Q2 26 EPS
$0.41
BEAT +2.17%
Est. $0.40
Q2 26 Revenue
$257.6M
BEAT +0.60%
Est. $256.1M
vs S&P Since Q2 26
+98.9%
BEATING MARKET
SMTC +110.6% vs S&P +11.7%
Market Reaction
Did SMTC Beat Earnings? Q2 2026 Results
Semtech posted a clean beat across the board in its second quarter of fiscal 2026, with revenue climbing 19.6% year-over-year to $257.60 million against a consensus estimate of $256.06 million, while non-GAAP adjusted diluted EPS of $0.41 edged past … Read more Semtech posted a clean beat across the board in its second quarter of fiscal 2026, with revenue climbing 19.6% year-over-year to $257.60 million against a consensus estimate of $256.06 million, while non-GAAP adjusted diluted EPS of $0.41 edged past the $0.40 analyst estimate by 2.17%. The standout driver behind the results was broad-based segment momentum, particularly in Signal Integrity, where sales reached $76.80 million with a 62.4% gross margin, reflecting growing demand from infrastructure and AI-adjacent optical connectivity markets. Free cash flow surged to $41.50 million from negative $8.40 million a year ago, underscoring the company's improving operational discipline, and interest expense fell sharply to $4.70 million from $28.10 million in the prior-year period following favorable debt refinancing. At least one analyst raised a price target to $70, citing strong FiberEdge bookings and rising LoRa chipset revenue as durable catalysts, themes consistent with broader semiconductor sector strength seen among leading chip manufacturers this quarter. Looking ahead, management guided Q3 revenue of $266.00 million and adjusted EPS of $0.44, signaling continued sequential growth.
Key Takeaways
- • Deep customer engagement driving 20% year-over-year net sales growth
- • Operational discipline and culture of excellence
- • Signal Integrity segment sales growth from $59.4M to $76.8M year-over-year
- • Non-GAAP adjusted gross margin expansion to 53.2% from 50.4% a year ago
- • Accelerated debt reduction lowering net leverage ratio
- • Strong improvement in operating and free cash flows both sequentially and year-over-year
SMTC YoY Financials
Q2 2026 vs Q2 2025, source: SEC Filings
SMTC Revenue by Segment
With YoY comparisons, source: SEC Filings
“Our second quarter results reflect strong year-over-year financial performance, driven by deep customer engagement, operational discipline, and a culture of excellence.”
— Hong Hou, Q2 2026 Earnings Press Release
SMTC Earnings Trends
SMTC vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
SMTC EPS Trend
Earnings per share: estimate vs actual
SMTC Revenue Trend
Quarterly revenue: estimate vs actual
SMTC Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q4 26 FY | — | $0.44 | — | $274.4M | — |
| FY Full Year | — | $1.71 | — | $1.05B | — |
| Q3 26 BEAT | $0.45 | $0.48 | +7.87% | $267.0M | +0.22% |
| Q2 26 BEAT | $0.40 | $0.41 | +2.17% | $257.6M | +0.60% |
| Q1 26 | — | $0.38 | — | $251.1M | — |
| Q4 25 FY | — | $0.40 | — | $251.0M | — |
| FY Full Year | — | $0.88 | — | $909.3M | — |