📊Executive Summary

ON Semiconductor reported strong Q2 2026 earnings, with revenues of $1.6 billion, driven by increased demand in AI data centers and a significant rise in Energy Storage Systems revenue. However, the company is facing extended product lead times, now at approximately 32 weeks, due to tightening supply in key growth areas. This situation is compounded by rising input costs, necessitating price increases to maintain margins. The automotive segment saw a slight decline due to seasonal factors, while manufacturing utilization improved to 83%. The company anticipates continued growth in AI and energy sectors, but procurement teams should be aware of the potential impacts on lead times and pricing....