Microchip Technology reported strong financial results for its third quarter of fiscal 2026. Net sales reached $1.186 billion, a figure that exceeded the company's prior guidance and represented a 15.6% increase from the same period last year.

Profitability was robust, with a non-GAAP gross margin of 60.5%. The company posted non-GAAP net income of $252.8 million, resulting in non-GAAP diluted earnings per share of $0.44, which also surpassed expectations.

Demonstrating commitment to shareholder returns, Microchip returned approximately $246.1 million through dividends during the quarter and declared a quarterly cash dividend of $0.455 per share for Q4 Fiscal 2026.

Looking ahead, the company provided an optimistic outlook, forecasting mid-point Q4 net sales of $1.260 billion. This projects a strong sequential growth of 6.2% and a significant year-over-year increase of 29.8%.

ICgoodFind : Microchip's Q3 performance, marked by earnings beats and a solid dividend, reflects its operational strength. The raised sales guidance indicates sustained positive momentum for the business.