Slides
Page 1
1 First Quarter 2025 Financial Results (unaudited) May 6, 2025
Page 2
This presentation and the accompanying oral presentation include “forward- looking statements,” that reflect our current expectations and views of future events. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995 and include but are not limited to, statements regarding our financial outlook, future guidance, product development, business strategy and plans and market trends, opportunities and positioning. These statements are based on current expectations, assumptions, estimates, forecasts, projections and limited information available at the time they are made. Words such as “expect,” “anticipate,” “should,” “believe,” “hope,” “target,” “project,” “goals,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall,” “outlook,” “on track” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements, although not all forward-looking statements contain these identifying words. Forward- looking statements are subject to a broad variety of risks and uncertainties, both known and unknown. Any inaccuracy in our assumptions and estimates could affect the realization of the expectations or forecasts in these forward-looking statements. For example, our business could be impacted by geopolitical conditions such as the ongoing political and trade tensions with China and the continuation of conflicts in Ukraine and Israel; political developments following the change in the U.S . administration; the imposition of trade controls, tariffs and counter-tariffs between the United States and its trade partners; the market for our products may develop or recover more slowly than expected or than it has in the past; we may fail to achieve the full benefits of our restructuring plan; our operating results may fluctuate more than expected; there may be significant fluctuations in our results of operations and cash flows related to our revenue recognition or otherwise; a network or data security incident that allows unauthorized access to our network or data or our customers' data could result in a system disruption, loss of data or damage our reputation; we could experience interruptions or performance problems associated with our technology, including a service outage; global economic conditions could deteriorate, including due to rising inflation and any potential recession; the expected benefits of our announced partnerships may fail to materialize; and our expected results and planned expansions and operations may not proceed as planned if funding we expect to receive (including the planned awards under the U.S. CHIPS and Science Act and New York State Green CHIPS) is delayed or withheld for any reason. It is not possible for us to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results or outcomes to differ materially from those contained in any forward-looking statements we may make. Moreover, we operate in a competitive and rapidly changing market, and new risks may emerge from time to time. You should not rely upon forward- looking statements as predictions of future events. These statements are based on our historical performance and on our current plans, estimates and projections in light of information currently available to us, and therefore you should not place undue reliance on them. Disclaimer - Forward-looking statements and Third-Party Data Although we believe that the expectations reflected in our statements are reasonable, we cannot guarantee that the future results, levels of activity, performance or events and circumstances described in the forward-looking statements will be achieved or occur. Moreover, neither we, nor any other person, assumes responsibility for the accuracy and completeness of these statements. Recipients are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date such statements are made and should not be construed as statements of fact. Except to the extent required by federal securities laws, we undertake no obligation to update any information or any forward-looking statements as a result of new information, subsequent events or any other circumstances after the date hereof, or to reflect the occurrence of unanticipated events. For a discussion of potential risks and uncertainties, please refer to the risk factors and cautionary statements in our 2024 Annual Report on Form 20-F, current reports on Form 6-K and other reports filed with the Securities and Exchange Commission ("SEC"). Copies of our SEC filings are available on our Investor Relations website, investors.gf.com, or from the SEC website, www.sec.gov. This presentation and the accompanying oral presentation also contain estimates and other statistical data made by independent parties and by us relating to market size and growth and other data about our industry and business. This data involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. We have not independently verified the industry data generated by independent parties and contained in this presentation and, accordingly, we cannot guarantee their accuracy or