[Executive Summary](index=1&type=section&id=Executive%20Summary) [Second Quarter 2025 Financial Highlights](index=1&type=section&id=Second%20Quarter%20Financial%20Highlights) MaxLinear's Q2 2025 results surpassed guidance, achieving non-GAAP profit and positive free cash flow [GAAP Basis Highlights](index=1&type=section&id=GAAP%20basis) Q2 2025 GAAP Financial Highlights | Metric | Q2 2025 | Q1 2025 | Q2 2024 | Change (QoQ) | Change (YoY) | | :----------------------------------- | :------ | :------ | :------ | :----------- | :----------- | | Net Revenue ($ million) | $108.8M | $95.9M | $91.9M | +13% | +18% | | Gross Margin (%) | 56.5% | 56.1% | 54.6% | +0.4 pp | +1.9 pp | | Operating Expenses ($ million) | $86.1M (79% of revenue) | $99.9M (104% of revenue) | $91.0M (99% of revenue) | -13.8% | -5.4% | | Loss from Operations (% of revenue) | 23% of revenue | 48% of revenue | 44% of revenue | -25 pp | -21 pp | | Net Cash Flow from Operating Activities ($ million) | $10.5M (provided) | $(11.4M) (used) | $(2.7M) (used) | N/A | N/A | | Diluted Loss Per Share ($) | $(0.31) | $(0.58) | $(0.47) | N/A | N/A | [Non-GAAP Basis Highlights](index=1&type=section&id=Non-GAAP%20basis) Q2 2025 Non-GAAP Financial Highlights | Metric | Q2 2025 | Q1 2025 | Q2 2024 | Change (QoQ) | Change (YoY) | | :----------------------------------- | :------ | :------ | :------ | :----------- | :----------- | | Gross Margin (%) | 59.1% | 59.1% | 60.2% | 0 pp | -1.1 pp | | Operating Expenses ($ million) | $56.6M (52% of revenue) | $58.4M (61% of revenue) | $74.8M (81% of revenue) | -3.1% | -24.3% | | Income (Loss) from Operations (% of revenue) | 7% of revenue (income) | 2% of revenue (loss) | 21% of revenue (loss) | +9 pp | +28 pp | | Diluted Earnings (Loss) Per Share ($) | $0.02 (earnings) | $(0.05) (loss) | $(0.25) (loss) | N/A | N/A | [Management Commentary](index=1&type=section&id=Management%20Commentary) CEO highlighted strong Q2 2025, exceeding guidance, achieving non-GAAP profit and positive free cash flow - Exceeded the mid-point of revenue guidance, returned to **non-GAAP profitability**, and generated **positive free cash flow** in Q2 2025[5](index=5&type=chunk) - Achieved strong customer and product traction in high-speed interconnects for data centers, multi-gigabit PON access, Wi-Fi connectivity, ethernet, and wireless infrastructure[5](index=5&type=chunk) - Improved customer order rates and strengthening product backlog provide confidence for growth in **2025 and 2026**[5](index=5&type=chunk) [Business Outlook](index=1&type=section&id=Business%20Outlook) [Third Quarter 2025 Guidance](index=1&type=section&id=Third%20Quarter%202025%20Business%20Outlook) MaxLinear projects Q3 2025 net revenue of $115-135 million, with GAAP and non-GAAP estimates for margins and expenses Third Quarter 2025 Business Outlook | Metric | Range | | :--------------------------------- | :-------------------- | | Net Revenue ($ million) | $115 million to $135 million | | GAAP Gross Margin (%) | 55.0% to 58.0% | | Non-GAAP Gross Margin (%) | 57.5% to 60.5% | | GAAP Operating Expenses ($ million) | $84 million to $90 million | | Non-GAAP Operating Expenses ($ million) | $55 million to $61 million | | GAAP Interest & Other Expense ($ million) | $3.5 million to $4.5 million | | Non-GAAP Interest & Other Expense ($ million) | $3.5 million to $4.5 million | | GAAP Income Tax Benefit ($ million) | $0.6 million | | Non-GAAP Income Tax Provision ($ million) | $1.3 million | | Basic Share Count (million) | ~87.1 million | | Diluted Share Count (million) | ~87.5 million | [Corporate Information](index=2&type=section&id=Corporate%20Information) [Webcast and Conference Call Details](index=2&type=section&id=Webcast%20and%20Conference%20Call) MaxLinear held a Q2 results conference call on July 23, 2025; webcast and replay available until August 6, 2025 - Conference call held on **July 23, 2025**, at 1:30 p.m. Pacific Time (4:30 p.m. Eastern Time)[8](index=8&type=chunk) - Live webcast and archived replay available on the investor relations section of MaxLinear's website until **August 6, 2025**[8](index=8&type=chunk) [About MaxLinear, Inc.](index=4&type=section&id=About%20MaxLinear%2C%20Inc.) MaxLinear, Inc. provides RF, analog, digital, and mixed-signal ICs, headquartered in Carlsbad, California - MaxLinear, Inc. (Nasdaq: MXL) is a leading provider of **radio frequency (RF), analog, digital and mixed-signal integrated circuits**[22](index=22&type=chunk) - Products are used for access and connectivity, wired and wireless infrastructure, and industrial and multi-market applications[22](index=22&type=chunk) - Headquartered in **Carlsbad, California**[22](index=22&type=chunk) [Investor Relations Contact](index=5&type=section&id=MaxLinear%2C%20Inc.