STMicroelectronics Reports 2021 Second Quarter Financial Results
- Q2 net revenues $2.99 billion; gross margin 40.5%; operating margin 16.3%; net income $412 million
- H1 net revenues $6.01 billion; gross margin 39.7%; operating margin 15.5%; net income $776 million
- Business outlook at the mid-point: Q3 net revenues of $3.20 billion and gross margin of 41.0%
Geneva, July 29, 2021 - STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, reported U.S. GAAP financial results for the second quarter ended July 3, 2021. This press release also contains non-U.S. GAAP measures (see Appendix for additional information).
ST reported second quarter net revenues of $2.99 billion, gross margin of 40.5%, operating margin of 16.3%, and net income of $412 million or $0.44 diluted earnings per share.
Jean-Marc Chery, STMicroelectronics President & CEO, commented:
- “Q2 net revenues and gross margin came in at the high-end of our business outlook range driven by continued strong demand globally.
- “On a year-over-year basis, Q2 net revenues increased 43.4%. Q2 gross margin of 40.5% and operating margin of 16.3% improved 550 and 1,120 basis points, respectively, and net income increased 357.2% to $412 million.
- “First half net revenues increased 39.1% year-over-year, driven by growth in all product groups, except the RF Communications sub-group. Operating margin was 15.5% and net income $776 million.
- “ST’s third quarter outlook, at the mid-point, is for net revenues of $3.20 billion, increasing year-over-year and sequentially by 20.0% and 7.0%, respectively; gross margin is expected to be about 41.0%.
- “We will now drive the Company based on a plan for FY21 revenues of $12.5 billion, plus or minus $100 million, a year-over-year increase of 22.3% at the mid-point. This growth is expected to be driven by strong dynamics in all the end markets we address and our engaged customer programs. Our CAPEX plan will now be about $2.1 billion for 2021.
Quarterly Financial Summary (U.S. GAAP)
(US$ m, except per share data) | Q2 2021 | Q1 2021 | Q2 2020 | Q/Q | Y/Y |
Net Revenues | $2,992 | $3,016 | $2,087 | -0.8% | 43.4% |
Gross Profit | $1,212 | $1,175 | $730 | 3.1% | 66.1% |
Gross Margin | 40.5% | 39.0% | 35.0% | 150 bps | 550 bps |
Operating Income | $489 | $440 | $106 | 11.1% | 358.8% |
Operating Margin | 16.3% | 14.6% | 5.1% | 170 bps | 1,120 bps |
Net Income | $412 | $364 | $90 | 13.1% | 357.2% |
Diluted Earnings Per Share | $0.44 | $0.39 | $0.10 | 12.8% | 340.0% |