completeness. In addition, projections, assumptions and estimates of our future performance and the future performance of the markets in which we compete are necessarily subject to a high degree of uncertainty and risk. In addition to the financial information presented in accordance with International Financial Reporting Standards ("IFRS"), this press release includes the following Non-IFRS financial measures: Non-IFRS gross profit, Non-IFRS operating profit, Non-IFRS operating expense, Non-IFRS net income, Non-IFRS selling, general and administrative, Non-IFRS research and development, Non-IFRS other income (expense), Non-IFRS income tax benefit (expense), Non-IFRS diluted earnings per share (“EPS”), Non-IFRS adjusted EBITDA, Non-IFRS adjusted free cash flow and any related margins. We define each of Non-IFRS gross profit, Non-IFRS selling, general and administrative, Non-IFRS research and development, Non-IFRS operating profit, Non-IFRS other income (expense), Non-IFRS income tax benefit (expense) and Non-IFRS net income as gross profit, selling, general and administrative, research and development, operating profit, other income (expense), income tax benefit (expense), and net income respectively, adjusted for share-based compensation, structural optimization, amortization of acquired intangibles and other acquisition related charges, impairment of long-lived assets, revaluation of equity investments, restructuring charges, tax matters, and any associated income tax effects. We define Non- IFRS operating expense as Non-IFRS gross profit minus Non-IFRS operating profit. We define Non-IFRS diluted EPS as Non-IFRS net income divided by the diluted shares outstanding.e We define Non-IFRS adjusted free cash flow as cash flow provided by (used in) operating activities less purchases of property, plant and equipment and intangible assets plus proceeds from government grants related to capital expenditures. We define Non-IFRS adjusted EBITDA as net income adjusted for the impact of finance expense, finance income, income tax expense (benefit), depreciation and amortization, share-based compensation, restructuring charges, impairment of long-lived assets; revaluation of equity investments, structural optimization and acquisition related charges. We define each of Non-IFRS gross margin, Non-IFRS operating margin, Non- IFRS net income margin and Non-IFRS adjusted EBITDA margin as Non- IFRS gross profit, Non-IFRS operating profit, Non-IFRS net income and Non- IFRS adjusted EBITDA, respectively, divided by net revenue. Any adjustments described above that are zero for a given period are excluded from the “Reconciliation of IFRS to Non-IFRS” table. See "Reconciliation of IFRS to Non-IFRS" section for a detailed reconciliation of Non-IFRS financial measures to the most directly comparable IFRS measure. We believe that in addition to our results determined in accordance with IFRS, these Non-IFRS financial measures provide useful information to both management and investors in measuring our financial performance and highlight trends in our business that may not otherwise be apparent when relying solely on IFRS measures. These Non-IFRS financial measures provide supplemental information regarding our operating performance that excludes certain gains, losses and non-cash charges that occur relatively infrequently and/or that we consider to be unrelated to our core operations. Management believes that Non-IFRS adjusted free cash flow as a Non-IFRS measure is helpful to investors as it provides insights into the nature and amount of cash the Company generates in the period. Non-IFRS financial information is presented for supplemental informational purposes only and should not be considered in isolation or as a substitute for financial information presented in accordance with IFRS. Our presentation of Non-IFRS measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items. Other companies in our industry may calculate these measures differently, which may limit their usefulness as comparative measures.
Page 3
Results and Highlights
Page 4
$1.59B ↑ 2% Y/Y 4 (1) See the Appendix for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure and for a discussion of why we believe these Non-IFRS measures are useful. First Quarter 2025 Results Non-IFRS Gross Margin (1) 23.9% ↓ (220)bps Y/Y Non-IFRS Earnings per Share(1) $0.34 ↑ 10% Y/Y Revenue
Page 5
5 Q1 2025 results at the high end of non-IFRS guidance ranges Year-over-year growth in Auto, CI&D, and Home & Industrial IoT ~10% non-IFRS adjusted free cash flow(1) margin Approx. 90% of design wins(2) sole-sourced over last 4 quarters Key Highlights » » » » 1 2 3 4 (1) See the Appendix for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure and for a discussion of why we believe these Non-IFRS measures are useful. (2) A DWIN, or design win, is defined as the successful completion of the evaluation stage, where a customer has assessed our technology solution, verified that it meets its requirements, qualified it for their products and confirmed to us their selection.
