GlobalFoundries Reports $0.55 Adjusted Q4 EPS, Authorizes $500M Buyback
GlobalFoundries reported Q4 net income of $200 million ($0.36 per share) versus a prior-year loss of $729 million, with adjusted EPS of $0.55 beating the $0.47 consensus on flat $1.83 billion revenue. The company authorized a $500 million share repurchase and guided Q1 EPS of $0.18–0.28 on $1.60–1.65 billion revenue, citing robust data-center chip demand.
1. Q4 Results Outperform Expectations
GlobalFoundries delivered a fourth-quarter net income of $200 million ($0.36 per share) compared to a $729 million net loss a year earlier. Adjusted earnings reached $0.55 per share versus $0.46 in the prior year and topped the $0.47 average estimate, as revenue held steady at $1.83 billion against street expectations of $1.80 billion.
2. Q1 Guidance and Data-Center Demand
Management projects first-quarter GAAP EPS of $0.18 to $0.28 and adjusted EPS of $0.30 to $0.40 on revenues between $1.60 billion and $1.65 billion. The guidance reflects strong chip demand from data centers, with analysts modeling $0.35 EPS on $1.61 billion sales for the period.
3. Share Buyback and Market Reaction
The board approved a share repurchase program of up to $500 million to enhance shareholder value. In pre-market trading, shares jumped more than 7%, reflecting investor enthusiasm over the turnaround, repurchase plan and robust outlook.