Cirrus Logic Reports Record Fiscal Second Quarter Revenue of $561.0 Million

11/4/25 4:01:00 PM ET

Semiconductors

Technology

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Cirrus Logic, Inc. (NASDAQ:CRUS) posted on its website at investor.cirrus.com the quarterly Shareholder Letter that contains the complete financial results for the second quarter of fiscal year 2026, which ended September 27, 2025, as well as the company's current business outlook.

"Cirrus Logic delivered record revenue for the September quarter driven by demand for components shipping into smartphones," said John Forsyth, Cirrus Logic president and chief executive officer. "During the quarter, we also made great progress in our strategy to expand into additional applications and markets. We were pleased with our continued momentum in the PC market as we secured our first mainstream consumer laptop design, expanded our collaboration with leading PC platform vendors, and further developed new products with enhanced audio and voice capture capabilities. Additionally, we saw increased customer interest across our latest general market products that target the professional audio, industrial, automotive, and imaging end markets. With a compelling portfolio of products today and an exciting roadmap for the future, we remain focused on leveraging our mixed-signal processing expertise to expand our addressable market and drive long-term shareholder value."

Reported Financial Results – Second Quarter FY26

Revenue of $561.0 million;
GAAP and non-GAAP gross margin of 52.5 percent;
GAAP operating expenses of $149.6 million and non-GAAP operating expenses of $127.7 million; and
GAAP earnings per share of $2.48 and non-GAAP earnings per share of $2.83.

A reconciliation of GAAP to non-GAAP financial information is included in the tables accompanying this press release.

Business Outlook – Third Quarter FY26

Revenue is expected to range between $500 million and $560 million;
GAAP gross margin is forecasted to be between 51 percent and 53 percent; and
Combined GAAP R&D and SG&A expenses are anticipated to range between $151 million and $157 million, including approximately $21 million in stock-based compensation expense and $2 million in amortization of acquired intangibles, resulting in a non-GAAP operating expense range between $128 million and $134 million.

Cirrus Logic will host a live Q&A session at 5 p.m. ET today to discuss its financial results and business outlook. Participants may listen to the conference call on the investor relations website at investor.cirrus.com. A replay of the webcast can be accessed on the Cirrus Logic website approximately two hours following its completion or by calling (609) 800-9909 or toll-free at (800) 770-2030 (Access Code: 95424).

About Cirrus Logic, Inc.

Cirrus Logic is a leader in low-power, high-precision mixed-signal processing solutions that create innovative user experiences for the world's top mobile and consumer applications. With headquarters in Austin, Texas, Cirrus Logic is recognized globally for its award-winning corporate culture.

Cirrus Logic, Cirrus and the Cirrus Logic logo are registered trademarks of Cirrus Logic, Inc. All other company or product names noted herein may be trademarks of their respective holders.

Use of non-GAAP Financial Information

To supplement Cirrus Logic's financial statements presented on a GAAP basis, the company has provided non-GAAP financial information, including non-GAAP net income, diluted earnings per share, operating income and profit, operating expenses, gross margin and profit, tax expense, tax expense impact on earnings per share, effective tax rate, free cash flow, and free cash flow margin. A reconciliation of the adjustments to GAAP results is included in the tables below.

Non-GAAP financial information is not meant as a substitute for GAAP results but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. The non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.

