Silicon Labs Non-GAAP Profit Rebounds as Medical Hits a Record

The Tip Desk · August 11, 2026 · 2 min read

Non-GAAP diluted earnings were $0.71 a share in the quarter ended July 4, 2026, after $0.53 in the prior quarter, as the company suspended guidance pending a Texas Instruments deal.

Silicon Laboratories (SLAB), the low-power wireless connectivity chip maker, reported non-GAAP diluted earnings of $0.71 a share for the quarter ended July 4, 2026, up 545% from a year earlier, after $0.53 in the prior quarter.

Revenue was $228 million, up 18% from a year earlier, after $214 million, up 20% year over year, in the first quarter. President and Chief Executive Officer Matt Johnson said the company continued strong sequential and year-over-year growth.

Industrial & Commercial revenue was $135 million, up 23% year over year, after $128 million, up 33% year over year, in the prior quarter. Home & Life revenue was $93 million, up 12% year over year, after $86 million, up 5% year over year. Medical achieved record revenue in the quarter, up 78% year over year, after 21% year-over-year growth in the first quarter.

GAAP gross margin was 61.6%, after 59.5% in the prior quarter. Non-GAAP gross margin was 61.9%, after 59.7%. Johnson said gross margin was nearly 62%, reflecting the value customers place on the company’s solutions.

GAAP operating loss was $11 million, after a $17 million GAAP operating loss in the prior quarter. Non-GAAP operating income was $27 million, after $18 million. GAAP diluted loss per share was $(0.32), improving 52% from a year earlier, after $(0.48) in the first quarter. GAAP operating expenses were $151 million. Non-GAAP operating expenses were $114 million.

Bookings and new orders accelerated, while inventory at both distributors and end customers declined, after an acceleration in bookings with declining inventory positions in the prior quarter. Total opportunity funnel and design wins both materially accelerated, after design-win momentum that exceeded internal targets and the 2025 run rate in the first quarter.

The company suspended providing forward-looking guidance due to its announced pending acquisition by Texas Instruments, matching the prior quarter’s suspension.

Cash and cash equivalents were $362.2 million at July 4, 2026. Inventories were $123.3 million. Accounts receivable, net, were $79.8 million. Stockholders’ equity was $1.09 billion.