EXHIBIT 99.01
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News Release
 
Investor Contact:
Stan Finkelstein
Investor Relations
(925) 290-4273
ir@formfactor.com
 


FORMFACTOR, INC. REPORTS 2026 THIRD QUARTER RESULTS
Delivers Revenue, Gross Margin, and Earnings Per Share Exceeding the High End of the Outlook Range;
Sees Continued Strong Broad Based Demand

LIVERMORE, Calif. — October 28, 2026 — FormFactor, Inc. (Nasdaq: FORM) today announced its financial results for the third quarter of fiscal 2026 ended September 26, 2026. Quarterly revenues were $280.5 million, an increase of 8.6% compared to $258.2 million in the second quarter of fiscal 2026, and an increase of 38.4% from $202.7 million in the third quarter of fiscal 2025.

•Fourth consecutive quarterly revenue record, nearly 40% higher than the prior year quarter
•Ten percent sequential growth in Foundry & Logic, with broad-based strength across multiple end applications
•Greater than twenty percent sequential growth in Systems segment revenue on higher demand for co-packaged optics
•Following the end of the third quarter, announced expansion of longstanding partnership with Teradyne aimed at accelerating the development, validation, and high-volume production of next-generation semiconductor applications enabling high-performance compute

“FormFactor continued its strong momentum during the third quarter, delivering growth in revenue, gross margin, and earnings per share that exceeded the high end of our guidance,” said Mike Slessor, CEO of FormFactor, Inc. “These results underscore the strength of our diversified leadership position at the intersection of high-performance compute and advanced packaging, and our ability to meet rising customer demand by increasing output within our existing manufacturing footprint.”

Third Quarter Highlights

On a GAAP basis, net income for the third quarter of fiscal 2026 was $73.8 million, or $0.93 per fully-diluted share, compared to net income for the second quarter of fiscal 2026 of $56.2 million, or $0.71 per fully-diluted share, and net income for the third quarter of fiscal 2025 of $15.7 million, or $0.20 per fully-diluted share. Gross margin for the third quarter of 2026 was 54.7%, compared with 50.7% in the second quarter of 2026, and 39.8% in the third quarter of 2025.
 
On a non-GAAP basis, net income for the third quarter of fiscal 2026 was $82.3 million, or $1.04 per fully-diluted share, compared to net income for the second quarter of fiscal 2026 of $65.0 million, or $0.82 per fully-diluted share, and net income for the third quarter of fiscal 2025 of $25.7 million, or $0.33 per fully-diluted share. On a non-GAAP basis, gross margin for the third quarter of 2026 was 56.5%, compared with 53.3% in the second quarter of 2026, and 41.0% in the third quarter of 2025.

GAAP net cash provided by operating activities for the third quarter of fiscal 2026 was $104.3 million, compared to $61.8 million for the second quarter of fiscal 2026, and $27.0 million for the third quarter of fiscal 2025. Free cash flow for the third quarter of fiscal 2026 was $64.8 million, compared to free cash flow for the second quarter of fiscal 2026 of $52.6 million, and free cash flow for the third quarter of 2025 of $19.7 million.

A reconciliation of GAAP to non-GAAP measures is provided in the schedules included below.




Outlook

Dr. Slessor added, “Our fourth-quarter outlook reflects continued broad-based strength in demand. While the productivity gains from our existing manufacturing footprint are moderating as we approach its capacity limits, we are bringing our new Farmers Branch factory online, which will provide additional capacity to support our growth.”

For the fourth quarter ending December 26, 2026, FormFactor is providing the following outlook*:
GAAPReconciling Items**Non-GAAP
Revenue
$285 million +/- $10 million
—
$285 million +/- $10 million
Gross margin
52.3% +/- 1.5%
$4.9 million
54.0% +/- 1.5%
Net income per diluted share
$0.84 +/- $0.09
$0.11
$0.95 +/- $0.09
*This outlook assumes consistent foreign currency rates.
**Reconciling items are stock-based compensation, amortization of intangible assets, and restructuring charges, net of applicable income tax impacts.

