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Microchip Technology MCHP Operating margin

Operating margin at other companies

Analog Devices logo
Analog DevicesADI
32.5%+9.8pp
Intel logo
IntelINTC
-5.2%-2.2pp
Texas Instruments logo
Texas InstrumentsTXN
35.3%+1.0pp
Lattice Semiconductor logo
Lattice SemiconductorLSCC
5.3%
TTM Technologies logo
TTM TechnologiesTTMI
9.2%+3.3pp
SiTime Corporation logo
SiTime CorporationSITM
-13.9%-5.8pp

Other financials

Income statement

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Revenue$1.3B+35.1%
Gross profit$799.6M+59.6%
Operating income$217.4M
Net income$144.2M+193%
EPS (diluted)$0.22+176%

Balance sheet

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Cash & equivalents$240.3M-68.9%
Total debt$5.6B-2.4%
Total equity$6.4B-9.1%
Total assets$14.4B-6.5%

Cash flow

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Operating cash flow$257.0M+24.8%
CapEx$14.2M0.0%
Free cash flow$242.8M+26.7%

Valuation

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Market cap$51.02B+34.3%
Enterprise value$56.42B+30.0%
P/E221.8×
P/S10.8×+2.2×

Profitability

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Gross margin57.7%+1.7pp
Net margin4.9%+4.9pp

Returns & leverage

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Return on equity3.4%+3.4pp
Debt / equity0.9×+0.1×
Current ratio2.1×-0.5×

Where this comes from

Calculated from Microchip Technology’s reported figures.

Based on trailing twelve months.

The official record: Microchip Technology’s 10-K, filed May 21, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Microchip Technology's operating margin?
Microchip Technology (MCHP) reported operating margin of 10.4% in Q1 2026.
What is the long-term trend for Microchip Technology's operating margin?
Over 2 years (2022 to 2024), Microchip Technology's operating margin has grown at a 24.8% compound annual growth rate (CAGR), from 94.4% to 147.1%.
What does operating margin mean?
The profit left from core operations for every dollar of sales, before interest and taxes.
How do you interpret operating margin?
Expanding operating margin shows operating leverage — revenue growing faster than the cost base. Compression points to rising overhead, pricing pressure, or investment ahead of revenue.
How does operating margin compare across companies?
Strong cross-company signal within a sector. Capital-light businesses sustain higher operating margins than capital-intensive ones.