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EX - 99.1 2 exhibit991q3fy21.htm EX - 99.1 MICROCHIP MICROCHIP TECHNOLOGY ANNOUNCES FINANCIAL RESULTS FOR THIRD QUARTER OF FISCAL YEAR 2021 Net sales of $ 1.35 billion , up 3.3 % sequentially and up 5.0 % from the year ago quarter . The midpoint of our guidance provided on November 5 , 2020 was net sales of $ 1.34 billion . On a GAAP basis : record gross margin of 62.6 % ; operating income of $ 245.6 million ; net income of $ 36.2 million ; and EPS of $ 0.13 per diluted share . Our guidance provided on November 5 , 2020 was for GAAP EPS of $ 0.38 to $ 0.45 per diluted share . Our guidance did not include the $ 142.1 million loss on debt settlement associated with our debt refinancing activities . Net sales On a Non - GAAP basis : record gross margin of 63.0 % ; operating income of $ 538.1 million and a record 39.8 % of net sales ; net income of $ 444.9 million and EPS of $ 1.62 per diluted share . Our guidance provided on November 5 , 2020 was for Non - GAAP EPS of $ 1.51 to $ 1.63 per diluted share . Cash flow from operations of $ 509.7 million . Paid down $ 289.7 million of debt in the December 2020 quarter . Cumulatively paid down $ 3.24 billion of debt over the last ten quarters . Record quarterly dividend declared of 39 cents per share , an increase of 5.8 % from the prior quarter . Gross margin Operating income Other expense Income tax ( benefit ) provision EXHIBIT 99.1 INVESTOR RELATIONS CONTACT : J. Eric Bjornholt -- CFO ..... ( 480 ) 792-7804 CHANDLER , Arizona - February 4 , 2021 - ( NASDAQ : MCHP ) - Microchip Technology Incorporated , a leading provider of smart , connected and secure embedded control solutions , today reported results for the three months ended December 31 , 2020 as summarized in the following table : Net income Net income per diluted share NEWS RELEASE $ 1,352.1 GAAP $ 845.8 $ 245.6 $ ( 228.8 ) $ ( 19.4 ) $ 36.2 $ 0.13 ( ¹ ) In millions , except per share amounts and percentages of net sales . ( 2 ) See the " Use of Non - GAAP Financial Measures " section of this release . --more- Three Months Ended December 31 , 2020 ( ¹ ) % 62.6 % 18.2 % 2.7 % Non - GAAP ( 2 ) $ 852.2 $ 538.1 $ ( 73.5 ) $ 19.7 $ 444.9 $ 1.62 Microchip Technology Incorporated 2355 West Chandler Blvd. Chandler , AZ 85224-6199 Main Office 480.792-7200 % 63.0 % 39.8 % 32.9 %