Lattice Semiconductor Delivers Record Q2 Revenue of $201M, Up 62% YoY, and Closes $1B AMI Acquisition
LSCC has more than doubled off its 52-week low of $48.34.
Summary
Lattice Semiconductor posted record Q2 2026 revenue of $201.1 million, up 62% YoY, with GAAP EPS of $0.14. The company also completed its $1 billion acquisition of AMI, funded by $925 million in new debt.
Key Events · Earnings and Guidance · LSCC
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Record Q2 Revenue and Earnings
Revenue of $201.1 million, up 62% YoY, driven by Compute & Communications (62.6% of revenue). GAAP net income of $19.4 million ($0.14 diluted EPS) vs $2.9 million ($0.02) in Q2 2025. Gross margin improved to 70.3% from 68.4%.
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AMI Acquisition Closed
Completed acquisition of AMI on July 27, 2026 for approximately $1 billion in cash and 5.2 million shares of Lattice common stock. Funded by $925 million in delayed draw term loans under a new $1.15 billion credit agreement.
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Strong Cash Flow and Balance Sheet
Cash from operations of $138.6 million in H1 2026. Cash and equivalents of $173.3 million as of July 4, 2026. No borrowings outstanding under the credit agreement at quarter-end, but $925 million drawn post-quarter for the AMI deal.
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Increased Leverage and Integration Risk
New $1.15 billion credit facility and $925 million term loan increase leverage significantly. The 10-Q adds risk factors on acquisition integration and indebtedness, including potential constraints on strategic flexibility and liquidity.
Analysis · LSCC · Manufacturing
A blowout quarter saw revenue surge 62% year-over-year to $201.1 million, fueled by hyperscaler demand for AI-optimized servers and wireline networking. Gross margin expanded to 70.3%, and GAAP net income jumped to $19.4 million from $2.9 million a year ago. The company also closed its $1 billion acquisition of AMI on July 27, funded by a new $1.15 billion credit facility and $925 million in term loans. While the deal adds scale, it introduces integration risk and a leveraged balance sheet — the new debt will pressure interest coverage going forward. For a company with an $18.9 billion market cap, both the quarter's strength and the AMI closing are thesis-altering events.
At the time of this filing, LSCC was trading at $131.06 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $18.9B. The 52-week trading range was $48.34 to $157.01. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.