ON Semi Jumps On Solid Q3 Guidance, Remains Positive About Second Half

ON Semiconductor (ONNN) Tuesday morning reported second quarter revenue of $381.2 million, and EPS of 21 cents a share, beating the Street consensus of $379.77 million and 18 cents.

For the third quarter, the maker of power semiconductors sees product revenue of $370 million to $380 million, and $23 million in manufacturing services revenue, for total revenue of $393 million to $403 million. The mid-point of the range at $398 million is a bit ahead of the Street consensus of $397 million (please note that some coverage of the results Tuesday morning asserts that the revenue projection is below Street expectations; that is based on a misreading of the release, which provides guidance for products and manufacturing individually, but does not bother to add them up to get a total).

The company indicated that it remains “positive about our prospects for the second half,” noting that it starts the quarter with backlog up 10% sequentially, “driven by new product wins and product ramps in the computing, consumer electronics and wireless end markets.” The company also notes that all of those markets “typically have stronger seasonal demand in the second half of the year driven by back-to-school and holiday platform builds.”

ON Semi Tuesday morning is up $1.31, or nearly 12%, at $12.32.

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