ON Semiconductor Q2 results beat on AI data center demand, shares up
ON•Overview
- U.S. chipmaker's Q2 revenue rose 9% yr/yr, slightly beating analyst expectations
- Adjusted EPS for Q2 beat analyst expectations
- Company repurchased $332 mln in shares during the quarter
- Shares of the company were up about 4.5% in extended trading
Outlook and result drivers
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ON Semiconductor sees Q3 2026 revenue between $1.65 bln and $1.75 bln
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Company expects Q3 2026 non-GAAP gross margin of 40.0% to 42.0%
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ON Semiconductor projects Q3 2026 non-GAAP diluted EPS of $0.81 to $0.93
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AI data center demand - Co said strengthening demand for AI-driven applications, especially in data centers, was a key driver of Q2 results
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Customer adoption of new solutions - Co cited growing adoption of differentiated products, including Treo and high voltage power solutions, as supporting revenue growth
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Gross margin expansion and cost control - Co attributed faster EPS growth to gross margin expansion and disciplined cost management