We posted our revenue breakdown by geographic region, by market segment and with customers with greater than 10% of total revenue on the Investor Relations section of our website at www.formfactor.com. We will conduct a conference call at 1:25 p.m. PT, or 4:25 p.m. ET, today.

The public is invited to listen to a live webcast of FormFactor’s conference call on the Investor Relations section of our website at www.formfactor.com. A telephone replay of the conference call will be available approximately two hours after the conclusion of the call. The replay will be available on the Investor Relations section of our website, www.formfactor.com.

Use of Non-GAAP Financial Information:

To supplement our condensed consolidated financial results prepared under generally accepted accounting principles, or GAAP, we disclose certain non-GAAP measures of non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income and free cash flow, that are adjusted from the nearest GAAP financial measure to exclude certain costs, expenses, gains and losses. Reconciliations of the adjustments to GAAP results for the three and nine months ended September 26, 2026, and for outlook provided before, as well as for the comparable period of fiscal 2025, are provided below, and on the Investor Relations section of our website at www.formfactor.com. Information regarding the ways in which management uses non-GAAP financial information to evaluate its business, management's reasons for using this non-GAAP financial information, and limitations associated with the use of non-GAAP financial information, is included under “About our Non-GAAP Financial Measures” following the tables below.

About FormFactor:
 
FormFactor, Inc. (Nasdaq: FORM), is a leading provider of essential test and measurement technologies along the full semiconductor product life cycle - from characterization, modeling, reliability, and design de-bug, to qualification and production test. Semiconductor companies rely upon FormFactor’s products and services to optimize device performance and advance yield knowledge. The Company serves customers through its network of facilities in Asia, Europe, and North America. For more information, visit the Company’s website at www.formfactor.com.

Forward-looking Statements:

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the federal securities laws, including with respect to the Company’s future financial and operating results, market demand, and the Company’s plans, strategies and objectives for future operations. These statements are based on management’s current expectations and beliefs as of the date of this release, and are subject to a number of risks and uncertainties, many of which are beyond the Company’s control, that could cause actual results to differ materially from those described in the forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding future financial and operating results, including under the heading “Outlook” above, the Company's performance, the Company's business strategies, the Company’s production plans, including the expected benefits of the Farmers Branch site, the expected benefits of the Company’s collaboration with Teradyne, and other statements regarding the Company’s business. Forward-looking statements may contain words such as “may,” “might,” “will,” “expect,” “plan,” “anticipate,” “forecast,” “continue,” and “prospect,” and the negative or plural of these words and similar expressions, and include the assumptions that underlie such statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: changes in and impacts from export control, tariffs and other trade barriers; changes in demand for


the Company’s products; customer-specific demand; market opportunity; anticipated industry trends; the availability, benefits, and speed of customer acceptance or implementation of new products and technologies; manufacturing, processing, and design capacity, goals, expansion, volumes, and progress; difficulties or delays in research and development; industry seasonality; risks to the Company’s realization of benefits from acquisitions and investments; demand volatility and cyclicality of the industry; advancement of artificial intelligence; reliance on customers or third parties (including suppliers); changes in macro-economic environments; events affecting global and regional economic and market conditions and stability such as tariffs, military conflicts, political volatility, and similar factors, operating separately or in combination; and other factors, including those set forth in the Company’s most current annual report on Form 10-K, quarterly reports on Form 10-Q and other filings by the Company with the U.S. Securities and Exchange Commission. In addition, there are varying barriers to international trade, including restrictive trade and export regulations such as the US-China restrictions, dynamic tariffs, trade disputes between the U.S. and other countries, and national security developments or tensions, that may substantially restrict or condition our sales to or in certain countries, increase the cost of doing business internationally, and disrupt our supply chain. No assurances can be given that any of the events anticipated by the forward-looking statements within this press release will transpire or occur, or if any of them do so, what impact they will have on the results of operations or financial condition of the Company. Unless required by law, the Company is under no obligation (and expressly disclaims any such obligation) to update or revise its forward-looking statements whether as a result of new information, future events, or otherwise.


