Intermediate declaration by the Board of Directors
Regulatory News:
X-FAB (BOURSE:XFAB):
Highlights Q3 2026:
› Revenue was USD 194.4 million, down 15% year-on-year (YoY) and down 3% quarter-on-quarter (QoQ)
› Excluding the impact from revenue recognized over time (IFRS 15), revenue was USD 200.7 million, down 12% YoY and up 2% QoQ, within the guided range of USD 195-205 million.
› Bookings increased to USD 224.7 million, the highest level in two years, up 38% YoY and up 30% QoQ
› EBITDA was USD 37.5 million, down 30% YoY and up 12% QoQ
› EBITDA margin was 19.3%; excluding IFRS 15 impact, EBITDA margin was 18.6%, within the guided 17-20% range
› EBIT was USD 4.3 million, down 82% YoY and up 107% QoQ
Outlook:
› Q4 2026 revenue is expected to come in within the range of USD 205-215 million with an EBITDA margin in the range of 19-22%.
› The guidance is based on an average exchange rate of 1.14 USD/Euro and does not take into account the impact of IFRS 15.
Revenue breakdown per quarter:
in millions of USD | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | Q3 y-o-y growth |
Automotive | 128.6 | 135.4 | 143.4 | 146.9 | 132.6 | 121.6 | 116.0 | 119.1 | -19% |
Industrial | 36.1 | 39.3 | 47.2 | 47.6 | 50.5 | 52.0 | 45.2 | 49.6 | 4% |
Medical | 16.5 | 13.8 | 15.1 | 21.2 | 21.2 | 19.2 | 21.0 | 19.1 | -10% |
Subtotal core business | 181.2 | 188.6 | 205.7 | 215.7 | 204.3 | 192.9 | 182.1 | 187.8 | -13% |
92.1% | 93.2% | 94.2% | 94.2% | 93.7% | 93.6% | 92.9% | 93.6% | ||
CCC1 | 15.1 | 13.6 | 12.2 | 13.3 | 13.6 | 12.7 | 13.5 | 12.4 | -6% |
Others | 0.5 | 0.2 | 0.4 | 0.0 | 0.3 | 0.2 | 0.3 | 0.5 | |
Revenue* | 196.8 | 202.3 | 218.3 | 228.9 | 218.1 | 205.8 | 196.0 | 200.7 | -12% |
Impact from revenue recognized over time | -8.0 | 1.8 | -3.0 | -0.3 | 4.2 | -10.3 | 3.9 | -6.3 | |
Total revenue | 188.8 | 204.1 | 215.3 | 228.6 | 222.3 | 195.6 | 199.8 | 194.4 | -15% |
1Consumer, Communications Computer | |||||||||
in millions of USD | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | Q3 y-o-y growth |
Smart CMOS SOI | 170.8 | 173.4 | 185.1 | 191.8 | 182.9 | 156.9 | 156.7 | 158.6 | -17% |
Microsystems Photonics1 | 20.2 | 22.9 | 25.3 | 27.5 | 25.0 | 33.7 | 28.7 | 25.9 | -6% |
Wide-bandgap technologies2 | 5.8 | 6.0 | 7.9 | 9.6 | 10.2 | 15.1 | 10.6 | 16.2 | 68% |
Revenue* | 196.8 | 202.3 | 218.3 | 228.9 | 218.1 | 205.8 | 196.0 | 200.7 | -12% |
Impact from revenue recognized over time | -8.0 | 1.8 | -3.0 | -0.3 | 4.2 | -10.3 | 3.9 | -6.3 | |
Total revenue | 188.8 | 204.1 | 215.3 | 228.6 | 222.3 | 195.6 | 199.8 | 194.4 | -15% |
1Photonics revenue included as from Q1 2026 | |||||||||
2SiC and GaN; GaN revenue included as from Q1 2026 | |||||||||
Business development
In the third quarter of 2026, X-FAB recorded revenue of USD 194.4 million, down 15% year-on-year and down 3% quarter-on-quarter. Excluding the impact from revenue recognized over time, quarterly revenue was USD 200.7 million, up 2% quarter-on-quarter and within the guided range of USD 195-205 million. Third quarter revenue in X-FAB's core markets automotive, industrial, and medical amounted to USD 187.8 million*, down 13% year-on-year and up 3% quarter-on-quarter, accounting for a share of 94%* of total revenue.
