MACOM's Data-Center Quarter Jumps 63% as Optical Demand Lifts Margins and the Guide
MACOM reported fiscal fourth-quarter 2026 revenue of $424.8 million, up 62.7% year over year, with adjusted earnings of $2.09 per diluted share ahead of the $2.00 consensus, and guided first-quarter fiscal 2027 revenue to $450 million to $460 million as data-center demand lifts margins.
- 01THE RESULTS — MACOM reported fiscal fourth-quarter 2026 results before the market open on November 5, 2026: revenue of $424.8 million, up 62.7% year over year, and adjusted earnings of $2.09 per diluted share.
- 02THE MARGINS — Adjusted gross margin reached 61.3%, up from 57.1% a year earlier, and income from operations was $134.2 million, or 31.6% of revenue.
- 03THE WATCHPOINT — Whether first-quarter fiscal 2027 revenue lands in the $450 million to $460 million guide, and what the 8:30 a.m. Eastern call says about data-center backlog and the CW laser market.
WHAT HAPPENEDWhat Happened
MACOM Technology Solutions reported fiscal fourth-quarter 2026 results before the market open on November 5, 2026, with revenue of $424.8 million, up 62.7% year over year from $261.2 million and up 24.1% sequentially from $342.2 million, ahead of the roughly $420.35 million consensus. Adjusted net income was $163.3 million, or $2.09 per diluted share, against a $2.00 consensus, and GAAP net income was $139.4 million, or $1.78 per diluted share.
Margins widened with the growth: GAAP gross margin reached 59.9%, up from 54.5% a year earlier, and adjusted gross margin reached 61.3%, up from 57.1%. Income from operations was $134.2 million, or 31.6% of revenue, against $39.6 million, or 15.2%, in the year-ago quarter. For the full fiscal year, revenue was $1,327.6 million, up 37.3% from $967.3 million, with GAAP net income of $335.3 million against a $54.2 million net loss in fiscal 2025.
The guide points to more of the same: for the fiscal first quarter ending January 1, 2027, MACOM expects revenue of $450 million to $460 million, adjusted gross margin of 62.0% to 63.0%, and adjusted earnings per diluted share of $2.21 to $2.29. Chief executive Stephen G. Daly said the company had a strong fiscal 2026 and looks forward to continued growth in fiscal 2027.
WHY IT MATTERSData-center optics are doing the heavy lifting
A 62.7% revenue jump with gross margin up more than five points is the signature of a mix shift toward higher-value data-center products, not just volume. Zacks' pre-release preview pointed to the data-center business and Industrial and Defense as the expected drivers, and the margin expansion is consistent with that mix. MACOM sells the radio-frequency, microwave and optical components that sit inside AI interconnects, so its quarter is a second-order read on the same buildout that lifted Coherent and Foxconn this week.
The guidance is what turns a good quarter into a trend: $450 million to $460 million for the first quarter would be another sequential step up, with adjusted gross margin guided to 62% to 63%. If the company hits the top of that range, the data-center cycle is still accelerating into early 2027.
WHY IT MATTERSA clean beat after a volatile year for the stock
MACOM's shares have swung widely in 2026, down about 29% over the past month into the print despite a 56% gain over the past year, which puts the beat in context: the market had already discounted part of the AI hardware rally. A beat on both revenue and adjusted earnings, plus a guide above the current quarter, is the kind of print that tests whether the pullback was a buying opportunity or a warning.
The numbers to watch on the 8:30 a.m. Eastern call are the data-center backlog and any commentary on the CW laser market and the IQE investment, both flagged in the release as longer-term growth levers. The quarter itself is settled; the call decides whether the guide is conservative.
SIGNAL JUDGMENT — ANALYSISThe optical layer of the AI buildout is still compounding
Tokenta Signal's judgment: a 63% revenue jump with margins widening at the same time is what a component supplier looks like when its end market is capacity-constrained in its favor. The guide matters more than the beat: $450 million to $460 million for the next quarter would make this a run-rate story rather than a one-off, and the call's backlog commentary is the number to judge it by.
WHAT REMAINS UNCERTAINWhat Remains Uncertain
EVIDENCEEvidence
MACOM's own GlobeNewswire release, opened and verified directly in full: fiscal fourth-quarter 2026 revenue of $424.8 million, up 62.7% year over year, GAAP gross margin of 59.9%, adjusted gross margin of 61.3%, adjusted net income of $163.3 million or $2.09 per diluted share, fiscal 2026 revenue of $1,327.6 million, and first-quarter fiscal 2027 guidance of $450 million to $460 million in revenue with adjusted earnings per diluted share of $2.21 to $2.29. Quantisnow's same-day summary agrees on revenue, adjusted earnings per share and guidance.
PRIMARY SOURCESPrimary Sources
- GlobeNewswire via USA Newshour: MACOM Reports Fiscal Fourth Quarter and Fiscal Year 2026 Financial Results
https://usanewshour.com/macom-reports-fiscal-fourth-quarter-and-fiscal-year-2026-financial-results/416134/ - Quantisnow: MACOM Reports Fiscal Fourth Quarter and Fiscal Year 2026 Financial Results
https://www.quantisnow.com/insight/macom-reports-fiscal-fourth-quarter-and-fiscal-year-2026-financial-6774663 - Zacks: MTSI Gears Up to Report Q4 Earnings: What's in Store for the Stock?
https://www.zacks.com/stock/news/3021494/mtsi-gears-up-to-report-q4-earnings-whats-in-store-for-the-stock
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