Lattice Semiconductor Q2 profit beats estimates on AI-related server demand

Lattice Semiconductor

04/08/2026 21:08

Overview
U.S. programmable chipmaker's fiscal Q2 revenue rose 62% yr/yr, beating analyst expectations
Adjusted EPS for fiscal Q2 beat analyst expectations
Company closed $1.65 bln AMI acquisition to expand secure management and control platform

Outlook
Lattice expects Q3 2026 revenue between $245 mln and $265 mln, including AMI contribution
Company sees Q3 2026 non-GAAP gross margin at 69.5% plus or minus 1%
Lattice forecasts Q3 2026 non-GAAP EPS between $0.54 and $0.58

Result Drivers
AI-RELATED SERVER DEMAND - Co said revenue from new products grew over 60% yr/yr, led by AI-related server demand
DESIGN WIN MOMENTUM - Co reported record design wins, led by Tier 1 customers across datacenter, communications, industrial, automotive, defense and robotics applications
COMPANION CHIP PARTNERSHIPS - Co cited continued strength in companion chip momentum, with new partnerships announced during the quarter

Company press release: ID:nBw2BJk1Xa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$201.08 mln
$185.45 mln (13 Analysts)
Q2 Adjusted EPS
Beat
$0.53
$0.44 (13 Analysts)
Q2 EPS
 
$0.14
 
Q2 Net Income
 
$19.36 mln
 
Q2 Adjusted Gross Margin
 
71.70%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 1 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the semiconductors peer group is "buy"
Wall Street's median 12-month price target for Lattice Semiconductor Corp is $147.50, about 16% above its August 3 closing price of $127.18
The stock recently traded at 60 times the next 12-month earnings vs. a P/E of 70 three months ago

Reuters Recommended Reads
Aug 3 - Onsemi forecasts upbeat revenue on surging AI data center chip demand
Aug 4 - Tower Semiconductor forecasts third-quarter revenue above estimates on AI chip demand
Aug 4 - Entegris Q2 sales beat on increased semiconductor demand

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)