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Lam Research Corporation Reports Financial Results for the Quarter Ended September 29, 2024

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FREMONT, Calif., Oct. 23, 2024 /PRNewswire/ — Lam Research Corporation (the “Company,” “Lam,” “Lam Research”) today announced financial results for the quarter ended September 29, 2024 (the “September 2024 quarter”).

On May 21, 2024, the Company announced a ten-for-one stock split which was effective October 2, 2024. All references made to share or per share amounts in this press release have been adjusted to reflect the stock split, unless otherwise indicated.

Highlights for the September 2024 quarter were as follows:

Revenue of $4.17 billion.U.S. GAAP gross margin of 48.0%, U.S. GAAP operating income as a percentage of revenue of 30.3%, and U.S. GAAP diluted EPS of $0.86.Non-GAAP gross margin of 48.2%, non-GAAP operating income as a percentage of revenue of 30.9%, and non-GAAP diluted EPS of $0.86.

 

Key Financial Data for the Quarters Ended

September 29, 2024 and June 30, 2024

(in thousands, except per-share data, percentages, and basis points) 

 

U.S. GAAP

September 2024

June 2024

Change Q/Q

Revenue

$                4,167,976

$                3,871,507

+ 8 %

Gross margin as percentage of revenue

48.0 %

47.5 %

+ 50 bps

Operating income as percentage of revenue

30.3 %

29.1 %

+ 120 bps

Diluted EPS pre-split

$                          8.56

$                          7.78

+ 10 %

Diluted EPS post-split

$                          0.86

$                          0.78

+ 10 %

Non-GAAP

September 2024

June 2024

Change Q/Q

Revenue

$                4,167,976

$                3,871,507

+ 8 %

Gross margin as percentage of revenue

48.2 %

48.5 %

– 30 bps

Operating income as percentage of revenue

30.9 %

30.7 %

+ 20 bps

Diluted EPS pre-split

$                          8.60

$                          8.14

+ 6 %

Diluted EPS post-split

$                          0.86

$                          0.81

+ 6 %

U.S. GAAP Financial Results

For the September 2024 quarter, revenue was $4,168 million, gross margin was $2,003 million, or 48.0% of revenue, operating expenses were $738 million, operating income was 30.3% of revenue, and net income was $1,116 million, or $0.86 per diluted share on a U.S. GAAP basis. This compares to revenue of $3,872 million, gross margin of $1,840 million, or 47.5% of revenue, operating expenses of $714 million, operating income of 29.1% of revenue, and net income of $1,020 million, or $0.78 per diluted share, for the quarter ended June 30, 2024 (the “June 2024 quarter”).

Non-GAAP Financial Results

For the September 2024 quarter, non-GAAP gross margin was $2,009 million, or 48.2% of revenue, non-GAAP operating expenses were $722 million, non-GAAP operating income was 30.9% of revenue, and non-GAAP net income was $1,122 million, or $0.86 per diluted share. This compares to non-GAAP gross margin of $1,876 million, or 48.5% of revenue, non-GAAP operating expenses of $689 million, non-GAAP operating income of 30.7% of revenue, and non-GAAP net income of $1,067 million, or $0.81 per diluted share, for the June 2024 quarter.

“With continued strong execution, Lam delivered financial performance ahead of expectations,” said Tim Archer, Lam Research’s President and Chief Executive Officer. “Looking forward, etch and deposition are fundamental to enabling the next generation of semiconductors. Our investments in key technology inflections position us well to outperform WFE growth in 2025 and beyond.”

Balance Sheet and Cash Flow Results

Cash, cash equivalents, and restricted cash balances increased to $6.1 billion at the end of the September 2024 quarter compared to $5.9 billion at the end of the June 2024 quarter. The increase was primarily the result of cash generated from operating activities, partially offset by cash deployed for capital return activities and capital expenditures during the quarter.

Deferred revenue at the end of the September 2024 quarter increased to $2,047 million compared to $1,552 million as of the end of the June 2024 quarter. Lam’s deferred revenue balance does not include shipments to customers in Japan, to whom control does not transfer until customer acceptance. Shipments to customers in Japan are classified as inventory at cost until the time of acceptance. The estimated future revenue from shipments to customers in Japan was approximately $184 million as of September 29, 2024 and $98 million as of June 30, 2024.

