Cirrus Logic Reports Fourth Quarter Revenue of $424.5 Million and Full Fiscal Year 2025 Revenue of $1.90 Billion

5/6/25 4:00:00 PM ET

Semiconductors

Technology

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Cirrus Logic, Inc. (NASDAQ:CRUS) today posted on its website at investor.cirrus.com the quarterly shareholder letter that contains the complete financial results for the fourth quarter and full fiscal year 2025, which ended March 29, 2025, as well as the company's current business outlook.

"Cirrus Logic delivered six percent revenue growth and record earnings per share in FY25. We are pleased with our achievements during the year, with the company making excellent progress executing our strategic growth plan. In FY25, we began shipping the latest generation of our boosted amplifier and our first 22-nanometer smart codec, grew our momentum in the laptop market, and introduced a series of general market components that expand our product portfolio and revenue opportunities across a number of markets," said John Forsyth, Cirrus Logic president and chief executive officer. "With a rich portfolio of products and an exciting pipeline of innovations in development, we look forward to capitalizing on the many opportunities ahead of us to further broaden our technology and market reach."

Reported Financial Results – Fourth Quarter FY25

Revenue of $424.5 million;
GAAP and non-GAAP gross margin of 53.4 percent and 53.5 percent;
GAAP operating expenses of $140.8 million and non-GAAP operating expenses of $120.0 million; and
GAAP earnings per share of $1.31 and non-GAAP earnings per share of $1.67.

Reported Financial Results – Full Fiscal Year 2025

Revenue of $1.90 billion;
GAAP and non-GAAP gross margin of 52.5 percent and 52.6 percent;
GAAP operating expenses of $585.7 million and non-GAAP operating expenses of $494.1 million; and
GAAP earnings per share of $6.00 and non-GAAP earnings per share of $7.54.

A reconciliation of GAAP to non-GAAP financial information is included in the tables accompanying this press release.

Business Outlook – First Quarter FY26

Revenue is expected to range between $330 million and $390 million;
GAAP gross margin is forecasted to be between 51 percent and 53 percent; and
Combined GAAP R&D and SG&A expenses are anticipated to range between $141 million and $147 million, including approximately $20 million in stock-based compensation expense and $2 million in amortization of acquired intangibles, resulting in a non-GAAP operating expense range between $119 million and $125 million.

Share Repurchase Authorization

The company also announced that in March 2025 its Board of Directors authorized the repurchase of up to an additional $500 million of the company's common stock. The repurchases are expected to be funded from working capital and anticipated cash flow from operations and may occur from time to time depending on a variety of factors, including general market and economic conditions and other corporate considerations. Repurchases may be affected through a variety of means, including open market purchases, privately negotiated transactions, 10b5-1 plans, or other means, in accordance with applicable securities laws. The Company is not obligated to repurchase any specific amount of shares, and repurchases may be suspended or discontinued at any time without notice.

Cirrus Logic will host a live Q&A session at 5 p.m. EDT today to discuss its financial results and business outlook. Participants may listen to the conference call on the investor relations website at investor.cirrus.com. A replay of the webcast can be accessed on the Cirrus Logic website approximately two hours following its completion or by calling (609) 800-9909 or toll-free at (800) 770-2030 (Access Code: 95424).

About Cirrus Logic, Inc.

Cirrus Logic is a leader in low-power, high-precision mixed-signal processing solutions that create innovative user experiences for the world's top mobile and consumer applications. With headquarters in Austin, Texas, Cirrus Logic is recognized globally for its award-winning corporate culture.

Cirrus Logic, Cirrus and the Cirrus Logic logo are registered trademarks of Cirrus Logic, Inc. All other company or product names noted herein may be trademarks of their respective holders.

