Product category:
Power Supply ICs and Controllers
News Release from: Fairchild Semiconductor
Edited by the Electronicstalk Editorial
Team on 03 December 2004
Distributor demand improves Fairchild's
outlook
Fairchild Semiconductor has revealed that order rates have improved as expected, and the company now expects fourth quarter sales to trend towards the higher end of its previous guidance.
Fairchild Semiconductor has revealed that order rates have improved as expected, and the company now expects fourth quarter sales to trend towards the higher end of the previous guidance of down 5 to 10% sequentially The company further expects that gross margins will be at the lower end of the previously guided range of approximately 26% to 28%, influenced by moderate pricing pressure and continued efforts to adjust factory loadings to reduce distribution inventories
This article was originally published on Electronicstalk on 28 Feb 2001 at 8.00am (UK)
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"Bookings improved during the first half of this quarter", said Kirk Pond, Fairchild's President, CEO and Chairman of the Board.
"Order rates increased from the third quarter levels but are still below the unsustainably high booking rates we experienced in the first half of this year".
"We're seeing improved demand from our distribution customers as they steadily reduce inventories in the channel".
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"Regarding end market demand, we've seen the greatest strength in products serving the consumer, computing and power supply markets".
"Order rates for the other end markets are as expected", stated Pond.
"We continue to enjoy strong demand for our high power switches and power conversion products which benefit from this strength in the consumer and computing markets".
"Fairchild has also seen a significant improvement in demand from Asia and especially China", said Pond.
"Demand in the other regions also improved throughout the quarter as expected".
"During the fourth quarter, pricing pressure has been greatest on standard components and products with higher availability", said Pond.
"We've seen a return to a more normal pricing environment for our recent 2005 contracts".
"We continue to win new designs and grow our power business with a variety of exciting new products", stated Pond.
"We won key designs for major display and appliance applications which continue to drive our fast growing power conversion product line".
"A major European customer has designed into their latest cell phone platform a number of our new power management solutions, including our integrated power regulator and power switch products".
"We also won key designs with our advanced power modules, including another win at a major Japanese appliance manufacturer".
"Our new products continue to drive the strong growth of the power franchise".
Fairchild expects to report its fourth quarter financial results before the market opens on 25th January 2005.
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