STMicroelectronics 3Q Profit Fell; Revenue Rose on Improved Conditions
22 October 2020 - 4:58PM
Dow Jones News
By Giulia Petroni
STMicroelectronics NV said Thursday that net profit fell in the
third quarter while revenue rose due to improved market
conditions.
The European chip maker said profit came in at $242 million in
the period compared with $302 million the year before, with
operating profit falling to $329 million.
Operating margin fell to 12.3%, while gross margin was 36%.
Revenue in the quarter increased 4.4% on year to $2.67
billion.
"Demand for automotive products, our engaged customer programs
in personal electronics, as well as microcontrollers, were the main
factors that contributed to this result," said Chief Executive
Jean-Marc Chery.
Looking at the fourth quarter, STMicroelectronics said it
expects revenue at $2.99 billion, plus or minus 350 basis points.
Gross margin is expected to be about 38.5%, plus or minus 200 basis
points.
For the full year, the company said revenue are expected at the
mid-point to be around $9.97 billion, or 4.3% up on year, with a
double-digit operating margin.
Write to Giulia Petroni at giulia.petroni@wsj.com
(END) Dow Jones Newswires
October 22, 2020 01:43 ET (05:43 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
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