Allegro Microsystems, Inc. · NASDAQ:ALGM
Allegro Microsystems — Q1 FY2027 Earnings Presentation
38 slides from Allegro Microsystems's earnings presentation, Jul 30, 2026
Slide 1: Investor Presentation 1Q FY27
New image that dials up robotics Investor Presentation July 30, 2026 1Q FY27
Slide 2: Forward-looking statements
Forward-looking statements This presentation and the accompanying oral remarks contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking stat
Slide 3: Financial & Business Update
Financial & Business Update 3
Slide 4: 1QFY27 Financial and Business Highlights
1QFY27 Financial and Business Highlights 1QFY27 Non-GAAP Financial Highlights Business Highlights Q1FY27 vs. Q4FY26 Guidance1, 2 Actual3 Sales grew 7% ▪ Industrial and Other increased 18% Net Sales $245M - $255M $259M ▪ Data Center reached a new quarterly record of 17% Gross Margin % 50% - 51% 51.1%
Slide 5: New Products
New Products Industry’s First ASIL-D Power Management IC (PMIC) with Integrated Wheel Speed Sensor Interface • Single-chip power and sensing foundation for next-generation brake-by-wire systems • Simplifies electromechanical braking design by eliminating up to 9 external components • Combines Allegr
Slide 6: 2QFY27 Financial Guidance
2QFY27 Financial Guidance Midpoint of Sales Guidance Implies 26% Year-Over-Year Growth Midpoint of EPS Guidance Implies 88% Year-Over-Year Growth Non-GAAP Guidance1,2 Sales $265M - $275M Gross Margin % 50.75% - 51.75% EPS $0.23 - $0.26 1. The guidance for 2QFY27 included in this presentation is as o
Slide 7: Company Overview
Company Company Overview Overview 7
Slide 8: Why Allegro
Why Allegro Differentiated & durable ALGM technology: #1 in Magnetic Sensing, leading-edge Power ICs Mid-teens sales growth from content expansion and share gains in high growth xEV, ADAS, AI, Data Center, and Robotics markets Extending Magnetic Sensing share with TMR Isolated gate drivers and intel
Slide 9: Balanced Sales Mix Across Products, Markets, and Geography
Balanced Sales Mix Across Products, Markets, and Geography Sales by Product¹ Sales by End Market¹ Sales by Geography¹ Europe 13% Industrial & Power Other Americas 41% 31% 14% Rest of Asia 29% Japan Auto 17% Magnetic 69% Sensing 59% China 27% #1 >30 Years 58% | 42% Magnetic Sensing Distribution | Aut
Slide 10: Combining Precision Sensing with Integrated Power Leadership
Combining Precision Sensing with Integrated Power Leadership Creating differentiated, “sticky” solutions that expand dollar content and drive sustained share gains Magnetic Sensors: Precision Power ICs: Integrated Power Sensing Leadership Advantage #1 Market Share Leader Engineered for Efficiency an
Slide 11: Differentiated Technology & Products Drive Outsized Growth & Share Potential
Differentiated Technology & Products Drive Outsized Growth & Share Potential We have a proven track record of leveraging differentiated & durable IP to deliver rapid business growth TMR XtremeSense >$1.0B Power-Thru $3.0B Tunneling SAM¹ Isolated Gate SAM¹ Magnetoresistance Drivers (IGD) Higher Highe
Slide 12: An Even Brighter Future: Enhanced Growth Through Stronger Alignment to Megatrends
An Even Brighter Future: Enhanced Growth Through Stronger Alignment to Megatrends Megatrends fuel strong market growth & rapidly expanding Allegro dollar content Automation AI ELECTRIFICATION AUTOMATION AI ADVANCED ROBOTICS xEV & Energy Infrastructure ADAS & Robotics Data Centers Humanoids 12
Slide 13: We are Leaders in High Growth Automotive & Industrial Markets
We are Leaders in High Growth Automotive & Industrial Markets Megatrends fuel strong market growth & rapidly expanding dollar content Automotive Industrial & Other Total SAM¹ Focus Auto: xEV and ADAS Focus Industrial: Data Centers and Robotics $13.7B SAM¹, 12% CAGR² Focus Areas $8.4B, 21% CAGR xEV A
Slide 14: New Strategies & Focus Drive Share Gains to Support Mid-Teens Sales Growth
New Strategies & Focus Drive Share Gains to Support Mid-Teens Sales Growth Executing on innovations, driving strong growth potential in >20% CAGR¹ focus markets and applications Innovation & Action Drive ALGM Mid-Teens Sales Growth Growth-oriented, individual sales Higher Growth DISRUPTIVE NEW teams
