Teradyne (TER) opens a new tab and designs develops, manufactures, and sells automatic test equipment. The Company offers products and services in the Semiconductor Test, System Test, Industrial Automation, Wireless Test, and Robotics segments. Its Semiconductor Test segment provides products and services for wafer level and device package testing. This segment includes the FLEX test platform systems to address high-volume semiconductor devices such as flash memory and DRAM; J750 to test the device assembly process; Eagle to test analog, power, RF, mixed-signal, and logic devices; Magnum to test memory devices; and ETS platform for semiconductor manufacturers, and assembly and test subcontractors in the analog/mixed-signal markets.
The System Test segment provides products and services for storage, system-level, defense/aerospace instrumentation, and circuit board tests. The Industrial Automation segment specializes in automated robotics solutions. Its products include collaborative robotic arms, autonomous mobile robots, and advanced robotic control software. The Wireless Test segment provides wireless test products and services. The Corporate segment includes designing, developing, and marketing products and services related to other automatic test systems.
The NASDAQ-listed Company has more than 3,300 employees worldwide and serves electronics, aerospace, and automotive customers. Teradyne offers a range of test and measurement solutions and automation equipment to help customers build more innovative, safer, and more reliable products. Its technology is used by integrated device manufacturers, fabless companies that produce semiconductor chips, assembly and test providers for circuit boards, and automakers.
As the demand for high-performance computers, laptops, tablets, and smartphones continues to grow worldwide, several suppliers of these types of equipment are expanding their production capacity in China. According to experts, That could cause supply chain disruptions if those firms follow through with their plans.
A spokesperson said on Monday that Teradyne pulled manufacturing worth about $1 billion from China last year. He added that the Company shifted the work to other factories in the United States and elsewhere, including Asia. The factory in Suzhou was the Company’s primary manufacturing site for its semiconductor test equipment, which it subcontracted to Flextronics (FLEX.O).
Teradyne shares jumped in the extended session on Wednesday after the Company reported Q1 results and an outlook that sailed past Wall Street estimates. Revenue and earnings exceeded expectations, sending the stock up about 7%. The Company also returned $110 million to shareholders through share repurchases and dividends.