FRANKFURT (Reuters) - Dialog Semiconductor (DLGS.DE), maker of chips that go in Apple Inc’s (AAPL.O) and Samsung Electronics’ (005930.KS) smartphones, said it expected “good revenue growth” in 2017, indicating a bumper year for high end consumer devices.
The company, which depends for about three-quarters of its revenues on smartphone makers, in January already reported a 5 percent rise in fourth-quarter sales to $365 million.
Dialog on Thursday said it expected sales of $255-$285 million in the first quarter of 2017, up from the $241 million it made in the year-earlier quarter.
Hopes for strong chip deliveries to Apple’s iPhone and Samsung’s Galaxy have lifted the stock to a 17-month high, gaining 19 percent so far this year and more than doubling from the 23.21 euros it hit in June.
Apple and Samsung are launching their new smartphones in the coming weeks. Expectations are high, especially for the 10-year edition of the iPhone, which according to analysts contains Dialog’s power management chip.
Reporting by Christoph Steitz and Harro ten Wolde; Editing by Maria Sheahan