ManufacturingAppointments

The CEO of Apple supplier IQE plc has left the company with immediate effect.

The Cardiff-headquartered firm said Americo Lemos would be replaced on an interim basis by CFO Jutta Meier, who joined in January 2024 from Intel Corporation.

Mark Cubitt, who joined the IQE board earlier this month as chair-elect, will become executive chair. He is currently non-executive chair at AIM-Listed Beeks Group and Concurrent Technologies. 

IQE said it will begin the search for a permanent CEO with immediate effect.

IQE, whose ‘epi-wafers’ are used in the iPhone’s facial recognition sensors, has seen its share price drop from 36p at the end of May to around 15p in recent weeks. In the first hour of trading this morning – following the CEO announcement – its shares have fallen below 12p.

Last year the company, founded in 1988, reported a dramatic drop in revenue amid a wider industry downturn: H1 2023 revenue was down from £86.2m a year earlier to £52m. However in recent months it has seen improved performance, with H1 2024 sales rising 27% to £66m. It also returned to a positive EBITDA position of £6.6m as operating losses narrowed from £19.6m to £12.1m.

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The fall in share price has been attributed to a warning that some markets and performance would be at the lower end of expectations this year.

In July, IQE said it planned to file for an IPO of its Taiwanese business on the local stock exchange.

“Whilst IQE continues to navigate the semiconductor market recovery, we are confident that the Company’s renowned technical expertise is well aligned to long-term growth market vectors,” said Phil Smith, chairman.

“In Mark and Jutta we have two excellent individuals with the necessary sector and leadership skills to capture that growth in partnership with our customers, employees and broader stakeholders. 

“Their immediate priorities will include a focus on executing on the near-term pipeline as well as cash generation across the group and on unlocking embedded value by pursuing the IPO of our Taiwan business. 

“They will examine other efforts to optimise our asset base and ensure that resources are centred around IQE’s strategic areas of expertise.”

Last year founder Dr Drew Nelson OBE left the company to focus his energies on the wider semiconductor industry but remained available as a consultant.

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