Microchip Technology (MCHP) official guidance

Capital expenditures were $13.9 million in the June quarter, and we expect capital expenditures for fiscal year 2027 to be about $100 million.

Our non-GAAP cash tax rate was 7.5% in the June quarter, and we expect to have a tax rate of about 7.5% for all of fiscal year 2027.

We expect our non-GAAP diluted earnings per share to be between $0.91 and $0.95 per share.

We expect our non-GAAP gross margin to be between 66%-67% of sales.

I would expect with our guidance, it will drop below two and a half this quarter.

We expect our non-GAAP operating expenses to be about 27.5% of sales.

We expect our non-GAAP operating profit to be between 38.5% and 39.5% of sales.

Our net sales from the products from all other business units, which also go into the data centers, is expected to grow from $288 million in calendar year 2025 to about $500 million in calendar year 2026.

This makes the total net sales expected in calendar year 2026 from all of Microchip products, Data Center Solutions business unit, as well as all the other catalog products going into data centers as about $1 billion.

We earlier told you that our net sales from Data Center Solutions business unit is expected to be about $500 million for calendar year 2026.

This is expected to be up approximately 69% from $591 million net sales from data centers in calendar year 2025.

Taking all of these factors into account, we expect our net sales for the September quarter to be up 8% sequentially, ±1%.

I think what we are willing to say is, usually our December quarter is down 3%-5%, we think the quarter would be better than seasonal.

Capital expenditures for the quarter ending September 30, 2026 are expected to be between $20 million and $25 million.

| Diluted Common Shares Outstanding | Approximately 550.7 to 551.7 million shares | 23.8 million shares | Approximately 574.5 to 575.5 million shares |

| Diluted Common Shares Outstanding | Approximately 550.7 to 551.7 million shares | 23.8 million shares | Approximately 574.5 to 575.5 million shares |

| Diluted net income per common share | $0.53 to $0.54 | $0.38 to $0.41 | $0.91 to $0.95 |

| Gross Profit | 65.4% to 66.3% | $10.3 to $11.3 million | 66.0% to 67.0% |

| Income Tax Provision | $75.3 to $96.5 million(3) | $(52.2) to $(33.1) million | $42.2 to $44.3 million(4) |

| Income Tax Provision | $75.3 to $96.5 million(3) | $(52.2) to $(33.1) million | $42.2 to $44.3 million(4) |