AI interpretation based on checked source excerpts. Issuer assertions and evidence limitations remain explicit.
Evidence
Memory test revenue remained stable despite a smaller overall market, supported by share gains in high bandwidth memory (“HBM”) and DRAM final test applications.
2025 Form 10-K, filed 2026-02-19: overview, memory-test competitive results · Filed 19/02/2026
Intellectual Property and Licenses
The development of our products, both hardware and software, is based in significant part on proprietary information, our brands and technology.
2025 Form 10-K, filed 2026-02-19: Intellectual Property and Licenses · Filed 19/02/2026
We protect our rights in proprietary information, brands and technology through various methods, such as:
•
patents;
•
copyrights;
•
trademarks;
•
trade secrets;
•
standards of business conduct and related business practices; and
•
technology license agreements, software license agreements, non-disclosure agreements, employment agreements, and other agreements.
2025 Form 10-K, filed 2026-02-19: intellectual-property protection methods · Filed 19/02/2026
Competitors might independently develop similar technology or exploit our proprietary information and our brands in countries where we lack enforceable intellectual property rights or where enforcement of such rights through the legal system provides an insufficient deterrent.
2025 Form 10-K, filed 2026-02-19: intellectual-property protection limitations · Filed 19/02/2026
While it is difficult to quantify the exact impact, current trade restrictions are limiting our ability to be competitive, particularly in certain markets, where some competitors are not subjected to the same restrictions.
2025 Form 10-K, filed 2026-02-19: realized trade-restriction effects on competitiveness · Filed 19/02/2026
The market for our test products is concentrated with a limited number of significant customers accounting for a substantial portion of the purchases of test equipment.
2025 Form 10-K, filed 2026-02-19: test-equipment customer concentration · Filed 19/02/2026
Competitors in the Semiconductor Test segment include, among others, Advantest Corporation, SPEA S.p.A., and Cohu, Inc.
2024 Form 10-K, filed 2025-02-20: named Semiconductor Test competitors · Filed 20/02/2025
We also face competition from emerging Asian companies and from internal supply at several of our customers.
2024 Form 10-K, filed 2025-02-20: emerging competitors and customer internal supply · Filed 20/02/2025
See also “Item 1A: Risk Factors.”
Backlog
Our backlog at any particular date is not necessarily indicative of the actual sales for any succeeding period because our customers may delay delivery of products or cancel orders without advanced notice, subject to possible cancellation penalties.
2025 Form 10-K, filed 2026-02-19: backlog cancellation and delivery terms · Filed 19/02/2026
We also have been, and may continue to attempt to, offset the effect of these inflationary pressures by increasing the prices of our products.
2024 Form 10-K, filed 2025-02-20: attempts to offset inflation through product pricing · Filed 20/02/2025
We may also not be fully able to pass additional costs on to our customers, which could have a negative impact on our results of operations and financial condition.
2025 Form 10-K, filed 2026-02-19: potential limitations on cost pass-through · Filed 19/02/2026
Strong Robotics revenue of $100 million, marked the fifth consecutive quarter of sequential growth, driven primarily by demand from electronics manufacturing and semiconductor customers, which has become the segment's largest end-market.
Second-quarter 2026 Form 10-Q, filed 2026-07-31: Robotics revenue and consecutive sequential growth · Filed 31/07/2026
As of June 28, 2026, and December 31, 2025, Teradyne had a product warranty accrual of $25.7 million and $19.2 million, respectively, included in other accrued liabilities and revenue deferrals related to extended warranties of $78.1 million and $55.9 million, respectively, included in short and long-term deferred revenue and customer advances.
