Program designed to build a critical talent pipeline by easing the burden of education debt for U.S. employees

MALTA, N.Y., November 16, 2023 – GlobalFoundries (Nasdaq: GFS) (GF) announced today that it is launching a new student loan repayment program to help current employees and new recruits pay down student loan debt. The new benefit program is part of the company’s multi-million dollar investment to strengthen the semiconductor talent workforce by helping to ease the financial burden of higher education and training of our present and future employees.

Under GF’s new benefit program, set to begin in early 2024, U.S.-based employees and new hires that meet eligibility guidelines will be able to receive a tax-free, lifetime total of $28,500 toward their student debt, enabling employees to pay off their loans faster and at lower out of pocket expenses. The program is open to all U.S. employees that have qualified student loans for all degree types and credit-based certificate programs offered by U.S. universities and colleges.

“In the semiconductor industry, poised to double again over the next decade, the blueprint for tomorrow’s innovations is directly linked to the talent we cultivate today,” said Dr. Thomas Caulfield, president and CEO of GF. “By enhancing our employee benefit programs, especially through our student loan assistance, GF is not only strengthening and building its own talent pipeline but also striving to set an industry benchmark. It’s this very talent that is critical to delivering the essential semiconductors the world relies on to live, work and connect.”

The student loan repayment program is the newest feature in GF’s comprehensive benefit offerings including tuition reimbursement for employees pursuing undergraduate and graduate degrees, fully paid parental leave (twenty weeks for birth parent and 12 weeks for non-birth parent), employee fitness stipend to promote good health, and childcare subsidy towards dependent care. In addition, GF provides differentiated leadership development programs which include on-the-job training, including the first of a kind certified apprenticeship program, mentorship and other professional development opportunities to further increase skill development to cultivate a growth mindset and lifelong learning.

“With the Capital Region home to GlobalFoundries – a critical chip supplier to our defense and auto industries, among others – it’s all-hands-on-deck to support the current GF workforce and future recruits by easing the burden of student loan payments and fostering career growth for the next generation of NY semiconductor talent,” said Senate Majority Leader Schumer. “GlobalFoundries’ new student loan repayment program will not only drive the local Capital Region economy forward by attracting talented workers, but it will also retain the talented students and professionals who already call the Empire State home and are vital as we grow New York into a major global hub for semiconductor manufacturing and innovation. I wrote my CHIPS & Science Act to spark growth like this that will secure our domestic supply chains and lead to new jobs and investment in places like Upstate New York. By enabling employees to pay off their loans faster, GlobalFoundries’ new program will attract the powerhouse workforce we need to further transform the Capital Region and Upstate NY into a leader for semiconductor manufacturing.”

Funding from the CHIPS and Science Act aims to catalyze companies to create investment strategies that will make higher education more accessible and help level the playing field for the U.S. through building a workforce that enables a successful domestic semiconductor industry. For more than a decade, GF has been investing in global career development programs and educational assistance. Moreover, the company has established strategic partnerships nationwide with top universities and strong regional engagements with community colleges in New York and Vermont as well as access to worldwide talent through its global footprint to help build a diverse workforce and semiconductor talent pipeline.

Supporting Quotes

“Investing in our future workforce pays significant and lasting dividends for our Capital Region, nation, and economy. Today’s announcement from GlobalFoundries will create good-paying local jobs while bolstering our national supply chain and further solidifying our region’s role as a leader in manufacturing. Forward-thinking investments like GF’s new program are exactly why I worked to enact the CHIPS and Science Act. I’m thrilled to see these efforts deliver for our region and will continue pushing to strengthen the semiconductor industry and benefit our American workers and communities.” – Congressman Paul D. Tonko (NY-20)

“At Hudson Valley Community College, we are excited to be a part of GlobalFoundries’ vision for building a dynamic pipeline that will fuel the future of semiconductor innovation. Our institution is dedicated to providing top-notch education and training, ensuring our students are well-prepared to contribute their skills and expertise to the semiconductor industry. GlobalFoundries’ new program demonstrates a genuine commitment to the education and aspirations of our students, as they work towards a brighter more technologically advanced future.” – Dr. Roger Ramsammy, president of Hudson Valley Community College

“We commend GlobalFoundries for advancing U.S. leadership in semiconductors by helping to make education more affordable. As a leading institution committed to impactful research and education through the semiconductor degrees program (SDP), Purdue University has frozen tuition for 12 years in a row. GlobalFoundries’ student loan repayment program reflects a shared vision of scaling up talent pipelines while empowering the next generation of innovators.” – Mark Lundstrom, Don and Carol Scifres Distinguished Professor, Elmore Family School of Electrical and Computer Engineering and Chief Semiconductor Officer of Purdue University

