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
• 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)