%20Investor%20Relations%20Contact) Leslie Green is the investor relations contact for MaxLinear, Inc - Investor Relations Contact: **Leslie Green**, lgreen@maxlinear.com[24](index=24&type=chunk) [Legal and Financial Disclosures](index=3&type=section&id=Legal%20and%20Financial%20Disclosures) [Cautionary Note Concerning Forward-Looking Statements](index=3&type=section&id=Cautionary%20Note%20Concerning%20Forward-Looking%20Statements) Forward-looking statements are subject to risks and uncertainties, potentially causing actual results to differ materially; MaxLinear disclaims update duty - Forward-looking statements include future financial performance, growth, profitability, cash flows, market share expansion, and market trends[10](index=10&type=chunk) - Statements are subject to known and unknown risks, uncertainties, and other factors that may cause actual results to be materially different[10](index=10&type=chunk) - MaxLinear is under no obligation to update or revise any forward-looking statements[11](index=11&type=chunk) [Use of Non-GAAP Financial Measures](index=3&type=section&id=Use%20of%20Non-GAAP%20Financial%20Measures) MaxLinear uses non-GAAP measures to supplement GAAP results, excluding non-cash and one-time expenses for core performance, despite limitations - Non-GAAP measures are used to supplement GAAP financial statements, excluding specific non-cash and one-time expenses[12](index=12&type=chunk)[14](index=14&type=chunk) - Management uses non-GAAP measures for performance comparison against forecasts, strategic plans, and competitors, and for incentive compensation[14](index=14&type=chunk) - Non-GAAP measures are not standardized, may not be comparable to other companies, and should not be considered in isolation from GAAP results[13](index=13&type=chunk) [Explanation of Non-GAAP Adjustments](index=4&type=section&id=The%20following%20are%20explanations%20of%20each%20type%20of%20adjustment%20that%20we%20incorporate%20into%20non-GAAP%20financial%20measures) - Adjustments include stock-based compensation expense, performance-based equity accruals, amortization of purchased intangible assets, acquisition and integration costs (including Silicon Motion merger termination costs), research and development funded by others, restructuring charges, other non-recurring interest and other expenses, and non-cash income tax benefits/expenses[15](index=15&type=chunk)[16](index=16&type=chunk)[17](index=17&type=chunk)[18](index=18&type=chunk)[19](index=19&type=chunk)[20](index=20&type=chunk) [Unaudited GAAP Consolidated Financial Statements](index=6&type=section&id=Unaudited%20GAAP%20Consolidated%20Financial%20Statements) [Statements of Operations](index=6&type=section&id=UNAUDITED%20GAAP%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) GAAP Statements of Operations present financial performance, detailing net revenue, gross profit, operating expenses, and net loss for Q2 and YTD June 30, 2025 [Three Months Ended June 30, 2025](index=6&type=section&id=Three%20Months%20Ended%20June%2030%2C%202025%20-%20Operations) GAAP Consolidated Statements of Operations (Three Months Ended, $ thousands) | Metric | June 30, 2025 | March 31, 2025 | June 30, 2024 | | :-------------------------- | :------------ | :------------- | :------------ | | Net revenue | $108,813 | $95,933 | $91,990 | | Cost of net revenue | $47,288 | $42,102 | $41,804 | | Gross profit | $61,525 | $53,831 | $50,186 | | Total operating expenses | $86,140 | $99,925 | $91,006 | | Loss from operations | $(24,615) | $(46,094) | $(40,820) | | Net loss | $(26,586) | $(49,713) | $(39,266) | | Diluted loss per share | $(0.31) | $(0.58) | $(0.47) | [Six Months Ended June 30, 2025](index=7&type=section&id=Six%20Months%20Ended%20June%2030%2C%202025%20-%20Operations) GAAP Consolidated Statements of Operations (Six Months Ended, $ thousands) | Metric | June 30, 2025 | June 30, 2024 | | :-------------------------- | :------------ | :------------ | | Net revenue | $204,746 | $187,259 | | Cost of net revenue | $89,390 | $87,805 | | Gross profit | $115,356 | $99,454 | | Total operating expenses | $186,065 | $214,890 | | Loss from operations | $(70,709) | $(115,436) | | Net loss | $(76,299) | $(111,575) | | Diluted loss per share | $(0.89) | $(1.35) | [Statements of Cash Flows](index=8&type=section&id=UNAUDITED%20GAAP%20CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) GAAP Statements of Cash Flows detail cash from operating, investing, and financing activities for Q2 and YTD June 30, 2025 [Three Months Ended June 30, 2025](index=8&type=section&id=Three%20Months%20Ended%20June%2030%2C%202025%20-%20Cash%20Flows) GAAP Consolidated Statements of Cash Flows (Three Months Ended, $ thousands) | Activity | June 30, 2025 | March 31, 2025 | June 30, 2024 | | :--------------------------------------- | :------------ | :------------- | :------------ | | Net cash provided by (used in) operating activities | $10,489 | $(11,400) | $(2,696) | | Net cash used in investing activities | $(7,379) | $(1,989) | $(5,788) | | Net cash provided by (used in) financing activities | $2,079 | $(2,140) | $2,026 | | Increase (decrease) in cash, cash equivalents and restricted cash | $6,188 | $(15,538) | $(6,793) | | Cash, cash equivalents and restricted cash at end of period | $110,253 | $104,065 | $186,137 | [Six Months Ended June 30, 2025](index=9&type=section&id=Six%20Months%20Ended%20June%2030%2C%202025%20-%20Cash%20Flows) GAAP Consolidated Statements of Cash Flows (Six Months Ended, $ thousands) | Activity | June 30, 2025 | June 30, 2024 | | :--------------------------------------- | :------------ | :------------ | | Net cash provided by (used in) operating activities | $(911) | $13,274 | | Net cash used in investing activities | $(9,368) | $(14,498) | | Net cash used in financing activities | $(61) | $(77) | | Decrease in cash, cash equivalents and restricted cash | $(9,350) | $(2,219) | | Cash, cash equivalents and restricted cash at end of period | $110,253 | $186,137 | [Condensed Consolidated Balance Sheets](index=10&type=section&id=UNAUDITED%20GAAP%20CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) GAAP Condensed Balance Sheets detail MaxLinear's financial position, including assets, liabilities, and stockholders' equity as of June 30, 2025 GAAP Condensed Consolidated Balance Sheets ($ thousands) | Metric | June 30, 2025 | March 31, 2025 | June 30, 2024 | | :-------------------------------- | :------------ | :------------- | :------------ | | Total current assets | $330,149 | $320,406 | $397,581 | | Total assets | $863,737 | $855,281 | $973,197 | | Current liabilities | $213,492 | $196,893 | $190,277 | | Total liabilities and stockholders' equity | $863,737 | $855,281 | $973,197 | | Stockholders' equity | $488,331 | $493,175 | $617,255 | [Unaudited Reconciliation of Non-GAAP Financial Measures](index=11&type=section&id=Unaudited%20Reconciliation%20of%20Non-GAAP%20Financial%20Measures) [Reconciliation of Non-GAAP Adjustments (Absolute Values)](index=11&type=section&id=UNAUDITED%20RECONCILIATION%20OF%20NON-GAAP%20ADJUSTMENTS) This section reconciles GAAP to non-GAAP financial measures in absolute dollar amounts, detailing adjustments for gross profit, operating expenses, and net income/loss [Three Months Ended June 30, 2025](index=11&type=section&id=Three%20Months%20Ended%20June%2030%2C%202025%20-%20Non-GAAP%20Reconciliation) Non-GAAP Reconciliation (Three Months Ended, $ thousands) | Metric | June 30, 2025 | March 31, 2025 | June 30, 2024 | | :--------------------------------------- | :------------ | :------------- | :------------ | | GAAP gross profit | $61,525 | $53,831 | $50,186 | | Non-GAAP gross profit | $64,336 | $56,732 | $55,411 | | GAAP R&D expenses | $47,199 | $55,457 | $56,541 | | Non-GAAP R&D expenses | $35,429 | $35,622 | $48,242 | | GAAP SG&A