ST announced financial results for the first quarter of 2024.
The Zhitong Finance App learned that on April 25, ST Semiconductor (STM.US) announced financial results for the first quarter of 2024. According to financial reports, the company's Q1 net revenue was US$3.465 billion, down 18.4% year on year, falling short of market expectations of US$3.615 million; net profit of US$513 million, down 50.9% year on year; and diluted earnings per share were US$0.54, falling short of market expectations of US$0.65, compared to US$1.10 for the same period last year.
Gross profit was US$1,444 billion, down 31.6% year on year; gross margin was 41.7%, 49.7% in the same period last year, and 45.5% in the previous quarter. Operating profit was US$551 million, down 54.1% year on year; operating margin was 15.9%, 28.3% in the same period last year and 23.9% in the previous quarter.
In terms of cash flow, the net cash generated by ST Semiconductors' Q1 operations was US$859 million, compared to US$1,320 million in the same period last year. Under NON-GAAP accounting standards, free cash flow was -134 million US dollars, compared with 206 million US dollars for the same period last year; free cash flow for 12 consecutive months as of Q1 was US$1,434 million, compared to US$1,715 million for the same period last year.
By business, net revenue for the analog devices, MEMS and sensors (AM&S) segment was US$1,217 million, down 13.1% year on year; net revenue for the power and discrete products (P&D) segment was US$820 million, down 9.8% year on year; net revenue for the microcontrol unit (MCU) division was US$950 million, down 34.4% year on year; and net revenue for the digital IC and RF products (D&RF) segment was US$475 million, down 2.1% year over year.
Jean-Marc Chery, president and CEO of STMicroelectronics, said: “The net revenue and gross margin for the first quarter were below the median of our business outlook range. This was due to the decline in revenue from the automotive and industrial businesses, although partially offset by increased revenue from the personal electronics business.” “In the first quarter, automotive semiconductor demand slowed and entered a deceleration phase compared to our expectations, while ongoing industrial adjustments accelerated.”
STMicroelectronics expects net revenue for the second quarter to be US$3.2 billion, down 7.6% month-on-month, with an upward and upward fluctuation of 350 basis points; gross margin is expected to be 40%, with a fluctuation of 200 basis points. The company also said it expects net capital expenditure to remain around $2.5 billion in 2024, focusing on its strategic manufacturing plans.