As the adoption of SiC in automotive semiconductors surges, ON Semiconductor's sales performance is also increasing. To meet the growing demand for SiC, the company is accelerating its efforts to expand market share, including by expanding its Bucheon fab in Korea.

Onsemi, an intelligent power and sensing technology company, recently announced its third-quarter 2023 earnings.

ON Semi achieved sales of $2.1808 billion (approximately 3 trillion KRW) in the third quarter of this year. It recorded a gross profit margin of 47.3% under both generally accepted accounting principles (GAAP) and non-GAAP, while operating profit under GAAP and non-GAAP was 31.5% and 32.6%, respectively. Earnings per share ranged from $1.29 to $1.39 (GAAP and non-CAAP, respectively).

It is analyzed that ON Semi, which focuses on the SiC power semiconductor sector, is gaining momentum as the automotive industry accelerates the paradigm shift from internal combustion engines to electric vehicles. ON Semi announced that it recorded $1.2 billion (approximately 1.6 trillion won) in quarterly revenue in the automotive sector, more than half of the total, adding that this represents a 33% increase compared to the same period last year.

Next, the industrial sector achieved sales of approximately $616 million (about 830 billion won), showing a slight increase compared to the same quarter last year.

"We have achieved another solid performance through our systematic approach and execution, demonstrating Onsemi's resilience even amidst a market downturn," said Hassane El-Khoury, CEO of Onsemi. "We are continuously driving structural improvements and efficiency, and have achieved significant results in the SiC business, particularly in Korea, including the expansion of the world's largest state-of-the-art silicon carbide (SiC) fab for 150mm and 200mm wafers."

Meanwhile, ON Semi recently completed the construction of its S5 line in Bucheon, and its SiC wafer capacity is expected to expand to up to 1 million wafers. With preparations underway to transition to 8-inch wafers starting in 2025, the ON Semi Bucheon fab is expected to become a key pillar of the company's SiC capacity in the future.