“Strengthening support for regional partnerships and programs focused on cultivating a highly skilled workforce and fostering job creation within the semiconductor industry is imperative for the well-being of the U.S. economy, national security, and its continued global leadership in emerging technologies. GlobalFoundries’ new program will help nurture and retain top talent in our industry while showcasing the industry’s dedication to the success of its workforce that is critical to the future economy.” – John Neuffer, president and CEO of Semiconductor Industry Association

“The launch of this student loan repayment program is a clear testament to GlobalFoundries’ commitment to fostering educational success and cultivating a robust pipeline of skilled workers for a fast-evolving technological landscape. We look forward to our continued partnership with GlobalFoundries as we forge a more innovative and digitally connected future together, for our students and for the state of New York.” – State University of New York Chancellor John B. King, Jr.

“At the University of Vermont, we take great pride in our role as a critical partner in fostering a strong pipeline of talent for the semiconductor industry through our partnership with GlobalFoundries and our new groundbreaking Device Characterization Teaching Lab. We applaud GlobalFoundries for their continued commitment to developing a highly skilled workforce that will shape the future of technology and position Vermont as a leader in advancing semiconductor manufacturing.” – Suresh Garimella, president of UVM

About GF

GlobalFoundries (GF) is one of the world’s leading semiconductor manufacturers. GF is redefining innovation and semiconductor manufacturing by developing and delivering feature-rich process technology solutions that provide leadership performance in pervasive high growth markets. GF offers a unique mix of design, development, and fabrication services. With a talented and diverse workforce and an at-scale manufacturing footprint spanning the U.S., Europe and Asia, GF is a trusted technology source to its worldwide customers. For more information, visit www.gf.com.

©GlobalFoundries Inc., GF, GlobalFoundries, the GF logos and other GF marks are trademarks of GlobalFoundries Inc. Or its subsidiaries. All other trademarks are the property of their respective owners.

Forward-looking Information

This news release may contain forward-looking statements, which involve risks and uncertainties. Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. GF undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law.

Media Contact

Erica McGill
[email protected]

MALTA, N.Y., Nov. 07, 2023 (GLOBE NEWSWIRE) — GlobalFoundries Inc. (GF) (Nasdaq: GFS) today announced preliminary financial results for the third quarter ended September 30, 2023.

Key Third Quarter Financial Highlights

• Revenue of $1,852 million.
• Gross margin of 28.6% and adjusted gross margin⁽¹⁾ of 29.2%.
• Operating margin of 14.1% and adjusted operating margin⁽¹⁾ of 17.4%.
• Net income of $249 million and adjusted net income⁽¹⁾ of $308 million.
• Adjusted EBITDA⁽¹⁾ of $667 million.
• Cash, cash equivalents and marketable securities of $3.4 billion.

“In the third quarter, GF’s dedicated teams across the world delivered financial results at the upper end of the guidance ranges we provided in our August earnings release,” said Dr. Thomas Caulfield, president and CEO of GF. “Although the global economic and geopolitical landscape remains uncertain, we are collaborating closely with our customers to support their efforts to reduce inventory levels, while growing long-term partnerships to drive foundry innovation and differentiation across essential end-markets.”

Recent Business Highlights

• The U.S. Department of Defense awarded GF a new 10-year contract for a supply of securely manufactured, U.S.-made semiconductors for use across a wide range of critical aerospace and defense applications. 
• GF expanded its world-class global operations with official openings at its fabrication plant in Singapore and new operations support facility in Penang, Malaysia, creating a total of 1,300 high-value jobs.
• GF announced its most advanced RF technology, 9SW RFSOI, that will offer significant improvements in performance and integration for 5G and wireless communication applications.

⁽¹⁾Adjusted gross profit, adjusted operating profit, adjusted net income, adjusted EBITDA and related margins are Non-IFRS measures. See “Unaudited Reconciliation of IFRS to Non-IFRS” for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure. See “Financial Measures (Non-IFRS)” for a discussion of why we believe these Non-IFRS measures are useful.

