Fairchild lowers third quarter forecast
Fairchild Semiconductor has lowered its Q3 sales outlook as higher customer inventory dragged down demand at its industrial, automotive and appliance divisions.
The analogue chipmaker now expects Q3 sales of $400 to $410million, down from its earlier forecast of $433 to $446m.
According to Fairchild's chief executive, Mark Thompson, pictured, distributor sell through of the manufacturer's products has been lower than expected and the company is reducing its shipments accordingly. "Sell through has also been below expectations for appliances as some Asian customers reduce inventories," Thompson said in a statement. The company sells approximately 16billion semiconductor devices per year and receives more than two thirds of its revenue from Asia.
However, Fairchild added that it expects sales growth at its mobile analogue division, on the back of new design wins and product launches.
