UK-based semiconductor wafer manufacturer IQE announced Tuesday that it has lifted its full-year revenue growth projection, following a first-half performance that surpassed company expectations. The boost was fueled by growing demand for its semiconductor products tied to AI infrastructure and data centre operations.
The company revised its 2026 revenue growth forecast upward to more than 30%, compared to its earlier projection of 20%. IQE also indicated that its core profit is expected to reach the low-teens millions of pounds.
A key driver of the improved outlook was accelerating demand for the company’s Indium Phosphide solutions — a critical ingredient in optical photonic products used in AI infrastructure and data centres. IQE said that momentum is expected to continue through the remainder of the year.
The stronger forecast was further supported by solid performance in the aerospace and defence sector, as well as healthy demand for 3D sensing and wireless products.
For the first half of the year, IQE anticipates revenue of at least £64 million, which equals approximately $86 million. The company noted that trading across all of its core business segments exceeded what management had anticipated.
