Wingtech Technology reported strong third-quarter earnings despite potential disruptions from a power struggle at its Dutch chip unit, Nexperia. The company warned of revenue, profit, and cash flow risks if control over Nexperia is not restored by 2025. Revenue declined due to product integration and divestment of subsidiaries. Wingtech’s semiconductor operations accounted for 97% of its revenue. The company’s commitment to the chip sector was reiterated before Nexperia’s takeover by the Dutch government on national security grounds. Concerns over supply chain disruptions arose after Beijing imposed export controls on Nexperia China, which accounts for 70% of the firm’s total output. Shares of Wingtech have fallen 12% this month. Chinese and Dutch government officials have intervened to resolve the issue, with talks ongoing. This article was originally published by the South China Morning Post (SCMP).

Read more at Yahoo Finance: Nexperia parent Wingtech warns of ‘cash flow risk’ despite 280% surge in quarterly profit