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Tower Semiconductor (TSEM)
NASDAQ:TSEM
Earnings Data
Report Date
May 20, 2026TBA (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.57Last Year’s EPS
0.45Same Quarter Last Year
Moderate Buy
Based on 6 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlighted strong top-line and bottom-line momentum driven by rapid silicon photonics and silicon germanium growth, meaningful margin expansion in Q4, a well-capitalized balance sheet, and a funded $920M CapEx plan with most new SiPho capacity pre-reserved. Offsetting risks include declines in some legacy segments, contractual uncertainty with Intel Fab 11X, reliance on timely tool/fab qualifications (supplier/startup risk), and external market risks such as memory supply; however, management emphasized customer commitments, high reservation levels, and a clear ramp plan. Overall, the positives—strong current results, dominant SiPho position, funded capacity build-out and an ambitious but well-articulated long-term model—materially outweigh the operational and market execution risks discussed on the call.Company Guidance
Strong Q4 and Full-Year Revenue Growth
Q4 2025 revenue $440M, +11% quarter-over-quarter and +14% year-over-year; FY2025 revenue ~$1.57B, +9% vs 2024.
Significant Profitability Improvement
Q4 2025 net profit $80M (18% net margin), up 49% sequentially from $54M; Q4 gross profit $118M (+26% QoQ) and operating profit $71M (+40% QoQ). FY2025 net profit $220M and EPS $1.97 (basic).
Silicon Photonics (SiPho) Rapid Expansion
SiPho revenue $228M in 2025 (up from $106M in 2024, ~+115% YoY); Q4 SiPho $95M (implied $380M annual run rate); company targeting >5x SiPho capacity vs Q4 monthly wafer shipments and reports >70% of new SiPho capacity reserved or being reserved through 2028 (many with customer prepayment).
Silicon Germanium (SiGe) and RF Infrastructure Growth
Combined SiGe + SiPho represented ~$421M (27% of corporate revenue) in 2025; SiGe grew ~43% YoY. RF infrastructure revenue increased 75% YoY and accounted for 32% of Q4 revenue.
Aggressive, Funded Capacity Build-Out (CapEx)
Announced incremental $270M CapEx on top of prior $650M for a total $920M investment (28% already paid) to expand 8-inch and 12-inch fabs for SiPho/SiGe; management expects tool qualification and customer starts through 2026 with full model target by 2028.
Improved Utilization Across Key Fabs
Reported utilization: Fab3 ~85% (model level), Fab7 fully utilized (>85%), Fab5 75%, Fab9 65%, Fab2 ~60% as SiGe/SiPho qualification continues—multiple fabs already running SiGe/SiPho flows.
Updated Financial Target Model
New target model: $2.84B revenue, ~39–40% gross margin, 31.7% operating margin, $750M net profit (26.4% net margin) targeted to be achieved by calendar 2028 (model excludes Intel Fab 11X).
Strong Balance Sheet and Liquidity
Total assets >$3B, fixed assets ~$1.5B, current assets ~$1.7B, shareholders' equity ~$2.9B, and strong current asset ratio (~6.5x); $105M lease prepayment for Newport Beach recorded as asset.
TSEM 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
TSEM Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 11, 2026 | $136.57 | $134.44 | -1.56% |
Nov 10, 2025 | $84.07 | $98.10 | +16.69% |
Aug 04, 2025 | $44.67 | $50.98 | +14.13% |
May 14, 2025 | $40.09 | $42.14 | +5.11% |
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 Tower Semiconductor (TSEM) report earnings?
Tower Semiconductor (TSEM) is schdueled to report earning on May 20, 2026, TBA (Confirmed).
What is Tower Semiconductor (TSEM) earnings time?
Tower Semiconductor (TSEM) earnings time is at May 20, 2026, TBA (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 TSEM EPS forecast?
TSEM EPS forecast for the fiscal quarter 2026 (Q1) is 0.57.
