Deep red for Stm in the first quarter of 2012. The Italian-French semiconductor giant reported a loss of $176 million against the profit of 170 million in 2011. In drop also the turnover which has decreased by 20,4% to 2,017 billion. Analysts expected a smaller loss in the January-March period, while the decline in turnover was in line with expectations. The data, released yesterday, caused the shares to close in Piazza Affari with a drop of 14,20% to 4,30 euros. But today the stock rebounded (in line with much of the Milanese price list) and gains 2,9% to 4,426 euros.
Secondo the president and managing director of the Group, Carlo Bozotti, the results recorded in these first three months are better than those historically reported in the same period of the year. Furthermore, the number one of the Group is not discouraged by the "uncertain economic situation" e expects “a 7,5% sales growth” in the next quarter together with “a generalized increase in revenues, with marked acceleration for the MEMS and Analog divisions in the second half of the year”.
The good news also comes from St-Ericsson, joint venture controlled 50/50 by Stm and Ericsson. The big European chip has announced the new industrial restructuring plan which projects annual savings totaling $320 million. This move will result in a positive effect for the parent company's consolidated financial statements starting from the third quarter of 2012.
