Analog Devices Inc. (ADI) has reported third-quarter fiscal 2024 adjusted earnings of $1.58 per share, which surpassed the Zacks Consensus Estimate by 5.3%. The bottom line declined 37% from the year-ago quarter.Revenues of $2.31 billion beat the Zacks Consensus Estimate of $2.27 billion. However, the top line fell 25% from the year-ago quarter.Softness in the industrial, communications and automotive end-markets led to the year-over-year decline in the top line.Revenues by End MarketsIndustrial: The market ...

Financial Data and Key Metrics - Q3 revenue was $2.31 billion, up 7% sequentially but down 25% year-over-year [16] - Operating margin was 41.2%, exceeding the high end of the outlook [17] - EPS was $1.58, near the high end of the outlook [17] - Gross margin improved to 67.9%, up 120 basis points sequentially [17] - Free cash flow for the trailing 12 months was $2.9 billion, representing 30% of revenue [18] Business Line Performance - Industrial segment represented 46% of revenue, up 6% sequentially but down 37% year-over-year [16] - Automotive segment represented 29% of revenue, flat sequentially but down 8% year-over-year [16] - Communications segment represented 12% of revenue, up 10% sequentially but down 26% year-over-year [16] - Consumer segment represented 14% of revenue, up 29% sequentially and increased year-over-year for the first time since 2022 [16] Market Performance - Industrial market showed signs of recovery, with strong growth expected in 2025 [14] - Aerospace and Defense remained resilient, with potential for double-digit revenue growth in 2025 [10] - Automation recovery was slow, but long-term growth potential remains strong [11] - Energy Transmission and Distribution saw modernization efforts, with potential to expand returns by over $10 billion [13] Strategic Direction and Industry Competition - The company is investing in high-performance analog solutions to leverage secular trends and drive long-term growth [15] - Industrial market recovery is expected to drive robust growth in 2025 [14] - The company is well-positioned to capitalize on opportunities in AI, robotics, and energy management [9][12][13] Management Commentary on Operating Environment and Future Outlook - Management believes Q2 marked the cyclical bottom, with improved customer inventory levels and order momentum [5] - Economic and geopolitical conditions are limiting a sharper recovery, but the company remains optimistic for 2025 [5][19] - Industrial customers are showing strong optimism for 2025, supporting the company's growth outlook [35] Other Important Information - Inventory decreased by $51 million sequentially, with days declining to 178 from 192 [18] - The company plans to return 100% of free cash flow to shareholders over the long term [18] - Q4 revenue is expected to be $2.4 billion, with EPS of $1.63 [19] Q&A Session Summary Question: Mixed environment and visibility [22] - Management is confident that Q2 was the cyclical bottom, with lean channel inventory and a healthy backlog [23] - Industrial market recovery is expected to continue, driven by strong design wins and customer inventory improvements [24] Question: Automotive vs. Industrial trajectory [25] - Automotive is experiencing a softer market, with inventory digestion expected to continue into Q4 [26] - The cycle depth in automotive is not expected to be as severe as in industrial [28] Question: Regional differences in automotive market [29] - The automotive market weakness is consistent across all regions, including China [30] Question: Sequential growth into Q1 [32] - Seasonal decline is expected in Q1, with a bounce back in Q2 [33] - Industrial market performance will be a key driver of growth [35] Question: Bookings and seasonal trends [36] - Bookings growth was seen in industrial, consumer, and communications, but automotive orders declined [38] - Seasonal trends are expected to return, with Q1 likely to show a decline [34] Question: Inventory and utilization rates [39] - Utilization rates and gross margins have bottomed, with improvements expected in Q3 and Q4 [40] - Internal utilization rates are improving, but remain below normal levels [43] Question: Segment guidance for Q4 [45] - Consumer is expected to grow by about 10%, industrial by high single digits, and automotive to decline by low single digits [46] Question: OpEx trends [47] - OpEx is expected to increase by around 5% sequentially in Q4, driven by merit increases [48][50] Question: Inventory digestion in automotive [51] - Automotive inventory digestion is ongoing, with production cuts impacting inventory levels [52] - The worst of inventory digestion is behind in industrial, consumer, and communications markets [53] Question: Industrial bookings visibility [54] - Industrial bookings visibility is consistent, with growth across most sub-elements except automation [55] Question: China market performance [56] - China bookings showed double-digit growth in industrial, auto, and communications, offset by a decrease in consumer [57] Question: Gross margin drivers [58] - Gross margin is impacted by favorable mix and stable pricing, with utilization improvements contributing to margin expansion [59][60]

