Automotive market drives STMicroelectronics Q2 revenue

STMicroelectronics (ST) announced the financial statements for the second quarter and the first half of the year ended July 2nd. CEO and CEO Carlo Bozotti stated that net income and gross profit margin for the second quarter were broadly in line with business outlook expectations for the previous quarter. Automotive Electronics Market The strong demand is the main driving force for the growth of sales revenue.

He pointed out that as expected, business growth in the second quarter was affected by the earthquake and tsunami in Japan and unfavorable exchange rate fluctuations, while also facing ST-Ericsson's ongoing business transformation plan.

ST's net income in the second quarter grew by 1.3% from the previous quarter, growing by 1.4% year-on-year, and the Americas led the growth of other regions by 8%. STMicroelectronics pointed out that net income grew compared with the previous quarter, mainly benefiting from automotive electronics, consumer electronics, computers and telecommunications infrastructure products (ACCI), and in particular automotive wafer and imaging products revenue exceeded expectations.

In addition, the Japanese crisis led to the collapse of the supply chain, prompting customers to change demand and adjust inventory, so ST's analog components, MEMS and Microcontrollers (AMM) revenue slightly lower than expected.