Second-quarter 2026 Form 10-Q, filed 2026-07-31: extended-warranty revenue deferrals at June 28, 2026 and December 31, 2025 · Filed 31/07/2026
Page 10
Six Months Ended
June 28,
2026
% of Net Revenues
June 29,
2025
% of Net Revenues
Net Revenues
$
2,611.5
$
1,337.5
Gross profit GAAP
1,575.6
60.3
%
788.3
58.9
%
Inventory step-up
0.1
0.0
%
0.6
0.0
%
Second-quarter 2026 earnings exhibit, filed 2026-07-29: six-month GAAP gross profit and percentage of net revenues · Filed 29/07/2026
Inflation has not had a significant long-term impact on earnings.
Second-quarter 2026 Form 10-Q, filed 2026-07-31: management assessment of inflation's earnings impact · Filed 31/07/2026
Acquired intangible assets, net
101,910
51,271
Goodwill
663,817
521,019
Total assets
$
4,925,617
$
4,183,599
LIABILITIES
Current liabilities:
Accounts payable
$
383,422
$
269,185
Accrued employees’ compensation and withholdings
220,690
254,973
Deferred revenue and customer advances
193,840
153,124
Other accrued liabilities
133,399
111,845
Operating lease liabilities
17,258
19,340
Short-term debt
—
200,000
Income taxes payable
164,907
106,740
Total current liabilities
1,113,516
1,115,207
Retirement plans liabilities
151,436
144,874
Long-term deferred revenue and customer advances
62,985
50,888
Deferred tax liabilities
12,929
5,378
Long-term other accrued liabilities
28,569
7,601
Long-term operating lease liabilities
82,869
63,899
Total liabilities
1,452,304
1,387,847
EQUITY
Total Teradyne shareholders' equity
3,437,162
2,795,752
Equity attributable to noncontrolling interests
36,151
—
Total equity
3,473,313
2,795,752
Total liabilities and equity
$
4,925,617
$
4,183,599
Page 7
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands)
Quarter Ended
Six Months Ended
June 28,
2026
June 29,
2025
June 28,
2026
June 29,
2025
Cash flows from operating activities:
Consolidated net income
$
374,885
$
78,372
$
773,794
$
177,269
Adjustments to reconcile consolidated net income to net cash provided by operating activities:
Depreciation
28,644
27,312
58,884
52,835
Stock-based compensation
20,063
16,827
41,964
32,031
Equity in net earnings of affiliate
1,946
5,927
6,557
11,511
Amortization
5,006
4,077
7,421
8,856
Provision for excess and obsolete inventory
3,599
7,402
8,281
12,347
Losses (gains) on investments
(8,241
)
(4,450
)
(4,923
)
(1,078
)
Deferred taxes
(10,466
)
(7,187
)
(18,230
)
(14,998
)
Retirement plan actuarial losses (gains)
(157
)
127
(157
)
127
Other
474
(317
)
2,760
3,168
Changes in operating assets and liabilities, net of businesses acquired:
Second-quarter 2026 earnings exhibit, filed 2026-07-29: cash-flow table units, reporting periods and operating reconciliation · Filed 29/07/2026
Accounts receivable
19,841
36,443
(302,176
)
49,496
Inventories
(28,678
)
7,342
(7,852
)
(23,707
)
Prepayments and other assets
(63,670
)
17,230
(59,621
)
30,879
Accounts payable and other liabilities
136,829
27,085
121,803
17,135
Deferred revenue and customer advances
(1,101
)
2,857
50,863
13,056
Retirement plans contributions
(1,564
)
(4,294
)
(3,098
)
(5,576
)
Income taxes
(8,272
)
(32,665
)
57,992
(19,625
)
Net cash provided by operating activities
469,138
182,088
734,262
343,726
Cash flows from investing activities:
Purchases of property, plant and equipment
(90,706
)
(50,408
)
(155,439
)
(114,429
)
Acquisitions of businesses, net of cash and cash equivalents acquired
(165,611
)
(127,378
)
(165,611
)
(144,380
)
Purchase of investments in a business
(10,030
)
(2,357
)
(10,030
)
(5,368
)
Purchases of marketable securities
(7,438
)
(6,396
)
(48,235
)
