Synaptics (NASDAQ: SYNA) Q3 2026 revenue rises 10% to $294.2M
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Synaptics Incorporated reported third quarter fiscal 2026 revenue of $294.2 million, up 10% year-over-year, driven by a 31% increase in Core IoT product sales. GAAP results showed a net loss of $8.0 million, or -$0.21 per share, while non-GAAP net income was $44.1 million, or $1.09 per diluted share.
The company highlighted momentum in Physical AI and Edge AI with additional design wins. For the fourth quarter of fiscal 2026, Synaptics expects revenue of $305 million ± $10 million and non-GAAP earnings per share of $1.20 ± $0.15, and it projects full-year Core IoT revenue to grow more than 40% year-over-year to over $385 million.
Positive
- Double-digit top-line growth with strong Core IoT mix: Q3 fiscal 2026 revenue reached $294.2 million, up 10% year-over-year, with Core IoT product sales growing 31%, signaling solid demand in the company’s targeted growth segment.
- Profitable on a non-GAAP basis with expanding scale: Despite a GAAP net loss of $8.0 million, Synaptics generated non-GAAP net income of $44.1 million, or $1.09 per diluted share, demonstrating earnings power after adjusting for acquisition-related and share-based compensation costs.
- Constructive guidance and strong Core IoT outlook: For Q4 fiscal 2026, the company expects revenue of $305 million ± $10 million and non-GAAP EPS of $1.20 ± $0.15, and projects full-year Core IoT revenue to exceed $385 million, growing more than 40% year-over-year.
Negative
- None.
Insights
Q3 revenue grew 10% with strong Core IoT and upbeat Q4 guidance.
Synaptics delivered net revenue of $294.2M, up 10% year-over-year, with Core IoT product sales rising 31%. Despite a GAAP net loss of $8.0M, non-GAAP net income reached $44.1M, or $1.09 per diluted share, reflecting sizable non-GAAP add-backs.
Management emphasized accelerating activity in Physical AI and Edge AI, citing increasing design wins and customer engagements. For Q4 fiscal 2026, the company guides revenue to $305M ± $10M with non-GAAP gross margin of 53.5% ± 1.0% and non-GAAP EPS of $1.20 ± $0.15.
The outlook also implies full-year fiscal 2026 Core IoT revenue above $385M, growing more than 40% year-over-year. Synaptics notes a strong balance sheet, including $404.4M in cash and cash equivalents as of March 2026, against long-term debt of $836.7M, supporting continued investment in organic growth initiatives.
8-K Event Classification
10 items: 0.02, 0.05, 0.06, 0.7, 1.9, 2.02, 2.2, 9.01, 161.0, 227.0
10 items
Item 0.02
Item 0.02
Item 0.05
Item 0.05
Item 0.06
Item 0.06
Item 0.7
Item 0.7
Item 1.9
Item 1.9
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 2.2
Item 2.2
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Item 161.0
Item 161.0
Item 227.0
Item 227.0
Key Figures
Q3 2026 revenue: $294.2 million
Core IoT sales growth: 31% year-over-year
Q3 2026 GAAP net loss: $8.0 million
+5 more
8 metrics
Q3 2026 revenue
$294.2 million
Net revenue for the third quarter of fiscal 2026, up 10% year-over-year
Core IoT sales growth
31% year-over-year
Fiscal third quarter Core IoT product sales growth versus prior year
Q3 2026 GAAP net loss
$8.0 million
GAAP net loss for the third quarter of fiscal 2026, -$0.21 per share
Q3 2026 non-GAAP EPS
$1.09 per diluted share
Non-GAAP net income of $44.1 million in the third quarter of fiscal 2026
Q4 2026 revenue guidance
$305M ± $10M
Company outlook for fourth quarter fiscal 2026 revenue
Q4 2026 non-GAAP EPS guidance
$1.20 ± $0.15
Projected non-GAAP earnings (loss) per share for Q4 fiscal 2026
Fiscal 2026 Core IoT outlook
Over $385 million
Expected full year Core IoT revenue, more than 40% year-over-year growth
Cash and cash equivalents
$404.4 million
Cash and cash equivalents as of March 2026 on condensed balance sheet
Key Terms
Core IoT product sales, Non-GAAP net income, Physical AI, Edge AI, +2 more
6 terms
Core IoT product sales financial
"Fiscal third quarter Core IoT product sales grew by 31% year-over-year"
Non-GAAP net income financial
"Non-GAAP net income for the third quarter of fiscal 2026 was $44.1 million"
Non-GAAP net income is a company's profit figure that excludes certain costs or income that are included in standard accounting methods. Companies often use it to show what their earnings might look like without one-time expenses or other unusual items, helping investors see the company's core performance more clearly.
