STMicroelectronics Reports 2012 First Quarter Financial Results

-- First quarter net revenues of $2.02 billion

(PRNewswire) — STMicroelectronics (NYSE: STM) reported financial results for the first quarter ended March 31, 2012.

First quarter net revenues decreased 8% to $2.02 billion on a sequential basis, while gross margin was 29.6%, absorbing anticipated unsaturation charges related to fab loading and a one-time unexpected charge resulting from an arbitration award.

President and CEO Carlo Bozotti commented, "ST's wholly-owned businesses in the first quarter posted a sequential decrease of 3%, better than historical seasonality, benefiting from growth in the Automotive segment and the Analog, MEMS and Microcontrollers sector.

"Our Wireless segment losses weighed heavily on our quarterly results again. However, ST-Ericsson has announced today its new strategic direction and renewed business model with a key objective to significantly reduce its operating losses throughout 2012 as it moves towards leadership and improved financial returns.

"In total, first quarter activity levels across ST's product portfolio tracked closely to our expectations, with net revenues near the mid-point of our business outlook. Similarly, gross margin evolution was consistent with our continued focus on inventory management and in the first quarter gross margin absorbed approximately 600 basis points of unsaturation charges and a one-time unexpected charge resulting from an arbitration award. The effort on inventory reduction and prudent capital management led to a quarter on quarter increase in free cash flow and a further improvement in ST's financial position which stood at $1.27 billion."*

---------

 (*)Free cash flow and ST financial position are non-U.S. GAAP measures. Please refer to Attachment A for additional information explaining why the Company believes these measures are important and for reconciliation to U.S. GAAP.

Summary Financial Highlights

U.S. GAAP

(In Million US$)

Q1 2012

Q4 2011

Q1 2011

Net Revenues (a)                                                     

2,017

2,191

2,535

Gross Margin

29.6%

33.4%

39.1%

Operating Income (Loss), as reported

(352)

(132)

118

Net Income (Loss)

(176)

(11)

170

(a) Net revenues include sales recorded by ST-Ericsson as consolidated by ST

Non-U.S. GAAP*

Before impairment, restructuring and one-time items

(In Million US$)

Q1 2012

Q4 2011

Q1 2011

Operating Income (Loss)

(280)

(123)

142

Operating Margin

(13.9%)

(5.6%)

5.6%

Operating Margin – Attributable to ST

(6.5%)

(0.2%)

9.9%


1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10  Next Page »



Review Article Be the first to review this article
Aldec

Featured Video
Jobs
Senior Electrical Engineer for Allen & Shariff Corporation at Pittsburgh, Pennsylvania
Upcoming Events
SEMICON Southeast Asia 2018 at New Malaysia International Trade & Exhibition Centre (MITEC) Kuala Lumpur Malaysia - May 22 - 24, 2018
Methodics User Group Meeting at Maxim Integrated 160 Rio Robles San Jose CA - Jun 5 - 6, 2018
IEEE 5G World FOrum at 5101 Great America Parkway Santa Clara CA - Jul 9 - 11, 2018
PCB WEST 2018 Conference & Exhibition at Santa Clara Convention Center Santa Clara CA - Sep 11 - 13, 2018
TrueCircuits: IoTPLL
DAC2018



Internet Business Systems © 2018 Internet Business Systems, Inc.
25 North 14th Steet, Suite 710, San Jose, CA 95112
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering TechJobsCafe - Technical Jobs and Resumes GISCafe - Geographical Information Services  MCADCafe - Mechanical Design and Engineering ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise