newsfilter
← Latest News
GlobeNewswire·

Microchip Technology Announces Financial Results for Second Quarter of Fiscal Year 2027

MCHP
  • Microchip Technology reported third-quarter 2026 net sales of $1.622 billion, a 42.2% year-over-year increase & a 9.2% sequential increase, surpassing the August 6, 2026 guidance midpoint of $1.604 billion.
  • GAAP financial results included gross profit of 65.9%, operating income of $464.5 million (28.6% of sales), net income attributable to common stockholders of $373.6 million, & diluted EPS of $0.68, beating the prior guidance range of $0.53 to $0.54.
  • Non-GAAP results showed gross profit of 66.5%, operating income of $639.9 million (39.5% of sales), net income of $559.2 million, & diluted EPS of $0.97, exceeding the prior guidance range of $0.91 to $0.95.
  • The company returned approximately $247.6 million to common stockholders via dividends in the September quarter & declared a quarterly dividend of 45.5 cents per share for the December quarter.
  • Microchip completed acquisitions of Hailo (edge AI processors) on September 17, 2026, & Vorago Technologies (radiation-hardened microcontrollers) on October 8, 2026.
  • CEO Steve Sanghi noted robust bookings with a book-to-bill ratio above one, highlighting 24 PCIe Gen6 design wins in data centers, up from 12 in the June quarter.
  • CFO Eric Bjornholt stated that non-GAAP operating expenses grew below net sales, supporting higher profitability while the company maintains a focus on strengthening its balance sheet.
  • For the December quarter, Microchip guidance projects net sales between down 3% & up 1% sequentially (midpoint down 1%), representing ~35.4% year-over-year growth, with non-GAAP gross margin expected between 64% & 65%.
  • The company reported lengthening supply chain lead times & is working to expand capacity & secure additional wafer allocation to meet demand.
  • Capital expenditures for the December quarter are expected to be ~$35 million, with full fiscal 2027 capex estimated at ~$100 million as factory expansion actions remain paused.
  • Victor Peng announced his resignation from the Board of Directors on November 3, 2026, due to time commitments as CEO of PsiQuantum.
Company
Microchip Technology Inc.
Keywords
Nasdaq:MCHP, Microchip Technology Inc.