Overview
- Microchip now targets about $1.149 billion in December-quarter net sales, roughly $0.02 in GAAP EPS, and about $0.40 in non-GAAP EPS, reaching the top of prior ranges.
- The company says performance has improved with robust November bookings and a backlog that is filling for the current quarter and building into March 2026.
- Management cites progress on a nine-point recovery plan focused on lowering inventory and improving non-GAAP gross margin, operating margin, and earnings per share.
- Shares rose after hours on the update and jumped 12.17% on Wednesday to close at $63.61, reversing some recent underperformance versus the Dow.
- Microchip will discuss its outlook at the UBS Global Technology and AI Conference, and it cautioned that macro, supply, and industry risks could affect actual results.