afternoon, good Thank you, everyone. Rich, and
our net his gross were the X.X% non-GAAP and than all of diluted licensees. margin sequentially, results were prepared non-GAAP EPS our guidance. margin, described non-GAAP benefited our quarter and As Eric legal a September better sales one in of operating our down Including our remarks, benefit, matter with the settlement of from this midpoint
midst legal our quarter sequentially of industrial as that's in of for settlement, correction consistent those guidance, results with navigate September occurring the the inventory the our end down the benefit in sales macros many businesses, especially significant were through to an with we markets. Excluding X.X% net manufacturing continue
as in and we by Excluding midpoint at growth Non-GAAP of to the benefit, midpoint our in the of manage operating XX.X% guidance long-term the short-term non-GAAP came just realities legal our guidance balancing XX.X%. at margin our opportunities. the came gross at the settlement margin expenses continue over
ahead in consolidated Our $X.XX non-GAAP $X.XX per share. of came earnings guidance diluted per share at
My to a worldwide position believe term. our as well work focus thrive to support, environment team for in the hard navigate and that difficult we their continue controllable diligence long on us we actions thanks and to
Now quarter degrees our and exhibited regions most of of world the end defense, September for business of and markets aerospace artificial the center. and some and the of color subset were The varying about exceptions data weakness. the intelligence general All environment.
almost markets was a XX% in and revenue in is automotive which business with Our concentrated Europe, the basis. industrial down weak, on sequential particularly
continue outlook. lead at uncertain customers inventory to destocking, driving rates, plans time reductions consumption levels. and levels believe tightly short their manufacturing, in environment of target for an interest their business as channels, and and high of manage purchasing is combination factors very for our a broad their in products Our the of as in well macro This inventory weak base adjust continued lower face inventory multiple we inventory
At quarterly number shipment staying and with new in over March cancellations date our at customers from orders cases buy uneven periods buy of customers' of with basis, at many and direct saw orders pushouts the shorter green pull-ins placed [indiscernible] indirect for previously of who for increasing customers. requests our who an levels. time to well distributors customers, a signs With of bookings pace. expedites and our and continuing and we manufacturers to us, June age business our The as but distributors progressed our normal early as on in declining shoots an in at quarter through contract and
in for positive confidence are the signs a our environment, factors and customer despite resultant these low believe business. in the bottom formation business macro for of our We low visibility
Our average weeks about to X lead less. be continue or times
are customers orders confidence supply readily times high is as lead in available. short visibility, have the reduced since While they that near-term resulting delay placing
customers uncertain placed backlog of environment with We during us. of helping times navigate also believe business the successfully a period quality uncertainty improve lead short the are and
as best our be environment We we and quarter. need operational have the semifinished adjusted orders ship can finished to inventory to as and adapt uncertain accept turns this December systems goods to preposition the and able we for to
order lower factories the to world in inventory run Our around utilization at to levels. control help are continuing rates
of expansion remain expect in low the capacity 'XX the next as paused initial fiscal end phases at of plan use inventory be range as Our and as our internal year actions as below in investments the capacity invested our well we to 'XX of of will we long-term X% year the X% cycle. well or to support our in have fiscal capital up underutilized revenue we to
have deploying growth prepared And of hand, service factories. one foundry single-test on partnership We outsourced but capital, and hand, which our partners. of the the internal placed in long-term the on other our our for are the we not also yet with into for optionality purchased, with business,
we there prior the prepared all in we well exploit for recovery, future about control the recovery the market are semiconductor we arrive cycles, it do like. While the it as uncertainty can and of to will believe look shape we has to whatever remains things expect
that that are the Act a business and progress with December. goals program no CHIPS later we of cautiously are than of optimistic the agreement values. On the concluding the end this CHIPS making could towards And front, with consistent our final we is happen
the for into quarter. December guidance get let's the Now
an downstream customers, While in destocking customers, we their customers remain our in partners substantial environment for for and occurred us. uncertainty we our inventory of channel visibility continuing macro at believe has low and result
of are December year and inventory the the that has on also the holidays, when time been manufacturing our the customers Europe quarter historically seasonally year-ending it reduce especially balance in is sheet. quarter, can Additionally, weakest Americas. most And the the when and it's
intend they In have shutdown. the extended customers to environment, that economic current an year-end indicated many also take
during challenging While pull-ins abnormal plan in times to and to we for the quarter turns within need and today. for has predict and historically it in customer-driven is terms our a meet Microchip, orders operating as been high normal environment guidance, we're
$X.XXX the factors between our net have for $X.XXX call consideration, December to Taking all expect we we billion sales the and on the quarter discussed be into billion.
expect our and operating expenses We sales. non-GAAP gross of and between non-GAAP margin of be XX% at we expect XX% be our sales, XX.X% to XX.X% to
our We between diluted non-GAAP XX.X% XX.X% be our operating expect non-GAAP $X.XX. share profit expect be to we and between $X.XX of and to earnings and sales per
innovation We our in expect a design already the by strength the of several of new product be our summary as has results. new as growth to a of provided long-term activity. product combination driven of Rich well innovation the
of total megatrends to design and redeploying of approach our the of system customers, the projects. broad our their result innovation towards of prioritizing with strong dealing take shortages, advantage solutions. On is of have by and pipeline portfolio our year years design-in innovation solutions customers mitigating markets, for the their end to amplified front, key the in after shortages X-plus which all The plus returned across last resources impact
believe business solutions environment. business is growing will the impact the in design the is growth. time gestate cash and expect suppressed long-term most win of we of above-market the The activity current confident this our in drive and remain fundamental intact, attention to design environment excess in of inventory end applications that is current momentum production. takes of our characteristics but of But serve. growth, design where we profitability muted innovation We generation pipeline into what engine and gets the markets for the We're remain
sustained been years in and shareholder cycle substantial believe has point XX some prolonged set we're believe remain strategic the we up down and we strong to in we value. committed recall cycle it the cycle, can industry. and during deliver in I down most imperatives, my which And XXXX, reversal executing a will challenging at This our results could
a shareholders. market. about This adjusted million in an return cash and $XXX.X shareholders with $XX.X our million dividends stock quarter. in Let up in me combination capital $XXX open the to purchase wrap quarter, free through XX.X% June update returned September the to the In our represented we in flow of million of
November shareholders of X% of we through billion outstanding. investment-grade quarter, to $X.X have September achieving Since in repurchased, rating is $X.X returned of about capital the represented billion which shares which XXXX, shares XXXX our
our cash the shareholders share adjusted towards March flow and of returning our component. the XXXX target fixed the continuing XXX% We are of buybacks the being component with being to variable free dividend by quarter
free We component dividend. cash fixed timing expect that may cash due the to the flow of below by the payments, occasionally, our represented adjusted dip
increase return paid. the approach, free to our debt aim excess dividends repay situations, consistent In the to such to borrowings during quarters from that temporarily and the it expect prepared then Eric's you quarter, generated September this we we cash in subsequent our as pay flow increase heard to of those is dividend in permanently. borrowings the about stay remarks our with capital without With causing strategy,
poll that, questions? for Matt, With would you please
