Silicon Labs CEO Foresees Improvement As Inventory Reduces and Bookings Rise
Portfolio Pulse from Anusuya Lahiri
Silicon Laboratories Inc. (NASDAQ: SLAB) reported fiscal Q2 2024 sales of $145.37 million, down 40.6% YoY but beating the analyst consensus estimate. The company also reported an adjusted EPS loss of 56 cents, better than the expected loss of 64 cents. Despite a decline in margins and revenue, CEO Matt Johnson expects revenue growth in Q3 as inventory reduces and bookings improve. The company projects Q3 revenue of $160 million - $170 million, below the consensus of $172.76 million, and an adjusted EPS loss of 10 cents - 30 cents, against the consensus loss estimate of 18 cents. SLAB shares have plunged over 25% in the last 12 months.
July 24, 2024 | 2:30 pm
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Silicon Laboratories Inc. reported better-than-expected Q2 results but experienced a significant YoY decline in sales and margins. CEO Matt Johnson is optimistic about Q3 growth due to reduced inventory and improved bookings. However, the Q3 revenue forecast is below analyst expectations.
While the company beat Q2 estimates, the significant YoY decline in sales and margins is concerning. The CEO's optimistic outlook for Q3 provides some positive sentiment, but the revenue forecast below consensus may limit short-term stock price gains.
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