STMicroelectronics, the European chip maker, has announced its financial results for the third quarter. Despite weak sales in its personal electronics business, the company saw overall revenue growth, driven by strong performance in its automotive division.
Key Details
- Net revenue for Q3 increased by 2.5% YoY to reach $4.43 billion.
- The automotive business contributed $2.03 billion in revenue, while sales in the personal electronics segment fell by 28% to $990 million.
- Net profit decreased slightly from $1.10 billion to $1.09 billion.
- Gross profit rose to $2.11 billion, with a gross margin of 47.6%.
- Operating income declined to $1.24 billion, with an operating margin of 28%.
Outlook for Q4 and the Year
Looking ahead, STMicroelectronics aims to achieve the following targets:
- Fourth-quarter net revenue of $4.30 billion.
- Gross margin of 46%.
For the full year, the company forecasts:
- Net revenue of approximately $17.3 billion.
- Gross margin of about 48.1%.
These results align closely with the company’s previous expectations.
