Allegro MicroSystems, Inc. (“Allegro” or the “Company”)
(Nasdaq: ALGM), a global leader in power and sensing
semiconductor solutions for motion control and energy efficient
systems, today announced financial results for its third quarter
ended December 27, 2024.
“We delivered on our commitments with third
quarter sales of $178 million and non-GAAP EPS of $0.07, both above
the midpoint of our guidance,” said Vineet Nargolwala, President
and CEO of Allegro. “During the quarter, we introduced a record
number of new magnetic sensing and power products to the market,
further expanding our differentiated portfolios. This increasing
velocity further solidifies our market leadership and positions us
well for above market growth.”
Third Quarter Financial Highlights:
| In thousands, except per share
data |
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Automotive |
|
$ |
130,066 |
|
|
$ |
141,893 |
|
|
$ |
194,764 |
|
|
$ |
403,143 |
|
|
$ |
577,515 |
|
|
Industrial and other |
|
|
47,806 |
|
|
|
45,498 |
|
|
|
60,220 |
|
|
|
129,039 |
|
|
|
231,271 |
|
| Total
net sales |
|
$ |
177,872 |
|
|
$ |
187,391 |
|
|
$ |
254,984 |
|
|
$ |
532,182 |
|
|
$ |
808,786 |
|
|
GAAP Financial Measures |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Gross
margin % |
|
|
45.7 |
% |
|
|
45.7 |
% |
|
|
52.5 |
% |
|
|
45.4 |
% |
|
|
55.8 |
% |
|
Operating margin % |
|
|
— |
% |
|
|
2.2 |
% |
|
|
14.4 |
% |
|
|
(1.2 |
)% |
|
|
22.3 |
% |
| Diluted
EPS |
|
$ |
(0.04 |
) |
|
$ |
(0.18 |
) |
|
$ |
0.17 |
|
|
$ |
(0.31 |
) |
|
$ |
0.82 |
|
|
Non-GAAP Financial Measures |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Gross
margin % |
|
|
49.1 |
% |
|
|
48.8 |
% |
|
|
54.6 |
% |
|
|
48.9 |
% |
|
|
57.0 |
% |
|
Operating margin % |
|
|
10.8 |
% |
|
|
11.7 |
% |
|
|
27.2 |
% |
|
|
9.6 |
% |
|
|
29.8 |
% |
| Diluted
EPS |
|
$ |
0.07 |
|
|
$ |
0.08 |
|
|
$ |
0.32 |
|
|
$ |
0.18 |
|
|
$ |
1.11 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Business Outlook
For the fourth quarter of fiscal year 2025
ending March 28, 2025, the Company expects total net sales to be in
the range of $180 million to $190 million.
The Company also estimates the following results
on a non-GAAP basis:
- Gross Margin is expected to be
between 46% and 48%, which contemplates the impact of annual
pricing agreements ahead of cost reductions, as well as higher
capacity charges resulting from adjusted production levels in the
quarter,
- Operating expenses are expected to
increase by approximately 5% sequentially to $72 million,
primarily due to annual payroll tax resets,
- As a result of the expected
repricing of the term loan and anticipated $30 million Q4 debt
repayment, the Company now expects Interest Expense to be
approximately $6 million, and
- Diluted Earnings per Share are
expected to be between $0.03 and $0.07.
Allegro has not provided a reconciliation of its
fourth fiscal quarter outlook for non-GAAP Gross Margin, non-GAAP
Operating Expenses, non-GAAP Interest Expense, and non-GAAP Diluted
Earnings per Share because estimates of all of the reconciling
items cannot be provided without unreasonable efforts. It is
difficult to reasonably provide a forward-looking estimate between
such forward-looking non-GAAP measures and the comparable
forward-looking U.S. generally accepted accounting principles
(“GAAP”) measures. Certain factors that are materially significant
to Allegro’s ability to estimate these items are out of its control
and/or cannot be reasonably predicted.
Earnings Webcast
A webcast will be held on Thursday, January 30,
2025 at 8:30 a.m., Eastern Time. Vineet Nargolwala, President and
Chief Executive Officer, and Derek P. D’Antilio, Executive Vice
President and Chief Financial Officer, will discuss Allegro’s
business and financial results.
The webcast will be available on the Investor
Relations section of the Company’s website at
investors.allegromicro.com. A recording of the webcast will be
posted in the same location shortly after the call concludes and
will be available for at least 90 days.
About Allegro MicroSystems
Allegro MicroSystems is a leading global
designer, developer, fabless manufacturer and marketer of sensor
integrated circuits (“ICs”) and application-specific analog power
ICs enabling emerging technologies in the automotive and industrial
markets. Allegro’s diverse product portfolio provides efficient and
reliable solutions for the electrification of vehicles, automotive
ADAS safety features, automation for Industry 4.0 and power saving
technologies for data centers and clean energy applications.
Forward-Looking
Statements
This press release contains forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. We intend such forward-looking statements to be
covered by the safe harbor provisions for forward-looking
statements contained in Section 27A of the Securities Act of 1933,
as amended, and Section 21E of the Securities Exchange Act of 1934,
as amended. All statements, other than statements of historical
facts, contained in this press release including statements
regarding our future results of operations and financial position,
business strategy, prospective products and the plans and
objectives of management for future operations, including, among
others, statements regarding the liquidity, growth and
profitability strategies and factors affecting our business are
forward-looking statements. These statements involve known and
unknown risks, uncertainties and other important factors that may
cause our actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements.
Without limiting the foregoing, in some cases,
you can identify forward-looking statements by terms such as “aim,”
“may,” “will,” “should,” “expect,” “exploring,” “plan,”
“anticipate,” “could,” “intend,” “target,” “project,” “would,”
“contemplate,” “believe,” “estimate,” “predict,” “potential,”
“seek,” or “continue” or the negative of these terms or other
similar expressions, although not all forward-looking statements
contain these words. No forward-looking statement is a guarantee of
future results, performance or achievements, and one should avoid
placing undue reliance on such statements.