Safe Harbor Statement

Except for historical information contained herein, the matters set forth in this news release contain forward-looking statements including our statements about our ability to expand into additional applications and markets and to leverage our mixed-signal processing expertise to expand our addressable market and drive long-term shareholder value; and our estimates for the third quarter fiscal year 2026 revenue, gross margin, combined research and development and selling, general and administrative expense levels, stock-based compensation expense, and amortization of acquired intangibles. In some cases, forward-looking statements are identified by words such as "expect," "anticipate," "target," "project," "believe," "goals," "opportunity," "estimates," "intend," and variations of these types of words and similar expressions. In addition, any statements that refer to our plans, expectations, strategies, or other characterizations of future events or circumstances are forward-looking statements. These forward-looking statements are based on our current expectations, estimates, and assumptions and are subject to certain risks and uncertainties that could cause actual results to differ materially, and readers should not place undue reliance on such statements. These risks and uncertainties include, but are not limited to, the following: the level and timing of orders and shipments during the third quarter of fiscal year 2026; customer cancellations of orders; the failure to place orders consistent with forecasts; changes in government trade policies, including the imposition of tariffs or export restrictions; and global economic conditions and uncertainty, along with the risk factors listed in our Form 10-K for the year ended March 29, 2025 and in our other filings with the Securities and Exchange Commission, which are available at www.sec.gov. The foregoing information concerning our business outlook represents our outlook as of the date of this news release, and we expressly disclaim any obligation to update or revise any forward-looking statements, whether as a result of new developments or otherwise, unless required by law.

Summary Financial Data Follows:

CONSOLIDATED CONDENSED STATEMENT OF OPERATIONS
(in thousands, except per share data; unaudited)

	Three Months Ended									Six Months Ended
	Sep. 27,			Jun. 28,			Sep. 28,			Sep. 27,			Sep. 28,
		2025			2025			2024			2025			2024
	Q2'26			Q1'26			Q2'25			Q2'26			Q2'25
Audio	$	318,214		$	240,043		$	316,588		$	558,257		$	535,558
High-Performance Mixed-Signal		242,746			167,229			225,269			409,975			380,325
Net sales		560,960			407,272			541,857			968,232			915,883
Cost of sales		266,586			193,242			259,267			459,828			444,368
Gross profit		294,374			214,030			282,590			508,404			471,515
Gross margin		52.5	%		52.6	%		52.2	%		52.5	%		51.5	%

Research and development		110,021			102,892			112,925			212,913			218,288
Selling, general and administrative		39,589			38,744			37,813			78,333			74,583
Total operating expenses		149,610			141,636			150,738			291,246			292,871

Income from operations		144,764			72,394			131,852			217,158			178,644

Interest income		8,695			8,622			8,134			17,317			16,336
Other income (expense)		(63	)		(388	)		19			(451	)		1,628
Income before income taxes		153,396			80,628			140,005			234,024			196,608
Provision for income taxes		21,800			19,931			37,865			41,731			52,373
Net income	$	131,596		$	60,697		$	102,140		$	192,293		$	144,235

Basic earnings per share	$	2.57		$	1.17		$	1.92		$	3.74		$	2.70
Diluted earnings per share:	$	2.48		$	1.14		$	1.83		$	3.61		$	2.59

Weighted average number of shares:
Basic		51,175			51,727			53,275			51,451			53,354
Diluted		53,054			53,319			55,800			53,195			55,753

Prepared in accordance with Generally Accepted Accounting Principles


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in thousands, except per share data; unaudited)
(not prepared in accordance with GAAP)

Non-GAAP financial information is not meant as a substitute for GAAP results, but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. As a note, the non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.

	Three Months Ended									Six Months Ended
	Sep. 27,			Jun. 28,			Sep. 28,			Sep. 27,			Sep. 28,
		2025			2025			2024			2025			2024
Net Income Reconciliation	Q2'26			Q1'26			Q2'25			Q2'26			Q2'25
GAAP Net Income	$	131,596		$	60,697		$	102,140		$	192,293		$	144,235
Amortization of acquisition intangibles		1,648			1,647			1,864			3,295			3,836
Stock-based compensation expense		20,597			20,809			22,447			41,406			43,832
Lease impairment		—			—			—			—			1,019
Adjustment to income taxes		(3,861	)		(2,839	)		(1,162	)		(6,700	)		(5,267	)
Non-GAAP Net Income	$	149,980		$	80,314		$	125,289		$	230,294		$	187,655

