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Mar 30

Teradyne Q1 2025 Earnings Report

Teradyne reported strong year-over-year growth, driven by Semiconductor Test demand.

Key Takeaways

Teradyne delivered 14% year-over-year revenue growth in Q1 2025, exceeding its revenue and EPS guidance, led by strong demand in Semiconductor Test, particularly in Mobile System-on-a-Chip (SOC) solutions.

Revenue reached $686 million, up 14% year-over-year.

GAAP EPS was $0.61; non-GAAP EPS was $0.75.

Net income was $98.9 million.

Board approved a $1 billion share repurchase program, up from $400 million.

Total Revenue
$686M
Previous year: $600M
+14.3%
EPS
$0.75
Previous year: $0.51
+47.1%
Revenue Growth
14%
Gross Profit
$415M
Previous year: $339M
+22.4%
Cash and Equivalents
$476M
Previous year: $707M
-32.8%
Free Cash Flow
$97.6M
Previous year: -$36.7M
-365.7%
Total Assets
$3.71B
Previous year: $3.41B
+8.7%

Teradyne

Teradyne

Teradyne Revenue by Segment

Forward Guidance

Teradyne expects Q2 2025 revenue between $610 million and $680 million, with lower GAAP and non-GAAP EPS compared to Q1 due to limited visibility and market uncertainties.

Positive Outlook

  • Guidance revenue range up to $680 million.
  • Non-GAAP EPS guidance range up to $0.64.
  • Continued strong demand in Semiconductor Test anticipated.
  • Positioned for growth from AI and electrification trends.
  • Expanded $1B share repurchase program supports shareholder value.

Challenges Ahead

  • Limited visibility into the second half of 2025.
  • Trade policy impacts on end-market demand remain uncertain.
  • Operating expenses expected to remain high.
  • Potential supply chain disruptions could affect deliveries.
  • Macroeconomic uncertainties may impact customer spending.

Revenue & Expenses

Visualization of income flow from segment revenue to net income