Tower Semiconductor Ltd
TSEM
ISIN IL0010823792 / Valor 280630
Tower Semiconductor Ltd
UMushroom community rating:
About company
Tower Semiconductor Ltd, traded on NASDAQ and TASE under the ticker TSEM, is a prominent player in the global semiconductor industry, specializing in the production of analog integrated circuits. The company positions itself as a leading foundry, offering high-value analog semiconductor solutions. It serves a diverse and expanding customer base of over 300 clients across various sectors, including automotive, medical, industrial, consumer electronics, and aerospace and defense. Tower Semiconductor's business model is centered on leveraging its strong financial foundation to pursue opportunities for value creation, aiming to enhance shareholder value. With a focus on specialized manufacturing processes, the company caters to the growing demand for analog technology in an array of applications, underscoring its role in the evolving semiconductor landscape.
Summarized from source with an LLMView SourceSector: TechnologyLatest Results (15.05.2026):
Tower Semiconductor Ltd reported results for the first quarter of 2026 (quarter ended March 31, 2026): revenue $414 million (up 15% year‑over‑year), gross profit $111 million, operating profit $65 million and net profit $65 million (basic EPS $0.58; diluted $0.57). The company provided second‑quarter 2026 guidance of $455 million (company record) and reiterated expectations for sequential revenue and margin growth through 2026.
Revenue
Q1 2026 revenue was $414 million, a 15% increase versus Q1 2025, driven by broad‑based growth across key technology platforms.
Profitability
Gross profit rose to $111 million (52% growth YoY) and operating profit to $65 million (96% growth YoY). Net profit was $65 million versus $40 million in Q1 2025; basic EPS $0.58 vs. $0.36 a year earlier.
Cash Flow & CapEx
Cash from operating activities in Q1 included approximately $290 million of prepayments from silicon photonics customers; excluding those prepayments, operating cash flow was $225 million. Net investments in property and equipment (capex) were $156 million for the quarter.
Q2 2026 Guidance
The company guides Q2 2026 revenue to $455 million (±5%), which would be a company record — +22% YoY and +10% sequentially — and expects sequential quarter‑over‑quarter revenue and margin growth through 2026.
Strategic drivers & backlog
Tower highlighted growing customer demand and silicon photonics strength, citing $1.3 billion of contracted SiPho revenue for 2027 from its largest SiPho customers as a visibility driver for future growth.
Capacity & restructuring
Tower is advancing its 300mm strategy, including a restructuring toward full ownership of Fab 7 in Japan to support high‑volume, profitable operations and long‑term customer commitments.
Outlook caveats & non‑GAAP items
The release reiterates non‑GAAP measures (EBITDA, Free Cash Flow, Net Cash) and warns that forward‑looking guidance is subject to risks and uncertainties (customer demand, execution, capital needs, geopolitical and market factors) as described in the company’s disclosures.
Summarized from source with an LLMView SourceKey figures
Performance
Volatility
31342 M
Market cap (USD)
1,455,374
Daily traded volume (Shares)
52.36 / 51.36
1 day high/low (USD)
52 weeks high/low (USD)
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Ratings & reviews
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