Analog Devices reports Q4 10% sales dip; eyes growth in 2025

Operating income slipped 10% sequentially to $569 million and fell 47% to $2.03 billion year on year.

"ADI's revenue, profitability, and earnings per share all finished above our guided midpoint, underscoring continued business momentum and solid execution," said Vincent Roche (pictured), CEO and Chair.  "While unprecedented customer inventory headwinds drove a historic revenue decline during fiscal 2024, we maintained operating margins north of 40%, which is a testament to our business model's resilience. We also continued to make strategic, long-term investments across engineering, manufacturing, and the end-to-end customer experience. As such, we enter 2025 as an even stronger enterprise, giving me the utmost confidence in our ability to drive increased value for customers and shareholders over the long term."

"After a brief decline in overall bookings during our third quarter, orders picked up steadily throughout the fourth quarter, particularly in the Automotive end market. While macro uncertainty continues to limit the pace of our recovery, we remain cautiously optimistic for a strong growth year in fiscal 2025," said Richard Puccio, CFO.

In Q4 all four end market sectors saw orders on the rise compared to Q3.

Industrial orders edged up 2 per cent, automotive and communications orders both grew 4 per cent and consumer orders climbed 22%

For the first quarter of fiscal 2025, ADI is forecasting revenue of $2.35 billion, +/- $100 million.