expenses | $33,361 | $36,589 | $33,600 | | Non-GAAP SG&A expenses | $21,126 | $22,763 | $26,531 | | GAAP loss from operations | $(24,615) | $(46,094) | $(40,820) | | Non-GAAP income (loss) from operations | $7,781 | $(1,653) | $(19,362) | | GAAP net loss | $(26,586) | $(49,713) | $(39,266) | | Non-GAAP net income (loss) | $1,756 | $(4,371) | $(20,948) | | Non-GAAP diluted net income (loss) per share | $0.02 | $(0.05) | $(0.25) | [Six Months Ended June 30, 2025](index=12&type=section&id=Six%20Months%20Ended%20June%2030%2C%202025%20-%20Non-GAAP%20Reconciliation) Non-GAAP Reconciliation (Six Months Ended, $ thousands) | Metric | June 30, 2025 | June 30, 2024 | | :--------------------------------------- | :------------ | :------------ | | GAAP gross profit | $115,356 | $99,454 | | Non-GAAP gross profit | $121,068 | $113,153 | | GAAP R&D expenses | $102,656 | $121,307 | | Non-GAAP R&D expenses | $71,051 | $96,638 | | GAAP SG&A expenses | $69,950 | $70,088 | | Non-GAAP SG&A expenses | $43,889 | $52,898 | | GAAP loss from operations | $(70,709) | $(115,436) | | Non-GAAP income (loss) from operations | $6,128 | $(36,383) | | GAAP net loss | $(76,299) | $(111,575) | | Non-GAAP net loss | $(2,615) | $(38,351) | | Non-GAAP diluted net loss per share | $(0.03) | $(0.46) | [Reconciliation of Non-GAAP Financial Measures as a Percentage of Net Revenue](index=13&type=section&id=UNAUDITED%20RECONCILIATION%20OF%20GAAP%20TO%20NON-GAAP%20FINANCIAL%20MEASURES%20AS%20A%20PERCENTAGE%20OF%20NET%20REVENUE) This section reconciles GAAP to non-GAAP financial measures as a percentage of net revenue, providing a normalized view of performance for gross margin, operating expenses, and net income/loss [Three Months Ended June 30, 2025](index=13&type=section&id=Three%20Months%20Ended%20June%2030%2C%202025%20-%20Non-GAAP%20%25%20Revenue) Non-GAAP Reconciliation as % of Net Revenue (Three Months Ended, %) | Metric | June 30, 2025 | March 31, 2025 | June 30, 2024 | | :--------------------------------------- | :------------ | :------------- | :------------ | | GAAP gross margin | 56.5 % | 56.1 % | 54.6 % | | Non-GAAP gross margin | 59.1 % | 59.1 % | 60.2 % | | GAAP R&D expenses | 43.4 % | 57.8 % | 61.5 % | | Non-GAAP R&D expenses | 32.6 % | 37.1 % | 52.4 % | | GAAP SG&A expenses | 30.7 % | 38.1 % | 36.5 % | | Non-GAAP SG&A expenses | 19.4 % | 23.7 % | 28.8 % | | GAAP loss from operations | (22.6)% | (48.1)% | (44.4)% | | Non-GAAP income (loss) from operations | 7.2 % | (1.7)% | (21.1)% | | GAAP net loss | (24.4)% | (51.8)% | (42.7)% | | Non-GAAP net income (loss) | 1.6 % | (4.6)% | (22.8)% | [Six Months Ended June 30, 2025](index=14&type=section&id=Six%20Months%20Ended%20June%2030%2C%202025%20-%20Non-GAAP%20%25%20Revenue) Non-GAAP Reconciliation as % of Net Revenue (Six Months Ended, %) | Metric | June 30, 2025 | June 30, 2024 | | :--------------------------------------- | :------------ | :------------ | | GAAP gross margin | 56.3 % | 53.1 % | | Non-GAAP gross margin | 59.1 % | 60.4 % | | GAAP R&D expenses | 50.1 % | 64.8 % | | Non-GAAP R&D expenses | 34.7 % | 51.6 % | | GAAP SG&A expenses | 34.2 % | 37.4 % | | Non-GAAP SG&A expenses | 21.4 % | 28.3 % | | GAAP loss from operations | (34.5)% | (61.7)% | | Non-GAAP income (loss) from operations | 3.0 % | (19.4)% | | GAAP net loss | (37.3)% | (59.6)% | | Non-GAAP net loss | (1.3)% | (20.5)% |

Core Viewpoint - Kaskela Law LLC is investigating MaxLinear, Inc. on behalf of the company's long-term investors due to potential violations of securities laws or breaches of fiduciary duties by the company's officers and directors [1][2]. Company Performance - Year to date, shares of MaxLinear's stock have decreased by 25%, currently trading at approximately $15.00 per share [2]. Legal Investigation - The investigation aims to determine if there were any legal violations related to recent corporate actions taken by MaxLinear [2]. - Shareholders of MaxLinear are encouraged to contact Kaskela Law LLC for more information regarding their legal rights and options [3]. Contact Information - Kaskela Law LLC provides contact details for shareholders seeking further information, including phone numbers and a website link [3][4].

