Wolfspeed, Inc. Q3 FY2026 earnings call

Key points include advancing technology leadership with new product introductions like 10 kilovolt silicon carbide power MOSFET and next-gen TOLT portfolio; demonstrating financial discipline via refinancing to optimize capital structure; driving operational excellence through manufacturing process refinements, AI use, and go-to-market realignment around verticals like auto, I&E, aerospace/defense, and materials with new regional leaders.

Third quarter of fiscal 2026 delivered revenue of $150 million. Power revenue was approximately $100 million, with 90% from Mohawk Valley 200mm device fab and 10% from last time buys of 150mm device inventory. Materials revenue was approximately $50 million, flat sequentially.

Fourth quarter of fiscal 2026 targets revenues between $140 and $160 million. Expect non-GAAP gross margin to remain negative and OPEX roughly flat quarter over quarter. Long-term objective is to return to above-market revenue growth driven by diversified customer base and achieve EBITDA and cash flow profitability.

Forward-looking statements subject to numerous risks and uncertainties as mentioned in press release and SEC filings, with factors that could cause actual results to differ materially.

Q: About AI opportunities, specifically AI power tree and applications.

A: On device side 650 volts up, applications in data center power supplies, battery backup storage; 300mm beyond power activities with ecosystem partners.

Q: On go-to-market strategy for AI and solid-state transformers, utilization in Mohawk Valley.

A: Automotive remains important, AI data center drives growth, well-positioned in I&E with 650 volts upwards, restructuring done for Mohawk Valley.

Q: On L1 debt restructuring intentions.

A: Took first step to reduce 43% of L1 debt, evaluating further steps, not in rush but aiming for best cost of capital