GlobalFoundries Inc (GFS)
NASDAQ:GFS
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Earnings Data
Report Date
Aug 11, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.43Last Year’s EPS
0.42Same Quarter Last Year
Moderate Buy
Based on 15 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlights strong operational execution and profitability improvements, driven by higher-margin end-market mix (communications/data center, automotive), record gross margin expansion (+510 bps YoY), robust cash generation and accelerating design-win momentum (50% YoY increase). Strategic progress in silicon photonics and SiGe (capacity oversubscription into 2027), M&A (MIPS closed, Synopsys ARC pending) and large customer partnerships reinforce a positive multi-year growth and margin story. Offsetting this are near-term cyclical pressures: sequential revenue decline (-11% Q1), softness in smart mobile (-15% seq) and IoT (-22% YoY) alongside expected working-capital normalization, higher Q2 CapEx, and incremental supply-chain costs tied to geopolitical risks (~0.5 pt margin headwind per quarter). Overall, positives around margin expansion, secular growth in high-value corridors, strong balance sheet and clear strategic momentum materially outweigh the manageable short-term headwinds.Company Guidance
Revenue and Shipments
Q1 revenue of $1.634B (down 11% sequentially, up 3.1% YoY); shipped ~579 300-mm equivalent wafers (down 6% sequentially, up 7% YoY).
Record Gross Margin Expansion
Non-IFRS gross profit $474M representing a 29.0% gross margin, up ~510 basis points year-over-year — the largest YoY expansion in over 3 years and above the high end of guidance.
Operating Profit and EPS
Operating profit $271M with operating margin 16.6% (up ~320 bps YoY). Net income ~ $227M (+$38M YoY). Diluted EPS $0.40 at the high end of guidance.
Strong Cash Generation and Balance Sheet
Cash flow from operations $542M; adjusted free cash flow $233M (14% margin in Q1). Cash, cash equivalents and marketable securities ~$3.8B; total debt $1.1B; $1B undrawn revolver.
Capital Returns
Repurchased $400M of shares under $500M buyback authorization in Q1; ~$100M authorization remains.
Communications Infrastructure & Data Center Momentum
CID revenue ~14% of total, up 2% sequentially and 32% YoY (sixth consecutive quarter of double-digit YoY growth). Company expects high-30s% YoY growth in CID for 2026 and forecasts silicon photonics to roughly double in 2026 with >$1B run-rate exiting 2028.
Design Wins and Customer Partnerships
50% increase in design wins YoY across all four end markets; notable strategic partnerships and transactions including a multibillion-dollar collaboration with Renesas, AMF acquisition integration (photonic capabilities), Apple collaboration for U.S. fab, and partnerships (Siltech, Corning, EXFO) showcased at OFC.
SiGe and Silicon Photonics Capacity Demand
SiGe capacity at Vermont fab reported as oversubscribed well into 2027; company is expanding SiGe capacity and targeting accretive long-term revenue from SiGe and photonics.
Strategic M&A and Business Model Evolution
Closed MIPS acquisition (Aug 2025); Synopsys ARC IP acquisition expected to close by end of H1 2026. Company redefined revenue categories to 'manufacturing services' (87% of Q1 revenue) and 'technology services' (13% of Q1 revenue) expecting Technology Services to trend toward the high end of 10–12% in 2026.
Q2 and Full-Year Guidance Highlights
Q2 revenue guidance $1.76B ±$25M; Q2 gross margin ~28.5% ±100 bps (midpoint implies >300 bps YoY expansion). Full-year 2026 net CapEx expected 15–20% of revenue; adjusted free cash flow margin expected ~10% for 2026 with second-half skew.
GFS Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
GFS Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 11, 2026 | $41.90 | $48.74 | +16.32% |
Nov 12, 2025 | $34.81 | $34.17 | -1.84% |
Aug 05, 2025 | $36.18 | $32.80 | -9.34% |
May 06, 2025 | $35.88 | $34.91 | -2.70% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does GlobalFoundries Inc (GFS) report earnings?
GlobalFoundries Inc (GFS) is schdueled to report earning on Aug 11, 2026, After Close (Confirmed).
What is GlobalFoundries Inc (GFS) earnings time?
GlobalFoundries Inc (GFS) earnings time is at Aug 11, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is GFS EPS forecast?
GFS EPS forecast for the fiscal quarter 2026 (Q2) is 0.43.