Group 1 - The company "Chip Superman" has a 1,600 square meter intelligent warehouse for chips, with over 1,000 stock models and around 100 brands, totaling 50 million chips with a stock value exceeding 100 million [1] - The company operates an independent laboratory in Shenzhen, ensuring quality control (QC) for each material [1] - The company has served a total of 19,200 users and can complete transactions in as fast as half a day [4] Group 2 - The company is actively seeking to purchase specific chip models, including TI's INA139NA/3K (50K units) and ON's NCP1096PAG (9K units) among others [2] - The company is also offering discounted sales on surplus materials, including TI's UCC28083DR (15K units) and NXP's PESD5V0S1BSF,315 (540K units) [3] - The company provides a platform for users to find unsold inventory and better pricing options through its mini-program and website [5][6]

Financial Performance (Q1'25) - Revenue was $95.9 million[5, 7, 8], a slight increase compared to $92.2 million in Q4'24 but similar to $95.3 million in Q1'24[7, 8] - GAAP gross margin was 56.1%[5, 7], while non-GAAP gross margin was 59.1%[5, 8] - GAAP operating margin was (48)%[5], and non-GAAP operating margin was (2)%[5] - GAAP diluted loss per share was $(0.58)[5, 7], and non-GAAP diluted loss per share was $(0.05)[5, 8] - Cash used in operations was $11.4 million[5] Balance Sheet (Q1'25) - Cash and cash equivalents and restricted cash totaled $102.8 million[9], a decrease from $119.6 million in Q4'24 and $192.9 million in Q1'24[9] - Total assets were $855.3 million[9], down from $864.6 million in Q4'24 and $1.0306 billion in Q1'24[9] - Total liabilities amounted to $362.1 million[9], compared to $348.4 million in Q4'24 and $392.6 million in Q1'24[9] Q2'25 Guidance - Revenue is expected to be between $95 million and $115 million[10] - GAAP gross margin is projected to be 54.5% to 57.5%[10], while non-GAAP gross margin is expected to be 57.5% to 60.5%[10] - GAAP operating expenses are estimated to be $92 million to $98 million[10], and non-GAAP operating expenses are projected to be $55 million to $61 million[10]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $95.9 million, up from $92.2 million in the previous quarter [22] - Non-GAAP gross margin for Q1 was 59.1%, while GAAP gross margin was approximately 56.1% [22] - GAAP operating expenses were $99.9 million, and non-GAAP operating expenses were $58.4 million [23] - Cash flow used in operating activities was approximately $11.4 million, with $104 million in cash, cash equivalents, and restricted cash at the end of Q1 [24] Business Line Data and Key Metrics Changes - Infrastructure revenue for Q1 was approximately $27 million, broadband revenue was approximately $41 million, connectivity revenue was $20 million, and industrial multi-market revenue was $8 million [22] - The company expects all end markets to be up in Q2 2025, including infrastructure, broadband, connectivity, and industrial multi-market [28] Market Data and Key Metrics Changes - The demand for IP data is driving significant growth in high-speed interconnects in data centers and telecom networks [12] - The broadband and connectivity markets are showing signs of recovery, with expectations for continued growth throughout the year [17] Company Strategy and Development Direction - The company is focused on high-speed interconnects, broadband connectivity, and storage accelerators as key growth areas [20] - Investments in strategic applications such as optical high-speed interconnects and wireless infrastructure are expected to drive new business opportunities [30] - The company aims to return to profitability and generate positive cash flow in Q2 2025 [11][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of customer orders and new product traction, indicating a positive outlook for growth in 2025 and beyond [30] - The company is closely monitoring the tariff situation and its potential impact on demand [26][27] - Management noted that the broadband market is inelastic, suggesting that demand will remain stable despite tariff uncertainties [90] Other Important Information - The company is experiencing strong bookings and demand recovery, particularly in the broadband business [43] - The company showcased multiple design wins and product demonstrations at industry conferences, indicating strong customer interest [12][56] Q&A Session Summary Question: What are the risks in the supply