comment on this article

STMicroelectronics reports $75m loss in Q2

STMicroelectronics reports $75m loss in Q2

STMicroelectronics has reported a loss of $75million in Q2 2012, compared to a net income of $420m in Q2 2011. The company attributes the loss to joint venture ST-Ericsson, with ST president and ceo Carlo Bozotti saying there is 'substantial progress' to be made.

Net revenue for Q2 also fell 16% to $2.15billion from $2.57bn a year earlier.

"As we saw during the end of the second quarter, the global economic environment has weakened. As a result, bookings in June softened and remain somewhat volatile," commented Bozotti.

The company said that it expects improvement in Q3 due to new product momentum, including MEMs, microcontrollers and power mosfets. It is also focused on expense reduction and aims to cut its full year 2012 capital expenditures plan by approximately 25%.

"Overall, we will become a much leaner company with increased flexibility to adjust to market conditions and reduce our earnings volatility," added Bozotti.

Author
Simon Fogg

Comment on this article


This material is protected by MA Business copyright See Terms and Conditions. One-off usage is permitted but bulk copying is not. For multiple copies contact the sales team.

Enjoy this story? People who read this article also read...

What you think about this article:


Add your comments

Name
 
Email
 
Comments
 

Your comments/feedback may be edited prior to publishing. Not all entries will be published.
Please view our Terms and Conditions before leaving a comment.

Related Articles

Powerbox buys Eplax

Power supply specialist Powerbox has acquired German power supply manufacturer ...

The game of drones?

Advances in power efficient SoCs, improved flight control systems and more ...

In need of new blood

Despite the best efforts of industry, trade associations, skills councils, ...

Always innovating

Check out this brief video promo for an all new website that explores TI ...

Who will blink first?

Apple has gone head-to-head with the US Federal Bureau of Investigation after ...

What’s in a name?

A month after rumours started to appear, ON Semiconductor has confirmed that it ...

Interesting times

It has certainly been an interesting year for chip giant Qualcomm. Revenues are ...

Turning on a dime

Scott Rust is an imposing figure – standing at 6’8” to be exact. He heads ...