Exhibit 99.1

Semtech Announces Third Quarter of Fiscal Year 2011 Results

• Sixth Consecutive Quarter of Record Revenue
• Record GAAP Gross Profit Margin of 60%
• 229 Basis Point Sequential Increase in Operating Margin
• Record Diluted Earnings Per Share Up 19% Sequentially

CAMARILLO, Calif.--(BUSINESS WIRE)--December 1, 2010--Semtech Corp. (Nasdaq: SMTC), a leading supplier of analog and mixed-signal semiconductors, reported un-audited financial results for its third quarter of fiscal year 2011 that ended October 31, 2010.

Net revenue for the third quarter of fiscal year 2011 was $123.1 million, up 63.8% percent from the third quarter of fiscal year 2010 and up 8.7% percent from the second quarter of fiscal year 2011.

Net income for the third quarter of fiscal year 2011, computed in accordance with U.S. generally accepted accounting principles (GAAP), was $23.6 million or 37 cents per diluted share. This compares to a GAAP net loss of $20.9 million or loss of 34 cents per diluted share in the third quarter of fiscal year 2010 and GAAP net income of $19.7 million or 31 cents per diluted share in the second quarter of fiscal year 2011.

GAAP gross profit margin for the third quarter of fiscal year 2011 was 60.0 percent compared to 55.1 percent in the third quarter of fiscal year 2010 and 59.6 percent in the second quarter of fiscal year 2011.

To facilitate the complete understanding of comparable financial performance between periods, Semtech also presents performance results net of certain non-cash and one-time items. Semtech’s non-GAAP results exclude the following items:

• Stock-based compensation expense
• Expenses related to class action litigation and ongoing stock option related matters, net of insurance recoveries
• Changes related to increased cost of goods sold for fair value inventory adjustments made as part of the purchase price allocation for the acquisition of Sierra Monolithics, Inc.
• Amortization of acquired intangible assets
• Transaction and other expenses related to the acquisition of Sierra Monolithics, Inc.
• Certain restructuring expenses

Excluding the items listed above, non-GAAP net income for the third quarter of fiscal year 2011 was $30.9 million or 48 cents per diluted share. Non-GAAP net income was $16.2 million or 27 cents per diluted share in the third quarter of fiscal year 2010 and was $26.7 million or 42 cents per diluted share in the second quarter of fiscal year 2011.

Non-GAAP gross profit margin for the third quarter of fiscal year 2011 was 60.2 percent. Non-GAAP gross profit margin for the third quarter of fiscal year 2010 was 55.4 percent and 60.1 percent in the second quarter of fiscal year 2011.

Semtech had $228.7 million of cash, cash equivalents and marketable securities as of October 31, 2010, up from $193.2 million at the end of the second quarter of fiscal year 2011.

Mohan Maheswaran, Semtech’s President and Chief Executive Officer, stated, “Semtech delivered another quarter of record-setting revenue, gross margin, operating profit and earnings per share. Continued demand for our solutions resulted in sequential growth across all product lines. These results further validate our operating model and ability to identify and leverage secular trends driving growth in our end markets.”

The results announced today are preliminary, as they are subject to customary quarterly review procedures by the Company’s independent registered public accounting firm. As such, these results are subject to revision until the Company will have filed its quarterly report on Form 10-Q for the third quarter of fiscal year 2011.

Fourth Quarter of Fiscal Year 2011 Outlook

• Net sales are expected to be in the range of $110 million to $116 million
• GAAP gross profit margin is expected to remain approximately flat with Q3 2011
• GAAP SG&A expense is expected to be in the range of $23.7 million to $24.1 million
• GAAP R&D expense is expected to be in the range of $18.1 million to $18.3 million
• Stock-based compensation expense, which is included in the preceding estimates, is expected to be approximately $6.3 million, categorized as follows: $0.3 million cost of sales, $4.1 million SG&A, and $1.9 million R&D.
• Legal expense related to stock option matters, which is included in the preceding SG&A expense estimate, is expected to be approximately $1.0 million
• Amortization of acquired intangible assets is expected to be approximately $2.4 million
• GAAP tax rate is expected to be approximately 16%
• GAAP earnings are expected to be in the range of 28 to 32 cents per diluted share
• Non-GAAP earnings are expected to be in the range of 39 to 43 cents per diluted share
• Fully diluted share count is expected to be approximately 66.4 million
• Capital expenditures are expected to be approximately $10 million

