ST Reports Fourth-Quarter, Fiscal 2002 Results
STMicroelectronics Inc. (ST, Geneva, Switzerland) reported financial results for the fourth quarter and year ended December 31, 2002. Net revenues for the fourth quarter were $1,786.1 million, an 8.6 percent sequential increase over the $1,645.2 million reported in the 2002 third quarter, and 23.4 percent above the $1,447.9 million of last year’s fourth quarter. Revenues from differentiated products increased 6.6 percent sequentially and 20.3 percent year-over-year to $1,217.9 million, or 68.2 percent of net revenues for the period.
Gross profit was $660.6 million, an 8.5 percent sequential increase from the prior-quarter’s $609.1 million, and 43.8 percent above last-year’s fourth-quarter gross profit of $459.5 million. Gross margin was 37 percent, flat with the 2002 third quarter and significantly above the 31.7 percent reported for last-year’s fourth quarter. Operating income was $209.1 million, up 13.1 percent sequentially and close to three times higher than that of last-year’s fourth quarter. Operating margin was 11.7 percent, up from 11.2 percent in the prior quarter and 4.9 percent in the 2001 fourth quarter.
Net income equaled $160.6 million for the 2002 fourth quarter, a sequential increase of 22.4 percent over the $131.2 million earned in the 2002 third quarter, and significantly above the net income of $45 million reported in last-year’s fourth quarter. Earnings per diluted share were $0.18 for the 2002 fourth quarter, compared to $0.15 in the third quarter of this year and $0.05 in the 2001 fourth quarter.
Net revenues for the year ended December 31, 2002, were $6,317.6 million, compared to the $6,356.9 million reported in 2001. Gross profit was $2,297.5 million, or 36.4 percent of net revenues. Operating income was $601 million, or 9.5 percent of net revenues. Net income was $429.4 million, or $0.48 per diluted share, compared to "as reported" 2001 gross profit, operating income and net income of $2,309.9 million, $339 million and $257.1 million, respectively. On a pro-forma basis, 2001 gross profit, operating income and net income were $2,380.6 million, $755.2 million and $600.8 million, respectively.