Analog Devices (ADI) ADI Q4 Financial Results Summary
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Analog Devices, Inc. (ADI) Q4 2025 Financial Results Summary
Release Date: November 25, 2025
Analog Devices, Inc. (NASDAQ: ADI) reported its financial results for the fourth quarter and fiscal year 2025, concluding on November 1, 2025. Below is a summary of their performance highlighting key metrics and changes compared to the same period in the previous year.
Financial Performance Overview
- Revenue:
- Q4 Revenue: $3.08 billion, up 26% from $2.44 billion in Q4 2024.
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Fiscal 2025 Revenue: $11.0 billion, an increase of 17% compared to $9.43 billion in 2024.
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Gross Margin:
- Q4 Gross Margin: $1.94 billion, improved by 37% from $1.42 billion in Q4 2024.
- Fiscal 2025 Gross Margin: $6.77 billion, up 26% from $5.38 billion in 2024.
- Q4 Gross Margin Percentage: 63.1%, a rise of 510 basis points from 58.0% in Q4 2024.
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Fiscal 2025 Gross Margin Percentage: 61.5%, up 440 basis points from 57.1% in fiscal 2024.
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Operating Income:
- Q4 Operating Income: $945 million, a growth of 66% versus $569 million in Q4 2024.
- Fiscal 2025 Operating Income: $2.93 billion, increased by 44% from $2.03 billion in 2024.
- Q4 Operating Margin: 30.7%, an improvement of 740 basis points from 23.3% in Q4 2024.
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Fiscal 2025 Operating Margin: 26.6%, up 500 basis points from 21.6% in 2024.
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Earnings Per Share (EPS):
- Q4 Diluted EPS: $1.60, up 67% from $0.96 in Q4 2024.
- Fiscal 2025 Diluted EPS: $4.56, an increase of 39% compared to $3.28 in fiscal 2024.
Adjusted Results
- Adjusted Gross Margin:
- Q4: $2.15 billion, a 29% increase from $1.66 billion in Q4 2024.
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Fiscal 2025: $7.64 billion, up 19% from $6.40 billion in 2024.
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Adjusted Operating Income:
- Q4: $1.34 billion, showing a 33% growth from $1.00 billion in Q4 2024.
- Fiscal 2025: $4.62 billion, a 20% improvement from $3.85 billion in 2024.
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Adjusted Operating Margin: Q4 at 43.5%, increased by 240 basis points from 41.1% in Q4 2024.
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Adjusted Diluted EPS:
- Q4: $2.26, a 35% increase from $1.67 in Q4 2024.
- Fiscal 2025: $7.79, up 22% from $6.38 in 2024.
Cash Flow and Return to Shareholders
- Operating Cash Flow:
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Fiscal 2025: $4.8 billion, equating to 44% of revenue.
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Free Cash Flow:
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Fiscal 2025: $4.3 billion, representing 39% of revenue.
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Return to Shareholders:
- 96% of free cash flow returned to shareholders through:
- $2.2 billion in share repurchases.
- $1.9 billion in dividends.
Dividend Declaration
- The Board of Directors declared a quarterly cash dividend of $0.99 per share, payable on December 22, 2025, to shareholders of record as of December 8, 2025.
Financial Outlook for Q1 Fiscal 2026
- Expected revenue: $3.1 billion, with an expected operating margin around 31%.
- Projected diluted EPS: $1.60, with adjusted EPS aimed at $2.29.
This comprehensive report indicates a solid performance for Analog Devices in Q4 and fiscal 2025, characterized by significant growth across various financial metrics and a strong commitment to returning cash to shareholders.
