Dialog Semiconductor share price rises as Apple supplier reports record quarter ahead of forecast

 
Lynsey Barber
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Apple is Dialog Semiconductor's biggest customer (Source: Getty)

Dialog Semiconductor has reported record revenue for the fourth quarter, beating its own forecasts.

The figures

The preliminary figures for the quarter came in at $463m, a rise of 27 per cent on the same time last year.

In November 2017, the chipmaker had forecast revenue of between $415m and $455m.

Full-year revenue is now expected to be $1.35bn, a rise of 13 per cent on the year prior.

Shares of the UK-based firm were up by as much as four per cent on the Frankfurt Stock Exchange as markets opened on Monday.

Why it's interesting

Dialog admitted last month that Apple - its biggest customer - could stop using its parts for iPhones in the future, though it does not see this happening next year. This sent shares down more than 20 per cent.

It's the latest chipmaker to have its fortunes rest with the US tech giant. New iPhone launches this year have been good for Dialog, however the heavy reliance on Apple has left investors understandably cautious.

What Dialog said

"Excluding the impact from the acquisition of Silego Technology on 1 November 2017, fourth quarter 2017 revenue was up 24 per cent year-on-year. Unaudited preliminary revenue for the full year 2017 was approximately $1.35bn and mobile systems, connectivity, and automotive and industrial delivered double digit year-on-year revenue growth."

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