ST’s net loss widens in Q2
STMicroelectronics has reported its seventh consecutive quarter of net losses on account of it exiting its unprofitable wireless joint venture with Ericsson.
The Geneva-based company saw a Q2 net loss of $152million, compared with a $75m loss a year earlier. Revenue slipped 4.8% to $2.05bn, while gross margin was 32.8%.
Looking ahead to Q3, ST said it expects revenues to be about flat.
CEO Carlo Bozotti, pictured, commented: "Macro trends remain uncertain but excluding ST-Ericsson, we have seen a progressive improvement in bookings in the second quarter.
"We continue to expect the ramp of key products in MEMS, automotive, microcontrollers and imaging in the second half of this year. We expect third quarter net revenues, excluding wireless product line, to increase about 3.5% at the midpoint."
