ALGM · CIK 866291
What Allegro MicroSystems, Inc. told the SEC could break it.
Allegro's risks concentrate in Asia, and China sits at the center of them. Its supply chain is geographically narrow — it leans heavily on a single primary assembly-and-test plant (AMPI) in the Philippines and on two third-party wafer fabs in earthquake-prone, geopolitically exposed Taiwan — while Chinese export restrictions on rare-earth elements and magnets, including the samarium it uses, have already disrupted its ability to source materials. Demand is just as concentrated abroad: 89.7% of fiscal 2026 net sales came from outside the U.S., with Greater China at 28%, Japan 17% and Taiwan 10%. On top of that, U.S. BIS export-control rules require licenses to ship certain chips and chipmaking equipment into China, limiting its access to that market.
5 self-disclosed vulnerabilities, pulled from its own filings, each in the company’s words, with the source. This is the risk register almost nobody reads.
In its own words
What could break it.
Geographic concentration
- Philippines assembly/test (AMPI)high
Allegro depends heavily on its primary internal assembly and test facility, AMPI, in the Philippines for its sensor and power products; a suspension there could materially impair its ability to assemble and test products.
“We rely heavily on the manufacturing operations at AMPI, which operates as our primary internal assembly and testing facility. We depend on AMPI for our sensor and power products, and if this facility suspends operations, our ability to assemble and test our products could be materially impaired.”
- Greater China salesmedium
Allegro's revenue is geographically concentrated outside the U.S. (89.7% of FY2026 net sales), with Greater China at 28.0%, Japan 17.0% and Taiwan 10.0%.
“During the fiscal year ended March 27, 2026, sales from customers located outside of the United States in the aggregate accounted for 89.7 % of the Company's total net sales, with Greater China accounting for 28.0 % , Japan accounting for 17.0 % and Taiwan, included in Other Asia with net sales of $ 89,038 , accounting for 10.0 % .”
Commodity & input dependence
- rare-earth elements / samarium (China export curbs)high
Chinese export restrictions on rare-earth elements, metals and magnets — including samarium used in Allegro's applications — have already disrupted its ability to source materials and could constrain manufacturing.
“For example, recent foreign export restrictions from China on certain rare-earth elements, metals and magnets, including samarium, used in our applications and in end-user products have disrupted our ability to reliably source materials, and constrained global supply could restrict our ability to manufacture certain products.”
Regulatory & policy
- BIS semiconductor export controls to Chinamedium
BIS Regulations require licenses to export certain semiconductor chips and chipmaking equipment to China and other designated countries, limiting Allegro's ability to sell into those markets.
“The BIS Regulations place limitations on the ability of companies to export certain semiconductor chips, as well as chipmaking equipment, by requiring companies to obtain licenses to export such products and equipment into China or other designated countries.”
SEC filing →As of 2026
The hidden graph
Who it depends on, and who depends on it.
Relationships surfaced from filings, including ones disclosed by the other side, which is how the non-obvious ones come to light.
Its suppliers
Taiwan Semiconductor Manufacturing Company
“We currently rely on a limited number of third-party wafer fabrication facilities for the fabrication of semiconductor wafers used in the manufacture of our IC products, primarily United Microelectronics Corporation (“UMC”), Polar, Tower Semiconductor Ltd. (“Tower”) and Taiwan Semiconductor Manufacturing Company (“TSMC”), and we purchase a number of key manufacturing materials and components from single or limited sources.”
Cited →United Microelectronics Corporation
“We currently rely on a limited number of third-party wafer fabrication facilities for the fabrication of semiconductor wafers used in the manufacture of our IC products, primarily United Microelectronics Corporation (“UMC”), Polar, Tower Semiconductor Ltd. (“Tower”) and Taiwan Semiconductor Manufacturing Company (“TSMC”), and we purchase a number of key manufacturing materials and components from single or limited sources.”
Cited →
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