Revenue

The geographic distribution of revenue during the September 2024 quarter is shown in the following table:

Region

Revenue

China

37 %

Korea

18 %

Taiwan

15 %

United States

12 %

Japan

7 %

Southeast Asia

6 %

Europe

5 %

The following table presents revenue disaggregated between system and customer support-related revenue:

Three Months Ended

September 29,
2024

June 30,
2024

September 24,
2023

(In thousands)

Systems revenue

$              2,392,730

$              2,169,885

$              2,056,655

Customer support-related revenue and other

1,775,246

1,701,622

1,425,407

$              4,167,976

$              3,871,507

$              3,482,062

Systems revenue includes sales of new leading-edge equipment in deposition, etch and clean markets.

Customer support-related revenue includes sales of customer service, spares, upgrades, and non-leading-edge equipment from our Reliant® product line.

Outlook

For the quarter ended December 29, 2024, Lam is providing the following guidance: 

U.S. GAAP

Reconciling Items

Non-GAAP

Revenue

$4.30 Billion

+/-

$300 Million

—

$4.30 Billion

+/-

$300 Million

Gross margin as a percentage of revenue

46.9 %

+/-

1 %

$   2.8

Million

47.0 %

+/-

1 %

Operating income as a percentage of revenue

29.9 %

+/-

1 %

$   3.4

Million

30.0 %

+/-

1 %

Net income per diluted share

$0.87

+/-

$0.10

$   3.9

Million

$0.87

+/-

$0.10

Diluted share count

1.29 Billion

—

1.29 Billion

The information provided above is only an estimate of what the Company believes is realizable as of the date of this release and does not incorporate the potential impact of any business combinations, asset acquisitions, divestitures, restructuring, balance sheet valuation adjustments, financing arrangements, other investments, or other significant arrangements that may be completed or realized after the date of this release, except as described below. U.S. GAAP to non-GAAP reconciling items provided include only those items that are known and can be estimated as of the date of this release. Actual results will vary from this model and the variations may be material. Reconciling items included above are as follows:

Gross margin as a percentage of revenue – amortization related to intangible assets acquired through business combinations, $2.8 million.

Operating income as a percentage of revenue – amortization related to intangible assets acquired through business combinations, $3.4 million.

Net income per diluted share – amortization related to intangible assets acquired though business combinations, $3.4 million; amortization of debt discounts, $0.8 million; and associated tax benefit for non-GAAP items ($0.3 million); totaling $3.9 million.

Use of Non-GAAP Financial Results

In addition to U.S. GAAP results, this press release also contains non-GAAP financial results. The Company’s non-GAAP results for both the September 2024 and June 2024 quarters exclude amortization related to intangible assets acquired through business combinations, the effects of elective deferred compensation-related assets and liabilities, amortization of note discounts, and the net income tax effect of non-GAAP items. The June 2024 non-GAAP results also exclude net restructuring charges, and transformational costs.

Management uses non-GAAP gross margin, operating expense, operating income, operating income as a percentage of revenue, net income, and net income per diluted share to evaluate the Company’s operating and financial results. The Company believes the presentation of non-GAAP results is useful to investors for analyzing business trends and comparing performance to prior periods, along with enhancing investors’ ability to view the Company’s results from management’s perspective. Tables presenting reconciliations of non-GAAP results to U.S. GAAP results are included at the end of this press release and on the Company’s website at https://investor.lamresearch.com. 

Caution Regarding Forward-Looking Statements

Statements made in this press release that are not of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relate to, but are not limited to: our outlook and guidance for future financial results, including revenue, gross margin, operating income and net income; our operational execution; the technologies that will enable the next generation of semiconductors; the extent of our investments in product development and the relevance of those investments to key technology inflections; our competitive positioning; wafer fabrication equipment (“WFE”) spending growth; and our positioning and prospects for performance relative to WFE growth. Some factors that may affect these forward-looking statements include: trade regulations, export controls, trade disputes, and other geopolitical tensions may inhibit our ability to sell our products; business, political and/or regulatory conditions in the consumer electronics industry, the semiconductor industry and the overall economy may deteriorate or change; the actions of our customers and competitors may be inconsistent with our expectations; supply chain cost increases and other inflationary pressures have impacted and may continue to impact our profitability; supply chain disruptions or manufacturing capacity constraints may limit our ability to manufacture and sell our products; and natural and human-caused disasters, disease outbreaks, war, terrorism, political or governmental unrest or instability, or other events beyond our control may impact our operations and revenue in affected areas; as well as the other risks and uncertainties that are described in the documents filed or furnished by us with the Securities and Exchange Commission, including specifically the Risk Factors described in our annual report on Form 10-K for the fiscal year ended June 30, 2024. These uncertainties and changes could materially affect the forward-looking statements and cause actual results to vary from expectations in a material way. The Company undertakes no obligation to update the information or statements made in this release.

