By Yasin Ebrahim
Investing.com – NXP Semiconductors (NASDAQ:NXPI) delivered Monday a postiive outlook on demand that overshaddowed mixed fourth-quarter results as earnings fell short of Wall Street expectations.
NXP shares gained 8% in after-hours trading following the report.
NXP introduced earnings per share of $2.24 on revenue of $3.04 billion. Analysts polled by investing.com anticipated EPS of $3.01 on revenue of $3..0 billion.
Automotive, the corporate’s largest enterprise, reported a 30% gain, to $1.55 billion.
Looking ahead, the company said it continued to "see growing customer demand, outstripping supply, as inventory across all end markets remains very lean. Taken together, this underpins our continued confidence of robust growth throughout 2022.”
NXP guided Q1 revenue within a range of $3.03 billion to $3.18 billion, above expectations for $2.96 billion.
Ahead of the chipmaker's results, some on Wall Street raised concerns about a possible slowdown in orders as the pandemic-fueled boost, which has seen chip demand outstrip supply, fades.
"Once supply and demand hit parity, it will likely result in a slower pace of orders compared to the pace seen over the last few years," Piper Sandler Analyst Harsh Kumar said in a note earlier this month after downgrading the stock to neutral.