Group 1 - Analysts project M/A-Com (MTSI) will announce quarterly earnings of $0.78 per share, a 34.5% increase year over year [1] - Revenues are expected to reach $215.07 million, reflecting a 36.9% increase from the same quarter last year [1] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating analysts' reassessment of their initial estimates [1][2] Group 2 - Revenue from the Telecommunications market is forecasted to reach $56.06 million, an increase of 83% from the prior-year quarter [4] - Revenue from the Industrial & Defense market is expected to be $97.61 million, indicating a 26.8% increase year over year [4] - Revenue from the Data Center market is projected at $61.40 million, reflecting a 24% year-over-year change [4] Group 3 - M/A-Com shares have shown a return of -2.1% over the past month, compared to the Zacks S&P 500 composite's +1.7% change [5] - M/A-Com holds a Zacks Rank 3 (Hold), suggesting it is expected to mirror overall market performance in the near future [5]

Industry Overview - Semiconductor chips are essential for telecommunication equipment, electronic goods, and IoT devices, with increasing demand driven by advancements in AI technologies [1] - The 2022 Chips Act allocates $39 billion in direct grants and $75 billion in loans to revitalize domestic semiconductor production, aiming to foster innovation and expansion in the industry [2][3] - The steady rollout of 5G and investments in rural fiber infrastructure are creating healthy demand trends for semiconductor chips, with 5G being a primary catalyst for next-generation IoT services [5][6] Technological Advancements - Continuous network tuning and optimization are necessary to maintain performance standards, leading to increased demand for advanced wireless products and services [7] - The shift towards converged network structures is enabling operators to combine voice, video, and data communications, driving the development of solutions that support this convergence [8] - The proliferation of cloud networking solutions is increasing the demand for quality networking equipment, further boosting chip demand [9] Focus on Novel Technologies - Adoption of cutting-edge technologies such as AI, machine learning, and advanced networking platforms is driving higher demand for semiconductor chips [10] - The need for faster data transfer rates due to changing data consumption patterns, particularly for video content, is expected to drive the adoption of higher-speed optical and photonic components [14] Company Highlights - **MACOM Technology Solutions Holdings, Inc. (MTSI)**: Offers power analog semiconductor solutions and has a Zacks Industry Rank of 82, with a stock gain of 40.9% over the past year and long-term earnings growth expectations of 21% [13][15] - **NVIDIA Corporation (NVDA)**: A leader in visual computing technologies, NVIDIA's GPUs are benefiting from the AI boom, with a stock gain of 161.4% over the past year and long-term earnings growth expectations of 20% [16][18] - **Semtech Corporation (SMTC)**: Manufactures analog and mixed-signal semiconductors, with a Zacks Rank of 2 and a stock gain of 190% over the past year, alongside long-term earnings growth expectations of 20% [19][21]

Group 1 - M/A-Com (MTSI) is currently outperforming the Computer and Technology sector, with a year-to-date performance of 42.5% compared to the sector's average return of 31.3% [4] - The Zacks Rank system indicates M/A-Com has a strong buy rating (1), with a consensus estimate for full-year earnings increasing by 7.2% over the past quarter, reflecting positive analyst sentiment [3] - M/A-Com belongs to the Semiconductor - Analog and Mixed industry, which has seen a decline of 8.3% year-to-date, further highlighting M/A-Com's superior performance within its industry [5] Group 2 - The Computer and Technology sector includes 618 companies and is currently ranked 2 in the Zacks Sector Rank, which evaluates 16 different sector groups [2] - Meta Platforms (META) is another strong performer in the Computer and Technology sector, with a year-to-date increase of 68.7% and a Zacks Rank of 2 (Buy) [4][5] - The Internet - Software industry, where Meta Platforms operates, has 145 stocks and has returned 32.4% since the beginning of the year, indicating a competitive environment within the sector [6]

Core Insights - MACOM Technology Solutions Holdings, Inc. reported fourth-quarter fiscal 2024 earnings of 73 cents per share, aligning with the Zacks Consensus Estimate and reflecting a year-over-year increase of 30.4% [1] - The company's revenues rose 33.5% year over year to $200.71 million, slightly missing the Zacks Consensus Estimate by 0.23% [2] - Following the earnings report, MACOM shares increased by over 14%, although they have declined 49.7% year to date, underperforming the Zacks Computer & Technology sector's return of 28.5% [2] Revenue Breakdown - Telecom Market: Generated revenues of $51.7 million, accounting for 25.8% of total revenues, marking a 69% year-over-year increase due to high demand for products supporting the 5G market [3] - Data Center Market: Revenues reached $56.2 million, representing 28% of total revenues, up 38.8% from the previous year, driven by strong demand from Internet service providers [4] - Industrial & Defense Market: Generated revenues of $92.8 million, making up 17.2% of total revenues, with an 8.8% year-over-year increase, reflecting high demand for products in electronic warfare and secure communications [5] Operating Performance - Non-GAAP gross margin for the fourth quarter was 58.1%, a contraction of 200 basis points from the previous year [6] - Non-GAAP operating expenses were $65.9 million, up 24.1% year over year, but as a percentage of revenues, this figure decreased by 240 basis points to 32.9% [6] - Non-GAAP operating margin improved to 25.2%, an expansion of 50 basis points from the prior year [6] Balance Sheet Highlights - As of September 27, 2024, cash equivalents and short-term investments totaled $581.9 million, an increase from $521.5 million as of June 28, 2024 [7] - Inventories rose to $194.5 million from $190.7 million in the previous quarter [7] - Long-term debt obligations were $448.3 million, slightly up from $447.9 million in the prior quarter [7] Future Guidance - For the first quarter of fiscal 2025, MACOM expects revenues between $212 million and $218 million, exceeding the Zacks Consensus Estimate of $203.3 million [9] - The anticipated non-GAAP gross margin is projected to be between 57% and 59% [9] - Adjusted earnings per share are expected to range from 75 to 81 cents, compared to the Zacks Consensus Estimate of 72 cents [9]

