SiTime Corporation's stock surged 13.55% in pre-market trading on Thursday, following the release of its exceptional fourth-quarter financial results and the announcement of a transformative acquisition.

The precision timing solutions provider reported adjusted earnings per share of $1.53 for Q4 fiscal 2025, significantly surpassing the consensus estimate of $1.21. Quarterly revenue reached $113.3 million, beating expectations and marking a substantial 66% increase year-over-year. This performance was largely driven by explosive growth in its Communications, Enterprise, and Datacenter business unit, where revenue soared 160%.

Concurrently, SiTime announced a definitive agreement to acquire timing business-related assets from Renesas Electronics for $1.5 billion in cash and stock. The acquired business is projected to contribute approximately $300 million in revenue within 12 months of closing, significantly accelerating SiTime's path toward its $1 billion revenue target. The company also provided optimistic guidance for the first quarter of 2026, expecting continued strong growth.