![STMicroelectronics reports 2017 Fourth Quarter financial result STMicroelectronics reports 2017 Fourth Quarter financial result](https://varindia.com/public/index.php/storage/news/uploads/2016/laravel/5a699f591e497.jpg)
STMicroelectronics has reported financial results for the fourth quarter and full year ended December 31, 2017. The Fourth quarter net revenues totaled $2.47 billion, gross margin was 40.6%, and net income was $308 million or $0.34 diluted earnings per share.
“ST delivered a strong finish to 2017. Fourth quarter net revenues were up 32.6% year-over-year with double-digit growth across all product groups, gross margin reached 40.6%, and operating margin was at 16.5%,” commented Carlo Bozotti, STMicroelectronics President & CEO. “On a sequential basis, fourth quarter revenues grew significantly better than seasonal at 15.5% and were 200 basis points above the high-end of our guidance, mainly thanks to higher than expected revenues in Imaging products and Microcontrollers.
In 2017 net revenues increased 19.7% on strong growth across all product groups and geographies; gross margin expanded 400 basis points, operating margin increased 880 basis points to 11.9% and net income improved by $637 million to $802 million.
“The year also marked the 30th anniversary of the formation of ST. We celebrate this milestone with a solid product leadership in Internet of Things, Smartphones, Industrial and Smart Driving applications, a strong market position with major customers and in Distribution, a world-class team of engaged employees, a sustainable financial performance and an industry-leading return on invested capital,” said Carlo.
Financial Summary (US$ Million)
U.S. GAAP (Million US$) |
Q4 2017 |
Q3 2017 |
Q4 2016 |
FY 2017 |
FY 2016 |
Net Revenues |
2,466 |
2,136 |
1,859 |
8,347 |
6,973 |
Gross Margin |
40.6% |
39.5% |
37.5% |
39.2% |
35.2% |
Operating Income |
408 |
278 |
129 |
993 |
214 |
Net Income attributable to parent company |
308 |
236 |
112 |
802 |
165 |
Net cash from operating activities |
587 |
463 |
378 |
1,707 |
1,043 |
Non-U.S. GAAP(1) (Million US$) |
Q4 2017 |
Q3 2017 |
Q4 2016 |
FY 2017 |
FY 2016 |
Operating Income before impairment & restructuring charges |
428 |
292 |
153 |
1,038 |
307 |
Free cash flow |
145 |
80 |
135 |
338 |
316 |
Net financial position |
489 |
446 |
513 |
489 |
513 |
Product Group Revenues (Million US$) |
Q4 2017 |
Q3 2017 |
Q4 2016 |
FY 2017 |
FY 2016 |
Automotive and Discrete Group (ADG) |
821 |
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