Forward-looking statements are based on our
management’s current expectations, beliefs and assumptions and on
information currently available to us. Such beliefs and assumptions
may or may not prove to be correct. Additionally, such
forward-looking statements are subject to a number of known and
unknown risks, uncertainties and assumptions, and actual results
may differ materially from those expressed or implied in the
forward-looking statements due to various factors, including, but
not limited to, those identified in Part II, Item 7. “Management’s
Discussion and Analysis of Financial Condition and Results of
Operations,” and Part I, Item 1A. “Risk Factors” in our Annual
Report on Form 10-K for the year ended March 29, 2024, as any such
factors may be updated from time to time in our Quarterly Reports
on Form 10-Q and our other filings with the Securities and Exchange
Commission (the “SEC”). These risks and uncertainties include, but
are not limited to: downturns or volatility in general economic
conditions; our ability to compete effectively, expand our market
share and increase our net sales and profitability; our reliance on
a limited number of third-party semiconductor wafer fabrication
facilities and suppliers of other materials; any failure to adjust
purchase commitments and inventory management based on changing
market conditions or customer demand; shifts in our product mix,
customer mix or channel mix, which could negatively impact our
gross margin; the cyclical nature of the semiconductor industry,
including the analog segment in which we compete; any downturn or
disruption in the automotive market or industry; our ability to
successfully integrate the acquisition of other companies or
technologies and products into our business; our ability to
compensate for decreases in average selling prices of our products
and increases in input costs; our ability to manage any sustained
yield problems or other delays at our third-party wafer fabrication
facilities or in the final assembly and test of our products; our
ability to accurately predict our quarterly net sales and operating
results and meet the expectations of investors; our dependence on
manufacturing operations in the Philippines; our reliance on
distributors to generate sales; events beyond our control impacting
us, our key suppliers or our manufacturing partners; our ability to
develop new product features or new products in a timely and
cost-effective manner; our ability to manage growth; any slowdown
in the growth of our end markets; the loss of one or more
significant customers; our ability to meet customers’ quality
requirements; uncertainties related to the design win process and
our ability to recover design and development expenses and to
generate timely or sufficient net sales or margins; changes in
government trade policies, including the imposition of export
restrictions and tariffs; our exposures to warranty claims, product
liability claims and product recalls; our dependence on
international customers and operations; the availability of
rebates, tax credits and other financial incentives on end-user
demands for certain products; risks, liabilities, costs and
obligations related to governmental regulations and other legal
obligations, including export/trade control, privacy, data
protection, information security, cybersecurity, consumer
protection, environmental and occupational health and safety,
antitrust, anti-corruption and anti-bribery, product safety,
environmental protection, employment matters and tax; the
volatility of currency exchange rates; our ability to raise capital
to support our growth strategy; our indebtedness may limit our
flexibility to operate our business; our ability to effectively
manage our growth and to retain key and highly skilled personnel;
our ability to protect our proprietary technology and inventions
through patents or trade secrets; our ability to commercialize our
products without infringing third-party intellectual property
rights; disruptions or breaches of our information technology
systems or confidential information or those of our third-party
service providers; our principal stockholder continues to have
influence over us; anti-takeover provisions in our organizational
documents and under the General Corporation Law of the State of
Delaware; any failure to design, implement or maintain effective
internal control over financial reporting; changes in tax rates or
the adoption of new tax legislation; the negative impacts of
sustained inflation on our business; the physical, transition and
litigation risks presented by climate change; and other events
beyond our control. Moreover, we operate in an evolving
environment. New risk factors and uncertainties may emerge from
time to time, and it is not possible for management to predict all
risk factors and uncertainties.
You should read this press release and the
documents that we reference completely and with the understanding
that our actual future results may be materially different from
what we expect. We qualify all of our forward-looking statements by
these cautionary statements. All forward-looking statements speak
only as of the date of this press release, and except as required
by applicable law, we do not plan to publicly update or revise any
forward-looking statements, whether as a result of any new
information, future events, changed circumstances or otherwise.
This press release includes certain non-GAAP
financial measures as defined by the SEC rules. These non-GAAP
financial measures are provided in addition to, and not as a
substitute for or superior to measures of, financial performance
prepared in accordance with GAAP. There are a number of limitations
related to the use of these non-GAAP financial measures versus
their most directly comparable GAAP equivalents. For example, other
companies may calculate non-GAAP financial measures differently or
may use other measures to evaluate their performance, all of which
could reduce the usefulness of the presented non-GAAP financial
measures as tools for comparison.
This press release may not be reproduced,
forwarded to any person or published, in whole or in part.
