(Reuters) -French semiconductor materials supplier Soitec reported a 16% drop at constant exchange rates in its first-quarter sales, due to high customer inventory and a weak automotive market.
The company posted quarterly revenue of 92 million euros($108 million), down from 121 million euros a year earlier but in line with analysts’ average forecast of 93 million euros, according to a company-provided poll.
“The correction of… inventories among our direct customers, and the ongoing weakness in the automotive market continued to impact our revenue,” CEO Pierre Barnabe said in a statement.
The group, whose customers include sector majors such as TSMC, UMC, Sony, Global Foundries and STMicroelectronics, expects second-quarter revenue to grow around 50% organically from the previous quarter.
($1 = 0.8519 euros)
(Reporting by Ozan Ergenay in Gdansk; Editing by Emelia Sithole-Matarise and Jan Harvey)
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