How has KLAC's cost structure evolved since 2022?

KLA Corporation (KLAC) has seen a general upward trend in its cost structure since 2022, with some fluctuations. The following analysis discusses the evolution of KLAC's cost structure, focusing on the Cost of Goods Sold (COGS), Research and Development (R&D) Expenses, and Selling, General, and Administrative (SG&A) Expenses. 1. **Cost of Goods Sold (COGS)**: - In 2022, KLAC's COGS was $3.59 billion. - By the end of 2023, this figure increased to $4.22 billion. - The latest reported COGS for the period ending Q4 2024, was $3.93 billion. |code|Ticker|Name|Date|Cost of Goods Sold|Cost of Goods Sold YoY|market_code| |---|---|---|---|---|---|---| |KLAC|KLAC.O|KLA|2022 Q3|8.92091E8|25.712308826161273|185| |KLAC|KLAC.O|KLA|2022 Q4|9.78564E8|26.71743665513745|185| |KLAC|KLAC.O|KLA|2023 Q1|1.041226E9|27.97385524517468|185| |KLAC|KLAC.O|KLA|2023 Q2|1.208786E9|33.10246409781515|185| |KLAC|KLAC.O|KLA|2023 Q3|1.005346E9|12.695453714923701|185| |KLAC|KLAC.O|KLA|2023 Q4|9.62949E8|-1.595705544042086|185| |KLAC|KLAC.O|KLA|2024 Q1|9.46891E8|-9.059992739328445|185| |KLAC|KLAC.O|KLA|2024 Q2|9.76746E8|-19.196119081458587|185| |KLAC|KLAC.O|KLA|2024 Q3|9.93885E8|-1.1400055304342982|185| |KLAC|KLAC.O|KLA|2024 Q4|1.010551E9|4.943356294050879|185| 2. **Research and Development (R&D) Expenses**: - KLAC's R&D expenses were $1.11 billion in 2022. - By the end of 2023, these expenses increased to $1.28 billion. - The latest reported R&D expenses for the period ending Q4 2024, were $1.3 billion. |code|Ticker|Name|Date|R&D Expenses|R&D Expenses YoY|market_code| |---|---|---|---|---|---|---| |KLAC|KLAC.O|KLA|2022 Q3|2.85189E8|19.347413969877426|185| |KLAC|KLAC.O|KLA|2022 Q4|2.96881E8|22.968752588763525|185| |KLAC|KLAC.O|KLA|2023 Q1|3.18515E8|23.38225780835396|185| |KLAC|KLAC.O|KLA|2023 Q2|3.32826E8|25.580026487467507|185| |KLAC|KLAC.O|KLA|2023 Q3|3.28276E8|15.108226474373135|185| |KLAC|KLAC.O|KLA|2023 Q4|3.1711E8|6.813841236050807|185| |KLAC|KLAC.O|KLA|2024 Q1|3.11214E8|-2.292199739415726|185| |KLAC|KLAC.O|KLA|2024 Q2|3.20418E8|-3.72807412882407|185| |KLAC|KLAC.O|KLA|2024 Q3|3.2159E8|-2.03670082491562|185| |KLAC|KLAC.O|KLA|2024 Q4|3.25759E8|2.7274447352653652|185| 3. **Selling, General, and Administrative (SG&A) Expenses**: - KLAC's SG&A expenses were $860.01 million in 2022. - By the end of 2023, these expenses increased to $969.51 million. - The latest reported SG&A expenses for the period ending Q4 2024, were $986.33 million. |code|Ticker|Name|Date|Selling, General, and Administrative Expenses|Selling, General, and Administrative Expenses YoY|market_code| |---|---|---|---|---|---|---| |KLAC|KLAC.O|KLA|20220930|2.16489E8|18.274147727272727|185| |KLAC|KLAC.O|KLA|20221231|2.36778E8|23.30774598743894|185| |KLAC|KLAC.O|KLA|20230331|2.5398E8|31.418134026006285|185| |KLAC|KLAC.O|KLA|20230630|2.43096E8|13.87349575368069|185| |KLAC|KLAC.O|KLA|20230930|2.38393E8|10.117835086309235|185| |KLAC|KLAC.O|KLA|20231231|2.50857E8|5.94607607125662|185| |KLAC|KLAC.O|KLA|20240331|2.39645E8|-5.644145208284117|185| |KLAC|KLAC.O|KLA|20240630|2.37244E8|-2.4072794287030637|185| |KLAC|KLAC.O|KLA|20240930|2.37514E8|-0.3687188801684613|185| |KLAC|KLAC.O|KLA|20241231|2.55106E8|1.6937936752811362|185| The data indicates that KLAC has been investing more in R&D and SG&A, which could be a strategic move to innovate and improve operational efficiency. The COGS increase might reflect higher production costs or expanded production capacity. However, the exact reasons behind these changes would require a detailed analysis of the company's operational and market conditions at the time.