Globalfoundries Inc. · NASDAQ:GFS
Globalfoundries — Q2 2026 Earnings Presentation
35 slides from Globalfoundries's earnings presentation, Aug 5, 2026
Slide 1: Second Quarter 2026 Financial Results
Second Quarter 2026 Financial Results (unaudited) August 5, 2026 1
Slide 2: Disclaimer - Forward-looking statements and Third-Party Data
Disclaimer - Forward-looking statements and Third-Party Data This presentation and the accompanying oral presentation include “forward- Although we believe that the expectations reflected in our statements are We define Non-IFRS adjusted free cash flow as cash flow provided by (used looking statemen
Slide 3: Results and Highlights
Results and Highlights
Slide 4: Second Quarter 2026 Results
Second Quarter 2026 Results Revenue Non-IFRS Gross Non-IFRS Earnings Margin(1) per Share(1) $1.79B 29.9% $0.46 ↑ 6% Y/Y ↑ 470bps Y/Y ↑ 10% Y/Y (1) See the Appendix for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure and for a discussion of why we believe t
Slide 5: Key Second Quarter 2026 Highlights
Key Second Quarter 2026 Highlights Quarterly Results Margin Expansion » Q2 2026 revenue and » Non-IFRS gross non-IFRS gross margin(1) grew nearly margin(1) exceeded the 500bps Y/Y, a second high end of our quarter record guidance ranges End Market Highlight Shareholder Return » Seventh consecutive »
Slide 6: Key Announcements
Key Announcements
Slide 7: GF Accelerates U.S. Silicon Photonics Leadership
GF Accelerates U.S. Silicon Photonics Leadership Scaling Technologies for the Next Wave of AI Customer-Driven Roadmap Working with leading customers to ensure emerging NPO and CPO architectures are supported by U.S.-based R&D. SCALE™ Platform Targets industry-leading modularity, 400Gb/s performance
Slide 8: Strong Endorsement Across Photonics Ecosystem
Strong Endorsement Across Photonics Ecosystem BROADCOM “ “ Scaling US manufacturing requires advances across chips, networking, optics, software, and GlobalFoundries' announcement helps strengthen the innovation ecosystem needed to manufacturing. Silicon photonics is essential to that future, and Gl
Slide 9: GF Acquires Photeon Technologies' IVR Team
GF Acquires Photeon Technologies' IVR Team GF closed a strategic acqui-hire of the custom power team from Photeon Technologies, bringing an experienced design team focused on integrated voltage regulators, or IVRs, further strengthening our roadmap depth in power technologies and expanding our servi
Slide 10: GF Acquires Synopsys' Processor IP Solutions
GF Acquires Synopsys' Processor IP Solutions GF furthers its leadership in RISC-V and Physical AI with the closing of its strategic acquisition of ARC — together with MIPS, GF now offers world-class RISC-V and Physical AI processor IP, software tools, custom design and proven manufacturing capabilit
Slide 11: GF Establishes Quantum Technology Solutions
GF Establishes Quantum Technology Solutions GF Enabling The Next Frontier Of Computation Cryogenic CMOS & Advanced Packaging Proven FDX cryo-CMOS read-out & control, extended with 3D heterogeneous packaging & superconducting interconnects. Qubit-Agnostic Platform Across superconducting, trapped ion,
Slide 12: Strong Endorsement Across Quantum Ecosystem
Strong Endorsement Across Quantum Ecosystem “ Diraq’s work with GlobalFoundries on FDX™ has been central to advancing our cryogenic CMOS and silicon spin qubit technologies on an established manufacturing node.” — Andrew Dzurak, Founder and CEO, Diraq “ A dedicated quantum foundry at GF will give us
Slide 13: End Markets
End Markets
Slide 14: End Market Commentary
End Market Commentary 9 Com Communications Infrastructure and Smart Mobile Home and Data Center » Automotive » Devices » Industrial IoT » Silicon Photonics and Growth opportunities Ongoing demand impacts Marked the fastest Y/Y SiGe demand led to being shaped by content from memory-related growth sin
Slide 15: Communications Infrastructure and Data Center
Communications Infrastructure and Data Center Q2'26 Revenue $277M ↑ 62% Y/Y End Market Commentary We secured seven new optical Beyond optical networking, we networking design wins across saw strong double digit year- transceiver, hyperscaler, and over-year growth in applications networking customers
Slide 16: Automotive
Automotive Q2'26 Revenue $333M ↓ (10)% Y/Y End Market Commentary Taped out a new ADAS radar Secured a significant Automotive built on our FDX platform for power design win for 5V and 10V Bosch - a notable milestone and PMICs built on our BCD platform, the culmination of years of close marking an exp
Slide 17: Smart Mobile Devices
Smart Mobile Devices Q2'26 Revenue $644M ↓ (6)% Y/Y End Market Commentary We strengthened our position We secured a notable design with next-gen AR wearables at win on GF's BCD platform with a leading hyperscaler with a MediaTek - further validating our new design win for microLED expanding power pl
Slide 18: Home and Industrial IoT
Home and Industrial IoT Q2'26 Revenue $331M ↑ 10% Y/Y End Market Commentary We secured three strategic We expanded our relationship chiplet design wins with with Microchip through a Lockheed Martin on our FinFET meaningful FinFET design win and FDX platforms, further on the strength of our extending