Page 6
Key Announcements
Page 7
“Customers will mutually benefit from GF’s purpose-built, automotive-grade technologies and indie’s best-in-class radar design innovation, ultimately delivering the highest- integrated silicon solutions.” Ed Kaste, Senior VP ULP CMOS, GF GlobalFoundries and indie Semiconductor These SoCs, that will be manufactured on GF’s 22FDX® platform, will target 77 GHz and 120 GHz radar applications for advanced driver assistance systems and adjacent industrial applications. Key Announcements Occupant monitoring and vital sign detection Blind spot detection and automated parking Forward collision and automatic emergency braking 7 Expected Uses:
Page 8
GlobalFoundries and Bosch Key Announcements Bosch announced the launch of its next generation single chip radar sensor, which is based on GF's 22FDX platform, and reliably and precisely detects objects for assisted and automated driving. The product of a continuing partnership with GF, Bosch’s radar technology demonstrates the power, performance, and safety of our solution in next-generation automotive applications. Allows for situational awareness and timely reactions Delivers high performance and efficiency in a compact design Integrates high-frequency and digital circuits on a single chip 8 Expected Features:
Page 9
Ayar Labs announced the industry’s first Universal Chiplet Interconnect Express (UCIe) optical interconnect chiplet to maximize AI infrastructure performance and efficiency. GlobalFoundries and Ayar Labs Key Announcements “This accomplishment, uniquely enabled by our monolithic GF photonics platform, underscores the essential role of silicon photonics in driving highly energy efficient transmission of high-speed data over long distances while maintaining compatibility with chiplet-based standards.” Kevin Soukup, Senior VP SiPH, GF Interoperability between designs Reduced latency and power consumption Maximized AI infrastructure performance and efficiency 9 Key Features:
Page 10
End Markets
Page 11
Good commercial traction and expect continued new design wins across a broad range of applications. Expect continued market share capture and new design wins to support meaningful year-over-year revenue growth. Strong adoption of GF's technology in AI-enabled edge devices, especially on ultra-low power and RF optimized platforms. Expect meaningful revenue growth in 2025, supported by our diversified portfolio of differentiated offerings. Smart Mobile Devices » Automotive » Home and Industrial IoT » Communications Infrastructure and Datacenter » 11 End Market Commentary 9 Com
Page 12
Q1'25 Key Design Wins Platform Application 8SW / 9SW RF Front-End 22FDX MicroLED display back plane 55 BCD Lite Audio and haptics End Market Commentary Growing market share in leading RF Front End, continuing to win designs in the important display and imaging space, and expanding offerings in OLED Android smartphones. Q1'25 Revenue $586M ↓ (14)% Y/Y 12 Smart Mobile Devices
Page 13
Q1'25 Revenue $309M ↑ 16% Y/Y 13 Automotive Q1'25 Key Design Wins Platform Application 40ESF3 MCU and motor control devices 22FDX Radar SoCs 130BCD LiDAR laser drivers End Market Commentary We are the sole source foundry for the number one MCU provider, and expect to benefit from long-term growth in smart sensors for radar, car access, camera, and networking.
Page 14
Q1'25 Revenue $328M ↑ 6% Y/Y 14 Q1'25 Key Design Wins Platform Application 22FDX WiFi 7 adoption 22FDX Broad market wireless MCU 22FDX AI-enabled audio hearing aid End Market Commentary Expect long-term opportunities in general purpose microcontrollers, image signal processors, and audio signal processors for home, industrial and medical applications. Home and Industrial IoT
Page 15
Q1'25 Revenue $174M ↑ 45% Y/Y 15 Communications Infrastructure and Datacenter Q1'25 Key Design Wins Platform Application 45RFSOI Ground Terminal Infrastructure 22FDX Beamforming 14nm AI inferencing applications End Market Commentary Expect continued growth in secular drivers, such as satellite communications, optical communications, and co- packaged optics.