|
ALLEGRO MICROSYSTEMS, INC.CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS(in
thousands, except share and per share
amounts)(Unaudited) |
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
Net sales |
|
$ |
177,872 |
|
|
$ |
254,984 |
|
|
$ |
532,182 |
|
|
$ |
808,786 |
|
| Cost of
goods sold |
|
|
96,657 |
|
|
|
121,156 |
|
|
|
290,534 |
|
|
|
357,505 |
|
| Gross
profit |
|
|
81,215 |
|
|
|
133,828 |
|
|
|
241,648 |
|
|
|
451,281 |
|
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development |
|
|
43,317 |
|
|
|
44,396 |
|
|
|
132,031 |
|
|
|
130,799 |
|
|
Selling, general and administrative |
|
|
37,939 |
|
|
|
52,746 |
|
|
|
116,221 |
|
|
|
140,135 |
|
| Total
operating expenses |
|
|
81,256 |
|
|
|
97,142 |
|
|
|
248,252 |
|
|
|
270,934 |
|
|
Operating (loss) income |
|
|
(41 |
) |
|
|
36,686 |
|
|
|
(6,604 |
) |
|
|
180,347 |
|
| Interest
and other (expense) income |
|
|
(7,561 |
) |
|
|
(315 |
) |
|
|
(25,902 |
) |
|
|
(2,801 |
) |
| Loss on
change in fair value of forward repurchase contract |
|
|
— |
|
|
|
— |
|
|
|
(34,752 |
) |
|
|
— |
|
| (Loss)
income before income taxes |
|
|
(7,602 |
) |
|
|
36,371 |
|
|
|
(67,258 |
) |
|
|
177,546 |
|
| Income
tax (benefit) provision |
|
|
(803 |
) |
|
|
2,969 |
|
|
|
(9,233 |
) |
|
|
17,584 |
|
| Net
(loss) income |
|
|
(6,799 |
) |
|
|
33,402 |
|
|
|
(58,025 |
) |
|
|
159,962 |
|
| Net
income attributable to non-controlling interests |
|
|
61 |
|
|
|
57 |
|
|
|
185 |
|
|
|
150 |
|
| Net
(loss) income attributable to Allegro MicroSystems, Inc. |
|
$ |
(6,860 |
) |
|
$ |
33,345 |
|
|
$ |
(58,210 |
) |
|
$ |
159,812 |
|
| Net (loss) income per common
share attributable to Allegro MicroSystems, Inc.: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
(0.04 |
) |
|
$ |
0.17 |
|
|
$ |
(0.31 |
) |
|
$ |
0.83 |
|
|
Diluted |
|
$ |
(0.04 |
) |
|
$ |
0.17 |
|
|
$ |
(0.31 |
) |
|
$ |
0.82 |
|
| Weighted
average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
184,011,189 |
|
|
|
192,724,541 |
|
|
|
188,886,583 |
|
|
|
192,384,315 |
|
|
Diluted |
|
|
184,011,189 |
|
|
|
194,570,380 |
|
|
|
188,886,583 |
|
|
|
194,925,040 |
|
|
|
Supplemental Schedule of Total Net
Sales
The following table summarizes total net sales
by market within the Company’s unaudited condensed consolidated
statements of operations:
|
|
|
Three-Month Period Ended |
|
|
Change |
|
|
Nine-Month Period Ended |
|
|
Change |
|
|
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
Amount |
|
|
% |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
Amount |
|
|
% |
|
|
|
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
Automotive |
|
$ |
130,066 |
|
|
$ |
194,764 |
|
|
$ |
(64,698 |
) |
|
|
(33 |
)% |
|
$ |
403,143 |
|
|
$ |
577,515 |
|
|
$ |
(174,372 |
) |
|
|
(30 |
)% |
|
Industrial and other |
|
|
47,806 |
|
|
|
60,220 |
|
|
|
(12,414 |
) |
|
|
(21 |
)% |
|
|
129,039 |
|
|
|
231,271 |
|
|
|
(102,232 |
) |
|
|
(44 |
)% |
| Total
net sales |
|
$ |
177,872 |
|
|
$ |
254,984 |
|
|
$ |
(77,112 |
) |
|
|
(30 |
)% |
|
$ |
532,182 |
|
|
$ |
808,786 |
|
|
$ |
(276,604 |
) |
|
|
(34 |
)% |
| |
|
ALLEGRO MICROSYSTEMS, INC.CONDENSED
CONSOLIDATED BALANCE SHEETS(in
thousands) |
|
|
|
|
|
December 27, |
|
|
March 29, |
|
|
|
|
2024 (Unaudited) |
|
|
2024 |
|
|
Assets |
|
|
|
|
|
|
| Current
assets: |
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
138,452 |
|
|
$ |
212,143 |
|
|
Restricted cash |
|
|
10,510 |
|
|
|
10,018 |
|
|
Trade accounts receivable, net |
|
|
83,805 |
|
|
|
118,508 |
|
|
Inventories |
|
|
193,140 |
|
|
|
162,302 |
|
|
Prepaid income taxes |
|
|
36,037 |
|
|
|
31,908 |
|
|
Prepaid expenses and other current assets |
|
|
33,683 |
|
|
|
33,584 |
|
|
Current portion of related party notes receivable |
|
|
— |
|
|
|
3,750 |
|
|
Total current assets |
|
|
495,627 |
|
|
|
572,213 |
|
|
Property, plant and equipment, net |
|
|
320,975 |
|
|
|
321,175 |
|
|
Deferred income tax assets |
|
|
65,398 |
|
|
|
54,496 |
|
|
Goodwill |
|
|
202,101 |
|
|
|
202,425 |
|
|
Intangible assets, net |
|
|
261,553 |
|
|
|
276,854 |
|
|
Related party notes receivable, less current portion |
|
|
— |
|
|
|
4,688 |
|
|
Equity investment in related party |
|
|
30,914 |
|
|
|
26,727 |
|
|
Other assets |
|
|
65,172 |
|
|
|
72,025 |
|
|
Total assets |
|
$ |
1,441,740 |
|
|
$ |
1,530,603 |
|
|
Liabilities, Non-Controlling Interests and Stockholders’
Equity |
|
|
|
|
|
|
| Current
liabilities: |
|
|
|
|
|
|
|
Trade accounts payable |
|
$ |
39,685 |
|
|
$ |
35,964 |
|
|
Amounts due to related party |
|
|
2,102 |
|
|
|
1,626 |
|
|
Accrued expenses and other current liabilities |
|
|
57,751 |
|
|
|
76,389 |
|
|
Current portion of long-term debt |
|
|
1,374 |
|
|
|
