Sichuang Electronics preliminary results exceed expectations, warns of weak market performance in 2026
Topic: Focus on US Stock Q4 2025 Financial Reports
German semiconductor wafer supplier Siltronic released its preliminary Q4 results on February 3, with both core profit and revenue exceeding market expectations.
In a statement, the company said that its strong revenue performance was due to orders from Q3 being deferred to Q4 for delivery, and some orders originally scheduled for early 2026 being fulfilled ahead of time.
Headquartered in Munich, Siltronic disclosed that its EBITDA for the quarter was 86 million euros (approximately $102 million), with revenue reaching 372 million euros. Analysts surveyed by the London Stock Exchange Group had previously forecasted 75.8 million euros and 333.7 million euros, respectively.
CEO Michael Heckmeier said, “Demand in several end markets, especially driven by the field of artificial intelligence, has supported our performance. However, pricing factors and product mix issues continue to weigh on the operating environment.”
Heckmeier said that if not for the recent closure of a 150mm wafer plant and the impact of a weaker US dollar, the company's 2026 revenue could have matched last year's level.
Currently, investors are closely watching for signs of recovery from the prolonged downturn in the chip manufacturing industry, with a particular focus on the European market. In the years following the pandemic, the European chip market—mainly driven by automotive manufacturers and industrial suppliers—has been hit by both weak demand and high costs.
Siltronic stated that it is still too early to provide performance guidance for 2026, and noted that while demand for its next-generation 300mm wafers is increasing, demand for the more mature 200mm silicon wafers will remain weak.
The company said, “Siltronic expects that the market operating environment in 2026 will remain challenging.”
Siltronic added that the impact of the plant closure will be reflected in the company’s results for the first time, and that the early delivery of Q4 2025 orders will also have a corresponding effect on performance.
Editor: Guo Mingyu
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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