Physical AI technical
"Multiple additional design wins in Physical AI and robotics"
Physical AI combines artificial intelligence with physical devices or environments, enabling machines to interact with and adapt to the real world in a human-like way. It matters to investors because it can lead to smarter robots, autonomous vehicles, or advanced sensors that improve efficiency and open new markets, potentially creating significant business opportunities and competitive advantages.
Edge AI technical
"We are seeing accelerating activity in Physical AI and Edge AI"
Edge AI refers to artificial intelligence systems that process data directly on local devices or nearby servers rather than sending information to distant data centers. This allows for faster decision-making and real-time responses, similar to how a home security camera can instantly detect motion without needing to connect to a remote server. For investors, edge AI represents a growing trend toward more efficient, responsive technology that can create new opportunities across various industries.
loss on early extinguishment of debt financial
"Loss on early extinguishment of debt represents a non-cash item"
A loss on early extinguishment of debt is the one-time accounting charge a company records when it pays off a loan or bond before the agreed date and pays more (fees or penalties) than the remaining balance. Think of it like breaking a rental lease early and paying a penalty; it reduces reported profit and uses cash now. Investors watch it because it can lower short-term earnings, affect cash reserves, and signal refinancing or financial stress.
Earnings Snapshot
Revenue: $294.2 million · Guidance included
Q3 2026
Revenue
$294.2 million
+10% year-over-year
GAAP net loss
$8.0 million
improved versus $21.8 million loss prior-year quarter
Non-GAAP net income
$44.1 million
up from $35.3 million prior-year quarter
Non-GAAP EPS (diluted)
$1.09
up from $0.90 prior-year quarter
Guidance
For Q4 fiscal 2026, Synaptics expects revenue of $305M ± $10M, non-GAAP gross margin of 53.5% ± 1.0%, operating expense of $105M ± $2M on a non-GAAP basis, and non-GAAP EPS of $1.20 ± $0.15.
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) | (Commission File Number) | (IRS Employer Identification No.) | ||||||
| (Address of Principal Executive Offices) | (Zip Code) | |||||||
Registrant’s Telephone Number, Including Area Code: (408) 904-1100
________________________________________________________
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 each 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 o
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. o
Item 2.02 Results of Operations and Financial Condition.
On May 7, 2026, Synaptics Incorporated (the "Company") issued a press release announcing its financial results for the fiscal quarter ended March 28, 2026, and posted supplemental earnings materials to the investor section of the Company’s website at www.synaptics.com. A copy of the press release is furnished herewith as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.
This information furnished pursuant to this Item 2.02, including Exhibit 99.1, shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be incorporated by reference into any registration document or other document filed by the Company.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit Number | Description | ||||
| 99.1 | Press release from Synaptics Incorporated, dated May 7, 2026, titled “Synaptics Reports Third Quarter Fiscal 2026 Results” | ||||
| 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 thereunto duly authorized.
| SYNAPTICS INCORPORATED | |||||||||||
| Date: | May 7, 2026 | By: | /s/ Ken Rizvi | ||||||||
| Ken Rizvi SVP and Chief Financial Officer | |||||||||||
 | Exhibit 99.1 | ||||
Synaptics Reports Third Quarter Fiscal 2026 Results
Core IoT product sales increased 31% year-over-year
Multiple additional design wins in Physical AI and robotics
Q3'26 Financial Results
•Revenue of $294.2 million, up 10% year-over-year
•Fiscal third quarter Core IoT product sales grew by 31% year-over-year
•GAAP gross margin of 45.3%
•Non-GAAP gross margin of 53.6%
•GAAP loss per share of $0.21
•Non-GAAP diluted earnings per share of $1.09
SAN JOSE, Calif., – May 7, 2026 – Synaptics Incorporated (Nasdaq: SYNA) today reported financial results for its third quarter of fiscal 2026 ended March 28, 2026.
Net revenue for the third quarter of fiscal 2026 was $294.2 million. GAAP net loss for the third quarter of fiscal 2026 was $8.0 million, or a loss of $0.21 per basic share. Non-GAAP net income for the third quarter of fiscal 2026 was $44.1 million, or $1.09 per diluted share.
“Synaptics delivered a solid third quarter of fiscal 2026, with double-digit year-over-year revenue growth driven by a 31% increase in Core IoT product sales. Revenue, non-GAAP gross margin, and non-GAAP EPS all exceeded the midpoints of our guidance, reflecting strong execution. Based on the mid-point of our fourth quarter outlook, we expect full year fiscal 2026 Core IoT revenue to grow more than 40% year-over-year to over $385 million. We are seeing accelerating activity in Physical AI and Edge AI, with increasing design wins and customer engagements. We continue to align our portfolio to capitalize on these emerging opportunities and remain confident in our ability to drive long-term growth," said Rahul Patel, Synaptics' President and Chief Executive Officer.
Business Outlook
Ken Rizvi, the Company's Chief Financial Officer, added, “As we enter the June quarter, our backlog is healthy and our current outlook reflects expected sequential and year-over-year revenue growth. We remain focused on disciplined execution. Our balance sheet is strong, providing the flexibility to invest in our organic growth initiatives.”
