Published by Global Banking & Finance Review®
Posted on February 11, 2026
2 min readLast updated: February 11, 2026
Add as preferred source on GoogleGlobalFoundries projects strong Q1 revenue due to high chip demand, particularly in AI infrastructure, and announces a $500 million share buyback.
Feb 11 (Reuters) - GlobalFoundries forecast first-quarter revenue above Wall Street expectations on Wednesday, bolstered by strong demand for its chips, and announced a $500 million share buyback program, sending its shares up over 7% in premarket trading.
GlobalFoundries has been increasingly shifting to cater to the high-growth artificial intelligence infrastructure sector, making specialized chips that allow data centers to transfer data between each other at high speeds.
In November, the company bought Advanced Micro Foundry, a Singapore-based chipmaker that focuses on silicon photonics, a technology that uses pulses of light to transmit data.
GlobalFoundries said it doubled silicon photonics revenue to over $200 million last year, and expects it to nearly double again this year.
GlobalFoundries forecast first-quarter revenue of $1.63 billion, plus or minus $25 million, compared with estimates of $1.61 billion, according to data compiled by LSEG.
It expects adjusted earnings per share of 35 cents, plus or minus 5 cents, while analysts expect 34 cents.
Revenue for the fourth quarter came in at $1.83 billion, beating estimates of $1.80 billion.
On an adjusted basis, the company earned 55 cents per share, compared with estimates of a profit of 47 cents.
(Reporting by Zaheer Kachwala in Bengaluru; Editing by Sahal Muhammed)
Revenue growth refers to the increase in a company's sales over a specific period, often compared to previous periods. It indicates how well a company is performing financially.
Specialized chips are custom-designed semiconductor devices tailored for specific applications, such as data processing in artificial intelligence and high-speed data transfer in data centers.
A share buyback program is when a company repurchases its own shares from the marketplace, reducing the number of outstanding shares and often increasing the value of remaining shares.
Adjusted earnings per share (EPS) is a company's earnings per share that have been modified to exclude one-time items or non-recurring expenses, providing a clearer view of ongoing profitability.
Silicon photonics is a technology that uses silicon as a medium for transmitting data using light, allowing for faster data transfer rates and improved performance in data centers.
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