Bookings in the third quarter increased 38% year-on-year and 30% sequentially to USD 224.7 million, the highest level in two years, resulting in a book-to-bill ratio of 1.12. Quarter-end backlog increased by 7% to USD 313.6 million from USD 291.8 million at the end of the previous quarter. The growth in bookings and backlog supports the anticipated recovery in the second half of 2026.
Third-quarter automotive revenue totaled USD 119.1 million*, down 19% year-on-year but up 3% sequentially. Inventory corrections no longer weighed on X-FAB's automotive bookings, which increased significantly in the third quarter.
Quarterly industrial revenue came in at USD 49.6 million*, up 4% year-on-year and up 10% quarter-on-quarter, mainly driven by the increase in silicon carbide revenue.
In the third quarter, medical revenue was USD 19.1 million*, down 10% year-on-year and 9% quarter-on-quarter. Demand for ultrasound and pacemaker applications was strong, which was partly offset by lower orders for a major customer's lab-on-a-chip device and lower demand for temperature sensors.
In the third quarter, smart CMOS SOI revenue reached USD 158.6 million*, down 17% year-on-year and up 1% quarter-on-quarter. Strong demand for battery management systems and an AI data center test application drove a production ramp, while X-FAB also secured several major design wins during the quarter. These include a silicon photomultiplier for a medical scanner, a handheld ultrasound application, and an actuator for optical circuit switches in data centers. The CMOS sensor business is also gaining momentum as customers seek alternative sources amid supply constraints at their existing suppliers.
Microsystems Photonics revenue was USD 25.9 million* in the third quarter, down 6% year-on-year and 10% quarter-on-quarter. While revenue in X-FAB's microsystems business fluctuates due to its high share of customer-specific projects, customer interest remains strong and the outlook is positive. Global demand for MEMS sensors, particularly in China, was robust in the third quarter, with a revenue increase by more than 40% quarter-on-quarter. The pilot line for an industrial inkjet printing application based on piezo materials has been installed, further expanding X-FAB's capabilities. X-FAB's heterogeneous integration technology for integrating light sources is attracting strong customer interest, and photonics prototyping revenue is growing.
In the third quarter, wide bandgap revenue reached USD 16.2 million*, up 68% year-on-year and 52% sequentially. Silicon carbide (SiC) accounted for most of the wide bandgap revenue with X-FAB recording an all-time high number of SiC wafers sold in the third quarter, up 45% year-on-year, while customer traction continued to grow. Gallium nitride (GaN) development activities are gaining momentum, with the number of customers doubling from six to twelve over the past year. New wide bandgap opportunities include solid-state circuit breakers (SSCBs) as an emerging application for both SiC and GaN power semiconductors, driven by the need for fast and efficient power protection in next-generation data centers and energy infrastructure. X-FAB has secured two SSCB-related development agreements during the third quarter, with several additional opportunities under negotiation.
Overall prototyping revenue totaled USD 16.3 million* in the third quarter, down 17% year-on-year and 8% quarter-on-quarter. Underlying CMOS demand is positive, with both the number and value of opportunities increasing across the customer engagement funnel. Microsystems and wide-bandgap development projects, however, are billed upon reaching milestones rather than at regular intervals, causing fluctuations in total prototyping revenue.
Prototyping and production revenue* per quarter and end market:
in millions of USD | Revenue | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 |
Automotive | Prototyping | 5.5 | 2.8 | 3.3 | 2.7 | 2.1 |
Production | 141.4 | 129.8 | 118.3 | 113.3 | 117.0 | |
Industrial | Prototyping | 9.7 | 12.8 | 12.2 | 12.1 | 11.0 |
Production | 37.9 | 37.7 | 39.8 | 33.1 | 38.5 | |
Medical | Prototyping | 2.8 | 3.1 | 2.0 | 1.7 | 1.8 |
Production | 18.4 | 18.1 | 17.2 | 19.3 | 17.3 | |
CCC | Prototyping | 1.6 | 1.5 | 1.4 | 0.9 | 1.0 |
Production | 11.6 | 12.0 | 11.3 | 12.6 | 11.4 | |
Financial update
In the third quarter, EBITDA was USD 37.5 million with an EBITDA margin of 19.3%. Excluding the impact of revenue recognized over time, the EBITDA margin would have reached 18.6%, within the guided range of 17-20%.
X-FAB's business is naturally hedged and profitability unaffected by exchange rate fluctuations. At a constant USD/Euro exchange rate of 1.17 as experienced in the previous year's quarter, the EBITDA margin would have remained unchanged.