Page 16
(Unaudited, in millions USD) Year-over-year Sequential Q1'25 Q4'24 Q1'24 Q1'25 vs Q1'24 Q1'25 vs Q4'24 Smart Mobile Devices $586 $738 $680 ($94) (14)% $(152) (21)% Communications Infrastructure and Datacenter $174 $170 $120 $54 45% $4 2% Home and Industrial IoT $328 $355 $309 $19 6% $(27) (8)% Automotive $309 $414 $266 $43 16% $(105) (25)% Non-Wafer Revenue $188 $153 $174 $14 8% $35 23% Revenue $ 1,585 $ 1,830 $ 1,549 $36 2% $(245) (13)% 16 Q1'25 Revenue by End Market ((Unaudited, in millions)
Page 17
Q1'25 Revenue Mix by End Market 9(Unaudited) 44% 8% 20% 17% 11% 37% 11%21% 19% 12% Q1'24Q1'25 Smart Mobile Devices Communications Infrastructure and Datacenter Home and Industrial IoT Automotive Non-Wafer & Corporate Other 17
Page 18
Capex and Cash Flow ▪ Continued meaningful free cash flow generation, with consistent operational excellence across our global footprint. ▪ Prepaid $664 million on our outstanding term loan A facility balance, lowering our total debt to $1,128 million. Year-to-Date Through Q1'25 Cash flow from operations $331M Capital expenditures $166M (10% of Revenue) Non-IFRS adjusted FCF(1) $165M (10% of Revenue) Cash, cash equivalent and marketable securities $3.7B at the end of Q1’25 (1) See the Appendix for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure and for a discussion of why we believe these Non-IFRS measures are useful. 18
Page 19
19 Outlook
Page 20
Q2’25 Guidance(1) (Unaudited, in millions USD, except per share amounts) (1) The Guidance provided contains forward-looking statements as defined in the U.S. Private Securities Litigation Act of 1995, and is subject to the safe harbors created therein. The Guidance includes management's beliefs and assumptions and is based on information that is available as of the date of this release. (2) Non-IFRS gross margin, Non-IFRS operating margin, Non-IFRS operating expenses and Non-IFRS diluted EPS are Non-IFRS measures and, for purposes of the Guidance only, are defined as gross profit as a percent of revenue, operating profit as a percent of revenue, operating expenses and diluted EPS, all before share-based compensation, respectively. See "Financial Measures (Non-IFRS)" for further discussion on these Non-IFRS measures and why we believe they are useful. (3) We expect share-based compensation of $15 million and $37 million in cost of revenue and operating expenses, respectively. The Non-IFRS margin impacts are calculated by dividing share-based compensation by net revenue, and the Non-IFRS diluted EPS impact is calculated by dividing share-based compensation by the fully diluted share count. (4) Included in diluted EPS is net interest income (expense) and other income (expense) which we estimate will be between $3 million and $11 million for the second quarter 2025. Also included in diluted EPS is income tax expense which we estimate will be between $33 million and $47 million for the second quarter 2025. IFRS Share-Based Compensation(3) Non-IFRS(2) Net Revenue $1,675 ± $25 Gross Margin(2) 24.1% ± 100bps ~90bps 25.0% ± 100bps Operating Expenses $222 ± $10 ~$37 $185 ± $10 Operating Margin(2) 10.8% ± 180bps ~320bps 14.0% ± 180bps Diluted EPS(2)(4) $0.27 ± $0.06 ~$0.09 $0.36 ± $0.05 Fully Diluted Share Count ~560 20
Page 21
Appendix: Summary Financials and Reconciliations
Page 22
(Unaudited, in millions, except per share data and wafer shipments) (1) See the Appendix for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure and for a discussion of why we believe these Non-IFRS measures are useful. Year-over-year Sequential Q1'25 Q4'24 Q1'24 Q1'25 vs Q1'24 Q1'25 vs Q4'24 Net revenue $1,585 $1,830 $1,549 $36 2% ($245) (13) % Gross profit 355 449 393 ($38) (10) % ($94) (21) % Gross margin 22.4% 24.5% 25.4% (300)bps (210)bps Non-IFRS gross profit(1) $379 $464 $405 ($26) (6) % ($85) (18) % Non-IFRS gross margin(1) 23.9% 25.4% 26.1% (220)bps (150)bps Operating profit (loss) $151 ($701) $147 $4 3% $852 122 % Operating (loss) margin 9.5% (38.3%) 9.5% 0bps +4,780bps Non-IFRS operating profit(1) $213 $285 $187 $26 14% ($72) (25) % Non-IFRS operating margin(1) 13.4% 15.6% 12.1% +130bps (220)bps Net income (loss) $211 ($729) $134 $77 57% $940 129 % Net