ST Reports Q1 2026 Financial Results

• Q126 net revenues at $3.10 billion
• U.S. GAAP Gross margin at 33.8%. Excluding the Purchase Price Allocation (PPA) effects from the acquisition of NXP’s MEMS sensor business, non-U.S. GAAP¹ gross margin at 34.1%
• U.S. GAAP operating income at $70 million (non-U.S. GAAP¹ operating income at $171 million)
• Business outlook at mid-point: Q226 net revenues of $3.45 billion and U.S. GAAP gross margin of 34.8% (non-U.S. GAAP¹ gross margin of 35.2%)

Geneva– STMicroelectronics N.V., a global semiconductor leader serving customers across the spectrum of electronics applications, reported U.S. GAAP financial results for the first quarter ended March 28, 2026. This press release also contains non-U.S. GAAP measures (see Appendix for additional information).

ST reported first quarter net revenues of $3.10 billion, gross margin of 33.8%, operating income of $70 million, and net income of $37 million or $0.04 diluted earnings per share (non-U.S. GAAP¹ gross margin of 34.1%, non-U.S. GAAP¹ operating income of $171 million, and non-U.S. GAAP¹ net income of $122 million or $0.13 diluted earnings per share). 

Jean-Marc Chery, ST President & CEO, commented:

• “Q1 net revenues, excluding the contribution of our acquisition of NXP’s MEMS sensor business, came above the mid-point of our business outlook range, driven mainly by higher revenues in our engaged customer programs in Personal electronics and CECP. Gross margin was above the mid-point of our business outlook range mainly due to better product mix.”
• “On a year-over-year basis, Q1 net revenues increased 23.0%; excluding the contribution of our acquisition of NXP’s MEMS sensor business, they increased 21.4%. Q1 gross margin was 33.8%, operating margin was 2.3% and net income was $37 million. On a non-U.S. GAAP¹ basis gross margin was 34.1%, operating margin was 5.5% and net income was $122 million.”
• “In Q1, despite the macroeconomic uncertainty, we saw improving demand with strong booking and normalized inventory in distribution.”
• “Our second quarter business outlook, at the mid-point, is for net revenues of $3.45 billion, increasing 11.6% sequentially and 24.9% year-over-year. Gross margin is expected to be about 34.8%, including about 100 basis points of unused capacity charges. Non-U.S. GAAP¹ gross margin is expected to be about 35.2%.”
• “ST is now strategically positioned to capture upside from new AI driven programs, leveraging specialized technologies to enable the evolving AI infrastructure, confirming our datacenters revenue expectation to be nicely above $500 million for 2026 and well above $1 billion for 2027.”

The press release is available as a PDF here.