MACOM (NASDAQ: MTSI) grows Q2 revenue 22.5% and lifts outlook
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
MACOM Technology Solutions reported strong fiscal second quarter 2026 results. Revenue reached $289.0 million, up 22.5% from $235.9 million a year earlier and 6.4% above the prior quarter’s $271.6 million. GAAP gross margin improved to 56.9%.
GAAP net income was $46.3 million, or $0.60 per diluted share, compared with $31.7 million, or $0.42 per diluted share, in the prior-year quarter and $48.8 million, or $0.64 per diluted share, in the prior quarter. Non-GAAP net income rose to $84.3 million, or $1.09 per diluted share, versus $64.3 million, or $0.85 per diluted share, a year ago and $78.2 million, or $1.02 per diluted share, last quarter.
For the fiscal third quarter ending July 3, 2026, MACOM guides revenue to $331–$339 million, non-GAAP gross margin to 59.0%–60.0%, and non-GAAP diluted EPS to $1.31–$1.37, based on a 3% non-GAAP tax rate and 78.5 million diluted shares.
Positive
- Strong revenue and earnings growth: Fiscal Q2 2026 revenue rose 22.5% year over year to $289.0 million, with GAAP and non-GAAP earnings and margins expanding versus the prior-year quarter.
- Upbeat guidance for next quarter: The company targets fiscal Q3 2026 revenue of $331–$339 million, non-GAAP gross margin of 59.0%–60.0%, and non-GAAP EPS of $1.31–$1.37, signaling confidence in continued growth.
Negative
- None.
Insights
MACOM shows robust growth, expanding margins and higher guidance.
MACOM delivered fiscal Q2 2026 revenue of $289.0M, up 22.5% year over year and 6.4% sequentially, while GAAP gross margin rose to 56.9%. GAAP net income increased to $46.3M and non-GAAP net income to $84.3M, reflecting strong operating leverage.
Non-GAAP operating margin reached 27.8% and adjusted EBITDA margin 31.0%, indicating efficient cost control alongside growth. Six-month cash from operations of $121.6M supports ongoing investment, and the balance sheet shows no short-term debt and long-term debt obligations of $340.2M.
Management’s outlook for the quarter ending July 3, 2026 projects revenue of $331M–$339M, non-GAAP gross margin of 59.0%–60.0%, and non-GAAP EPS of $1.31–$1.37. This guidance implies continued growth and margin expansion if achieved, though actual results will depend on end-market demand and execution.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Revenue: $289.0M
GAAP net income: $46.3M
GAAP diluted EPS: $0.60/share
+5 more
8 metrics
Revenue
$289.0M
Fiscal Q2 2026; up 22.5% year over year and 6.4% sequentially
GAAP net income
$46.3M
Fiscal Q2 2026; $31.7M in prior-year quarter
GAAP diluted EPS
$0.60/share
Fiscal Q2 2026; $0.42 in prior-year quarter and $0.64 prior quarter
Non-GAAP diluted EPS
$1.09/share
Fiscal Q2 2026; $0.85 in prior-year quarter and $1.02 prior quarter
Q3 2026 revenue guidance
$331M–$339M
Fiscal third quarter ending July 3, 2026
Q3 2026 non-GAAP EPS guidance
$1.31–$1.37/share
Based on 3% non-GAAP tax rate and 78.5M diluted shares
Operating cash flow
$121.6M
Net cash provided by operating activities, six months ended April 3, 2026
Long-term debt obligations
$340.2M
As of April 3, 2026 balance sheet
Key Terms
Adjusted EBITDA, non-GAAP gross margin, loss on extinguishment of debt, share-based compensation expense, +2 more
6 terms
Adjusted EBITDA financial
"Adjusted EBITDA (Non-GAAP) | $ | 89,465 | | 31.0"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
non-GAAP gross margin financial
"Adjusted gross margin was 58.5%, compared to 57.5% in the previous year"
Non-GAAP gross margin is a measure of a company's profitability that shows how much money it makes from sales after subtracting the direct costs of producing its products or services, but without applying certain accounting adjustments required by standard rules. It helps investors understand the company's core earning ability by excluding items like one-time expenses or accounting changes. This metric provides a clearer picture of ongoing business performance beyond official financial reports.
loss on extinguishment of debt financial
"Loss on extinguishment of debt | — | | | — | | | — | | | — | | | (193,098)"
Loss on extinguishment of debt is the accounting hit a company records when it retires or restructures a loan or bond for an amount that exceeds the debt’s recorded value—like paying more than the remaining balance to settle a loan early. It matters to investors because it reduces reported profit and can use cash, but may also cut future interest costs or signal financial stress; understanding it helps assess earnings quality and balance-sheet strength.