Slide 19: Q2 2026 Revenue by End Market
Q2 2026 Revenue by End Market (Unaudited, in millions USD) ((Unaudited, in millions) Year-over-Year Sequential Q2 2026 Q1 2026 Q2 2025 Q2 2026 vs Q2 2025 Q2 2026 vs Q1 2026 Smart Mobile Devices $644 $558 $683 $(39) (6)% $86 15% Communications Infrastructure $277 $230 $171 $106 62% $47 20% and Data C
Slide 20: Q2 2026 Revenue Mix by End Market
Q2 2026 Revenue Mix by End Market 9(Unaudited) 11% 10% Smart Mobile Devices 36% Communications Infrastructure and Data Center 19% 40% 22% Q2 2026 Q2 2025 Home and Industrial IoT Automotive 19% 16% 18% 10% Technology Services Totals may not sum to 100% due to rounding 20
Slide 21: Capital Allocation
Capital Allocation Year-to-Date 2026 ▪ We continue to expect adjusted free cash flow margin(1) of Cash flow from operations $947 approximately 10% for the full year 2026. Capital expenditures $723 (21% of Revenue) ▪ GF's Board of Directors approved a continuation of our $0.12 quarterly dividend, pay
Slide 22: Outlook
Outlook 22
Slide 23: Q3 2026 Guidance
Q3 2026 Guidance(1) (Unaudited, in millions USD, except per share amounts) IFRS Share-Based Non-IFRS(2) Compensation(3) Net Revenue $1,885 ± $25 Gross Margin(2) 29.5% ± 100bps ~100bps 30.5% ± 100bps Operating Expenses(2) $318 ± $10 ~$58 $260 ± $10 Operating Margin(2) 12.7% ± 170bps ~400bps 16.7% ± 1
Slide 24: Appendix: Summary Financials and Reconciliations
Appendix: Summary Financials and Reconciliations
Slide 25: Q2 2026 Financial Summary
Q2 2026 Financial Summary (Unaudited, in millions, except per share data and wafer shipments) Year-over-Year Sequential Q2 2026 Q1 2026 Q2 2025 Q2 2026 vs Q2 2025 Q2 2026 vs Q1 2026 Net revenue $ 1,786 $ 1,634 $ 1,688 $ 98 6% $ 152 9% Gross profit $ 505 $ 451 $ 408 $ 97 24 % $ 54 12 % Gross margin 2
Slide 26: Statement of Operations
Statement of Operations (Unaudited, in millions, except per share amounts) Three Months Ended June 30, 2026 March 31, 2026 June 30, 2025 Net revenue $ 1,786 $ 1,634 $ 1,688 Cost of revenue 1,281 1,183 1,280 Gross profit $ 505 $ 451 $ 408 Operating expenses: Research and development 174 132 134 Selli
Slide 27: Statements of Financial Position
Statements of Financial Position (Unaudited, in millions) As of June 30, 2026 December 31, 2025 Assets: Cash and cash equivalents $ 1,087 $ 1,809 Marketable securities 1,270 1,241 Receivables, prepayments and other 1,489 1,578 Inventories 1,622 1,577 Current assets 5,468 6,205 Property, plant, and e
Slide 28: Statement of Cash Flows
Statement of Cash Flows (Unaudited, in millions) Three Months Ended June 30, 2026 June 30, 2025 Operating Activities: Net income $ 167 $ 228 Depreciation and amortization 307 335 Finance (income) expense, net and other (14) (8) Deferred income taxes 18 (20) Net change in working capital (115) (136)
Slide 29: IFRS to Non-IFRS Reconciliations
IFRS to Non-IFRS Reconciliations (1) (Unaudited, in millions, except per share amounts) Three Months Ended June 30, 2026 Selling, Income tax Research & Operating Other income Gross profit general & (expense) Net income Diluted EPS development profit (expense) administrative benefit As Reported $ 505
Slide 30: IFRS to Non-IFRS Reconciliations
IFRS to Non-IFRS Reconciliations(1) (Unaudited, in millions, except per share amounts) Three Months Ended March 31, 2026 Selling, Income tax Research & Operating Other income Gross profit general & (expense) Net income Diluted EPS development profit (expense) administrative benefit As Reported $ 451
Slide 31: IFRS to Non-IFRS Reconciliations
IFRS to Non-IFRS Reconciliations(1) (Unaudited, in millions, except per share amounts) Three Months Ended June 30, 2025 Selling, Research & Operating Other income Income tax Gross profit general & (expense) Net income Diluted EPS development profit (expense) administrative benefit As Reported $ 408
Slide 32: IFRS to Non-IFRS Reconciliation Non-IFRS Adjusted Free Cash Flow
IFRS to Non-IFRS Reconciliation Non-IFRS Adjusted Free Cash Flow(1) a (Unaudited, in millions) Three Months Ended June 30, 2026 March 31, 2026 June 30, 2025 Net cash provided by operating activities $ 405 $ 542 $ 431 Less: Purchases of property, plant and (411) (312) (159) equipment and intangible a
Slide 33: IFRS to Non-IFRS Reconciliation Non-IFRS Adjusted EBITDA
IFRS to Non-IFRS Reconciliation Non-IFRS Adjusted EBITDA(1) (Unaudited, in millions) Three Months Ended June 30, 2026 March 31, 2026 June 30, 2025 Net revenue $ 1,786 $ 1,634 $ 1,688 Net income 167 104 228 Net income margin 9.4 % 6.4 % 13.5 % Depreciation and amortization 307 311 335 Finance expense
Slide 34: Financial Measures (Non-IFRS)
Financial Measures (Non-IFRS) In addition to the financial information presented in accordance with International Financial We believe that in addition to our results determined in accordance with IFRS, these Non- Reporting Standards ("IFRS"), this presentation includes the following Non-IFRS financ
Slide 35: Thank You
Thank You The information contained herein is the property of GlobalFoundries and/or its licensors. This document is for informational purposes only, is current only as of the date of publication and is subject to change by GlobalFoundries at any time without notice. GlobalFoundries, the GlobalFound