Lam Research Corporation is a global supplier of innovative wafer fabrication equipment and services to the semiconductor industry. Lam’s equipment and services allow customers to build smaller and better performing devices. In fact, today, nearly every advanced chip is built with Lam technology. We combine superior systems engineering, technology leadership, and a strong values-based culture, with an unwavering commitment to our customers. Lam Research (Nasdaq: LRCX) is a FORTUNE 500® company headquartered in Fremont, Calif., with operations around the globe. Learn more at www.lamresearch.com. (LRCX)

Consolidated Financial Tables Follow.

 

LAM RESEARCH CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data and percentages)

(unaudited) 

Three Months Ended

September 29,
2024

June 30,
2024

September 24,
2023

Revenue

$      4,167,976

$      3,871,507

$      3,482,062

Cost of goods sold

2,165,293

2,026,133

1,819,420

Restructuring charges, net – cost of goods sold

—

5,276

7,940

Total cost of goods sold

2,165,293

2,031,409

1,827,360

Gross margin

2,002,683

1,840,098

1,654,702

Gross margin as a percent of revenue

48.0 %

47.5 %

47.5 %

Research and development

495,358

497,829

422,629

Selling, general and administrative

243,128

216,477

207,023

Restructuring charges, net – operating expenses

—

(768)

2,021

Total operating expenses

738,486

713,538

631,673

Operating income

1,264,197

1,126,560

1,023,029

Operating income as a percent of revenue

30.3 %

29.1 %

29.4 %

Other income (expense), net

30,081

27,796

2,601

Income before income taxes

1,294,278

1,154,356

1,025,630

Income tax expense

(177,834)

(134,074)

(138,232)

Net income

$      1,116,444

$      1,020,282

$         887,398

Pre-split:

Net income per share:

Basic

$                8.59

$                7.81

$                6.69

Diluted

$                8.56

$                7.78

$                6.66

Number of shares used in per share calculations:

Basic

129,924

130,633

132,584

Diluted

130,407

131,112

133,166

Cash dividend declared per common share

$                2.30

$                2.00

$                2.00

Post-split:

Net income per share:

Basic

$                0.86

$                0.78

$                0.67

Diluted

$                0.86

$                0.78

$                0.67

Number of shares used in per share calculations:

Basic

1,299,236

1,306,333

1,325,840

Diluted

1,304,066

1,311,118

1,331,664

Cash dividend declared per common share

$                0.23

$                0.20

$                0.20

 

LAM RESEARCH CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

 

September 29,
2024

June 30,
2024

September 24,
2023

(unaudited)

(1)

(unaudited)

ASSETS

Cash and cash equivalents

$         6,067,471

$         5,847,856

$         5,126,150

Accounts receivable, net

2,937,217

2,519,250

2,810,953

Inventories

4,209,878

4,217,924

4,747,781

Prepaid expenses and other current assets

277,802

298,190

308,678

Total current assets

13,492,368

12,883,220

12,993,562

Property and equipment, net

2,214,269

2,154,518

2,110,511

Goodwill and intangible assets

1,758,344

1,765,073

1,784,000

Other assets

2,067,508

1,941,917

1,650,384

Total assets

$       19,532,489

$       18,744,728

$       18,538,457

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current portion of long-term debt and finance lease obligations

$            504,682

$            504,814

$                 3,861

Other current liabilities

4,837,986

3,833,624

4,243,316

Total current liabilities

5,342,668

4,338,438

4,247,177

Long-term debt and finance lease obligations

4,479,087

4,478,520

4,980,460

Income taxes payable

664,717

813,304

780,511

Other long-term liabilities

574,126

575,012

482,979

Total liabilities

11,060,598

10,205,274

10,491,127

Stockholders’ equity (2)

8,471,891

8,539,454

8,047,330

Total liabilities and stockholders’ equity

$       19,532,489

$       18,744,728

$       18,538,457

(1)

Derived from audited financial statements.

