Automotive and industrial market drives double-digit growth for u-blox in 1H2023

Wireless module and semiconductor chip maker u-blox reported a revenue of 332.3 Million CHF in first half of 2023, compared to a revenue of 294.4 Million CHF in first half of 2022, grew by 12.9%. The growth was attributed to the growing markets of automotive and industrial. Stephan Zizala, u-blox’s Chief Executive Officer, commented, “I am pleased with our strong first half-year results. We grew revenues by double digits on top of an exceptional growth realized in the first half of last year. We also achieved good profitability with an EBIT margin of 18.6% in line with the guidance initially provided for 2023. In a softening macro-economic and global semiconductor market environment, our orderbook for the second half of 2023 developed more slowly than initially anticipated. Mainly due to unfavorable FX rates and overstocking, we expect Q3 revenues and profitability to be weak, with an improvement in Q4. While we must deal with cycle adaptation, I remain very confident about u-blox’s long-term outlook and growth trajectory thanks to our strong structural growth drivers in automotive and industrial target applications. We are winning important new projects at leading customers. A large design-win for automated driving ramping in 2026 and an innovative approach for satellite IoT connectivity are testimony to these future development prospects.” The other highlights...