Third-quarter capital expenditures totaled USD 31.8 million. X-FAB received the first EU Chips Act funding payment for the new microsystems fab in Erfurt, Germany, resulting in net capital expenditures of USD 29.9 million.
Cash and cash equivalents totaled USD 196.0 million at the end of the quarter, an increase of USD 32.5 million from the previous quarter. Net debt amounted to USD 315.5 million, up USD 3.2 million from the previous quarter.
Management comments
Damien Macq, CEO of X-FAB Group, said: "We are increasingly seeing the pieces of our strategy coming together. Bookings have reached their highest level in two years, and capacity utilization at our factories is increasing. This supports our confidence in the gradual recovery across our core business. At the same time, we continue to broaden X-FAB's growth opportunities through our differentiated technology portfolio, including microsystems, photonics, wide-bandgap technologies and applications related to data center infrastructure. With the capacity and capabilities we have built globally over recent years, X-FAB is well positioned to support our customers' long-term growth and to translate these investments into higher utilization and sustainable profitable growth."
X-FAB Quarterly Conference Call
X-FAB's third quarter results will be discussed in a live conference call/audiocast on Thursday, October 29, 2026, at 6.30 p.m. CET. The conference call will be in English. Please register here.
Financial calendar
February 11, 2027 | Publication of Q4 2026 results |
April 5, 2027 | Publication of Annual Report 2026 |
April 29, 2027 | Publication of Q1 2027 results |
About X-FAB
X-FAB is a global foundry group providing a comprehensive set of specialty technologies and design IP to enable its customers to develop world-leading semiconductor products that are manufactured at X-FAB's six wafer fabs located in Malaysia, Germany, France, and the United States. With its expertise in analog/mixed-signal technologies, microsystems, photonics, and wide bandgap products, X-FAB is the development and manufacturing partner for its customers, primarily serving the automotive, industrial and medical end markets. X-FAB has approximately 4,000 employees and has been listed on Euronext Paris since April 2017 (XFAB). For more information, please visit www.xfab.com.
Forward-looking information
This press release may include forward-looking statements. Forward-looking statements are statements regarding or based upon our management's current intentions, beliefs or expectations relating to, among other things, X-FAB's future results of operations, financial condition, liquidity, prospects, growth, strategies, or developments in the industry in which we operate. By their nature, forward-looking statements are subject to risks, uncertainties and assumptions that could cause actual results or future events to differ materially from those expressed or implied thereby. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein.
Forward-looking statements contained in this press release regarding trends or current activities should not be taken as a report that such trends or activities will continue in the future. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless legally required. You should not place undue reliance on any such forward-looking statements, which speak only as of the date of this press release.
The information contained in this press release is subject to change without notice. No re-report or warranty, express or implied, is made as to the fairness, accuracy, reasonableness, or completeness of the information contained herein and no reliance should be placed on it.
Condensed consolidated statement of profit and loss
in thousands of USD | Quarter ended unaudited | Quarter ended unaudited | Quarter ended unaudited | Nine months ended unaudited | Nine months ended unaudited |
Revenue* | 200,661 | 228,884 | 195,979 | 602,462 | 649,491 |