IATF16949 technical
"MACOM has achieved certification to the IATF16949 automotive standard, the AS9100D aerospace standard"
Earnings Snapshot
Revenue: $289.0M · Guidance included
Fiscal Q2 2026
Revenue
$289.0M
+22.5% year over year; +6.4% sequentially
GAAP net income
$46.3M
vs $31.7M in prior-year quarter
GAAP diluted EPS
$0.60
vs $0.42 in prior-year quarter and $0.64 prior quarter
Non-GAAP net income
$84.3M
vs $64.3M in prior-year quarter
Non-GAAP diluted EPS
$1.09
vs $0.85 in prior-year quarter and $1.02 prior quarter
Adjusted EBITDA margin
31.0%
vs 28.2% in prior-year quarter
Guidance
For fiscal Q3 2026, MACOM expects revenue of $331M–$339M, non-GAAP gross margin of 59.0%–60.0%, and non-GAAP diluted EPS of $1.31–$1.37.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): May 7, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
| (Address of principal executive offices) | (Zip Code) | |||||||
Registrant’s telephone number, including area code: (978 ) 656-2500
Not applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
| Emerging growth company | |||||
| If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | ¨ | ||||
Item 2.02. Results of Operations and Financial Condition.
On May 7, 2026, MACOM Technology Solutions Holdings, Inc. issued a press release reporting its results of operations for the fiscal second quarter ended April 3, 2026. A copy of the press release is furnished as Exhibit 99.1 to this report.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit Number | Description | |||||||
| 99.1 | Press Release, dated May 7, 2026, announcing results of operations for the fiscal second quarter ended April 3, 2026. | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| MACOM TECHNOLOGY SOLUTIONS HOLDINGS, INC. | ||||||||||||||||||||
| Dated: May 7, 2026 | By: | /s/ John F. Kober | ||||||||||||||||||
| John F. Kober | ||||||||||||||||||||
| Senior Vice President and Chief Financial Officer | ||||||||||||||||||||
MACOM Reports Fiscal Second Quarter 2026 Financial Results
LOWELL, MA, May 7, 2026 – MACOM Technology Solutions Holdings, Inc. (“MACOM”) (Nasdaq: MTSI), a leading supplier of semiconductor products, today announced its financial results for its fiscal second quarter ended April 3, 2026.
Second Quarter Fiscal Year 2026 GAAP Results
•Revenue was $289.0 million, an increase of 22.5%, compared to $235.9 million in the previous year fiscal second quarter and an increase of 6.4% compared to $271.6 million in the prior fiscal quarter;
•Gross margin was 56.9%, compared to 55.2% in the previous year fiscal second quarter and 55.9% in the prior fiscal quarter;
•Income from operations was $50.8 million, or 17.6% of revenue, compared to income from operations of $34.9 million, or 14.8% of revenue, in the previous year fiscal second quarter and income from operations of $43.3 million, or 15.9% of revenue, in the prior fiscal quarter; and
•Net income was $46.3 million, or $0.60 per diluted share, compared to net income of $31.7 million, or $0.42 per diluted share, in the previous year fiscal second quarter, and net income of $48.8 million, or $0.64 per diluted share, in the prior fiscal quarter.
Second Quarter Fiscal Year 2026 Adjusted Non-GAAP Results
•Adjusted gross margin was 58.5%, compared to 57.5% in the previous year fiscal second quarter and 57.6% in the prior fiscal quarter;
•Adjusted income from operations was $80.5 million, or 27.8% of revenue, compared to adjusted income from operations of $59.8 million, or 25.4% of revenue, in the previous year fiscal second quarter and adjusted income from operations of $74.0 million, or 27.2% of revenue, in the prior fiscal quarter; and
•Adjusted net income was $84.3 million, or $1.09 per diluted share, compared to adjusted net income of $64.3 million, or $0.85 per diluted share, in the previous year fiscal second quarter and adjusted net income of $78.2 million, or $1.02 per diluted share, in the prior fiscal quarter.
Management Commentary
“We are pleased with our first half fiscal year results and look forward to strong revenue growth and profitability in the second half,” said Stephen G. Daly, President and Chief Executive Officer, MACOM.
