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Segment Information
 9 Months Ended
Sep. 28, 2025
Segment Reporting [Abstract]  
Segment Information

U. SEGMENT INFORMATION

As of December 31, 2024, Teradyne had two reportable segments (Semiconductor Test and Robotics) and four operating segments (Semiconductor Test, System Test, Wireless Test, and Robotics). Effective March 2025, Teradyne's Chief Operating Decision Maker ("CODM") (Teradyne's Chief Executive Officer) placed Regan Mills as President, Product Test, which as of that date included Production Board Test, Defense/Aerospace, and Wireless Test. As noted in 'Note D. Acquisitions' and based on the underlying business activities and established reporting structure, upon acquisition, PIC Testing was aggregated into Product Test. As a result, Teradyne has three reportable segments (Semiconductor Test, Robotics, and Product Test). As of September 28, 2025, each of Teradyne's reportable segments represents an individual operating segment. All prior period disclosures have been recast to conform to the current segment structure and presentation requirements.

The Semiconductor Test segment includes operations related to the design, manufacturing and marketing of semiconductor test products and services inclusive of storage and system level test products. The Robotics segment includes operations related to the design, manufacturing and marketing of collaborative robotic arms and autonomous mobile robots. The Product Test segment includes operations related to the design, manufacturing and marketing of products and services for defense/aerospace test, circuit-board test, wireless test systems, and silicon photonics testing. Each reportable segment has a segment manager who is accountable to and maintains regular contact with Teradyne’s CODM to discuss operating activities, financial results, forecasts, and plans for the segment.

The CODM uses business segment income (loss) before income taxes predominantly in the annual budgeting and forecasting process. The CODM also uses this measure when making decisions about the allocation of operating and capital resources to each segment. The accounting policies of the business segments are the same as those described in Teradyne’s Annual Report on Form 10-K in Note B: “Accounting Policies.”

Segment information for the three and nine months ended September 28, 2025, and September 29, 2024, is as follows:

 

 

Semiconductor
Test

 

 

Robotics

 

 

Product Test

 

 

Total Reportable Segments

 

 

Corporate
and Eliminations

 

 

Consolidated

 

 

(in thousands)

 

Three months ended September 28, 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

605,867

 

 

$

75,087

 

 

$

88,256

 

 

$

769,210

 

 

$

—

 

 

$

769,210

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenues

 

248,971

 

 

 

32,974

 

 

 

32,323

 

 

 

314,268

 

 

 

—

 

 

 

314,268

 

Engineering and development

 

85,331

 

 

 

14,395

 

 

 

13,106

 

 

 

112,832

 

 

 

—

 

 

 

112,832

 

Selling and marketing

 

58,983

 

 

 

23,400

 

 

 

12,703

 

 

 

95,086

 

 

 

—

 

 

 

95,086

 

General and administrative

 

27,161

 

 

 

9,746

 

 

 

6,108

 

 

 

43,015

 

 

 

(298

)

 

 

42,717

 

Other segment items (1)(2)

 

34,589

 

 

 

12,139

 

 

 

8,120

 

 

 

54,848

 

 

 

1,359

 

 

 

56,207

 

Income (loss) before taxes (2)

 

150,832

 

 

 

(17,567

)

 

 

15,896

 

 

 

149,161

 

 

 

(1,061

)

 

 

148,100

 

Total assets (3)

 

1,564,196

 

 

 

739,066

 

 

 

371,793

 

 

 

2,675,055

 

 

 

1,288,676

 

 

 

3,963,731

 

Property additions

 

40,341

 

 

 

1,450

 

 

 

4,901

 

 

 

46,692

 

 

 

—

 

 

 

46,692

 

Depreciation and amortization expense

 

22,979

 

 

 

4,615

 

 

 

2,919

 

 

 

30,513

 

 

 

3

 

 

 

30,516

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three months ended September 29, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

568,518

 

 

$

88,651

 

 

$

80,129

 

 

$

737,298

 

 

$

—

 

 

$

737,298

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenues

 

223,828

 

 

 

36,367

 

 

 

30,057

 

 

 

290,252

 

 

 

—

 

 

 

290,252

 

Engineering and development

 

74,007

 

 

 

17,438

 

 

 

11,857

 

 

 

103,302

 

 

 

—

 

 

 

103,302

 

Selling and marketing

 

46,332

 

 

 

29,408

 

 

 

12,901

 

 

 

88,641

 

 

 

—

 

 

 

88,641

 

General and administrative

 

23,208

 

 

 

15,292

 

 

 

5,394

 

 

 

43,894

 

 

 

(1,356

)

 

 

42,538

 

Other segment items (1)(2)

 

33,722

 

 

 

14,352

 

 

 

