Companies /Technology

Semtech Corp

NASDAQ: SMTC Semiconductors
$132.15
▼ $0.81 (−0.61%) today
Markets closed · 4:19pm ET

Q1 2027 Earnings

Reported May 26, 2026, 4:07pm ET · SEC source
$0.51
Beat +12.48%
EPS · est. $0.45
$291.0M
Miss −3.22%
Revenue · est. $300.7M
−6.1%
Trailing market
SMTC vs S&P since report
7 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−12%−6%0+6%May 26May 27report 4:07pm ETearnings+0.0%−9.6%
−12%−6%0+6%May 26May 27earnings+0.0%−9.6%
SMTC −9.6%S&P 500 +0.0%
−12%−6%0+6%May 26May 27report 4:07pm ETearnings−0.2%−9.6%
−12%−6%0+6%May 26May 27earnings−0.2%−9.6%
SMTC −9.6%NASDAQ −0.2%
−18%−12%−6%0May 26Jun 3report 4:07pm ETearnings+0.3%−7.7%
−18%−12%−6%0May 26Jun 3earnings+0.3%−7.7%
SMTC −7.7%S&P 500 +0.3%
−18%−12%−6%0May 26Jun 3report 4:07pm ETearnings+1.6%−7.7%
−18%−12%−6%0May 26Jun 3earnings+1.6%−7.7%
SMTC −7.7%NASDAQ +1.6%
+4.90%
Day of report
−4.41%
Next session
+1.32%
One week
−8.94%
30 days

S&P 500 over the same 30 days: −2.88%.

Did SMTC Beat Earnings? Q1 2027 Results

Semtech Corporation posted a strong first quarter of fiscal 2027, reporting record net sales of $291.00 million, up 16% year-over-year and 6% sequentially, alongside non-GAAP adjusted diluted EPS of $0.51, up 34% from the year-ago period. The primary engine behind the results was the Signal Integrity segment, which generated $102.00 million in revenue, up from $73.50 million a year ago, as surging data center demand fueled adoption of the company's high-speed connectivity products. GAAP diluted EPS came in at $0.27, up 23% year-over-year, reflecting a sharp improvement from the prior quarter's net loss, which had been weighed down by significant goodwill and intangible impairments. Non-GAAP adjusted operating margin widened to 20.4%, up from 19.0% in the year-ago quarter, as the company captured operating leverage on higher revenues. Looking ahead, Semtech guided Q2 net sales to approximately $328.00 million and adjusted diluted EPS of approximately $0.61, with management citing FiberEdge and CopperEdge 1.6T product ramps as key growth catalysts expected to accelerate data center momentum through the remainder of the year.

Key Takeaways
  • Record quarterly net sales driven by 16% year-over-year growth
  • Signal Integrity segment revenue grew 39% year-over-year to $102.0 million driven by data center demand
  • Expanding design wins across data center and LoRa businesses
  • Strong bookings and backlog depth
  • Operating leverage driving non-GAAP adjusted operating margin expansion to 20.4%

“Semtech is off to an exceptional start in fiscal year 2027, delivering record quarterly results and expanding design wins across our data center and LoRa businesses. As FiberEdge and CopperEdge 1.6T revenues layer onto our strong growth base, we expect data center growth to accelerate throughout the year. The strength and depth of our bookings and backlog, a broad and well-positioned product portfolio, and targeted R&D investments aligned to customer roadmaps give us strong conviction in our growth trajectory ahead.”

Semtech CEO, on the earnings call

Forward Guidance & Outlook

For the second quarter of fiscal year 2027, Semtech expects net sales of approximately $328.0 million (+/- $5.0 million), adjusted gross margin of approximately 54.0% (+/- 50 bps), total semiconductor products gross margin of approximately 62.1% (+/- 50 bps), adjusted operating expenses of approximately $105.2 million (+/- $2.0 million), adjusted operating income of approximately $71.9 million (+/- $2.3 million), adjusted operating margin of approximately 21.9% (+/- 40 bps), adjusted diluted EPS of approximately $0.61 (+/- $0.02), adjusted EBITDA of approximately $79.2 million (+/- $2.3 million), and adjusted EBITDA margin of approximately 24.2% (+/- 40 bps). The company expects data center growth to accelerate throughout the year as FiberEdge and CopperEdge 1.6T revenues layer onto the growth base.

SMTC YoY Financials

Revenue$291.0M
Gross Profit$151.5M
Operating Income$25.8M
Net Income$26.6M

SMTC Revenue by Segment

Signal Integrity$102.0M+38.8%
Analog Mixed Signal and Wireless$100.8M+11.3%
IoT Systems and Connectivity$88.3M+1.6%

Figures from SEC filings and company reports. Not investment advice.