Slide 1: Financial Results for Q3 2025
Financial Results for Q3 2025 October 29, 2025
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements including statements regarding Teradyne’s future business prospects, financial performance or position and results of operations. You can identify forward -looking statements by their use of forward-looking words such as “anticipate,”
Slide 3: Business Update and Outlook
Business Update and Outlook Greg Smith, President and CEO 3
Slide 4: Q3'25 Summary
Q3’25 Summary Sales of $769M | Non-GAAP Gross Margin(1) of 58.5% | Non-GAAP EPS(1) of $0.85 Q3’25 Range: $710M - $770M Q3’25 Range: 56.5% - 57.5% Q3’25 Range: $0.69 - $0.87 Quarterly Revenue ($M) Non-GAAP Gross Margin % (1) Non-GAAP EPS (1) $1,000M 65.0% $1.40 $800M 60.0% $1.20 $1.00 $600M 55.0% $0.
Slide 5: Q3'25 Summary and Q4'25 Outlook
Q3’25 Summary and Q4’25 Outlook Q3’25 Summary Q4’25 Outlook Revenue of $769M at high-point of guidance; Non- Revenue between $920M - $1,000M; Non-GAAP EPS GAAP EPS of $0.85 near high-point of guidance range from $1.20 - $1.46 • Third quarter revenue up 18% and Non-GAAP EPS up • Fourth quarter revenu
Slide 6: Third Quarter 2025 Financial Results and Fourth Quarter 2025 Guidance
Third Quarter 2025 Financial Results and Fourth Quarter 2025 Guidance Sanjay Mehta, Vice President and Chief Financial Officer 6
Slide 7: Q3'25 Non-GAAP Results
Q3’25 Non-GAAP Results $ in millions, except EPS Q3’24 Actual(1) Q2’25 Actual(1) Q3’25 Actual(1) Sales $737M $652M $769M Gross Margin 59.7% $440M 57.3% $373M 58.5% $450M R&D 15.9% $117M 18.2% $118M 16.2% $125M SG&A 21.4% $158M 24.0% $157M 21.8% $168M OPEX 37.3% $275M 42.2% $275M 38.1% $293M Operatin
Slide 8: Q3'25 Business Unit Summary
Q3’25 Business Unit Summary Semiconductor Test Product Test Robotics Q3’25 Sales $606M $88M $75M Q3’25 Key • Sales up 23% QoQ, 7% YoY • Sales up 4% QoQ, 10% YoY • Sales flat QoQ, down 15% YoY Highlights • SoC up 11% QoQ, 12% YoY on • Driven by strength in • Continued end market weakness strength in
Slide 9: Balance Sheet & Capital Allocation
Balance Sheet & Capital Allocation $ in millions Q3’24 Actual Q2’25 Actual Q3’25 Actual Cash and Marketable Securities $678M $489M $427M Inventory $297M $351M $367M DSO 60 days 60 days 70 days Capital Additions $52M $50M $47M Depreciation and Amortization(1) $45M $48M $46M Free Cash Flow(2) $114M $1
Slide 10: Q4'25 Non-GAAP Guidance
Q4’25 Non-GAAP Guidance $ in millions Q3’25 Actual(1) Q4’25 Guidance(1) Sales $769M $920M - $1,000M Gross Margin 58.5% 57.0% - 58.0% OPEX 38.1% 33.0% - 31.0% Operating Profit 20.4% 24.0% - 27.0% Income Taxes (& effective tax rate) 16.0% 14.5% EPS $0.85 $1.20 - $1.46 Diluted Shares 159M 157M 10 (1) S
Slide 11: Q3'25 Summary and Q4'25 Outlook
Q3’25 Summary and Q4’25 Outlook Q3’25 Summary Q4’25 Outlook Revenue of $769M at high-point of guidance; Non- Revenue between $920M - $1,000M; Non-GAAP EPS GAAP EPS of $0.85 near high-point of guidance range from $1.20 - $1.46 • Third quarter revenue up 18% and Non-GAAP EPS up • Fourth quarter revenu
Slide 12: TERADYNE
TERADYNE
Slide 13: Supplemental Information
Supplemental Information 13
Slide 14: History of Capital Allocation
History of Capital Allocation Since 2015, 85M shares repurchased at an average price of ~$53 per share YTD $ in millions 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Cumulative Q3’25 Buybacks(1) $300 $146 $200 $823 $500 $88 $600 $752 $401 $199 $523 $4,533 Dividends $51 $49 $55 $67 $61 $66 $66 $
Slide 15: Teradyne Non-GAAP Target Earnings Model
Teradyne Non-GAAP Target Earnings Model Target Earnings Model1 2024 Target Model 2024 Sales Mix Target Model Sales Mix2 TER Revenue ($M) $2,820 $4,500 – $5,500 Growth off 2024 12% - 18% 13% 16% Gross Margin % 59% 59% - 60% OPEX % 38% 31% - 28% $2.82B $5.00B Operating Profit 20% 28% - 32% 87% 84% Non
Slide 16: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation In addition to disclosing results that are determined in accordance with GAAP, Teradyne also discloses in this presentation and on the earnings call non-GAAP results of operations that exclude certain income items and charges. These results are provided as a complemen
Slide 17: TERADYNE
TERADYNE