income (loss) margin 13.3% (39.8%) 8.7% +460bps +5,310bps Non-IFRS net income(1) $189 $256 $174 $15 9% ($67) (26) % Non-IFRS net income margin(1) 11.9% 14.0% 11.2% +70bps (210)bps Diluted earnings (loss) per share ("EPS") $0.38 ($1.32) $0.24 $0.14 58% $1.70 129 % Non-IFRS diluted EPS(1) $0.34 $0.46 $0.31 $0.03 10% ($0.12) (26) % Non-IFRS adjusted EBITDA(1) $558 $661 $577 ($19) (3) % ($103) (16) % Non-IFRS adjusted EBITDA margin(1) 35.2% 36.1% 37.2% (200)bps (90)bps Cash from operations $331 $457 $488 ($157) (32) % ($126) (28) % Wafer shipments (300MM Equivalent) (in thousands) 543 595 463 80 17 % (52) (9) % 22 Q1'25 Financial Summary
Page 23
Statement of Operations Three Months Ended March 31, 2025 December 31, 2024 March 31, 2024 Net revenue $ 1,585 $ 1,830 $ 1,549 Cost of revenue 1,230 1,381 1,156 Gross profit $ 355 $ 449 $ 393 Operating expenses: Research and development 127 121 124 Selling, general and administrative 77 93 122 Restructuring charges — 1 — Impairment of long-lived assets — 935 — Total operating expenses $ 204 $ 1,150 $ 246 Operating profit (loss) $ 151 $ (701) $ 147 Finance income (expense), net 14 15 10 Other income (expense) 30 (1) (2) Income tax (expense) benefit 16 (42) (21) Net income (loss) $ 211 $ (729) $ 134 Attributable to: Shareholders of GlobalFoundries 210 (730) 133 Non-controlling interest 1 1 1 EPS: Basic $ 0.38 $ (1.32) $ 0.24 Diluted $ 0.38 $ (1.32) $ 0.24 Shares used in EPS calculation: Basic 554 553 555 Diluted 557 553 558 (Unaudited, in millions, except per share amounts) 23
Page 24
Statements of Financial Position (Unaudited, in millions) As of March 31, 2025 December 31, 2024 Assets: Cash and cash equivalents $ 1,596 $ 2,192 Marketable securities 1,281 1,194 Receivables, prepayments and other 1,415 1,406 Inventories 1,813 1,624 Current assets 6,105 6,416 Property, plant, and equipment, net 7,626 7,762 Marketable securities 820 839 Right-of-use assets 499 498 Deferred tax assets 250 188 Other assets 1,179 1,096 Non-current assets 10,374 10,383 Total assets $ 16,479 $ 16,799 Liabilities and equity: Current portion of long-term debt $ 57 $ 753 Other current liabilities 2,371 2,291 Current liabilities 2,428 3,044 Noncurrent portion of long-term debt 1,071 1,053 Noncurrent portion of lease obligations 426 424 Other liabilities 1,450 1,454 Non-current liabilities 2,947 2,931 Total liabilities 5,375 5,975 Shareholders’ equity: Common stock / additional paid-in capital $ 24,057 $ 24,025 Accumulated deficit (13,056) (13,266) Accumulated other comprehensive income 53 17 Non-controlling interest 50 48 Total liabilities and equity $ 16,479 $ 16,799 24
Page 25
Statement of Cash Flows (Unaudited, in millions) Three Months Ended March 31, 2025 March 31, 2024 Operating Activities: Net income $ 211 $ 134 Depreciation and amortization 352 392 Finance (income) expense, net and other 9 6 Net change in working capital (144) (97) Other non-cash operating activities (97) 53 Net cash provided by operating activities $ 331 $ 488 Investing Activities: Purchases of property, plant and equipment and intangible assets $ (166) $ (227) Acquisition of joint venture interest, net of cash acquired (19) — Net purchases of marketable securities (61) (371) Other investing activities 35 (2) Net cash used in investing activities $ (211) $ (600) Financing Activities: Proceeds from issuance of equity instruments $ 16 $ 23 Proceeds (repayment) of debt, net (733) (50) Net cash used in financing activities $ (717) $ (27) Effect of exchange rate changes 1 (1) Net change in cash and cash equivalents $ (596) $ (140) Cash and cash equivalents at the beginning of the period 2,192 2,387 Cash and cash equivalents at the end of the period $ 1,596 $ 2,247 25
Page 26