(2)

Common shares issued and outstanding were 1,291,958 as of September 29, 2024, 1,303,769 as of June 30, 2024, and 1,320,721 as of September 24, 2023.

 

LAM RESEARCH CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands, unaudited)

Three Months Ended

September 29,
2024

June 30,
2024

September 24,
2023

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income

$            1,116,444

$            1,020,282

$               887,398

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

94,295

88,357

90,479

Deferred income taxes

(108,722)

(61,375)

(24,238)

Equity-based compensation expense

80,011

79,092

67,211

Other, net

(457)

(3,999)

(150)

Changes in operating assets and liabilities

386,900

(259,927)

(69,537)

Net cash provided by operating activities

1,568,471

862,430

951,163

CASH FLOWS FROM INVESTING ACTIVITIES:

Capital expenditures and intangible assets

(110,588)

(100,748)

(76,992)

Net maturities and sales of available-for-sale securities

—

—

7,275

Other, net

37

(865)

(4,966)

Net cash used for investing activities

(110,551)

(101,613)

(74,683)

CASH FLOWS FROM FINANCING ACTIVITIES:

Principal payments on debt, including finance lease obligations

(934)

(949)

(253,109)

Treasury stock purchases

(997,035)

(373,550)

(843,238)

Dividends paid

(260,985)

(261,462)

(230,332)

Reissuance of treasury stock related to employee stock purchase plan

—

66,885

—

Proceeds from issuance of common stock, net issuance costs

(43)

2,796

2,818

Other, net

(324)

(7,871)

(2,151)

Net cash used for financing activities

(1,259,321)

(574,151)

(1,326,012)

Effect of exchange rate changes on cash, cash equivalents, and restricted cash

22,682

(9,616)

(11,031)

Net change in cash, cash equivalents, and restricted cash

221,281

177,050

(460,563)

Cash, cash equivalents, and restricted cash at beginning of period (1)

5,850,803

5,673,753

5,587,372

Cash, cash equivalents, and restricted cash at end of period (1)

$            6,072,084

$            5,850,803

$            5,126,809

(1)

Restricted cash is reported within Other assets in the Condensed Consolidated Balance Sheets

 

Non-GAAP Financial Summary

(in thousands, except percentages and per share data)

(unaudited)

Three Months Ended

September 29,
2024

June 30,
2024

Revenue

$        4,167,976

$        3,871,507

Gross margin

$        2,009,022

$        1,876,345

Gross margin as percentage of revenue

48.2 %

48.5 %

Operating expenses

$           722,148

$           689,133

Operating income

$        1,286,874

$        1,187,212

Operating income as a percentage of revenue

30.9 %

30.7 %

Net income

$        1,121,507

$        1,066,890

Pre-split:

Net income per diluted share

$                 8.60

$                 8.14

Shares used in per share calculation – diluted

130,407

131,112

Post-split:

Net income per diluted share

$                 0.86

$                 0.81

Shares used in per share calculation – diluted

1,304,066

1,311,118

 

Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income

(in thousands, except per share data)

(unaudited) 

 

Three Months Ended

September 29,
2024

June 30,
2024

U.S. GAAP net income

$           1,116,444

$           1,020,282

Pre-tax non-GAAP items:

Amortization related to intangible assets acquired through certain business combinations – cost of goods sold

3,076

3,076

Elective deferred compensation (“EDC”) related liability valuation increase – cost of goods sold

3,263

2,488

Restructuring charges, net – cost of goods sold

—

5,276

Transformational costs – cost of goods sold

—

25,407

EDC related liability valuation increase – research and development

8,136

4,479

Transformational costs – Research and development

—

8,469

Amortization related to intangible assets acquired through certain business combinations – selling, general and administrative

692

770

EDC related liability valuation increase – selling, general and administrative

7,510

2,986

Transformational costs – selling, general and administrative

—

8,469

Restructuring charges, net – operating expenses

—

(768)

Amortization of note discounts – other income (expense), net

765

759

Gain on EDC related asset – other income (expense), net

(17,420)

(9,643)

Net income tax benefit on non-GAAP items

(959)

(5,160)

