STMicroelectronics' performance declined in the third quarter of 2024, accelerating the upgrade of silicon carbide production capacity

STMicroelectronics' net revenue in the third quarter of 2024 was $3.25 billion, down 23.5% from the same period last year. The company's gross profit margin was 37.8%, operating profit margin was 11.7%, and net profit was $351 million. Affected by weak demand in the industrial market, revenue in all product divisions declined, especially microcontroller products. However, revenue from personal electronics products exceeded expectations, while revenue from industrial and automotive products declined. Looking ahead, STMicroelectronics expects net revenue in the fourth quarter to reach $3.32 billion, down 22.4% year-on-year and up 2.2% month-on-month. The company also plans to launch a new company-wide plan to reshape its manufacturing business layout and accelerate the upgrade to 12-inch silicon and 8-inch silicon carbide production capacity.