GlobalFoundries Reports Record Gross Margins and Strong Q3 2026 Growth Driven by Data Center Demand
GlobalFoundries (GFS) reported strong third-quarter 2026 financial results, highlighted by a record non-IFRS gross margin of 31.4%, representing a 540 basis point expansion year-over-year. Net revenue reached $1.899 billion, a 13% increase driven by higher shipment volumes and an improved product mix. While the smart mobile devices segment saw a 19% decline due to smartphone market weakness, significant growth was observed in communications infrastructure/data centers (+81%) and home/industrial IoT (+49%). The company is seeing massive momentum in silicon photonics, with an expected $1 billion annualized run rate by the end of 2027. Supported by a $955 million CHIPS Act award reallocation, GlobalFoundries plans to accelerate capital expenditures for advanced packaging and optical networking in New York and Vermont. Management provided optimistic Q4 revenue guidance between $1.975 billion and $2.025 billion.
Tickers: $GFS
Topics: automotive sector data center demand gross margin revenue growth wafer shipments