 

Unaudited Summary Quarterly Results (in millions USD, except per share amounts and wafer shipments)
													Year-over-year					Sequential
	Q3’23				Q2’23				Q3’22				Q3’23 vs Q3’22					Q3’23 vs Q2’23
Net revenue	$	1,852			$	1,845			$	2,074			$	(222	)	(11)%		$	7		—%
Gross profit		529				532				610			$	(81	)	(13)%		$	(3	)	(1)%
Gross margin		28.6	%			28.8	%			29.4	%					(80)bps					(20)bps
Adjusted gross profit(1)	$	541			$	546			$	621			$	(80	)	(13) %		$	(5	)	(1)%
Adjusted gross margin (1)		29.2	%			29.6	%			29.9	%					(70)bps					(40)bps
Operating profit	$	261			$	275			$	357			$	(96	)	(27)%		$	(14	)	(5)%
Operating margin		14.1	%			14.9	%			17.2	%					(310)bps					(80)bps
Adjusted operating profit(1)	$	322			$	338			$	389			$	(67	)	(17) %		$	(16	)	(5)%
Adjusted operating margin (1)		17.4	%			18.3	%			18.8	%					(140)bps					(90)bps
Net income	$	249			$	237			$	336			$	(87	)	(26)%		$	12		5%
Net income margin		13.4	%			12.8	%			16.2	%					(280)bps					+60bps
Adjusted net income(1)(2)	$	308			$	297			$	368			$	(60	)	(16)%		$	11		4%
Adjusted net income margin (1)		16.6	%			16.1	%			17.7	%					(110)bps					+50bps
Diluted earnings per share (“EPS”)	$	0.45			$	0.43			$	0.61			$	(0.16	)	(26)%		$	0.02		5%
Adjusted diluted earnings per share(1)	$	0.55			$	0.53			$	0.67			$	(0.12	)	(18)%		$	0.02		4%
Adjusted EBITDA(1)(3)	$	667			$	668			$	793			$	(126	)	(16)%		$	(1	)	—%
Adjusted EBITDA margin (1)		36.0	%			36.2	%			38.2	%					(220)bps					(20)bps
Cash from operations	$	416			$	546			$	679			$	(263	)	(39)%		$	(130	)	(24)%
Wafer shipments (300mm equivalent) (in thousands)		575				573				637				(62	)	(10)%			2		—%
(1) Adjusted gross profit, adjusted operating profit, adjusted net income, adjusted diluted earnings per share, adjusted EBITDA, and related margins are all Non-IFRS measures. See “Unaudited Reconciliation of IFRS to Non-IFRS” section for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure. See “Financial Measures (Non-IFRS)” for a discussion of why we believe these Non-IFRS metrics are useful.
(2) Beginning in Q4 2022, the Company revised its definition of adjusted net income to include an adjustment for restructuring charges and the associated tax impact. The change was made due to a restructuring undertaken in Q4 2022. The Company believes the revised definition provides management and investors with more useful information to evaluate the operations of our business. Adjusted net income is now defined as net income adjusted for share-based compensation expense, restructuring charges and the associated tax impact.
(3) Beginning in Q3 2022, the Company revised its definition of adjusted EBITDA to include an adjustment for finance income. The change was made due to the Company making an investment during Q2 2022 of approximately $1.0 billion in marketable securities. The Company believes the revised definition provides management and investors more useful information to evaluate the operations of our business. Adjusted EBITDA is now defined as net income, adjusted for the impact of finance expense, finance income, income tax expense, depreciation, amortization, share-based compensation expense, divestiture gains and associated expenses, restructuring charges, labor optimization initiatives and litigation settlement.

 

Summary of Fourth Quarter 2023 Guidance (unaudited in millions USD, except per share amounts)(1)
	IFRS			Share-based compensation		Non-IFRS Adjusted(2)
Net revenue	$1,825 – $1,875			—		—
Gross Profit	$487 – $531			$13- $15		$502 – $544
Gross Margin(3) (mid-point)	27.5%					28.3%
Operating Profit	$277 – $349			$40 – $50		$327 – $389
Operating Margin(3) (mid-point)	16.9%					19.3%
Net Income	$246 – $318			$40 – $50		$296 – $358
Net Income Margin(3) (mid-point)	15.2%					17.7%
Diluted EPS	$0.44 – $0.57					$0.53 – $0.64
(1)The Guidance provided above 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 currently available. GF has not provided a reconciliation of its Fourth Fiscal Quarter Guidance for adjusted Non-IFRS EBITDA and related margin because estimates of all of the reconciling items cannot be provided without unreasonable efforts. Certain factors that are materially significant to GF’s ability to estimate these items are out of its control and/or cannot be reasonably predicted.
(2)Adjusted gross profit, adjusted operating profit, adjusted net income, and adjusted diluted EPS are Non-IFRS metrics and, for purposes of the Guidance only, are defined as gross profit, operating profit, net income, and EPS before share-based compensation expense, respectively.
(3)Adjusted margins are Non-IFRS metrics and for purposes of the Guidance only, are defined as adjusted gross profit, adjusted operating profit and adjusted net income, each divided by net revenue (using the definitions of adjusted gross profit, adjusted operating profit, and adjusted net income, in footnote (2) above, as appropriate).