Business Outlook
For the fiscal third quarter ending July 3, 2026, MACOM expects revenue to be in the range of $331 million to $339 million. Adjusted gross margin is expected to be between 59.0% and 60.0%, and adjusted earnings per diluted share is expected to be between $1.31 and $1.37 utilizing an anticipated non-GAAP income tax rate of 3% and 78.5 million fully diluted shares outstanding.
Conference Call
MACOM will host a conference call on Thursday, May 7, 2026, at 8:30 a.m. Eastern Time to discuss its fiscal second quarter 2026 financial results and business outlook. Investors and analysts may visit MACOM's Investor Relations website at https://ir.macom.com/events-webcasts to register for a user-specific access code for the live call or to access the live webcast. A replay of the call will be available within 24 hours and remain accessible by all interested parties for approximately 90 days.
About MACOM
MACOM designs and manufactures high-performance semiconductor products for the Industrial and Defense, Data Center and Telecommunications industries. MACOM services over 6,000 customers annually with a broad product portfolio that incorporates RF, Microwave, Analog and Mixed Signal and Optical semiconductor technologies. MACOM has achieved certification to the IATF16949 automotive standard, the AS9100D aerospace standard, the ISO9001 international quality standard and the ISO14001 environmental management standard. MACOM operates facilities across the United States, Europe, Asia and is headquartered in Lowell, Massachusetts.
Special Note Regarding Forward-Looking Statements
This press release and the associated earnings call contains forward-looking statements. These forward-looking statements include, among others, statements about MACOM’s strategic plans, priorities and long-term growth drivers, our ability to execute our long-term strategy, strengthen our position and drive market share gains and growth, our ability to develop new products and differentiated solutions, achieve market acceptance of those products and solutions and better address certain markets, expand our capabilities and extend our product offerings, including through our fabrication facility execution and continued improvements, our team’s capabilities and technologies and expansion and growth thereof and any potential financial benefits derived by and financial impact to MACOM therefrom, strength and competitiveness of new product introductions and technology portfolio expansion, including the anticipated rate of new product introductions and technology licensing and transfer activities, anticipated demand for our products, including backlog levels and book-to-bill trends, MACOM’s profitability, revenue targets, gross margin and operating margin improvements, end-market-specific revenue growth expectations, prospects and growth opportunities in our three primary markets, including the anticipated timing of production programs and associated revenues, the potential impact to our business of an economic downturn or recession, anticipated financial and business performance improvements, expectations regarding cash flow from operations and capital expenditures, our anticipated non-GAAP income tax rate and the expected impact of recent tax legislation thereon, MACOM’s strategic investment and other plans, including investments and agreements intended to further strengthen our supply chain and support our revenue growth objectives, negotiation and finalization of a definitive agreement with, and receipt of, funding from the Federal and State governments, the estimated financial results for our 2026 fiscal third quarter and the stated business outlook and future results of operations.
These forward-looking statements reflect MACOM’s current views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause those events or our actual activities or results to differ materially from those indicated by the forward-looking statements, including statements regarding our business outlook, strategic plans and priorities, expectations, anticipated drivers of future revenue growth, our plans for use of our cash and cash equivalents and short-term investments, interest rate and foreign currency risks, our ability to meet working capital requirements, estimates and objectives for future operations, our future results of operations and our financial position; and those other factors described in “Risk Factors” in MACOM’s filings with the Securities and Exchange Commission (“SEC”), including its Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q and other filings with the SEC. These forward-looking statements speak only as of the date of this press release, and MACOM undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Discussion Regarding the Use of Historical and Forward-Looking Non-GAAP Financial Measures
In addition to United States Generally Accepted Accounting Principles (“GAAP”) reporting, MACOM provides investors with financial measures that have not been calculated in accordance with GAAP, such as: non-GAAP gross profit and gross margin, non-GAAP operating expenses, non-GAAP income from operations and operating margin, non-GAAP EBITDA, non-GAAP net income, non-GAAP diluted earnings per share, non-GAAP diluted shares, non-GAAP income tax rate and non-GAAP interest income. In this release or elsewhere, we may alternatively refer to such non-GAAP measures as “adjusted” measures. This non-GAAP information excludes the effect, where applicable, of intangible amortization expense, share-based compensation expense, non-cash interest, net, acquisition and integration related costs, loss on debt extinguishment, and the tax effect of each non-GAAP adjustment.