FORMFACTOR, INC. 
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
(Unaudited)
 
Three Months EndedNine Months Ended
September 26,
2026		June 27,
2026		September 27,
2025		September 26,
2026		September 27,
2025
Revenues$280,547 $258,242 $202,676 $764,933 $569,830 
Cost of revenues127,151 127,320 122,050 393,821 351,743 
Gross profit153,396 130,922 80,626 371,112 218,087 
Operating expenses:
Research and development29,504 31,099 28,686 91,383 85,279 
Selling, general and administrative35,920 37,165 32,971 105,377 97,907 
Factory start-up costs
6,375 4,859 964 18,308 1,321 
Total operating expenses71,799 73,123 62,621 215,068 184,507 
Operating income81,597 57,799 18,005 156,044 33,580 
Interest income, net3,336 2,683 1,976 8,193 7,935 
Other income (expense), net(143)212 444 510 1,328 
Income before income taxes and equity investment84,790 60,694 20,425 164,747 42,843 
Provision for income taxes13,114 6,729 5,937 20,239 9,384 
Income (loss) from equity investment2,144 2,242 1,168 5,903 (2,316)
Net income$73,820 $56,207 $15,656 $150,411 $31,143 
Net income per share:
Basic$0.94 $0.72 $0.20 $1.93 $0.40 
Diluted$0.93 $0.71 $0.20 $1.89 $0.40 
Weighted-average number of shares used in per share calculations:
Basic78,287 78,036 77,387 78,049 77,270 
Diluted79,447 79,607 77,734 79,385 77,684 



FORMFACTOR, INC. 
NON-GAAP FINANCIAL MEASURE RECONCILIATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months EndedNine Months Ended
September 26,
2026		June 27,
2026		September 27,
2025		September 26,
2026		September 27,
2025
GAAP Gross Profit$153,396 $130,922 $80,626 $371,112 $218,087 
Adjustments:
Restructuring charges2,767 4,292 116 28,557 359 
Stock-based compensation1,626 1,660 1,941 5,068 5,636 
Amortization of intangibles and fixed asset fair value adjustments due to acquisitions697 745 490 2,101 1,560 
Non-GAAP Gross Profit$158,486 $137,619 $83,173 $406,838 $225,642 
GAAP Gross Margin54.7 %50.7 %39.8 %48.5 %38.3 %
Adjustments:
Restructuring charges1.0 %1.7 %0.1 %3.7 %0.1 %
Stock-based compensation0.6 %0.6 %0.9 %0.7 %0.9 %
Amortization of intangibles and fixed asset fair value adjustments due to acquisitions0.2 %0.3 %0.2 %0.3 %0.3 %
Non-GAAP Gross Margin56.5 %53.3 %41.0 %53.2 %39.6 %
GAAP operating expenses$71,799 $73,123 $62,621 $215,068 $184,507 
Adjustments:
Restructuring charges(84)(201)(273)(2,108)(3,291)
Stock-based compensation(7,176)(6,930)(7,575)(20,327)(23,067)
Amortization of intangibles(98)(196)(191)(294)(573)
Costs related to sale and acquisition of businesses(24)(142)— (262)(272)
Non-GAAP operating expenses$64,417 $65,654 $54,582 $192,077 $157,304 
GAAP operating income$81,597 $57,799 $18,005 $156,044 $33,580 
Adjustments:
Restructuring charges2,851 4,493 389 30,665 3,650 
Stock-based compensation8,802 8,590 9,516 25,395 28,703 
Amortization of intangibles and fixed asset fair value adjustments due to acquisitions795 941 681 2,395 2,133 
Costs related to sale and acquisition of businesses24 142 — 262 272 
Non-GAAP operating income$94,069 $71,965 $28,591 $214,761 $68,338 



