(Unaudited)
Three Months Ended Nine Months Ended
October 3, | October 4, | October 3, | October 4, | |
2026 | 2025 | 2026 | 2025 | |
Revenues | $ 250,892 | $ 205,999 | $ 692,581 | $ 576,558 |
Cost of revenues | 98,314 | 86,980 | 272,331 | 251,653 |
Gross profit | 152,578 | 119,019 | 420,250 | 324,905 |
Operating expenses: Research and development | 93,174 | 87,685 | 276,784 | 263,725 |
Selling, general and administrative | 51,453 | 43,676 | 163,263 | 128,469 |
Operating expenses | 144,627 | 131,361 | 440,047 | 392,194 |
Operating income (loss) | 7,951 | (12,342) | (19,797) | (67,289) |
Other income (expense): Interest income and other, net | 3,185 | 3,046 | 9,300 | 10,672 |
Interest expense | (226) | (226) | (709) | (761) |
Income (loss) before income taxes | 10,910 | (9,522) | (11,206) | (57,378) |
Provision for income taxes | 2,059 | 414 | 6,432 | 4,845 |
Net income (loss) | $ 8,851 | $ (9,936) | $ (17,638) | $ (62,223) |
Earnings (loss) per share: Basic | $ 0.27 | $ (0.30) | $ (0.53) | $ (1.91) |
Diluted | $ 0.26 | $ (0.30) | $ (0.53) | $ (1.91) |
Weighted-average common shares outstanding: Basic | 33,376 | 32,835 | 33,182 | 32,656 |
Diluted | 33,752 | 32,835 | 33,182 | 32,656 |
Current assets:
AssetsOctober 3,
2026
January 3,
2026
Cash and cash equivalents | $ 423,013 | $ 364,222 |
Short-term investments | 16,828 | 79,400 |
Accounts receivable, net | 79,966 | 64,513 |
Inventories | 133,391 | 95,566 |
Prepaid expenses and other current assets | 71,421 | 70,316 |
Total current assets | 724,619 | 674,017 |
Property and equipment, net | 131,687 | 128,643 |
Goodwill | 376,389 | 376,389 |
Other intangible assets, net | 16,246 | 23,130 |
Other assets, net | 87,213 | 67,138 |
Total assets $ 1,336,154 $ 1,269,317
Liabilities and Stockholders' EquityCurrent liabilities:
Accounts payable | $ 68,860 | $ 50,717 |
Deferred revenue and returns liability | 9,804 | 5,359 |
Other current liabilities | 78,841 | 87,711 |
Total current liabilities | 157,505 | 143,787 |
Other non-current liabilities | 53,267 | 31,112 |
Total liabilities | 210,772 | 174,899 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock - $0.0001 par value; 10,000 shares authorized; no shares issued | - | - |
Common stock - $0.0001 par value; 250,000 shares authorized; 33,384 and 32,955 | ||
shares issued and outstanding at October 3, 2026 and January 3, 2026, respectively | 3 | 3 |
Additional paid-in capital | 206,203 | 157,402 |
Retained earnings | 919,176 | 936,814 |
Accumulated other comprehensive income | - | 199 |
Total stockholders' equity | 1,125,382 | 1,094,418 |
Total liabilities and stockholders' equity | $ 1,336,154 | $ 1,269,317 |
(Unaudited)
Nine Months Ended
October 3, | October 4, | |
2026 | 2025 | |
Operating Activities | ||
Net loss | $ (17,638) | $ (62,223) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Depreciation of property and equipment | 18,154 | 18,769 |
Amortization of other intangible assets | 6,884 | 11,074 |
Stock-based compensation expense | 69,754 | 59,645 |
Deferred income taxes | 2,164 | 2,026 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (15,453) | (12,829) |
Inventories | (37,828) | 23,316 |
Prepaid expenses and other assets | (35,213) | 9,080 |
Accounts payable | 18,373 | 11,141 |
Other current liabilities and income taxes | 3,271 | 29,901 |
Deferred revenue and returns liability | 4,445 | 5,374 |
Other non-current liabilities | 20,285 | (7,916) |
Net cash provided by operating activities | 37,198 | 87,358 |
Investing Activities | ||
Purchases of marketable securities | - | (34,790) |
Sales of marketable securities | - | 15,332 |
Maturities of marketable securities | 62,309 | 22,598 |
Purchases of property and equipment | (28,472) | (19,942) |
Proceeds from capital-related government incentives | 8,705 | - |
Purchase of other investment | - | (4,000) |
Net cash provided by (used in) investing activities | 42,542 | (20,802) |
Financing Activities | ||
Payment of taxes withheld for vested stock awards | (28,710) | (14,907) |
Proceeds from the issuance of common stock | 7,761 | 8,147 |
Net cash used in financing activities | (20,949) | (6,760) |
Increase in cash and cash equivalents | 58,791 | 59,796 |
Cash and cash equivalents at beginning of period | 364,222 | 281,607 |
Cash and cash equivalents at end of period | $ 423,013 | $ 341,403 |
In addition to the GAAP results provided throughout this document, Silicon Labs has provided non-GAAP financial measurements on a basis excluding non-cash and other charges and benefits. Details of these excluded items are presented in the tables below, which reconcile the GAAP results to non-GAAP financial measurements.
The non-GAAP financial measurements do not replace the presentation of Silicon Labs' GAAP financial results. These measurements provide supplemental information to assist management and investors in analyzing Silicon Labs' financial position and results of operations. Silicon Labs has chosen to provide this information to investors to enable them to perform meaningful comparisons of past, present and future operating results and as a means to emphasize the results of core ongoing operations.
Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures (In thousands, except per share data)Three Months Ended October 3, 2026
Non-GAAP Income Statement Items | GAAP Measure | GAAP Percent of Revenue | Stock Compensation Expense | Intangible Asset Amortization | Merger-Related Costs | Non-GAAP Measure | Non-GAAP Percent of Revenue |
Revenues | $ 250,892 | ||||||
Gross profit | 152,578 | 60.8 % | $ 459 | $ - | $ - | $ 153,037 | 61.0 % |
Research and development | 93,174 | 37.1 % | 11,996 | 2,295 | 3,623 | 75,260 | 30.0 % |
Selling, general and administrative | 51,453 | 20.5 % | 10,594 | - | 3,281 | 37,578 | 15.0 % |
Operating expenses | 144,627 | 57.6 % | 22,590 | 2,295 | 6,904 | 112,838 | 45.0 % |
Operating income | 7,951 | 3.2 % | 23,049 | 2,295 | 6,904 | 40,199 | 16.0 % |
Three Months Ended October 3, 2026 | |||||||
GAAP Tax | Stock | Intangible Merger- | Non- | Non-GAAP Tax | |||
Non-GAAP Earnings Per Share and | GAAP | Percentage | Compensation | Asset Related | Income Tax | GAAP | Percentage |
Income Tax Rate | Measure | Rate | Expense | Amortization Costs | Adjustments | Measure | Rate |
Income before income taxes | $ 10,910 | $ 23,049 | $ 2,295 $ 6,904 | $ - | $ 43,158 | ||
Provision for income taxes | 2,059 | 18.9 % | 5,710 | 7,769 | 18.0 % | ||
Net income | $ 8,851 | $ 35,389 | |||||
Diluted shares outstanding | 33,752 | 33,752 | |||||
Diluted earnings per share | $ 0.26 | $ 1.05 | |||||