Teradyne earnings rose in the third quarter of 2026 as revenue increased 70% from a year earlier to $1.306 billion. The test-equipment and robotics company said demand across the artificial intelligence value chain helped results exceed the high end of its guidance.

Key Takeaways

  • Third-quarter non-GAAP earnings per share rose to $2.29 from $0.85 a year earlier.
  • Teradyne forecast fourth-quarter revenue of $1.25 billion to $1.35 billion.

Teradyne earnings and revenue

In its third-quarter results, released October 27, Teradyne reported GAAP net income attributable to the company of $342.4 million, or $2.17 per diluted share. A year earlier, GAAP earnings were $0.75 per share.

Non-GAAP net income was $359.9 million, or $2.29 per diluted share. The measure excludes items including acquired intangible asset amortization, restructuring and other charges, and related tax effects.

Revenue rose from $769 million in the third quarter of 2025 but was lower than the $1.329 billion reported in the second quarter of 2026.

AI demand and business performance

CEO Greg Smith said demand extended across the AI value chain, including memory and hard disk drive testing, high-speed interconnect and robotics. Teradyne said memory and integrated systems test revenue reached records, driven by AI demand.

Semiconductor Test accounted for $1.072 billion of quarterly revenue, Product Test contributed $138 million and Robotics generated $96 million. The company said Robotics had its highest third-quarter revenue to date and achieved profitability.

Fourth-quarter guidance

For the fourth quarter of 2026, Teradyne projected revenue of $1.25 billion to $1.35 billion. It forecast GAAP earnings of $1.88 to $2.18 per diluted share and non-GAAP earnings of $1.95 to $2.25 per diluted share.

The forecast is management guidance, not completed results. Its non-GAAP earnings outlook excludes acquired intangible asset amortization, amortization on the company’s investment in Technoprobe and related tax effects.

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