6,762

 

 

 

54,836

 

 

 

(1,255

)

 

 

53,581

 

Income (loss) before taxes (2)

 

167,421

 

 

 

(24,206

)

 

 

13,158

 

 

 

156,373

 

 

 

2,611

 

 

 

158,984

 

Total assets (3)

 

1,360,277

 

 

 

794,277

 

 

 

202,927

 

 

 

2,357,481

 

 

 

1,412,247

 

 

 

3,769,728

 

Property additions

 

42,802

 

 

 

6,441

 

 

 

2,598

 

 

 

51,841

 

 

 

—

 

 

 

51,841

 

Depreciation and amortization expense

 

21,278

 

 

 

7,338

 

 

 

1,684

 

 

 

30,300

 

 

 

(11

)

 

 

30,289

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine months ended September 28, 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

1,640,249

 

 

$

218,940

 

 

$

247,498

 

 

$

2,106,687

 

 

$

—

 

 

$

2,106,687

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenues

 

658,919

 

 

 

99,421

 

 

 

95,448

 

 

 

853,788

 

 

 

—

 

 

 

853,788

 

Engineering and development

 

247,668

 

 

 

44,319

 

 

 

37,319

 

 

 

329,306

 

 

 

—

 

 

 

329,306

 

Selling and marketing

 

163,270

 

 

 

72,155

 

 

 

36,103

 

 

 

271,528

 

 

 

—

 

 

 

271,528

 

General and administrative

 

79,845

 

 

 

29,490

 

 

 

16,773

 

 

 

126,108

 

 

 

2,383

 

 

 

128,491

 

Other segment items (1)(2)

 

88,150

 

 

 

46,832

 

 

 

21,771

 

 

 

156,753

 

 

 

3,137

 

 

 

159,890

 

Income (loss) before taxes (2)

 

402,397

 

 

 

(73,277

)

 

 

40,084

 

 

 

369,204

 

 

 

(5,520

)

 

 

363,684

 

Total assets (3)

 

1,564,196

 

 

 

739,066

 

 

 

371,793

 

 

 

2,675,055

 

 

 

1,288,676

 

 

 

3,963,731

 

Property additions

 

143,666

 

 

 

7,654

 

 

 

10,966

 

 

 

162,286

 

 

 

—

 

 

 

162,286

 

Depreciation and amortization expense

 

69,239

 

 

 

16,624

 

 

 

6,351

 

 

 

92,214

 

 

 

(7

)

 

 

92,207

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine months ended September 29, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

$

1,563,204

 

 

$

266,552

 

 

$

237,240

 

 

$

2,066,996

 

 

$

—

 

 

$

2,066,996

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenues

 

647,625

 

 

 

108,229

 

 

 

86,984

 

 

 

842,838

 

 

 

—

 

 

 

842,838

 

Engineering and development

 

210,616

 

 

 

49,412

 

 

 

34,546

 

 

 

294,574

 

 

 

—

 

 

 

294,574

 

Selling and marketing

 

138,432

 

 

 

82,809

 

 

 

37,103

 

 

 

258,344

 

 

 

—

 

 

 

258,344

 

General and administrative

 

65,794

 

 

 

40,938

 

 

 

15,758

 

 

 

122,490

 

 

 

398

 

 

 

122,888

 

Other segment items (1)(2)

 

92,714

 

 

 

41,263

 

 

 

19,904

 

 

 

153,881

 

 

 

(56,818

)

 

 

97,063

 

Income (loss) before taxes (2)

 

408,023

 

 

 

(56,099

)

 

 

42,945

 

 

 

394,869

 

 

 

56,420

 

 

 

451,289

 

Total assets (3)

 

1,360,277

 

 

 

794,277

 

 

 

202,927

 

 

 

2,357,481

 

 

 

1,412,247

 

 

 

3,769,728

 

Property additions

 

115,041

 

 

 

19,760

 

 

 

5,909

 

 

 

140,710

 

 

 

—

 

 

 

140,710

 

Depreciation and amortization expense

 

62,542

 

 

 

20,896

 

 

 

5,149

 

 

 

88,587

 

 

 

26

 

 

 

88,613

 

 

(1)
For each reportable segment, the other segment items category includes equity and variable compensation, acquired intangible assets amortization, inventory step-up, and restructuring and other charges.
(2)
Included in Corporate and Eliminations are interest income, interest expense, net foreign exchange gains (losses), intercompany eliminations, severance charges, pension and postretirement plan actuarial gains (losses), acquisition and divestiture related expenses, ERP implementation related costs, and an expense for the modification of outstanding equity awards.
(3)
Total assets are attributable to each segment. Corporate assets consist of cash and cash equivalents, marketable securities, and certain other assets.