Analog Devices Inc · Q2 2024 earnings

Briefing

ADI delivered second quarter revenue above the midpoint of our outlook, and achieved profitability and earnings per share above the high-end of our outlook.

Analog Devices reported Q2 2024 revenue of $2.16 billion, exceeding the midpoint of their outlook. The company's profitability and EPS were above the high-end of their outlook due to the strength and resiliency of their business model, coupled with disciplined cost control.

• Revenue of $2.16 billion, above the midpoint of our outlook
• Operating cash flow of $4.3 billion and free cash flow of $3.1 billion on a trailing twelve-month basis
• Returned over $675 million to shareholders through dividends and repurchases in the second quarter
• Inventory rationalization across our broad customer base is stabilizing, clearing a path for us to return to sequential growth in the third quarter

Headline financials

Revenue & EPS history

For the third quarter of fiscal 2024, we are forecasting revenue of $2.27 billion, +/- $100 million. At the midpoint of this revenue outlook, we expect reported operating margin of approximately 20.1%, +/-200 bps, and adjusted operating margin of approximately 40.0%, +/-100 bps. We are planning for reported EPS to be $0.71, +/-$0.10, and adjusted EPS to be $1.50, +/-$0.10.