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Aug 01, 2020

Analog Devices Q3 2020 Earnings Report

Analog Devices reported Q3 2020 earnings with revenue and EPS above the midpoint of guidance.

Key Takeaways

Analog Devices' Q3 2020 revenue was $1.46 billion, an 11% sequential increase led by growth in the communications and industrial markets. The company announced an agreement to acquire Maxim Integrated Products Inc.

Revenue of $1.46 billion increased 11% sequentially.

Growth was led by the communications and industrial markets.

Operating cash flow was $2.0 billion and free cash flow was $1.8 billion on a trailing twelve months basis.

Agreement to acquire Maxim Integrated Products Inc. was announced, strengthening ADI’s analog semiconductor leadership.

Total Revenue
$1.46B
Previous year: $1.48B
-1.6%
EPS
$1.36
Previous year: $1.26
+7.9%
Gross Margin
66.8%
Previous year: 67.4%
-0.9%
Operating Margin
28.8%
Previous year: 30.2%
-4.6%
Gross Profit
$973M
Previous year: $998M
-2.5%
Cash and Equivalents
$1.09B
Previous year: $612M
+78.1%
Free Cash Flow
$536M
Previous year: $494M
+8.5%
Total Assets
$21.6B
Previous year: $21.6B
+0.2%

Analog Devices

Analog Devices

Analog Devices Revenue by Segment

Forward Guidance

For the fourth quarter of fiscal 2020, we are forecasting revenue of $1.44 billion, +/- $70 million. At the midpoint of this revenue outlook, we expect reported operating margins of approximately 31.0%, +/-140 bps, and adjusted operating margins of approximately 42.0%, +/-100 bps. We are planning for reported EPS to be $0.95, +/-$0.10, and adjusted EPS to be $1.32, +/-$0.10.

Revenue & Expenses

Visualization of income flow from segment revenue to net income