AIXTRON confident despite drop in incoming orders - financial expert explains annual targets and market prospects

AIXTRON confident despite drop in incoming orders - financial expert explains annual targets and market prospects

According to a report by www.finanzen.net reports, chip supplier AIXTRON is confident about its annual targets despite a decline in incoming orders in the third quarter. CFO Christian Danninger confirmed that the company has a large pipeline of orders and that traditionally many orders arrive at the end of the year. Full-year guidance was also confirmed, although a strong fourth quarter is needed to achieve targets.

The article also mentions that, according to Danninger, the problem of delayed export licenses, which weighed on business in 2023, will soon no longer play a role. AIXTRON reportedly did not lose any orders due to these delays. The company is also increasingly focusing on power electronics, particularly on the potential of the new material gallium nitride.

The AIXTRON share ultimately gained 0.65 percent in value in XETRA trading and closed at 31.12 euros.

From a financial expert's perspective, AIXTRON's prospects are positive despite the decline in order intake in the third quarter. The pipeline of orders and focus on power electronics and new materials show that the company is committed to generating long-term growth. However, the forecast of sales of 600 to 660 million euros and the operating profit margin of 25 to 27 percent remains ambitious and requires a strong fourth quarter to be achieved. Further developments in the export business and the market acceptance of new materials could influence company performance in the future.