SOITEC REPORTS Q3’26 REVENUE

Core Insights - Soitec reported consolidated revenue of €160 million for Q3'26, reflecting an 18% increase at constant exchange rates compared to Q2'26, but a 29% decrease year-on-year [2][8] - The company maintains a cautious outlook due to contrasting market dynamics, with strong growth in Artificial Intelligence offset by weakness in the Automotive sector and ongoing inventory corrections in RF-SOI [3][8] Revenue Performance - Q3'26 revenue by end market: - Mobile Communications: €90 million, down 42% year-on-year, with a 36% decline at constant exchange rates [5][6] - Edge & Cloud AI: €54 million, up 15% year-on-year, with a 27% increase at constant exchange rates [11] - Automotive & Industrial: €16 million, down 37% year-on-year, with a 32% decline at constant exchange rates [14] - Overall revenue for Q3'26 was down 29% year-on-year, but up 18% sequentially from Q2'26 [5][8] Market Dynamics - The Mobile Communications market, which constitutes 56% of total revenue, is experiencing ongoing inventory corrections affecting RF-SOI volumes [6][7] - The Edge & Cloud AI market is showing robust performance driven by AI-related demand, with significant growth in revenue attributed to investments in datacenter infrastructure [11][12] - The Automotive & Industrial market remains weak, with excess customer inventory impacting revenue, although some sequential improvement is noted [14][15] Future Outlook - Q4'26 revenue is expected to grow around 20% at constant exchange rates compared to Q3'26, with the market environment anticipated to remain stable [19][26] - The company is focused on generating positive Free Cash Flow in FY'26 and is committed to managing costs while selectively investing in technology for future growth [4][20] Key Events - A significant milestone was achieved with Quobly's 28Si FD-SOI substrates now cycling in STMicroelectronics' 300mm fab, marking progress in the industrialization of quantum technologies [21][22] - Laurent Rémont has been appointed as the new CEO, effective April 2026, succeeding Pierre Barnabé [23][24]