3,929 |
|
|
Total current liabilities |
|
|
100,912 |
|
|
|
117,908 |
|
|
Long-term debt |
|
|
374,729 |
|
|
|
249,611 |
|
|
Other long-term liabilities |
|
|
31,673 |
|
|
|
31,368 |
|
|
Total liabilities |
|
|
507,314 |
|
|
|
398,887 |
|
|
Commitments and contingencies |
|
|
|
|
|
|
|
Stockholders’ Equity: |
|
|
|
|
|
|
|
Preferred stock |
|
|
— |
|
|
|
— |
|
|
Common stock |
|
|
1,840 |
|
|
|
1,932 |
|
|
Additional paid-in capital |
|
|
1,004,080 |
|
|
|
694,332 |
|
|
(Accumulated deficit) retained earnings |
|
|
(38,791 |
) |
|
|
463,012 |
|
|
Accumulated other comprehensive loss |
|
|
(34,084 |
) |
|
|
(28,841 |
) |
|
Equity attributable to Allegro MicroSystems, Inc. |
|
|
933,045 |
|
|
|
1,130,435 |
|
|
Non-controlling interests |
|
|
1,381 |
|
|
|
1,281 |
|
|
Total stockholders’ equity |
|
|
934,426 |
|
|
|
1,131,716 |
|
|
Total liabilities, non-controlling interests and stockholders’
equity |
|
$ |
1,441,740 |
|
|
$ |
1,530,603 |
|
|
ALLEGRO MICROSYSTEMS, INC.CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS(in
thousands)(Unaudited) |
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income |
|
$ |
(6,799 |
) |
|
$ |
33,402 |
|
|
$ |
(58,025 |
) |
|
$ |
159,962 |
|
|
Adjustments to reconcile net (loss) income to net cash provided by
operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
16,123 |
|
|
|
20,195 |
|
|
|
48,578 |
|
|
|
49,548 |
|
|
Amortization of deferred financing costs |
|
|
694 |
|
|
|
185 |
|
|
|
1,781 |
|
|
|
292 |
|
|
Deferred income taxes |
|
|
(3,751 |
) |
|
|
(10,119 |
) |
|
|
(11,546 |
) |
|
|
(28,253 |
) |
|
Stock-based compensation |
|
|
10,588 |
|
|
|
10,920 |
|
|
|
32,251 |
|
|
|
32,839 |
|
|
Loss on change in fair value of forward repurchase contract |
|
|
— |
|
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
Provisions for inventory and expected credit losses |
|
|
3,031 |
|
|
|
429 |
|
|
|
7,519 |
|
|
|
9,851 |
|
|
Change in fair value of marketable securities |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,579 |
|
|
Other non-cash reconciling items |
|
|
68 |
|
|
|
(25 |
) |
|
|
6,645 |
|
|
|
18 |
|
| Changes
in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade accounts receivable |
|
|
(7,061 |
) |
|
|
5,081 |
|
|
|
34,356 |
|
|
|
(2,564 |
) |
|
Inventories |
|
|
(19,243 |
) |
|
|
11,312 |
|
|
|
(38,074 |
) |
|
|
(19,909 |
) |
|
Prepaid expenses and other assets |
|
|
14,407 |
|
|
|
7,368 |
|
|
|
(1,401 |
) |
|
|
(13,085 |
) |
|
Trade accounts payable |
|
|
(8,203 |
) |
|
|
(12,299 |
) |
|
|
5,467 |
|
|
|
(9,604 |
) |
|
Due to and from related parties |
|
|
(3,568 |
) |
|
|
705 |
|
|
|
564 |
|
|
|
6,817 |
|
|
Accrued expenses and other current and long-term liabilities |
|
|
(4,469 |
) |
|
|
9,404 |
|
|
|
(21,307 |
) |
|
|
(20,540 |
) |
| Net cash
(used in) provided by operating activities |
|
|
(8,183 |
) |
|
|
76,558 |
|
|
|
41,560 |
|
|
|
168,951 |
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of property, plant and equipment |
|
|
(13,615 |
) |
|
|
(34,399 |
) |
|
|
(34,564 |
) |
|
|
(110,500 |
) |
|
Acquisition of business, net of cash acquired |
|
|
319 |
|
|
|
(408,119 |
) |
|
|
319 |
|
|
|
(408,119 |
) |
|
Sales of marketable securities |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
16,175 |
|
| Net cash
used in investing activities |
|
|
(13,296 |
) |
|
|
(442,518 |
) |
|
|
(34,245 |
) |
|
|
(502,444 |
) |
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net proceeds from Refinanced 2023 Term Loan Facility |
|
|
— |
|
|
|
— |
|
|
|
193,483 |
|
|
|
— |
|
|
Repayment of 2023 Term Loan Facility |
|
|
(25,000 |
) |
|
|
— |
|
|
|
(75,000 |
) |
|
|
— |
|
|
Borrowings of senior secured debt, net of deferred financing
costs |
|
|
— |
|
|
|
245,452 |
|
|
|
— |
|
|
|
245,452 |
|
|
Repayment of 2020 Term Loan Facility |
|
|
— |
|
|
|
(25,000 |
) |
|
|
— |
|
|
|
(25,000 |
) |
|
Repayments of other debt |
|
|
— |
|
|
|
(743 |
) |
|
|
— |
|
|
|
(743 |
) |
|
Finance lease payments |
|
|
(318 |
) |
|
|
— |
|
|
|
(703 |
) |
|
|
— |
|
|
Receipts on related party notes receivable |
|
|
— |
|
|
|
938 |
|
|
|
1,875 |
|
|
|
2,813 |
|
|
Payments for taxes related to net share settlement of equity
awards |
|
|
(483 |
) |
|
|
(10,732 |
) |
|
|
(12,780 |
) |
|
|
(24,823 |
) |
|
Proceeds from issuance of common stock under employee stock
purchase plan |
|
|
— |
|
|
|
— |
|
|
|
1,987 |
|
|
|
1,899 |
|
|
Repurchases of common stock |
|
|
(116 |
) |
|
|
— |
|
|
|
(853,921 |
) |
|
|
— |
|
|
Net proceeds from issuance of common stock |
|
|
— |
|
|
|
— |
|
|
|
665,850 |
|
|
|
— |
|
|
Payment of debt issuance costs |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,450 |
) |
| Net cash
(used in) provided by financing activities |