Non-GAAP net income

$           1,121,507

$           1,066,890

Pre-split

Non-GAAP net income per diluted share

$                    8.60

$                    8.14

U.S. GAAP net income per diluted share

$                    8.56

$                    7.78

U.S. GAAP and non-GAAP number of shares used for per diluted share calculation

130,407

131,112

Post-split

Non-GAAP net income per diluted share

$                    0.86

$                    0.81

U.S. GAAP net income per diluted share

$                    0.86

$                    0.78

U.S. GAAP and non-GAAP number of shares used for per diluted share calculation

1,304,066

1,311,118

 

Reconciliation of U.S. GAAP Gross Margin, Operating Expenses and Operating Income to Non-GAAP Gross Margin, Operating Expenses and Operating Income

(in thousands, except percentages)

(unaudited) 

Three Months Ended

September 29,
2024

June 30,
2024

U.S. GAAP gross margin

$        2,002,683

$        1,840,098

Pre-tax non-GAAP items:

Amortization related to intangible assets acquired through certain business combinations

3,076

3,076

EDC related liability valuation increase

3,263

2,488

Restructuring charges, net

—

5,276

Transformational costs

—

25,407

Non-GAAP gross margin

$        2,009,022

$        1,876,345

U.S. GAAP gross margin as a percentage of revenue

48.0 %

47.5 %

Non-GAAP gross margin as a percentage of revenue

48.2 %

48.5 %

U.S. GAAP operating expenses

$           738,486

$           713,538

Pre-tax non-GAAP items:

Amortization related to intangible assets acquired through certain business combinations

(692)

(770)

EDC related liability valuation increase

(15,646)

(7,465)

Restructuring charges, net

—

768

Transformational costs

—

(16,938)

Non-GAAP operating expenses

$           722,148

$           689,133

U.S. GAAP operating income

$        1,264,197

$        1,126,560

Non-GAAP operating income

$        1,286,874

$        1,187,212

U.S. GAAP operating income as percent of revenue

30.3 %

29.1 %

Non-GAAP operating income as a percent of revenue

30.9 %

30.7 %

 

Lam Research Corporation Contacts:
Ram Ganesh, Investor Relations, phone: 510-572-1615, e-mail: investor.relations@lamresearch.com 

 

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SOURCE Lam Research Corporation

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Technology

SK hynix Announces 3Q24 Financial Results

Published

57 mins ago

on

October 23, 2024

By

Revenues at 17.5731 trillion won, operating profit at 7.03 trillion won, net profit at 5.7534 trillion won – all reaching new recordsAchieving best-ever quarterly performance with increasing high value-added product sales based on no.1 AI Memory technologyStrong demand of memory for AI servers – HBM’s share of DRAM revenues in Q3 marks 30% and forecast to be 40% in Q4Company to lead the global AI memory market again next year promoting long-term growth by securing both business stability and profitability

SEOUL, South Korea, Oct. 23, 2024 /PRNewswire/ — SK hynix Inc. (or “the company”, www.skhynix.com) announced today that it recorded 17.5731 trillion won in revenues, 7.03 trillion won in operating profit (with an operating margin of 40%), and 5.7534 trillion won in net profit (with a net margin of 33%) in the third quarter this year.

Quarter revenues marked all-time high, exceeding the previous record of 16.4233 trillion won in the second quarter of this year by more than 1 trillion won. Operating profit and net profit also far exceeded the record of 6.4724 trillion won and 4.6922 trillion won in the third quarter of 2018 during the semiconductor super boom.

SK hynix emphasized that the demand for AI memory continued to be strong centered on data center customers, and the company marked its highest revenue since its foundation by expanding sales of premium products such as HBM and eSSD. In particular, HBM sales showed excellent growth, up more than 70% from the previous quarter and more than 330% from the same period last year.

As sales increased mainly on highly profitable premium products, the average selling price (ASP) of both DRAM and NAND rose in the mid 10% range compared to the previous quarter, which made the company mark the highest operating profit.

While the demand of memory for AI servers such as HBM and eSSD has grown noticeably this year, the company predicts that this trend will continue next year. This is because generative AI is developing into a multi-modal1 form and global big tech companies continue to invest to develop artificial general intelligence (AGI)2.

1Multi-modal: AI service that can understand multiple complex information such as text, photos, voice, video, etc.

