NXP has confirmed better-than-expected third-quarter results and is guiding continued improvement. The chipmaker reported 2.3 billion euros in revenue, flat versus the same period a year ago, but up 25 percent sequentially. Automotive, which took a big blow earlier this year, saw a strong sequential increase in demand (43 percent), though sales are still 8 percent shy of Q3 2019 results. Revenue levels of the Industrial & IoT (21 percent) and Mobile (5 percent) divisions compared favorably to last year, whereas that of Communication Infrastructure & Other was down 4 percent.
CEO Kurt Sievers expects results will continue to improve. “The momentum that began during the third quarter is continuing into the fourth quarter of 2020. Within our strategic end markets of Automotive, Industrial & IoT and Mobile, the improving trends are due to a combination of a rebound in our core business, as well as a solid contribution from the ramp-up of new products. The recovering markets along with our strong product portfolio and customer engagements make us confident to continue to deliver robust growth in 2021.”