Restructuring

6 Months Ended

Aug. 02, 2025

Restructuring and Related Activities [Abstract]

The Company continuously evaluates its existing operations to increase operational efficiency, decrease costs and increase profitability. A restructuring plan was initiated during the third quarter of fiscal 2025 (the “Fiscal 2025 Plan”) to increase research and development investment in the data center end market and reduce investment in new product development in other end markets including the cancellation of certain future product releases. Restructuring charges were mainly comprised of impairment and write-off of acquired intangible assets, purchased technology licenses, inventories, property and equipment and other non-current assets, as well as recognition of contractual obligations, severance, other one-time termination benefits, and other costs. The Company expects the Fiscal 2025 Plan to be substantially completed by the end of fiscal 2027.

During the three months ended August 2, 2025, the Company recognized restructuring and other related charges of $8.7 million mainly comprised of employee severance and related costs, and recognition of contractual obligations. During the six months ended August 2, 2025, the Company recognized a net restructuring gain $3.6 million, mainly comprised of a gain on sale of property that was affected by restructuring actions associated with project and facility reductions to optimize resources, offset by employee severance and related costs, and recognition of contractual obligations.

During the three and six months ended August 3, 2024, the Company recognized restructuring and other related charges of $4.0 million and $8.1 million, respectively, mainly comprised of employee severance and related costs.

The following table sets forth a reconciliation of the beginning and ending restructuring liability balances by major type of cost associated with the restructuring charges (in millions):


	Employee Severance and Related Costs		Other Exit-Related Costs		Total
Balance at February 1, 2025	$	12.9	$	316.2	$	329.1
Charges (1)	3.7		6.7		10.4
Net cash payments	(14.4)		(48.0)		(62.4)

Balance at August 2, 2025	2.2		274.9		277.1
Less: non-current portion	—		211.3		211.3
Current portion	$	2.2	$	63.6	$	65.8

(1)Restructuring gain of $14.0 million recognized during the six months ended August 2, 2025 was recorded directly to the unaudited condensed consolidated statements of operations and was not included in the restructuring liability balances above.

The current portion of the restructuring liability is comprised of $57.5 million and $8.3 million included as components of accrued liabilities and accounts payable, respectively, and the non-current portion of the restructuring liability is included as a component of other non-current liabilities in the accompanying unaudited condensed consolidated balance sheets.