Non-GAAP Financial Measures

To supplement the Company’s consolidated financial statements prepared in accordance with GAAP, this release includes a non-GAAP presentation of gross profit, net income and earnings per diluted share. To provide additional insight into the Company’s fourth quarter outlook, this release includes a presentation of forward-looking non-GAAP earnings per diluted share. All of these non-GAAP measures exclude stock-based compensation, amortization of acquired intangible assets, and the other items detailed above. These non-GAAP measures are provided to enhance the user’s overall understanding of the Company’s comparable financial performance between periods. In addition, the Company’s management generally excludes such items in managing and evaluating the performance of the business. A further discussion of these non-GAAP financial measures can be found above. Reconciliations of GAAP results for the third quarter of fiscal years 2011 and 2010 and the second quarter of fiscal year 2011, as well as a reconciliation of forward-looking earnings per diluted share for the fourth quarter of fiscal year 2011, appear with the financial statements included with this release. These additional financial measures should not be considered substitutes for any measures derived in accordance with GAAP and may be inconsistent with similar measures presented by other companies.

Forward-Looking and Cautionary Statements

This report contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are statements other than historical information or statements of current condition and relate to matters such as future financial performance, future operational performance, the anticipated impact of specific items on future earnings, and our plans, objectives and expectations. These forward-looking statements are identified by the use of such terms and phrases as “intends,” “goal,” “estimate, “expect,” “project,” “plans,” “anticipates,” “should,” “will,” “designed to,” “believe,” and other similar expressions which generally identify forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties that could cause actual results and events to differ materially from those projected. Important factors that could cause actual results to differ materially include, but are not limited to: the continuation and/or pace of key trends considered to be main contributors to the Company’s growth, such as demand for increased network bandwidth, demand for increasing energy efficiency in the Company’s products or end use applications of the products, demand for increasing miniaturization of electronic components; shifts in demand among target customers, and other comparable changes in projected or anticipated markets; adequate supply of our products from our third-party manufacturers; benefits derived from recent acquisitions; the depth, extent and duration of current and potential national and worldwide economic uncertainty, including such uncertainty associated with and arising predominantly from European markets, at both a macro level, and as it impacts the Company’s products, industry, and market sectors; the Company’s ability to forecast and achieve anticipated revenues and earnings estimates in light of continuing economic uncertainty; the Company’s ability to manage expenses to achieve anticipated amounts; the amount of legal expenses connected with the current defense of class action litigation relating to prior stock option award practices, as such expenses may be impacted by the nature and timing of procedural or other developments in the course of the litigation; and the amount and timing of expenditures for capital equipment deemed necessary or advisable by the Company. Additionally, forward-looking statements should be considered in conjunction with the cautionary statements contained in the “Risk Factors” section and elsewhere in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2010, in the Company’s other filings with the SEC, and in material incorporated therein by reference. In light of the significant uncertainties inherent in the forward-looking information included herein, any such forward-looking information should not be regarded as representations by the Company that its objectives or plans will be achieved or that any of its operating expectations or financial forecasts will be realized. Investors are cautioned not to place undue reliance on any forward-looking information contained herein. The Company assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

About Semtech

Semtech Corporation is a leading supplier of analog and mixed-signal semiconductors for high-end consumer, computing, communications and industrial equipment. Products are designed to benefit the engineering community as well as the global community. The company is dedicated to reducing the impact it, and its products, have on the environment. Internal green programs seek to reduce waste through material and manufacturing control, use of green technology and designing for resource reduction. Publicly traded since 1967, Semtech is listed on the NASDAQ Global Select Market under the symbol SMTC. For more information, visit http://www.semtech.com.

Semtech and the Semtech logo are marks of Semtech Corporation.

CONTACT:
Semtech Corporation
Linda Brewton, 805-480-2004
webir@semtech.com