Quarterly ResultJul 23, 2026, 01:01 AM
STMicroelectronics Q2 Net Rev $3.49B, Net Income $222M; Raises Datacenter Ambition
AI Summary
STMicroelectronics reported strong Q2 2026 financial results, with net revenues increasing 26.0% year-over-year to $3.49 billion, exceeding guidance. The company returned to profitability with a net income of $222 million, or $0.24 diluted EPS, compared to a net loss in the prior year. Gross margin improved to 34.8%. Looking ahead, STMicroelectronics provided a positive Q3 2026 outlook, projecting net revenues of $3.70 billion and a gross margin of 37.0%, and significantly raised its revenue ambition for AI datacenters to over $1 billion in 2026 and over $2 billion in 2027.
Key Highlights
- Q2 2026 net revenues increased 26.0% year-over-year to $3.49 billion.
- Q2 2026 net income was $222 million, or $0.24 diluted EPS, compared to a $97 million net loss in Q2 2025.
- Q2 2026 gross margin was 34.8%, up 130 basis points year-over-year.
- Q3 2026 net revenue outlook is $3.70 billion, an increase of 6.2% sequentially.
- Q3 2026 gross margin outlook is 37.0%.
- Raised 2026 revenue ambition for AI datacenters to over $1 billion, and over $2 billion for 2027.
- Net cash from operating activities was $502 million in Q2 2026.
- Inventory at quarter-end was $3.19 billion, with 126 days sales of inventory.
Price Impact
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