(17,150
)
Proceeds from maturities of marketable securities
159
5,223
11,069
32,603
Proceeds from sales of marketable securities
2,287
2,854
29,615
8,487
Net cash used for investing activities
(271,339
)
(178,462
)
(338,631
)
(240,237
)
Cash flows from financing activities:
Proceeds from borrowings on revolving credit facility
300,000
—
350,000
—
Repayments of borrowings on revolving credit facility
(300,000
)
—
(550,000
)
—
Dividend payments
(20,348
)
(19,177
)
(40,710
)
(38,584
)
Repurchase of common stock
(68,720
)
(117,398
)
(74,238
)
(274,873
)
Payments related to net settlement of employee stock compensation awards
(1,676
)
(229
)
(41,113
)
(14,954
)
Issuance of common stock under stock purchase and stock option plans
—
—
15,101
14,792
Net cash used for financing activities
(90,744
)
(136,804
)
(340,960
)
(313,619
)
Effects of exchange rate changes on cash and cash equivalents
539
(3,202
)
1,116
(3,972
)
(Decrease) increase in cash and cash equivalents
107,594
(136,380
)
55,787
(214,102
)
Second-quarter 2026 earnings exhibit, filed 2026-07-29: operating cash generation, investment spending and financing cash flows; context in e16 · Filed 29/07/2026
COMMITMENTS AND CONTINGENCIES
Purchase Commitments
As of December 31, 2025, Teradyne had entered into non-cancelable purchase commitments for certain components and materials.
2025 Form 10-K, filed 2026-02-19: December 31, 2025 non-cancelable purchase-commitment scope · Filed 19/02/2026
The purchase commitments covered by the agreements aggregate to approximately $1,473.0 million, of which $1,415.1 million is for less than one year.
2025 Form 10-K, filed 2026-02-19: purchase-commitment amount and maturity; context in e18 · Filed 19/02/2026
On April 8, 2026, Teradyne and HTP Holding SAL (“MultiLane”) formed a joint venture, MultiLane Test Products Holding LLP (“MLTP”), in which Teradyne holds a controlling 75% ownership interest, with the remaining 25% attributable to noncontrolling interests, for a total purchase price of $157.8 million, subject to customary post-closing adjustments.
Second-quarter 2026 Form 10-Q, filed 2026-07-31: completed MLTP transaction, ownership and purchase price · Filed 31/07/2026
Status of Performance-Based RSU Awards
2023
2024
2025
Goals
Threshold
Target
Maximum
Performance
Result(1)
Fiscal 2023 Relative TSR(2) Performance-Based RSUs
(2023-2025 Performance Period)
100%
Completed
TSR
N/A
N/A
N/A
64.09%
200%
Fiscal 2023 PBIT(3) Performance-Based RSUs
(2023-2025 Performance Period)
100%
Completed
PBIT
13%
24%
40%
21.08%
73.42%
Fiscal 2024 Relative TSR(2) Performance-Based RSUs
(2024-2026 Performance Period)
2/3
Completed
TSR
N/A
N/A
N/A
In progress
In progress
Fiscal 2024 PBIT(3) Performance-Based RSUs
(2024-2026 Performance Period)
2/3
Completed
PBIT
11%
21%
39%
In progress
In progress
Fiscal 2025 Relative TSR(2) Performance-Based RSUs
(2025-2027 Performance Period)
1/3
Completed
TSR
N/A
N/A
N/A
In progress
In progress
Fiscal 2025 PBIT(3) Performance-Based RSUs
(2025-2027 Performance Period)
1/3
Completed
PBIT
10%
21%
36%
In progress
In progress
(1)
The final number of shares earned for the performance-based restricted stock unit awards granted in 2024 and 2025 will be determined in January 2027 and January 2028, respectively.
2026 proxy, filed 2026-03-27: completed 2023–2025 performance-award results and unfinished later award periods · Filed 27/03/2026
(2)
The relative total shareholder return (“TSR”) metric is based on a comparison of Teradyne’s TSR to the performance of the New York Stock Exchange Composite Index.
