UK's IQE posts half-year profit on AI infrastructure demand

IQE Plc, a British chip components manufacturer, reported a half-yearly core profit of £6 million ($8.11 million) for the period ending June 30, marking a turnaround from a £0.4 million loss in the same period last year. The improvement in profit was driven by strong demand from AI infrastructure, data centre, and defence customers.

The company attributed the surge to a resurgence in AI usage and the subsequent need for equipment utilized in data centre construction. Despite a slowdown in the electronics market and disruptions due to U.S. tariffs, IQE is reaping the benefits of the current AI boom. The company's positive momentum in the first half of the year exceeded management expectations, leading to the reiteration of its full-year forecast.

IQE remains listed on the London's Alternative Investment Market and plans to seek admission on the Main Market, with the process expected to be completed in the first half of 2027.