Cirrus Logic, Inc. is a fabless semiconductor company specializing in low-power, high-precision mixed-signal solutions primarily for mobile and consumer electronics markets.

# Company Overview - Cirrus Logic, Inc.

## Business Focus
- **Industry:** Semiconductor solutions specializing in low-power, high-precision mixed-signal processing.
- **Expertise:** Developing advanced analog and mixed-signal integrated circuits (ICs) that enable innovative user experiences across mobile and consumer electronics.

## Core Product Lines
### 1. **Audio Products**
- Amplifiers
- Codecs (which integrate ADCs and DACs)
- Smart codecs (codecs with embedded DSP)
- Digital Signal Processors (DSPs)
- Technologies like SoundClear® for enhanced audio quality (e.g., louder, high-fidelity sound, voice capture, hearing augmentation)

### 2. **High-Performance Mixed-Signal (HPMS) Products**
- Camera controllers (auto-focus, optical image stabilization)
- Haptics and sensing solutions (tactile feedback)
- Battery and power integrated circuits (ICs)
- Automotive, industrial, and imaging applications

## Markets and Customers
- Major markets include **smartphones**, **laptops**, **tablets**, **AR/VR headsets**, **wearables**, **home theater**, and **automotive entertainment systems**.
- **Number of Customers:** Top customer (Apple Inc.) accounted for approximately **89% of net sales in FY2025**, with the ten largest end customers representing about **96% of net sales**.
- **Customer Base:** Mainly large electronics manufacturers; heavily reliant on a limited customer base, with Apple as the dominant customer.

## Revenue and Financials (Fiscal Year 2025)
- **Total Revenue:** Approximately **$1.90 billion** (an increase from $1.79 billion in FY2024)
- **Revenue Breakdown:**
  - **Audio Products:** ~$1.14 billion (up 5% from FY2024)
  - **HPMS Products:** ~$759 million (up 8% from FY2024)
- **Profitability:**
  - **Net Income:** ~$331.5 million
  - **Gross Margin:** 52.5%
  - **Effective Tax Rate:** 25.5%

## Operations and Workforce
- **Employees:** As of March 29, 2025, approximately **1,660 employees** (up from 1,625 in FY2024)
  - **Full-time Employees:** 99%
  - **Research & Development:** 71% of employees
  - **Sales, Marketing, Admin:** 24%
  - **Manufacturing-related:** 5%
- **Geographic Distribution:**
  - **U.S. Workforce:** 64%
  - **Offshore Workforce:** 36% (including locations in China, South Korea, Japan, Taiwan, Singapore, UK)
- **Facilities:** 
  - Main facility in **Austin, Texas** (~155,000 sq. ft. owned; additional leased space)
  - Office and R&D in **Edinburgh, UK** (~125,000 sq. ft. leased)

## Business Model
- **Fabless Semiconductor Company:** Outsources wafers fabrication to third-party foundries such as GlobalFoundries and TSMC.
- **Supply Agreements:** Long-term wafer supply contract with GlobalFoundries through 2026; manufacturing risks include capacity constraints and supply disruptions.
- **Sales Channels:** Direct sales and external distributors worldwide; customers often purchase directly or through third-party manufacturers.

## Strategic Focus
- Maintain leadership in **smartphone audio**.
- Increase **high-performance mixed-signal content** in smartphones.
- Expand into new applications and markets (e.g., PCs, automotive, industrial).
- Develop custom and general-market components with differentiated technology and embedded software algorithms.

## Key Takeaways
- **Significant Customer Concentration:** Apple accounts for nearly 89% of FY2025 sales.
- **Strong Revenue Growth:** 6% increase from FY2024 to FY2025.
- **Healthy Profitability:** Gross margin over 52%, net income over $331 million.
- **Global Footprint:** Design and development primarily based in the U.S. and UK, with manufacturing and supply chain reliant on Asia.
- **Workforce:** Highly skilled R&D focused team that continues to grow.

Cirrus Logic, Inc. is a leading fabless semiconductor company specializing in low-power, high-precision mixed-signal processing solutions for mobile and consumer applications.

# Cirrus Logic, Inc. Overview

**Company Profile:**
- **Incorporation:** Cirrus Logic, Inc. was incorporated in California in 1984, became public in 1989, and was reincorporated in Delaware in February 1999.
- **Headquarters:** Austin, Texas.
- **Stock Exchange:** Listed on NASDAQ's Global Select Market under the ticker symbol **CRUS**.

### Core Business:
Cirrus Logic is a leader in low-power, high-precision mixed-signal processing solutions, intricately designed to enhance user experiences across various mobile and consumer applications. The company specializes in:

1. **Audio Products:** 
   - **Types:** Amplifiers, codecs (integrated ADCs and DACs), smart codecs (with integrated DSP), and standalone digital signal processors (DSPs).
   - **Applications:** Utilized in smartphones, laptops, tablets, AR/VR headsets, wearables, home theater systems, automotive entertainment systems, and professional audio systems.

2. **High-Performance Mixed-Signal (HPMS) Products:**
   - **Types:** Camera controllers, haptic and sensing solutions, battery and power integrated circuits (ICs).
   - **Applications:** Primarily used in smartphones to improve user experience, battery health, and performance.

### Market Position and Strategy:
- **Market Focus:** Cirrus Logic targets growing markets by leveraging its expertise in mixed-signal processing to solve complex problems. The company is committed to maintaining its leadership in smartphone audio and increasing its HPMS content in smartphones while exploring additional applications and markets.
- **Customer Base:** Cirrus Logic has major customers among leading electronics manufacturers, with **95%** of sales derived from the top **10 customers**. Specifically, Apple Inc. accounted for **87%** of total sales for the fiscal year ending March 30, 2024.
- **Sales Channels:** Products are sold globally via direct and indirect sales channels, with offices in the U.S., U.K., China, South Korea, Japan, Singapore, and Taiwan.

### Financials:
- **Employees:** As of March 30, 2024, Cirrus Logic has **1,625 employees**, with **72%** engaged in research and development.
- **Revenue:** Cirrus Logic's revenues for the past three fiscal years were heavily influenced by its major customers, showcasing a dependence that exemplifies its market strategies.
- **Voluntary Turnover Rate:** The company reported a **6% voluntary turnover rate**, which is below industry benchmarks.

### Manufacturing and Operations:
- **Fabless Model:** Cirrus Logic operates as a fabless semiconductor company, outsourcing production to third-party foundries such as GLOBALFOUNDRIES and Taiwan Semiconductor Manufacturing Company (TSMC).
- **Supply Chain:** The company has established long-term supply agreements to secure manufacturing capacity, although it faces risks associated with reliance on a limited number of manufacturing partners.
- **Research & Development:** The company invests significantly in research and development, focusing on the design and development of new products and technology advancements.

### Conclusion:
Cirrus Logic, Inc. stands as a key player in the semiconductor market, offering innovative, high-quality processing solutions essential for various audio and mixed-signal applications in consumer electronics. With a strong focus on customer relationships, ongoing R&D, and strategic market expansion, Cirrus Logic is well-positioned to continue leading in its area while navigating the challenges inherent in the competitive landscape.

CIRRUS LOGIC, INC.

10-K / May 23, 2025

10-K / May 24, 2024

10-K / May 23, 2025

Company Overview - Cirrus Logic, Inc.

Business Focus

Core Product Lines

1. Audio Products

2. High-Performance Mixed-Signal (HPMS) Products

Markets and Customers

Revenue and Financials (Fiscal Year 2025)

Operations and Workforce

Business Model

Strategic Focus

Key Takeaways