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On Semi Revenue Dips, But CEO Sees Stabilization
10 Feb
Summary
- On Semiconductor's fourth-quarter revenue fell 11% to $1.53 billion.
- Only the smallest business unit, Intelligent Sensing, saw sales increase.
- The CEO observes growing signs of market stabilization for the company.
On Semiconductor's revenue experienced an 11% decrease, reaching $1.53 billion during the fourth quarter. The company posted a profit of $181.8 million, or 45 cents per share, compared to $379.9 million, or 88 cents per share, in the prior year.
Adjusted earnings per share for the quarter were 64 cents, surpassing analysts' expectations of 62 cents. Revenue, however, fell slightly short of the forecasted $1.54 billion. The company's Chief Executive, Hassane El-Khoury, expressed optimism, citing growing indications of stabilization within On Semiconductor's core markets.
The Intelligent Sensing Group, On Semiconductor's smallest division by revenue, was the only segment to achieve year-over-year sales growth, with an increase of 9% to $249.6 million. In contrast, the Power Solutions Group and the Analog and Mixed-Signal Group registered sales declines of 11% and 9%, respectively.
Looking ahead to the first quarter, On Semiconductor anticipates revenue between $1.44 billion and $1.54 billion, with adjusted earnings per share projected to be between 56 cents and 66 cents. These projections align with or slightly exceed current analyst forecasts.
