Soitec releases financial outlook
Company anticipates 20 percent revenue growth in FY'23
Grenoble-based Soitec, a semiconductor materials company, has announced the outlook for its 2024 financial year (FY) and updates to its FY’26 financial model.
Soitec continues to anticipate FY’23 revenue to grow around 20 percent at constant exchange rates with FY’23 EBITDA margin to reach around 36 percent.
Inventory consumption across the supply chain in the smartphone market is expected throughout H1 FY’24, says Soitec. In this context, the company anticipates for the whole of FY’24, revenue to be stable at constant exchange rates compared to FY’23 and EBITDA margin to remain around 36 percent.
Of its three end markets (mobile communications, automotive & industrial, and smart devices) Soitec anticipates strong demand for smart devices, and automotive & industrial. Mobile communications, however, will be influenced by a weaker smartphone market with a strong inventory correction, especially during the first half of FY’24. The company forecasts H1’24 revenue to decline by around -15 percent year-on-year at constant exchange rates.
FY’26
Soitec is anticipating significant growth in each of its three end markets to reach a targeted revenue of around $2.1 billion in FY’26, compared to a revenue of $2.3 billion communicated in June 2022. It expects an EBITDA margin target of around 40 percent (at a 1.10 Euro/ US Dollar exchange rate).
It says these targets are sustained by a strong portfolio with both further growth in existing products (FD-SOI, RF-SOI, Power-SOI and Photonics-SOI) and new products (especially SiC, POI and GaN) coming into the three end markets.
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