ALLEGRO MICROSYSTEMS, INC. Fair Value Disclosure
The following tables present information about the Company’s financial assets and liabilities as of March 27, 2026 and
March 28, 2025 measured at fair value on a recurring basis:
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Fair Value Measurement at March 27, 2026: |
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Level 1 |
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Level 2 |
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Level 3 |
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Total |
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Assets: |
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Cash equivalents: |
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Money market fund deposits |
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$ |
42,173 |
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$ |
— |
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$ |
— |
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$ |
42,173 |
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Restricted cash: |
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Money market fund deposits |
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6,604 |
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— |
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— |
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6,604 |
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Other long-term assets: |
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Investment in debt security |
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— |
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— |
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3,477 |
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3,477 |
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Total assets |
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$ |
48,777 |
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$ |
— |
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$ |
3,477 |
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$ |
52,254 |
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Fair Value Measurement at March 28, 2025: |
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Level 1 |
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Level 2 |
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Level 3 |
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Total |
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Assets: |
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Cash equivalents: |
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Money market fund deposits |
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$ |
30,814 |
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$ |
— |
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$ |
— |
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$ |
30,814 |
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Restricted cash: |
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Money market fund deposits |
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9,773 |
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— |
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— |
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9,773 |
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Total assets |
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$ |
40,587 |
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$ |
— |
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$ |
— |
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$ |
40,587 |
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Financial assets measured at fair value on a recurring basis also consist of assets within the Company’s non-U.S. defined benefit plan assets. Fair value information for those assets, including their classification in the fair value hierarchy, is included in Note 15, “Retirement Plans.”
During the fiscal years ended March 27, 2026, March 28, 2025 and March 29, 2024, there were no transfers of financial assets or liabilities between Level 1, Level 2 and Level 3.
As of March 27, 2026 and March 28, 2025, the fair value of the Company’s long-term debt was $283,575 and $343,275, respectively. The fair value was determined based on the quoted price of the debt in an inactive market on the last trading date of the reporting period, and has been classified as Level 2 within the fair value hierarchy.
As of March 27, 2026, the Company held an investment in debt security with a fair value of $3,477, which is classified as Level 3 within the fair value hierarchy. Given the immateriality of this investment to the Company’s consolidated financial position and results of operations, the quantitative disclosure of significant unobservable inputs otherwise required are not presented.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | May 21, 2026 | Showing above |
| 2025 | May 22, 2025 | |
| 2024 | May 23, 2024 | |
| 2023 | May 25, 2023 | |
| 2022 | May 18, 2022 | |
| 2021 | May 19, 2021 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.