 

Unaudited Consolidated Statements of Operations
	Three Months Ended
(in millions USD, except for per share amounts)	September 30, 2023				September 30, 2022
Net revenue	$	1,852			$	2,074
Cost of revenue		1,323				1,464
Gross profit	$	529			$	610
Operating expenses:
Research and development		108				124
Selling, general and administrative		143				129
Restructuring charges		17				—
Total operating expenses	$	268			$	253
Operating profit	$	261			$	357
Finance income (expense), net		3				(11	)
Other income (expense)		(21	)			9
Income tax (expense) benefit		6				(19	)
Net income	$	249			$	336
Attributable to:
Shareholders of GlobalFoundries		249				337
Non-controlling interest		—				(1	)
Earnings per share:
Basic	$	0.45			$	0.62
Diluted	$	0.45			$	0.61
Shares used in earnings per share calculation:
Basic		553				543
Diluted		556				553
(1) Beginning in Q3 2023, selling, general and administrative expense includes (gain)/loss on tool sales and certain contract cancellation fees. Prior period amounts have not been adjusted, as they are immaterial.

 

Unaudited Consolidated Statements of Financial Position
(in millions USD)	September 30, 2023				December 31, 2022
Assets:
Cash and cash equivalents	$	1,880			$	2,352
Receivables, prepayments and other		1,404				1,487
Marketable securities		1,014				622
Inventories		1,509				1,339
Current assets	$	5,807			$	5,800
Deferred tax assets	$	251			$	292
Property, plant, and equipment, net		10,594				10,596
Marketable securities		466				372
Other assets		726				781
Non-current assets	$	12,037			$	12,041
Total assets	$	17,844			$	17,841
Liabilities and equity:
Current portion of long-term debt	$	199			$	223
Other current liabilities		2,549				3,136
Current liabilities	$	2,748			$	3,359
Non-current portion of long-term debt	$	2,181			$	2,288
Other liabilities		2,084				2,234
Non-current liabilities	$	4,265			$	4,522
Shareholders’ equity:
Common stock/additional paid-in capital	$	24,011			$	23,842
Accumulated deficit		(13,278	)			(14,021	)
Accumulated other comprehensive income		54				92
Non-controlling interest		44				47
Total liabilities and equity	$	17,844			$	17,841

 

Unaudited Consolidated Statements of Cash Flows
	Three Months Ended
(in millions USD)	September 30, 2023				September 30, 2022
Cash flows from operating activities:
Net income	$	249			$	336
Depreciation and amortization		366				395
Finance expense, net and other(1)		7				6
Deferred income taxes		(4	)			11
Other non-cash operating activities		16				(32	)
Net change in working capital		(218	)			(37	)
Net cash provided by operating activities	$	416			$	679
Cash flows from investing activities:
Purchases of property, plant, equipment, and intangible assets	$	(323	)		$	(613	)
Other investing activities		10				(151	)
Net cash used in investing activities	$	(313	)		$	(764	)
Cash flows from financing activities:
Proceeds (repayment) of debt, net		(54	)			95
Other financing activities		1				62
Net cash (used in) provided by financing activities	$	(53	)		$	157
Effect of exchange rate changes		(2	)			(5	)
Net change in cash and cash equivalents	$	48			$	67
Cash and cash equivalents at the beginning of the period		1,832				2,474
Cash and cash equivalents at the end of the period	$	1,880			$	2,541
(1) Finance expense, net and other has been adjusted to include interest and taxes paid that were previously included in “Other non-cash operating activities.” Prior period amounts have been adjusted accordingly.

 

