Amkor Posts $1.991 Billion in Third-Quarter Sales as Margins Improve
Key Facts
Amkor reported net sales of $1.991 billion in the third quarter of 2026, compared with $1.898 billion in the second quarter and $1.987 billion in the same period a year earlier, according to the company’s results. Gross margin rose to 18.3% from 16.8% in the previous quarter and 14.3% a year earlier. Operating income margin was 11.3%, versus 10.5% and 8.0%, respectively. Net income attributable to the company was $191 million, up from $174 million in the second quarter and $127 million a year earlier. Diluted earnings per share reached $0.76, compared with $0.70 and $0.51 in the corresponding periods. The quarterly and annual comparisons show simultaneous improvement in revenue, margins and net income.
Computing stood out in the sales mix, accounting for 26% in the third quarter, compared with 22% in the second quarter and 19% a year earlier. Amkor described revenue from computing and its automotive and industrial segment as records. The company’s definition of computing includes data centers, infrastructure, personal computers and laptops, and storage. The company did not specifically attribute the quarter’s growth to artificial intelligence in its results statement. By contrast, communications, which includes smartphones and tablets, represented 37% of sales, after 42% in the previous quarter and 51% in the third quarter of 2025. The company said the quarter saw “expected weakness in communications.”
Amkor expects fourth-quarter 2026 sales of $1.9 billion to $2.0 billion and gross margin of 18% to 19%. It estimated net income of $160 million to $185 million, or diluted earnings per share of $0.65 to $0.75. The outlook follows an increase in annual gross margin to 18.3% in the third quarter from 14.3% a year earlier. At the same time, the company raised its 2026 capital expenditure estimate to about $2.5 billion. This places planned investment alongside the sales and profitability ranges the company set for the coming period.
At its Arizona project, Amkor raised the planned investment for its packaging and testing complex to about $12 billion after announcing Phase 2 on September 8, 2026. The phase is expected to add 60,000 square meters of cleanroom space, bringing the complex’s expected total area to about 93,000 square meters. The company said construction of Phase 2 is expected to begin in late 2027, with completion by the end of 2029. Amkor expects the two phases together to support a workforce of more than 3,500 employees in Arizona. It said the project supports long-term demand for advanced semiconductor packaging and testing services in the United States.
The project’s background dates to December 2024, when the U.S. Department of Commerce announced up to $407 million in direct funding to support Amkor’s Arizona facility, whose announced investment at the time was about $2 billion. The department estimated then that the project would provide 2,000 manufacturing jobs, along with more than 2,000 construction jobs at the peak of construction. According to Amkor’s data, cash and short-term investments totaled $2.4 billion on September 30, 2026, while total debt was $2.5 billion. The company repurchased about $32 million worth of shares during the third quarter under its buyback program. These figures bring together the complex’s planned expansion and the capital spending the company expects for the year.
In trading, Amkor shares rose 4.5% after the close on October 27, 2026, after falling 6.34% during the regular session, according to Investing.com. The after-hours gain followed the earnings announcement and recouped part of the session’s loss. The stock nevertheless ended regular trading lower. In its fourth-quarter outlook, the company set a sales range of $1.9 billion to $2.0 billion and a gross margin range of 18% to 19%. It also projected net income of $160 million to $185 million and diluted earnings per share of $0.65 to $0.75.