Management believes these excluded items are not reflective of our underlying performance and uses these non-GAAP financial measures to: evaluate our ongoing operating performance and compare it against prior periods, make operating decisions, forecast future periods, evaluate potential acquisitions, compare our operating performance against peer companies and assess certain compensation programs. We believe this non-GAAP financial information provides additional insight into our ongoing performance and have therefore chosen to provide this information to investors to help them evaluate the results of our ongoing operations and enable more meaningful period-to-period comparisons. These non-GAAP measures are provided in addition to, and not as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP.
A reconciliation between GAAP and non-GAAP financial data is included in the supplemental financial data attached to this press release. We have not provided a reconciliation with respect to any forward-looking non-GAAP financial data presented because we do not have and cannot reliably estimate certain key inputs required to calculate the most comparable GAAP financial data, such as future acquisition costs, the possibility and impact of any litigation costs, changes in our GAAP effective tax rate and impairment charges. We believe these unknown inputs are likely to have a significant impact on any estimate of the comparable GAAP financial data.
Investors are cautioned against placing undue reliance on non-GAAP financial measures and are urged to review and consider carefully the adjustments made by management to the most directly comparable GAAP financial measures. Non-GAAP financial measures may have limited value as analytical tools because they may exclude certain expenses that some investors consider important in evaluating our operating performance or ongoing business performance. Further, non-GAAP financial measures may have limited value for purposes of drawing comparisons between companies because different companies may calculate similarly titled non-GAAP financial measures in different ways because non-GAAP measures are not based on any comprehensive set of accounting rules or principles.
Additional information and management’s assessment regarding why certain items are excluded from our non-GAAP measures are summarized below:
Amortization Expense – is related to acquired intangible assets which are based upon valuation methodologies and are generally amortized over the expected life of the intangible asset at the time of acquisition, which may result in amortization amounts that vary over time. This non-cash expense is not considered by management in making operating decisions.
Share-Based Compensation Expense – includes share-based compensation expense for awards that are equity and liability classified on our balance sheet and the related employer tax expense at vesting. Share-based compensation expense is partially outside of our control due to factors such as stock price volatility and interest rates, which may be unrelated to our operating performance during the period in which the expense is incurred. It is an expense based upon valuation methodologies and assumptions that vary over time, and the amount of the expense can vary significantly between companies. Share-based compensation expense amounts are not considered by management in making operating decisions.
Non-cash Interest, Net – includes amounts associated with the amortization of certain fees associated with the establishment or amendment of our convertible notes that are being amortized over the life of the agreements. We believe these amounts are non-cash in nature, are not correlated to future business operations and do not reflect our ongoing operations.
Acquisition and Integration Related Costs – includes items such as professional fees, employee severance and other costs incurred in connection with acquisitions and integration specific activities which are not expected to have a continuing contribution to operations and the amortization of the fair market step-up value of acquired inventory and fixed assets. We believe the exclusion of these items is useful in providing management a basis to evaluate ongoing operating activities and strategic decision making.
Loss on Debt Extinguishment – includes loss on exchange of our convertible notes. This fiscal year 2025 loss is primarily non-cash and we do not believe this amount is reflective of our ongoing operations.
Tax Effect of Non-GAAP Adjustments – includes adjustments to arrive at an estimate of our non-GAAP income tax rate associated with our non-GAAP income over a period of time. We determine our non-GAAP income tax rate using applicable rates in taxing jurisdictions and assessing certain factors including our historical and forecast earnings by jurisdiction, discrete items, cash taxes paid in relation to our non-GAAP net income before income taxes and our ability to realize tax assets. We generally assess this non-GAAP income tax rate quarterly and have utilized 3% for our first two fiscal quarters of fiscal year 2026 and for our fiscal year 2025. Our historical effective income tax rate under GAAP has varied significantly from our non-GAAP income tax rate due primarily to income taxed in foreign jurisdictions at generally lower tax rates, research and development tax credits and acquisition expenses. We believe it is beneficial for management to review our non-GAAP income tax rate on a consistent basis over periods of time. Items such as those noted above may have a significant impact on our GAAP income tax expense and associated effective tax rate over time.
Adjusted EBITDA – is a calculation that adds depreciation expense to our adjusted income from operations. Management reviews and utilizes this measure for operational analysis purposes. We believe competitors and others in the financial industry also utilize this measure for analysis purposes.
