Teradyne shares surged 13.20% in after-hours trading, as the semiconductor testing equipment maker reported second-quarter results that handily exceeded Wall Street expectations and issued an upbeat third-quarter forecast.

The company posted Q2 revenue of $1.33 billion, more than doubling from $652 million a year ago and beating the consensus estimate of $1.22 billion. Adjusted earnings per share came in at $2.47, up sharply from $0.57 in the prior-year period and well above the $2.09 analysts had forecast. Net income reached $374.5 million, driven by record memory revenue from continued strength in DRAM and a resurgence in NAND final test.

For the third quarter, Teradyne guided for revenue between $1.20 billion and $1.30 billion and adjusted EPS of $1.85 to $2.15, both significantly above analyst estimates of $1.06 billion and $1.56 per share. CEO Greg Smith cited robust AI-related demand and a rapid increase in wafer fab equipment investment as key drivers, expressing confidence in continued growth into 2027 and beyond.