Analog Devices (NASDAQ:ADI) just reported results for the third quarter of 2024.Analog Devices reported earnings per share of $1.58. This was above the analyst estimate for EPS of $1.50.The company reported revenue of $2.31 billion.This was 1.85% better than the analyst estimate for revenue of $2.27 billion.InvestorPlace Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. InvestorPlace Earnings distills key takeaways including earnings per share and ...

Key TakeawaysAnalog Devices beat third-quarter profit and sales estimates as it sees the slump in the chip sector ending.The company posted sequential gains in revenue from its Industrial, Consumer, and Communications units.CFO Richard Puccio said better customer inventory levels and gains in orders point to a recovery. Analog Devices (ADI) shares advanced in intraday trading Wednesday after the semiconductor maker posted better-than-expected results as it benefited from a rebound in the industry. The compa ...

Analog Devices (ADI) reported $2.31 billion in revenue for the quarter ended July 2024, representing a year-over-year decline of 24.8%. EPS of $1.58 for the same period compares to $2.49 a year ago.The reported revenue represents a surprise of +1.69% over the Zacks Consensus Estimate of $2.27 billion. With the consensus EPS estimate being $1.50, the EPS surprise was +5.33%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine t ...

Analog Devices (ADI) came out with quarterly earnings of $1.58 per share, beating the Zacks Consensus Estimate of $1.50 per share. This compares to earnings of $2.49 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 5.33%. A quarter ago, it was expected that this semiconductor maker would post earnings of $1.26 per share when it actually produced earnings of $1.40, delivering a surprise of 11.11%.Over the last four quarters, the ...

