Microchip Technology Q3 Revenue Rises 15.5% to $1.19B with $0.44 EPS
Microchip Technology reported Q3 FY2026 net revenue of $1.19 billion, a 15.5% year-over-year increase and 4% sequential gain, driven by strength in automotive and industrial segments. Adjusted earnings were $0.44 per share, topping estimates by a penny, while guidance forecasts accelerating sequential growth and expanding margins heading into Q4.
1. Q3 FY2026 Financial Results
Microchip Technology reported net revenue of $1.19 billion in Q3 FY2026, marking a 15.5% year-over-year increase and a 4% sequential rise. Automotive and industrial demand led the growth, with contributions across all end markets.
2. Margin Improvement and Profitability
The company returned to GAAP profitability, with adjusted earnings of $0.44 per share exceeding consensus by $0.01. Reinvigorated revenue leverage drove margin expansion, translating into triple-digit income growth and renewed operational efficiency.
3. Guidance and Analyst Outlook
Management forecasted further sequential acceleration in Q4 revenue and margin gains, positioning for full-year recovery. Analysts have lifted price targets to a consensus near $85 with upside potential above 35%, while institutional investors resumed net buying, strengthening the support base.