Earnings Per Share Reconciliation
GAAP Diluted earnings per share	$	2.48		$	1.14		$	1.83		$	3.61		$	2.59
Effect of Amortization of acquisition intangibles		0.03			0.03			0.04			0.06			0.07
Effect of Stock-based compensation expense		0.39			0.39			0.40			0.78			0.79
Effect of Lease impairment		—			—			—			—			0.02
Effect of Adjustment to income taxes		(0.07	)		(0.05	)		(0.02	)		(0.12	)		(0.10	)
Non-GAAP Diluted earnings per share	$	2.83		$	1.51		$	2.25		$	4.33		$	3.37

Operating Income Reconciliation
GAAP Operating Income	$	144,764		$	72,394		$	131,852		$	217,158		$	178,644
GAAP Operating Profit		25.8	%		17.8	%		24.3	%		22.4	%		19.5	%
Amortization of acquisition intangibles		1,648			1,647			1,864			3,295			3,836
Stock-based compensation expense - COGS		363			300			355			663			621
Stock-based compensation expense - R&D		13,019			13,072			15,844			26,091			31,607
Stock-based compensation expense - SG&A		7,215			7,437			6,248			14,652			11,604
Lease impairment		—			—			—			—			1,019
Non-GAAP Operating Income	$	167,009		$	94,850		$	156,163		$	261,859		$	227,331
Non-GAAP Operating Profit		29.8	%		23.3	%		28.8	%		27.0	%		24.8	%

Operating Expense Reconciliation
GAAP Operating Expenses	$	149,610		$	141,636		$	150,738		$	291,246		$	292,871
Amortization of acquisition intangibles		(1,648	)		(1,647	)		(1,864	)		(3,295	)		(3,836	)
Stock-based compensation expense - R&D		(13,019	)		(13,072	)		(15,844	)		(26,091	)		(31,607	)
Stock-based compensation expense - SG&A		(7,215	)		(7,437	)		(6,248	)		(14,652	)		(11,604	)
Lease impairment		—			—			—			—			1,019
Non-GAAP Operating Expenses	$	127,728		$	119,480		$	126,782		$	247,208		$	244,805

Gross Margin/Profit Reconciliation
GAAP Gross Profit	$	294,374		$	214,030		$	282,590		$	508,404		$	471,515
GAAP Gross Margin		52.5	%		52.6	%		52.2	%		52.5	%		51.5	%
Stock-based compensation expense - COGS		363			300			355			663			621
Non-GAAP Gross Profit	$	294,737		$	214,330		$	282,945		$	509,067		$	472,136
Non-GAAP Gross Margin		52.5	%		52.6	%		52.2	%		52.6	%		51.5	%

Effective Tax Rate Reconciliation
GAAP Tax Expense	$	21,800		$	19,931		$	37,865		$	41,731		$	52,373
GAAP Effective Tax Rate		14.2	%		24.7	%		27.0	%		17.8	%		26.6	%
Adjustments to income taxes		3,861			2,839			1,162			6,700			5,267
Non-GAAP Tax Expense	$	25,661		$	22,770		$	39,027		$	48,431		$	57,640
Non-GAAP Effective Tax Rate		14.6	%		22.1	%		23.8	%		17.4	%		23.5	%

Tax Impact to EPS Reconciliation
GAAP Tax Expense	$	0.41		$	0.37		$	0.68		$	0.78		$	0.94
Adjustments to income taxes		0.07			0.05			0.02			0.12			0.10
Non-GAAP Tax Expense	$	0.48		$	0.42		$	0.70		$	0.90		$	1.04


CONSOLIDATED CONDENSED BALANCE SHEET
(in thousands; unaudited)

	Sep. 27,			Mar. 29,			Sep. 28,
		2025			2025			2024
ASSETS
Current assets
Cash and cash equivalents	$	593,476		$	539,620		$	445,759
Marketable securities		52,424			56,160			32,499
Accounts receivable, net		355,397			216,009			324,098
Inventories		236,409			299,092			271,765
Prepaid wafers		45,056			52,560			71,740
Other current assets		84,238			76,293			79,044
Total current Assets		1,367,000			1,239,734			1,224,905