The fourth quarter fiscal 2026 outlook information provided below is based on the Company’s current estimates and is not a guarantee of future performance. These statements are forward-looking and actual results may differ materially. Refer to the “Cautionary Statement Regarding Forward-Looking Statements” section below for information on the factors that could cause the Company’s actual results to differ materially from these forward-looking statements.
For the fourth quarter of fiscal 2026, the Company expects:
GAAP | Non-GAAP Adjustment | Non-GAAP | |||||||||
| Revenue | $305M ± $10M | N/A | $305M ± $10M | ||||||||
| Gross Margin* | 46.0 percent ± 2.0 percent | $23.0M ± $0.5M | 53.5 percent ± 1.0 percent | ||||||||
| Operating Expense** | $146M ± $4M | $41M ± $2M | $105M ± $2M | ||||||||
| Earnings (loss) per share*** | ($0.17) ± $0.25 | $1.37 ± $0.10 | $1.20 ± $0.15 | ||||||||
* Projected Non-GAAP gross margin excludes $22.0 to $23.0 million in acquisition and integration-related costs and $0.5 million in share-based compensation costs.
** Projected Non-GAAP operating expense excludes $35.0 to $36.0 million in share-based compensation costs, $1.0 to $2.0 million in restructuring costs, and $3.0 to $5.0 million in acquisition and integration related costs.
*** Projected Non-GAAP earnings (loss) per share excludes $0.90 to $0.91 in share-based compensation costs, $0.03 to $0.05 in restructuring costs, $0.64 to $0.69 in acquisition and integration related costs, and ($0.10) to ($0.38) in other non-cash and Non-GAAP tax adjustments.
Our outlook is also subject to the fluid macroeconomic landscape, including ongoing global macroeconomic and geopolitical conditions, including trade and tariff uncertainties and military conflicts in the Middle East (refer to the “Cautionary Statement Regarding Forward-Looking Statements" below).
Earnings Call and Supplementary Materials
The Synaptics third quarter fiscal 2026 teleconference and webcast is scheduled to begin at 2:00 p.m. PT (5:00 p.m. ET), on Thursday, May 7, 2026, during which the Company may discuss forward-looking information.
Speakers:
•Rahul Patel, President and Chief Executive Officer
•Ken Rizvi, Chief Financial Officer
To participate on the live call, analysts and investors should pre-register at Synaptics Q3 FY2026 Earnings Call Registration.
https://register-conf.media-server.com/register/BI5c64b8d3979e44c5ae47e5c26d2fcc66
Supplementary slides, a copy of the prepared remarks, and a live and archived webcast of the conference call will be accessible from the “Investor Relations” section of the company’s website at
https://investor.synaptics.com/.
About Synaptics Incorporated:
Synaptics (Nasdaq: SYNA) is driving innovation in AI at the Edge, bringing AI closer to end users and transforming how we engage with intelligent connected devices, whether at home, at work, or on the move. As a go-to partner for forward-thinking product innovators, Synaptics powers the future with its cutting-edge Synaptics Astra™ AI-Native embedded compute, wireless connectivity, and multimodal sensing solutions. We’re making the digital experience smarter, faster, more intuitive, secure, and seamless. From touch, display, and biometrics to AI-driven wireless connectivity, video, vision, audio, speech, and security processing, Synaptics is a force behind the next generation of technology enhancing how we live, work, and play.
Follow Synaptics on LinkedIn, Facebook, Instagram, and YouTube, or visit www.synaptics.com.
Use of Non-GAAP Financial Information
In evaluating its business, Synaptics considers and uses Non-GAAP Net Income, which we define as net income excluding share-based compensation, acquisition-related costs, and certain other non-cash or recurring and non-recurring items the company does not believe are indicative of its core operating performance, as a supplemental measure of operating performance. Non-GAAP Net Income is not a measurement of the company’s financial performance under GAAP and should not be considered as an alternative to GAAP Net Income. The company presents Non-GAAP Net Income because it considers it an important supplemental measure of its performance since it facilitates operating performance comparisons from period to period by eliminating potential differences in net income caused by the existence and timing of share-based compensation charges, acquisition and integration-related costs, restructuring costs, and certain other non-cash or recurring and non-recurring items. Non-GAAP Net Income has limitations as an analytical tool and should not be considered in isolation or as a substitute for the company’s GAAP Net Income. The principal limitations of this measure are that it does not reflect the company’s actual expenses and may thus have the effect of inflating its net income and net income per share as compared to its operating results reported under GAAP. In addition, the company presents components of Non-GAAP Net Income, such as Non-GAAP Gross Margin, Non-GAAP operating expenses, Non-GAAP operating margin and Non-GAAP net income per share, for similar reasons.
