PR No: C3230C
STMicroelectronics Reports Q4 and FY 2023 Financial Results
- Q4 net revenues $4.28 billion; gross margin 45.5%; operating margin 23.9%; net income $1.08 billion
- FY net revenues $17.29 billion; gross margin 47.9%; operating margin 26.7%; net income $4.21 billion
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Business outlook at mid-point: Q1 net revenues of $3.6 billion and gross margin of 42.3%
Geneva, January 25, 2024 – 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 fourth quarter ended December 31, 2023. This press release also contains non-U.S. GAAP measures (see Appendix for additional information).
ST reported fourth quarter net revenues of $4.28 billion, gross margin of 45.5%, operating margin of 23.9%, and net income of $1.08 billion or $1.14 diluted earnings per share.
Jean-Marc Chery, ST President & CEO, commented:
- “FY23 revenues increased 7.2% to $17.29 billion. Operating margin was 26.7% compared to 27.5% in FY22 and net income increased 6.3% to $4.21 billion. We invested $4.11 billion in net CAPEX while delivering free cash flow of $1.77 billion.”
- “In Q4, ST delivered revenues and gross margin slightly below the mid-point of the guidance, with higher revenues in Personal Electronics offset by a softer growth rate in Automotive.”
- “In Q4, our customer order bookings decreased compared to Q3. We continued to see stable end-demand in Automotive, no significant increase in Personal Electronics, and further deterioration in Industrial.”
- “Our first quarter business outlook, at the mid-point, is for net revenues of $3.6 billion, decreasing year-over-year by 15.2% and decreasing sequentially by 15.9%; gross margin is expected to be about 42.3%.”
- “For 2024, we plan to invest about $2.5 billion in net CAPEX.”
- “We will drive the Company based on a plan for FY24 revenues in the range of $15.9 billion to $16.9 billion. Within this plan, we expect a gross margin in the low to mid-40’s.”
Quarterly Financial Summary (U.S. GAAP)
| (US$ m, except per share data) | Q4 2023 | Q3 2023 | Q4 2022 | Q/Q | Y/Y |
| Net Revenues | $4,282 | $4,431 | $4,424 | -3.4% | -3.2% |
| Gross Profit | $1,949 | $2,109 | $2,102 | -7.6% | -7.3% |
| Gross Margin | 45.5% | 47.6% | 47.5% | -210 bps | -200 bps |
| Operating Income | $1,023 | $1,241 | $1,287 | -17.5% | -20.5% |
| Operating Margin | 23.9% | 28.0% | 29.1% | -410 bps | -520 bps |
| Net Income | $1,076 | $1,090 | $1,248 | -1.3% | -13.8% |
| Diluted Earnings Per Share | $1.14 | $1.16 | $1.32 | -1.7% | -13.6% |
