SiTime (SITM) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached $157.4M, up 127% year-over-year and 39% sequentially, with all business units and regions growing over 50% and CED segment leading at 181% growth.

• Closed the acquisition of Renesas' Timing Products Division (TPD) on July 1, 2026, adding over 550 clocking products and accelerating the path to $1B in revenue.

Financial highlights

• Q2 gross margin was 67.1% non-GAAP (63.0% GAAP), up 8.9 percentage points year-over-year, driven by favorable product mix and improved manufacturing absorption.

• Operating margin reached 34% non-GAAP, up from 10% a year ago; operating income was $53.5M.

• Non-GAAP net income was $65.7M ($2.34 per share), with GAAP net income at $18.2M ($0.66 per share).

• Cash, cash equivalents, and short-term investments totaled $1.92B as of June 30, 2026.

• Cash flow from operations more than doubled to $40M; free cash flow was $27.1M.

Outlook and guidance

• Q3 2026 revenue expected at $285M–$295M, with SiTime ex-TPD at $200M–$210M and TPD at ~$85M.

• Gross margin guidance for Q3 is ~68% ±1 point; operating expenses projected at $80M–$85M.

• Q3 non-GAAP EPS expected in the range of $3.50–$3.65.

• Multi-year growth rate projected at 30% or higher, with no signs of slowdown through 2027.

• Management to discuss business outlook in the Q2 conference call.