Earnings Call Intelligence Subscribe
Home › Call Sheets › TER › Q1'26
Call sheet · Q1'26

Teradyne (TER)

Q1'26 earnings call · held April 29, 2026 · compared with the Q4'25 call · management-credibility review
9/12
Disclosure score
4 medium, 4 low flags
Financial quality
Bottom line
The sleeper story is auto/industrial becoming a data center proxy at 46% mix - TER owns the AI power management transition while everyone obsesses over GPU share games. Record $1.28B quarter masks a major visibility cliff as management hedged back-half guidance despite outperformance because VIP compute's 'next wave is early 2027' and networking visibility 'isn't as strong.' The binding constraint is customer acceptance timing, with shipped units sitting in receivables until data center installations complete. As Greg admitted: 'We expect that we're in kind of a 2-3 quarter surge that may lead to a shorter period of digestion afterwards.' My view changes if they maintain second-half momentum instead of the digestion period they're telegraphing.

The 30-second version

  • THE SLEEPER: Auto/industrial quietly becoming data center proxy - 46% of segment revenue now data center devices
  • Record quarter masks major visibility cliff - management expanded H1 range to 55-60% from prior 60% point estimate
  • First merchant GPU win sounds impressive until you parse the economics - 'low single-digit share' and 'material revenue' don't compute

What changed this quarter

MetricQ4'25Q1'26Change
Revenue$1.083B (+41% seq, +68% YoY in Q4)$1.282B (+18% seq, +87% YoY)New quarterly record, $200M above 2021 mobile peak
Non-GAAP EPS$1.80 (+100% seq, +128% YoY in Q4)$2.56 (+42% seq, +241% YoY)Record EPS driven by AI volume and mix
Gross Margin57.2% (Q4)60.9% (+370 bps seq)Record margin from AI volume plus nonrecurring benefits
Operating Margin29% (Q4)37.5% (+850 bps seq)All-time record operating leverage
Semi Test Revenue$883M (Q4)$1.1B (+26% seq, >100% YoY)First time breaking $1B threshold
SoC Revenue$647M (Q4)$882M (+36% seq)Compute now 75% of SoC mix vs mobile-centric historically
Memory Revenue$206M record (Q4)$203M (-1% seq)Flat at record levels, HBM/DRAM strength continues
Auto/Industrial Data Center MixNot disclosed (Q4)46% of auto/industrial revenueFirst disclosure of data center penetration in this segment
AI Revenue Mix60%+ of revenue (Q4)Nearly 70% of revenue1000 bps acceleration in AI dependency
Robotics Revenue$89M (+19% YoY in Q4)$91M (+32% YoY)Fourth consecutive sequential growth quarter

Accountability tracked

8 new promises made4 narrative shifts flagged6 prior promises scored
Inside the full report
The complete write-up covers the full promise ledger with kept/missed calls, disclosure-quality scoring, the metrics-vanished check, verification items, and the questions to ask next quarter.
Read the full TER Q1'26 report Subscribe
About Research ↗Call SheetsCredibility IndexMissed PromisesScreens13F BooksData & InstitutionalPrivacyTermsSubscribe
This is a free preview. The full write-up and promise ledger are published to subscribers on Substack.
Scores, kept-promise rates, and flags on this site reflect the author's opinion, applying a stated methodology to statements management made on public earnings calls. Informational and educational purposes only - not investment advice, a recommendation, or an offer to buy or sell any security. Sources believed reliable but not guaranteed; the author may hold positions in the securities discussed.

Follow what management promises next

Get free previews of our earnings-call research: the key changes, management scores, and questions worth investigating. Subscribe for full call sheets and deeper analysis.

Subscriptions are managed by Substack. If the form does not load, subscribe directly. Or follow the RSS feed.