Unaudited Reconciliation of IFRS to Non-IFRS
	Three Months Ended
(in millions USD)	September 30, 2023				June 30, 2023				September 30, 2022
Net Revenue	$	1,852			$	1,845			$	2,074
Gross profit	$	529			$	532			$	610
Gross profit margin		28.6	%			28.8	%			29.4	%
Share-based compensation	$	12			$	14			$	11
Adjusted gross profit (1)	$	541			$	546			$	621
Adjusted gross margin(1)		29.2	%			29.6	%			29.9	%
Selling, general and administrative	$	143			$	132			$	129
Share-based compensation	$	25			$	24			$	15
Adjusted selling, general and administrative	$	118			$	108			$	114
Research and development	$	108			$	106			$	124
Share-based compensation	$	7			$	6			$	6
Adjusted research and development (1)	$	101			$	100			$	118
Operating profit	$	261			$	275			$	357
Operating profit margin		14.1	%			14.9	%			17.2	%
Share-based compensation	$	44			$	44			$	32
Restructuring charges	$	17			$	19				—
Adjusted operating profit(1)	$	322			$	338			$	389
Adjusted operating profit margin(1)		17.4	%			18.3	%			18.8	%
Net income	$	249			$	237			$	336
Net income margin		13.4	%			12.8	%			16.2	%
Share-based compensation	$	44			$	44			$	32
Restructuring charges	$	17			$	19				—
Income tax effect(2)	$	(2	)		$	(3	)		$	—
Adjusted net income(1) (3)	$	308			$	297			$	368
Adjusted net income margin(1)		16.6	%			16.1	%			17.7	%
Diluted earnings per share	$	0.45			$	0.43			$	0.61
Share-based compensation	$	0.08			$	0.08			$	0.06
Restructuring charges	$	0.03			$	0.03				—
Income tax effect	$	(0.01	)		$	(0.01	)			—
Diluted shares outstanding		556				556				553
Adjusted diluted earnings per share(1)	$	0.55			$	0.53			$	0.67
Net cash provided by operating activities	$	416			$	546
Less: Purchase of property, plant and equipment and intangible assets	$	323			$	400
Free cash flow(1)	$	93			$	146
(1) Adjusted gross profit, adjusted selling, general and administrative, adjusted research and development expense, adjusted operating profit, adjusted operating expense (calculated by subtracting adjusted operating profit from adjusted gross profit), adjusted net income, adjusted diluted earnings per share, free cash flow and any related margins are all Non-IFRS measures. See “Financial Measures (Non-IFRS)” for a discussion of why we believe these Non-IFRS measures are useful.
(2) Relates to restructuring charges.
(3) Reflects change to adjusted net income definition discussed in more detail elsewhere in this release.

 

Unaudited Reconciliation of Net Income to Adjusted EBITDA
	Three Months Ended
(in millions USD)	September 30, 2023				June 30, 2023				September 30, 2022
Net income for the period	$	249			$	237			$	336
Depreciation and amortization		366				340				395
Finance expense		37				34				28
Finance income		(40	)			(34	)			(17	)
Income tax expense (benefit)		(6	)			28				19
Share-based compensation		44				44				32
Restructuring charges		17				19				—
Adjusted EBITDA(1)(2)	$	667			$	668			$	793
Adjusted EBITDA margin(2)		36.0	%			36.2	%			38.2	%
(1) Reflects change to adjusted EBITDA definition discussed in more detail elsewhere in this release.
(2) Adjusted EBITDA and related margin are Non-IFRS measures. See “Unaudited Reconciliation of IFRS to Non-IFRS” for a detailed reconciliation of Non-IFRS measures to the most directly comparable IFRS measure. See “Financial Measures (Non-IFRS)” for a discussion of why we believe these Non-IFRS measures are useful.

Financial Measures (Non-IFRS)

In addition to the financial information presented in accordance with IFRS, this press release includes the following Non-IFRS metrics: adjusted gross profit, adjusted selling, general and administrative, adjusted research and development expense, adjusted operating profit, adjusted net income, adjusted diluted earnings per share, adjusted EBITDA, free cash flow and any related margins. We define adjusted gross profit as gross profit adjusted for share-based compensation expense. We define adjusted selling, general and administrative as selling, general and administrative adjusted for share-based compensation expense. We define adjusted research and development expense as research and development expense adjusted for share-based compensation expense. We define adjusted operating profit and adjusted operating expense as profit and expense, respectively, from operations adjusted for share-based compensation expense and restructuring charges. We define adjusted net income as net income adjusted for share-based compensation expense, restructuring charges and the associated tax impact. We define adjusted diluted EPS as adjusted net income divided by the dilutive shares. We define free cash flow as cash flow provided by (used in) operating activities less purchases of property, plant and equipment and intangible assets. We define adjusted EBITDA as net income, adjusted for the impact of finance expense, finance income, income tax expense, depreciation, amortization, share-based compensation expense, divestiture gains and associated expenses, restructuring charges, labor optimization initiatives and litigation settlements. We define adjusted gross margin as adjusted gross profit divided by revenue. We define adjusted operating margin as adjusted operating profit divided by net revenue. We define adjusted EBITDA margin as adjusted EBITDA divided by net revenue.

We believe that in addition to our results determined in accordance with IFRS, these Non-IFRS 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 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. For further information regarding these Non-IFRS measures, please refer to “Unaudited Reconciliation of IFRS to Non-IFRS” table above.

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 a comparative measure.

Conference Call and Webcast Information

GF will host a conference call with the financial community on Tuesday, November 7, 2023 at 8:30 a.m. U.S. Eastern Time (ET) to review the Third Quarter 2023 results in detail. Interested parties may join the scheduled conference call by registering at https://register.vevent.com/register/BI8ee5e87643034b2aa9a1ae5f7e8ce393

The call will be webcast and can be accessed from the GF Investor Relations website https://investors.gf.com. A replay of the call will be available on the GF Investor Relations website within 24 hours of the actual call.