2Artificial General Intelligence: Artificial intelligence that implements human-like or higher intelligence with a computer

SK hynix also forecasts that the PC and mobile product markets, which had been slow to recover demand compared to memory for AI servers, will be on a steady growth path as well next year as AI memories optimized for each device are released.

As a result, the company will continue to focus on profitability by increasing sales centered on high value-added products based on its world-leading technology in AI memory.

In the DRAM area, SK hynix is continuing the rapid transition from existing HBM3 to HBM3E 8-layer products. The company also plans to start supplying 12-layer HBM3E products, which were mass-produced last month, in the fourth quarter as scheduled. This makes HBM sales, which accounted for 30% of total DRAM revenues in the third quarter, expected to reach 40% in the fourth quarter.

For NAND, the company plans to expand sales of high-capacity eSSD, which is rapidly increasing market demand, while focusing on investment efficiency and production optimization.

“SK hynix has solidified its position as the world’s No.1 AI memory company by achieving the highest business performance ever in the third quarter of this year.” said Kim Woohyun, Vice President and Chief Financial Officer (CFO) at SK hynix. “We will continue to maximize profitability while securing stable revenues by taking flexible product and supply strategies in line with market demand.”

 3Q24 Financial Results (K-IFRS)

*Unit: Billion KRW

3Q24

QoQ

YoY

2Q24

Change

3Q23

Change

Revenues

17,573.1

16,423.3

7 %

9,066.2

94 %

Operating
Profit

7,030

5,468.5

29 %

-1,792

Turn to profit

Operating
Margin

40 %

33 %

7%p

-20 %

60%p

Net Income

5,753.4

4,120

40 %

-2,184.7

Turn to profit

Financial information of the earnings is based on K-IFRSPlease note that the financial results discussed herein are preliminary and speak only as of October 24, 2024. Readers should not assume that this information remains operative at a later time.

About SK hynix Inc.

SK hynix Inc., headquartered in Korea, is the world’s top tier semiconductor supplier offering Dynamic Random Access Memory chips (“DRAM”), flash memory chips (“NAND flash”) and CMOS Image Sensors (“CIS”) for a wide range of distinguished customers globally. The Company’s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com.

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The Wedding Services market is projected to grow by USD 125 Billion from 2024-2028, driven by increased wedding spending and AI’s impact on market trends – Technavio

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2 hours ago

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October 23, 2024

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NEW YORK, Oct. 23, 2024 /PRNewswire/ — Report on how AI is redefining market landscape – The Global Wedding Services Market size is estimated to grow by USD 125 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of 5.44% during the forecast period. Increased spending on weddings is driving market growth, with a trend towards increase in smartphone momentum. However, threat from open-source event wedding management software poses a challenge – Key market players include 7x Weddings Pvt. Ltd., A Charming Fete, Augusta Wedding Planning, Bridal Bliss Inc., Colin Cowie Lifestyle, David Stark Design, Deer Creek Valley Ranch Management LLC, EVENTURES, Fallon carter, Joy Inc., JZ Events, Lindsay Landman Events, Marry Me Wedding Planners Private Ltd., Nordic Adventure, Panache Events Pvt Ltd., Shaadi Squad, SK Jaipur Decoration, Tamarind, VIP Hosting, WeddingSutra.com India Pvt. Ltd, Zola Inc., and Zzeeh Events and Weddings.

Key insights into market evolution with AI-powered analysis. Explore trends, segmentation, and growth drivers- View the snapshot of this report

Wedding Services Market Scope

Report Coverage

Details

Base year

2023

Historic period

2018 – 2022

Forecast period

2024-2028

Growth momentum & CAGR

Accelerate at a CAGR of 5.44%

Market growth 2024-2028

USD 125 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

4.9

Regional analysis

APAC, North America, Europe, South America, and Middle East and Africa

Performing market contribution

APAC at 37%

Key countries

US, China, India, Canada, and UK

Key companies profiled

7x Weddings Pvt. Ltd., A Charming Fete, Augusta Wedding Planning, Bridal Bliss Inc., Colin Cowie Lifestyle, David Stark Design, Deer Creek Valley Ranch Management LLC, EVENTURES, Fallon carter, Joy Inc., JZ Events, Lindsay Landman Events, Marry Me Wedding Planners Private Ltd., Nordic Adventure, Panache Events Pvt Ltd., Shaadi Squad, SK Jaipur Decoration, Tamarind Global , VIP Hosting, WeddingSutra.com India Pvt. Ltd, Zola Inc., and Zzeeh Events and Weddings