(Unaudited, in millions, except per share amounts) IFRS to Non-IFRS Reconciliations (1) See "Financial Measures (Non-IFRS)" for further discussion on these Non-IFRS measures and why we believe they are useful. (2) Structural optimization represents costs associated with employee workforce reduction and manufacturing footprint alignment (3) Comprised of net deferred tax asset recognition and foreign exchange rate impact. Three Months Ended March 31, 2025 Gross profit Selling, general & administrative Research & development Operating profit Other Income (Expense) Income tax (expense) benefit Net income Diluted EPS As Reported $355 $77 $127 $151 $30 $16 $211 $0.38 IFRS margins (1) 22.4% 9.5% 13.3% Share-based compensation 13 (20) (7) 40 — (2) 38 0.07 Structural optimization (2) 11 (5) (5) 21 — (3) 18 0.03 Amortization of acquired intangibles and other acquisition related charges — — (1) 1 (31) 6 (24) (0.04) Revaluation of equity investments — — — — (6) — (6) (0.01) Tax matters(3) — — — — — (48) (48) (0.09) Non-IFRS measures(1) $379 $52 $114 $213 ($7) ($31) $189 $0.34 Non-IFRS margins (1) 23.9% 13.4% 11.9% 26
Page 27
(1) See "Financial Measures (Non-IFRS)" for further discussion on these Non-IFRS measures and why we believe they are useful. (2) Structural optimization represents costs associated with employee workforce reduction and manufacturing footprint alignment Three Months Ended December 31, 2024 Gross profit Selling, general & administrative Research & development Operating profit Other Income (Expense) Income tax (expense) benefit Net income Diluted EPS As Reported $449 $93 $121 ($701) ($1) ($42) ($729) ($1.32) IFRS margins (1) 24.5% (38.3%) (39.8%) Share-based compensation 15 (22) (8) 45 — — 45 0.09 Structural optimization (2) — (2) (1) 3 — (1) 2 0.01 Amortization of acquired intangibles and other acquisition related charges — — (2) 2 — — 2 — Impairment of long-lived assets — — — 935 — — 935 1.68 Restructuring charges — — — 1 — — 1 — Non-IFRS measures (1) $464 $69 $110 $285 ($1) ($43) $256 $0.46 Non-IFRS margins (1) 25.4% 15.6% 14.0% (Unaudited, in millions, except per share amounts) IFRS to Non-IFRS Reconciliations 27
Page 28
(1) See "Financial Measures (Non-IFRS)" for further discussion on these Non-IFRS measures and why we believe they are useful. Three months ended March 31, 2024 Gross profit Selling, general & administrative Research & development Operating profit Other Income (Expense) Income tax (expense) benefit Net income Diluted EPS As Reported $393 $122 $124 $147 ($2) ($21) $134 $0.24 IFRS margins (1) 25.4% 9.5% 8.7% Share-based compensation 12 (21) (7) 40 — — 40 0.07 Non-IFRS Measures (1) $405 $101 $117 $187 ($2) ($21) $174 $0.31 Non-IFRS margins (1) 26.1% 12.1% 11.2% (Unaudited, in millions, except per share amounts) IFRS to Non-IFRS Reconciliations 28
Page 29
Three Months Ended March 31, 2025 December 31, 2024 March 31, 2024 Net cash provided by operating activities $331 $457 $488 Less: Purchases of property, plant and equipment and intangible assets (166) (135) (227) Add: Proceeds from government grants — 6 — Non-IFRS adjusted free cash flow(1) $165 $328 $261 (1) See "Financial Measures (Non-IFRS)" for further discussion on these Non-IFRS measures and why we believe they are useful. (Unaudited, in millions) 29 IFRS to Non-IFRS Reconciliation Non-IFRS Adjusted Free Cash Flow(1) a
Page 30
IFRS to Non-IFRS Reconciliation Non-IFRS Adjusted EBITDA(1) (1) See "Financial Measures (Non-IFRS)" for further discussion on this Non-IFRS measure and why we believe it is useful. Three Months Ended March 31, 2025 December 31, 2024 March 31, 2024 Net revenue $ 1,585 $ 1,830 $ 1,549 Net income (loss) 211 (729) 134 Net income (loss) margin 13.3 % (39.8) % 8.7 % Depreciation and amortization 352 378 392 Finance expense 25 34 37 Finance income (39) (49) (47) Income tax expense (benefit) (16) 42 21 Share-based compensation 40 45 40 Restructuring charges — 1 — Impairment of long-lived assets — 935 — Structural optimization 21 3 — Revaluation of equity investments (6) — — Other acquisition related charges (30) 1 — Non-IFRS adjusted EBITDA(1) $ 558 $ 661 $ 577 Non-IFRS adjusted EBITDA margin(1) 35.2 % 36.1 % 37.2 % (Unaudited, in millions) 30
Page 31
