Microchip Technology Incorporated (MCHP) shares took a hit on Tuesday after the company revealed a cybersecurity incident in a filing with the Securities and Exchange Commission (SEC).
The company first detected potentially suspicious activity within its IT systems on Saturday and immediately began investigating. On Monday, Microchip Technology confirmed that unauthorized individuals had disrupted the operation of certain servers, leading to disruptions in some business operations.
In response, Microchip Technology initiated a full-scale investigation, enlisting the assistance of external cybersecurity experts. While the investigation is ongoing, the company acknowledges that the incident has affected its manufacturing facilities, which are currently operating at reduced capacity. This has also impacted their ability to fulfill orders.
Despite the ongoing investigation, the extent of the incident’s impact remains unclear. Microchip Technology has not yet determined whether the incident will significantly affect its financial standing or business operations.
Following the announcement, Microchip Technology shares experienced a decline of 1.91% in after-hours trading, settling at $78.75 per share at the time of publication.
