$LSCC · LATTICE SEMICONDUCTOR CORP
Lattice Semiconductor filed its Q3 FY2027 10-Q, reporting revenue of $291M (+118.3% YoY), GAAP diluted EPS of $0.08, and net income of $11.2M. Results include approximately two months of contribution from the AMI acquisition, which closed July 27, 2026. The quarter carried $25.9M in acquisition-related costs and $12.9M in acquired intangible amortization. The balance sheet reflects the AMI deal's impact: goodwill surged to $1.37B and long-term debt rose to $869M.
- Q3 FY2027 revenue hit $291M, up 118.3% YoY from $133.3M, with AMI contributing from the July 27, 2026 close.
- GAAP diluted EPS was $0.08 vs $0.02 a year ago; nine-month diluted EPS reached $0.37 vs $0.08.
- Gross margin held at 67.4% despite acquisition amortization; operating margin swung to 8.2% from -1.2% YoY.
- Acquisition-related costs of $25.9M and $12.9M in acquired intangible amortization weighed on Q3 operating income.
- Balance sheet added $869M in long-term debt to fund the AMI deal; goodwill ballooned to $1.37B from $315M.
Extended-hours trading shows LSCC at $107.99, up 1.95% from the regular close of $105.92, indicating modestly positive reception to the massive revenue jump and AMI integration progress.
The AMI deal transforms Lattice's revenue scale overnight but loads the balance sheet with $869M in debt and $1.37B in goodwill — execution on integration will determine whether the bet pays off.
Lattice's AMI acquisition transforms it from a pure-play FPGA vendor into a combined FPGA and boot/firmware solutions provider, directly competing with larger embedded semiconductor players. The 118% revenue growth is acquisition-driven rather than organic, but the 67.4% gross margin shows the core FPGA business remains structurally profitable.
Integration risk from the AMI acquisition is front and center — $1.37B in goodwill means any impairment would hit hard. Debt load surged to $869M with associated interest expense of $9.6M this quarter, up from interest income of $0.6M a year ago. Customer concentration and AI/data-center demand sustainability flagged as key uncertainties.