FORMFACTOR, INC. 
NON-GAAP FINANCIAL MEASURE RECONCILIATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months EndedNine Months Ended
September 26,
2026		June 27,
2026		September 27,
2025		September 26,
2026		September 27,
2025
GAAP net income$73,820 $56,207 $15,656 $150,411 $31,143 
Adjustments:
Restructuring charges2,851 4,493 389 30,665 3,650 
Stock-based compensation8,802 8,590 9,516 25,395 28,703 
Amortization of intangibles and fixed asset fair value adjustments due to acquisitions795 941 681 2,395 2,133 
Costs related to sale and acquisition of businesses, net of gain on sale of assets24 142 91 186 3,768 
Income tax effect of non-GAAP adjustments(4,014)(5,367)(649)(17,255)(4,487)
Non-GAAP net income$82,278 $65,006 $25,684 $191,797 $64,910 
GAAP net income per share:
Basic$0.94 $0.72 $0.20 $1.93 $0.40 
Diluted$0.93 $0.71 $0.20 $1.89 $0.40 
Non-GAAP net income per share:
Basic$1.05 $0.83 $0.33 $2.46 $0.84 
Diluted$1.04 $0.82 $0.33 $2.42 $0.84 
GAAP net cash provided by operating activities$104,270 $61,803 $26,991 $211,034 $69,423 
Adjustments:
Sale of business and acquisition related payments in working capital75 265 83 1,216 1,472 
Cash paid for interest81 83 89 249 276 
Capital expenditures(39,648)(9,599)(7,505)(64,439)(92,345)
Free cash flow$64,778 $52,552 $19,658 $148,060 $(21,174)
GAAP net cash provided by (used in) investing activities$(62,038)$(65,304)$6,718 $(150,749)$(156,495)
GAAP net cash used in financing activities
$(14,653)$(9,526)$(2,382)$(25,375)$(9,560)







FORMFACTOR, INC. 
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
Nine Months Ended
September 26,
2026		September 27,
2025
Cash flows from operating activities:
Net income$150,411 $31,143 
Selected adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization26,639 28,161 
Stock-based compensation expense25,556 28,703 
Provision for excess and obsolete inventories10,615 9,922 
Loss (income) from equity investment(5,903)2,316 
Non-cash restructuring charges15,437 2,119 
Other activity impacting operating cash flows(11,721)(32,941)
Net cash provided by operating activities211,034 69,423 
Cash flows from investing activities:
Acquisition of property, plant and equipment(64,439)(92,345)
Proceeds from sale of assets875 103 
Purchase of equity investment— (67,156)
Purchases of marketable securities, net(87,185)2,903 
Net cash used in investing activities(150,749)(156,495)
Cash flows from financing activities:
Purchase of common stock through stock repurchase program— (26,244)
Proceeds from issuances of common stock11,102 26,119 
Principal repayments on term loans(850)(826)
Tax withholdings related to net share settlements of equity awards(35,627)(8,609)
Net cash used in financing activities(25,375)(9,560)
Effect of exchange rate changes on cash, cash equivalents and restricted cash(188)537 
Net increase (decrease) in cash, cash equivalents and restricted cash34,722 (96,095)
Cash, cash equivalents and restricted cash, beginning of period107,047 197,206 
Cash, cash equivalents and restricted cash, end of period$141,769 $101,111 







