ANALOG DEVICES INC Earnings Summary — Q2 2026

• Revenue grew 37.2% year-over-year to $3.62 billion, marking a significant acceleration from previous quarters.
• Net income more than doubled compared to the prior year, reaching $1.18 billion as operating leverage kicked in.
• Operating income rose to $1.38 billion, representing a robust 38.1% operating margin, up from 25.7% in the same quarter last year.
• The company has successfully navigated the 2024-2025 cyclical contraction, returning to high-growth territory.
• R&D investment increased to $509 million, demonstrating continued commitment to product innovation despite cost management elsewhere.
• The acquisition synergy from Maxim and Linear continues to support elite-level gross margins above 67%.
• Quarter-over-quarter growth of 14.7% suggests a strengthening demand environment across core semi-conductor markets.

Management emphasizes a 'Bridges to the Physical World' strategy, focusing on long-term secular growth in electrification and digitalization while proactively managing inventory levels.

Improving

Financial results show a sharp rebound from the cyclical lows of 2024, with accelerating YoY revenue growth and substantial margin expansion.

ADI is projected to continue its recovery trend, benefiting from its high-quality compounder status and leadership in industrial and automotive high-performance analog markets.