Microchip Technology MCHP beats Q1 2027 earnings as inventory correction ends
As seen on the 24/7 Wall St. homepage on August 6, 2026.
The analog inventory correction is over at Microchip: sales rose 38% year over year. September quarter guidance points to roughly 40.6% growth at the midpoint, so keep an eye on the stock.
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Microchip Technology reported Q1 2027 earnings per share of $0.76, coming in about 8.7% above the consensus estimate of $0.70. Revenue of $1.48 billion also cleared expectations by roughly 1.8%, and the 38% year-over-year sales gain marks a clear inflection point after a prolonged analog inventory correction that had weighed on results throughout fiscal 2025 and into early 2026. The EPS recovery tells the same story: reported figures bottomed at $0.11 in Q4 2025 and have climbed steadily each quarter since.
The forward signal is equally constructive. Guidance for the September quarter points to roughly 40.6% year-over-year growth at the midpoint, suggesting the demand rebound has durability rather than being a one-quarter bounce. Investors will want to watch whether actual September results confirm that trajectory, particularly given how sharply estimates were undercut during the down-cycle — Q3 2025 saw reported EPS of $0.20 against a $0.28 estimate, the worst miss in the recent history shown in the filing.
The full quarterly filing is available directly from the SEC for readers who want to dig into segment detail, cash flow, or the precise wording of management's guidance range.