FORMFACTOR, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited) 
September 26,
2026		June 27, 2026December 27,
2025
ASSETS
Current assets:
Cash and cash equivalents$138,179 $109,761 $103,330 
Marketable securities257,233 235,879 171,842 
Accounts receivable, net of allowance for credit losses152,663 155,777 125,416 
Inventories, net129,635 121,409 110,884 
Restricted cash729 765 1,063 
Prepaid expenses and other current assets45,855 45,918 44,519 
Total current assets724,294 669,509 557,054 
Restricted cash2,861 2,621 2,654 
Operating lease, right-of-use-assets13,497 15,089 17,202 
Property, plant and equipment, net of accumulated depreciation300,369 265,402 259,068 
Equity investment70,467 65,891 64,096 
Goodwill212,562 212,557 216,029 
Intangible assets, net17,172 17,961 16,302 
Deferred tax assets87,682 90,916 89,524 
Other assets2,797 2,534 2,433 
Total assets$1,431,701 $1,342,480 $1,224,362 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable$75,408 $77,427 $47,436 
Accrued liabilities57,714 53,292 47,535 
Current portion of long-term debt, net of unamortized issuance costs
1,161 1,153 1,137 
Deferred revenue36,589 23,976 20,091 
Deferred grant18,000 — — 
Operating lease liabilities8,126 8,317 7,662 
Total current liabilities196,998 164,165 123,861 
Long-term debt, less current portion, net of unamortized issuance costs
10,197 10,491 11,071 
Deferred tax liabilities2,281 2,382 1,600 
Long-term operating lease liabilities8,276 9,951 12,488 
Deferred grant— 18,000 18,000 
Other liabilities32,665 26,131 21,939 
Total liabilities250,417 231,120 188,959 
Stockholders’ equity:
Common stock78 78 78 
Additional paid-in capital864,843 870,028 863,547 
Accumulated other comprehensive loss
(9,354)(10,643)(3,528)
Accumulated income325,717 251,897 175,306 
Total stockholders’ equity1,181,284 1,111,360 1,035,403 
Total liabilities and stockholders’ equity$1,431,701 $1,342,480 $1,224,362 


About our Non-GAAP Financial Measures:

We believe that the presentation of non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income and free cash flow provides supplemental information that is important to understand financial and business trends and other factors relating to our financial condition and results of operations. Non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, and non-GAAP operating income are among the primary indicators used by management as a basis for planning and forecasting future periods, and by management and our board of directors to determine whether our operating performance has met certain targets and thresholds. Management uses non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, and non-GAAP operating income when evaluating operating performance because it believes that the exclusion of the items indicated herein, for which the amounts or timing may vary significantly depending upon our activities and other factors, facilitates comparability of our operating performance from period to period. We use free cash flow to conduct and evaluate our business as an additional way of viewing our liquidity that, when viewed with our GAAP results, provides a more complete understanding of factors and trends affecting our cash flows. Many investors also prefer to track free cash flow, as opposed to only GAAP earnings. Free cash flow has limitations due to the fact that it does not represent the residual cash flow available for discretionary expenditures, and therefore it is important to view free cash flow as a complement to our entire consolidated statements of cash flows. We have chosen to provide this non-GAAP information to investors so they can analyze our operating results closer to the way that management does, and use this information in their assessment of our business and the valuation of our Company. We compute non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, and non-GAAP operating income, by adjusting GAAP net income, GAAP net income per basic and diluted share, GAAP gross profit, GAAP gross margin, GAAP operating expenses, and GAAP operating income to remove the impact of certain items and the tax effect, if applicable, of those adjustments. These non-GAAP measures are not in accordance with, or an alternative to, GAAP, and may be materially different from other non-GAAP measures, including similarly titled non-GAAP measures used by other companies. The presentation of this additional information should not be considered in isolation from, as a substitute for, or superior to, net income, net income per basic and diluted share, gross profit, gross margin, operating expenses, or operating income in accordance with GAAP. Non-GAAP financial measures have limitations in that they do not reflect certain items that may have a material impact upon our reported financial results. We may expect to continue to incur expenses of a nature similar to the non-GAAP adjustments described above, and exclusion of these items from our non-GAAP net income, non-GAAP net income per basic and diluted share, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, and non-GAAP operating income should not be construed as an inference that these costs are unusual, infrequent or non-recurring. For more information on the non-GAAP adjustments, please see the table captioned “Non-GAAP Financial Measure Reconciliations” included in this press release.

Source: FormFactor, Inc.
FORM-F