Long-term marketable securities		250,146			239,036			228,302
Right-of-use lease assets		125,315			126,688			133,316
Property and equipment, net		151,154			159,900			168,265
Intangibles, net		24,451			27,461			25,700
Goodwill		435,936			435,936			435,936
Deferred tax asset		46,511			48,150			48,619
Long-term prepaid wafers		—			15,512			37,804
Other assets		29,170			34,656			53,292
Total assets	$	2,429,683		$	2,327,073		$	2,356,139

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable	$	79,974		$	63,162		$	91,899
Accrued salaries and benefits		52,689			52,075			51,861
Lease liability		19,481			21,811			22,800
Other accrued liabilities		58,179			58,140			62,716
Total current liabilities		210,323			195,188			229,276

Non-current lease liability		120,985			121,908			129,806
Non-current income taxes		45,357			44,040			42,683
Other long-term liabilities		10,576			16,488			26,247
Total long-term liabilities		176,918			182,436			198,736

Stockholders' equity:
Capital stock		1,903,638			1,860,281			1,819,589
Accumulated earnings		139,025			90,351			107,233
Accumulated other comprehensive (loss) income		(221	)		(1,183	)		1,305
Total stockholders' equity		2,042,442			1,949,449			1,928,127
Total liabilities and stockholders' equity	$	2,429,683		$	2,327,073		$	2,356,139

Prepared in accordance with Generally Accepted Accounting Principles


CONSOLIDATED CONDENSED STATEMENT OF CASH FLOWS
(in thousands; unaudited)

	Three Months Ended

	Sep. 27,			Sep. 28,
		2025			2024
	Q2'26			Q2'25
Cash flows from operating activities:
Net income	$	131,596		$	102,140
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		12,704			12,618
Stock-based compensation expense		20,597			22,447
Deferred income taxes		7,470			4,984
Loss on retirement or write-off of long-lived assets		—			12
Other non-cash charges		68			87
Net change in operating assets and liabilities:
Accounts receivable, net		(141,312	)		(134,019	)
Inventories		42,575			(39,199	)
Prepaid wafers		16,878			25,531
Other assets		(8,485	)		(341	)
Accounts payable and other accrued liabilities		29,451			27,268
Income taxes payable		(19,328	)		(13,297	)
Net cash provided by operating activities		92,214			8,231
Cash flows from investing activities:
Maturities and sales of available-for-sale marketable securities		39,752			835
Purchases of available-for-sale marketable securities		(43,171	)		(3,577	)
Purchases of property, equipment and software		(3,868	)		(2,670	)
Investments in technology		(642	)		(70	)
Net cash used in investing activities		(7,929	)		(5,482	)
Cash flows from financing activities:
Net proceeds from the issuance of common stock		1,568			4,859
Repurchase of stock to satisfy employee tax withholding obligations		(1,261	)		(3,207	)
Repurchase and retirement of common stock		(39,986	)		(49,993	)
Net cash used in financing activities		(39,679	)		(48,341	)
Net increase (decrease) in cash and cash equivalents		44,606			(45,592	)
Cash and cash equivalents at beginning of period		548,870			491,351
Cash and cash equivalents at end of period	$	593,476		$	445,759

Prepared in accordance with Generally Accepted Accounting Principles


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in thousands; unaudited)

Free cash flow, a non-GAAP financial measure, is GAAP cash flow from operations (or cash provided by operating activities) less capital expenditures. Capital expenditures include purchases of property, equipment and software as well as investments in technology, as presented within our GAAP Consolidated Condensed Statement of Cash Flows. Free cash flow margin represents free cash flow divided by revenue.