Slide 15: Automotive
Automotive Broadly trusted by our customers for quality, reliability, efficiency, and performance 15
Slide 16: Allegro's Focus Automotive Markets Offer a $4.9B SAM Growing at 18%
Allegro’s Focus Automotive Markets Offer a $4.9B SAM¹ Growing at 18%² Electrification and driving automation fueling Allegro’s growth opportunity Focus Auto FY31 Market Opportunity $7.8B SAM¹, 8% CAGR² xEV SAM¹ ADAS SAM¹ Focus Auto $3.4B ____________________________________________________ $1.5B ___
Slide 17: Over Years of Automotive Innovation
Over 30 Years of Automotive Innovation Broadly trusted by our customers for quality, reliability, efficiency, and performance xEV Battery management DC-DC converter ADAS Electrohydraulic braking (EHB) Electromechanical braking (EMB) Powertrain Heat pump On-board charger Advanced Electronic parking b
Slide 18: Shift to xEV and ADAS Fuels Content Opportunity Expansion
Shift to xEV and ADAS xEV Growth and ADAS Adoption² Fuels Content Outpace vehicle production¹ growth Opportunity Expansion and Sales Growth Driving sales growth well beyond vehicle production volume Rapid hybrid and battery electric adoption accelerates demand _______________________________________
Slide 19: Allegro Content Opportunity Per Vehicle is Structurally Increasing
Allegro Content Opportunity Per Vehicle is Structurally Increasing xEV and ADAS content expansion drives IC growth FY21 FY26 FY31e ICE, ADAS, and SCC xEV, ADAS, and SCC xEV, ADAS, SCC, 48V, Zonal Isolated Gate Drivers Isolated Gate Drivers Current Sensors Current Sensors ~$40 Motor Drivers ~$60 Moto
Slide 20: Allegro Leading the Shift to True 48V Electrical Architecture
Allegro Leading the Shift to True 48V Electrical Architecture Catalyst for Allegro’s power IC leadership opening new opportunities 48V Architecture Allegro’s Leadership Advantage over 12V in 48V 48V 12V 4x Lower Robust Process Technology current required Automotive-qualified 120V wafer process for r
Slide 21: Innovations Engineered for Safety-Critical & High-Voltage Environments
Innovations Engineered for Safety-Critical & High-Voltage Environments xEV & ADAS solutions deliver superior accuracy, higher power density, better efficiency, and smaller footprints Automotive Grade by Design Differentiated Technology Durable Competitive Advantage Purpose-built, proprietary wafer,
Slide 22: Industrial & Other
Industrial & Other Allegro delivers innovation, quality, world-wide presence, and customer intimacy 22
Slide 23: Allegro's Focus Industrial Markets Offer $3.5B SAM Growing at 27% CAGR
Allegro’s Focus Industrial Markets Offer $3.5B SAM¹ Growing at 27% CAGR² Allegro delivers innovation, quality, world-wide presence, and customer intimacy Focus Industrial FY31 Market Opportunity $5.9B SAM¹ at 17% CAGR² SAM¹ SAM¹ Focus Industrial $1.7B ________________________________________________
Slide 24: AI / Data Center Market Opportunity = $1.7B Growing at >20% CAGR
AI / Data Center Market Opportunity = $1.7B¹ Growing at >20% CAGR² More fans in the data center, and a strong ramp in current sensor and isolated gate driver adoption Data Center AI / Data Center AI / Hyperscaler 2023 2025 2028 12V 12V & 48V 48V & 800V Motor Drivers Motor Drivers Current Sensors Mot
Slide 25: Data Center Innovations Engineered for Power Density and Thermal Efficiency
Data Center Innovations Engineered for Power Density and Thermal Efficiency Data centers demand robust, reliable solutions with performance over lifetime Automotive Grade Reliability Differentiated Technology Durable Competitive Advantage Proven wafer and packaging Current sensing portfolio to meet
Slide 26: Advent of AI Drives 30-fold Content Growth in Robotics
Advent of AI Drives 30-fold¹ Content Growth in Robotics Household and factory automation opportunity $400M¹ within our target $1.8B SAM¹ Household Robot Factory Robot Humanoid Robot 2023 2026 2030 12V 12V & 48V 48V+ Current Sensors Position Sensors Current Sensors Position Sensors Current Sensors Po
