Current Assets

Allowance for Doubtful Accounts

Microchip Technology Allowance for Doubtful Accounts remained flat by 0.0% to $5.60M in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 13.8%, from $6.50M to $5.60M. Over 4 years (FY 2021 to FY 2025), Allowance for Doubtful Accounts shows an upward trend with a 3.2% CAGR. This is a positive signal — lower values indicate better performance for this metric.

Analysis

StatementBalance Sheet Statement
SectionCurrent Assets
CategoryRisk
SignalLower is better
VolatilityStable
First reportedQ4 2015
Last reportedQ3 2026Feb 5, 2026

How to read this metric

An increase suggests rising credit risk or economic stress among the customer base.

Detailed definition

A contra-asset account that represents the estimated portion of accounts receivable that the company does not expect to...

Peer comparison

Standard across all utilities; levels are often influenced by regulatory mandates regarding service disconnection policies.

Metric ID: allowance_for_doubtful_accounts

Historical Data

19 periods
 Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26Q3 '26
Value$5.00M$5.60M$6.00M$6.20M$6.90M$7.10M$7.60M$8.60M$8.60M$8.30M$8.00M$8.10M$7.40M$7.00M$6.50M$5.90M$5.70M$5.60M$5.60M
QoQ Change+12.0%+7.1%+3.3%+11.3%+2.9%+7.0%+13.2%+0.0%-3.5%-3.6%+1.3%-8.6%-5.4%-7.1%-9.2%-3.4%-1.8%+0.0%
YoY Change+38.0%+26.8%+26.7%+38.7%+24.6%+16.9%+5.3%-5.8%-14.0%-15.7%-18.8%-27.2%-23.0%-20.0%-13.8%
Range$5.00M$8.60M
CAGR+2.6%
Avg YoY Growth+2.6%
Median YoY Growth-5.8%

Allowance for Doubtful Accounts at Other Companies

Frequently Asked Questions

What is Microchip Technology's allowance for doubtful accounts?
Microchip Technology (MCHP) reported allowance for doubtful accounts of $5.60M in Q4 2025.
How has Microchip Technology's allowance for doubtful accounts changed year-over-year?
Microchip Technology's allowance for doubtful accounts decreased by 13.8% year-over-year, from $6.50M to $5.60M.
What is the long-term trend for Microchip Technology's allowance for doubtful accounts?
Over 4 years (2021 to 2025), Microchip Technology's allowance for doubtful accounts has grown at a 3.2% compound annual growth rate (CAGR), from $5.20M to $5.90M.
What does allowance for doubtful accounts mean?
The estimated amount of customer debt that the company expects will not be paid.