|
|
(25,917 |
) |
|
|
209,915 |
|
|
|
(79,209 |
) |
|
|
198,148 |
|
| Effect
of exchange rate changes on cash and cash equivalents and
restricted cash |
|
|
(2,680 |
) |
|
|
1,349 |
|
|
|
(1,305 |
) |
|
|
375 |
|
| Net
(decrease) increase in cash and cash equivalents and restricted
cash |
|
|
(50,076 |
) |
|
|
(154,696 |
) |
|
|
(73,199 |
) |
|
|
(134,970 |
) |
| Cash and
cash equivalents and restricted cash at beginning of period |
|
|
199,038 |
|
|
|
378,431 |
|
|
|
222,161 |
|
|
|
358,705 |
|
|
Cash and cash equivalents and restricted cash at end of
period: |
|
$ |
148,962 |
|
|
$ |
223,735 |
|
|
$ |
148,962 |
|
|
$ |
223,735 |
|
| |
Non-GAAP Financial Measures
In addition to the measures presented in our
condensed consolidated financial statements, we regularly review
other measures, defined as non-GAAP financial measures by the SEC,
to evaluate our business, measure our performance, identify trends,
prepare financial forecasts and make strategic decisions. The key
measures we consider are non-GAAP Gross Profit, non-GAAP Gross
Margin, non-GAAP Operating Expenses, non-GAAP Operating Income,
non-GAAP Operating Margin, EBITDA, Adjusted EBITDA, Adjusted EBITDA
margin, non-GAAP Profit before Tax, non-GAAP Income Tax Provision,
non-GAAP Effective Tax Rate, non-GAAP Net Income Attributable to
Allegro MicroSystems, Inc, non-GAAP Basic and Diluted Earnings per
Share, non-GAAP Free Cash Flow, and non-GAAP Free Cash Flow as
percentage of net sales (collectively, the “Non-GAAP Financial
Measures”). These Non-GAAP Financial Measures provide supplemental
information regarding our operating performance on a non-GAAP basis
that excludes certain gains, losses and charges of a non-cash
nature or that occur relatively infrequently and/or that management
considers to be unrelated to our core operations, and in the case
of non-GAAP Income Tax Provision, management believes that this
non-GAAP measure of income taxes provides it with the ability to
evaluate the non-GAAP Income Tax Provision across different
reporting periods on a consistent basis, independent of special
items and discrete items, which may vary in size and frequency.
These Non-GAAP Financial Measures are used by both management and
our board of directors, together with the comparable GAAP
information, in evaluating our current performance and planning our
future business activities.
The Non-GAAP Financial Measures are supplemental
measures of our performance that are neither required by, nor
presented in accordance with, GAAP. These Non-GAAP Financial
Measures should not be considered as substitutes for GAAP financial
measures, such as gross profit, gross margin, net income or any
other performance measures derived in accordance with GAAP. Also,
in the future we may incur expenses or charges, such as those being
adjusted in the calculation of these Non-GAAP Financial Measures.
Our presentation of these Non-GAAP Financial Measures should not be
construed as an inference that future results will be unaffected by
unusual or nonrecurring items. These Non-GAAP Financial Measures
exclude costs related to acquisition and related integration
expenses, amortization of acquired intangible assets, stock-based
compensation, restructuring actions, related-party activities and
other non-operational costs.
Non-GAAP Income Tax
Provision
In calculating non-GAAP Income Tax Provision, we
have added back the following to GAAP Income Tax Provision:
- Tax effect of adjustments to GAAP results—Represents the
estimated income tax effect of the adjustments to non-GAAP Profit
before Tax described below and elimination of discrete tax
adjustments.
|
Reconciliation of Non-GAAP Gross Profit and Non-GAAP Gross
Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
|
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Gross Profit |
|
$ |
81,215 |
|
|
$ |
85,662 |
|
|
$ |
133,828 |
|
|
$ |
241,648 |
|
|
$ |
451,281 |
|
|
GAAP Gross Margin (% of net sales) |
|
|
45.7 |
% |
|
|
45.7 |
% |
|
|
52.5 |
% |
|
|
45.4 |
% |
|
|
55.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Non-GAAP
adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
5 |
|
|
|
10 |
|
|
|
523 |
|
|
|
14 |
|
|
|
523 |
|
|
Purchased intangible amortization |
|
|
4,875 |
|
|
|
4,875 |
|
|
|
3,648 |
|
|
|
14,625 |
|
|
|
4,323 |
|
|
Restructuring costs |
|
|
522 |
|
|
|
16 |
|
|
|
166 |
|
|
|
1,738 |
|
|
|
166 |
|
|
Stock-based compensation |
|
|
802 |
|
|
|
817 |
|
|
|
1,073 |
|
|
|
2,180 |
|
|
|
4,625 |
|
|
Total Non-GAAP Adjustments |
|
$ |
6,204 |
|
|
$ |
5,718 |
|
|
$ |
5,410 |
|
|
$ |
18,557 |
|
|
$ |
9,637 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Gross Profit |
