February 13, 2025 /SemiMedia/ — onsemi, a leading supplier of smart power and sensor chips, reported a decline in Q4 2024 profits and announced plans to streamline operations in 2025, though further details were not provided.

The company’s sales were impacted by weak performance in the automotive and industrial sectors. onsemi’s net profit for Q4 was $379 million, down from $562 million in the same period last year. Q4 revenue stood at $1.722 billion, a 14.6% decrease from $2.018 billion a year ago, and a 2.2% decline from the previous quarter’s $1.762 billion.

For the full year 2024, onsemi’s revenue fell to $7.082 billion, down 14.2% from $8.253 billion in 2023. Net profit dropped from $2.184 billion in 2023 to $1.573 billion in 2024.

CEO Hassane El-Khoury stated that the company is well-prepared to handle long-term fluctuations and is currently experiencing a market downturn. Looking ahead to 2025, he noted the outlook remains uncertain, adding, “We will maintain financial discipline, streamline operations, and continue delivering high-value, differentiated smart power and sensor solutions to further enhance onsemi’s competitive position.”

onsemi’s announcement mirrors similar reports from NXP and STMicroelectronics, both of which serve the automotive and industrial markets. These companies also reported weak Q4 2024 results and disclosed cost-cutting measures, including layoffs.

onsemi forecasts a further revenue decline in Q1 2025. The midpoint of the forecast suggests a 24.8% drop in revenue compared to Q1 2024.