Use of non-GAAP Financial Information

To supplement Cirrus Logic's financial statements presented on a GAAP basis, the company has provided non-GAAP financial information, including non-GAAP net income, diluted earnings per share, operating income and profit, operating expenses, gross margin and profit, tax expense, tax expense impact on earnings per share, effective tax rate, free cash flow, and free cash flow margin. A reconciliation of the adjustments to GAAP results is included in the tables below. Non-GAAP financial information is not meant as a substitute for GAAP results but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. The non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.

Safe Harbor Statement

Except for historical information contained herein, the matters set forth in this news release contain forward-looking statements including our statement about our ability to capitalize on the many opportunities ahead of us; and our estimates for the first quarter fiscal year 2026 revenue, gross margin, combined research and development and selling, general and administrative expense levels, stock-based compensation expense, and amortization of acquired intangibles. In some cases, forward-looking statements are identified by words such as "expect," "anticipate," "target," "project," "believe," "goals," "opportunity," "estimates," "intend," and variations of these types of words and similar expressions. In addition, any statements that refer to our plans, expectations, strategies, or other characterizations of future events or circumstances are forward-looking statements. These forward-looking statements are based on our current expectations, estimates, and assumptions and are subject to certain risks and uncertainties that could cause actual results to differ materially, and readers should not place undue reliance on such statements. These risks and uncertainties include, but are not limited to, the following: the level and timing of orders and shipments during the first quarter of fiscal year 2026; customer cancellations of orders; the failure to place orders consistent with forecasts; changes in government trade policies, including the imposition of tariffs or export restrictions; and global economic conditions and uncertainty, along with the risk factors listed in our Form 10-K for the year ended March 30, 2024 and in our other filings with the Securities and Exchange Commission, which are available at www.sec.gov. The foregoing information concerning our business outlook represents our outlook as of the date of this news release, and we expressly disclaim any obligation to update or revise any forward-looking statements, whether as a result of new developments or otherwise, unless required by law.

Summary Financial Data Follows:

CONSOLIDATED CONDENSED STATEMENT OF OPERATIONS
(in thousands, except per share data; unaudited)

	Three Months Ended									Twelve Months Ended
	Mar. 29,			Dec. 28,			Mar. 30,			Mar. 29,			Mar. 30,
		2025			2024			2024			2025			2024
	Q4'25			Q3'25			Q4'24			Q4'25			Q4'24
Audio	$	255,326		$	346,272		$	226,681		$	1,137,157		$	1,083,939
High-Performance Mixed-Signal		169,130			209,466			145,146			758,920			704,951
Net sales		424,456			555,738			371,827			1,896,077			1,788,890
Cost of sales		197,720			257,951			179,202			900,039			872,818
Gross profit		226,736			297,787			192,625			996,038			916,072
Gross margin		53.4	%		53.6	%		51.8	%		52.5	%		51.2	%

Research and development		103,420			112,976			103,383			434,684			426,475
Selling, general and administrative		37,370			39,042			36,866			150,995			144,172
Restructuring costs		—			—			—			—			1,959
Total operating expenses		140,790			152,018			140,249			585,679			572,606

Income from operations		85,946			145,769			52,376			410,359			343,466

Interest income		8,604			8,146			7,360			33,086			20,578
Other income (expense)		55			(214	)		(78	)		1,469			(108	)
Income before income taxes		94,605			153,701			59,658			444,914			363,936
Provision for income taxes		23,338			37,696			14,816			113,407			89,364
Net income	$	71,267		$	116,005		$	44,842		$	331,507		$	274,572

Basic earnings per share	$	1.35		$	2.19		$	0.83		$	6.24		$	5.06
Diluted earnings per share:	$	1.31		$	2.11		$	0.81		$	6.00		$	4.90

Weighted average number of shares:
Basic		52,756			53,081			53,739			53,135			54,290
Diluted		54,324			55,076			55,559			55,241			56,021

Prepared in accordance with Generally Accepted Accounting Principles


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in thousands, except per share data; unaudited)
(not prepared in accordance with GAAP)

Non-GAAP financial information is not meant as a substitute for GAAP results, but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. As a note, the non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.

