Cirrus Logic shares leap 5% as Q1 earnings exceed expectations

Published 05/08/2025, 21:08
 Cirrus Logic shares leap 5% as Q1 earnings exceed expectations

AUSTIN - Cirrus Logic, Inc. (NASDAQ:CRUS) shares jumped 5.7% in after hours trading Tuesday after the mixed-signal processing solutions provider reported first-quarter fiscal 2026 earnings that significantly exceeded analyst expectations, driven by strong demand for its smartphone audio components.

The company posted adjusted earnings of $1.51 per share for the quarter ended June 28, handily beating the analyst consensus of $1.08. Revenue came in at $407.3 million, well above the expected $365.04 million and up 8.9% compared to the same quarter last year. The strong performance was fueled by robust demand for the company’s custom boosted amplifier and its first 22-nanometer smart codec shipping in smartphones.

"Cirrus Logic delivered strong financial results for the June quarter driven by robust demand for our custom boosted amplifier and first 22-nanometer smart codec shipping in smartphones," said John Forsyth, Cirrus Logic president and chief executive officer.

Looking ahead, Cirrus Logic provided an optimistic outlook for the second quarter, projecting revenue between $510 million and $570 million. The midpoint of this guidance at $540 million represents significant sequential growth from the first quarter. The company also expects a non-GAAP operating expense range between $131 million and $137 million.

During the quarter, Cirrus Logic made progress on its diversification strategy, gaining traction in the laptop market and ramping production of its latest-generation components targeting professional audio, automotive, industrial, and imaging markets.

"With a growing roadmap of products and a proven track record of execution, we believe Cirrus Logic is well-positioned to grow long-term shareholder value," Forsyth added.

The company reported a gross margin of 52.6% for the quarter, reflecting its strong position in high-value audio and mixed-signal components for mobile devices.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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