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MACOM Technology Solutions Holdings (MTSI) Q4 2026 Earnings Report

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MX:MTSI Q4 2026 EPS Results

Actual EPS
MXN 38.87
Consensus EPS
MXN 37.18
Beat/Miss
Beat by +MXN 1.69
One Year Ago EPS
MXN 17.48

MX:MTSI Q4 2026 Revenue Results

Actual Revenue
MXN 7.90B
Expected Revenue
MXN 7.82B
Beat/Miss
Beat by +MXN 83.07M
YoY Revenue Growth
+62.66%

Earnings Announcement Details

Quarter
Q4 2026
Date
11/05/2026
Time
Before Open
Conference Call
Thursday, November 5, 2026
MX:MTSI Upcoming Earnings

MACOM Technology Solutions Holdings's next earnings date is estimated for January 28, 2027, based on past reporting schedules.

Q4 2026 Earnings Call Audio

MX:MTSI Q4 2026 Earnings Call
0:00 / 0:00

Q4 2026 Earnings Slide Deck

No slide deck is available for this earnings event.

Q4 2026 Earnings Call Summary

Q4 2026
Earnings Call Date:Nov 05, 2026|% Change Since:0.00%|
Earnings Call Sentiment|Positive

The call was strongly positive, supported by record fiscal 2026 revenue, bookings, backlog, margins, earnings and cash flow, broad-based end-market growth, and an optimistic fiscal 2027 outlook. Management highlighted substantial opportunities in data center, Industrial and Defense, LEO satellite, NPO, optical interconnect and future CW laser products. The main challenges were near-term telecom softness, flat RAN demand, higher taxes, ongoing CW laser execution work and acknowledged market and execution risks, but these were outweighed by the company's financial performance and growth plans.

Company Guidance

MACOM expects fiscal Q1 ending January 1, 2027, revenue to be in the range of $450 million to $460 million, adjusted gross margin to be in the range of 62% to 63%, and adjusted earnings per share to be between $2.21 and $2.29 based on 79 million fully diluted shares; it expects approximately 15% sequential growth in data center revenue, single-digit sequential growth in Industrial and Defense revenue and flat to slightly down revenue in telecom. MACOM expects its adjusted operating margin to continue to increase and exceed 40% as it moves through fiscal 2027, its adjusted income tax rate to increase from 3% to approximately 6% for fiscal year 2027, fiscal year 2027 CapEx to be between $100 million and $110 million, and gross margin progression of 25 to 50 basis points on a quarterly basis through fiscal 2027; management’s base case today is about 80% year-over-year growth in data center, its goal is to push Industrial and Defense growth over 30%, telecom is targeted to exceed $300 million in fiscal 2027 with low double-digit growth, R&D spending should be somewhere around $300 million in 2027, and MACOM is targeting the multibillion-dollar CW laser market for 2028, with approximately $20 million of new business potentially beginning in early 2028.

