NASDAQ$TER

Teradyne Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Teradyne's first quarter results were reported with revenue and earnings exceeding the midpoint of Q1 guidance.

Teradyne reported Q1 2023 revenue of $618 million, a decrease of 18% compared to Q1 2022. GAAP EPS was $0.50, and non-GAAP EPS was $0.55. The company returned $110 million to shareholders through share repurchases and dividends.

  • Revenue and earnings surpassed the midpoint of Q1 guidance.
  • Q1 2023 revenue reached $618 million, reflecting an 18% decrease from Q1 2022.
  • Shareholders received $110 million through share repurchases and dividends in Q1 2023.
  • The company anticipates stronger demand in automotive and industrial semiconductor test, which is expected to partially offset the ongoing weakness in smartphone-related end markets.

Headline financials

Total Revenue

$618M

Previous: $755M-18.2%
EPS (adj)

$0.55

Previous: $0.98-43.9%
Capital Expenditures

-$41.4M

Previous: -$44M+5.8%
Free Cash Flow

$42.1M

Previous: $118M-64.3%
Net Income

$83.5M

Previous: $162M-48.4%
Operating Income

$92.9M

Previous: $186M-50.0%
Gross Profit

$356M

Previous: $455M-21.7%
Cash & Equivalents

$649M

Previous: $795M-18.3%
Total Assets

$3.38B

Previous: $3.61B-6.3%
Stock-Based Comp

$18.9M

Previous: $12.9M+46.5%

Revenue & EPS history

Teradyne · Revenue · Quarterly

$618M

Q1 2023-18.2%vs Q1 2022
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Teradyne · $504M total across 2 segments · Q1 2023

  • Semiconductor Test
    $415M-13.9%
  • Robotics
    $89M-13.6%

Forward guidance

Teradyne anticipates Q2 2023 revenue between $625 million and $685 million, with GAAP net income per diluted share between $0.53 and $0.72, and non-GAAP net income per diluted share between $0.55 and $0.74.

Tailwinds

  • Revenue between $625 million and $685 million is expected.
  • GAAP net income per diluted share is projected to be $0.53 to $0.72.
  • Non-GAAP net income per diluted share is anticipated to be $0.55 to $0.74.
  • Guidance excludes acquired intangible asset amortization.
  • Guidance includes the related tax impact on non-GAAP adjustments.

Headwinds

  • Slowing global industrial growth is contributing to softening near-term demand in Robotics.
  • Ongoing weakness in smartphone related end markets.
  • New regulations restricting the export to China of advanced semiconductors, supercomputer technology, equipment for the manufacturing of advanced semiconductors and components and technology for the manufacturing in China of certain semiconductor manufacturing equipment.
  • Restrictions on the sale of semiconductor testers in China to test certain advanced semiconductors will impact Teradyne’s sales to certain companies in China.
  • The Company also has determined that the restrictions on the export of certain US origin components and technology for use in the development and production in China of certain semiconductor manufacturing equipment impact its manufacturing and development operations in China.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

-0.2%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+4.8%

Avg return

30 days after

45%

31 / 69 earnings

Positive

+23.7%

Q2 2019

Best reaction

-19.6%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%+16.6%+22.3%
Q4 2025+8.2%+20.3%+22.5%
Q3 2025+20.7%+26.8%+26.0%
Q2 2025+0.0%+2.2%+13.5%
Q1 2025-2.5%-1.2%+5.4%
Q4 2024-5.7%-8.5%-10.0%
Q3 2024-11.7%-11.2%-13.7%
Q2 2024-18.3%-16.0%-10.7%
Q1 2024+9.1%+18.5%+44.2%
Q4 2023-8.9%-9.1%-2.3%
Q3 2023-7.1%-8.9%+1.0%
Q2 2023-5.6%-3.7%-11.5%
Q1 2023-4.2%-2.2%+9.9%
Q4 2022+0.6%-2.8%-2.3%
Q3 2022+6.2%+7.6%+21.4%
Q2 2022-2.2%+0.8%-3.8%
Q1 2022-5.6%-6.3%-6.8%
Q4 2021-19.6%-15.1%-13.2%
Q3 2021+4.9%+17.9%+28.6%
Q2 2021-4.2%-0.3%-8.1%
Q1 2021-0.8%-6.3%-2.1%
Q4 2020-13.1%-14.9%-6.9%
Q3 2020+6.2%+6.1%+22.8%
Q2 2020-0.3%-6.9%-1.1%
Q1 2020+0.5%-0.8%-1.2%
Q4 2019+6.5%-2.9%-7.8%
Q3 2019+1.1%+5.9%+2.9%
Q2 2019+23.7%+20.3%+14.5%
Q1 2019+7.0%+8.7%-5.7%
Q4 2018+13.3%+15.6%+29.7%
Q3 2018-6.4%+0.2%+10.9%
Q2 2018+5.5%+8.6%-1.1%
Q1 2018-14.2%-17.9%-4.8%
Q4 2017-7.5%-3.2%-8.3%
Q3 2017+7.2%+8.9%+11.3%
Q2 2017-4.8%-4.2%-4.3%
Q1 2017+8.3%+6.6%+6.0%
Q4 2016+3.9%+8.6%+9.1%
Q3 2016+4.1%+6.2%+14.7%
Q2 2016-3.2%-6.5%-0.3%
Q1 2016-7.3%
Q4 2015-4.2%
Q3 2015+8.5%
Q2 2015+3.4%
Q1 2015+9.6%
Q4 2014-1.4%
Q3 2014-0.1%
Q2 2014-8.7%
Q1 2014-5.9%
Q4 2013+2.6%
Q3 2013+0.5%
Q2 2013-6.0%
Q1 2013+8.1%
Q4 2012-5.1%
Q3 2012+1.9%
Q2 2012+0.2%
Q1 2012+0.8%
Q4 2011-2.8%
Q3 2011+1.7%
Q2 2011+5.5%
Q1 2010-2.2%
Q1 2011-0.2%
Q4 2008-0.1%
Q4 2010-0.1%
Q3 2009+1.0%
Q3 2010+1.0%
Q4 2009-2.7%
Q2 2009-2.7%
Q2 2010-2.7%

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