<br /><br />The new U.S. export limits announced on Tuesday won't have a significant impact, according to chip tool manufacturer Lam Research, as China is still a significant market.<br />Lam reported $3.5 billion in revenue for the three months that ended on September 24—a 31.4% decrease year over year.<br /><br />The company's top line was primarily contributed by China, and CEO Tim Archer was upbeat about the future.<br /><br />On the results call on Wednesday, Archer stated that "nothing new came from the regulations that you saw yesterday." So as we move into the upcoming year and, quite frankly, beyond, I see a level of sustainability in China. They have long-range goals.<br /><br />Shares of Lam Research fell more than 5% during Wednesday's extended trading.<br /><br />China continues to be Lam's largest revenue contributor, contributing 48% of the total in the three-month period, up from 30% a year ago and 26% in the previous quarter, despite the semiconductor-related export curbs that were initially announced in October 2022 and prevented American companies from shipping advanced chip equipment to China without a license.<br /><br />According to Lam, a slower general pace of equipment expenditure by clients in other countries under a difficult macroeconomic climate was a contributing factor in this quarter's increased share of China revenue.<br />