2026 proxy, filed 2026-03-27: relative TSR benchmark definition · Filed 27/03/2026
PBIT is a non-GAAP financial measure equal to GAAP income from operations excluding restructuring and other; amortization of acquired intangible assets; acquisition and divestiture related charges or credits; pension actuarial gains and losses; non-cash convertible debt interest expense; and certain other gains and charges.
2026 proxy, filed 2026-03-27: non-GAAP PBIT definition and exclusions · Filed 27/03/2026
Under the Retirement Policy, an executive officer that is over the age of 65 and has 10 or more years of service as of the effective date of his or her retirement will be eligible for continued vesting of his or her unvested time-based restricted stock units and stock options granted prior to his or her retirement date.
Second-quarter 2026 Form 10-Q, filed 2026-07-31: executive retirement policy and continued time-based award vesting · Filed 31/07/2026
Anti-Hedging and Anti-Pledging
As noted above, Board has adopted, through the Insider Trading Policy, a policy prohibiting employees, executives and directors from engaging in hedging and pledging activities.
2026 proxy, filed 2026-03-27: adopted prohibition on hedging and pledging · Filed 27/03/2026
Within Product Test Group, revenue increased 26% year over year and 33% sequentially, reflecting broad-based growth across multiple markets and applications.
Second-quarter 2026 Form 10-Q, filed 2026-07-31: Product Test Group growth · Filed 31/07/2026
Teradyne Reports First Quarter 2026 Results
•
Record revenue and earnings both above the high end of our Q1 Guidance
•
Revenue of $1.282B up 87%, GAAP EPS of $2.53 and non-GAAP EPS of $2.56, both up significantly from Q1’25
•
Record results driven by AI-related demand strength across compute segments and memory
Q1'26
Q1'25
Q4'25
Revenue (mil)
$
1,282
$
686
$
1,083
GAAP EPS
$
2.53
$
0.61
$
1.63
Non-GAAP EPS
$
2.56
$
0.75
$
1.80
NORTH READING, Mass.
First-quarter 2026 earnings exhibit, filed 2026-04-29: realized revenue, earnings and comparison with guidance · Filed 29/04/2026
Restructuring and other consists of:
Twelve Months Ended
December 31, 2025
December 31, 2024
Employee severance (a)
$
29.4
$
5.2
Asset impairment
4.9
1.3
Acquisition and divestiture related expenses
2.3
2.2
Other
2.1
6.8
$
38.6
$
15.6
(a)
For the twelve months ended December 31, 2025, employee severance relates primarily to Robotics restructuring which impacted approximately 400 employees.
Full-year 2025 earnings exhibit, filed 2026-02-03: restructuring costs and approximately 400 employees affected in Robotics · Filed 03/02/2026
Policy promoting equal opportunity for all employees
Independence and Board Composition
Independent Board Chair
Independent directors constitute a majority of the Board and all members of the Board committees
2026 proxy, filed 2026-03-27: independent chair, board majority and committee composition · Filed 27/03/2026
Corporate Governance and Board of Directors
Shareholder Rights
Single class of stock with equal voting rights
2026 proxy, filed 2026-03-27: single share class and equal voting rights · Filed 27/03/2026
Directors elected annually for a one-year term
2026 proxy, filed 2026-03-27: annual director elections · Filed 27/03/2026
Independent registered public accounting firm and internal auditor meet regularly with Audit Committee without management
2026 proxy, filed 2026-03-27: auditor meetings with Audit Committee without management · Filed 27/03/2026
An advisory non-binding resolution to approve the 2025 executive compensation passed as follows:
Votes For
Votes Against
Votes Abstained
Broker Non-Votes
114,418,444
4,732,467
343,972
12,498,100
3.
Annual-meeting results, filed 2026-05-11: actual passage of non-binding compensation resolution · Filed 11/05/2026
