.06 billion in 2026, this is eclipsed by the substantial expansion of stockholders' equity, which more than doubled over the same period.

Current Liabilities and Working Capital: Current liabilities experienced a general upward trend, rising from $3.53 billion in 2021 to $5.94 billion in 2026. This increase is primarily attributed to growth in trade accounts payable, which rose from $829.7 million to $1.30 billion, and deferred profit, which increased from $967.3 million to $2.28 billion. A significant fluctuation is observed in the current portion of long-term debt, which spiked to $754.3 million in 2025 before dropping sharply to $4.1 million in 2026, indicating the settlement of major debt obligations.
Long-Term Debt Obligations: A downward trend is evident in long-term debt and finance lease obligations. These obligations remained stable at approximately $5 billion from 2021 through 2023, followed by a consistent decline to $3.73 billion by 2026. This reduction suggests a deliberate strategy to deleverage the balance sheet and reduce long-term interest-bearing liabilities.
Stockholders' Equity and Capital Allocation: Stockholders' equity grew from $6.03 billion in 2021 to $12.47 billion in 2026. This growth was driven by a massive increase in retained earnings, which climbed from $14.68 billion to $34.95 billion, signaling strong profitability and internal capital generation. Concurrently, the treasury stock balance increased from -$15.65 billion to -$31.60 billion, reflecting an aggressive and consistent share repurchase program designed to return value to shareholders.
Overall Solvency and Financial Position: The convergence of rising retained earnings and decreasing long-term debt indicates an improving solvency profile. The organization has shifted toward self-funding its operations and growth, significantly reducing its reliance on external long-term borrowing while simultaneously increasing the equity cushion available to absorb potential financial shocks.

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Lam Research Corp. (NASDAQ:LRCX)

Balance Sheet: Liabilities and Stockholders’ Equity