APPLIED MATERIALS, INC.
UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP ADJUSTED RESULTS
| Three Months Ended | Nine Months Ended | ||||||||||||||
| (In millions, except percentages) | July 30,
2023 | July 31,
2022 | July 30,
2023 | July 31,
2022 | |||||||||||
| Semiconductor Systems Non-GAAP Adjusted Operating Income | |||||||||||||||
| Reported operating income - GAAP basis | $ | 1,618 | $ | 1,701 | $ | 5,299 | $ | 5,120 | |||||||
| Certain items associated with acquisitions1 | 10 | 7 | 29 | 22 | |||||||||||
| Non-GAAP adjusted operating income | $ | 1,628 | $ | 1,708 | $ | 5,328 | $ | 5,142 | |||||||
| Non-GAAP adjusted operating margin | 34.8 | % | 36.1 | % | 36.0 | % | 37.4 | % | |||||||
| AGS Non-GAAP Adjusted Operating Income | |||||||||||||||
| Reported operating income - GAAP basis | $ | 429 | $ | 434 | $ | 1,226 | $ | 1,259 | |||||||
| Non-GAAP adjusted operating income | $ | 429 | $ | 434 | $ | 1,226 | $ | 1,259 | |||||||
| Non-GAAP adjusted operating margin | 29.3 | % | 30.6 | % | 28.8 | % | 30.5 | % | |||||||
| Display and Adjacent Markets Non-GAAP Adjusted Operating Income | |||||||||||||||
| Reported operating income - GAAP basis | $ | 37 | $ | 69 | $ | 66 | $ | 226 | |||||||
| Certain items associated with acquisitions 1 | — | 1 | — | 3 | |||||||||||
| Non-GAAP adjusted operating income | $ | 37 | $ | 70 | $ | 66 | $ | 229 | |||||||
| Non-GAAP adjusted operating margin | 15.7 | % | 21.0 | % | 11.6 | % | 21.2 | % | |||||||
