MaxLinear, Inc

Greetings and welcome to the MaxLinear Q3 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Leslie Green, Investor Relations.

Thank you, Leslie. You may begin. Thank you, Alicia. Good afternoon, everyone, and thank you for joining us on today's conference call to discuss Max Lanier's third quarter 2025 financial results. Today's call is being hosted by Dr. Kishore Sindhribut, CEO, and Steve Litchfield, Chief Financial Officer and Chief Corporate Strategy Officer. After our prepared comments, we will take questions. Our comments today include forward-looking statements within the meaning of applicable securities laws including statements relating to our guidance for the fourth quarter of 2025, including revenue, gap and non-gap growth margin, gap and non-gap operating expenses, gap and non-gap interest and other expense, gap and non-gap income taxes, and basic and diluted share count. In addition, we will make forward-looking statements relating to trends, opportunities, execution of our business plan, and potential growth and uncertainties in various product and geographic markets, including without limitation, statements concerning future financial and operating results, opportunities for revenue and market share across our target markets, new products, including the timing of production and launches of such products, demand for and adoption of certain technologies, and our total addressable market. These forward-looking statements involve substantial risks and uncertainties, including risks outlined in our risk factor section of our recent SEC filings including our Form 10-Q for the quarter ended September 30, 2025, which we filed today. Any forward-looking statements are made as of today, and MaxLinear has no obligation to update or revise any forward-looking statements. The third quarter 2025 earnings release is available in the investor relations section of our website at maxlinear.com. In addition, we report certain historical financial metrics, including but not limited to gross margin, income or loss from operations, operating expenses, interest in other expense, and income tax on both a GAAP and non-GAAP basis. We encourage investors to review the detailed reconciliation of our GAAP and non-GAAP presentations and the press release available on our website. We do not provide a reconciliation of non-GAAP guidance for future periods because the inherent uncertainty associated with our ability to project certain future changes including stock-based compensation and its related tax effects, as well as potential impairments. Non-GAAP financial measures discussed today are not meant to be considered in isolation or as a substitute for comparable GAAP financial figures. We are providing this information because management believes it is useful to investors as it reflects how management measures our business. Lastly, this call is also being webcast, and the replay will be available on our website for two weeks. And now let me turn the call over to Dr. Kishore Singh-Reboot, CEO of MaxLinear. Kishore.

Thank you, Leslie, and good afternoon, everyone. We are excited about our strong Q3 2025 results and the strengthening momentum of our overall business over the last 12 months. Our Q3 2025 revenue of $126.5 million represents 16% sequential and 56% revenue growth year-over-year, and drive the substantial increase in non-GAAP net income both sequentially and year-over-year. Our focused investments in data center, optical interconnects, wireless infrastructure, PON broadband access, Wi-Fi 7, Ethernet, and storage accelerator products are enabling us to lay the significant groundwork required for broadening customer traction, new and increased content opportunities, and sustained growth in 2026. In our infrastructure end market, in Q3, revenues were up 16% sequentially and up 75% on a year-over-year basis. We also expect strong revenue acceleration in 2026 as new design wins begin to ramp across our portfolio. In high-speed data center optical interconnects, we are on track to deliver $60 to $70 million in revenue in 2025 and accelerating growth in 2026. As evidence, our Keystone PAM4 DSP family is now qualified at several major data centers in the US and Asia for 400 gig and 800 gig deployment starting 2026 as part of their AI infrastructure build out. We also made significant progress with our Rushmore family of PAM4 TIAs and 200 gigabit per lane DSPs for 1.6 terabit interconnections and are on track for production ramp in 2026. Rushmore advances our DSP roadmap and provides foundational technology for emerging optical connectivity trends, such as active electrical cable, LROs, LPOs, and co-packaged optics for 200 gigabit per lane and 400 gigabit per lane implementations. In wireless infrastructure, we expect increases in carrier capex spending to drive demand later this year and throughout 2026. Our Sierra 5G wireless access single-chip radio SOC and our millimeter wave and microwave backhaul transceivers and modems are seeing a significant increase in design activity and customer traction. In Q3, two major North American telecom providers launched new Sierra-based 5G macro remote radio unit products, which will continue to ramp through the end of 2025 and in 2026. At the IMC conference earlier this month, we also jointly announced and showcased Pegatron's next generation 5G Open RAN macro radio unit powered by our Sierra product. As we look ahead, we project sustained growth in 5G wireless access and backhaul as the needs for cloud and edge AI functionality continue to grow in 2026 and beyond. Beyond wireless infrastructure, within our infrastructure category, we continue to see strong design and success for our Panther family of hardware storage accelerator systems on chip solutions across Tier 1 network appliance and cloud service providers. In Q3, we announced our Panther 5 storage accelerator that delivers ultra-low latency, 450 gigabits per second throughput, and PCIe Gen 5 connectivity. The announcement coincided with a joint keynote address with advanced micro devices at the FMS 2025 storage conference on the transformation of enterprise data storage. Panther delivers significant advantages over traditional software-based compression, including a four times improvement in power savings and more efficient usage of CPUs and CPU cores and AI accelerators. Moving to broadband connectivity, we saw another exceptional quarter of growth for the combined portfolio of fiber ponds, cable docks, and Wi-Fi solutions, driven by the early increases in service provider cap expanding that has contributed to continued booking strength and incremental demand. Broadband was up 80% year-on-year, and connectivity was up 50% year-on-year. This quarter, we're beginning ramp of our single-chip integrated fiber, PON, and 10-gigabit processor gateway SOC, plus tri-band Wi-Fi 7 single-chip platform solution with a second major tier 1 North American carrier. In cable broadband, we are seeing the initial commercial rollouts of DOCSIS 4.0 led by smaller MSOs. We expect DOCSIS 4.0 RAM to accelerate in 2026, which in turn drives content opportunities for our Wi-Fi 7 and Ethernet solutions. In the Ethernet market, we continue to see the adoption of our innovative high-functionality, low-power consumption, 2.5 gigabit Ethernet switch and PHY portfolio into commercial, enterprise, and industrial applications. This market continues to grow as demand for higher data rates and increased bandwidth intensifies, and 2.5 gigabit Ethernet is well positioned to bridge the gap between gigabit Ethernet and costly higher speed options of 10 gigabit Ethernet. In conclusion, in the last 12 months, we delivered significant and sustained improvement in our business, driven by strong revenue growth, growing profitability, and positive cash flow generation. Through our strategic investments in high-value end markets, such as high-speed data center optical interconnects, wireless infrastructure, multi-gigabit PON access, storage accelerators, Wi-Fi connectivity, and Ethernet. We're driving strong product traction with Tier 1 customers and partners. Our success in these areas, combined with the incremental tailwind from the ongoing recovery in our core markets, strongly positions MaxLinear for exceptional growth in 2026 and beyond. With that, let me now turn the call over to Mr. Steve Litchfield, our Chief Financial Officer and Chief Corporate Strategy Officer.