STMicro targets more than $20 billion in sales per year by 2027, Company news

STMICROELECTRONICS

STMicro targets more than $20 billion in sales per year by 2027 | Photo credits: STMicroelectronics

PARIS, May 12 (Reuters) – Franco-Italian chipmaker STMicroelectronics said on Thursday it is aiming for annual revenue of more than $20 billion (19.04 billion euros) by 2027, thanks to a continued strong demand from the automotive and industrial sectors and smartphone manufacturers.

This sales target represents an increase of about 30% compared to the high range of its forecasts for this year, set at 15.3 billion. STMicro also expects a gross margin of more than 50% over the same period.

STMicro thus anticipates strong growth in its sector, after the global shortage of semiconductors which marked the end of the health crisis linked to the COVID-19 pandemic.

The factories of the Franco-Italian group are running at full speed and STMicro has had to increase its investments to meet the demand of its customers, including Apple and Tesla.

The Geneva-based group’s new financial targets, presented ahead of an investor day in Paris, cover the period 2025 to 2027, which means STMicro believes it could reach its revenue and profit forecasts before 2027, in depending on market conditions. (Report Mathieu Rosemain; written by Jean-Stéphane Brosse)



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