About GlobalFoundries

GlobalFoundries® (GF®) is one of the world’s leading semiconductor manufacturers. GF is redefining innovation and semiconductor manufacturing by developing and delivering feature-rich process technology solutions that provide leadership performance in pervasive high growth markets. GF offers a unique mix of design, development and fabrication services. With a talented and diverse workforce and an at-scale manufacturing footprint spanning the U.S., Europe and Asia, GF is a trusted technology source to its worldwide customers. For more information, visit www.gf.com.

Forward-looking Statements

This press release includes “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 wars in Ukraine and Israel; 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 current 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 damage our reputation; we could experience interruptions or performance problems associated with our technology, including a service outage; and global economic conditions could deteriorate, including due to increasing interest rates, rising inflation and any potential recession. 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.

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 2022 Annual Report on Form 20-F, current reports on Form 6-K and other reports filed with the Securities and Exchange Commission. Copies of our SEC filings are available on our Investor Relations website, investors.gf.com, or from the SEC website, www.sec.gov.

For further information, please contact:
                 
Investor Relations
[email protected]

In partnership with U.S. Government, GF’s semiconductor manufacturing facility in Vermont continues to move closer to large-scale production of next-generation gallium nitride chips for use in aerospace and defense, cellular communications, industrial IoT and automobiles 

ESSEX JUNCTION, VT, October 18, 2023 — GlobalFoundries (Nasdaq: GFS) (GF) has been awarded $35 million in federal funding from the U.S. government to accelerate the manufacturing of GF’s differentiated gallium nitride (GaN) on silicon semiconductors at its facility in Essex Junction, Vermont. This funding brings GF closer to large-scale production of GaN chips, which are unique in their ability to handle high voltages and temperatures. These chips are positioned to enable game-changing performance and efficiency in 5G and 6G cellular communications for infrastructure and handsets, automotive and industrial Internet of things (IoT), as well as power grids and other critical infrastructure. 

With the new $35 million in funding, awarded by the Department of Defense’s Trusted Access Program Office (TAPO), GF plans to purchase additional tools to expand development and prototyping capabilities, moving closer to at-scale 200mm GaN-on-silicon semiconductor manufacturing. As part of the investment, GF plans to implement new capabilities for reducing the exposure of GF and its customers to supply chain constraints of gallium, while improving the speed of development, assurance of supply and competitiveness of U.S-made GaN chips. 

The funding builds on years of collaboration with the U.S. government – including $40 million in support from 2020-2022 – that leverages the talent of GF’s Vermont team and their 200mm semiconductor manufacturing experience, and applies it to GaN-on-silicon manufacturing. 200mm is state-of-the-art for GaN chip technology. 

“Vermont is a leader in semiconductor innovation. This federal funding is welcome news, and will solidify our state’s position as a leader at the forefront of manufacturing next-generation chips,” said Senator Peter Welch. “It’s critical we support investment in this industry here in Vermont and in the U.S. – both for our local economic growth and for our national security. I look forward to continuing to fight for our domestic semiconductor and chip manufacturers in the Senate.” 

“This strategic investment continues to strengthen our domestic ecosystem of critical dual-use commercial technologies, ensuring they’re readily available and secure for DoD utilization. In concert with key partners, we’re proactively shaping the future of our defense systems,” said The Honorable Christopher J. Lowman, Assistant Secretary of Defense for Sustainment. 

“GaN on silicon is an ideal technology for high performance radio frequency, high voltage power switching and control applications for emerging markets, and it’s important for 6G wireless communications, industrial IoT, and electric vehicles,” said Dr. Thomas Caulfield, president and CEO of GF. “GF has a longstanding partnership with the U.S. government, and this funding is critical to move GaN on silicon chips closer to volume production. These chips will enable our customers to realize bold new designs that push the envelope of energy efficiency and performance of critical technologies we rely on every day.” 

GF’s facility in Essex Junction, Vermont, near Burlington, was among the first major semiconductor manufacturing sites in the United States. Today around 1,800 GF employees work at the site. Built on GF’s differentiated technologies, these GF-made chips are used in smartphones, automobiles, and communications infrastructure applications around the world. The facility is a DMEA accredited Trusted Foundry and manufactures secure chips in partnership with the U.S. Department of Defense, for use in some of the nation’s most sensitive aerospace and defense systems. 

About GF  

GlobalFoundries (GF) is one of the world’s leading semiconductor manufacturers. GF is redefining innovation and semiconductor manufacturing by developing and delivering feature-rich process technology solutions that provide leadership performance in pervasive high growth markets. GF offers a unique mix of design, development, and fabrication services. With a talented and diverse workforce and an at-scale manufacturing footprint spanning the U.S., Europe and Asia, GF is a trusted technology source to its worldwide customers. For more information, visit www.gf.com.  

