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Analog Devices Shares Pop Premarket After Surpassing Q4 Consensus & Upbeat Q1 Outlook

  • Analog Devices, Inc (NASDAQ: ADI) reported fourth-quarter FY22 revenue growth of 39% year-on-year to $3.25 billion, beating the consensus of $3.15 billion.

  • Adjusted EPS of $2.73 beat the consensus of $2.58.

  • End Markets: Analog Devices' Industrial revenue grew 40% Y/Y to $1.66 billion.

  • Automotive revenue increased 49% Y/Y to $672.3 million. Communications revenue rose 42% to $501.98 million, and Consumer revenue grew 19% to $411.9 million.

  • Margins: The adjusted gross margin expanded by 310 bps to 74%. The adjusted operating margin grew 800 bps to 51.1%.

  • Analog Devices held $1.47 billion in cash and equivalents and generated $1.15 billion in operating cash flow.

  • Dividend: The board declared a quarterly cash dividend of $0.76 per share.

  • "Our B2B markets of Industrial, Automotive, and Communications reached all-time highs, while our Consumer business delivered another year of strong growth," said Vincent Roche, CEO, and Chair.

  • Outlook: Analog Devices sees Q1 FY23 revenue of $3.05 billion - $3.25 billion, above the consensus of $3.04 billion.

  • The company sees adjusted EPS of $2.50 - $2.70, above the consensus of $2.41.

  • Price Action: ADI shares traded higher by 5.14% at $167.43 in the premarket session on the last check Tuesday.

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