As presented in the “Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures” tables that follow, Non-GAAP Net Income and each of the other Non-GAAP financial measures excludes one or more of the following items:
Acquisition and integration-related costs
Acquisition and integration-related costs primarily consist of:
•amortization of purchased intangibles, which include acquired intangibles such as developed technology, customer relationships, trademarks, backlog, licensed technology, patents, and in-process technology when post-acquisition development is determined to be substantively complete;
•inventory fair value adjustments affecting the carrying value of inventory acquired in an acquisition;
•transitory post-acquisition incentive programs negotiated in connection with an acquired business or designed to encourage post-acquisition retention of key employees; and
•legal and consulting costs directly associated with acquisitions, potential acquisitions and refinancing costs, including non-recurring acquisition related costs and services.
These acquisition and integration-related costs are not factored into the company’s evaluation of its ongoing business operating performance or potential acquisitions, as they are not considered as part of the company’s principal operations. Further, the amount of these costs can vary significantly from period to period based on the terms of an earn-out arrangement, revisions to assumptions that went into developing the estimate of the contingent consideration associated with an earn-out arrangement, the size and timing of an acquisition, the lives assigned to the acquired intangible assets, and the maturity of the business acquired. Excluding acquisition related costs from Non-GAAP measures provides investors with a basis to compare Synaptics against the performance of other companies without the variability and potential earnings volatility associated with purchase accounting and acquisition-related items.
Share-based compensation
Share-based compensation expense relates to employee equity award programs and the vesting of the underlying awards, which includes stock options, deferred stock units, market stock units, performance stock units, phantom stock units and the employee stock purchase plan. Share-based compensation settled with stock, which includes stock options, deferred stock units, market stock units, performance stock units and the employee stock purchase plan, is a non-cash expense, while share-based compensation settled with cash, which includes phantom stock units, is a cash expense. Settlement of all employee equity award programs, whether settled with cash or stock, varies in amount from period to period and is dependent on market forces that are often beyond the company’s control. As a result, the company excludes share-based compensation from its internal operating forecasts and models. The company believes that Non-GAAP measures reflecting adjustments for share-based compensation provide investors with a basis to compare the company’s principal operating performance against the performance of peer companies without the variability created by share-based compensation resulting from the variety of equity-linked compensatory awards used by other companies and the varying methodologies and assumptions used.
Intangible asset impairment charge
Intangible asset impairment charge represents the excess carrying value of an indefinite-lived asset over its fair value. The intangible asset impairment charge is a non-cash charge. The company excludes intangible asset impairment charge from its internal operating forecasts and models when evaluating its ongoing business performance. The company believes that Non-GAAP measures, reflecting adjustments for intangible asset impairment charge, provide investors with a basis to compare the company’s principal operating performance against the performance of other companies without the variability created by the intangible asset impairment charge.
Restructuring costs
Restructuring costs are costs incurred to address cost structure inefficiencies of acquired or existing business operations and consist primarily of employee termination, asset disposal and office closure costs, including the reversal of such costs. As a result, the company excludes restructuring costs from its internal operating forecasts and models when evaluating its ongoing business performance. The company believes that Non-GAAP measures reflecting adjustments for restructuring costs provide investors with a basis to compare the company’s principal operating performance against the performance of other companies without the variability created by restructuring costs designed to address cost structure inefficiencies of acquired or existing business operations.
Legal settlement accruals and other
Legal settlement accruals and other represent our estimated cost of settling legal claims and any obligations to indemnify a counterparty against third party claims that are unusual or infrequent. As a result, the company will exclude these settlement charges from its internal operating forecasts and models when evaluating its ongoing business performance. The company believes that Non-GAAP measures reflecting an adjustment for settlement charges provide investors with a basis to compare the company’s principal operating performance against the performance of other companies without the variability created by unusual or infrequent settlement accruals designed to address non-recurring or non-routine costs.
Loss on early extinguishment of debt
Loss on early extinguishment of debt represents a non-cash item based on the difference in the carrying value of the debt and the fair value of the debt when extinguished. Loss on early extinguishment of debt is excluded from Non-GAAP results as it is non-cash. Excluding loss on early extinguishment of debt from Non-GAAP measures provides investors with a basis to compare Synaptics against the performance of other companies without the variability associated with loss on early extinguishment of debt.
Other non-cash items
Other non-cash items include non-cash amortization of debt discount and issuance costs. These items are excluded from Non-GAAP results as they are non-cash. Excluding other non-cash items from Non-GAAP measures provides investors with a basis to compare Synaptics against the performance of other companies without the variability associated with other non-cash items.
Other miscellaneous income
Other miscellaneous income items include funds previously paid to third parties refunded back to the company. These miscellaneous items are excluded from our non-GAAP results because they are not indicative of the company’s core operating performance. Management believes that adjusting for these items enhances investors’ ability to meaningfully compare the company’s ongoing financial performance with that of other companies by removing variability caused by infrequent or non-routine personnel-related costs.
