July 24, 2024 /SemiMedia/ -- According to the third-quarter financial forecast released by NXP Semiconductors NV, revenue for the quarter ending in September will be between $3.15 billion and $3.35 billion, with a median of $3.25 billion, lower than the average analyst expectation of $3.35 billion.

Semiconductor manufacturers around the world have been struggling in recent quarters with falling sales due to a global inventory glut, while the European Commission has warned that EU chipmakers are at risk of losing significant market share to China as China invests more in its own chip manufacturing industry.

According to NXP, its second-quarter revenue fell 5% to $3.13 billion. NXP stated that sales of its largest division, automotive chips, fell 7% year-on-year to $1.728 billion, while revenue from industrial and IoT chips increased 7% year-on-year to $616 million; mobile chip revenue increased 21% year-on-year to $345 million; and revenue from communications infrastructure and other products decreased 23% year-on-year to $438 million.

"We will continue to manage the things we can control to position NXP to deliver strong profitability and earnings in a challenging demand environment," NXP CEO Kurt Sievers said in a statement.