NXP Semiconducors remains the second largest supplier of semiconductor components in the automobile segment, so its forecast of market conditions for the current quarter is very much able to talk about trends in the entire industry. The producer's loan in the third quarter will reach $3.5 billion, according to its own forecast, and this is higher than the market's expectations.
On average, Bloomberg explains, analysts expected a revenue of $3.32 billion, so NXP's own projection was more optimistic. The company's profit rate would reach 58.3% against the expected experts' 57.6%. This would be facilitated by a high demand for chips for cars and industrial equipment. About half of the NXP's revenue is received in the automobile segment, so it will become the engine of this dynamic in the current quarter.
In the last quarter, NXP increased revenues by 28% to $3.31 billion, the rate of return reached 57.8%, and these results also exceeded the expectations of analysts; NXP did not produce chips on its own, relying on the services of contract manufacturers; TSMC, for example, recently confirmed that demand for chips in the automobile industry was far from satisfactory, and the decline in the smartphone and consumer electronics market would allow the contract manufacturer to shift resources to service this area in the current half-year.