NXP expected to report 19% Q2 growth on broad segment strength

Dutch chipmaker NXP Semiconductors NV (NASDAQ: NXPI) is scheduled to report second-quarter fiscal 2026 results after the market closes on July 28. Following a stronger-than-expected first quarter and management's upbeat outlook, Visible Alpha consensus forecasts point to Q2 revenue of $3.5 billion, up 19% year-over-year and broadly in line with the midpoint of the company's guidance.

The anticipated growth reflects a broad-based recovery in NXP's automotive, industrial and communications businesses, which have been weighed down over the past two years by inventory corrections among automotive customers and subdued spending on communications infrastructure. As inventories normalize and semiconductor demand improves, analysts expect growth to accelerate across nearly all of the company's operating segments.

The Automotive segment, which generates more than half of total sales, is expected to remain the primary growth engine, with revenue rising 12% to $1.9 billion as semiconductor demand continues to recover and content per vehicle increases, as automakers continue to adopt more advanced driver-assistance, electrification and software-defined vehicle technologies.

The Industrial & IoT business is forecast to accelerate 36% to $742 million, reflecting improving industrial demand and AI-related edge computing opportunities. Mobile revenue is expected to increase at a more modest pace of 5% to $347 million, while the Communications Infrastructure & Other segment is projected to grow 38% to $440 million, extending the recovery from last year's weak telecom spending.

This article was published by Visible Alpha, part of S&P Global Market Intelligence and not by S&P Global Ratings, which is a separately managed division of S&P Global.