Microchip Technology Inc. Stock Price, News & Analysis

Microchip Technology reported record net sales of $1.569 billion, increasing 19.8% year-over-year and 7.0% sequentially. The company achieved a record GAAP gross margin of 64.2% with operating income of $368.8 million, and net income of $252.8 million or $0.89 per diluted share. Non-GAAP earnings were also strong, with a record EPS of $1.98. Debt reduction continued with $388 million paid down this quarter, totaling $3.99 billion over the last 12 quarters. A quarterly dividend of 43.7 cents per share was declared, marking an 18.75% increase year-over-year.

Microchip Technology has declared a quarterly cash dividend of 43.7 cents per share, effective September 3, 2021, for stockholders of record on August 20, 2021. This marks an increase of 5.8% sequentially and 18.75% year-over-year. The announcement reflects Microchip's solid financial performance in the June 2021 quarter, characterized by substantial cash generation and debt reduction. The company has increased its dividend 68 times since initiating payments in 2003, underscoring its ongoing commitment to returning capital to stockholders.

Microchip Technology has introduced its new BL1, BL2, and BL3 baseless power modules, developed in collaboration with the Clean Sky consortium, aimed at enhancing aircraft efficiency. These modules enable AC-to-DC and DC-to-AC power conversion while adhering to stringent aerospace standards. The design is 40% lighter and offers approximately 10% cost savings compared to traditional models. Available in various voltage ranges and power options, these innovations align with European Commission goals for climate-neutral aviation by 2050. The modules are now available for purchase.

Microchip Technology Inc. has introduced the ZL3073x/63x/64x network synchronization platform, designed for 5G applications. This low-power, compact multi-channel integrated circuit meets stringent synchronization requirements with a time error of 5ns and 30ns for Class D and Class C, respectively. It offers up to five Digital Phase Locked Loop channels while consuming just 0.9W. The platform integrates with Microchip's IEEE 1588 PTP protocol software, enhancing network performance. Development tools and a wide range of timing solutions are available for customers.

Microchip Technology has expanded its silicon carbide portfolio with new 1700V MOSFET dies, discrete and power modules aimed at enhancing efficiency and power density in various applications such as electric vehicles and industrial systems. This innovation allows designers to bypass traditional silicon IGBTs, offering higher performance and reduced system size and weight. Key features include excellent gate oxide stability, improved avalanche ruggedness, and a flat RDS(on) curve over a wide temperature range. The new products are available immediately for order.

Microchip Technology (Nasdaq: MCHP) has launched its Adaptec Smart Storage Adapters, which include PCIe Gen 4 NVMe Tri-Mode SmartRAID 3200 RAID Adapters and SmartHBA 2200 Host Bus Adapters. These products promise increased performance, security, and scalability for cloud service providers and OEMs. Key features include up to 32 ports of NVMe and 24G SAS support, x8 and x16 PCIe Gen 4 interfaces, and a performance improvement of up to 4x over prior generations. The adapters also incorporate advanced security options, ensuring data integrity and supply-chain security.

Microchip Technology has launched its LAN867x family of Ethernet PHYs, the first to implement the IEEE 10BASE-T1S standard for single-pair Ethernet in industrial networks. This innovation enhances connectivity for devices like sensors and actuators, simplifying system architecture and reducing costs. The new PHYs eliminate the need for multiple communication systems and gateways, enabling scalable and cost-effective all-Ethernet infrastructures. This expansion includes the LAN8670, LAN8671, and LAN8672 devices, which support multidrop topology and high data throughput.

Microchip Technology Inc. (Nasdaq: MCHP) has launched a new Qi 1.3 wireless charging reference design that complies with the recently released Qi 1.3 specification. This design supports up to 15W power transmission with enhanced safety through hardware-based authentication. It includes comprehensive tools for developers in automotive and consumer markets for efficient product integration and certification. The reference design is set for evaluation in August 2021, facilitating quick market entry for certified Qi 1.3 transmitters.

Microchip Technology has launched the MPLAB cloud tools ecosystem for PIC and AVR devices, aiming to streamline embedded development workflows. This free platform enhances user experience through integrated search, project configuration, and debugging capabilities, catering to various skill levels. Key features include online security through GitHub integration and elimination of complex installations. The ecosystem supports enterprise-scale rapid development, significantly improving time to market. Additional tools available include the PICkit 4 and MPLAB SNAP debugger, starting at $30.99 and $69.99 respectively.