	Twelve Months Ended			Three Months Ended

	Sep. 27,			Sep. 27,			Jun. 28,			Mar. 29,			Dec. 28,
		2025			2025			2025			2025			2024
	Q2'26			Q2'26			Q1'26			Q4'25			Q3'25

Net cash provided by operating activities (GAAP)	$	557,319		$	92,214		$	116,131		$	130,386		$	218,588
Capital expenditures		(23,148	)		(4,510	)		(2,770	)		(9,181	)		(6,687	)
Free Cash Flow (Non-GAAP)	$	534,171		$	87,704		$	113,361		$	121,205		$	211,901

Cash Flow from Operations as a Percentage of Revenue (GAAP)		29	%		16	%		29	%		31	%		39	%
Capital Expenditures as a Percentage of Revenue (GAAP)		1	%		1	%		1	%		2	%		1	%
Free Cash Flow Margin (Non-GAAP)		27	%		16	%		28	%		29	%		38	%


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in millions; unaudited)
(not prepared in accordance with GAAP)

	Q3 FY26
	Guidance
Operating Expense Reconciliation
GAAP Operating Expenses	$	151 - 157
Stock-based compensation expense		(21	)
Amortization of acquisition intangibles		(2	)
Non-GAAP Operating Expenses	$	128 - 134

View source version on businesswire.com: https://www.businesswire.com/news/home/20251104215362/en/

Investor Contact:

Chelsea Heffernan

Vice President, Investor Relations

Cirrus Logic, Inc.

(512) 851-4125

[email protected]

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Cirrus Logic Reports Record Fiscal Second Quarter Revenue of $561.0 Million

11/4/25 4:01:00 PM ET

$CRUS

Semiconductors

Technology

Get the next $CRUS alert in real time by email

Reported Financial Results – Second Quarter FY26

Revenue of $561.0 million;
GAAP and non-GAAP gross margin of 52.5 percent;
GAAP operating expenses of $149.6 million and non-GAAP operating expenses of $127.7 million; and
GAAP earnings per share of $2.48 and non-GAAP earnings per share of $2.83.

A reconciliation of GAAP to non-GAAP financial information is included in the tables accompanying this press release.

Business Outlook – Third Quarter FY26

Revenue is expected to range between $500 million and $560 million;
GAAP gross margin is forecasted to be between 51 percent and 53 percent; and
Combined GAAP R&D and SG&A expenses are anticipated to range between $151 million and $157 million, including approximately $21 million in stock-based compensation expense and $2 million in amortization of acquired intangibles, resulting in a non-GAAP operating expense range between $128 million and $134 million.

About Cirrus Logic, Inc.

Cirrus Logic, Cirrus and the Cirrus Logic logo are registered trademarks of Cirrus Logic, Inc. All other company or product names noted herein may be trademarks of their respective holders.

Use of non-GAAP Financial Information

Safe Harbor Statement

Summary Financial Data Follows:

CONSOLIDATED CONDENSED STATEMENT OF OPERATIONS
(in thousands, except per share data; unaudited)

	Three Months Ended									Six Months Ended
	Sep. 27,			Jun. 28,			Sep. 28,			Sep. 27,			Sep. 28,
		2025			2025			2024			2025			2024
	Q2'26			Q1'26			Q2'25			Q2'26			Q2'25
Audio	$	318,214		$	240,043		$	316,588		$	558,257		$	535,558
High-Performance Mixed-Signal		242,746			167,229			225,269			409,975			380,325
Net sales		560,960			407,272			541,857			968,232			915,883
Cost of sales		266,586			193,242			259,267			459,828			444,368
Gross profit		294,374			214,030			282,590			508,404			471,515
Gross margin		52.5	%		52.6	%		52.2	%		52.5	%		51.5	%

Research and development		110,021			102,892			112,925			212,913			218,288
Selling, general and administrative		39,589			38,744			37,813			78,333			74,583
Total operating expenses		149,610			141,636			150,738			291,246			292,871

