Nordic Semiconductor Q3 revenue beats estimates
Nordic Semiconductor Q3 revenue beats estimates
Overview
Norway IoT chipmaker's Q3 revenue rose 32% yr/yr, beating analyst expectations
Q3 reported EBITDA more than doubled but slightly missed analyst consensus
Company attributes growth to strong demand in both key and broad markets
Outlook
Nordic expects Q4 2026 revenue between $215 mln and $235 mln
Company expects Q4 gross margin to remain above 50%
Nordic aims for average annual revenue growth above 20% through 2030
Result Drivers
BROAD MARKET DEMAND - Co said revenue growth was driven by continued solid demand from both key customers and the broad market in all main end-user markets
PRODUCT PORTFOLIO EXPANSION - Co said long-range revenue increased 70% due to broader product portfolio and growth in nRF Cloud Services
AI TOOL ADOPTION - Co said rapid adoption of AI-assisted development tools has helped customers become more productive, per CEO Vegard Wollan
Company press release: ID:nObiH1gHCa
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $235 mln | $231.67 mln (9 Analysts) |
Q3 Gross Margin |
| 53.00% |
|
Q3 EBITDA | Slight Miss* | $39 mln | $39.25 mln (9 Analysts) |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 6 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the semiconductors peer group is "buy"
Wall Street's median 12-month price target for Nordic Semiconductor ASA is NOK185.00, about 5% above its October 21 closing price of NOK176.20
The stock recently traded at 39 times the next 12-month earnings vs. a P/E of 48 three months ago
Reuters Recommended Reads
Oct 21 - Texas Instruments Q3 revenue beats on growth in industrial, automotive, data center markets
Oct 21 - Germany's Jenoptik raises FY EBITDA margin outlook on strong semiconductor equipment demand
Oct 20 - Switzerland's Comet Holding Q3 sales jump on AI, semiconductor demand
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)