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How Semtech (SMTC) makes money
Semtech (SMTC) made $342M of revenue in the second quarter fiscal 2027 (Q2 FY27), +33% from a year earlier. Of every dollar of revenue, 54¢ was left as gross profit, 16¢ was left as operating profit, 47¢ was left as net earnings.
Drawing the Sankey…
Where each dollar of revenue goes
| Line | Q2 FY27 | % of revenue |
|---|---|---|
| Revenue | $342M | 100.0% |
| Cost of revenue | $158M | 46.2% |
| Gross profit | $184M | 53.8% |
| Operating expenses | $128M | 37.4% |
| Operating profit | $55.8M | 16.3% |
| Net earnings | $160M | 46.8% |
| Operating cash flow | $68.9M | 20.2% |
| Free cash flow | $61.4M | 18.0% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q2 FY27 | $342M | +33% |
| Q1 FY27 | $291M | +16% |
| Q4 FY26 | $274M | +9% |
| Q3 FY26 | $267M | +13% |
| Q2 FY26 | $258M | +20% |
| Q1 FY26 | $251M | +22% |
| Q4 FY25 | $251M | +30% |
From Semtech's 10-Q filed Aug 26, 2026 (on EDGAR).
Questions
How does Semtech make money?
Semtech (SMTC) made $342M of revenue in the second quarter fiscal 2027 (Q2 FY27), +33% from a year earlier. Of every dollar of revenue, 54¢ was left as gross profit, 16¢ was left as operating profit, 47¢ was left as net earnings.
What is Semtech's profit margin?
Net earnings were $160M, 46.8% of revenue, in the second quarter fiscal 2027; the operating margin was 16.3%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.