MACOM reported fiscal fourth‑quarter 2025 revenue of $261.2 million, a 30.1% year‑over‑year increase, and adjusted earnings per share of $0.94, beating the consensus estimate of $0.93 by $0.01. Adjusted gross margin for the quarter was 57.1%, a modest decline from 57.4% in the same period a year earlier, while adjusted operating income rose to $245.7 million, representing 25.4% of revenue.
The EPS beat was driven primarily by disciplined cost management and a favorable product mix that preserved margin despite a slight compression in gross margin. MACOM’s high‑performance semiconductor portfolio continued to command premium pricing, and the company’s operational leverage helped offset the impact of higher raw‑material costs that contributed to the margin dip.
Revenue fell $4.1 million, or 1.5%, short of the $265.3 million consensus estimate. The miss was largely attributable to a mix shift toward lower‑margin segments and modest pricing pressure in the data‑center and telecommunications markets, while demand in the defense and industrial segments remained robust and helped offset the shortfall.
For the full fiscal year 2025, MACOM generated $967.3 million in revenue, up 32.6% from $748.5 million a year earlier. Adjusted gross margin for the year was 57.4%, and adjusted operating income reached $245.7 million. The company reported a GAAP net loss driven by a one‑time, non‑cash $193.1 million charge related to debt extinguishment, which does not affect the adjusted earnings picture.
Management guided for fiscal first‑quarter 2026 revenue of $265 million to $273 million and adjusted EPS of $0.98 to $1.02, a slight upward revision from prior guidance. The outlook signals confidence in continued demand for high‑performance semiconductor solutions and the company’s ability to maintain profitability through cost discipline and strategic investments.
Strategically, MACOM launched more than 200 new products in FY2025, reinforcing its focus on enabling the highest power, frequency, and data‑rate applications. The company also completed the transition of its RTP fab to full control ahead of schedule, a move expected to improve yield and capacity in the long term but with short‑term margin dilution. CEO Stephen G. Daly emphasized that the company’s diversified portfolio and execution momentum position it well for sustained growth.
Investors responded positively to the results, reflecting confidence in MACOM’s growth trajectory and the strength of its high‑performance semiconductor business.
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