chain due to tariffs? - Management indicated that there is minimal direct impact from tariffs on semiconductors, and the supply chain remains stable [36][42] Question: Can you rank the segments based on bookings and inventory? - Management noted strong bookings across all segments, with a particular focus on broadband and telecom markets recovering from previous inventory depletion [48][50] Question: What is the outlook for design wins in the DSP side for Keystone? - Management expects significant revenue growth from Keystone, projecting a doubling of last year's revenue [58][60] Question: How do you see the growth in broadband and connectivity? - Management ranked infrastructure as the most exciting growth area, followed by broadband, with expectations for strong recovery and new product cycles [68][70] Question: What is the expected ramp for the Tier 1 North American carrier? - Management anticipates a ramp in shipments towards the end of the year, with significant growth expected next year [64][66] Question: How are you approaching guidance amid tariff uncertainties? - Management stated that guidance was based on current tariff expectations, with a focus on maintaining growth despite uncertainties [91][94]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $95.9 million, up from $92.2 million in the previous quarter [14] - Non-GAAP gross margin was 59.1%, while GAAP gross margin was approximately 56% [14] - GAAP operating expenses were $99.9 million, and non-GAAP operating expenses were $58.4 million [14] - Cash flow used in operating activities was approximately $11.4 million, with $104 million in cash, cash equivalents, and restricted cash at the end of Q1 [15] Business Line Data and Key Metrics Changes - Infrastructure revenue for Q1 was approximately $27 million [14] - Broadband revenue was approximately $41 million [14] - Connectivity revenue was $20 million, and industrial multimarket revenue was $8 million [14] Market Data and Key Metrics Changes - The demand for high-speed data is driving growth in infrastructure, particularly in data centers and telecom networks [8] - The broadband and connectivity markets are showing signs of recovery, with expectations for growth in fiber revenues in 2026 [12] Company Strategy and Development Direction - The company is focused on high-speed interconnects, wireless infrastructure, and storage accelerators as key growth areas [12] - Investments in strategic applications are expected to drive growth and return to profitability [12] - The company anticipates significant revenue growth from new product launches in 2025 and 2026 [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued growth due to strong customer order rates and backlog [8] - The geopolitical dynamics and tariff situation are being monitored closely, but the company does not expect significant direct impacts on its supply chain [16][21] - Management expects Q2 2025 revenue to be between $95 million and $115 million, with all end markets anticipated to grow [17] Other Important Information - The company is seeing strong bookings and demand recovery across its product lines, particularly in broadband and connectivity [12][26] - The company showcased multiple design wins and product demonstrations at industry conferences, indicating strong market interest [9][10] Q&A Session Summary Question: What are the risks in the supply chain? - Management indicated that there is minimal direct impact from tariffs on semiconductors, and the supply chain remains stable [21][25] Question: How do you rank order the segments for the next quarter? - Management noted a broad-based strengthening of demand, with some weakness in industrial markets in China [30] Question: Can you provide insights on design win progress for Keystone? - Management expressed optimism about design wins and expects significant revenue growth from Keystone products in the coming year [36][37] Question: What is the outlook for the North American Tier one operator? - Management is excited about the new Tier one operator and anticipates significant growth in broadband PON revenue [40][41] Question: Is there any macro impact on the order book? - Management reported no signs of macro impact yet and emphasized ongoing improvements in bookings [66][70] Question: What is the confidence level for wireless infrastructure ramp-up? - Management expects strong growth in wireless infrastructure, particularly from new product launches and increased demand for millimeter wave products [78][82]

