Slide 1: Financial Results for Q2 2025
Financial Results for Q2 2025 July 30, 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: Q2’25 Summary
Q2’25 Summary Sales of $652M | Non-GAAP Gross Margin(1) of 57.3% | Non-GAAP EPS(1) of $0.57 | EPS Above Mid Guidance Q2’25 Range: $610M - $680M Q2’25 Range: 56.5% - 57.5% Q2’25 Range: $0.41 - $0.64 Quarterly Revenue ($M) Non-GAAP Gross Margin % (1) Non-GAAP EPS (1) $1,000M 65.0% $1.40 $800M 60.0% $1
Slide 5: Q2’25 Summary and Q3’25 Outlook
Q2’25 Summary and Q3’25 Outlook Q2’25 Summary Q3’25 Outlook Revenue of $652M above mid-point of guidance; Non- Revenue between $710M - $770M; Non-GAAP EPS GAAP EPS of $0.57 above mid-point of guidance range from $0.69 - $0.87 • SoC strength in AI Compute offsetting lower demand in • Third quarter re
Slide 6: Second Quarter 2025 Financial Results and Third Quarter 2025 Guidance
Second Quarter 2025 Financial Results and Third Quarter 2025 Guidance Sanjay Mehta, Vice President and Chief Financial Officer 6
Slide 7: Q2’25 Non-GAAP Results
Q2’25 Non-GAAP Results $ in millions, except EPS Q2’24 Actual(1) Q1’25 Actual(1) Q2’25 Actual(1) Sales $730M $686M $652M Gross Margin 58.3% $426M 60.6% $416M 57.3% $373M R&D 15.3% $112M 17.2% $118M 18.2% $118M SG&A 21.2% $154M 22.9% $157M 24.0% $157M OPEX 36.5% $266M 40.1% $275M 42.2% $275M Operatin
Slide 8: Q2’25 Business Unit Summary
Q2’25 Business Unit Summary Semiconductor Test Product Test Robotics Q2’25 Sales $492M $85M $75M Q2’25 Key • Sales down 12% YoY • Sales up 7% YoY • Sales up 9% QoQ and down 17% Highlights • SoC down 4% YoY • All business units up YoY YoY • Memory Test sales down 53% YoY • Quantifi acquisition closed
Slide 9: Balance Sheet & Capital Allocation
Balance Sheet & Capital Allocation $ in millions Q2’24 Actual Q1’25 Actual Q2’25 Actual Cash and Marketable Securities $584M $622M $489M Inventory $289M $345M $351M DSO 59 days 60 days 60 days Capital Additions $45M $64M $50M Depreciation and Amortization(1) $45M $46M $48M Free Cash Flow(2) $171M $9
Slide 10: Q3’25 Non-GAAP Guidance
Q3’25 Non-GAAP Guidance $ in millions Q2’25 Actual(1) Q3’25 Guidance(1) Sales $652M $710M - $770M Gross Margin 57.3% 56.5% - 57.5% OPEX 42.2% 38.5% - 36.5% Operating Profit 15.1% 18.0% - 21.0% Income Taxes (& effective tax rate) 13.5% 16.3% EPS $0.57 $0.69 - $0.87 Diluted Shares 160M 158M 10 (1) See
Slide 11: Q2’25 Summary and Q3’25 Outlook
Q2’25 Summary and Q3’25 Outlook Q2’25 Summary Q3’25 Outlook Revenue of $652M above mid-point of guidance; Non- Revenue between $710M - $770M; Non-GAAP EPS GAAP EPS of $0.57 above mid-point of guidance range from $0.69 - $0.87 • SoC strength in AI Compute offsetting lower demand in • Third quarter re
Slide 12: TERADYNE
TERADYNE
Slide 13: Supplemental Information
Supplemental Information 13
Slide 14: History of Capital Allocation
History of Capital Allocation Since 2015, 83M shares repurchased at an average price of ~$52 per share $ in millions 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1H’25 Cumulative Buybacks(1) $300 $146 $200 $823 $500 $88 $600 $752 $401 $199 $277 $4,286 Dividends $51 $49 $55 $67 $61 $66 $66 $70 $
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