Rambus Posts Record Revenue and Issues Fourth-Quarter Outlook

The Tip Desk · October 27, 2026 · 2 min read

Third-quarter revenue reached a record $218.3 million, above the $210 million to $216 million range, as product sales hit $114.3 million.

Rambus Inc. (RMBS), a provider of chips and IP for data-intensive computing, reported record third-quarter revenue of $218.3 million, up 22% from a year earlier and above its guidance range of $210 million to $216 million.

That followed $207.4 million in the second quarter, when year-over-year growth was 20%, and $180.2 million in the first quarter. Product revenue set a new high at $114.3 million, up 15% from the prior quarter and 22% from a year earlier. Royalties revenue was $77.0 million and contract and other revenue was $27.0 million.

GAAP diluted earnings were $0.69 a share and non-GAAP diluted earnings were $0.84 a share, both above the company’s guidance range. GAAP operating income was $83.6 million and GAAP operating margin was 38%, up from 35% in the second quarter. Non-GAAP operating margin was 47%.

President and chief executive Luc Seraphin said customer demand drove the product and cash results. The company generated a record $102.5 million of cash from operating activities in the quarter.

Cash, cash equivalents and marketable securities were $776.9 million as of September 30, 2026, down $48.0 million from June 30, mainly because of $135.4 million paid for common-stock repurchases and $11.2 million of capital expenditures, partially offset by the operating cash inflow.

The company said it expanded product and IP offerings for next-generation AI systems, including a PMIC for LPDDR6 SOCAMM2 and data center-class Root of Trust security IP. Seraphin said Rambus expects an even stronger performance in the fourth quarter on ongoing roadmap execution and accelerating demand for differentiated solutions.

For the fourth quarter of 2026, Rambus expects revenue of $227 million to $233 million, product revenue of $127 million to $133 million, royalties of $68 million to $74 million, and contract and other revenue of $26 million to $32 million. It expects GAAP diluted earnings of $0.68 to $0.76 a share and non-GAAP diluted earnings of $0.84 to $0.92 a share. The company said achieving the revenue range will require signing customer agreements for various product sales and solutions licensing.