Microchip Technology Incorporated (MCHP) Operating Margin: 10.40%
Is Microchip Technology Incorporated’s operating margin high or low?
Microchip Technology Incorporated's operating margin of 10.40% is 53% below its 5-year average of 22.20%, near the low end of its 5-year range (6.73%–36.93%).
As of Tuesday, June 16, 2026. 21.42% above its 12-month average of 8.57%.
MCHP Operating Margin Chart
MCHP Average Operating Margin Chart
MCHP Current vs Average Operating Margin Chart
MCHP Operating Margin Metrics
OPERATING MARGIN
10.40%
OPERATING MARGIN AVG TTM
8.57%
OPERATING MARGIN AVG 3Y
21.94%
OPERATING MARGIN AVG 5Y
22.20%
OPERATING MARGIN AVG 10Y
18.79%
OPERATING MARGIN AVG 15Y
20.13%
OPERATING MARGIN AVG 20Y
22.45%
CURRENT VS TTM AVG
+21.42%
CURRENT VS 3Y AVG
-52.59%
CURRENT VS 5Y AVG
-53.16%
CURRENT VS 10Y AVG
-44.64%
CURRENT VS 15Y AVG
-48.33%
CURRENT VS 20Y AVG
-53.68%
MCHP Competitors' Operating Margin
| NAME | MARKET CAP | OPERATING MARGIN | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Microchip Technology Incorporated (MCHP) | $52.90B | 10.40% | 8.57% | 21.94% | 22.20% |
| Block, Inc. (SQ)vs › | $51.73B | 4.93% | 5.38% | 1.48% | 1.62% |
| ON Semiconductor Corporation (ON)vs › | $47.78B | 10.84% | 18.71% | 24.13% | 20.38% |
| Garmin Ltd. (GRMN)vs › | $45.53B | 26.46% | 25.60% | 23.31% | 23.81% |
| Keysight Technologies, Inc. (KEYS)vs › | $60.67B | 18.17% | 17.19% | 20.96% | 20.64% |
| Block, Inc. (XYZ)vs › | $44.75B | 11.74% | 9.79% | 5.29% | 3.65% |
| GLOBALFOUNDRIES Inc. (GFS)vs › | $43.83B | 12.08% | 4.29% | 9.56% | 0.53% |
| Astera Labs, Inc. Common Stock (ALAB)vs › | $62.00B | 22.36% | -4.47% | -27.45% | -27.45% |
| Autodesk, Inc. (ADSK)vs › | $42.77B | 26.60% | 23.61% | 21.88% | 19.70% |
| Hewlett Packard Enterprise Company (HPE)vs › | $65.06B | 6.60% | 6.45% | 6.93% | 6.89% |
Operating Efficiency
Gross Margin
57.7%
Operating Margin
10.4%
Microchip Technology Incorporated Operating Margin Formula & Definition
Operating Margin = Operating Income / Revenue
Operating margin is the percentage of revenue remaining after operating expenses, reflecting operating efficiency.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Microchip Technology Incorporated Operating Margin FAQ
- What is the operating margin for Microchip Technology Incorporated (MCHP)?
- The operating margin for MCHP stock is 10.40%.
- Is Microchip Technology Incorporated's operating margin high or low?
- Microchip Technology Incorporated's operating margin of 10.40% is 53% below its 5-year average of 22.20%, near the low end of its 5-year range (6.73%–36.93%).
- What is the TTM average operating margin for Microchip Technology Incorporated (MCHP)?
- The TTM average operating margin for MCHP stock is 8.57%.
- What is the 3Y average operating margin for Microchip Technology Incorporated (MCHP)?
- The 3Y average operating margin for MCHP stock is 21.94%.
- What is the 5Y average operating margin for Microchip Technology Incorporated (MCHP)?
- The 5Y average operating margin for MCHP stock is 22.20%.
- What is the 10Y average operating margin for Microchip Technology Incorporated (MCHP)?
- The 10Y average operating margin for MCHP stock is 18.79%.
- What is the 15Y average operating margin for Microchip Technology Incorporated (MCHP)?
- The 15Y average operating margin for MCHP stock is 20.13%.
- What is the 20Y average operating margin for Microchip Technology Incorporated (MCHP)?
- The 20Y average operating margin for MCHP stock is 22.45%.
Microchip Technology Incorporated Operating Margin History
| DATE | OPERATING MARGIN |
|---|---|
| 2026-03-31 | 10.40% |
| 2025-03-31 | 6.73% |
| 2024-03-31 | 33.68% |
| 2023-03-31 | 36.93% |
| 2022-03-31 | 27.12% |
| 2021-03-31 | 18.35% |
| 2020-03-31 | 12.27% |
| 2019-03-31 | 13.35% |
| 2018-03-31 | 23.52% |
| 2017-03-31 | 8.09% |
| 2016-03-31 | 16.21% |
| 2015-03-31 | 19.82% |
| 2014-03-31 | 23.76% |
| 2013-03-31 | 11.29% |
| 2012-03-31 | 28.67% |
| 2011-03-31 | 31.88% |
| 2010-03-31 | 25.85% |
| 2009-03-31 | 25.83% |
| 2008-03-31 | 29.13% |
| 2007-03-31 | 33.45% |
| 2006-03-31 | 35.17% |
| 2005-03-31 | 30.54% |
| 2004-03-31 | 24.50% |
| 2003-03-31 | 19.05% |
| 2002-03-31 | 21.44% |
| 2001-03-31 | 25.45% |
| 2000-03-31 | 15.05% |
| 1999-03-31 | 7.77% |
| 1998-03-31 | 23.05% |
| 1997-03-31 | 21.26% |
About Microchip Technology Incorporated
Microchip Technology Incorporated creates, produces, and sells intelligent, interconnected, and secure embedded control solutions to customers throughout the Americas, Europe, and Asia. The company's core offerings include a range of microcontrollers, such as general-purpose 8-bit, 16-bit, and 32-bit models, as well as 32-bit embedded microprocessors. These specialized microcontrollers are designed for numerous applications across industries like automotive, industrial, computing, communications, lighting, power supplies, motor control, human-machine interfaces, security, and various wired and wireless connectivity needs. Beyond its processors, Microchip provides development tools that enable system designers to program its microcontroller and microprocessor units for specific tasks. Its product lineup also features Field-Programmable Gate Arrays (FPGAs) and a broad selection of analog, interface, mixed-signal, and timing components. This extensive category encompasses power management, linear, high-voltage, thermal management, discrete diodes and MOSFETs, radio frequency (RF), drivers, safety, security, USB, Ethernet, wireless, and other interface products. For compact device applications, the company supplies memory products such as serial EEPROM, serial and parallel flash, serial SRAM, and serial EERAM. A significant aspect of Microchip's business involves licensing its SuperFlash embedded flash and NVM technologies. These are provided to foundries, integrated device manufacturers, and design partners for use in manufacturing their own microcontrollers, gate arrays, RF, analog, and neuromorphic computing products that require integrated non-volatile memory. Moreover, Microchip delivers engineering services, along with wafer foundry, assembly, and test subcontracting manufacturing services. It also produces specialized timing systems, application-specific integrated circuits (ASICs), and aerospace products. Microchip Technology Incorporated was established in 1989 and is headquartered in Chandler, Arizona.
- Sector
- Technology
- Industry
- Semiconductors
- CEO
- Stephen Sanghi