ST looks at $12bn revenue year

ST had Q1 net revenues of $3.02 billion with a gross margin of 39%, an operating margin of 14.6% and net income of $364 million.

Q1 capex was  $405 million

The company expects Q2 net revenues of $2.9 billion with a gross margin of 39.5%

“In the first quarter of 2021, net revenues increased 35.2% year-over-year,” says CEo Jean-Marc Chery (pictured), “all product groups contributed to this growth, on continued acceleration of demand globally. Operating margin improved 420 basis points to 14.6% and net income increased 89.6% to $364 million.%

“On a sequential basis, net revenues decreased 6.8%, 270 basis points above the mid-point of our outlook. Automotive and Power Discrete products and Microcontrollers increased sequentially, partially offset by Personal Electronics products,” adds Chery, “ST’s second quarter outlook, at the mid-point, is for net revenues of $2.9 billion, increasing year-over-year by 39%, and decreasing sequentially by 3.8% due to usual seasonality in Personal Electronics; gross margin is expected to be about 39.5%.”

·“We will drive the Company based on a plan for FY21 revenues of $12.1 billion, plus or minus $150 million, a year-over-year increase of 18.4% at the mid-point,” continues Chery, “this growth is expected to be driven by strong dynamics in all end markets we address and our engaged customer programs. For 2021, we now plan to invest about $2.0 billion in CAPEX to support the strong market demand and our strategic initiatives.” 

Quarterly Financial Summary (U.S. GAAP)

First Quarter 2021 Summary Review