Income from operations		144,764			72,394			131,852			217,158			178,644

Interest income		8,695			8,622			8,134			17,317			16,336
Other income (expense)		(63	)		(388	)		19			(451	)		1,628
Income before income taxes		153,396			80,628			140,005			234,024			196,608
Provision for income taxes		21,800			19,931			37,865			41,731			52,373
Net income	$	131,596		$	60,697		$	102,140		$	192,293		$	144,235

Basic earnings per share	$	2.57		$	1.17		$	1.92		$	3.74		$	2.70
Diluted earnings per share:	$	2.48		$	1.14		$	1.83		$	3.61		$	2.59

Weighted average number of shares:
Basic		51,175			51,727			53,275			51,451			53,354
Diluted		53,054			53,319			55,800			53,195			55,753

Prepared in accordance with Generally Accepted Accounting Principles


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in thousands, except per share data; unaudited)
(not prepared in accordance with GAAP)

Non-GAAP financial information is not meant as a substitute for GAAP results, but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. As a note, the non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.

	Three Months Ended									Six Months Ended
	Sep. 27,			Jun. 28,			Sep. 28,			Sep. 27,			Sep. 28,
		2025			2025			2024			2025			2024
Net Income Reconciliation	Q2'26			Q1'26			Q2'25			Q2'26			Q2'25
GAAP Net Income	$	131,596		$	60,697		$	102,140		$	192,293		$	144,235
Amortization of acquisition intangibles		1,648			1,647			1,864			3,295			3,836
Stock-based compensation expense		20,597			20,809			22,447			41,406			43,832
Lease impairment		—			—			—			—			1,019
Adjustment to income taxes		(3,861	)		(2,839	)		(1,162	)		(6,700	)		(5,267	)
Non-GAAP Net Income	$	149,980		$	80,314		$	125,289		$	230,294		$	187,655

Earnings Per Share Reconciliation
GAAP Diluted earnings per share	$	2.48		$	1.14		$	1.83		$	3.61		$	2.59
Effect of Amortization of acquisition intangibles		0.03			0.03			0.04			0.06			0.07
Effect of Stock-based compensation expense		0.39			0.39			0.40			0.78			0.79
Effect of Lease impairment		—			—			—			—			0.02
Effect of Adjustment to income taxes		(0.07	)		(0.05	)		(0.02	)		(0.12	)		(0.10	)
Non-GAAP Diluted earnings per share	$	2.83		$	1.51		$	2.25		$	4.33		$	3.37

Operating Income Reconciliation
GAAP Operating Income	$	144,764		$	72,394		$	131,852		$	217,158		$	178,644
GAAP Operating Profit		25.8	%		17.8	%		24.3	%		22.4	%		19.5	%
Amortization of acquisition intangibles		1,648			1,647			1,864			3,295			3,836
Stock-based compensation expense - COGS		363			300			355			663			621
Stock-based compensation expense - R&D		13,019			13,072			15,844			26,091			31,607
Stock-based compensation expense - SG&A		7,215			7,437			6,248			14,652			11,604
Lease impairment		—			—			—			—			1,019
Non-GAAP Operating Income	$	167,009		$	94,850		$	156,163		$	261,859		$	227,331
Non-GAAP Operating Profit		29.8	%		23.3	%		28.8	%		27.0	%		24.8	%

Operating Expense Reconciliation
GAAP Operating Expenses	$	149,610		$	141,636		$	150,738		$	291,246		$	292,871
Amortization of acquisition intangibles		(1,648	)		(1,647	)		(1,864	)		(3,295	)		(3,836	)
Stock-based compensation expense - R&D		(13,019	)		(13,072	)		(15,844	)		(26,091	)		(31,607	)
Stock-based compensation expense - SG&A		(7,215	)		(7,437	)		(6,248	)		(14,652	)		(11,604	)
Lease impairment		—			—			—			—			1,019
Non-GAAP Operating Expenses	$	127,728		$	119,480		$	126,782		$	247,208		$	244,805

