Applied Materials names new CEO; revenue skids 16%

A technician at Applied Materials.
David Paul Morris | Bloomberg | Getty Images
A technician at Applied Materials.

Applied Materials named Gary Dickerson as its new president and CEO.

Dickerson succeeds Michael Splinter who has served as the company's CEO since 2003 and will take on the role of executive chairman of the board, effective Sept. 1.

Shares of the company fell in extended trading. What's the stock doing now? Click here for the latest after-hours quote.

The chip-equipment maker also announced its earnings and revenue fell in the third quarter amid a drop in demand.

Net income fell to $168 million, or 14 cents per share, from $218 million, or 17 cents per share, a year earlier.

Excluding items, the company earned 18 cents per share. Revenue fell 16 percent to $1.98 billion in the quarter ended July 28.

Analysts had expected the company to report earnings excluding items of 19 cents a share on $2.06 billion in revenue, according to a consensus estimate from Thomson Reuters.

Applied Materials supplies to companies including Samsung Electronics and Taiwan Semiconductor Manufacturing.