STMicroelectronics Reports Q4, FY 2020 Results

The semiconductor business is going strong for STMicroelectronics, who reported US GAAP financial results for the fourth quarter and full year ending Dec. 31, 2020.

ST reported fourth quarter net revenues of $3.24 billion, gross margin of 38.8%, operating margin of 20.3%, and net income of $582 million or $0.63 diluted earnings per share. Free cash flow rose to $512 million. FY 2020 net revenues were $10.22 billion, with gross margin of 37.1% and net income of $1.11 billion.

“Based upon a stronger than expected second half of 2020, full year revenues increased 6.9% to $10.22 billion, with an operating margin of 12.9%,” said Jean-Marc Chery, STMicroelectronics president and CEO. “ST’s first quarter outlook, at the mid-point, is for net revenues of $2.93 billion, increasing year-over-year by 31.2% and decreasing sequentially by 9.5%; gross margin is expected to be about 38.5%.

“As we announced on Jan. 8, 2021, our Q420 net revenues increased 21.3% sequentially, 580 basis points above the high end of our outlook range. Our engaged customer programs in Personal Electronics, as well as continuous acceleration in demand, especially of Automotive products and Microcontrollers, were the main factors that contributed to this result,” he added.