Non-GAAP tax adjustments
The company forecasts its long-term Non-GAAP tax rate in order to provide investors with improved long-term modeling accuracy and consistency across financial reporting periods by eliminating the effects of certain items in our Non-GAAP net income and Non-GAAP net income per share, including the type and amount of share-based compensation, the taxation of post-acquisition intercompany intellectual property cross-licensing or transfer transactions, and the impact of other acquisition items that may or may not be tax deductible. The company intends to evaluate its long-term Non-GAAP tax rate annually for significant events, including material tax law changes in the major tax jurisdictions in which the company operates, corporate organizational changes related to acquisitions or tax planning opportunities, and substantive changes in our geographic earnings mix.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains statements that are not historical facts but rather forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and the safe harbors created under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Forward-looking statements reflect the company’s current expectations and projections relating to its financial condition, results of operations, plans, objectives, future performance and business, including statements regarding the company’s financial guidance for the fourth quarter of fiscal 2026, anticipated business trends and growth drivers in Core IoT and Edge AI, product development and integration activities, strategic and technology investments, operational discipline, backlog, demand conditions, and capital allocation initiatives, including share repurchases, subject to market conditions, liquidity and board authorization. Such statements do not relate strictly to historical or current facts and may be identified by words such as “expect,” “anticipate,” “intend,” “believe,” “estimate,” “plan,” “target,” “strategy,” “continue,” “may,” "commit," “will,” “should,” variations of such words, or other words and terms of similar meaning.
All forward-looking statements are based upon the company’s current expectations or various assumptions. The company’s expectations and assumptions are expressed in good faith, and the company believes there is a reasonable basis for them. However, there can be no assurance that such forward-looking statements will materialize or prove to be correct as forward-looking statements are inherently subject to known and unknown risks, uncertainties and other factors which may cause actual future results, performance or achievements to differ materially from the future results, performance or achievements expressed in or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those set out in the forward-looking statements include, but are not limited to: global macroeconomic and geopolitical conditions , including trade tensions, tariffs, inflation, military conflicts (such as those involving the United States, Russia, Ukraine, Israel, Iran and other countries in the Middle East and beyond), and market volatility, any of which may adversely affect customer demand for our products, purchasing behavior, supply chain disruptions, increased costs, and operational adjustments (such as reductions in force); the company’s ability to successfully execute on its strategies, including new product introductions, acquisitions and strategic partnerships; manufacturing and supply chain risks, including the company’s dependence on third parties to maintain satisfactory manufacturing yields and deliverable schedules, constraints or imbalances in the availability of critical components (including memory components used in combination with our products) or delays from third-party foundries and assemblers; risks related to customer concentration, inventory corrections, or changes in end-market adoption trends; the company’s dependence on one or more large customers, including risks relating to the loss or non-renewal of contracts with key customers; the company’s exposure to industry downturns and cyclicality in its target markets; expectations related to our financial performance for the upcoming quarter, including expected revenue contribution, growth, demand, or mix from Core IoT, Enterprise and Automotive markets, and other product categories or end markets; inflationary pressures, fluctuating interest rates, and exchange rate volatility; the company’s ability to execute on its cost reduction initiatives and to achieve expected synergies and expense reductions; the company’s ability to maintain and build relationships with its customers; the company’s indemnification obligations for any third party claims; risks associated with leadership transitions, including continuity and retention of key technical or managerial personnel; risks related to our ability to deliver expected financial or strategic benefits from investing in growth while simultaneously returning capital to stockholders through share repurchases; and other risks as identified in the “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Business” sections of the company’s most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q; and other risks as identified from time to time in the company’s Securities and Exchange Commission reports.
Forward-looking statements contained in this press release are based on information available to the company as of the date of hereof, and the company assumes no obligation to update publicly or revise any forward-looking statements in light of new information or future events, except as required by law.
Synaptics and the Synaptics logo are trademarks of Synaptics in the United States and/or other countries. All other marks are the property of their respective owners.
