(Reuters) – French semiconductor company Soitec said on Wednesday it was determined to “ensure a successful implementation of its succession plan” as it posted a 40% jump in third-quarter revenue.
The company appointed a new CEO last week, a decision described as “incomprehensible” by the executive committee, given the progress made by current CEO Paul Boudre.
Paris-listed Soitec shares closed 6% higher on Wednesday, but are still down around 22% since the announcement.
Soitec said in a statement that “all parties restated their determination to ensure a successful implementation of the succession plan”.
Following the announcement of the plan, the Board of Directors, including CEO Boudre, “met for constructive discussions on governance questions”, the company added.
“The Executive Committee expressed to the Board of Directors its commitment to work closely with Paul Boudre’s designated successor, Pierre Barnabé, to ensure an effective leadership transition,” it added.
The firm, which designs and manufactures semiconductor materials, posted quarterly revenue of 208 million euros ($234.64 million) helped by the deployment of 5G in mobile communications, the sustained recovery of the automotive industry, and an acceleration in smart devices.
It confirmed full year revenue guidance at around 975 million dollars, up around 45%.
(Reporting by Kate Entringer in Gdansk; Editing by Jan Harvey, Kirsten Donovan)