| Three Months Ended | Twelve Months Ended | |||
|---|---|---|---|---|
| Nov. 1, 2025 | Nov. 2, 2024 | Nov. 1, 2025 | Nov. 2, 2024 | |
| Revenue | $3,076,117 | $2,443,205 | $11,019,707 | $9,427,157 |
| Cost of sales | $1,134,300 | $1,027,077 | $4,246,229 | $4,045,814 |
| Gross margin | $1,941,817 | $1,416,128 | $6,773,478 | $5,381,343 |
| Operating expenses: | ||||
| Research and development | $467,021 | $378,903 | $1,766,001 | $1,487,863 |
| Selling, marketing, general and | $342,168 | $277,220 | $1,255,339 | $1,068,640 |
| administrative | ||||
| Amortization of intangibles | $187,416 | $187,754 | $749,662 | $754,784 |
| Special charges, net | $— | $2,859 | $69,980 | $37,258 |
| Total operating expenses | $996,605 | $846,736 | $3,840,982 | $3,348,545 |
| Operating income | $945,212 | $569,392 | $2,932,496 | $2,032,798 |
| Nonoperating expense (income): | ||||
| Interest expense | $88,157 | $82,804 | $317,716 | $322,227 |
| Interest income | -$32,971 | -$27,947 | -$105,266 | -$78,817 |
| Other, net | $2,826 | -$1,793 | $7,934 | $12,048 |
| Total nonoperating expense (income) | $58,012 | $53,064 | $220,384 | $255,458 |
| Income before income taxes | $887,200 | $516,328 | $2,712,112 | $1,777,340 |
| Provision for income taxes | $99,461 | $38,256 | $444,770 | $142,067 |
| Net income | $787,739 | $478,072 | $2,267,342 | $1,635,273 |
| Shares used to compute earnings per | ||||
| share – basic | 490,847 | 496,432 | 494,381 | 496,166 |
| Shares used to compute earnings per | ||||
| share – diluted | 493,242 | 498,722 | 496,709 | 498,697 |
| Basic earnings per common share | $1.60 | $0.96 | $4.59 | $3.30 |
| Diluted earnings per common share | $1.60 | $0.96 | $4.56 | $3.28 |
| Nov. 1, 2025 | Nov. 2, 2024 | |
|---|---|---|
| ASSETS | ||
| Current Assets | ||
| Cash and cash equivalents | $2,499,406 | $1,991,342 |
| Short-term investments | $1,152,915 | $371,822 |
| Accounts receivable | $1,436,075 | $1,336,331 |
| Inventories | $1,656,323 | $1,447,687 |
| Prepaid expenses and other current assets | $363,342 | $337,472 |
| Total current assets | $7,108,061 | $5,484,654 |
| Other Assets | ||
| Net property, plant and equipment | $3,315,696 | $3,415,550 |
| Goodwill | $26,945,180 | $26,909,775 |
| Intangible assets, net | $8,013,815 | $9,585,464 |
| Deferred tax assets | $1,867,102 | $2,083,752 |
| Other assets | $742,858 | $749,082 |
| Total non-current assets | $40,884,651 | $42,743,623 |
| TOTAL ASSETS | $47,992,712 | $48,228,277 |
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||
| Current Liabilities | ||
| Accounts payable | $543,760 | $487,457 |
| Income taxes payable | $610,370 | $447,379 |
| Debt, current | $— | $399,636 |
| Commercial paper notes | $446,639 | $547,738 |
| Accrued liabilities | $1,645,032 | $1,106,070 |
| Total current liabilities | $3,245,801 | $2,988,280 |
| Non-current Liabilities | ||
| Long-term debt | $8,145,066 | $6,634,313 |
| Deferred income taxes | $2,163,281 | $2,624,392 |
| Income taxes payable | $100,963 | $260,486 |
| Other non-current liabilities | $521,846 | $544,489 |
| Total non-current liabilities | $10,931,156 | $10,063,680 |
| Shareholders’ Equity | ||
| Preferred stock, $1.00 par value | $— | $— |
| Common stock, $0.16 2/3 par value | $81,611 | $82,718 |
| Capital in excess of par value | $23,349,185 | $25,082,243 |
| Retained earnings | $10,539,541 | $10,196,612 |
| Accumulated other comprehensive loss | -$154,582 | -$185,256 |
| Total shareholders’ equity | $33,815,755 | $35,176,317 |
| TOTAL LIABILITIES AND SHAREHOLDERS’ | $47,992,712 | $48,228,277 |
| EQUITY |