Teradyne, Inc. · NASDAQ:TER
Teradyne — Q4 2025 Earnings Presentation
22 slides from Teradyne's earnings presentation, Feb 3, 2026
Slide 1: Financial Results for Q4 2025 and Full Year 2025
Financial Results for Q4 2025 and Full Year 2025 February 3, 2026
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: Delivered Strong Q4'25 Results
Delivered Strong Q4’25 Results Revenue EPS Group Performance 41% sequential and Over 100% growth Double digit sequential 44% YoY growth, sequentially and growth across above high guidance 89%YoY, above high Semiconductor Test, guidance Product Test, and Robotics 4
Slide 5: Trends Driving Growth
Trends Driving Growth Revenue Driven by AI(1) AI Revenue Drivers • Networking • XPU / CPU • SiPho • System Level Test • Compute Verticalization Electrification • Board Test Artificial Intelligence • Robotics 5 (1) Approximate percentages
Slide 6: Full Year 2025 Recap
Full Year 2025 Recap Semiconductor Test Product Test Robotics • Grew revenue 19% • Grew revenue 8% • Three consecutive YoY (SOC up 23%, YoY driven by quarters of growth Memory up slightly, Defense and • Opportunities in and IST up over Aerospace Physical AI and 50%) advanced robotics 6
Slide 7: SoC Product Revenue Shift
SoC Product Revenue Shift 2025 2025 Compute 2023 Compute Product Revenue 2023 Product Revenue $753M $109M Compute Mobile Auto/Ind Compute Mobile Auto/Ind 7
Slide 8: Memory Revenue Shift
Memory Revenue Shift 2021 DRAM Revenue 2025 2025 DRAM 2021 $80M Revenue $350M DRAM Flash DRAM Flash 8
Slide 9: Teradyne Enables Scaling the AI Data Center
Teradyne Enables Scaling the AI Data Center Partnering with verticalized customers to maximize yield and quality at each stage of the process Wafer Die Substrate Package PCB Tray Rack AI Data Center ATE Based Test Integrated System Test Production Board Test Optical Test High Speed Interconnect Test
Slide 10: Fourth Quarter and Full Year 2025 Financial Results, Q1 2026 Guidance and New Target Earnings Model
Fourth Quarter and Full Year 2025 Financial Results, First Quarter 2026 Guidance and New Target Earnings Model Michelle Turner, Vice President and Chief Financial Officer 10
Slide 11: Q4'25 Non-GAAP Results
Q4’25 Non-GAAP Results $ in millions, except EPS Q4’24 Actual(1) Q3’25 Actual(1) Q4’25 Actual(1) Sales (2) 100% $753M 100% $769M 100% $1,083M Semiconductor Test 75% $561M 79% $606M 82% $883M Product Test 12% $94M 11% $88M 10% $110M Robotics 13% $98M 10% $75M 8% $89M Gross Margin 59.4% $447M 58.5% $4
Slide 12: Balance Sheet & Capital Allocation
Balance Sheet & Capital Allocation $ in millions Q4’24 Actual Q3’25 Actual Q4’25 Actual Cash and Marketable Securities $724M $427M $448M Inventory $298M $367M $380M DSO 58 days 70 days 67 days Capital Additions $57M $47M $63M Depreciation and Amortization (1) $46M $46M $52M Free Cash Flow(2) $225M $
Slide 13: Annual Non-GAAP Results
Annual Non-GAAP Results $ in millions, except EPS 2024 Actual(1) 2025 Actual(1) Sales (2) 100% $2,820M 100% $3,190M Semiconductor Test 75% $2,124M 79% $2,524M Product Test 12% $331M 11% $358M Robotics 13% $365M 10% $308M Gross Margin 58.6% $1,653M 58.3% $1,859M R&D 16.3% $461M 15.8% $505M SG&A 21.8%
Slide 14: Q1'26 Non-GAAP Guidance
Q1’26 Non-GAAP Guidance $ in millions, except EPS Q4’25 Actual(1) Q1’26 Guidance(1) Sales $1,083M $1,150M - $1,250M Gross Margin 57.2% 58.5% - 59.5% OPEX 28.2% 28.0% - 26.0% Operating Profit 29.0% 30.5% - 33.5% Income Taxes (& effective tax rate) 10.6% 15.5% EPS $1.80 $1.89 - $2.25 Diluted Shares 15
Slide 15: 2025 – A Year that Broke the Pattern
2025 – A Year that Broke the Pattern Q2/Q3 "Lumpy" History Q4 40% 2020 – 2024: ~53% Largest Quarter 2025: ~45% in 2025 35% 30% 25% 20% 15% 10% 5% 0% Q1'22 Q2'20 Q2'21 Q2'25 Q3'20 Q3'24 Q4'23 Q1'20 Q1'21 Q1'23 Q1'24 Q1'25 Q2'22 Q2'23 Q2'24 Q3'21 Q3'22 Q3'23 Q3'25 Q4'20 Q4'21 Q4'22 Q4'24 Q4'25 Quarter
Slide 16: Teradyne Non-GAAP Target Earnings Model
Teradyne Non-GAAP Target Earnings Model Target Earnings Model(1) Segment Revenue 2025 Target Model ATE TAM ~$9.0B $12-14B ~15-25% CAGR off FY25 ~$6.0B TER Revenue $3.2B ~$6.0B Gross Margin % 58.3% ~59% - 61% $3.2B OPEX % 36.0% ~29% - 27% Operating Profit 22.3% ~30% - 34% Non-GAAP EPS $3.96 ~$9.50 -
Slide 17: The Big Picture: Earnings Recap
The Big Picture: Earnings Recap Q4’25 Full Year 2025 • 41% sequential revenue growth • 13% YoY revenue growth • All groups delivered double digit sequential growth • 23% Non-GAAP EPS growth • Largest revenue quarter in 2025, second largest ever • Semiconductor Test increased to ~80% of portfolio • O
Slide 18: Teradyne
TERADYNE
Slide 19: Supplemental Information
Supplemental Information 19
Slide 20: History of Capital Allocation
History of Capital Allocation Since 2015, 86M shares repurchased at an average price of ~$55 per share $ in millions 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Cumulative Buybacks(1) $300 $146 $200 $823 $500 $88 $600 $752 $401 $199 $709 $4,718 Dividends $51 $49 $55 $67 $61 $66 $66 $70 $6
Slide 21: 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 22: Teradyne
TERADYNE