IQE Increases 2026 Sales Growth Forecast Amid Strong AI, Data Centre Demand
IQE Raises Revenue Outlook on Surging Semiconductor Demand
July 21 (Reuters) - UK semiconductor wafer maker IQE on Tuesday raised its full-year revenue growth forecast after its first-half trading beat expectations, driven by rising demand for its semiconductor products used in AI infrastructure and data centres.
Key Highlights of the Forecast Update
Here are some details:
Upgraded Revenue and Profit Projections
• IQE upgraded its 2026 revenue growth forecast to above 30%, from 20% previously and said core profit would reach the low-teens millions of pounds.
Strong Demand Drivers
AI and Data Centre Infrastructure
• The company said demand for its Indium Phosphide solutions, a key component in optical photonic products used in AI infrastructure and data centres, accelerated in the first half and would remain strong through the rest of the year.
Aerospace, Defence, and Other Markets
• The improved outlook was also supported by strength in the aerospace and defence market, alongside robust demand for 3D sensing and wireless products.
First-Half Performance
• IQE expects first-half revenue of at least £64 million($86 million), with trading during the first half exceeding management expectations across all core businesses.($1 = 0.7439 pounds)
(Reporting by Atharva Singh in Bengaluru; Editing by Nivedita Bhattacharjee)
