Shift to EV Penetration ‘Has Only Just Begun’: Indie Semiconductor

Indie Semiconductor’s 181% revenue growth in the second quarter outperformed the automotive industry through its “design win momentum” in advanced driver-assistance systems and vehicle electrification, said CEO Don McClymont on a Q2 earnings call Thursday. “The shift to electrification is accelerating amid the higher oil price environment and long-term transition to greener technologies,” he said. Citing Cox Automotive data, McClymont said electric vehicle sales grew more than 75% in 2022's first half, but overall U.S. auto sales were down more than 17% over the same period. A recent AAA survey found 25% of Americans plan to buy an EV as their next car purchase, he said. “The electrification megatrend benefits Indie in a few ways.” The chipmaker has “strong relationships with an increasing number of strategic EV OEMs,” and it’s gaining “design win traction there,” he said. Its portfolio also “tends to gain a substantially higher attach rate to newly designed electric vehicles,” he said. Consumer interest in buying an EV “has soared 70% since January, particularly for younger generations,” he said. With only 5% EV penetration of new vehicle sales in the U.S., “the shift has only just begun,” he said.