ALGM earnings analysis
What we found in ALGM's 10-K: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Allegro MicroSystems reported solid financial growth in fiscal year 2026, with total net sales increasing by 22.8% to $890.1 million, driven by demand for automotive and industrial products. The company achieved a gross margin of 46.3% and a reduced net loss of $14.7 million, indicating improved efficiency and cost management. The positive trajectory is supported by strong revenue guidance for Q1 2027 between $245 million and $255 million, reflecting sustained demand in key markets.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Strong Revenue Growth
- Total net sales increased by 22.8% to $890.1 million in fiscal year 2026.
- Improved Gross Margin
- The gross margin rose to 46.3% in FY 2026 from 44.3% in FY 2025.
- Significant EPS Improvement
- The recorded net loss narrowed to $14.7 million, compared to $72.8 million in FY 2025.
- Q1 2027 Revenue Guidance
- The company projected revenue for Q1 2027 between $245 million and $255 million.
- Increased Automotive Demand
- Automotive sales grew by 17.4% to $628.6 million, driven by ADAS and xEV components.
- Expansion of Product Lines
- Growth in industrial automation and robotics contributed to overall sales increase.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Dependence on Automotive Market
- 70.6% of net sales in FY 2026 were to automotive suppliers, exposing to market volatility.
- Supply Chain Vulnerabilities
- Reliance on limited suppliers for semiconductor wafers could disrupt operations.
- Regulatory and Trade Policy Risks
- Changes in trade policies and tariffs may impact demand and operational costs.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.08
- Gross margin
- 46.3%
- Operating margin
- 2.1%
- Segment
- Automotive
- Segment
- Industrial and Other
What they said about what is next.
Continued growth trends expected into Q1 2027 as indicated in the earnings call.
The filing reads better than the one before it.
What came before.
- 10-Q · January 31, 2025
- Allegro reported net sales of $177,872,000 and a GAAP diluted loss per share of $(0.04) for the three-month period ended December 27, 2024, a sharp year-over-year decline in revenue and profit. Gross profit fell to…
- 10-Q · August 2, 2024
- Allegro reported net sales of $166,919,000 for the quarter ended June 28, 2024, down from $278,293,000 a year earlier, producing gross profit of $74,771,000 and an operating loss of $10,630,000. The company recorded a…
- 10-Q · February 1, 2023
- Allegro MicroSystems reported strong Q3 results with a revenue increase of 33.3% year-over-year, reaching $248.8 million, exceeding estimates. A notable EPS jump to $0.33 is attributed to improved operating margins…
- 10-Q · August 1, 2022
- Allegro reported Q1 net sales of $217,753,000, up $29,611,000 or 15.7% versus the prior year quarter. Gross margin expanded to 54.37% while operating income fell to $14,737,000 (operating margin 6.77%) and diluted EPS…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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