GlobalFoundries posts record Q3 margins, announces $4 bn 2027 capex and accelerates silicon‑photonic revenue goal
GlobalFoundries reported third‑quarter 2026 revenue of about $1.90 billion, up 13% year‑over‑year, and adjusted earnings of $0.53 per share, beating estimates. The company posted a record non‑IFRS gross margin of 31.4% and announced a $4 billion net capital‑expenditure plan for 2027, including a $2 billion manufacturing agreement with TSMC. It also moved its silicon‑photonics run‑rate target to $1 billion by the end of 2027, ahead of the prior 2028 timeline.
Why it matters
The higher‑margin results improve profitability, but the large 2027 capex plan and accelerated photonics target may pressure cash flow and dilute equity, which contributed to an 8% share‑price decline. Analysts note that the expanded photonics revenue could drive future growth if the capacity expansion succeeds.
Key facts
- 1Q3 2026 revenue was $1.90 billion, up 13% YoY. investing.com
- 2Adjusted earnings per share were $0.53, beating the $0.50 consensus. finance.biggo.com
- 3Non‑IFRS gross margin reached a record 31.4%. investing.com
- 4Shares fell 8.58% to $39.21 after the release. investing.com
- 5The company outlined a $4 billion net CapEx plan for 2027. finance.biggo.com
- 6A multi‑year $2 billion manufacturing agreement with TSMC was announced. investing.com
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.