Onsemi reported second quarter 2026 revenue of $1.604 billion, up 9% year-over-year. The company posted GAAP diluted earnings per share of $0.56 and non-GAAP diluted earnings per share of $0.74. Cash from operations increased 150% whilst free cash flow quadrupled year-over-year to $425.4 million. The company repurchased $332 million in shares, bringing year-to-date shareholder returns to approximately 105% of free cash flow. Onsemi expects its AI data centre revenue to more than double in 2026. The company announced plans to acquire Synaptics and launched GaNEXUS, its gallium nitride power portfolio spanning 40V to 650V for AI data centres, robotics, and industrial infrastructure applications.

Onsemi will report earnings on Monday after the bell. The analog chipmaker beat revenue expectations last quarter with $1.51 billion, up 4.7% year on year. Analysts expect this quarter's revenue to grow 8.2% year on year, reversing the 15.4% decrease from the same quarter last year. Analysts have largely reconfirmed their estimates over the past 30 days. Peers have shown mixed results. Monolithic Power Systems reported 47.6% revenue growth, beating expectations by 8.6%, whilst Impinj's revenues rose 10.7%, topping estimates by 3.5%. Onsemi shares are down 14.2% over the past month, trading at $81.34 against an average analyst price target of $113.12.

onsemi to sell two manufacturing sites under Fab Right strategy. July 8, 2026 /SemiMedia/ - onsemi said it will sell two manufacturing facilities as part of a broader effort to reduce costs, improve efficiency and raise margins. The move is part of the company's "Fab Right" strategy, which is designed to streamline its manufacturing footprint and focus resources on the most competitive and scalable parts of its business. onsemi produces power chips and sensor chips used in electric vehicles, industrial equipment, factories and AI data centers. As demand grows for efficient power devices and intelligent sensing, the company is adjusting its manufacturing assets to improve long-term profitability. The company's facility in Tarlac, Philippines, will be sold to Greatek Electronics, a semiconductor packaging and testing company. The transaction is expected to close within the next three to six months. onsemi's facility in Mountain Top, Pennsylvania, will be sold to Swedish semiconductor company Silex Microsystems. That transaction is expected to close in January 2028, giving onsemi time to transfer production to other facilities. Financial terms of the transactions were not disclosed. The two facilities will continue operating during the transition period. onsemi has also entered into a long-term supply agreement with Greatek Electronics to ensure continuity of supply for customers. The company expects the transactions to generate about $35 million in annual savings. Initial savings are expected to begin in 2027, with the full benefit realized in 2028. Industry analysts said the divestitures show that onsemi is continuing to simplify its manufacturing network. By selling selected facilities, the company can reduce fixed costs and allocate more capital and management resources to higher-growth areas such as silicon carbide, power management, automotive sensing and AI data center power. The restructuring comes as power semiconductor suppliers face mixed demand conditions. Electric vehicle demand has been uneven, industrial markets are recovering at different speeds, while AI data centers are increasing demand for high-efficiency power solutions. For onsemi, the Fab Right strategy is not only about reducing capacity, but also about improving manufacturing flexibility and capital efficiency. Micron begins $9.48 billion Hiroshima expansion for AI memory chips