NXP Semiconductor Reports 6% Drop in Q2 Revenue

Chipmaker NXP Semiconductors reported a 6% decrease in revenue during the second quarter, citing challenges in the communications and infrastructure sector amidst overall market weakness.

The company’s revenue for the second quarter dropped by 6.4% to $2.93 billion, exceeding analyst projections of $2.90 billion as per LSEG data.

NXP’s semiconductor chips are integral for high-speed digital processing across various industries including automotive, manufacturing, telecommunications, and IoT applications.

Following the financial report, NXP’s stock experienced a 5% decline during after-hours trading.

Quarterly revenue from the communication and infrastructure segment plummeted by 27%, amounting to $320 million. Industrial and IoT revenue also saw an 11% decline, while automotive revenue remained steady.

Looking ahead to the third quarter, NXP anticipates revenue to range between $3.05 billion and $3.25 billion, with the midpoint exceeding analysts’ expectations of $3.07 billion.