Market Driver

The proliferation of smartphones and faster Internet speeds, facilitated by technologies like 4G, has significantly influenced how wedding services companies engage with their clients and employees. Social networking sites such as Twitter, LinkedIn, and Facebook have become essential tools for communication and networking in the industry. Wedding vendors develop mobile applications for iOS and Android devices to expand their market reach and remain competitive. Innovative smartphone features, like push notifications and emails, enable wedding service providers to promote new services and discounts to consumers, thereby increasing market awareness. These trends are expected to positively impact the global wedding services market throughout the forecast period. 

The Wedding Services Market is thriving with trends that prioritize personalized celebrations and specialized services. Event planning companies offer customized experiences, from high-end venues and curated entertainment to sustainable options. Marriage rates continue to rise, with an increase in same-sex marriages and millennials seeking unique experiences. Wedding planners use digital platforms for offline bookings and social media influence for Instagram-worthy moments. Specialized services include customized catering, wedding stationery, and floral arrangements. Vendor management, budget tracking, and culinary experiences are essential planning duties. Economic stability and cultural traditions are key factors in brand differentiation. Wedding ambassadors help create memorable experiences, while wedding planning tools simplify the process. Trends include personalized experiences, sustainable options, and destination weddings. Staffing challenges and quality control are ongoing concerns. Customization and wedding trends continue to shape the industry, with an emphasis on creating unforgettable moments for couples. 

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Market Challenges

The global wedding services market faces significant competition from open-source wedding management software vendors, such as eventplanner.net, WeddingWire, and Loverly. For instance, Loverly is a DIY event planning platform offering a free wedding planning checklist and guest list manager. These open-source solutions provide innovative technologies, which can serve as alternatives to commercial wedding services. Their availability on various platforms and zero purchasing cost makes them attractive to individuals planning high-ticket events. Consequently, open-source wedding management software is reducing the market share of proprietary wedding service vendors, posing a threat to the industry during the forecast period.The Wedding Services Market faces several challenges in today’s dynamic business environment. Customized weddings and unique experiences are in high demand among millennial couples, requiring wedding planners to offer flexible planning duties. Destination weddings and local weddings present logistical challenges, especially with economic stability and budget constraints. Social media influence drives the need for customization and quality control, while wedding trends and cultural traditions require brand differentiation. Staffing challenges arise from the need for skilled professionals in photography, catering, event decoration, transportation services, and wedding planning. Economic downturns and marriageable age variations impact booking patterns, with online and offline booking options essential for reaching a wider audience. Virtual weddings and wedding postponements add complexity to the planning process. Investment opportunities exist in full planning services, partial planning services, day of coordination, videography, and photography services. Developing strategies to address these challenges and capitalize on trends, such as second marriages and cultural shifts, can help businesses thrive in the competitive wedding services market.

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Segment Overview 

This wedding services market report extensively covers market segmentation by

Service 1.1 Catering service1.2 Gift service1.3 Decoration1.4 Event planning1.5 OthersType 2.1 Local wedding2.2 Destination weddingGeography 3.1 APAC3.2 North America3.3 Europe3.4 South America3.5 Middle East and Africa

1.1 Catering service- Catering services play a significant role in weddings, extending beyond meal preparation and service. Comprehensive caterers manage decoration and ambiance, table settings, and food presentation. They also consider dietary restrictions and food allergies among guests, as well as wedding themes. Alcoholic and non-alcoholic beverages are standard inclusions. The increasing popularity of catering services for weddings fuels market growth. Contract catering agreements, such as cost-plus, cost-plus guarantee, and fixed cost per head, offer accountability, convenience, and regulatory compliance. Therefore, catering services are a crucial wedding component, ensuring a successful event.

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Research Analysis

The wedding services market is experiencing a demand due to the increasing number of millennial couples seeking customised and unique experiences for their big day. With economic stability on the rise, more couples are opting for destination weddings, both local and international, to create unforgettable memories. Customization is key, from personalised planning duties to bespoke catering services and photography. Social media influence plays a significant role in shaping wedding trends, with couples seeking inspiration and ideas from various platforms. However, staffing challenges and quality control can pose challenges for wedding planners. Brand differentiation is crucial in a competitive market, with cultural traditions and local weddings offering unique selling points. The average wedding cost continues to rise, leading to the popularity of partial planning services and virtual weddings. Wedding planning postponements due to unforeseen circumstances have become common, leading to increased booking and planning flexibility. Despite these challenges, the wedding services market remains a thriving industry, offering endless opportunities for creativity and innovation.

