v3.26.1
Reportable Segment and Geographic Information
 6 Months Ended
Jun. 28, 2026
Segment Reporting [Abstract]  
Reportable Segment and Geographic Information Reportable Segment and Geographic Information
Prior to the completion of the Fab 25 acquisition, the Company operated as a single reportable segment which reflected how the Company managed its business and the nature of its services. Following the Fab 25 acquisition, the Company re-evaluated its reportable segments and now operates as two distinct reportable segments, Legacy SkyWater and SkyWater Texas. This determination aligns with how our Chief Executive Officer, who was our chief operating decision maker (“CODM”) has assessed segment operating performance and allocated resources since the acquisition of Fab 25. Prior to the acquisition, the CODM utilized net earnings as the primary measure of segment profit or loss. Subsequent to the completion of the Fab 25 acquisition, net earnings has been the primary measure of segment profit or loss utilized by the CODM in regard to evaluating segment performance and allocation of resources. Total assets by segment are not presented as that information is not used to allocate resources or assess performance at the segment level and is not regularly reviewed by the CODM.
•Legacy SkyWater: A technology foundry that offers advanced semiconductor development and manufacturing services from its fabrication facility in Bloomington, Minnesota and advanced packaging services from its Kissimmee Florida facility. Legacy SkyWater provides ATS and Wafer Services product offerings.
•SkyWater Texas: A high-volume manufacturer that offers manufacturing services from its fabrication facility in Austin, Texas. SkyWater Texas provides Wafer Services product offerings focused on 200 mm semiconductor fabrication, copper processing, high-voltage technology services and 65 nm node infrastructure support.
The following table represents the results of the Company’s reportable segments:
Three-Month Period Ended
June 28, 2026June 29, 2025
Legacy SkyWaterSkyWater TexasTotalLegacy SkyWaterSkyWater TexasTotal
Revenue$68,966 $87,411 $156,377 $59,063 $— $59,063 
Cost of revenue
Labor25,296 26,411 51,707 20,892 — 20,892 
Direct expenses19,303 33,937 53,240 22,362 — 22,362 
Cost of tool revenue1,922 — 1,922 881 — 881 
Depreciation and amortization4,804 9,493 14,297 4,029 — 4,029 
Total cost of revenue51,325 69,841 121,166 48,164 — 48,164 
Gross profit17,641 17,570 35,211 10,899 — 10,899 
Research and development expense5,102 554 5,656 3,368 — 3,368 
Selling, general, administrative expense
Labor12,903 2,994 15,897 6,510 — 6,510 
Direct expenses9,032 2,419 11,451 7,353 — 7,353 
Depreciation and amortization241 55 296 146 — 146 
Total selling, general, and administrative expense$22,176 $5,468 $27,644 $14,009 $— $14,009 
Operating (loss) income
(9,637)11,548 1,911 (6,478)— (6,478)
Other expense:
Interest expense(6,671)(378)(7,049)(1,637)— (1,637)
Total other expense
$(6,671)$(378)$(7,049)$(1,637)$— $(1,637)
(Loss) income before income taxes
(16,308)11,170 (5,138)(8,115)— (8,115)
Income tax (benefit) expense
22 — 22 742 — 742 
Net (loss) income
$(16,330)$11,170 $(5,160)$(8,857)$— $(8,857)
Six-Month Period Ended
June 28, 2026June 29, 2025
Legacy SkyWaterSkyWater TexasTotalLegacy SkyWaterSkyWater TexasTotal
Revenue$143,334 $173,729 $317,063 $120,359 $— $120,359 
Cost of revenue
Labor48,645 53,503 102,148 42,160 — 42,160 
Direct expenses43,813 64,785 108,598 43,009 — 43,009 
Cost of tool revenue12,540 — 12,540 1,911 — 1,911 
Depreciation and amortization7,672 18,742 26,414 8,123 — 8,123 
Total cost of revenue112,670 137,030 249,700 95,203 — 95,203 
Gross profit30,664 36,699 67,363 25,156 — 25,156 
Research and development expense9,476 1,176 10,652 6,617 — 6,617 
Selling, general, administrative expense
Labor21,832 5,443 27,275 13,623 — 13,623 
Direct expenses25,792 6,297 32,089 15,130 — 15,130 
Depreciation and amortization518 195 713 286 — 286 
Total selling, general, and administrative expense$48,142 $11,935 $60,077 $29,038 $— $29,038 
Operating (loss) income
(26,954)23,588 (3,366)(10,499)— (10,499)
Other expense:
Interest expense(12,700)(508)(13,208)(3,450)— (3,450)
Total other expense
$(12,700)$(508)$(13,208)$(3,450)$— $(3,450)
(Loss) income before income taxes
(39,654)23,080 (16,574)(13,949)— (13,949)
Income tax (benefit) expense
(262)— (262)1,126 — 1,126 
Net (loss) income
$(39,392)$23,080 $(16,312)$(15,075)$— $(15,075)
The following table discloses revenue for the for the three- and six-month periods ended June 28, 2026 and June 29, 2025 by country as determined based on customer address:
Three-Month Period Ended
Six-Month Period Ended
June 28, 2026June 29, 2025June 28, 2026June 29, 2025
United States$146,689 $53,780 $298,083 $111,026 
Canada5,301 3,030 9,735 560 
Hong Kong997 293 1,869 5,342 
United Kingdom— 560 — 767 
Israel2,161 — 3,431 — 
All others1,229 1,400 3,945 2,663 
Total$156,377 $59,063 $317,063 $120,359 
Two customers each accounted for 10% or more of revenue, and in aggregate accounted for 72% and 68% of revenue for the three- and six-month periods ended June 28, 2026, respectively. One customer accounted for 10% or more of revenue, and accounted for 43% and 41% of revenue for the three- and six-month periods ended June 29, 2025, respectively. One customer accounted for 65% of accounts receivable as of June 28, 2026 and there were no other customers that exceeded 10% of total accounts receivable. The loss of a major customer could adversely affect the Company’s operating results and financial condition.