MICROCHIP TECHNOLOGY INCORPORATED AND SUBSIDIARIES
EXHIBIT 11 - COMPUTATION OF NET INCOME PER SHARE
(in thousands, except per share amounts)
Three Months Ended Six Months Ended
---------------------- -----------------------
September 30, September 30,
1996 1995 1996 1995
------- ------- ------- --------
Net income $13,126 $12,765 $19,812 $ 24,268
======= ======= ======= ========
Weighted average shares:
Common shares outstanding 33,939 33,741 34,213 33,626
Common equivalent shares
representing shares issuable
upon exercise of stock options1 1,956 2,913 1,904 2,816
------- ------- ------- --------
Total weighted average
shares - primary 35,895 36,654 36,117 36,442
======= ======= ======= ========
Incremental common equivalent
shares (calculated using the
higher of end of period or
average market value)2 240 2 285 175
------- ------- ------- --------
Total weighted average
shares - fully diluted 36,135 36,656 36,402 36,617
======= ======= ======= ========
Primary net income per common and
common equivalent share $ 0.37 $ 0.35 $ 0.55 $ 0.67
======= ======= ======= ========
Fully diluted net income per common
and common equivalent share $ 0.36 $ 0.35 $ 0.54 $ 0.66
======= ======= ======= ========
____________________
1 Amount calculated using the treasury stock method and fair market values
for stock.
2 This calculation is submitted in accordance with Regulation S-K Item
601(b)(11) although not required by footnote 2 to paragraph 14 of APB
Opinion No. 15 because it results in dilution of less than 3%.
19