Due to a multi-year decline in demand for automotive and industrial chips, innovative semiconductor material supplier Soitec has withdrawn its new fiscal year and mid-term forecast targets.
The company stated: “Given the current reduced visibility and market uncertainty, the group is withdrawing all guidance, whether related to all or part of its activities,” adding that it will now provide guidance only on a quarterly basis.
The company expects first-quarter revenue to drop 20% year-over-year at constant exchange rates. In the same period last year, revenue was €121 million ($137.1 million).
In a separate statement, the company announced that Chief Financial Officer Lea Alzingre will step down immediately and will be replaced by Albin Jacquemont, former finance executive at French groups Carrefour (CARR.PA), Suez, and Darty.
Soitec stated: “(Jacquemont) led major financial transformations and created significant value through improved operational performance, cash flow optimization, and M&A execution.”
The group will present its full-year earnings to investors and analysts at 12:00 GMT on Wednesday during an event.
In February, the company said that due to worsening market conditions, semiconductor wafer customers in the automotive and consumer electronics sectors had halted deliveries. As a result, it expected limited growth in 2026 and revised down its expectations for 2025.
Soitec is a French company that manufactures and sells engineered wafers for the semiconductor industry. It is the world’s leading supplier of silicon-on-insulator (SOI) wafers and also provides other engineered substrates such as gallium nitride and silicon carbide. Soitec sells wafers to fabs, which use them to manufacture chips. The company has facilities in France, Singapore, and China.