By Reuters | Updated: May 09, 2024
May 9 (Reuters) – Israel-based contract chipmaker Tower Semiconductor (TSEM.TA) reported a 7% decline in first-quarter revenue on Thursday reflecting muted demand from the industrial and automotive sectors.
Over the past few quarters, semiconductor firms are dealing with a supply glut as they focus on clearing excessive inventory mainly in the automotive industry, hurting companies like Tower which makes analogue, mixed-signal chips and sensor technologies.
French-Italian firm STMicroelectronics (STMPA.PA) is one of the latest chipmakers to lower its full-year guidance due to declining orders.
Tower Semiconductor reported revenue of $327 million for the three months ended March 31, down 7% year on year.
It forecast second-quarter revenue at $350 million, with an upward or downward range of 5%.
It posted adjusted profit of 46 cents per share for the first quarter to top the 39 cents per share expected by four analysts polled by LSEG.
@ Thomson Reuters 2024
