Lam Research Profit Surges

Lam Research(LRCX Quote - Cramer on LRCX - Stock Picks) delivered better-than-expected revenue and earnings for the quarter ending in September, the company said in a release after the bell.

The Fremont, Calif.-based chip-equipment manufacturer posted net income of $89.8 million, up sharply from $4.8 million for the same quarter a year ago. Profit per share amounted to 64 cents in the 2004 period.

Revenue amounted to $419.5 million, more than double last year's level of $183.7 million.

Analysts were expecting 58 cents in earnings on $409 million in revenue for the quarter ending in September, according to Thomson First Call.

Chief Executive James Bagley said the company's gross margin as a percent of revenue was over 51%, resulting in record operating margins and record net income.

Lam did not issue December quarter guidance in its after-hours release, but Wall Street will be looking for 60 cents and $418 million in revenue.

After the bell shares climbed 17 cents, or 0.8%, to $22.76. In regular trading the stock closed up 89 cents, or 4.1%, to $22.59.