Synaptics Announces CEO’s Departure, Lower-End Revenue Guidance

“We are focused on capturing numerous opportunities before us and evolving the company under new leadership to increase shareholder value. We thank Rick for his contributions to Synaptics.” Nelson Chan, Executive Chairman of the Board, Synaptics

Synaptics Announces CEO's Departure, Lower-End Revenue Guidance

With Synaptics‘ leadership anticipating lower revenues than had been hoped for the third fiscal quarter, the company has announced the immediate departure of CEO Richard Bergman.

“Mr. Bergman’s departure was not a result of any disagreement with Synaptics on any matter relating to Synaptics’ operations, policies, or practices,” the company clarified in a statement announcing the news.

In the statement, Synaptics indicated that it has updated its Q3 fiscal guidance to reflect revenues and non-GAAP equity per share anticipated to be “around the lower end of the original guidance range of $340 million to $380 million and $0.70 to $1.00, respectively.” The company suggested that these lower revenues are the result of “demand softness” in the China market.

The news comes after Synaptics posted a Q2 update in February that showed a huge jump in GAAP net income, with the lion’s share of revenues coming from its activities in the mobile sector.

Synaptics says its Board of Directors has established an “executive leadership committee” that will “assist with the transition” of Bergman’s departure, with long-serving Board member Nelson Chan being appointed Executive Chairman of the Board to oversee the matter. Meanwhile, Synaptics is looking for a new CEO to replace Bergman.