	Three Months Ended									Twelve Months Ended
	Mar. 29,			Dec. 28,			Mar. 30,			Mar. 29,			Mar. 30,
		2025			2024			2024			2025			2024
Net Income Reconciliation	Q4'25			Q3'25			Q4'24			Q4'25			Q4'24
GAAP Net Income	$	71,267		$	116,005		$	44,842		$	331,507		$	274,572
Amortization of acquisition intangibles		1,647			1,647			1,973			7,130			8,285
Stock-based compensation expense		19,491			20,823			22,158			84,146			89,271
Lease impairment		—			661			—			1,680			—
Restructuring costs		—			—			—			—			1,959
Acquisition-related costs		—			—			—			—			4,105
Adjustment to income taxes		(1,772	)		(827	)		75			(7,866	)		(8,926	)
Non-GAAP Net Income	$	90,633		$	138,309		$	69,048		$	416,597		$	369,266

Earnings Per Share Reconciliation
GAAP Diluted earnings per share	$	1.31		$	2.11		$	0.81		$	6.00		$	4.90
Effect of Amortization of acquisition intangibles		0.03			0.03			0.03			0.13			0.15
Effect of Stock-based compensation expense		0.36			0.38			0.40			1.52			1.59
Effect of Lease impairment		—			0.01			—			0.03			—
Effect of Restructuring costs		—			—			—			—			0.04
Effect of Acquisition-related costs		—			—			—			—			0.07
Effect of Adjustment to income taxes		(0.03	)		(0.02	)		—			(0.14	)		(0.16	)
Non-GAAP Diluted earnings per share	$	1.67		$	2.51		$	1.24		$	7.54		$	6.59

Operating Income Reconciliation
GAAP Operating Income	$	85,946		$	145,769		$	52,376		$	410,359		$	343,466
GAAP Operating Profit		20.2	%		26.2	%		14.1	%		21.6	%		19.2	%
Amortization of acquisition intangibles		1,647			1,647			1,973			7,130			8,285
Stock-based compensation expense - COGS		360			351			362			1,332			1,403
Stock-based compensation expense - R&D		13,079			14,498			15,483			59,184			63,678
Stock-based compensation expense - SG&A		6,052			5,974			6,313			23,630			24,190
Lease impairment		—			661			—			1,680			—
Restructuring costs		—			—			—			—			1,959
Acquisition-related costs		—			—			—			—			4,105
Non-GAAP Operating Income	$	107,084		$	168,900		$	76,507		$	503,315		$	447,086
Non-GAAP Operating Profit		25.2	%		30.4	%		20.6	%		26.5	%		25.0	%

Operating Expense Reconciliation
GAAP Operating Expenses	$	140,790		$	152,018		$	140,249		$	585,679		$	572,606
Amortization of acquisition intangibles		(1,647	)		(1,647	)		(1,973	)		(7,130	)		(8,285	)
Stock-based compensation expense - R&D		(13,079	)		(14,498	)		(15,483	)		(59,184	)		(63,678	)
Stock-based compensation expense - SG&A		(6,052	)		(5,974	)		(6,313	)		(23,630	)		(24,190	)
Lease impairment		—			(661	)		—			(1,680	)		—
Restructuring costs		—			—			—			—			(1,959	)
Acquisition-related costs		—			—			—			—			(4,105	)
Non-GAAP Operating Expenses	$	120,012		$	129,238		$	116,480		$	494,055		$	470,389

Gross Margin/Profit Reconciliation
GAAP Gross Profit	$	226,736		$	297,787		$	192,625		$	996,038		$	916,072
GAAP Gross Margin		53.4	%		53.6	%		51.8	%		52.5	%		51.2	%
Stock-based compensation expense - COGS		360			351			362			1,332			1,403
Non-GAAP Gross Profit	$	227,096		$	298,138		$	192,987		$	997,370		$	917,475
Non-GAAP Gross Margin		53.5	%		53.6	%		51.9	%		52.6	%		51.3	%

