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BRIEFINGS · Chips and AI hardware

GlobalFoundries reports $1.786 billion of quarterly revenue and ties growth to AI optical networking

GlobalFoundries said its data center communications business, about 16% of revenue, grew over 60% from a year earlier on optical networking demand.

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On 5 August 2026 GlobalFoundries, a chip maker, reported second-quarter revenue of $1.786 billion, against $1.688 billion a year earlier and $1.634 billion in the prior quarter. It guided third-quarter revenue to $1.885 billion, plus or minus $25 million. Its CEO tied the momentum to optical networking within the AI data center. On the earnings call the CFO said that communications infrastructure and data center was about 16% of second-quarter revenue, and the CEO said its communications infrastructure and data center end market grew over 60% from a year earlier, driven by optical networking demand, and that it now expects silicon photonics revenue to more than double in 2026. IFRS operating profit was $174 million against $196 million a year earlier (down 11%), net income was $167 million against $228 million, and non-IFRS operating profit was $298 million against $258 million (up 16%). The release also notes a July letter of intent for a $300 million U.S. Commerce Department award for silicon photonics, which is not yet a final award.

What this doesn't prove

Company statements: the 60% growth and the silicon photonics expectation are from the call, and the 16% share is the CFO's. IFRS operating profit was $174 million against $196 million a year earlier and net income $167 million against $228 million. Non-IFRS adjusted free cash flow was -$3 million against $277 million, with capital expenditures net of government grants of $408 million against $154 million. The $300 million Commerce award is under a letter of intent, not a final award.

Next fixture

  • Whether third-quarter revenue reaches the guided $1.885 billion and silicon photonics revenue doubles in 2026.

Sources

Every figure above comes from these sources. Every briefing is checked against its sources before it publishes. Nothing here is a recommendation to buy or sell anything, and this is not investment advice. See the disclosures.

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