Austria's ams OSRAM expects higher Q3 revenue, shares up in pre-market (updated)
26/07/2024 07:38
(Adds share move in paragraph 2, Q3 revenue forecast in
paragraph 4, company statement in paragraph 5 and analyst in
paragraph 7)
July 26 (Reuters) - Austrian sensor maker ams OSRAM
AMS.S forecast higher revenue in the third quarter citing a
ramp-up of new products after its second-quarter earnings came
in slightly above expectations on Friday .
Shares in the company were seen up 12% in pre-market trade
as of 0620 GMT.
It posted adjusted earnings before interest and taxes (EBIT)
of 56 million euros ($60.78 million) for the second quarter,
topping the 44.1 million expected by analysts in a poll by Vara
Research.
It reported revenue of 819 million and said it expected that
to rise in the third quarter to between 830 million to 930
million euros
Analysts polled by Vara Research were expecting 879.2
million euros for the third quarter.
The higher revenue view comes despite weakening demand for
automotive chips and persistent weakness in industrial and
medical businesses, the company said.
Semiconductor suppliers like ams OSRAM have been hit by
weakening auto demand and low electric vehicle sales. Analysts
said its results came as a relief.
"Given numerous profit warnings this reporting season due to
weakening auto & industrial demand, we see the ams Q3 outlook
today as a positive message, confirming the improvements the
company is making post restructuring," Stifel analyst Juergen
Wagner wrote in a note.
($1 = 0.9212 euros)
(Reporting by Ozan Ergenay and Nathan Vifflin; editing by Tom
Hogue and Jason Neely)
((Ozan.Ergenay@thomsonreuters.com;
Nathan.Vifflin@thomsonreuters.com))