Incremental Shares – is the number of potential shares of common stock issuable upon the exercise of stock options, restricted stock, restricted stock units and conversion of convertible debt which were not included in the calculation of our GAAP diluted shares. We believe competitors and others in the financial industry utilize this non-GAAP measure for analysis purposes.
* * *
Company Contact:
MACOM Technology Solutions Holdings, Inc.
Stephen Ferranti
Senior Vice President, Corporate Development and Investor Relations
P: 978-656-2977
E: stephen.ferranti@macom.com
MACOM TECHNOLOGY SOLUTIONS HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited and in thousands, except per share data)
| Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | |||||||||||||||||||||||||
| Revenue | $ | 288,955 | $ | 271,612 | $ | 235,887 | $ | 560,567 | $ | 454,009 | |||||||||||||||||||
| Cost of revenue | 124,522 | 119,833 | 105,731 | 244,355 | 206,744 | ||||||||||||||||||||||||
| Gross profit | 164,433 | 151,779 | 130,156 | 316,212 | 247,265 | ||||||||||||||||||||||||
| Operating expenses: | |||||||||||||||||||||||||||||
| Research and development | 68,983 | 66,459 | 57,837 | 135,442 | 118,206 | ||||||||||||||||||||||||
| Selling, general and administrative | 44,619 | 42,023 | 37,449 | 86,642 | 76,662 | ||||||||||||||||||||||||
| Total operating expenses | 113,602 | 108,482 | 95,286 | 222,084 | 194,868 | ||||||||||||||||||||||||
| Income from operations | 50,831 | 43,297 | 34,870 | 94,128 | 52,397 | ||||||||||||||||||||||||
| Other income (expense): | |||||||||||||||||||||||||||||
| Interest income | 7,759 | 7,990 | 7,239 | 15,749 | 14,239 | ||||||||||||||||||||||||
| Interest expense | (1,667) | (1,698) | (1,179) | (3,365) | (2,545) | ||||||||||||||||||||||||
| Loss on extinguishment of debt | — | — | — | — | (193,098) | ||||||||||||||||||||||||
| Total other income (expense) | 6,092 | 6,292 | 6,060 | 12,384 | (181,404) | ||||||||||||||||||||||||
| Income (loss) before income taxes | 56,923 | 49,589 | 40,930 | 106,512 | (129,007) | ||||||||||||||||||||||||
| Income tax expense | 10,592 | 822 | 9,264 | 11,414 | 6,857 | ||||||||||||||||||||||||
| Net income (loss) | $ | 46,331 | $ | 48,767 | $ | 31,666 | $ | 95,098 | $ | (135,864) | |||||||||||||||||||
| Net income (loss) per share: | |||||||||||||||||||||||||||||
| Income (loss) per share - Basic | $ | 0.62 | $ | 0.65 | $ | 0.43 | $ | 1.27 | $ | (1.85) | |||||||||||||||||||
| Income (loss) per share - Diluted | $ | 0.60 | $ | 0.64 | $ | 0.42 | $ | 1.23 | $ | (1.85) | |||||||||||||||||||
| Weighted average common shares: | |||||||||||||||||||||||||||||
| Shares - Basic | 75,283 | 74,822 | 74,358 | 75,053 | 73,540 | ||||||||||||||||||||||||
| Shares - Diluted | 77,555 | 76,718 | 75,741 | 77,137 | 73,540 | ||||||||||||||||||||||||
MACOM TECHNOLOGY SOLUTIONS HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited and in thousands)
| April 3, 2026 | October 3, 2025 | ||||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 98,521 | $ | 112,142 | |||||||
| Short-term investments | 566,337 | 673,833 | |||||||||
| Accounts receivable, net | 159,599 | 148,646 | |||||||||
| Inventories | 252,195 | 237,844 | |||||||||
| Prepaid and other current assets | 49,398 | 32,623 | |||||||||
| Total current assets | 1,126,050 | 1,205,088 | |||||||||
