Apple supplier IQE predicts profits plunge@ 2021/11/24
Chip components supplier IQE projected a 40 per cent plunge in its annual core profit, as the British firm's smartphone-making clients, which include Applem place fewer orders due to supply chain issues.
Shares in the company fell 20 per cent on the back of the news. IQE makes semiconductor wafers for chips used in Apple products.
Interim Executive Chairman Phil Smith in a statement that in the immediate term, broader semiconductor market shortages have softened demand in some supply chains but he believed these effects to be temporary.
IQE expects 2021 adjusted core profit of about 18 million pounds ($24.1 million) and revenue of 152 million pounds, compared with 30.1 million pounds and 178 million pounds, respectively, a year earlier.
IQE had said in September its adjusted core profit would be similar to prior-year levels on a constant currency basis.