For more information, please contact:
Munjal Shah
Head of Investor Relations
+1-408-518-7639
munjal.shah@synaptics.com
SYNAPTICS INCORPORATED
CONDENSED CONSOLIDATED BALANCE SHEETS
(In millions)
(Unaudited)
| March 2026 | June 2025 | ||||||||||
| ASSETS | |||||||||||
Current assets: | |||||||||||
| Cash and cash equivalents | $ | 404.4 | $ | 391.5 | |||||||
| Short-term investments | — | 61.0 | |||||||||
| Accounts receivable, net | 162.5 | 130.3 | |||||||||
| Inventories | 161.3 | 139.5 | |||||||||
| Prepaid expenses and other current assets | 27.2 | 29.6 | |||||||||
| Total current assets | 755.4 | 751.9 | |||||||||
| Property and equipment, net | 82.5 | 72.1 | |||||||||
| Goodwill | 872.3 | 872.3 | |||||||||
| Acquired intangible assets | 209.6 | 262.2 | |||||||||
| Deferred tax assets | 423.8 | 408.8 | |||||||||
| Non-current other assets | 178.8 | 217.1 | |||||||||
| Total assets | $ | 2,522.4 | $ | 2,584.4 | |||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Accounts payable | $ | 77.7 | $ | 98.5 | |||||||
| Accrued liabilities | 170.5 | 172.4 | |||||||||
| Total current liabilities | 248.2 | 270.9 | |||||||||
| Long-term debt | 836.7 | 834.8 | |||||||||
| Other long-term liabilities | 78.8 | 83.8 | |||||||||
| Total liabilities | 1,163.7 | 1,189.5 | |||||||||
Stockholders' equity: | |||||||||||
| Common stock and additional paid-in capital | 1,301.7 | 1,211.9 | |||||||||
| Treasury stock | (1,089.5) | (1,006.9) | |||||||||
| Retained earnings | 1,146.5 | 1,189.9 | |||||||||
| Total stockholders' equity | 1,358.7 | 1,394.9 | |||||||||
| Total liabilities and stockholders’ equity | $ | 2,522.4 | $ | 2,584.4 | |||||||
SYNAPTICS INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In millions, except per share data)
(Unaudited)
| Three Months Ended | Nine Months Ended | ||||||||||||||||||||||
| March | March | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Net revenue | $ | 294.2 | $ | 266.6 | $ | 889.2 | $ | 791.5 | |||||||||||||||
| Acquisition-related costs (1) | 24.1 | 26.5 | 84.8 | 68.1 | |||||||||||||||||||
| Cost of revenue | 136.8 | 124.3 | 414.8 | 364.5 | |||||||||||||||||||
| Gross margin | 133.3 | 115.8 | 389.6 | 358.9 | |||||||||||||||||||
| Operating expenses: | |||||||||||||||||||||||
| Research and development | 94.5 | 88.6 | 284.0 | 253.2 | |||||||||||||||||||
| Selling, general, and administrative | 49.6 | 34.7 | 143.6 | 134.2 | |||||||||||||||||||
| Acquired intangibles amortization (1) | 1.9 | 4.5 | 10.4 | 12.1 | |||||||||||||||||||
| Intangible asset impairment charges | — | 13.8 | — | 13.8 | |||||||||||||||||||
| Restructuring costs (2) | — | 0.5 | 2.6 | 15.5 | |||||||||||||||||||
| Total operating expenses | 146.0 | 142.1 | 440.6 | 428.8 | |||||||||||||||||||
| Operating loss | (12.7) | (26.3) | (51.0) | (69.9) | |||||||||||||||||||
| Interest expense and other, net | (2.5) | (1.1) | (4.4) | (11.3) | |||||||||||||||||||
| Loss on early extinguishment of debt | — | — | — | (6.5) | |||||||||||||||||||
Loss before benefit from income taxes | (15.2) | (27.4) | (55.4) | (87.7) | |||||||||||||||||||
Benefit from income taxes | (7.2) | (5.6) | (12.0) | (44.6) | |||||||||||||||||||
Net loss | $ | (8.0) | $ | (21.8) | $ | (43.4) | $ | (43.1) | |||||||||||||||
Net loss per share: | |||||||||||||||||||||||
| Basic | $ | (0.21) | $ | (0.56) | $ | (1.12) | $ | (1.09) | |||||||||||||||
| Diluted | $ | (0.21) | $ | (0.56) | $ | (1.12) | $ | (1.09) | |||||||||||||||
Shares used in computing net loss per share: | |||||||||||||||||||||||
| Basic | 38.8 | 39.0 | 38.9 | 39.5 | |||||||||||||||||||
| Diluted | 38.8 | 39.0 | 38.9 | 39.5 | |||||||||||||||||||
(1) These acquisition related costs and acquired intangibles amortization consist primarily of amortization associated with certain acquired intangible assets. (2) Restructuring costs primarily include severance and lease related costs associated with operational restructurings. | |||||||||||||||||||||||
SYNAPTICS INCORPORATED
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
(In millions, except per share data)
(Unaudited)
| Three Months Ended | Nine Months Ended | ||||||||||||||||||||||
| March | March | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| GAAP gross margin | $ | 133.3 | $ | 115.8 | $ | 389.6 | $ | 358.9 | |||||||||||||||
