Semtech Posts 20% Sales Jump in Q2
(NASDAQ:SMTC), a provider of analog and mixed-signal semiconductors with a growing Internet of Things (IoT) systems business, reported its Q2 FY2026 financial results after market close on August 25, 2025. The company delivered record net sales of $257.6 million (GAAP), outpacing the $215.4 million achieved in the same quarter last year and beating the midpoint of guidance. Non-GAAP adjusted diluted earnings per share (EPS) reached $0.41— ahead of the $0.40 non-GAAP midpoint expectation. Despite these underlying gains, the period showed a GAAP net loss of $27.1 million due to a one-time $42.0 million goodwill impairment charge (GAAP). Operating metrics otherwise reflect continued progress toward growth and profitability targets.
Semtech develops analog and mixed-signal semiconductors, which are microchips that can process both analog and digital signals. Its core business includes products for signal integrity, connectivity, and power management, as well as end-to-end IoT modules, routers, gateways, and services. The company sells to diverse markets, such as industrial, infrastructure, and high-end consumer sectors.
In recent years, Semtech has emphasized expanding its IoT segment, highlighted by the acquisition of Sierra Wireless. This expanded portfolio addresses high-demand areas like industrial metering, asset tracking, and connected devices. Success in these focus areas depends on product innovation, effective integration of acquired businesses, and margin improvement through operational leverage.
Source Fool.com
Semtech Corp. Stock
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