Revenues increase well, net profit jumps

STMicroelectronics reported financial results for the fourth quarter ended December 31, 2021 and for the fiscal year 2021, as well as its forecast for the first quarter of 2022 – with some impressive results.

Q4 net revenues of STMicroelectronics were $3.56 billion; gross margin 45.2%; operating margin 24.9%; net income $750 million. For the fiscal year the company reported following figures: net revenues $12.76 billion; gross margin 41.7%; operating margin 19.0%; net income $2.0 billion.

The Business outlook at mid-point: Q1 net revenues of $3.50 billion and gross margin of 45.0%.

Jean-Marc Chery, STMicroelectronics President & CEO, commented: »As we announced on January 7, 2022, our Q421 net revenues and gross margin came in better than expected primarily due to better than anticipated operations in an ongoing dynamic market.« Q421 net revenues were 9.9% higher year-over-year, with a further increase in profitability: operating margin of 24.9% improved from 20.3% and net income was up 28.9%. Chery: »Full year 2021 net revenues increased 24.9% to $12.76 billion, reflecting a strong performance across all the end markets we address and our engaged customer programs throughout the year. Operating margin increased to 19.0% from 12.9% in FY20 and net income was up 80.8%.« He concludes: »For 2022, we plan to invest about $3.4 billion to $3.6 billion in CAPEX to further increase our production capacity and to support our strategic initiatives including the first industrialization line of our new 300mm wafer fab in Agrate, Italy. Based on our strong customer demand and increased capacity, we will drive the Company based on a plan for FY22 revenues in the range of $14.8 billion to $15.3 billion.«