|
$ |
87,419 |
|
|
$ |
91,380 |
|
|
$ |
139,238 |
|
|
$ |
260,205 |
|
|
$ |
460,918 |
|
|
Non-GAAP Gross Margin (% of net sales) |
|
|
49.1 |
% |
|
|
48.8 |
% |
|
|
54.6 |
% |
|
|
48.9 |
% |
|
|
57.0 |
% |
|
Reconciliation of Non-GAAP Operating Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
|
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Operating Expenses |
|
$ |
81,256 |
|
|
$ |
81,595 |
|
|
$ |
97,142 |
|
|
$ |
248,252 |
|
|
$ |
270,934 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and Development Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| GAAP
Research and Development Expenses |
|
|
43,317 |
|
|
|
43,510 |
|
|
|
44,396 |
|
|
|
132,031 |
|
|
|
130,799 |
|
| Non-GAAP
adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
333 |
|
|
|
206 |
|
|
|
343 |
|
|
|
1,568 |
|
|
|
352 |
|
|
Restructuring costs |
|
|
568 |
|
|
|
260 |
|
|
|
908 |
|
|
|
997 |
|
|
|
908 |
|
|
Stock-based compensation |
|
|
3,960 |
|
|
|
3,523 |
|
|
|
3,870 |
|
|
|
11,218 |
|
|
|
10,340 |
|
|
Other costs(1) |
|
|
— |
|
|
|
3 |
|
|
|
— |
|
|
|
3 |
|
|
|
— |
|
| Non-GAAP
Research and Development Expenses |
|
|
38,456 |
|
|
|
39,518 |
|
|
|
39,275 |
|
|
|
118,245 |
|
|
|
119,199 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, General and Administrative Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| GAAP
Selling, General and Administrative Expenses |
|
|
37,939 |
|
|
|
38,085 |
|
|
|
52,746 |
|
|
|
116,221 |
|
|
|
140,135 |
|
| Non-GAAP
adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
148 |
|
|
|
275 |
|
|
|
9,543 |
|
|
|
1,237 |
|
|
|
14,419 |
|
|
Purchased intangible amortization |
|
|
535 |
|
|
|
535 |
|
|
|
495 |
|
|
|
1,605 |
|
|
|
1,210 |
|
|
Restructuring costs |
|
|
1,264 |
|
|
|
2,046 |
|
|
|
5,795 |
|
|
|
4,355 |
|
|
|
5,795 |
|
|
Stock-based compensation |
|
|
5,826 |
|
|
|
7,205 |
|
|
|
5,977 |
|
|
|
18,853 |
|
|
|
17,874 |
|
|
Other costs(1) |
|
|
391 |
|
|
|
(1,820 |
) |
|
|
283 |
|
|
|
(618 |
) |
|
|
383 |
|
| Non-GAAP
Selling, General and Administrative Expenses |
|
|
29,775 |
|
|
|
29,844 |
|
|
|
30,653 |
|
|
|
90,789 |
|
|
|
100,454 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Non-GAAP Adjustments |
|
|
13,025 |
|
|
|
12,233 |
|
|
|
27,214 |
|
|
|
39,218 |
|
|
|
51,281 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Operating Expenses |
|
$ |
68,231 |
|
|
$ |
69,362 |
|
|
$ |
69,928 |
|
|
$ |
209,034 |
|
|
$ |
219,653 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Included in
non-GAAP other costs are non-recurring charges that are
individually immaterial for separate disclosure, such as project
evaluation costs, which consist of costs and estimated costs
incurred in connection with debt and equity financings or other
non-recurring transactions. |
|
|
Reconciliation of Non-GAAP Operating Income and Non-GAAP
Operating Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
| |
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Operating (Loss) Income |
|
$ |
(41 |
) |
|
$ |
4,067 |
|
|
$ |
36,686 |
|
|
$ |
(6,604 |
) |
|
$ |
180,347 |
|
|
GAAP Operating Margin (% of net sales) |
|
|
— |
% |
|
|
2.2 |
% |
|
|
14.4 |
% |
|
|
(1.2 |
)% |
|
|
22.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
486 |
|
|
|
491 |
|
|
|
10,409 |
|
|
|
2,819 |
|
|
|
15,294 |
|
|
Purchased intangible amortization |
|
|
5,410 |
|
|
|
5,410 |
|
|
|
4,143 |
|
|
|
16,230 |
|
|
|
5,533 |
|
|
Restructuring costs |
|
|
2,354 |
|
|
|
2,322 |
|
|
|
6,869 |
|
|
|
7,090 |
|
|
|
6,869 |
|
|
Stock-based compensation |
|
|
10,588 |
|
|
|
11,545 |
|
|
|
10,920 |
|
|
|
32,251 |
|
|
|
32,839 |
|
|
Other costs(1) |
|
|
391 |
|
|
|
(1,817 |
) |
|
|
283 |
|
|
|
(615 |
) |
|
|
383 |
|
|
Total Non-GAAP Adjustments |
|
$ |
19,229 |
|
|
$ |
17,951 |
|
|
$ |
32,624 |
|
|
$ |
57,775 |
|
|
$ |
60,918 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Operating Income |
|
$ |
19,188 |
|
|
$ |
22,018 |
|
|
$ |
69,310 |
|
|
$ |
51,171 |
|
|
$ |
241,265 |
|
|
Non-GAAP Operating Margin (% of net sales) |
|
|
10.8 |
% |
|
|
11.7 |
% |
|
|
27.2 |
% |
|
|
9.6 |
% |
|
|
29.8 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Included in
non-GAAP other costs are non-recurring charges that are
individually immaterial for separate disclosure, such as project
evaluation costs, which consist of costs and estimated costs
incurred in connection with debt and equity financings or other
non-recurring transactions. |
|
|
Reconciliation of EBITDA, Adjusted EBITDA and Adjusted
EBITDA Margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
| |
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Net (Loss) Income |
|
$ |
(6,799 |
) |
|
$ |
(33,613 |
) |
|
$ |
33,402 |
|
|
$ |
(58,025 |
