Synaptics posted fiscal Q2 2026 revenue of $302.5 million, up 13% year over year, driven by Core IoT growth and Edge AI traction, with GAAP gross margin of 43.5% and non-GAAP gross margin of 53.0%, though earnings per share came in negative at -1.17.

The balance sheet shows roughly $459.9 million in cash, cash equivalents, and short-term investments, with operating cash flow of $30.2 million and ongoing share repurchases totaling $7.2 million in Q1 and $15 million for the year to date; inventory sits at $143.1 million, equating to 94 days of inventory, and days sales outstanding stand at 37.

Enterprise & Automotive remains the largest segment at $161 million (53% of revenue), followed by Core IoT at $93 million (31%), and Mobile at $48 million (16%), signaling a transition away from traditional mobile business.

The Astra platform remains central to Edge AI strategy, with open architecture, software, and power-efficient Astra multimodal microprocessors attracting interest; a Tier 1 OEM has ordered an Astra MCU for vision in smart TVs.

Company commentary notes ongoing traction in robotics and humanoids, a shift toward physical AI, partnerships with Toradex and other European partners, and continued discussion of premium mobile touch and enterprise PC refresh amid easing supply constraints in some areas.

Risks highlighted include macroeconomic and global trade uncertainties affecting guidance, with forward-looking statements cautioning that results depend on design-wins progression and ramp plans for Astra and Mobile Touch products.

The company reiterates forward-looking guidance alongside cautionary notes on risks and uncertainties that could impact results.

Executive commentary points to a favorable CES impact, ongoing sampling and design-wins, and a plan to merge processors and connectivity teams to accelerate roadmap execution.

Astra Edge AI processors (Astra SL2600) have launched with customers sampling; production is expected in the latter part of the current year, and the Google Coral NPU is embedded for edge AI, with design wins already secured.

Sampling for Astra began late last year, with two additional Astra products entering early sampling and expected to contribute in 2027, including an Astra MCU with connectivity and a standalone Wi-Fi/BT/Thread SoC.

Astra microprocessors and edge UI portfolio foresee production ramp by end of this quarter or early next, with meaningful revenue contribution anticipated in 2027 and improvements in gross margins.

Market expectations and guidance are central to investor sentiment ahead of the Q2 release.