Impact from revenue recognized over time | -6,250 | -319 | 3,852 | -12,669 | -1,531 |
Total revenue | 194,411 | 228,565 | 199,830 | 589,794 | 647,961 |
Revenues in USD in | 57 | 56 | 56 | 56 | 57 |
Revenues in EUR in | 43 | 44 | 44 | 44 | 43 |
Cost of sales | -162,780 | -180,281 | -169,348 | -496,976 | -505,107 |
Gross profit | 31,631 | 48,284 | 30,483 | 92,818 | 142,854 |
Gross profit margin in % | 16.3 | 21.1 | 15.3 | 15.7 | 22.0 |
Research and development expenses | -13,417 | -12,369 | -14,472 | -43,416 | -36,818 |
Selling expenses | -2,319 | -2,088 | -2,508 | -7,551 | -6,743 |
General and administrative expenses | -12,702 | -12,406 | -12,997 | -39,021 | -37,197 |
Rental income and expenses from investment properties | 554 | 480 | 846 | 2,189 | 2,042 |
Other income and other expenses | 593 | 1,887 | 744 | 3,674 | 2,456 |
Operating profit | 4,340 | 23,788 | 2,096 | 8,691 | 66,594 |
Finance income | 6,984 | 4,143 | 5,813 | 22,317 | 30,249 |
Finance costs | -13,391 | -9,774 | -10,293 | -31,906 | -60,452 |
Financial result | -6,407 | -5,631 | -4,480 | -9,590 | -30,204 |
Profit before tax | -2,067 | 18,157 | -2,384 | -898 | 36,390 |
Income tax | -755 | -1,573 | -12,445 | -15,828 | -7,995 |
Profit for the period | -2,822 | 16,584 | -14,829 | -16,727 | 28,395 |
Operating profit (EBIT) | 4,340 | 23,788 | 2,096 | 8,691 | 66,594 |
Depreciation | 33,172 | 30,078 | 31,524 | 96,624 | 87,923 |
EBITDA | 37,512 | 53,866 | 33,620 | 105,315 | 154,516 |
EBITDA margin in % | 19.3 | 23.6 | 16.8 | 17.9 | 23.8 |
Earnings per share | -0.02 | 0.13 | -0.11 | -0.13 | 0.22 |
Weighted average number of shares | 130,631,921 | 130,631,921 | 130,631,921 | 130,631,921 | 130,631,921 |
EUR/USD average exchange rate | 1.15086 | 1.16772 | 1.16281 | 1.16125 | 1.11802 |
Amounts in the financial tables provided in this press release are rounded to the nearest thousand except when otherwise indicated, rounding differences may occur. | |||||
*excluding impact from revenue recognized over time in accordance with IFRS 15 | |||||
Condensed consolidated statement of financial position
in thousands of USD | Quarter ended 30 Sep 2026 unaudited | Quarter ended 30 Sep 2025 unaudited | Quarter ended 30 Jun 2026 unaudited | Year ended 31 Dec 2025 audited |
ASSETS | ||||
Non-current assets | ||||
Property, plant, and equipment | 1,195,210 | 1,211,016 | 1,201,564 | 1,220,272 |
Investment properties | 3,615 | 7,083 | 3,667 | 7,007 |
Intangible assets | 11,205 | 6,501 | 11,307 | 9,522 |
Other non-current assets | 13 | 29 | 17 | 25 |
Deferred tax assets | 51,027 | 64,482 | 50,942 | 61,855 |
Total non-current assets | 1,261,069 | 1,289,111 | 1,267,497 | 1,298,681 |
Current assets | ||||
Inventories | 257,456 | 287,471 | 252,969 | 264,659 |
Contract assets | 8,085 | 16,561 | 14,335 | 20,753 |
Trade and other receivables | 92,300 | 95,100 | 100,727 | 88,990 |
Other assets | 71,444 | 85,949 | 64,421 | 79,588 |
Cash and cash equivalents | 196,042 | 174,225 | 163,576 | 194,314 |
Total current assets | 625,328 | 659,306 | 596,028 | 648,304 |
TOTAL ASSETS | 1,886,397 | 1,948,417 | 1,863,525 | 1,946,985 |
EQUITY AND LIABILITIES | ||||
Equity | ||||
Share capital | 432,745 | 432,745 | 432,745 | 432,745 |
Share premium | 348,709 | 348,709 | 348,709 | 348,709 |
Retained earnings | 255,627 | 270,360 | 258,449 | 272,069 |
Cumulative translation adjustment | 624 | 580 | 660 | 552 |
Treasury shares | -770 | -770 | -770 | -770 |
Total equity | 1,036,936 | 1,051,623 | 1,039,793 | 1,053,305 |
Non-current liabilities | ||||
Non-current loans and borrowings | 254,269 | 403,356 | 220,385 | 187,895 |
Other non-current liabilities and provisions | 3,092 | 2,690 | 3,093 | 3,577 |
Total non-current liabilities | 257,361 | 406,047 | 223,479 | 191,472 |
Current liabilities | ||||
Trade payables | 37,925 | 40,978 | 36,050 | 54,805 |
Current loans and borrowings | 257,244 | 63,823 | 255,494 | 292,512 |