) |
|
$ |
159,962 |
|
|
GAAP Net (Loss) Income Margin (% of net
sales) |
|
|
(3.8 |
)% |
|
|
(17.9 |
)% |
|
|
13.1 |
% |
|
|
(10.9 |
)% |
|
|
19.8 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense |
|
|
7,762 |
|
|
|
10,353 |
|
|
|
3,854 |
|
|
|
23,492 |
|
|
|
5,381 |
|
|
Interest income |
|
|
(388 |
) |
|
|
(420 |
) |
|
|
(857 |
) |
|
|
(1,302 |
) |
|
|
(2,550 |
) |
|
Income tax (benefit) provision |
|
|
(803 |
) |
|
|
(9,470 |
) |
|
|
2,969 |
|
|
|
(9,233 |
) |
|
|
17,584 |
|
|
Depreciation & amortization |
|
|
16,123 |
|
|
|
15,997 |
|
|
|
20,227 |
|
|
|
48,578 |
|
|
|
49,645 |
|
|
EBITDA |
|
$ |
15,895 |
|
|
$ |
(17,153 |
) |
|
$ |
59,595 |
|
|
$ |
3,510 |
|
|
$ |
230,022 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
486 |
|
|
|
3,295 |
|
|
|
10,409 |
|
|
|
5,623 |
|
|
|
15,294 |
|
|
Restructuring costs |
|
|
2,354 |
|
|
|
2,067 |
|
|
|
6,869 |
|
|
|
6,835 |
|
|
|
6,869 |
|
|
Stock-based compensation |
|
|
10,588 |
|
|
|
11,545 |
|
|
|
10,920 |
|
|
|
32,251 |
|
|
|
32,839 |
|
|
Loss on change in fair value of forward repurchase contract |
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
Other costs(1) |
|
|
998 |
|
|
|
(2,195 |
) |
|
|
(551 |
) |
|
|
1,610 |
|
|
|
5,339 |
|
|
Adjusted EBITDA |
|
$ |
30,321 |
|
|
$ |
32,311 |
|
|
$ |
87,242 |
|
|
$ |
84,581 |
|
|
$ |
290,363 |
|
|
Adjusted EBITDA Margin (% of net sales) |
|
|
17.0 |
% |
|
|
17.2 |
% |
|
|
34.2 |
% |
|
|
15.9 |
% |
|
|
35.9 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Included in
non-GAAP other costs are non-recurring charges that are
individually immaterial for separate disclosure, such as project
evaluation costs, which consist of costs and estimated costs
incurred in connection with debt and equity financings or other
non-recurring transactions, and income (loss) in earnings of equity
investments. |
|
|
Reconciliation of Non-GAAP Profit before Tax |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
| |
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP (Loss) Income before Income Taxes |
|
$ |
(7,602 |
) |
|
$ |
(43,083 |
) |
|
$ |
36,371 |
|
|
$ |
(67,258 |
) |
|
$ |
177,546 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
486 |
|
|
|
3,295 |
|
|
|
10,409 |
|
|
|
5,623 |
|
|
|
15,294 |
|
|
Transaction-related interest |
|
|
192 |
|
|
|
141 |
|
|
|
162 |
|
|
|
1,042 |
|
|
|
162 |
|
|
Purchased intangible amortization |
|
|
5,410 |
|
|
|
5,410 |
|
|
|
4,143 |
|
|
|
16,230 |
|
|
|
5,533 |
|
|
Restructuring costs |
|
|
2,354 |
|
|
|
2,067 |
|
|
|
6,869 |
|
|
|
6,835 |
|
|
|
6,869 |
|
|
Stock-based compensation |
|
|
10,588 |
|
|
|
11,545 |
|
|
|
10,920 |
|
|
|
32,251 |
|
|
|
32,839 |
|
|
Loss on change in fair value of forward repurchase contract |
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
Other costs(1) |
|
|
1,427 |
|
|
|
1,428 |
|
|
|
(551 |
) |
|
|
5,662 |
|
|
|
5,339 |
|
|
Total Non-GAAP Adjustments |
|
$ |
20,457 |
|
|
$ |
58,638 |
|
|
$ |
31,952 |
|
|
$ |
102,395 |
|
|
$ |
66,036 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Profit before Tax |
|
$ |
12,855 |
|
|
$ |
15,555 |
|
|
$ |
68,323 |
|
|
$ |
35,137 |
|
|
$ |
243,582 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Included in
non-GAAP other costs are non-recurring charges that are
individually immaterial for separate disclosure, such as project
evaluation costs, which consist of costs and estimated costs
incurred in connection with debt and equity financings or other
non-recurring transactions, and income (loss) in earnings of equity
investments. |
|
|
Reconciliation of Non-GAAP Income Tax Provision and
Non-GAAP Effective Tax Rate |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
| |
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Income Tax (Benefit) Provision |
|
$ |
(803 |
) |
|
$ |
(9,470 |
) |
|
$ |
2,969 |
|
|
$ |
(9,233 |
) |
|
$ |
17,584 |
|
|
GAAP effective tax rate |
|
|
10.6 |
% |
|
|
22.0 |
% |
|
|
8.2 |
% |
|
|
13.7 |
% |
|
|
9.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax effect of adjustments to GAAP results |
|
|
398 |
|
|
|
10,071 |
|
|
|
3,748 |
|
|
|
10,074 |
|
|
|
10,128 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Income Tax (Benefit) Provision |
|
$ |
(405 |
) |
|
$ |
601 |
|
|
$ |
6,717 |
|
|
$ |
841 |
|
|
$ |
27,712 |
|
| Non-GAAP
effective tax rate |
|
|
(3.2 |
)% |
|
|
3.9 |
% |
|
|
9.8 |
% |
|
|
2.4 |
% |
|
|
11.4 |
% |
|
Reconciliation of Non-GAAP Net Income Attributable to
Allegro MicroSystems, Inc. and Non-GAAP Earnings per
Share |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
| |
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Net (Loss) Income Attributable to Allegro
MicroSystems, Inc.(1) |
|
$ |
(6,860 |
) |
