Semtech Q4 2024 Earnings Report
Key Takeaways
Semtech reported Q4 2024 results with net sales of $192.9 million, GAAP gross margin of (0.2)%, and Non-GAAP gross margin of 48.9%. The company achieved positive operating cash flow of $13.9 million and free cash flow of $12.2 million. GAAP diluted loss per share was $9.98, while Non-GAAP diluted loss per share was $0.06.
Net sales reached $192.9 million, surpassing the midpoint of guidance.
GAAP gross margin was (0.2)%, and Non-GAAP gross margin was 48.9%, both above the guidance midpoint.
GAAP diluted loss per share amounted to $9.98, and Non-GAAP diluted loss per share was $0.06.
The company generated positive operating cash flow of $13.9 million and free cash flow of $12.2 million.
Semtech
Semtech
Forward Guidance
Semtech anticipates net sales of $200.0 million +/- $5.0 million and a Non-GAAP gross margin of 49.5% +/- 100 bps for the first quarter of fiscal year 2025.
Positive Outlook
- Net sales are expected to be $200.0 million +/- $5.0 million.
- Non-GAAP gross margin is projected at 49.5% +/- 100 bps.
- Operating costs and expenses, net, are anticipated to be $78.5 million +/- $1.5 million.
- Operating income is expected to be $20.5 million +/- $3.0 million.
- Adjusted EBITDA is projected at $27.8 million +/- $3.0 million.
Challenges Ahead
- Interest expense, net, is expected to be $20.5 million.
- The normalized income tax rate is projected at 12%.
- Diluted earnings (loss) per share are expected to be $0.00 +/- $0.04.
- Diluted share count of 64.5 is expected for diluted (loss) per share.
- Diluted share count of 66.0 is expected for diluted earnings per share.