Revenue Performance - Net revenue for the three months ended March 31, 2025, was $95.9 million, a slight increase of 1% compared to $95.3 million in the same period of 2024[159]. - Products shipped to Asia accounted for 78% of net revenue in Q1 2025, up from 59% in Q1 2024, with 49% from Hong Kong and 11% from Vietnam[160]. - Two customers contributed to 28% of net revenue in Q1 2025, while the top ten customers accounted for 66% of total revenue[161]. - Net revenue increased by $0.7 million to $95.9 million for the three months ended March 31, 2025, compared to $95.3 million for the same period in 2024, driven by a recovery in broadband and connectivity markets[183]. - Broadband net revenue rose by $7.8 million, while connectivity net revenue increased by $10.5 million; however, infrastructure revenues decreased by $6.0 million and industrial revenues fell by $11.6 million[183]. Profitability and Expenses - Gross profit margin improved to 56% in Q1 2025 from 52% in Q1 2024, while total operating expenses decreased to 104% of net revenue from 130%[182]. - Gross profit increased by $4.6 million to $53.8 million, with a gross profit margin improving to 56% from 52% year-over-year[184]. - Research and development expenses decreased by $9.3 million to $55.5 million, representing 58% of net revenue, down from 68% in the previous year[185]. - Selling, general and administrative expenses remained flat at $36.5 million, accounting for 38% of net revenue[187]. - Restructuring charges decreased significantly by $14.8 million to $7.9 million, representing 8% of net revenue[189]. Restructuring and Costs - The company incurred $7.9 million in restructuring costs in Q1 2025, including $6.3 million related to CAD tool licenses and $1.6 million in severance[166]. - The company expects an additional $4.0 million to $6.0 million in restructuring costs to be incurred in Q2 2025[167]. Cash Flow and Financial Position - As of March 31, 2025, the company had cash and cash equivalents of $102.8 million and net accounts receivable of $98.9 million[198]. - The company reported a net cash used in operating activities of $11.4 million for the three months ended March 31, 2025, a decline from net cash provided of $16.0 million in the same period of 2024[210][211]. - Working capital decreased to $123.5 million as of March 31, 2025, down from $141.2 million at December 31, 2024[209]. - Total cash, cash equivalents, and restricted cash decreased to $104.1 million as of March 31, 2025, compared to $119.6 million at December 31, 2024[209]. - The company’s long-term debt obligations total $125.0 million, with no amounts drawn from the $100.0 million revolving credit facility as of March 31, 2025[209]. - Cash used in investing activities was $2.0 million for the three months ended March 31, 2025, a decrease from $8.7 million in the same period of 2024[210][212]. - The company’s net cash used in financing activities was $2.1 million for the three months ended March 31, 2025, showing minimal change from $2.1 million in the prior year[210][213]. Tax and Interest - The income tax provision for Q1 2025 was $0.7 million, compared to an income tax benefit of $1.8 million in Q1 2024[193]. - Interest and other income (expense), net changed from income of $0.5 million in Q1 2024 to an expense of $2.9 million in Q1 2025, a decrease of $3.5 million[192]. Market and Product Development - The company continues to innovate with new products in advanced semiconductor process nodes such as 16nm and 5nm[159]. - Broadband revenue increased by 24% to $40.9 million in Q1 2025, representing 43% of total net revenue[182]. - Connectivity revenue surged by 108% to $20.2 million, accounting for 21% of net revenue in Q1 2025[182]. - Industrial and multi-market revenue decreased by 59% to $8.3 million, representing 9% of net revenue[182]. Other Financial Considerations - A hypothetical change of 100 basis points in foreign currency exchange rates would result in a translation gain change of approximately $1.1 million[216]. - The company is subject to variable interest rates on its credit agreements, with potential impacts from high interest rates being monitored[217]. - The company terminated the Merger Agreement with Silicon Motion on July 26, 2023, relieving it of obligations to close[199]. - The company’s planned capital expenditures as of March 31, 2025, were not material[209].