©GlobalFoundries Inc., GF, GlobalFoundries, the GF logos and other GF marks are trademarks of GlobalFoundries Inc. Or its subsidiaries. All other trademarks are the property of their respective owners.  

Forward-looking Information  

This news release may contain forward-looking statements, which involve risks and uncertainties. Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. GF undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law. 

Media Contacts: 

Michael Mullaney 
[email protected] 

Annual event for aerospace and defense industry showcases necessity, value of Trusted chip manufacturing 

MALTA, N.Y., Oct. 12, 2023 – GlobalFoundries (Nasdaq: GFS) (GF) and the U.S. Department of Defense (DoD) will host a group of leaders and technologists from across the aerospace and defense industry on October 18-19 at GF’s Trusted Foundry Training 2023 in Arlington, Virginia. The invite-only event will showcase the critical role of Trusted chip manufacturing for sensitive national defense applications and highlight how essential chips securely manufactured by GF are enabling innovation and provide an efficient path to new technology development across a range of markets. 

The 2023 Trusted Foundry Training builds on the announcement last month of the DoD awarding GF a new $3.1 billion, 10-year contract for a supply of securely manufactured, U.S.-made semiconductors for use across a wide range of critical aerospace and defense applications. The new contract was the third sequential 10-year contract of its kind between the DoD and the Trusted Foundry business team at GF. 

At the Trusted Foundry Training event, Steven J. Morani, DoD principal deputy assistant secretary of defense for sustainment, will deliver the keynote address on Oct. 18. In addition, Dr. Nicholas Martin, director of DoD’s Defense Microelectronics Activity (DMEA), Aman Gahoonia, director of the DMEA’s Trusted Access Program Office (TAPO), and Dr. Carl McCants, special assistant to the DARPA director, along with other leaders from government and the defense sector, will take the stage to discuss Trusted chip manufacturing and provide key updates to the DoD’s Trusted Foundry program. 

On Oct. 19, Igor Arsovski, fellow and head of silicon technology at AI startup Groq, will deliver the keynote “Waking up to AI.” Along with presentations from the GF team on the company’s silicon photonics, gallium nitride, silicon germanium and other wide bandgap technologies, day two of the event will include discussions around supply chain resiliency and transparency, chips for harsh environments, and conclude with remarks from GF’s Ezra Hall, senior director of aerospace and defense, about the benefits of enhanced chip manufacturing security for companies outside the defense sector.​ 

“As the leading supplier of securely manufactured essential chips for the U.S. aerospace and defense industry, and a longstanding partner to the U.S. Department of Defense, GF is uniquely positioned to convene this group of leaders and decision makers for a wide-ranging discussion on Trusted chip manufacturing,” said Mike Cadigan, chief corporate and government affairs officer at GF, who will kick off the event on Oct. 18. “Defense contractors will hear straight from the source how GF Trusted manufacturing, our platforms and solutions, our design enablement and turnkey services, when paired with our industry-leading IP offerings and design tools, are accelerating design cycles and enabling our customers to speed up their time to market for new technologies.” 

GF’s U.S. facilities are DoD-accredited to the highest level, Trusted Supplier Category 1A, which implements proven stringent security measures to protect sensitive information and manufacture chips with the highest levels of integrity to ensure they are uncompromised. 

About GF 

GlobalFoundries (GF) is one of the world’s leading semiconductor manufacturers. GF is redefining innovation and semiconductor manufacturing by developing and delivering feature-rich process technology solutions that provide leadership performance in pervasive high growth markets. GF offers a unique mix of design, development, and fabrication services. With a talented and diverse workforce and an at-scale manufacturing footprint spanning the U.S., Europe and Asia, GF is a trusted technology source to its worldwide customers. For more information, visit www.gf.com. 

©GlobalFoundries Inc., GF, GlobalFoundries, the GF logos and other GF marks are trademarks of GlobalFoundries Inc. Or its subsidiaries. All other trademarks are the property of their respective owners. 

Forward-looking Information 

This news release may contain forward-looking statements, which involve risks and uncertainties. Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. GF undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law. 

Media Contact 

Michael Mullaney 
[email protected] 

MALTA, N.Y., Oct. 02, 2023 (GLOBE NEWSWIRE) — GlobalFoundries (NASDAQ: GFS) today announced that it will host a conference call on Tuesday, November 7, 2023, at 8:30 a.m. ET following the release of the company’s third quarter 2023 financial results.

Conference Call and Webcast Information

The company will host a conference call with the financial community on Tuesday, November 7, 2023, at 8:30 a.m. ET. Interested parties may join the scheduled conference call by registering here.

