(Reuters) – Applied Materials Inc forecast fourth-quarter revenue above analysts’ estimates on Thursday, signaling a rebound in demand for semiconductor equipment and services from supply chain disruptions caused by the COVID-19 pandemic.
Shares of the company, whose results are seen as a bellwether for the chip industry, rose nearly 2% in extended trading.
The company expects current-quarter revenue to be about $4.60 billion, plus or minus $200 million, above analysts’ expectation of $4.36 billion, according to IBES data from Refinitiv.
The Santa Clara, California-based company had predicted supply chains to gain strength during the second half of the year and help it recoup sales lost due to the COVID-19 disruptions.
Revenue from semiconductor systems, which supplies gears to chipmakers, rose 28% to $2.92 billion.
Net sales rose 23% to $4.4 billion in the third quarter ended July 26, beating analysts’ average estimates of $4.18 billion, according to IBES data from Refinitiv.
(Reporting by Munsif Vengattil in Bengaluru; Editing by Sriraj Kalluvila)