Call Start: 08:30 January 1, 0000 9:35 AM ET MACOM Technology Solutions Holdings, Inc. (NASDAQ:MTSI) Q4 2024 Earnings Conference Call November 07, 2024 08:30 AM ET Company Participants Steve Ferranti - Vice President, Corporate Development & Investor Relations Steve Daly - President & Chief Executive Officer Jack Kober - Chief Financial Officer Conference Call Participants David Williams - The benchmark company Harsh Kumar - Piper Sandler Tore Svanberg - Stifel Srini Pajjuri - Raymond James Karl Ackerman - ...

For the quarter ended June 2024, M/A-Com (MTSI) reported revenue of $190.49 million, up 28.3% over the same period last year. EPS came in at $0.66, compared to $0.54 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $190.16 million, representing a surprise of +0.17%. The company has not delivered EPS surprise, with the consensus EPS estimate being $0.66. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they co ...

Financial Data and Key Metrics Changes - Revenue for Q3 2024 was $190.5 million, representing a 5.1% sequential increase driven by growth in Data Center and Telecom end markets [22] - Adjusted EPS for Q3 was $0.66, up from $0.59 in Q2 2024 [24] - Adjusted gross profit was $109.5 million, or 57.5% of revenue, an increase of 40 basis points sequentially [22] - Free cash flow generated during the quarter exceeded $40 million, with cash and short-term investments totaling approximately $521 million at quarter-end [4][27] Business Line Data and Key Metrics Changes - Revenue performance by end market: Industrial and Defense (I&D) at $90.9 million, Telecom at $50.6 million, and Data Center at $49 million [6] - Data Center revenue increased by 13.6% sequentially, Telecom by 7.1%, while I&D remained flat [6] - The book-to-bill ratio was 1.1:1, indicating improved booking trends for the third consecutive quarter [5] Market Data and Key Metrics Changes - U.S. domestic customers accounted for approximately 46% of Q3 revenue, up from 44% in Q2 [22] - The Data Center market is experiencing significant growth opportunities due to the industry's shift to higher data rates and increased interconnect requirements [12][15] Company Strategy and Development Direction - The company aims to build a unique, best-in-class, and diversified semiconductor portfolio to capture a larger market share [21] - Focus areas include market positioning, advanced technology development, and differentiation from competitors [21] - The company is actively pursuing CHIPS Act funding for its wafer fabs in Massachusetts and North Carolina, as well as European funding for its semiconductor center in France [19][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth of the Data Center business, projecting low to mid-teens growth in Q4, with overall revenue guidance for Q4 between $197 million and $203 million [28] - The company anticipates continued strength in the I&D market and stable revenues in Telecom, with a focus on gaining market share in 5G applications [11][28] Other Important Information - The company completed a strategic update to its 5-year plan, emphasizing the importance of long-term planning in the semiconductor industry [21] - The company is seeing increased demand for its products in satellite communications, which is expected to drive future growth [12][44] Q&A Session Summary Question: Qualification process for active copper cables - The qualification process varies by customer and application, with some customers ramping up products while others are just starting to design with them [29] Question: Market share gains in 5G - The 5G RF power opportunity is significant, with potential to double RF power revenue over the next 3 to 5 years, particularly in macro base stations and massive MIMO platforms [30][31] Question: Growth opportunities in Telecom - The acquisition of Wolfspeed has allowed the company to gain scale and more opportunities in the Telecom space, with expectations for next-generation GaN processes to enhance competitiveness [34] Question: Data Center business mix between AI and non-AI - The company does not publicly segment revenue by application but is seeing increased interest in both traditional Ethernet and higher data rate products [38] Question: Book-to-bill ratio and market recovery - Data Center bookings were the strongest, followed by I&D, while Telecom remained weak, with some activity in the SatCom industry [40] Question: Satellite communications opportunities - The company is actively engaged with customers in the satellite space, looking to supply at various levels from chip to module [42][44] Question: Silicon photonics business outlook - The company has deemphasized silicon photonics in favor of focusing on high-value applications, primarily in defense [53] Question: Customer ordering patterns and demand trends - Demand varies by market, with some areas experiencing limited demand while others, particularly in defense, are busy with new programs [56]

M/A-Com (MTSI) came out with quarterly earnings of $0.66 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.54 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this chipmaker would post earnings of $0.58 per share when it actually produced earnings of $0.59, delivering a surprise of 1.72%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. M/A-Com, which belongs to the Zac ...

Have you looked into how M/A-Com (MTSI) performed internationally during the quarter ending March 2024? Considering the widespread global presence of this chipmaker, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.The global economy today is deeply interlinked, making a company's engagement with international markets a critical factor in determining its financial success and growth path. It has become essential for investors to comp ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 29, 2024 or Commission File Number: 001-35451 MACOM Technology Solutions Holdings, Inc. (Exact name of registrant as specified in its charter) Delaware 27-0306875 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 100 Chelmsford Street Lowell, ...