| Acquisition and integration related costs | 24.1 | 26.6 | 84.8 | 68.2 | |||||||||||||||||||
| Share-based compensation | 0.3 | 0.3 | 0.9 | (2.1) | |||||||||||||||||||
| Non-GAAP gross margin | $ | 157.7 | $ | 142.7 | $ | 475.3 | $ | 425.0 | |||||||||||||||
| GAAP gross margin - percentage of revenue (1) | 45.3 | % | 43.4 | % | 43.8 | % | 45.3 | % | |||||||||||||||
| Acquisition and integration related costs - percentage of revenue (1) | 8.2 | % | 10.0 | % | 9.6 | % | 8.6 | % | |||||||||||||||
| Share-based compensation - percentage of revenue (1) | 0.1 | % | 0.1 | % | 0.1 | % | (0.2 | %) | |||||||||||||||
| Non-GAAP gross margin - percentage of revenue (1) | 53.6 | % | 53.5 | % | 53.5 | % | 53.7 | % | |||||||||||||||
| GAAP research and development expense | $ | 94.5 | $ | 88.6 | $ | 284.0 | $ | 253.2 | |||||||||||||||
| Share-based compensation | (22.3) | (18.5) | (64.7) | (48.6) | |||||||||||||||||||
| Non-GAAP research and development expense | $ | 72.2 | $ | 70.1 | $ | 219.3 | $ | 204.6 | |||||||||||||||
| GAAP selling, general, and administrative expense | $ | 49.6 | $ | 34.7 | $ | 143.6 | $ | 134.2 | |||||||||||||||
| Share-based compensation | (17.1) | (1.1) | (49.5) | (35.2) | |||||||||||||||||||
| Acquisition and integration related costs | (0.1) | (1.7) | (0.6) | (6.4) | |||||||||||||||||||
| Legal settlement accruals and other | — | (0.8) | — | (3.0) | |||||||||||||||||||
| Non-GAAP selling, general, and administrative expense | $ | 32.4 | $ | 31.1 | $ | 93.5 | $ | 89.6 | |||||||||||||||
| GAAP operating loss | $ | (12.7) | $ | (26.3) | $ | (51.0) | $ | (69.9) | |||||||||||||||
| Acquisition and integration related costs | 26.1 | 32.8 | 95.8 | 86.7 | |||||||||||||||||||
| Share-based compensation | 39.7 | 19.9 | 115.1 | 81.7 | |||||||||||||||||||
| Legal settlement accruals and other | — | 0.8 | — | 3.0 | |||||||||||||||||||
| Intangible asset impairment | — | 13.8 | — | 13.8 | |||||||||||||||||||
| Restructuring costs | — | 0.5 | 2.6 | 15.5 | |||||||||||||||||||
| Non-GAAP operating income | $ | 53.1 | $ | 41.5 | $ | 162.5 | $ | 130.8 | |||||||||||||||
| GAAP net loss | $ | (8.0) | $ | (21.8) | $ | (43.4) | $ | (43.1) | |||||||||||||||
| Acquisition and integration related costs | 26.1 | 32.8 | 95.8 | 86.7 | |||||||||||||||||||
| Share-based compensation | 39.7 | 19.9 | 115.1 | 81.7 | |||||||||||||||||||
| Restructuring costs | — | 0.5 | 2.6 | 15.5 | |||||||||||||||||||
| Legal settlement accruals and other | — | 0.8 | — | 3.0 | |||||||||||||||||||
| Intangible asset impairment | — | 13.8 | — | 13.8 | |||||||||||||||||||
| Loss on early extinguishment of debt | — | — | — | 6.5 | |||||||||||||||||||
| Other non-cash items | 0.7 | 0.7 | 2.2 | 1.9 | |||||||||||||||||||
| Other miscellaneous income | — | — | (2.3) | — | |||||||||||||||||||
| Non-GAAP tax adjustments | (14.4) | (11.4) | (34.1) | (61.6) | |||||||||||||||||||
| Non-GAAP net income | $ | 44.1 | $ | 35.3 | $ | 135.9 | $ | 104.4 | |||||||||||||||
GAAP net loss per share | $ | (0.21) | $ | (0.56) | $ | (1.12) | $ | (1.09) | |||||||||||||||
| Acquisition and integration related costs | 0.67 | 0.84 | 2.46 | 2.19 | |||||||||||||||||||
| Share-based compensation | 1.02 | 0.51 | 2.96 | 2.07 | |||||||||||||||||||
| Restructuring costs | — | 0.01 | 0.07 | 0.39 | |||||||||||||||||||
| Legal settlement accruals and other | — | 0.02 | — | 0.08 | |||||||||||||||||||
| Intangible asset impairment | — | 0.35 | — | 0.35 | |||||||||||||||||||
| Loss on early extinguishment of debt | — | — | — | 0.16 | |||||||||||||||||||
| Other non-cash items | 0.02 | 0.02 | 0.06 | 0.05 | |||||||||||||||||||
| Other miscellaneous income | — | — | (0.06) | — | |||||||||||||||||||
| Non-GAAP tax adjustments | (0.37) | (0.29) | (0.88) | (1.56) | |||||||||||||||||||
| Share adjustment | (0.04) | — | (0.12) | (0.02) | |||||||||||||||||||
| Non-GAAP net income per share - diluted | $ | 1.09 | $ | 0.90 | $ | 3.37 | $ | 2.62 | |||||||||||||||
| Shares used in per share calculation - diluted on GAAP basis | 38.8 | 39.0 | 38.9 | 39.5 | |||||||||||||||||||
Non-GAAP adjustment (2) | 1.5 | 0.2 | 1.4 | 0.3 | |||||||||||||||||||
| Shares used in per share calculation - diluted on non-GAAP basis | 40.3 | 39.2 | 40.3 | 39.8 | |||||||||||||||||||