	Three Months Ended									Twelve Months Ended
	Mar. 29,			Dec. 28,			Mar. 30,			Mar. 29,			Mar. 30,
		2025			2024			2024			2025			2024
Effective Tax Rate Reconciliation	Q4'25			Q3'25			Q4'24			Q4'25			Q4'24
GAAP Tax Expense	$	23,338		$	37,696		$	14,816		$	113,407		$	89,364
GAAP Effective Tax Rate		24.7	%		24.5	%		24.8	%		25.5	%		24.6	%
Adjustments to income taxes		1,772			827			(75	)		7,866			8,926
Non-GAAP Tax Expense	$	25,110		$	38,523		$	14,741		$	121,273		$	98,290
Non-GAAP Effective Tax Rate		21.7	%		21.8	%		17.6	%		22.5	%		21.0	%

Tax Impact to EPS Reconciliation
GAAP Tax Expense	$	0.43		$	0.68		$	0.27		$	2.05		$	1.60
Adjustments to income taxes		0.03			0.02			—			0.14			0.16
Non-GAAP Tax Expense	$	0.46		$	0.70		$	0.27		$	2.19		$	1.76

CONSOLIDATED CONDENSED BALANCE SHEET
(in thousands; unaudited)

	Mar. 29,			Dec. 28,			Mar. 30,
		2025			2024			2024
ASSETS
Current assets
Cash and cash equivalents	$	539,620		$	526,444		$	502,764
Marketable securities		56,160			37,535			23,778
Accounts receivable, net		216,009			261,943			162,478
Inventories		299,092			275,558			227,248
Prepaid wafers		52,560			66,113			86,679
Other current assets		76,293			82,857			103,245
Total current Assets		1,239,734			1,250,450			1,106,192

Long-term marketable securities		239,036			252,594			173,374
Right-of-use lease assets		126,688			129,597			138,288
Property and equipment, net		159,900			163,837			170,175
Intangibles, net		27,461			23,957			29,578
Goodwill		435,936			435,936			435,936
Deferred tax asset		48,150			40,895			48,649
Long-term prepaid wafers		15,512			23,020			60,750
Other assets		34,656			42,954			68,634
Total assets	$	2,327,073		$	2,363,240		$	2,231,576

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable	$	63,162		$	77,907		$	55,545
Accrued salaries and benefits		52,075			48,029			47,612
Lease liability		21,811			21,858			20,640
Other accrued liabilities		58,140			63,119			62,596
Total current liabilities		195,188			210,913			186,393

Non-current lease liability		121,908			124,622			134,576
Non-current income taxes		44,040			43,401			52,013
Other long-term liabilities		16,488			21,506			41,580
Total long-term liabilities		182,436			189,529			228,169

Stockholders' equity:
Capital stock		1,860,281			1,840,791			1,760,701
Accumulated earnings		90,351			124,101			58,916
Accumulated other comprehensive loss		(1,183	)		(2,094	)		(2,603	)
Total stockholders' equity		1,949,449			1,962,798			1,817,014
Total liabilities and stockholders' equity	$	2,327,073		$	2,363,240		$	2,231,576

Prepared in accordance with Generally Accepted Accounting Principles


CONSOLIDATED CONDENSED STATEMENT OF CASH FLOWS
(in thousands; unaudited)