| Property and equipment, net | 234,960 | 230,291 | |||||||||
| Goodwill and intangible assets, net | 402,988 | 414,885 | |||||||||
| Deferred income taxes | 201,956 | 207,999 | |||||||||
| Other long-term assets | 48,623 | 45,097 | |||||||||
| Total assets | $ | 2,014,577 | $ | 2,103,360 | |||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Short-term debt | $ | — | $ | 160,946 | |||||||
| Accounts payable | 62,131 | 67,588 | |||||||||
| Accrued liabilities | 87,572 | 96,585 | |||||||||
| Total current liabilities | 149,703 | 325,119 | |||||||||
| Finance lease obligations, less current portion | 30,157 | 30,504 | |||||||||
| Financing obligation | 36,713 | 37,014 | |||||||||
| Long-term debt obligations | 340,186 | 339,630 | |||||||||
| Other long-term liabilities | 40,061 | 43,998 | |||||||||
| Total liabilities | 596,820 | 776,265 | |||||||||
Stockholders’ equity | 1,417,757 | 1,327,095 | |||||||||
Total liabilities and stockholders’ equity | $ | 2,014,577 | $ | 2,103,360 | |||||||
MACOM TECHNOLOGY SOLUTIONS HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited and in thousands)
| Six Months Ended | |||||||||||
| April 3, 2026 | April 4, 2025 | ||||||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||
| Net income (loss) | $ | 95,098 | $ | (135,864) | |||||||
| Depreciation and intangible asset amortization | 31,017 | 30,800 | |||||||||
| Share-based compensation | 44,776 | 44,287 | |||||||||
| Deferred income taxes | 6,649 | (2,747) | |||||||||
| Loss on extinguishment of debt | — | 193,098 | |||||||||
| Other adjustments, net | (1,954) | (2,351) | |||||||||
| Accounts receivable | (10,954) | (24,724) | |||||||||
| Inventories | (14,390) | (14,961) | |||||||||
| Accrued and other liabilities | (9,058) | 1,647 | |||||||||
| Change in other operating assets and liabilities | (19,595) | 16,161 | |||||||||
| Net cash provided by operating activities | 121,589 | 105,346 | |||||||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||
| Acquisition of business, net | — | (12,684) | |||||||||
| Sales, purchases and maturities of investments | 105,582 | (132,976) | |||||||||
| Purchases of property and equipment | (26,126) | (13,498) | |||||||||
| Purchases of software licenses and licensed technology | (7,420) | (8,779) | |||||||||
| Other investing | 1,480 | 804 | |||||||||
| Net cash provided by (used in) investing activities | 73,516 | (167,133) | |||||||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||
| Proceeds from convertible notes | — | 86,629 | |||||||||
| Repayment of convertible notes | (161,151) | — | |||||||||
| Payments for fee on convertible note exchange and debt issuance costs | — | (23,126) | |||||||||
| Payments on finance leases and other financing activities | (1,286) | (498) | |||||||||
| Proceeds from employee stock purchases | 5,212 | 4,537 | |||||||||
| Common stock withheld for taxes on employee equity awards | (51,475) | (41,260) | |||||||||
| Net cash (used in) provided by financing activities | (208,700) | 26,282 | |||||||||
| Foreign currency effect on cash | (26) | (375) | |||||||||
| NET CHANGE IN CASH AND CASH EQUIVALENTS | (13,621) | (35,880) | |||||||||
| CASH AND CASH EQUIVALENTS — Beginning of period | 112,142 | 146,806 | |||||||||
| CASH AND CASH EQUIVALENTS — End of period | $ | 98,521 | $ | 110,926 | |||||||
MACOM TECHNOLOGY SOLUTIONS HOLDINGS, INC.