Gross Margin/Profit Reconciliation
GAAP Gross Profit	$	294,374		$	214,030		$	282,590		$	508,404		$	471,515
GAAP Gross Margin		52.5	%		52.6	%		52.2	%		52.5	%		51.5	%
Stock-based compensation expense - COGS		363			300			355			663			621
Non-GAAP Gross Profit	$	294,737		$	214,330		$	282,945		$	509,067		$	472,136
Non-GAAP Gross Margin		52.5	%		52.6	%		52.2	%		52.6	%		51.5	%

Effective Tax Rate Reconciliation
GAAP Tax Expense	$	21,800		$	19,931		$	37,865		$	41,731		$	52,373
GAAP Effective Tax Rate		14.2	%		24.7	%		27.0	%		17.8	%		26.6	%
Adjustments to income taxes		3,861			2,839			1,162			6,700			5,267
Non-GAAP Tax Expense	$	25,661		$	22,770		$	39,027		$	48,431		$	57,640
Non-GAAP Effective Tax Rate		14.6	%		22.1	%		23.8	%		17.4	%		23.5	%

Tax Impact to EPS Reconciliation
GAAP Tax Expense	$	0.41		$	0.37		$	0.68		$	0.78		$	0.94
Adjustments to income taxes		0.07			0.05			0.02			0.12			0.10
Non-GAAP Tax Expense	$	0.48		$	0.42		$	0.70		$	0.90		$	1.04


CONSOLIDATED CONDENSED BALANCE SHEET
(in thousands; unaudited)

	Sep. 27,			Mar. 29,			Sep. 28,
		2025			2025			2024
ASSETS
Current assets
Cash and cash equivalents	$	593,476		$	539,620		$	445,759
Marketable securities		52,424			56,160			32,499
Accounts receivable, net		355,397			216,009			324,098
Inventories		236,409			299,092			271,765
Prepaid wafers		45,056			52,560			71,740
Other current assets		84,238			76,293			79,044
Total current Assets		1,367,000			1,239,734			1,224,905

Long-term marketable securities		250,146			239,036			228,302
Right-of-use lease assets		125,315			126,688			133,316
Property and equipment, net		151,154			159,900			168,265
Intangibles, net		24,451			27,461			25,700
Goodwill		435,936			435,936			435,936
Deferred tax asset		46,511			48,150			48,619
Long-term prepaid wafers		—			15,512			37,804
Other assets		29,170			34,656			53,292
Total assets	$	2,429,683		$	2,327,073		$	2,356,139

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable	$	79,974		$	63,162		$	91,899
Accrued salaries and benefits		52,689			52,075			51,861
Lease liability		19,481			21,811			22,800
Other accrued liabilities		58,179			58,140			62,716
Total current liabilities		210,323			195,188			229,276

Non-current lease liability		120,985			121,908			129,806
Non-current income taxes		45,357			44,040			42,683
Other long-term liabilities		10,576			16,488			26,247
Total long-term liabilities		176,918			182,436			198,736

Stockholders' equity:
Capital stock		1,903,638			1,860,281			1,819,589
Accumulated earnings		139,025			90,351			107,233
Accumulated other comprehensive (loss) income		(221	)		(1,183	)		1,305
Total stockholders' equity		2,042,442			1,949,449			1,928,127
Total liabilities and stockholders' equity	$	2,429,683		$	2,327,073		$	2,356,139

Prepared in accordance with Generally Accepted Accounting Principles


CONSOLIDATED CONDENSED STATEMENT OF CASH FLOWS
(in thousands; unaudited)