(1) Percentages may not reconcile due to rounding (2) Shares used for net income per share on non-GAAP basis represent the diluted share count that would have been used for GAAP purposes if GAAP results were in a profit position. Therefore, the adjustment represents the net incremental dilutive shares from employee equity programs in accordance with the treasury stock method. There is no dilution in our non-GAAP diluted share count from our convertible debt instrument under the if-converted method, as the conversion rate exceeded the average market value of our stock. | |||||||||||||||||||||||
SYNAPTICS INCORPORATED
CONDENSED CONSOLIDATED CASH FLOWS
(In millions)
(Unaudited)
| Nine Months Ended | |||||||||||
| March 2026 | |||||||||||
| 2026 | 2025 | ||||||||||
| Net loss | $ | (43.4) | $ | (43.1) | |||||||
| Non-cash operating items | 227.0 | 161.0 | |||||||||
| Changes in working capital | (101.8) | (33.1) | |||||||||
| Net cash provided by operating activities | 81.8 | 84.8 | |||||||||
| Acquisition of business, net of cash and cash equivalents acquired | — | (198.8) | |||||||||
| Purchases of short-term investments | — | (61.0) | |||||||||
| Proceeds from maturities of investments | 61.0 | — | |||||||||
| Purchase of intangible assets | — | (10.0) | |||||||||
| Purchases of property and equipment and other | (35.7) | (19.2) | |||||||||
| Net cash provided by (used in) investing activities | 25.3 | (289.0) | |||||||||
| Proceeds from issuance of convertible senior notes, net of issuance costs | — | 439.5 | |||||||||
| Payment of debt issuance costs on convertible senior notes and revolving credit facility | — | (4.4) | |||||||||
| Payments for capped call transactions related to the convertible senior notes | — | (49.9) | |||||||||
| Equity compensation, net | (25.3) | (3.3) | |||||||||
| Repurchases of common stock, exclusive of excise taxes | (82.6) | (112.3) | |||||||||
| Repayment of debt | — | (583.5) | |||||||||
| Return of deposit received from vendor | 14.0 | — | |||||||||
| Other | — | 0.9 | |||||||||
| Net cash used in financing activities | (93.9) | (313.0) | |||||||||
| Effect of exchange rate changes on cash and cash equivalents | (0.3) | 0.7 | |||||||||
| Net increase (decrease) in cash and cash equivalents | 12.9 | (516.5) | |||||||||
| Cash and cash equivalents, beginning of period | 391.5 | 876.9 | |||||||||
| Cash and cash equivalents, end of period | $ | 404.4 | $ | 360.4 | |||||||
FAQ
How did Synaptics (SYNA) perform financially in Q3 fiscal 2026?
Synaptics reported Q3 fiscal 2026 revenue of $294.2 million, up 10% year-over-year. The company recorded a GAAP net loss of $8.0 million (‑$0.21 per share) but generated non-GAAP net income of $44.1 million, or $1.09 per diluted share.
What drove Synaptics’ revenue growth in Q3 fiscal 2026?
Growth was led by Synaptics’ Core IoT product sales, which increased 31% year-over-year. This strong performance in Core IoT contributed to overall Q3 fiscal 2026 revenue of $294.2 million, representing a 10% year-over-year increase for the company.
What guidance did Synaptics (SYNA) provide for Q4 fiscal 2026?
For Q4 fiscal 2026, Synaptics expects revenue of $305 million ± $10 million. The company also forecasts a non-GAAP gross margin of 53.5% ± 1.0% and non-GAAP earnings per share of $1.20 ± $0.15, based on its current outlook.
What is Synaptics’ outlook for Core IoT revenue in fiscal 2026?
Based on its fourth quarter outlook, Synaptics expects full-year fiscal 2026 Core IoT revenue to grow more than 40% year-over-year to over $385 million. Management highlighted accelerating activity and design wins in Physical AI and Edge AI markets supporting this growth.
How do Synaptics’ GAAP and non-GAAP results differ in Q3 2026?
In Q3 fiscal 2026, Synaptics reported a GAAP net loss of $8.0 million (‑$0.21 per share). After excluding items like acquisition and integration-related costs and share-based compensation, non-GAAP net income was $44.1 million, or $1.09 per diluted share.
What was Synaptics’ cash and debt position as of March 2026?
As of March 2026, Synaptics held $404.4 million in cash and cash equivalents and reported $836.7 million in long-term debt. Total assets were $2,522.4 million, and total stockholders’ equity stood at $1,358.7 million on the condensed consolidated balance sheet.