01—Abstract
Summary
Summary of the 8-K filed August 3, 2026. Cited figures are marked; the original filing is the authoritative source.
onsemi (Nasdaq: ON) reported second quarter 2026 results for the quarter ended July 3, 2026, in a news release furnished as Exhibit 99.1 to this Form 8-K.
Revenue was $1,603.5 milliona, up from $1,513.3 million in the first quarter of 2026 and $1,468.7 million in the second quarter of 2025. GAAP diluted earnings per share were $0.56 (versus $(0.08) in Q1 2026 and $0.41 in Q2 2025), and non-GAAP diluted EPS was $0.74. GAAP operating margin was 16.1% and non-GAAP operating margin was 20.8%.
Free cash flow was $425.4 millionb, compared with $217.2 million in the prior quarter and $106.1 million a year earlier. The company repurchased $332 million of shares in the quarter, and the release states that year-to-date shareholder returns were approximately 105% of free cash flow. By segment, Power Solutions Group (PSG) revenue rose to $829.0 million, Analog & Mixed-Signal Group (AMG) revenue was $545.7 million, and Intelligent Sensing Group (ISG) revenue was $228.8 million.
Management stated that AI data center revenue is the fastest-growing business and now expects revenue to more than double in 2026. The company also announced a planned acquisition of Synaptics.
For the third quarter of 2026, onsemi guided GAAP revenue of $1,650 to $1,750 millionc, GAAP gross margin of 39.9% to 41.9%, and GAAP diluted EPS of $0.79 to $0.91, with non-GAAP diluted EPS guidance of $0.81 to $0.93. The company also reported a $1,473.7 million debt issuance and borrowings during the quarter, with long-term debt rising to $3,657.3 million at July 3, 2026, and cash and cash equivalents of $3,514.5 million.
02—Key points
Key Highlights
- Q2 2026 revenue of $1,603.5 million, up from $1,513.3 million in Q1 2026 and $1,468.7 million in Q2 2025
- GAAP diluted EPS of $0.56 versus $(0.08) in Q1 2026 and $0.41 in Q2 2025; non-GAAP diluted EPS of $0.74
- Free cash flow of $425.4 million, versus $217.2 million in Q1 2026 and $106.1 million in Q2 2025
- Share repurchases of $332 million in the quarter; year-to-date shareholder returns approximately 105% of free cash flow
- Q3 2026 guidance: revenue of $1,650 to $1,750 million and non-GAAP diluted EPS of $0.81 to $0.93
- Planned acquisition of Synaptics announced; management says AI data center revenue is expected to more than double in 2026
- Debt activity in the quarter: $1,473.7 million of debt issuance and borrowings, with long-term debt of $3,657.3 million at July 3, 2026
03—Questions
Frequently Asked Questions
How did onsemi perform in the second quarter of 2026?
Revenue was $1,603.5 million, GAAP gross margin was 38.4%, GAAP operating margin was 16.1%, and GAAP diluted EPS was $0.56. Non-GAAP diluted EPS was $0.74, and the company stated that results were above the midpoint of its guidance.
What is the outlook for the third quarter of 2026?
The company guided GAAP revenue of $1,650 to $1,750 million, GAAP gross margin of 39.9% to 41.9%, and GAAP diluted EPS of $0.79 to $0.91. Non-GAAP diluted EPS guidance is $0.81 to $0.93.
Which business segments drove revenue?
PSG revenue was $829.0 million, up from $736.6 million in Q1 2026 and $698.2 million in Q2 2025. AMG revenue was $545.7 million and ISG revenue was $228.8 million, down from $236.3 million in Q1 2026.
What did management say about AI data center demand?
CEO Hassane El-Khoury said AI data center is the company's fastest-growing business and that revenue is now expected to more than double in 2026. The release also cites an expanded role in the NVIDIA MGX ecosystem and a platform win with Great Wall.
How did the company use its cash and what is its balance sheet position?
The company repurchased $332 million of shares in the quarter and reported free cash flow of $425.4 million. Cash and cash equivalents rose to $3,514.5 million at July 3, 2026, while long-term debt increased to $3,657.3 million and current portion of long-term debt was $802.1 million.
04—Continue