What happened

Shares of KLA-Tencor Corp. (NASDAQ:KLAC) jumped on Tuesday following the semiconductor equipment company's fiscal fourth-quarter report. KLA-Tencor beat analyst expectations across the board, pushing the stock up 10.9% by 11:05 a.m. EDT.

So what

KLA-Tencor reported fourth-quarter revenue of $1.07 billion, up 14% year over year and $20 million higher than the average analyst estimate. Product revenue jumped 14% to $840.5 million, while service revenue also rose 14% to $229.5 million.

A circuit board.

Image source: Getty Images.

Non-GAAP earnings per share came in at $2.22, up from $1.64 in the prior-year period and $0.08 better than analysts were expecting. The bottom line also increased compared to the third quarter, when KLA-Tencor reported $2.02 of non-GAAP earnings per share.

KLA-Tencor President and CEO Rick Wallace commented on the strong quarter: "We delivered the second highest quarterly bookings result in our history, while setting all-time records in quarterly shipments, revenue, and GAAP and non-GAAP earnings per diluted share. This demonstrates KLA-Tencor's market leadership in process control, and reflects the strategic importance of inspection and metrology in enabling growth of next-generation logic and memory semiconductor markets."

Now what

KLA-Tencor expects to report first-quarter revenue between $1.03 billion and $1.11 billion, along with shipments between $935 million and $1.015 billion and non-GAAP EPS between $2.04 and $2.36. The company reported revenue of $970 million and non-GAAP EPS of $1.80 in the first quarter of last year, and pointed to a record backlog as a driver behind the expected growth.

The semiconductor industry is cyclical, but KLA-Tencor is so far showing no signs of slowing down. With results above analyst estimates and solid guidance, investors found plenty or reasons to push up the stock.

Timothy Green has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.