STMicroelectronics Reports Strong Financial Results for Q1 2001
STMicroelectronics (Switzerland) reported financial results for the first quarter ended March 31, 2001. Net revenues for the first quarter increased 12.9 percent to $1,921.1 million, from $1,702.2 million in the 2000 first quarter. Gross profit was $855.8 million, representing an increase of 19.3 percent over the 2000 first quarter. Gross margin was 44.5 percent, as compared to the 42.1 percent reported in the year-ago quarter.
Operating income reached $412.3 million, a 41.2 percent increase over last year's comparable quarter. First quarter 2001 operating income benefited from higher revenues and gross profit as well as from a significant decrease in start-up costs. Operating margin was 21.5 percent compared to 17.2 percent in last year's first quarter.
Net income increased 43 percent to $340.8 million in the 2001 first quarter compared to $238.4 million in the year-ago quarter. Earnings per diluted share rose 46.2 percent to $0.38, up from $0.26 per share in the 2000 first quarter. All per-share data have been adjusted to reflect the three-for-one stock split effected in May 2000.
President and CEO Pasquale Pistorio commented, "ST achieved solid performance in the first quarter of 2001, posting year-over-year double-digit growth in revenues, gross and operating profits and net earnings. Based on current industry forecasts for first quarter 2001, I believe that ST continued to outperform the industry and gain market share."