Despite disruptions affecting its operations in China, Nexperia reported a profitable quarter while advancing expansion projects and strengthening supply chain resilience.
Dutch semiconductor company Nexperia reported revenue of $300.3 million for the first quarter of 2026, maintaining profitability despite operational disruptions related to its China business and ongoing supply chain challenges.
The company said it delivered positive net income and operating cash flow during the quarter, supported by financial discipline and the early impact of strategic investments.
While revenue was affected by issues related to its China operations, Nexperia stated that its businesses outside China remained profitable, helping to sustain overall financial stability.
According to the company, it lost operational control over its activities in China and faced difficulties due to local management’s refusal to follow established corporate processes. Despite these challenges, Nexperia said it maintained stable operations and continued serving customers.
The company also reported a strong cash position and confirmed that it had secured external financing, enabling it to continue daily operations, invest in growth initiatives and advance its recovery plans.
As part of efforts to strengthen supply-chain resilience, Nexperia is expanding its back-end manufacturing facilities in Malaysia and the Philippines. The projects are intended to diversify production capacity geographically and reduce dependence on individual locations, creating a broader manufacturing footprint.
Nexperia also highlighted recent collaborations aimed at supporting future product development and market expansion. These include partnerships with Polar Semiconductor, Semikron Danfoss and IAV. The company said these agreements support innovation across sectors including automotive, industrial systems, robotics and AI-related infrastructure.
Research and development remains a priority, with planned investments to expand the company’s semiconductor portfolio and support long-term growth opportunities. Nexperia also noted that recently introduced products are designed to address efficiency and performance requirements across its core markets.
Interim Chief Executive Officer Stefan Tilger said the first-quarter performance reflected the company’s ability to stabilise operations and continue supporting customers despite external pressures.
“Our strong fundamentals and disciplined execution enable us to regain stability and support our customers reliably. We remain profitable, with a strong cash position and continued support from external financing partners,” he said.
Looking ahead, Nexperia said its immediate focus remains on strengthening supply-chain resilience, ensuring reliable product delivery and building on signs of operational recovery.