	Three Months Ended

	Sep. 27,			Sep. 28,
		2025			2024
	Q2'26			Q2'25
Cash flows from operating activities:
Net income	$	131,596		$	102,140
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		12,704			12,618
Stock-based compensation expense		20,597			22,447
Deferred income taxes		7,470			4,984
Loss on retirement or write-off of long-lived assets		—			12
Other non-cash charges		68			87
Net change in operating assets and liabilities:
Accounts receivable, net		(141,312	)		(134,019	)
Inventories		42,575			(39,199	)
Prepaid wafers		16,878			25,531
Other assets		(8,485	)		(341	)
Accounts payable and other accrued liabilities		29,451			27,268
Income taxes payable		(19,328	)		(13,297	)
Net cash provided by operating activities		92,214			8,231
Cash flows from investing activities:
Maturities and sales of available-for-sale marketable securities		39,752			835
Purchases of available-for-sale marketable securities		(43,171	)		(3,577	)
Purchases of property, equipment and software		(3,868	)		(2,670	)
Investments in technology		(642	)		(70	)
Net cash used in investing activities		(7,929	)		(5,482	)
Cash flows from financing activities:
Net proceeds from the issuance of common stock		1,568			4,859
Repurchase of stock to satisfy employee tax withholding obligations		(1,261	)		(3,207	)
Repurchase and retirement of common stock		(39,986	)		(49,993	)
Net cash used in financing activities		(39,679	)		(48,341	)
Net increase (decrease) in cash and cash equivalents		44,606			(45,592	)
Cash and cash equivalents at beginning of period		548,870			491,351
Cash and cash equivalents at end of period	$	593,476		$	445,759

Prepared in accordance with Generally Accepted Accounting Principles


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in thousands; unaudited)

Free cash flow, a non-GAAP financial measure, is GAAP cash flow from operations (or cash provided by operating activities) less capital expenditures. Capital expenditures include purchases of property, equipment and software as well as investments in technology, as presented within our GAAP Consolidated Condensed Statement of Cash Flows. Free cash flow margin represents free cash flow divided by revenue.

	Twelve Months Ended			Three Months Ended

	Sep. 27,			Sep. 27,			Jun. 28,			Mar. 29,			Dec. 28,
		2025			2025			2025			2025			2024
	Q2'26			Q2'26			Q1'26			Q4'25			Q3'25

Net cash provided by operating activities (GAAP)	$	557,319		$	92,214		$	116,131		$	130,386		$	218,588
Capital expenditures		(23,148	)		(4,510	)		(2,770	)		(9,181	)		(6,687	)
Free Cash Flow (Non-GAAP)	$	534,171		$	87,704		$	113,361		$	121,205		$	211,901

Cash Flow from Operations as a Percentage of Revenue (GAAP)		29	%		16	%		29	%		31	%		39	%
Capital Expenditures as a Percentage of Revenue (GAAP)		1	%		1	%		1	%		2	%		1	%
Free Cash Flow Margin (Non-GAAP)		27	%		16	%		28	%		29	%		38	%


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in millions; unaudited)
(not prepared in accordance with GAAP)

	Q3 FY26
	Guidance
Operating Expense Reconciliation
GAAP Operating Expenses	$	151 - 157
Stock-based compensation expense		(21	)
Amortization of acquisition intangibles		(2	)
Non-GAAP Operating Expenses	$	128 - 134

View source version on businesswire.com: https://www.businesswire.com/news/home/20251104215362/en/

Investor Contact:

Chelsea Heffernan

Vice President, Investor Relations

Cirrus Logic, Inc.

(512) 851-4125

[email protected]

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$CRUS

Date	Price Target	Rating	Analyst
2/5/2025		Hold → Buy	The Benchmark Company
11/12/2024	$130.00	Buy	Loop Capital
10/10/2024	$140.00 → $120.00	Overweight → Equal Weight	Barclays
5/16/2024		Buy → Hold	The Benchmark Company
5/8/2024	$100.00 → $115.00	Buy	TD Cowen
2/7/2024	$90.00 → $100.00	Outperform	TD Cowen
11/1/2023	$83.00 → $100.00	Hold → Buy	Loop Capital
5/22/2023	$92.00 → $80.00	Buy → Hold	Loop Capital

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