In addition to the financial information presented in accordance with International Financial Reporting Standards ("IFRS"), this press release includes the following Non-IFRS financial measures: Non-IFRS gross profit, Non-IFRS operating profit, Non-IFRS operating expense, Non-IFRS net income, Non-IFRS selling, general and administrative, Non-IFRS research and development, Non-IFRS other income (expense), Non-IFRS income tax benefit (expense), Non-IFRS diluted earnings per share (“EPS”), Non-IFRS adjusted EBITDA, Non-IFRS adjusted free cash flow and any related margins. We define each of Non-IFRS gross profit, Non-IFRS selling, general and administrative, Non-IFRS research and development, Non-IFRS operating profit, Non-IFRS other income (expense), Non-IFRS income tax benefit (expense) and Non-IFRS net income as gross profit, selling, general and administrative, research and development, operating profit, other income (expense), income tax benefit (expense), and net income, respectively, adjusted for share-based compensation, structural optimization, amortization of acquired intangibles and other acquisition related charges, impairment of long-lived assets, revaluation of equity investments, restructuring charges, tax matters, and any associated income tax effects. We define Non-IFRS operating expense as Non-IFRS gross profit minus Non-IFRS operating profit. We define Non-IFRS diluted EPS as Non-IFRS net income divided by the diluted shares outstanding. We define Non-IFRS adjusted free cash flow as cash flow provided by (used in) operating activities less purchases of property, plant and equipment and intangible assets plus proceeds from government grants related to capital expenditures. We define Non-IFRS adjusted EBITDA as net income adjusted for the impact of finance expense, finance income, income tax expense (benefit), depreciation and amortization, share-based compensation, restructuring charges, impairment of long-lived assets; revaluation of equity investments, structural optimization and acquisition related charges. We define each of Non-IFRS gross margin, Non-IFRS operating margin, Non-IFRS net income margin and Non-IFRS adjusted EBITDA margin as Non-IFRS gross profit, Non- IFRS operating profit, Non-IFRS net income and Non-IFRS adjusted EBITDA, respectively, divided by net revenue. Any adjustments described above that are zero for a given period are excluded from the “Reconciliation of IFRS to Non-IFRS” table. See "Reconciliation of IFRS to Non-IFRS" section for a detailed reconciliation of Non-IFRS financial measures to the most directly comparable IFRS measure. Financial Measures (Non-IFRS) We believe that in addition to our results determined in accordance with IFRS, these Non- IFRS financial measures provide useful information to both management and investors in measuring our financial performance and highlight trends in our business that may not otherwise be apparent when relying solely on IFRS measures. These Non-IFRS financial measures provide supplemental information regarding our operating performance that excludes certain gains, losses and non-cash charges that occur relatively infrequently and/ or that we consider to be unrelated to our core operations. Management believes that Non- IFRS adjusted free cash flow as a Non-IFRS measure is helpful to investors as it provides insights into the nature and amount of cash the Company generates in the period. Non-IFRS financial information is presented for supplemental informational purposes only and should not be considered in isolation or as a substitute for financial information presented in accordance with IFRS. Our presentation of Non-IFRS measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items. Other companies in our industry may calculate these measures differently, which may limit their usefulness as comparative measures. 31
Page 32
The information contained herein is the property of GlobalFoundries and/or its licensors. This document is for informational purposes only, is current only as of the date of publication and is subject to change by GlobalFoundries at any time without notice. GlobalFoundries, the GlobalFoundries logo and combinations thereof are trademarks of GlobalFoundries Inc. in the United States and/or other jurisdictions. Other product or service names are for identification only and may be trademarks or service marks of their respective owners. © GlobalFoundries Inc. 2025. Unless otherwise indicated, all rights reserved. Do not copy or redistribute except as expressly permitted by GlobalFoundries. Thank You For further information, please contact: Investor Relations ir@gf.com