Skyworks Solutions Inc (NASDAQ:SWKS) shares plummeted after the maker of semiconductors for consumer electronics said rising competition for Apple Inc (NASDAQ:AAPL, ETR:APC)'s iPhone business would result in a drop in sales.
Chief financial officer Kris Sennesael told investors during an earnings call that the company expects its share to supply Apple with parts for its products is expected to decline by 20% to 25%.
“The last couple of years have been challenging as the competitive landscape has intensified,” Sennesael told investors.
The company expects lower revenue in Q4 and through 2026 related to the upcoming iPhone 17 cycle, set to be launched in fall 2025, the CFO added.
It said in a statement it expects a mid-to-high teens decline in mobile for Q2.
For the first quarter, the company reported revenue of $1.1 billion, in line with estimates, and a better-than-expected profit of $1.60 per share, above the $1.57 expected.
Shares of Skyworks fell 23.9% to $66 on Thursday morning.