SOITEC REPORTS FIRST QUARTER REVENUE OF FISCAL YEAR 2026

Core Viewpoint - Soitec reported a consolidated revenue of 92 million Euros for Q1 FY'26, reflecting a 24% decline compared to 121 million Euros in Q1 FY'25, driven by a combination of organic decline, currency impacts, and divestment effects [2][3][6]. Financial Performance - Q1 FY'26 revenue breakdown: - Mobile Communications: 43 million Euros, down 12% reported and 7% organic [6][7]. - Automotive & Industrial: 5 million Euros, down 82% reported and 81% organic [6][11]. - Edge & Cloud AI: 44 million Euros, down 4% reported but up 13% organic [6][13]. - Overall revenue for Q1 FY'26 was 92 million Euros, down 24% reported and 16% organic [6][7]. Market Dynamics - The decline in revenue is attributed to ongoing RF-SOI inventory corrections among customers, a weak automotive market, and the phase-out of Imager-SOI [3][7]. - Despite the challenges, the Edge & Cloud AI division continues to show strong growth, supported by increased demand for FD-SOI and Photonics-SOI technologies [3][14][15]. Future Outlook - Q2 FY'26 revenue is expected to grow around 50% compared to Q1 FY'26 on an organic basis, with a less pronounced impact from the phase-out of Imager-SOI [4][16]. - Mobile Communications revenue is anticipated to remain low due to ongoing inventory corrections, while Automotive & Industrial revenue is expected to decline sharply [17]. Strategic Initiatives - The company is focusing on diversifying its end-market exposure and customer base, as well as expanding its product portfolio across SOI and compound semiconductors [5][19]. - Soitec has successfully issued a 200 million Euros Schuldschein loan to refinance existing debt and support corporate purposes, indicating strong investor confidence [19][20][21]. Collaborations and Innovations - Soitec announced a collaboration with PSMC for ultra-thin TLT technology aimed at advanced 3D chip stacking, enhancing its position in next-generation semiconductor designs [22]. - A strategic partnership with CEA-Leti was established to leverage FD-SOI technology for enhanced security in integrated circuits, addressing cybersecurity demands in critical markets [23].