SEMTECH CORP

Semtech Corporation announced it has entered into a definitive agreement to sell its cellular module business to Compal Electronics, Inc. for $62 million in cash. This strategic divestiture is intended to allow Semtech to sharpen its focus on its core product portfolio, specifically data center and LoRa connectivity. The transaction, which includes intellectual property, customer relationships, and personnel, is anticipated to close in the fourth quarter of Semtech's 2027 fiscal year.

Semtech Corporation entered into a new Credit Agreement on July 6, 2026, establishing a $360 million revolving credit facility and an uncommitted incremental term loan facility. The proceeds will be utilized for working capital, general corporate purposes, refinancing existing indebtedness, and funding permitted acquisitions. Concurrently, the company's previous credit agreement, dated September 26, 2022, was terminated and paid in full.

Semtech Corporation announced updates to its executive compensation and equity plans following its Annual Meeting of Stockholders. The company amended its Executive Severance Plan to include benefits for terminations outside of a Change in Control, providing one times base salary plus a pro-rata target bonus, healthcare continuation, and accelerated vesting of certain deferred compensation. Additionally, stockholders approved an amendment to the 2017 Long-Term Equity Incentive Plan, increasing the share pool by 4.3 million. The meeting also saw the election of nine directors and the ratification of Deloitte & Touche LLP as the independent auditor.

Semtech Corporation reported strong financial results for the first quarter ended April 26, 2026. The company achieved a 15.9% increase in total net sales, reaching $291.0 million, and a significant 37.3% rise in net income to $26.6 million. Diluted earnings per share also grew by 22.7% to $0.27. Additionally, net cash provided by operating activities increased to $36.2 million, and goodwill saw a $13.6 million addition from an immaterial acquisition during the quarter.

Semtech Corporation announced record financial results for the first quarter of fiscal year 2027, with net sales reaching $291.0 million, marking sequential and year-over-year growth. The company reported significant increases in both GAAP and Non-GAAP diluted earnings per share, alongside improved operating margins. Semtech also provided a positive outlook for the second quarter of fiscal year 2027, projecting continued growth in net sales and adjusted diluted EPS.