Financial Performance - Revenue for the three months ended August 3, 2024, was $2,312,209, a decrease of 25% compared to $3,076,495 for the same period in the prior year[61]. - Net income for the three months ended August 3, 2024, was $392,232, down 55% from $877,019 in the prior year[61]. - Diluted EPS for the three months ended August 3, 2024, was $0.79, a decrease of 55% from $1.74 in the same period last year[61]. - Revenue for the nine months ended August 3, 2024, was $6,983,952, a decrease of 27% compared to $9,589,055 for the same period in the prior year[62]. - Net income for the nine months ended August 3, 2024, was $1,157,201, down 59% from $2,816,149 in the prior year[62]. - Operating income decreased by $438.2 million (47%) in the three-month period and $1.7 billion (54%) in the nine-month period ended August 3, 2024, compared to the same periods in the prior fiscal year[79][80]. - Net income decreased by $484.8 million (55%) in the three-month period and $1.7 billion (59%) in the nine-month period ended August 3, 2024, compared to the same periods in the prior fiscal year[84][85]. Gross Margin and Expenses - Gross margin percentage decreased to 56.7% for the three months ended August 3, 2024, down from 63.8% in the prior year[73]. - Gross margin percentage for the nine months ended August 3, 2024, was 56.8%, down from 65.0% in the prior year[73]. - R&D expenses decreased by $61.1 million (14%) in the three-month period and $144.6 million (12%) in the nine-month period ended August 3, 2024, compared to the same periods in the prior fiscal year[74]. - SMG&A expenses decreased by $76.9 million (23%) in the three-month period and $193.2 million (20%) in the nine-month period ended August 3, 2024, compared to the same periods in the prior fiscal year[76]. - Amortization expenses decreased by $62.9 million (25%) in the three-month period and $189.9 million (25%) in the nine-month period ended August 3, 2024, compared to the same periods in the prior fiscal year[77]. - Nonoperating expenses increased by $13.7 million in the three-month period and $49.9 million in the nine-month period ended August 3, 2024, primarily due to higher foreign currency expenses[81]. - Special charges, net decreased by $11.3 million (48%) in the three-month period and $12.3 million (26%) in the nine-month period ended August 3, 2024, compared to the same periods in the prior fiscal year[78]. Liquidity and Capital Structure - The company reported total liquidity of $2.5 billion in cash, cash equivalents, and short-term investments as of August 3, 2024[86]. - Total debt outstanding as of August 3, 2024, was $8,164,520, with various notes maturing between 2024 and 2054[90]. - The company has $547.4 million of outstanding borrowings under its commercial paper program, with a maximum aggregate face amount of $2.5 billion[91]. - Capital expenditures for the first nine months of fiscal 2024 were $565.1 million, with expectations for total capital expenditures between $650 million and $750 million for the fiscal year[95]. - The company has authorized a stock repurchase program totaling $16.7 billion, with $1.7 billion remaining available for repurchase as of August 3, 2024[94]. Dividend and Shareholder Returns - A cash dividend of $0.92 per share was declared, totaling approximately $456.8 million, to be paid on September 17, 2024[95]. Accounts and Inventory - Accounts receivable decreased by $342,576, or 23%, to $1,127,158 as of August 3, 2024, compared to $1,469,734 at the end of fiscal 2023[89]. - Inventory decreased by $214,278, or 13%, to $1,427,936 as of August 3, 2024, from $1,642,214 previously[89]. Taxation - The effective income tax rate for the three-month period ended August 3, 2024, was 7.3%, and for the nine-month period, it was 8.2%, both below the U.S. statutory tax rate of 21%[82]. Demand and Revenue Sources - Revenue from the industrial segment for the three months ended August 3, 2024, was $1,058,704, a decline of 37% year-over-year[66]. - Revenue from distributors accounted for 58% of total revenue for the three months ended August 3, 2024, compared to 62% in the prior year[71]. - The company experienced a broad-based decline in demand for its products, contributing to the revenue decreases in both the three- and nine-month periods[68]. Cash Flow - Net cash provided by operating activities decreased to $2,801,712, representing 40% of revenue, down from $3,630,340 or 56% of revenue in the prior period[88]. Current Liabilities - Current liabilities increased to $3,226.6 million as of August 3, 2024, compared to $3,201.0 million at the end of fiscal 2023[88]. Debt Issuance - The company issued $550.0 million of senior unsecured notes due in 2034 and 2054, with fixed interest payments commencing in October 2024[96].

Exhibit 99.1 Analog Devices Reports Fiscal Third Quarter 2024 Financial Results • Revenue of $2.31 billion, above the midpoint of our outlook with sequential growth in Industrial, Consumer, and Communications • Operating cash flow of $4.0 billion and free cash flow of $2.9 billion on a trailing twelve-month basis • Returned $574 million to shareholders through dividends and repurchases in the third quarter WILMINGTON, Mass.--August 21, 2024--Analog Devices, Inc. (Nasdaq: ADI), a global semiconductor leader, ...

Revenue of $2.31 billion, above the midpoint of our outlook with sequential growth in Industrial, Consumer, and CommunicationsOperating cash flow of $4.0 billion and free cash flow of $2.9 billion on a trailing twelve-month basisReturned $574 million to shareholders through dividends and repurchases in the third quarterWILMINGTON, Mass., Aug. 21, 2024 /PRNewswire/ -- Analog Devices, Inc. (Nasdaq: ADI), a global semiconductor leader, today announced financial results for its fiscal third quarter 2024, which ...

Analog Devices, Inc. (ADI) is scheduled to report third-quarter fiscal 2024 results on Aug 21.ADI expects revenues of $2.27 billion (+/- $100 million). The Zacks Consensus Estimate is pegged at $2.27 billion, indicating a decline of 26.1% from the year-ago quarter’s figure.Analog Devices anticipates adjusted earnings per share of $1.50 (+/- $0.10). The consensus mark for earnings is pinned at $1.50 per share, indicating a 39.8% fall from the prior-year quarter’s figure. The estimate has remained unchanged o ...