Why Is IQE plc Up on 11 Nov 2026?

IQE plc shares rose 5.65% on 11 Nov 2026, with LSE:IQE among the notable risers on the day. The move follows the company's H1 2026 results, which showed Revenue growth of 43% to £64.6 million.

Adjusted EBITDA was £6 million, a turnaround from the prior-year period, and the company reiterated its full-year guidance of revenue growth above 30% and adjusted EBITDA in the low-teens of millions of pounds.

Management said first-half trading beat its expectations and that momentum has carried into the second half.

About IQE plc

IQE plc is a global supplier of advanced semiconductor wafers, known as epitaxial wafers, used in wireless devices, photonics, infrared and other high-performance applications.

Its products are used across smartphones, data centres, defence and sensing. For LSE:IQE, the photonics and wireless divisions are the two main drivers of revenue.

Photonics Momentum

Photonics revenue rose 45% to £38.5 million, supported by US military and defence funding releases and growth in AI and data centre markets.

The company plans to convert existing capacity in the second half of 2026 to meet rising Demand for indium phosphide products.

Wireless Growth

Wireless revenue rose 40% to £26.0 million, driven by Market Share gains and sales of wireless connectivity products on newly qualified customer platforms.

The wireless division benefits from the rollout of faster connectivity standards, including WiFi 7.

Technology Pipeline

Development programmes cover 3D sensing VCSELs for premium consumer devices, microLED epitaxy for Augmented Reality and displays, GaN RF products for satellite and defence radar, and infrared products for autonomous vehicles and sensing.

Recently signed Supply agreements for optical communications infrastructure could provide further upside.

Plan to Move to the Main Market

IQE intends to move from AIM to the Main Market of the London Stock Exchange, targeting admission in the first half of 2027.

The move is intended to broaden access for institutional investors, improve Liquidity and support possible inclusion in FTSE indices.

Why Compound Semiconductors Matter

Compound semiconductor wafers support the lasers, sensors and radio-frequency components used in data centres, smartphones and defence systems.

Growth in AI computing has increased demand for the optical components that move data quickly within data centres.

Business Overview and Financial Performance

IQE reported H1 2026 revenue of £64.6 million, up 43% from £45.3 million. Wireless revenue was £26.0 million and photonics revenue £38.5 million.

Adjusted EBITDA was £6 million, a turnaround from the prior-year period.

Strategy and Priorities

IQE is focused on growth in photonics, particularly for AI and data centres, and in wireless products on newly qualified customer platforms.

Converting existing capacity for indium phosphide products in the second half is intended to meet rising demand.

Leadership and Listing

Chief Executive Jutta Meier has highlighted more than 40% revenue growth across the company's core markets.

The planned move to the Main Market targets admission in the first half of 2027 and is expected to broaden institutional access.

Technology Roadmap

IQE is developing products for 3D sensing, microLED displays, satellite and defence radar and infrared sensing.

A broad technology pipeline gives the company several routes to participate in emerging applications.

Understanding the Update

Epitaxial wafers are thin crystalline layers grown on a substrate, and they are the foundation of many semiconductor devices.

Indium phosphide products are used in optical communications, which is an area benefiting from AI and data centre growth.

What Investors Tend to Follow

Technology companies are typically assessed through recurring revenue, customer growth, margins and the pace of product development. Updates on contract wins, renewals and new modules show how demand for the software or hardware is evolving.

Key Themes to Watch

Cash generation and Investment in the product roadmap are also followed, as they show how the company is balancing growth with efficiency. Partnerships and acquisitions can broaden the offer and add new customers.

Reading the Next Updates

Trading updates, interim statements and annual results are the main points at which this information is refreshed, and management commentary gives context on the outlook.

Key Factors to Monitor

Investors may follow indium phosphide capacity conversion, AI and data centre demand, defence programme timing and progress towards the Main Market move.

Full-year results will also show how the guidance is delivered.

Conclusion

IQE plc's 5.65% advance on 11 Nov 2026 reflects interest in its 43% revenue growth, return to adjusted EBITDA profit and exposure to AI and data centre demand.

With reiterated guidance, a growing technology pipeline and a planned Main Market move, LSE:IQE has several developments to follow. Capacity conversion and full-year results are the next items to watch.