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EX - 99.1 2 earningsreleaseq3fy21.htm EX - 99.1 Allegro MicroSystems Announces Results for the Third Fiscal Quarter Ended December 25 , 2020 --End Market Recovery Driving Strong Outlook-- Exhibit 99.1 Manchester , NH , February 2 , 2021 - Allegro MicroSystems , Inc. ( " Allegro ” or the “ Company ” ) ( Nasdaq : ALGM ) , a global leader in power and sensing semiconductor solutions for motion control and energy efficient systems , today announced financial results for its third fiscal quarter ended December 25 , 2020. Total net sales of $ 164.4 million for the three - month period exceeded expectations , increasing 20 % from the prior quarter and , for our core end markets only , up 21 % from the same period in fiscal 2020. GAAP loss per share was $ 0.04 . Non - GAAP diluted earnings per share , which excludes one - time and certain non - cash items , was $ 0.13 , also exceeding expectations . " We benefited in the third fiscal quarter from the strong recovery in automotive , continued strength in industrial and solid operational execution . With this meaningful step up in revenue , we are well ahead of forecasts while delivering margin improvement , " said Ravi Vig , President and CEO of Allegro MicroSystems . " Good visibility and unprecedented bookings and backlog give us confidence in delivering another record quarter in fiscal Q4 . With progress on our manufacturing efficiency initiatives and strong momentum in our design funnel , we believe we are well positioned to deliver on our long - term growth and profitability objectives . " Business Summary Automotive total net sales were up 27 % sequentially during the third fiscal quarter driven by global auto production recovery and restocking across the automotive supply chain . ADAS and xEV , strategic investment areas for the Company , represented approximately one third of the automotive business and continue to exceed the long - term growth rates of foundational automotive business in internal combustion engine ( ICE ) and Safety , Comfort and Convenience . ICE applications represented a significant portion of the automotive upside in fiscal third quarter , growing double digits compared to both the prior period and the same period in fiscal 2020 . Industrial total net sales in the third quarter were up 11 % year - over - year compared to the prior year fiscal period and were up 9 % from the prior quarter . Within industrial , broad - based revenue , which includes a variety of end applications and customers , increased by nearly 50 % from the prior period . The Company's “ Other ” business also increased compared to the prior period by 5 % . Business Outlook For the fourth fiscal quarter ending March 26 , 2021 , the Company expects total net sales to increase and be in the range of $ 165 million to $ 169 million . Non - GAAP gross margin is expected to be in the range of 50 % to 51 % , and non - GAAP earnings per fully - diluted share for the same period is expected to be in the range of $ 0.13 to $ 0.15 . Allegro has not provided a reconciliation of its fourth fiscal quarter outlook for non - GAAP gross margin and non - GAAP earnings per fully - diluted share because estimates of all of the reconciling items cannot be provided without unreasonable efforts . It is difficult to reasonably provide a forward - looking estimate between such forward - looking non - GAAP measures and the comparable forward - looking GAAP measures . Certain factors that are materially significant to Allegro's ability to estimate these items are out of its control and / or cannot be reasonably predicted . Earnings Webcast A webcast will be held on Tuesday , February 2 , at 5:00 p.m. Eastern time . Ravi Vig , Chief Executive Officer and Paul Walsh , Chief Financial Officer , will discuss Allegro's financial results . The webcast will be available on the Investor Relations section of the company's website at investors.allegromicro.com . A recording of the webcast will be posted in the same location shortly after the call concludes and will be available for at least 30 days .