HIGHBuilt-inGeographic
75%
foreign customers
“10-K Item 1A: 'approximately 75% of our net sales were made to foreign customers, including 18% in China and 15% in Taiwan'”
MCHP · Concentration risk · 10-K extracted
Microchip Technology Incorporat (MCHP) concentration risks
Updated
The most significant concentration Microchip Technology Incorporat discloses is foreign customers at 75%, classified HIGH by disclosed size. Below: the full set from the latest 10-K — verbatim quotes, filing references, and a synthesis of what these exposures mean together.
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Source: Microchip Technology Incorporat’s SEC Form 10-K filed — view the filing on SEC EDGAR ↗
At a glance
Disclosed-size breakdown · 5 disclosed concentrations
HIGH2
MEDIUM0
LOW3
Disclosed concentrations
Each card carries a disclosed-size chip (HIGH / MEDIUM / LOW — how large the exposure is as a share of revenue, not how dangerous it is) and a nature tag: Built-in(the company’s own model, geography, or products) or Outside party (an external customer, supplier, or distributor it relies on).
HIGHOutside partySupplier
65%
outside wafer foundries
“10-K Item 1A: 'approximately 65% and 64%, respectively, of our net sales came from products that were produced at outside wafer foundries'”
LOWBuilt-inGeographic
18%
China
“10-K Item 1A: 'approximately 75% of our net sales were made to foreign customers, including 18% in China and 15% in Taiwan'”
LOWBuilt-inGeographic
15%
Taiwan
“10-K Item 1A: 'approximately 75% of our net sales were made to foreign customers, including 18% in China and 15% in Taiwan'”
LOWOutside partyCustomer
12%
Arrow Electronics
“10-K Item 1: 'Arrow Electronics, our largest distributor, which made up 12% and 10% of our net sales, in fiscal 2026 and in fiscal 2025'”
TrendMatrix Research · concentration synthesis
What these concentrations mean together
updated 2026-06-24The company's concentration profile is multi-dimensional, spanning geography, supply chain, and a single distributor relationship. The most prominent exposure is the high share of net sales to foreign customers at approximately 75%, including 18% in China and 15% in Taiwan — the overall foreign-customer share is a high-share, structural exposure reflecting where the semiconductor customer base is geographically clustered. The individual China and Taiwan components are each low-share at the reported levels, but they sit within a high-share aggregate that makes geopolitical and trade-policy dynamics a central operating variable. The supply-chain picture is similarly high-share: approximately 65% of net sales in the period came from products manufactured at outside wafer foundries — also a high-share exposure with a dependency character. Reliance on outside foundries for that share of output means that capacity constraints, yield issues, or pricing changes at contract manufacturers flow directly through cost and availability of a large majority of products. The largest distributor, Arrow Electronics, accounted for 12% of net sales in fiscal 2026 — a small-share dependency at the individual name level, but worth noting as the single largest disclosed channel partner. Together, the profile is dense with structural exposures across the international customer base and outside foundry dependency; the Arrow relationship is the one idiosyncratic counterparty name to monitor. The dominant risks are geopolitical (particularly U.S.-China and Taiwan tensions) and foundry capacity.
For the engine’s reasoning on MCHP’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.
Industry peers · Semiconductors
Peer concentration profile
| Symbol | Name | HIGH | MEDIUM | LOW | Total |
|---|---|---|---|---|---|
| ALAB | Astera Labs, Inc. | 3 | 0 | 0 | 3 |
| AVGO | Broadcom Inc. | 2 | 1 | 0 | 3 |
| MCHP● | Microchip Technology Incorporat | 2 | 0 | 3 | 5 |
| ADI | Analog Devices, Inc. | 2 | 0 | 0 | 2 |
| ALGM | Allegro MicroSystems, Inc. | 1 | 2 | 0 | 3 |
| AMD | Advanced Micro Devices, Inc. | 1 | 2 | 0 | 3 |
Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.