Slide 27: Robotics Innovations Engineered for Efficiency, Precision, and Reliability
Robotics Innovations Engineered for Efficiency, Precision, and Reliability Robotics require the same safety-critical solutions we’ve designed for ADAS applications Automotive Grade Reliability Differentiated Technology Durable Competitive Advantage 48V technology used in electrified TMR delivers hig
Slide 28: Target Financial Model
Target Financial Model 3-5 Year Target Model¹ New Automotive targeted to grow >10% led by 18% ADAS and xEV SAM growth. Sales growth Mid-Teens Growth Industrial targeted to grow at high-teens led by 27% Data Center & Robotics SAM growth. Return to above historical average through operating leverage,
Slide 29: Strategic Execution Poised to Deliver Mid-Teens Sales Growth for Allegro
Strategic Execution Poised to Deliver Mid-Teens Sales Growth for Allegro Significant sales growth in focus areas and continued growth in other areas nets out to mid-teens sales growth Allegro Sales Outlook¹ Focus Areas Other Areas FY26 FY28-FY29 FY30-FY32 Market Drivers xEV, ADAS, AI Data Center +Ro
Slide 30: Defined Strategies and Actions to Return to >55% Gross Margins
Defined Strategies and Actions to Return to >55% Gross Margins² FY24 INVENTORY 56% GM CORRECTION >1% >55% Operating Leverage • Internal Philippines assembly and test 1%-2% facility 55% 3%-5% Optimize VCM Factory efficiencies incremental GM (60-65%) • Automation, OEE, and cycle time improvements Mix
Slide 31: Investment and Capital Allocation Strategy
Investment and Capital Allocation Strategy¹ • R&D innovation that extends technology leadership and optimizes product cost Investments in Organic Growth • Sales investments in fast-growing markets and regions • Focus on high ROI organic investments • Complementary to our technical expertise M&A with
Slide 32: Appendix
Appendix ALLEGRO =»
Slide 33: GAAP to Non-GAAP Gross Profit and Gross Margin Reconciliations
GAAP to Non- Fiscal Year ended Fiscal Year ended Fiscal Year ended Fiscal Year ended Fiscal Year ended Fiscal Year ended ($ in millions) March 26, 2021 (FY’21) March 25, 2022 (FY’22) March 31, 2023 (FY’23) March 29, 2024 (FY’24) March 28, 2025 (FY’25) March 27, 2026 (FY’26) GAAP Gross Profit and Gro
Slide 34: GAAP to Non-GAAP Gross Profit and Gross Margin Reconciliation (Quarterly)
GAAP to Non- Fiscal Qtr ended Fiscal Qtr ended Fiscal Qtr ended Fiscal Qtr ended Trailing Twelve Months (TTM) GAAP ($ in millions) September 26, 2025 (F2Q’26) December 26, 2025 (F3Q’26) March 27, 2026 (F4Q’26) June 26, 2026 (F1Q’27) ended June 26, Gross Profit and Total Net Sales 2026 Gross Margin $
Slide 35: GAAP to Non-GAAP Operating Income and Operating Margin Reconciliations
GAAP to Non- Fiscal Qtr ended Fiscal Qtr ended Fiscal Qtr ended Fiscal Qtr ended TTM Ended GAAP ($ in millions) September 26, 2025 December 26, 2025 March 27, 2026 June 26, 2026 June 26, 2026 (F2Q’26) (F3Q’26) (F4Q’26) (F1Q’27) Operating GAAP Operating Income $6.2 $9.6 $5.4 $25.5 $46.7 Income and GA
Slide 36: GAAP to Non-GAAP Earnings per Share Reconciliations
GAAP to Non- (in millions, except per Fiscal Qtr ended Fiscal Qtr ended Fiscal Qtr ended Fiscal Qtr ended TTM ended GAAP Earnings September 26, 2025 December 26, 2025 March 27, 2026 June 26, 2026 June 26, 2026 share) (F2Q’26) (F3Q’26) (F4Q’26) (F1Q’27) per Share GAAP Net (Loss) Income Attributable t
Slide 37: GAAP to Non-GAAP Operating Expense Reconciliations
GAAP to Non- ($ in millions, except for shares) Fiscal Qtr ended September 26, 2025 Fiscal Qtr ended December 26, 2025 Fiscal Qtr ended March 27, 2026 Fiscal Qtr ended June 26, 2026 TTM ended June 26, 2026 GAAP (F2Q’26) (F3Q’26) (F4Q’26) (F1Q’27) Operating GAAP Operating Expenses $93.0 $97.5 $108.9
Slide 38: GAAP to Non-GAAP Free Cash Flow Reconciliations
GAAP to Non- ($ in millions) Fiscal Qtr ended September 26, 2025 Fiscal Qtr ended December 26, 2025 Fiscal Qtr ended March 27, 2026 Fiscal Qtr ended June 26, 2026 GAAP (F2Q’26) (F3Q’26) (F4Q’26) (F1Q’27) Free Cash Flow GAAP Operating Cash Flow $20.4 $45.4 $35.7 $22.0 Reconciliations¹ GAAP Operating
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