RECONCILIATIONS OF GAAP TO NON-GAAP RESULTS
(unaudited and in thousands, except per share data)
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | |||||||||||||||||||||||
| Gross profit - GAAP | $ | 164,433 | 56.9 | $ | 151,779 | 55.9 | $ | 130,156 | 55.2 | $ | 316,212 | 56.4 | $ | 247,265 | 54.5 | |||||||||||||||||
| Amortization expense | 1,623 | 0.6 | 1,621 | 0.6 | 3,343 | 1.4 | 3,244 | 0.6 | 6,675 | 1.5 | ||||||||||||||||||||||
| Share-based compensation expense | 2,716 | 0.9 | 2,794 | 1.0 | 1,765 | 0.7 | 5,510 | 1.0 | 5,263 | 1.2 | ||||||||||||||||||||||
| Acquisition and integration related costs | 269 | 0.1 | 278 | 0.1 | 356 | 0.2 | 547 | 0.1 | 1,750 | 0.4 | ||||||||||||||||||||||
| Adjusted gross profit (Non-GAAP) | $ | 169,041 | 58.5 | $ | 156,472 | 57.6 | $ | 135,620 | 57.5 | $ | 325,513 | 58.1 | $ | 260,953 | 57.5 | |||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | |||||||||||||||||||||||
| Operating expenses - GAAP | $ | 113,602 | 39.3 | $ | 108,482 | 39.9 | $ | 95,286 | 40.4 | $ | 222,084 | 39.6 | $ | 194,868 | 42.9 | |||||||||||||||||
| Amortization expense | (1,713) | (0.6) | (1,849) | (0.7) | (1,617) | (0.7) | (3,562) | (0.6) | (4,794) | (1.1) | ||||||||||||||||||||||
| Share-based compensation expense | (21,905) | (7.6) | (23,835) | (8.8) | (17,331) | (7.3) | (45,740) | (8.2) | (43,220) | (9.5) | ||||||||||||||||||||||
| Acquisition and integration related costs | (1,395) | (0.5) | (299) | (0.1) | (522) | (0.2) | (1,694) | (0.3) | (1,127) | (0.2) | ||||||||||||||||||||||
| Adjusted operating expenses (Non-GAAP) | $ | 88,589 | 30.7 | $ | 82,499 | 30.4 | $ | 75,816 | 32.1 | $ | 171,088 | 30.5 | $ | 145,727 | 32.1 | |||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | |||||||||||||||||||||||
| Income from operations - GAAP | $ | 50,831 | 17.6 | $ | 43,297 | 15.9 | $ | 34,870 | 14.8 | $ | 94,128 | 16.8 | $ | 52,397 | 11.5 | |||||||||||||||||
| Amortization expense | 3,336 | 1.2 | 3,470 | 1.3 | 4,960 | 2.1 | 6,806 | 1.2 | 11,469 | 2.5 | ||||||||||||||||||||||
| Share-based compensation expense | 24,621 | 8.5 | 26,629 | 9.8 | 19,096 | 8.1 | 51,250 | 9.1 | 48,483 | 10.7 | ||||||||||||||||||||||
| Acquisition and integration related costs | 1,664 | 0.6 | 577 | 0.2 | 878 | 0.4 | 2,241 | 0.4 | 2,877 | 0.6 | ||||||||||||||||||||||
| Adjusted income from operations (Non-GAAP) | $ | 80,452 | 27.8 | $ | 73,973 | 27.2 | $ | 59,804 | 25.4 | $ | 154,425 | 27.5 | $ | 115,226 | 25.4 | |||||||||||||||||
| Depreciation expense | 9,013 | 3.1 | 8,656 | 3.2 | 6,803 | 2.9 | 17,669 | 3.2 | 13,543 | 3.0 | ||||||||||||||||||||||
| Adjusted EBITDA (Non-GAAP) | $ | 89,465 | 31.0 | $ | 82,629 | 30.4 | $ | 66,607 | 28.2 | $ | 172,094 | 30.7 | $ | 128,769 | 28.4 | |||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | |||||||||||||||||||||||
| Net income (loss) - GAAP | $ | 46,331 | 16.0 | $ | 48,767 | 18.0 | $ | 31,666 | 13.4 | $ | 95,098 | 17.0 | $ | (135,864) | (29.9) | |||||||||||||||||
| Amortization expense | 3,336 | 1.2 | 3,470 | 1.3 | 4,960 | 2.1 | 6,806 | 1.2 | 11,469 | 2.5 | ||||||||||||||||||||||
| Share-based compensation expense | 24,621 | 8.5 | 26,629 | 9.8 | 19,096 | 8.1 | 51,250 | 9.1 | 48,483 | 10.7 | ||||||||||||||||||||||
| Non-cash interest, net | 380 | 0.1 | 381 | 0.1 | 380 | 0.2 | 761 | 0.1 | 687 | 0.2 | ||||||||||||||||||||||
| Acquisition and integration related costs | 1,664 | 0.6 | 577 | 0.2 | 878 | 0.4 | 2,241 | 0.4 | 2,877 | 0.6 | ||||||||||||||||||||||
| Loss on debt extinguishment | — | — | — | — | — | — | — | — | 193,098 | 42.5 | ||||||||||||||||||||||
| Tax effect of non-GAAP adjustments | 7,984 | 2.8 | (1,597) | (0.6) | 7,276 | 3.1 | 6,387 | 1.1 | 3,029 | 0.7 | ||||||||||||||||||||||