	Three Months Ended

	Mar. 29,			Mar. 30,
		2025			2024
	Q4'25			Q4'24
Cash flows from operating activities:
Net income	$	71,267		$	44,842
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		13,150			12,009
Stock-based compensation expense		19,491			22,158
Deferred income taxes		(7,497	)		(14,426	)
Loss on retirement or write-off of long-lived assets		1			2
Other non-cash charges		(33	)		86
Net change in operating assets and liabilities:
Accounts receivable, net		45,934			54,791
Inventories		(23,534	)		29,427
Prepaid wafers		21,061			10,917
Other assets		11,341			6,621
Accounts payable and other accrued liabilities		(17,937	)		(2,411	)
Income taxes payable		(2,858	)		6,510
Net cash provided by operating activities		130,386			170,526
Cash flows from investing activities:
Maturities and sales of available-for-sale marketable securities		9,392			13,614
Purchases of available-for-sale marketable securities		(13,322	)		(108,174	)
Purchases of property, equipment and software		(3,429	)		(7,057	)
Investments in technology		(5,752	)		(638	)
Net cash used in investing activities		(13,111	)		(102,255	)
Cash flows from financing activities:
Issuance of common stock, net of shares withheld for taxes		—			2,719
Repurchase of stock to satisfy employee tax withholding obligations		(4,099	)		(2,165	)
Repurchase and retirement of common stock		(100,000	)		(49,992	)
Net cash used in financing activities		(104,099	)		(49,438	)
Net increase in cash and cash equivalents		13,176			18,833
Cash and cash equivalents at beginning of period		526,444			483,931
Cash and cash equivalents at end of period	$	539,620		$	502,764

Prepared in accordance with Generally Accepted Accounting Principles


RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in thousands; unaudited)

Free cash flow, a non-GAAP financial measure, is GAAP cash flow from operations (or cash provided by operating activities) less capital expenditures. Capital expenditures include purchases of property, equipment and software as well as investments in technology, as presented within our GAAP Consolidated Condensed Statement of Cash Flows. Free cash flow margin represents free cash flow divided by revenue.

	Twelve Months Ended			Three Months Ended

	Mar. 29,			Mar. 29,			Dec. 28,			Sep. 28,			Jun. 29,
		2025			2025			2024			2024			2024
	Q4'25			Q4'25			Q3'25			Q2'25			Q1'25

Net cash provided by operating activities (GAAP)	$	444,366		$	130,386		$	218,588		$	8,231		$	87,161
Capital expenditures		(28,753	)		(9,181	)		(6,687	)		(2,740	)		(10,145	)
Free Cash Flow (Non-GAAP)	$	415,613		$	121,205		$	211,901		$	5,491		$	77,016

Cash Flow from Operations as a Percentage of Revenue (GAAP)		23	%		31	%		39	%		2	%		23	%
Capital Expenditures as a Percentage of Revenue (GAAP)		2	%		2	%		1	%		1	%		3	%
Free Cash Flow Margin (Non-GAAP)		22	%		29	%		38	%		1	%		21	%

RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION
(in millions; unaudited)
(not prepared in accordance with GAAP)

		Q1 FY26
		Guidance
Operating Expense Reconciliation
GAAP Operating Expenses		$141 - 147
Stock-based compensation expense		(20)
Amortization of acquisition intangibles		(2)
Non-GAAP Operating Expenses		$119 - 125

View source version on businesswire.com: https://www.businesswire.com/news/home/20250506973650/en/

Investor Contact:

Chelsea Heffernan

Vice President, Investor Relations

Cirrus Logic, Inc.

(512) 851-4125

[email protected]

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Date	Price Target	Rating	Analyst
2/5/2025		Hold → Buy	The Benchmark Company
11/12/2024	$130.00	Buy	Loop Capital
10/10/2024	$140.00 → $120.00	Overweight → Equal Weight	Barclays
5/16/2024		Buy → Hold	The Benchmark Company
5/8/2024	$100.00 → $115.00	Buy	TD Cowen
2/7/2024	$90.00 → $100.00	Outperform	TD Cowen
11/1/2023	$83.00 → $100.00	Hold → Buy	Loop Capital
5/22/2023	$92.00 → $80.00	Buy → Hold	Loop Capital

Cirrus Logic Reports Fourth Quarter Revenue of $424.5 Million and Full Fiscal Year 2025 Revenue of $1.90 Billion

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Director Davern Alexander M sold $105,625 worth of shares (1,000 units at $105.62), decreasing direct ownership by 5% to 20,907 units (SEC Form 4)

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