  • Record Fiscal 2026 Revenue and Earnings GrowthFiscal 2026 revenue reached over $1.3 billion, up more than 37% year over year, while adjusted EPS increased more than 61% to $5.60. Annual adjusted operating margin grew by 660 basis points to 32%.
  • Strong Fourth-Quarter Financial PerformanceQ4 revenue was $424.8 million, up 24.1% sequentially and 62.7% year over year. Adjusted EPS was $2.09, adjusted net income increased 48.8% sequentially to $163.3 million, and adjusted operating income rose 142.2% year over year to a record $162.3 million.
  • Record Bookings and BacklogQ4 book-to-bill was 1.4:1, full-year book-to-bill was 1.5:1, and the company ended the fiscal year with record backlog. Management said bookings were strong across all three end markets, with data center outperforming.
  • Growth Across All End MarketsQ4 revenue increased sequentially in all markets: data center revenue was $188.1 million, up approximately 37%; Industrial and Defense revenue was $164.6 million, up 23%; and telecom revenue was $72.1 million, up 1%. Data center and Industrial and Defense both reached record revenue levels.
  • Data Center Growth OutlookManagement expects fiscal 2027 data center revenue growth to exceed fiscal 2026's 74% growth rate, with a current base case of approximately 80% year-over-year growth. The company cited growing 1.6T volumes and increased content opportunities as drivers.
  • Data Center Product ExpansionMACOM plans to expand its high-speed analog portfolio for PAM4 and coherent systems across EML, TFLN and silicon photonic platforms. Fiscal 2027 data center growth is expected to include more 200G-per-lane drivers and TIAs, increased indium phosphide capacity, coherent lite, equalizers, PCIe opportunities, 25G DFB lasers, and continued LPO growth.
  • NPO Opportunity and Hyperscaler EngagementMACOM is actively pursuing high-volume near-packaged optics opportunities with multiple hyperscalers and is sampling and developing products for NPO applications. Management described the opportunity as significant and potentially multibillion-dollar, while noting that MACOM is competing directly for these engagements.
  • 3.2T Optical Chipset IntroductionAt the CIOE and ECOC trade shows, MACOM introduced a 3.2T optical-module front-end chipset comprising two 400G-per-lane quad linear TIAs, eight 400G photodetectors with high coupling efficiency, and two modulator drivers. The solution targets next-generation AI infrastructure across thin-film lithium niobate, silicon photonics and EML architectures.
  • Industrial and Defense ExpansionFiscal 2026 Industrial and Defense revenue grew 27.8% year over year, and management is targeting even higher growth in fiscal 2027, with a goal of exceeding 30%. Growth is supported by expanding U.S. and European defense budgets, including demand for radar, drone and counter-UAS, communications, electronic warfare and hardened optical electronics.
  • New Industrial and Defense Program WinsOver the prior six months, MACOM received numerous development-program awards from large defense primes and newer neo primes for microwave and optical electronic-warfare systems, missile and drone electronics, and next-generation tactical mobile radios. The company also received follow-on orders for shipborne radar and air-to-air missile hardware.
  • Telecom Growth and LEO OpportunityFiscal 2026 telecom revenue grew approximately 11% year over year, driven primarily by 5G and SATCOM. Management expects similar growth in fiscal 2027, with LEO satellite revenue expected to grow in fiscal 2027 and fiscal 2028. A customer recently received a large-constellation contract that could represent approximately $20 million of new MACOM business beginning in early 2028.
  • V-Band Linearizer LeadershipMACOM is manufacturing and delivering V-band analog linearizers for satellite ground-station uplinks and has also won satellite-based linearizer business. Management said MACOM is the only U.S. company producing this type of linearizer, has some international competition, and is the number-one company in the space.
  • Manufacturing Capacity ExpansionMACOM is on plan to expand capacity at three wafer fabs across two U.S.-based hybrid manufacturing sites and France. The company is adding equipment within existing facilities, including capacity expansion in Lowell and RTP and migration of the French fab from 3-inch to 6-inch wafers.
  • Planned Fiscal 2027 Capital InvestmentFiscal 2027 capital expenditures are expected to be between $100 million and $110 million, compared with $64.4 million in fiscal 2026. Approximately 60% is expected to go to the three primary fabs, with the remainder supporting back-end scaling and R&D capabilities.
  • Margin ExpansionQ4 adjusted gross margin increased 160 basis points sequentially to 61.3%, driven primarily by revenue growth, product mix and factory utilization. Q4 adjusted operating margin was 38.2%, and management expects it to exceed 40% during fiscal 2027. Management also sees a path to gross margins in the mid-60s in the not-too-distant future.
  • Improved Cash Flow and Strong Balance SheetFiscal 2026 cash flow from operations increased approximately 52% to $357 million. Q4 operating cash flow was approximately $155.5 million, up 94.5% sequentially. Cash, cash equivalents and short-term investments totaled $792.4 million, and net cash was approximately $451.7 million after considering $340.7 million of convertible notes.
  • First-Quarter Fiscal 2027 GuidanceQ1 fiscal 2027 revenue is expected to be $450 million to $460 million, with adjusted gross margin of 62% to 63% and adjusted EPS of $2.21 to $2.29 based on 79 million fully diluted shares. Management expects approximately 15% sequential data center growth, single-digit sequential Industrial and Defense growth, and flat to slightly down telecom revenue.
  • Long-Term Revenue AmbitionsManagement said MACOM has the opportunity to double revenue and profits over the next couple of years. It is targeting approximately $2 billion of fiscal 2027 revenue and ultimately wants to become a $5 billion company by 2030, while acknowledging execution and market risks.
  • CW Laser Technology ProgressMACOM made significant progress improving the quality of its indium phosphide laser facets, supporting applications including continuous-wave lasers. Management said the company has a product meeting customer optical-performance requirements and is targeting the multibillion-dollar CW laser market for 2028.
  • Equalizer Product TractionFollowing a fiscal 2026 product refresh, MACOM reported very positive results for its equalizers over the prior four months. Its latest 200G equalizers appear to meet system requirements at cable companies and one hyperscaler, with additional versions and higher-data-rate products in development. Management expects some fiscal 2027 business, most likely in the back half.
  • Expanded R&D and AI InitiativeMACOM has increased R&D spending by approximately 20% annually over the past few years, from approximately $130 million in 2023 to an expected approximately $300 million in 2027. The company is evaluating and using AI in engineering, has established a dedicated AI design group, and partnered with a CAD-tool provider to obtain substantial simulation capacity.
  • Strategic Foundry BusinessMACOM continues to support customers through its open-foundry model. Approximately half of the French fab's business comes from European defense contractors, the Lowell fab serves three or four major foundry customers, and the company recently engaged a customer for indium phosphide LiDAR work.
  • Disciplined M&A and Capital AllocationManagement said recent M&A and investments have strengthened MACOM and that it maintains an active but highly selective and disciplined acquisition pipeline. The company has no current plans for share buybacks or a dividend, preferring to retain cash for internal R&D, capacity expansion and potential future acquisitions.

MX:MTSI Earnings History

MX:MTSI earnings history
Report DateFiscal QuarterForecast / EPSLast Year's EPSEPS YoY ChangePress Release
Jan 28, 20272027 (Q1)41.87-18.97――
Nov 05, 20262026 (Q4)37.1838.8717.48122.34% (+21.39)
Aug 06, 20262026 (Q3)25.1526.0416.7455.56% (+9.30)
May 07, 20262026 (Q2)19.9620.2715.8128.24% (+4.46)
Feb 05, 20262026 (Q1)18.5618.9714.6929.11% (+4.28)
Nov 06, 20252025 (Q4)17.2817.4813.5828.77% (+3.91)
Aug 07, 20252025 (Q3)16.7016.7412.2836.36% (+4.46)
May 08, 20252025 (Q2)15.6415.8110.9744.07% (+4.84)
Feb 06, 20252025 (Q1)14.6014.6910.7936.21% (+3.91)
Nov 07, 20242024 (Q4)13.6313.5810.4230.36% (+3.16)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat Missed