GLOBALFOUNDRIES Inc. Earnings Summary — Q1 2026

• Revenue grew 3.09% year-over-year to $1.63 billion, showing moderate resilience in specialty nodes.
• Net income experienced a sharp year-over-year decline of 50.95%, pressured by rising operating expenses.
• Gross profit margins stood at approximately 27.6%, reflecting higher cost of revenue relative to the prior year period.
• Selling, General & Administrative (SG&A) expenses rose significantly to $139 million from $77 million a year ago.
• Operating income for the quarter was $180 million, representing an 11% operating margin.
• The company continues to pivot toward non-leading edge specialty processes to avoid competition with TSMC.

Management emphasizes a 'China Plus One' strategy and geographic diversification across the US, Germany, and Singapore, while utilizing Long Term Agreements (LTAs) to manage volatility.

Deteriorating

While revenue grew slightly YoY, the steep decline in net profit and rising operational costs indicate margin pressure compared to previous years.

GlobalFoundries is focused on securing US CHIPS Act grants and ramping production in specialty sectors like RF SOI and Silicon Photonics while navigating smart mobile demand cycles.