Core Insights - Cirrus Logic Inc. reported second-quarter fiscal 2026 adjusted earnings per share (EPS) of $2.83, exceeding the Zacks Consensus Estimate of $2.10 and up from $2.25 in the prior-year quarter [1][10] - The company generated revenues of $561 million for the September quarter, reaching the high end of its guidance ($510-$570 million), driven by strong demand in its core smartphone component business [2] Financial Performance - Revenues increased 38% sequentially and rose 4% year over year, primarily due to higher smartphone shipments and contributions from new products [2] - Non-GAAP gross margin improved to 52.5% from 52.2% in the prior-year quarter, attributed to a favorable product mix [7] - Non-GAAP operating income grew 6.9% year over year to $167 million, with the operating profit margin increasing to 29.8% from 28.8% [9] Segment Analysis - The High-Performance Mixed-Signal segment contributed 43% to total revenues, with revenues growing 7.8% year over year to $242.8 million [5] - The Audio segment's sales increased 0.5% to $318.2 million, contributing 57% to total revenues [6] Diversification and Market Position - Cirrus Logic is making progress in diversifying beyond smartphones, with breakthroughs in the PC market and growing customer engagement in emerging segments such as professional audio, industrial, automotive, and imaging [3][4] - The company's largest customer accounted for 90% of total revenues in the fiscal second quarter [4] Cash Flow and Shareholder Returns - The company exited the fiscal second quarter with cash and marketable securities of $645.9 million, up from $478.3 million a year earlier [11] - Cirrus Logic repurchased 362,000 shares worth $40 million during the reported quarter, with $414.1 million remaining under its share repurchase authorization [12] Outlook - For the third quarter of fiscal 2026, Cirrus Logic provided a revenue outlook between $500 million and $560 million, with expected GAAP gross margin in the range of 51-53% [13]