Overview
- The company guided fourth-quarter revenue to $158–$178 million, below Wall Street’s $171 million view, and the stock fell about 27% to $36.07.
- CEO Stephen Chang said March-quarter results landed slightly above the midpoint of guidance on strength in chips for AI, servers, and graphics, plus gains with a key U.S. smartphone customer.
- Leaders said the December and March quarters likely marked near-term lows for sales and margins, with early improvement expected in the June quarter.
- The company reported soft demand in PCs and some consumer products, while a shift toward higher-performance parts is becoming a bigger driver of results.
- Management still expects modest full-year growth and says R&D programs now in the pipeline could set up faster growth starting in 2027, though second-half 2026 visibility is limited by memory pricing and supply risks.