(AOF) – The equipment supplier for the semiconductor sector Applied Materials has unveiled a favorable outlook. In the third quarter, which ended at the end of July, the group recorded a 6% decline in its net profit to 1.6 billion dollars, or 1.85 dollars per share. Earnings per share excluding special items came in at $1.94, 16 cents better than consensus. The turnover increased by 5% to reach the level of 6.52 billion dollars, while the market expected 6.27 billion dollars. Applied Materials was targeting 6.25 billion.
“Applied Materials achieved record quarterly revenue, but continued supply chain issues have limited our ability to meet demand, and our top priority remains increasing deliveries to our customers,” said Gary Dickerson, President and CEO.
In the current quarter, the group is targeting adjusted earnings per share between $1.82 and $2.18 for revenues of $6.65 billion on average. Wall Street anticipates respectively 1.94 dollars and 6.57 billion dollars.
AOF – LEARN MORE
Growing market and price pressures
According to the SIA, global chip sales were $151.7 billion in the first quarter of 2022, up 23% year-on-year. Sales increased in all major regional markets and for all product categories. As global uncertainties, including the war in Ukraine and the health crisis, weigh on supply chains, demand for semiconductors continues to significantly outpace supply. Manufacturers Samsung and TSMC have announced that they will raise their prices, in a context where players in the sector have good leeway and benefit from increased bargaining power. However, wage increases and component prices could weigh on future performance.
Great prospects with green hydrogen for the electricity sector
The French hydrogen plan of 7 billion euros, which has been increased to 9 billion, aims to develop an industrial sector for the production of low-carbon hydrogen. Gimélec, the group of companies in the digital electronics sector in France, has identified strong benefits for manufacturers of electrical equipment. For its members, the economic benefits are estimated at 10 billion euros by 2030, then an additional 20 billion for the period 2030 to 2040, mainly for the sector of manufacturers of digital electronic equipment (from transformers to control systems ). This will lead to massive recruitment, in particular in the territories where the hydrogen development efforts will be concentrated, in the Mediterranean and in the Seine Valley.