Skyworks quarterly revenue falls on slowing auto chip demand

Skyworks Solutions

30/07/2024 21:54

July 30 (Reuters) - Skyworks Solutions  SWKS.O  reported
a drop in third-quarter revenue, hurt by sluggish demand for
chips used in the automotive industry, sending its shares down
by nearly 5% in extended trading.
    Slower-than-expected sales of electric vehicles as consumers
pulled back on discretionary spending have weighed on companies
such as Skyworks and Wolfspeed  WOLF.N .
    The company's automotive customers include Tesla  TSLA.O ,
Ford Motor  F.N  and General Motors  GM.N .
    Skyworks had said in April it expects about 10% lower
content in the next generation of the iPhone compared to the
current version Apple  AAPL.O  sells.
    The chip company reported revenue of $905.5 million for the
quarter ended June 28, lower than $1.07 billion, a year earlier.
Analysts expected revenue of $900.4 million in the fiscal third
quarter.
    It expects revenue between $1 billion and $1.04 billion in
the fiscal fourth quarter, largely above analysts' average
estimate of $1.01 billion, according to LSEG data.
    Apple's smartphone shipments rose in the April-June period,
but its market share fell to 15.8% from 16.6%, a year earlier,
according to IDC data.
    Skyworks' net income fell to 75 cents per share in the third
fiscal quarter from $1.22, a year earlier.

 (Reporting by Akash Sriram in Bengaluru; Editing by Sriraj
Kalluvila)
 ((Akash.Sriram@thomsonreuters.com; On X as @HoodieOnVeshti;
+91-74116-87774;))