Financial Performance - Q1 2025 net revenue was $95.9 million, representing a 4% sequential increase and a 1% year-over-year increase[4]. - GAAP gross margin for Q1 2025 was 56.1%, up from 55.6% in the prior quarter and 51.7% in the year-ago quarter[5]. - Non-GAAP operating expenses decreased to $58.4 million, or 61% of net revenue, compared to $61.3 million, or 67% of net revenue in the prior quarter[5]. - GAAP loss from operations was 48% of net revenue, an improvement from 45% in the prior quarter and 78% in the year-ago quarter[5]. - The company expects Q2 2025 net revenue to be approximately $95 million to $115 million[6]. - GAAP gross margin guidance for Q2 2025 is projected to be between 54.5% and 57.5%[8]. - Non-GAAP gross margin guidance for Q2 2025 is projected to be between 57.5% and 60.5%[8]. - The company anticipates achieving positive cash flow in Q2 2025[3]. - Net revenue for the three months ended March 31, 2025, was $95,933 million, a 0.7% increase from $95,269 million in the same period last year[24]. - Gross profit increased to $53,831 million, up from $49,268 million year-over-year, reflecting a gross margin improvement[24]. - The net loss for the quarter was $49,713 million, an improvement from a net loss of $72,309 million in the same period last year[24]. - Non-GAAP net loss for the quarter was $4,371 million, compared to $17,403 million in the same quarter last year, showing significant improvement[30]. - Basic net loss per share improved to $(0.58) from $(0.88) year-over-year, reflecting better operational performance[24]. Cash Flow and Expenses - Cash and cash equivalents at the end of the period were $102,773 million, down from $191,882 million a year ago[28]. - Accounts receivable increased to $98,925 million from $126,230 million year-over-year, indicating improved collection efforts[28]. - The company reported a net cash used in operating activities of $11,400 million, an improvement from $27,838 million in the previous quarter[26]. - Total operating expenses rose to $99,925 million, compared to $123,884 million in the same quarter last year, primarily due to reduced restructuring charges[24]. - Research and development expenses were $55,457 million, a decrease from $64,766 million in the same quarter last year, indicating cost management efforts[30]. Operational Efficiency - GAAP gross margin increased to 56.1% in Q1 2025 from 51.7% in Q1 2024[31]. - Non-GAAP gross margin decreased slightly to 59.1% in Q1 2025 from 60.6% in Q1 2024[31]. - GAAP R&D expenses decreased to 57.8% in Q1 2025 from 68.0% in Q1 2024[31]. - Non-GAAP R&D expenses decreased to 37.1% in Q1 2025 from 50.8% in Q1 2024[31]. - GAAP SG&A expenses increased to 38.1% in Q1 2025 from 38.3% in Q1 2024[31]. - Non-GAAP SG&A expenses improved slightly to 23.7% in Q1 2025 from 27.7% in Q1 2024[31]. - GAAP net loss improved to (51.8)% in Q1 2025 from (75.9)% in Q1 2024[31]. - Non-GAAP net loss improved to (4.6)% in Q1 2025 from (18.3)% in Q1 2024[31]. - Total non-GAAP adjustments before income taxes increased to 46.5% in Q1 2025 from 60.5% in Q1 2024[31]. - GAAP loss from operations improved to (48.1)% in Q1 2025 from (78.3)% in Q1 2024[31]. Strategic Focus - Management highlighted strong product traction and revenue growth potential with Tier-1 customers in high-value categories[3]. - The company is focused on market share expansion and ongoing industry recovery to drive growth in 2025 and beyond[3].

MaxLinear Q4'24 Earnings January 29, 2025 Cautionary Note Concerning Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Unless otherwise indicated, all forward looking statements are based on estimates, projections, and assumptions of MaxLinear as of the date of this presentation. These forward- looking statements include, among others ...

Financial Performance - MaxLinear reported a quarterly loss of $0.09 per share, better than the Zacks Consensus Estimate of a loss of $0.13, and compared to earnings of $0.01 per share a year ago, indicating an earnings surprise of 30.77% [1] - The company posted revenues of $92.17 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 2.40%, but down from year-ago revenues of $125.35 million [2] - Over the last four quarters, MaxLinear has surpassed consensus EPS estimates just once and topped consensus revenue estimates three times [2] Stock Performance and Outlook - MaxLinear shares have increased by approximately 3.5% since the beginning of the year, compared to the S&P 500's gain of 3.2% [3] - The company's earnings outlook is mixed, with the current consensus EPS estimate for the coming quarter at -$0.05 on revenues of $93.29 million, and $0.42 on revenues of $450.88 million for the current fiscal year [7] Industry Context - The Semiconductor - Analog and Mixed industry, to which MaxLinear belongs, is currently ranked in the bottom 7% of over 250 Zacks industries, indicating potential challenges ahead [8] - The performance of MaxLinear's stock may be influenced by the overall outlook for the industry, as research shows that the top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8]