Semtech reported record second quarter fiscal year 2027 financial results that exceeded analyst expectations, fueled by robust demand for artificial intelligence data center infrastructure. The company achieved a significant beat on both the top and bottom lines, supported by record backlog levels and a strong inflection in bookings for high-performance optical and copper solutions.
Key Highlights
- Record net sales of $341.9 million grew 33% year-over-year, surpassing the $328.6 million consensus estimate.
- Non-GAAP adjusted EPS reached $0.71, beating the $0.61 estimate as operating leverage continued to outpace revenue growth.
- Non-GAAP adjusted operating margin expanded to 24.4%, a substantial increase from 8.9% in the prior quarter.
- Management issued bullish third quarter revenue guidance with a midpoint of $410 million, well above previous trajectories.
- Signal Integrity revenue reached $126.2 million, driven by the ramp of 800G optical and Active Copper Cable (ACC) solutions for AI clusters.