The company’s financial results and a webcast of the conference call will be available on GlobalFoundries’ Investor Relations website at https://investors.gf.com.

About GF

GlobalFoundries Inc. (GF) is one of the world’s leading semiconductor manufacturers. GF is redefining innovation and semiconductor manufacturing by developing and delivering feature-rich process technology solutions that provide leadership performance in pervasive high growth markets. GF offers a unique mix of design, development and fabrication services. With a talented and diverse workforce and an at-scale manufacturing footprint spanning the U.S., Europe and Asia, GF is a trusted technology source to its worldwide customers. For more information, visit www.gf.com.

©GlobalFoundries Inc. GF, GlobalFoundries, the GF logos and other GF marks are trademarks of GlobalFoundries Inc. or its subsidiaries. All other trademarks are the property of their respective owners. 

For further information, please contact:

[email protected] 

New Features, Temperature-Resilient Capabilities Meet Growing Demands in IoT and Automotive Industries

MUNICH, September 27, 2023 – Today at its annual Technology Summit in Europe, GlobalFoundries (GF) (Nasdaq: GFS) announced advancements to its industry-leading 22FDX® (22nm FD-SOI) platform, introducing a suite of innovative features and enhancements. These enhancements represent a strategic response to the growing demand for better power efficiency and top-tier performance in both IoT and automotive applications.

The new features include ultra-low power memory, designed to operate with exceptional energy efficiency, even in the most power-sensitive environments. Additionally, GF’s 22FDX platform introduces advanced temperature-resistant capabilities, which are critical for the auto industry as they ensure the long-term durability, reliability and safety of vehicle electronic systems, particularly in high-heat environments found under the hood and during demanding operations. The technology also offers optimized energy management, allowing for intelligent power consumption and improved battery life in a variety of devices.

In the rapidly expanding network of IoT devices, new features on 22FDX+ offer several advancements, including 0.5pA/cell memories and ultra-low retention leakage flops to minimize power in sleep mode; 0.4V standard cells libraries and memories with 30% lower power savings; and an expanded suite of devices that provide greater than 20% noise performance, up to 70% higher Q-factor, and lower switching loss to reduce analog power and area. 

For the automotive industry, GF announced 22FDX+ AutoPro™ 150. This offering extends the capabilities of 22FDX+ for use in automotive up to 150°C with corner tightened standard cell libraries and optimized SRAM compilers to boost chip performance by 10% or reduce power consumption by up to 20%. Novel SRAM bitcells and compilers that are optimized with reverse body-biasing, a capability only possible in FDSOI technology, can deliver up to 60% leakage reduction at 150°C junction temperature.

“GlobalFoundries is at the forefront of tackling power consumption challenges in IoT and automotive industries, where achieving the lowest power possible is paramount. With our world-class wireless connectivity and our smart and secure chips, we’re driving the development of intelligent connected devices that can operate under harsh environments with the best power efficiency. GF is uniquely positioned to empower billions of connected devices to operate efficiently, and we’re proud to partner with industry leaders like Nordic Semiconductor to deliver a compact, ultra-low power, high-performance chip with advanced memory, multiprotocol radio and top-tier security features,” said Niels Anderskouv, Chief Business Officer at GF.

“Decades of ultra-low-power wireless expertise have come together to form the nRF54 Series,” said Svein-Egil Nielsen, CTO and EVP of R&D at Nordic Semiconductor. “We’re pleased to partner with GF on this journey. Our first SoC from the fourth generation of Bluetooth LE solutions, the nRF54H20, not only represents a significant milestone for Nordic but also allows Nordic’s customers to build end-products far more advanced and efficient than those we see today. This SoC, the inaugural offering in the nRF54 Series, proves ideal for disruptive IoT applications that require high processing power, exceptional energy efficiency, and state-of-the-art security.”

About GTS

GF Technology Summit (GTS) 2023 is GF’s worldwide, annual series of technology-focused events. GTS brings together leaders from the commercial, business and research worlds to understand the latest technology challenges and opportunities, and partner to create the most innovative applications and solutions.

About GlobalFoundries

GlobalFoundries® (GF®) is one of the world’s leading semiconductor manufacturers. GF is redefining innovation and semiconductor manufacturing by developing and delivering feature-rich process technology solutions that provide leadership performance in pervasive high growth markets. GF offers a unique mix of design, development and fabrication services. With a talented and diverse workforce and an at-scale manufacturing footprint spanning the U.S., Europe and Asia, GF is a trusted technology source to its worldwide customers. For more information, visit www.gf.com.

Forward-looking Information

This news release may contain forward-looking statements, which involve risks and uncertainties. Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. GF undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law. 

Media Contact

Erica McGill
GF
[email protected]
518-795-5240