The Franco-Italian group has just published excellent figures for the 2022 financial year, with a turnover of 16.1 billion dollars.
STMicroelectronics does not know the crisis. This is the clear observation that can be made after the publication by the group of its excellent financial results for 2022.
An exceptional year and doubled profits
For the past year, the Franco-Italian company achieved a turnover of 16.1 billion dollars (14.8 billion euros), an increase of 26.4%. This impressive figure is made possible thanks to a fourth quarter “ higher than expected of the group, according to the chairman of the management board and general manager, Jean-Marc Chéry.
The profits made are much higher than those of 2021, with an increase of 98% and four billion dollars recovered (3.6 billion euros). The gross margin is around 47.5% for the fourth quarter. It is therefore, here again, a value higher than the expectations of the various financial analysts.
The news was warmly received by investors, and STMicroelectronics’ share price jumped 8% on the Paris Stock Exchange. The price has taken a total of 30% since the beginning of the year.
STMicroelectronics continues its transition to automotive, while the electronics market is really slack
The insolent success of STMicroelectronics, despite a period of economic crisis, is to be found in the automotive industry. The transition to electric vehicles is leading manufacturers to integrate more and more electronic components into their latest cars, and the group’s order books are constantly filling up to keep up with growing demand.
The industrial sector is also booming, with an increase in investments in renewable energies such as solar farms or wind turbines, or the trend towards automation of industries, which require a lot of electronic components “, as Jean-Marc Chéry points out again to our colleagues from Les Échos.
These two sectors of activity should continue to grow. between 5 and 10% in 2023 and boost the activity of STMicroelectronics with an expected growth of around 15 to 20%, despite the decline in the PC and smartphone markets, which also consume a lot of electronic components produced by the group.
STMicroelectronics intends to continue its transition to the industrial and automotive sectors. For this, the company intends to put on the table four billion dollars of investment to accelerate its production on its various sites in Europe but also abroad and the construction of new factories.
Source : The echoes
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