| Adjusted net income (Non-GAAP) | $ | 84,316 | 29.2 | $ | 78,227 | 28.8 | $ | 64,256 | 27.2 | $ | 162,543 | 29.0 | $ | 123,779 | 27.3 | |||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Net income | Income per diluted share | Net income | Income per diluted share | Net income | Income per diluted share | Net income (loss) | Income (loss) per diluted share | Net income | Income per diluted share | |||||||||||||||||||||||
| Net income (loss) - GAAP diluted | $ | 46,331 | $ | 0.60 | $ | 48,767 | $ | 0.64 | $ | 31,666 | $ | 0.42 | $ | 95,098 | $ | 1.23 | $ | (135,864) | $ | (1.85) | ||||||||||||
| Adjusted net income (Non-GAAP) | $ | 84,316 | $ | 1.09 | $ | 78,227 | $ | 1.02 | $ | 64,256 | $ | 0.85 | $ | 162,543 | $ | 2.11 | $ | 123,779 | $ | 1.64 | ||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Shares | Shares | Shares | Shares | Shares | ||||||||||||||||||||||||||||
| Diluted shares - GAAP | 77,555 | 76,718 | 75,741 | 77,137 | 73,540 | |||||||||||||||||||||||||||
| Incremental shares | — | — | — | — | 2,127 | |||||||||||||||||||||||||||
| Adjusted diluted shares (Non-GAAP) | 77,555 | 76,718 | 75,741 | 77,137 | 75,667 | |||||||||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||||||||||
| April 3, 2026 | January 3, 2026 | April 4, 2025 | April 3, 2026 | April 4, 2025 | ||||||||||||||||||||||||||||
| Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | Amount | % Revenue | |||||||||||||||||||||||
| Interest income - GAAP | $ | 7,759 | 2.7 | $ | 7,990 | 2.9 | $ | 7,239 | 3.1 | $ | 15,749 | 2.8 | $ | 14,239 | 3.1 | |||||||||||||||||
| Interest expense - GAAP | (1,667) | (0.6) | (1,698) | (0.6) | (1,179) | (0.5) | (3,365) | (0.6) | (2,545) | (0.6) | ||||||||||||||||||||||
| Non-cash interest expense | 380 | 0.1 | 381 | 0.1 | 380 | 0.2 | 761 | 0.1 | 687 | 0.2 | ||||||||||||||||||||||
| Adjusted interest income (Non-GAAP) | $ | 6,472 | 2.2 | $ | 6,673 | 2.5 | $ | 6,440 | 2.7 | $ | 13,145 | 2.3 | $ | 12,381 | 2.7 | |||||||||||||||||
FAQ
How did MACOM (MTSI) perform in its fiscal Q2 2026?
MACOM delivered strong fiscal Q2 2026 results, with revenue of $289.0 million, up 22.5% year over year. GAAP net income reached $46.3 million, or $0.60 per diluted share, while non-GAAP net income was $84.3 million, or $1.09 per diluted share.
What margins did MACOM (MTSI) report for fiscal Q2 2026?
MACOM reported a GAAP gross margin of 56.9% in fiscal Q2 2026, up from 55.2% a year earlier. Non-GAAP gross margin was 58.5%. GAAP operating margin reached 17.6%, while non-GAAP operating margin improved to 27.8%, reflecting operating leverage.
What guidance did MACOM (MTSI) give for fiscal Q3 2026?
For fiscal Q3 2026, MACOM expects revenue between $331 million and $339 million. The company projects non-GAAP gross margin of 59.0%–60.0% and non-GAAP diluted EPS of $1.31–$1.37, assuming a 3% non-GAAP tax rate and 78.5 million diluted shares.
How did MACOM’s (MTSI) non-GAAP results compare to GAAP in Q2 2026?
In fiscal Q2 2026, GAAP net income was $46.3 million, or $0.60 per diluted share. On a non-GAAP basis, net income was $84.3 million, or $1.09 per diluted share, excluding items like amortization, share-based compensation, non-cash interest, and acquisition-related costs.
What was MACOM’s (MTSI) cash flow from operations for the first half of 2026?
For the six months ended April 3, 2026, MACOM generated $121.6 million in net cash from operating activities. This compares to $105.3 million in the prior-year period and supports continued investment in R&D, capital equipment, and other strategic initiatives.
What is MACOM’s (MTSI) current balance sheet position?
As of April 3, 2026, MACOM held $98.5 million in cash and cash equivalents and $566.3 million in short-term investments. The company reported no short-term debt and $340.2 million in long-term debt obligations, with stockholders’ equity of $1.42 billion.