ON Semiconductor Corporation (ON) Earnings Call Transcripts

ON Semiconductor Corporation's Latest Earnings Call - August 11, 2026

In the second quarter of fiscal year 2026, ON Semiconductor Corporation reported revenues of $2.1 billion, exceeding expectations and reflecting a 15% year-over-year increase. Earnings per share (EPS) came in at $0.75, beating consensus estimates by $0.05. Management signaled a positive outlook, raising guidance for Q3, anticipating continued growth driven by increased utilization and strong demand in the AI data center segment, which is projected to more than double this year.

Reported metrics

Guidance from management

Management raised guidance for Q3, expecting continued growth driven by increased utilization and strong demand in AI data centers. They anticipate further gross margin improvements into 2027.

What management said

Yes. So where we're at with GaN, we've sampled our high-voltage vertical GaN. So you think about it, monolithic 1,200 volts. So it's non-stack die, single die, 1,200 volts, high power. We sampled in both in AI data centers and we sampled in automotive. Quals are progressing as expected and the fab is -- I mean, we build in our own fab. So all of the big hurdles that I would say is, can you manufacture it? Is it yield...

And what I would add is it's accretive to our gross margin target, right, today. We believe we can take our scale and leverage that platform. So we can take our distribution network, our thousands of customers, and we can take that product broad very quickly, which is something they've struggled with. The other thing over time is we can think about our manufacturing footprint and say, how do we improve those margins ...

What analysts pressed on

Analysts expressed concerns regarding the lack of replenishment in the automotive sector, questioning the sustainability of demand growth. There were also inquiries about the integration and potential risks associated with the Synaptics acquisition.

Main topics on the call

• Increased Utilization and Margin Expansion — Management highlighted that utilization rates increased from 68% at the end of last year to 83% currently, with expectations to reach 92-93%. CEO Hassane El-Khoury stated, "every point of utilization is 25 to 30 basis po...
• AI Data Center Growth — The AI data center business is expected to more than double this year, with revenue projected to rise from $250 million to over $500 million. El-Khoury noted, "the strength that we saw in the second quarter was actually ...
• Automotive Demand Concerns — Despite increased backlog, management expressed concerns about the automotive sector, stating, "we haven't seen a replenishment cycle, which is the reason for concern." This indicates potential risks if demand increases ...
• Synaptics Acquisition Insights — Management addressed investor concerns regarding the Synaptics acquisition, emphasizing that it is "accretive to our gross margin target" and will enhance their distribution capabilities. El-Khoury stated, "1 plus 1 is m...

Read the full ON Semiconductor Corporation transcript (August 11, 2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 88 ON Semiconductor Corporation earnings call transcripts on record, spanning January 7, 2020 to August 11, 2026. Based on this history, ON Semiconductor Corporation reports quarterly. The most recent call on file is dated August 11, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

ON

Exchange

NasdaqGS

Country

US

Sector

Information Technology

Industry

Semiconductors and Semiconductor Equipment

Calls on record

88

First call

January 7, 2020

Most recent

August 11, 2026

Reporting cadence

quarterly