Cirrus Logic Reports 4% Revenue Growth to $580.6 Million in Q3 Fiscal 2026

Cirrus Logic, Inc. reported a notable increase in financial performance for the third quarter of fiscal year 2026, with net sales reaching $580.6 million, a 4% rise from $555.7 million in the same period last year. For the first nine months, net sales totaled $1.55 billion, up 5% from $1.47 billion. The company's gross profit for the quarter was $308.1 million, yielding a gross margin of 53.1%, slightly down from 53.6% in the prior year. Net income for the quarter was $140.3 million, translating to diluted earnings per share of $2.66, compared to $2.11 in the previous year.

The financial results reflect a strategic shift in product demand, particularly in the high-performance mixed-signal (HPMS) segment, which saw a $26.7 million increase in sales driven by higher smartphone unit volumes. Conversely, audio product sales dipped by $1.8 million due to lower general market sales and anticipated pricing reductions. The company’s reliance on a limited number of customers remains significant, with Apple Inc. accounting for approximately 94% of total net sales during the quarter.

Operationally, Cirrus Logic has made strides in expanding its product offerings and market reach. The company has ramped up its latest-generation amplifier and codec in mainstream PC platforms and introduced new automotive haptic components, which are expected to drive long-term growth. The company also reported a favorable change in working capital, primarily due to a decrease in inventory and prepaid wafer balances, which contributed to a cash flow from operations of $499.2 million for the first nine months of fiscal year 2026, compared to $314.0 million in the same period last year.

Cirrus Logic's total assets increased to $2.46 billion as of December 27, 2025, up from $2.33 billion at the end of the previous fiscal period. The company’s cash and cash equivalents rose significantly to $778.1 million, reflecting a strong liquidity position. The company has also been active in stock repurchases, utilizing $210 million for this purpose in the first nine months of the fiscal year, as part of a broader strategy to return value to shareholders.

Looking ahead, Cirrus Logic remains optimistic about its growth trajectory, driven by ongoing demand for its products in smartphones and emerging markets. The company is focused on leveraging its strengths in audio and HPMS to explore new applications and expand its market presence. Management anticipates that the combination of strong cash flow, existing cash reserves, and available credit will support its operational and strategic initiatives in the near term.