PR No: C3210C
STMicroelectronics Reports 2023 Third Quarter Financial Results
- Q3 net revenues $4.43 billion; gross margin 47.6%; operating margin 28.0%; net income $1.09 billion
- YTD net revenues $13.00 billion; gross margin 48.7%; operating margin 27.6%; net income $3.14 billion
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Business outlook at mid-point: Q4 net revenues of $4.30 billion and gross margin of 46%
Geneva, October 26, 2023 – STMicroelectronics N.V. (“ST”) (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, reported U.S. GAAP financial results for the third quarter ended September 30, 2023. This press release also contains non-U.S. GAAP measures (see Appendix for additional information).
ST reported third quarter net revenues of $4.43 billion, gross margin of 47.6%, operating margin of 28.0%, and net income of $1.09 billion or $1.16 diluted earnings per share.
Jean-Marc Chery, ST President & CEO, commented:
- “Q3 net revenues of $4 .43 billion came in above the midpoint of our business outlook range, and Q3 gross margin of 47.6 % was slightly above guidance.”
- “Q3 net revenues increased 2.5 % year-over-year. As expected, the revenue performance was driven mainly by continued growth in Automotive, partially offset by lower revenues in Personal Electronics.”
- “On a year-over-year basis, gross margin remained stable at 47.6 %, while, as expected, operating margin decreased to 28.0% from 29.4% and net income was stable at $ 1.09 billion.”
- “First nine months net revenues increased 11.1 % year-over-year, driven by growth in ADG and MDG Product Groups, partially offset by a decline of AMS Product Group. Operating margin was 27.6 % and net income was $ 3.14 billion.”
- “Our fourth quarter business outlook, at the mid-point, is for net revenues of $ 4.30 billion, declining year-over-year and sequentially by about 3%; gross margin is expected to be about 46 %.”
- “The midpoint of this outlook translates into full year 2023 revenues of about $ 17.3 billion, representing 7.3% year-over-year growth and a gross margin of about 48.1%.”
Quarterly Financial Summary (U.S. GAAP)
(US$ m, except per share data) | Q3 2023 | Q2 2023 | Q3 2022 | Q/Q | Y/Y |
Net Revenues | $4,431 | $4,326 | $4,321 | 2.4% | 2.5% |
Gross Profit | $2,109 | $2,119 | $2,059 | -0.5% | 2.4% |
Gross Margin | 47.6% | 49.0% | 47.6% | -140 bps | - |
Operating Income | $1,241 | $1,146 | $1,272 | 8.2% | -2.4% |
Operating Margin | 28.0% | 26.5% | 29.4% | 150 bps | -140 bps |
Net Income | $1,090 | $1,001 | $1,099 | 8.9% | -0.8% |
Diluted Earnings Per Share | $1.16 | $1.06 | $1.16 | 9.4% | - |