ON Semiconductor Revises Q1 Revenue Guidance - Quick Facts

(RTTNews) - ON Semiconductor Corp. (ON) updated its first-quarter revenue outlook to incorporate the potential impact of change in business conditions due to COVID-19. The company now expects first-quarter revenue will be in range of $1.275 billion to $1.325 billion, revised from prior guidance of $1.355 billion to $1.405 billion.

Keith Jackson, CEO of ON Semiconductor, said: "We saw soft order trends in China in the weeks following Lunar New Year holidays, but orders have since picked up, and we have not seen any significant cancellations of orders."

ON Semiconductor also announced it intends to take restructuring measures during the first quarter to realign its investments. These restructuring measures are expected to result in annual cost savings of approximately $90 million. The company expects to achieve targeted cost savings by the end of 2020 on quarterly run rate basis.