Teradyne Inc
Q1 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +5.69%.
Did TER Beat Earnings? Q1 2026 Results
Teradyne delivered a blowout first quarter for fiscal 2026, posting non-GAAP EPS of $2.56 and revenue of $1.28 billion, beating consensus estimates of $2.11 and $1.21 billion by 21.15% and 5.56% respectively, extending the company's streak of consensus EPS beats to four consecutive quarters. Revenue surged 87% year-over-year, driven overwhelmingly by AI-related demand, which accounted for roughly 70% of total sales, with Semiconductor Test alone generating $1.11 billion of the quarter's total. The AI-fueled volume drove dramatic operating leverage, with non-GAAP operating margin expanding to 37.5% from 20.5% in the year-ago period. <a href="https://247wallst.com/investing/2026/04/28/live-will-teradyne-stock-rally-after-q1-earnings-tonight/">Investors watching the print closely</a> will note that CEO Greg Smith credited the company's wafer to AI data center strategy for the outperformance, and while Q2 2026 guidance of $1.15 billion to $1.25 billion in revenue and non-GAAP EPS of $1.86 to $2.15 implies a sequential step-down, management expressed confidence in continued robust AI-driven momentum across all business groups.
- Approximately 70% of revenue tied to AI-related demand
- Strength in wafer to AI data center strategy driving record results
- Strong year-over-year growth across all business groups — Semiconductor Test, Product Test, and Robotics
- AI-related demand strength across compute segments and memory
“Our Q1 results reached a new record high. With approximately 70% of our revenue tied to AI-related demand, our results reflect the strength of our wafer to AI data center strategy. All of our business groups - Semiconductor Test, Product Test, and Robotics - delivered strong year-over-year growth which we expect to continue with robust AI driven momentum as the catalyst.”
Teradyne CEO, on the earnings call
Forward Guidance & Outlook
Q2 2026 guidance calls for revenue of $1,150 million to $1,250 million, GAAP EPS of $1.83 to $2.12, and non-GAAP EPS of $1.86 to $2.15. Management expects continued robust AI-driven momentum across all business groups, with the company's wafer to AI data center strategy as the key catalyst for sustained growth.
TER YoY Financials
TER Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.