Overview

* Diodes fiscal Q3 revenue grows 12% yr/yr but slightly misses analyst expectations

* Adjusted EPS for fiscal Q3 misses consensus

* Company reports strong demand in computing market, slower recovery in automotive and industrial

Outlook

* Diodes expects Q4 2025 revenue to be approximately $380 mln, plus or minus 3%

* Company anticipates Q4 GAAP gross margin of 31.0%, plus or minus 1%

* Diodes sees non-GAAP operating expenses at 27% of revenue for Q4

Result Drivers

* COMPUTING DEMAND - Strong demand in computing market, including AI-related server applications, data centers, and edge computing drove revenue growth

* REGIONAL SALES GROWTH - Strongest sales growth in Asia, followed by North America, contributing to overall revenue increase

* PRODUCT MIX IMPACT - Unfavorable product mix weighed on gross margin, but future margin expansion expected with recovery in higher-margin markets

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Slight $392.17 $392.20

Miss* mln mln (4

Analysts

)

Q3 Miss $0.37 $0.39 (4

Adjusted Analysts

EPS )

Q3 EPS $0.31

Q3 Net $14.28

Income mln

Q3 EBIT $11.57

mln

Q3 Gross $120.49

Profit mln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the semiconductors peer group is "buy."

* Wall Street's median 12-month price target for Diodes Inc ( DIOD ) is $60.00, about 12.7% above its November 5 closing price of $52.39

* The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 29 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)