Market Research Overview

The wedding services market is experiencing a demand as millennial couples seek customised and unique experiences for their special day. From destination weddings to local weddings, the trend towards personalised celebrations continues to shape the industry. Economic stability and social media influence are key factors driving growth, with couples looking for high-quality services and brand differentiation. Wedding planning duties have become increasingly complex, with couples requiring full planning services, partial planning services, day of coordination, and vendor management. Quality control, staffing challenges, and budget constraints are major concerns for wedding service providers. Cultural traditions and same-sex marriages are also influencing the market, with specialized services and personalized celebrations becoming increasingly popular. Developmental strategies and investment opportunities abound, with economic downturns and marriage rate trends impacting the industry. Wedding planning tools, such as online booking platforms and digital platforms, are transforming the way couples plan their weddings. Virtual weddings and wedding postponements have also become common due to the pandemic. Catering services, photography, videography, event decoration, transportation services, and wedding planning services are all essential components of a successful wedding. Custom menus, floral arrangements, wedding stationery, curated entertainment, and sustainable options are some of the trends shaping the market. High-end venues and culinary experiences continue to be popular, with an emphasis on creating Instagram-worthy moments and personalised experiences for couples and their guests.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

ServiceCatering ServiceGift ServiceDecorationEvent PlanningOthersTypeLocal WeddingDestination WeddingGeographyAPACNorth AmericaEuropeSouth AmericaMiddle East And Africa

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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SOURCE Technavio

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Technology

AI Commerce Inc. Announces 2024 Sushi Hackathon in Silicon Valley Featuring Generative AI Innovation

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2 hours ago

on

October 23, 2024

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Key Takeaways:

Top talent from Stanford, UC Berkeley, and GAFAM come together to drive transformative innovation in business through generative AI. Audrey Tang, Taiwan’s Digital Minister, will deliver the keynote address. Winners will receive $30,000, a sushi experience by renowned Japanese chef, and a study trip to Japan.

SILICON VALLEY, Calif., Oct. 23, 2024 /PRNewswire/ — AI Commerce Inc. (Headquarters: Palo Alto, CA; CEO: Jun Horata) has announced the 2024 Sushi Hackathon, to be held in Silicon Valley on November 3rd. This event will gather top talent to showcase cutting-edge AI-driven solutions using generative AI, designed to improve productivity and tackle complex business challenges across various industries.

Global Talent to Compete in Generative AI Innovation
The Sushi Hackathon will feature student teams from Stanford University, UC Berkeley, and others, along with junior engineers from global leaders like Google, Meta, and Amazon. With only 20 slots, over 280 teams have applied, demonstrating strong interest in the intersection of AI and business. Participants will collaborate in a highly competitive setting to revolutionize business efficiency and showcase the potential of AI technology.

Audrey Tang to Share Insights on the Future of AI and Society
A key highlight of the Sushi Hackathon will be a keynote address by Audrey Tang, Taiwan’s digital policy leader, renowned for her expertise in programming and policy, which has made her a prominent figure in AI and digital innovation. Tang’s speech will delve into how AI technology can transform societies and shape the future, inspiring to both participants and attendees.

Winners to Be Rewarded with an Exclusive Sushi Experience
In addition to prize money and the prestige of winning, the Sushi Hackathon’s top team will be treated to a once-in-a-lifetime sushi dinner crafted by Chef Yuichi Arai, flown in from Japan for this special occasion. This unique reward aims to celebrate the team’s AI innovation while offering them a memorable, creative culinary journey.

About AI Commerce inc.
AI Commerce Inc. is a U.S.-based retail DX and e-commerce platform with a global presence. Leveraging generative AI, the company delivers cutting-edge omnichannel solutions by integrating Silicon Valley’s technology, Japan’s production expertise, and India’s system development strengths. The company leads transformative innovation in brand e-commerce, reshaping profit models and driving economic growth across Southeast Asia, India, and beyond.

Media Contact:

Denise Styerwalt
Trier and Company
denise@triercompany.com
408-406-9726

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