ON · News · 20260805N

Gross Margin Drivers

ON SEMICONDUCTOR CORP · 2026-08-05 · Importance 25 · Surprise 32

ON Semiconductor’s Q2 2026 gross margin improved to 38.4% on a reported basis. Non-GAAP gross margin increased 80 basis points sequentially to 39.3%. The margin expansion was attributed to a richer product mix, higher factory utilization and operating leverage from recovering demand.

Key facts

• Non-GAAP gross margin rose 80 basis points from the prior quarter to 39.3% source