Companies /Technology

Teradyne Inc

NASDAQ: TER Semiconductor Equipment & Materials
$363.22
▼ $3.21 (−0.88%) today
Markets open · 2:34pm ET

Q2 2026 Earnings

Reported Jul 29, 2026, 6:00am ET · SEC source
$2.47
Beat +21.08%
EPS · est. $2.05
$1.3B
Beat +8.63%
Revenue · est. $1.2B
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−10%−5%0+5%Jul 29Jul 30report 6:00am ETearnings−0.6%+3.9%
−10%−5%0+5%Jul 29Jul 30earnings−0.6%+3.9%
TER +3.9%S&P 500 −0.6%
−10%−5%0+5%Jul 29Jul 30report 6:00am ETearnings+0.5%+3.9%
−10%−5%0+5%Jul 29Jul 30earnings+0.5%+3.9%
TER +3.9%NASDAQ +0.5%
−9%0+9%+18%Jul 28Aug 6report 6:00am ETearnings+3.9%+13.1%
−9%0+9%+18%Jul 28Aug 6earnings+3.9%+13.1%
TER +13.1%S&P 500 +3.9%
−9%0+9%+18%Jul 28Aug 6report 6:00am ETearnings+5.6%+13.1%
−9%0+9%+18%Jul 28Aug 6earnings+5.6%+13.1%
TER +13.1%NASDAQ +5.6%
+14.43%
Day of report
+0.60%
Next session
+5.31%
One week

Did TER Beat Earnings? Q2 2026 Results

Teradyne delivered a blowout second quarter, posting adjusted EPS of $2.47 against a consensus estimate of $2.04, a beat of 21.08% that extended the company's streak of topping consensus EPS estimates to five consecutive quarters. Revenue of $1.33 billion surged 103.9% year over year, with the Semiconductor Test segment serving as the overwhelming engine of that growth, generating $1.12 billion on its own as record Memory test demand, fueled by DRAM strength and a rebound in NAND final test activity, drove volumes well above expectations. Gross margins expanded to 59.8% from 57.2% a year ago, reflecting the operating leverage that comes with a revenue base that has effectively doubled. Shares jumped roughly 13% following the report as investors responded to both the results and a forward outlook that held up: Q3 2026 guidance calls for revenue of $1.20 billion to $1.30 billion and non-GAAP EPS of $1.85 to $2.15, with CEO Greg Smith citing robust AI-related demand and accelerating wafer fab equipment investment as underpinnings for continued growth into 2027.

Key Takeaways
  • Record Memory revenue driven by continued DRAM strength and NAND final test resurgence
  • AI-related demand driving semiconductor test equipment growth
  • Year-on-year market expansion across all three business groups
  • Revenue up 104% and earnings up over 300% year-over-year

“Our strategy to capture test and robotics opportunities from wafer to AI data center has driven another record quarter. This strength became evident in the year-on-year market expansion for all three of our business groups. In the short term, our Q3 guidance reflects robust AI-related demand. Looking further ahead, rapid increase in wafer fab equipment investment sets the stage for continued growth in 2027 and beyond.”

Teradyne CEO, on the earnings call

Forward Guidance & Outlook

Q3 2026 guidance calls for revenue of $1,200 million to $1,300 million, GAAP EPS of $1.79 to $2.09, and non-GAAP EPS of $1.85 to $2.15. CEO Greg Smith noted robust AI-related demand underpinning near-term results, while rapid increases in wafer fab equipment investment set the stage for continued growth in 2027 and beyond.

TER YoY Financials

Q2 2026 vs Q2 2025 · SEC filings Q2 2025 Q2 2026
$0$400.0M$800.0M$1.2B$651.8M$1.3BRevenue$373.0M$794.6MGross Profit$90.7M$437.8MOperating Income$78.4M$374.5MNet Income
$0$400.0M$800.0M$1.2BRevenueGross ProfitOperating IncomeNet Income

TER Revenue by Segment

Semiconductor Test$1.1B+128.0%
Product Test$107.0M+25.9%
Robotics$100.0M+33.3%

Figures from SEC filings and company reports. Not investment advice.