|
$ |
(33,675 |
) |
|
$ |
33,345 |
|
|
$ |
(58,210 |
) |
|
$ |
159,812 |
|
| GAAP
Basic weighted average common shares |
|
|
184,011,189 |
|
|
|
189,182,850 |
|
|
|
192,724,541 |
|
|
|
188,886,583 |
|
|
|
192,384,315 |
|
|
GAAP Diluted weighted average common shares |
|
|
184,011,189 |
|
|
|
189,182,850 |
|
|
|
194,570,380 |
|
|
|
188,886,583 |
|
|
|
194,925,040 |
|
|
GAAP Basic (Loss) Earnings per Share |
|
$ |
(0.04 |
) |
|
$ |
(0.18 |
) |
|
$ |
0.17 |
|
|
$ |
(0.31 |
) |
|
$ |
0.83 |
|
|
GAAP Diluted (Loss) Earnings per Share |
|
$ |
(0.04 |
) |
|
$ |
(0.18 |
) |
|
$ |
0.17 |
|
|
$ |
(0.31 |
) |
|
$ |
0.82 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-related costs |
|
|
486 |
|
|
|
3,295 |
|
|
|
10,409 |
|
|
|
5,623 |
|
|
|
15,294 |
|
|
Transaction-related interest |
|
|
192 |
|
|
|
141 |
|
|
|
162 |
|
|
|
1,042 |
|
|
|
162 |
|
|
Purchased intangible amortization |
|
|
5,410 |
|
|
|
5,410 |
|
|
|
4,143 |
|
|
|
16,230 |
|
|
|
5,533 |
|
|
Restructuring costs |
|
|
2,354 |
|
|
|
2,067 |
|
|
|
6,869 |
|
|
|
6,835 |
|
|
|
6,869 |
|
|
Stock-based compensation |
|
|
10,588 |
|
|
|
11,545 |
|
|
|
10,920 |
|
|
|
32,251 |
|
|
|
32,839 |
|
|
Loss on change in fair value of forward repurchase contract |
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
|
34,752 |
|
|
|
— |
|
|
Other costs(2) |
|
|
1,427 |
|
|
|
1,428 |
|
|
|
(551 |
) |
|
|
5,662 |
|
|
|
5,339 |
|
|
Total Non-GAAP Adjustments |
|
|
20,457 |
|
|
|
58,638 |
|
|
|
31,952 |
|
|
|
102,395 |
|
|
|
66,036 |
|
|
Tax effect of adjustments to GAAP results(3) |
|
|
(398 |
) |
|
|
(10,071 |
) |
|
|
(3,748 |
) |
|
|
(10,074 |
) |
|
|
(10,128 |
) |
|
Non-GAAP Net Income Attributable to Allegro MicroSystems,
Inc. |
|
$ |
13,199 |
|
|
$ |
14,892 |
|
|
$ |
61,549 |
|
|
$ |
34,111 |
|
|
$ |
215,720 |
|
| Basic
weighted average common shares |
|
|
184,011,189 |
|
|
|
189,182,850 |
|
|
|
192,724,541 |
|
|
|
188,886,583 |
|
|
|
192,384,315 |
|
|
Diluted weighted average common shares |
|
|
184,485,792 |
|
|
|
189,710,595 |
|
|
|
194,570,380 |
|
|
|
189,577,693 |
|
|
|
194,925,040 |
|
|
Non-GAAP Basic Earnings per Share |
|
$ |
0.07 |
|
|
$ |
0.08 |
|
|
$ |
0.32 |
|
|
$ |
0.18 |
|
|
$ |
1.12 |
|
|
Non-GAAP Diluted Earnings per Share |
|
$ |
0.07 |
|
|
$ |
0.08 |
|
|
$ |
0.32 |
|
|
$ |
0.18 |
|
|
$ |
1.11 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) GAAP Net
(Loss) Income Attributable to Allegro MicroSystems, Inc. represents
GAAP Net (Loss) Income adjusted for Net Income Attributable to
non-controlling interests. |
|
| (2) Included in
non-GAAP other costs are non-recurring charges that are
individually immaterial for separate disclosure, such as project
evaluation costs, which consists of costs and estimated costs
incurred in connection with debt and equity financings or other
non-recurring transactions, income (loss) in earnings of equity
investments, and unrealized losses (gains) on investments. |
|
| (3) To calculate
the tax effect of adjustments to GAAP results, the Company
considers each non-GAAP adjustment by tax jurisdiction and reverses
all discrete items to calculate an annual non-GAAP effective tax
rate (“NG ETR”). This NG ETR is then applied to Non-GAAP
Profit Before Tax to arrive at the tax effect of adjustments to
GAAP results. |
|
|
Reconciliation of Non-GAAP Free Cash Flow and Non-GAAP Free
Cash Flow as Percentage of Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three-Month Period Ended |
|
|
Nine-Month Period Ended |
|
|
|
|
December 27, 2024 |
|
|
September 27, 2024 |
|
|
December 29, 2023 |
|
|
December 27, 2024 |
|
|
December 29, 2023 |
|
|
|
|
(Dollars in thousands) |
|
|
(Dollars in thousands) |
|
|
GAAP Operating Cash Flow |
|
$ |
(8,183 |
) |
|
$ |
15,547 |
|
|
$ |
76,558 |
|
|
$ |
41,560 |
|
|
$ |
168,951 |
|
|
GAAP Operating Cash Flow (% of net sales) |
|
|
-4.6 |
% |
|
|
8.3 |
% |
|
|
30.0 |
% |
|
|
7.8 |
% |
|
|
20.9 |
% |
| Non-GAAP
adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of property, plant and equipment |
|
|
(13,615 |
) |
|
|
(9,972 |
) |
|
|
(34,399 |
) |
|
|
(34,564 |
) |
|
|
(110,500 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Free Cash Flow |
|
$ |
(21,798 |
) |
|
$ |
5,575 |
|
|
$ |
42,159 |
|
|
$ |
6,996 |
|
|
$ |
58,451 |
|
|
Non-GAAP Free Cash Flow (% of net sales) |
|
|
(12.3 |
)% |
|
|
3.0 |
% |
|
|
16.5 |
% |
|
|
1.3 |
% |
|
|
7.2 |
% |
Investor Contact:Jalene
HooverVP of Investor Relations & Corporate Communications+1
(512) 751-6526jhoover@allegromicro.com
Allegro MicroSystems (NASDAQ:ALGM)
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From Jan 2025 to Feb 2025
Allegro MicroSystems (NASDAQ:ALGM)
Historical Stock Chart
From Feb 2024 to Feb 2025