Other current liabilities and provisions | 296,931 | 385,946 | 308,708 | 354,891 |
Total current liabilities | 592,100 | 490,747 | 600,253 | 702,208 |
TOTAL EQUITY AND LIABILITIES | 1,886,397 | 1,948,417 | 1,863,525 | 1,946,985 |
Condensed consolidated statement of cash flows
in thousands of USD | Quarter ended unaudited | Quarter ended unaudited | Quarter ended unaudited | Nine months ended unaudited | Nine months ended unaudited |
Income before taxes | -2,067 | 18,157 | -2,384 | -898 | 36,390 |
Reconciliation of income before taxes to cash flow arising from operating activities: | 42,718 | 37,235 | 36,051 | 105,530 | 120,348 |
Depreciation and amortization, before effect of grants and subsidies | 33,172 | 30,078 | 31,524 | 96,624 | 87,923 |
Amortization of investment grants and subsidies | -1,232 | -1,601 | -1,243 | -3,865 | -4,062 |
Interest income and expenses (net) | 4,936 | 4,302 | 3,775 | 13,584 | 12,373 |
Loss/(gain) on the sale of plant, property, and equipment (net) | -31 | -1,403 | -318 | -2,361 | -1,511 |
Loss/(gain) on the change in fair value of derivatives and financial assets (net) | 724 | 483 | 719 | 649 | -3,677 |
Other non-cash transactions (net) | 5,149 | 5,376 | 1,593 | 899 | 29,301 |
Changes in working capital: | -11,339 | -1,433 | -33,534 | -54,374 | -33,752 |
Decrease/(increase) of trade receivables | 8,408 | 16,463 | -7,585 | -2,973 | 1,289 |
Decrease/(increase) of other receivables and other assets | -3,272 | -5,241 | -3,437 | 4,880 | -5,325 |
Decrease/(increase) of inventories | -4,487 | 736 | 8,363 | 7,203 | -5,706 |
Decrease/(increase) of contract assets | 6,250 | 319 | -3,852 | 12,669 | 1,531 |
(Decrease)/increase of trade payables | 2,332 | 656 | -9,806 | -9,520 | -4,542 |
(Decrease)/increase of other liabilities | -20,569 | -14,367 | -17,217 | -66,633 | -20,999 |
Income taxes (paid)/received | -266 | -4,023 | -1,097 | -5,324 | -5,255 |
Net cash from operating activities | 29,046 | 49,936 | -964 | 44,933 | 117,730 |
Cash flow from investing activities: | |||||
Payments for property, plant, equipment and intangible assets | -31,754 | -23,455 | -24,212 | -82,001 | -178,911 |
Receipt of government grants and subsidies | 2,295 | 0 | 9,397 | 11,692 | 0 |
Proceeds from sale of property, plant, and equipment | 33 | 1,467 | 320 | 6,061 | 1,585 |
Interest received | 1,102 | 994 | 1,058 | 3,019 | 3,180 |
Net cash used in investing activities | -28,324 | -20,993 | -13,436 | -61,229 | -174,146 |
Condensed consolidated statement of cash flows con't
in thousands of USD | Quarter ended unaudited | Quarter ended unaudited | Quarter ended unaudited | Nine months ended unaudited | Nine months ended unaudited |
Cash flow from (used in) financing activities: | |||||
Proceeds from loans and borrowings | 87,194 | 5,467 | 45,364 | 148,476 | 56,038 |
Repayment of loans and borrowings | -43,712 | -6,368 | -19,985 | -115,025 | -44,918 |
Receipts of sale and leaseback arrangements | 0 | 0 | 22,846 | 22,846 | 30,020 |
Payments of lease installments | -5,922 | -4,727 | -7,720 | -17,804 | -18,004 |
Interest paid | -6,038 | -5,851 | -4,834 | -16,603 | -15,519 |
Cash flow from (used in) financing activities | 31,522 | -11,478 | 35,673 | 21,890 | 7,617 |
Effect of changes in foreign currency exchange rates on cash balances | 223 | -918 | -2,391 | -3,865 | 7,187 |
Increase/(decrease) of cash and cash equivalents | 32,244 | 17,464 | 21,273 | 5,594 | -48,799 |
Cash and cash equivalents at the beginning of the period | 163,576 | 157,678 | 144,694 | 194,314 | 215,837 |
Cash and cash equivalents at the end of the period | 196,042 | 174,225 | 163,576 | 196,042 | 174,225 |
*excluding impact from revenue recognized over time according to IFRS 15
View source version on businesswire.com: https://www.businesswire.com/news/home/20261029260680/en/
Contacts:
X-FAB Press Contact
Uta Steinbrecher
Investor Relations
X-FAB Silicon Foundries
+49-361-427-6489
uta.steinbrecher@xfab.com
