ON Semiconductor

ON Q2 2025 Earnings

Reported Aug 4, 2025 at 8:05 AM ET · SEC Source

Q2 25 EPS

$0.53

MISS 0.39%

Est. $0.53

Q2 25 Revenue

$1.47B

BEAT +1.21%

Est. $1.45B

vs S&P Since Q2 25

+89.0%

BEATING MARKET

ON +103.8% vs S&P +14.8%

Market Reaction

Did ON Beat Earnings? Q2 2025 Results

ON Semiconductor delivered a mixed second quarter, posting revenue of $1.47 billion that edged past the $1.45 billion consensus by 1.21%, while adjusted EPS of $0.53 fell just shy of the $0.53 estimate, missing by 0.39%. The headline numbers, however… Read more ON Semiconductor delivered a mixed second quarter, posting revenue of $1.47 billion that edged past the $1.45 billion consensus by 1.21%, while adjusted EPS of $0.53 fell just shy of the $0.53 estimate, missing by 0.39%. The headline numbers, however, masked a difficult year-over-year backdrop, with revenue down 15.4% from $1.74 billion in Q2 2024 as persistent softness across automotive and industrial end markets continued to weigh on all three business segments. The most material pressure came from margin compression, with non-GAAP gross margin contracting to 37.6% from 45.3% a year ago, reflecting ongoing pricing headwinds and lower factory utilization. CEO Hassane El-Khoury pointed to early signs of stabilization and cited next-generation technology wins, including integration of its EliteSiC M3e technology into Xiaomi electric SUV models, as evidence of longer-term positioning. Despite the relatively upbeat tone, shares declined following results. For Q3 2025, onsemi guided revenue of $1.47 billion to $1.57 billion, with non-GAAP EPS of $0.54 to $0.64, suggesting a gradual recovery remains in view.

Key Takeaways

  • Ongoing business transformation resulting in more predictable business model
  • Signs of stabilization across end markets
  • Sequential revenue growth driven by PSG segment (8% sequential increase)
  • Gross margin recovery to 37.6% from Q1 2025's 20.3%
  • Significantly lower restructuring charges ($49.2M vs $539.3M in Q1)
24/7 Wall St

ON YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

ON Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“Our ongoing transformation is resulting in a more predictable business model, reflecting the strength of our strategy and our commitment to long-term value creation. We are beginning to see signs of stabilization across our end markets, and we remain well-positioned to benefit from a market recovery.”

— Hassane El-Khoury, Q2 2025 Earnings Press Release