Britain’s IQE to launch strategic review after revenue warning

:British semiconductor wafer maker IQE said on Monday it would start a strategic review of its assets and warned that revenue would not grow this year due to a slower-than-expected recovery and weak consumer demand in end markets.
The company said it would broaden its options in relation to the proposed initial public offering of its Taiwan operations to include all strategic choices, including a full sale.
IQE, which last month announced the immediate departure of CEO Americo Lemos, had earlier expected both annual revenue and adjusted core profit to grow.
“The impact of the slow pace of recovery in the semiconductor industry can be seen across the sector and is reflected in our revenue expectations for FY24,” Executive Chair Mark Cubitt said in a statement.
IQE, whose ‘epi-wafers’ are used in the Apple iPhone’s facial recognition sensors, expects 2024 revenue to be around 115 million pounds ($145.27 million), or flat year-on-year.
Adjusted core profit is expected to be at least 5 million pounds. Analysts, on average, had expected about 12.5 million pounds, according to an LSEG poll of three analysts.
($1 = 0.7916 pounds)