Summary of the Conference Call Industry and Company Overview - The conference primarily focused on the mining industry, specifically gold and copper, with Sunstone Metals being a key participant [2][3] - Sunstone Metals operates two significant mining projects in Ecuador: Bramaderos and El Palma, both of which are expected to yield high-quality gold and copper resources [3][5] Core Points and Arguments - **Bramaderos Project**: - Currently holds a resource of 2.7 million ounces, with expectations to grow to over 10 million ounces [5] - Located in Southern Ecuador, it features surface porphyry systems and complementary high-grade epithermal systems [5][16] - **El Palma Project**: - Initial resource estimate of 1.2 million ounces, with potential growth to between 15 million and 45 million ounces [6][22] - Positioned near significant mining operations, including a major Codelco project and the Cascabel project owned by SolGold [21][22] - **Market Position and Strategy**: - Sunstone aims to avoid diluting shareholder value by seeking alternative funding pathways rather than traditional equity raises [4][25] - The company is exploring joint ventures and strategic investments to fund its projects [25][26] - **Cost Advantages**: - Operating costs in Ecuador are significantly lower than in Australia, with energy costs being half and labor costs a quarter of those in Australia [13] - The expectation of all-in sustaining costs being less than $1,000 per ounce in Ecuador compared to $2,500 in Australia [13] - **Market Outlook**: - Anticipation of gold prices reaching $4,000 per ounce by the end of the year, driven by market volatility and geopolitical factors [10] - The copper market is expected to face supply challenges, creating opportunities for companies like Sunstone [10] Additional Important Insights - **Team Expertise**: - The management team has a strong track record in mining development, with key members having experience in significant projects globally [6][8] - **Community and Environmental Considerations**: - The projects are located in supportive communities that are economically disadvantaged and looking for mining to bring prosperity [15] - **Funding Status**: - Sunstone has raised $4 million in March and has additional cash inflows from options, ensuring funding for the year [24] - The current market cap is around $100 million, with a low enterprise value per resource ounce compared to peers [26][27] - **Exploration Potential**: - There are numerous untested porphyry systems in the region that could significantly expand the resource base over time [16][22] This summary encapsulates the key points discussed during the conference call, highlighting the strategic positioning of Sunstone Metals within the mining industry, particularly in Ecuador, and its plans for future growth and funding.

Project Overview - Sunstone Metals focuses on high-quality gold-copper assets, aiming for resource growth and scalable development[10] - The company's flagship assets are El Palmar and Bramaderos, both located in Ecuador[13, 14] El Palmar Project - El Palmar has an exploration target of 15 million to 45 million ounces of gold equivalent (AuEq)[17] - The project's maiden JORC resource is 1.2 million ounces of gold equivalent (AuEq)[17] - The exploration target ranges from 1 billion to 1.2 billion tonnes at a grade of 0.3 to 0.7 g/t gold and 0.1% to 0.3% copper[15] Bramaderos Project - Bramaderos has a maiden JORC resource of 2.7 million ounces of gold equivalent (AuEq)[17] - The exploration target is 7 million to 13 million ounces of gold equivalent (AuEq), including the resource[17] - Brama-Alba contains an initial mineral resource estimate of 156Mt at 0.53g/t AuEq[84] Ecuador's Advantages - Ecuador offers low mining input costs, providing a competitive advantage[34] - Hydro provides over 90% of the country's base energy load, enabling low-cost, low-carbon emission mining[35] - Mining exports from Ecuador reached $3.32 billion in 2023[120] Financials - Sunstone Metals has a market capitalization of A$92.4 million[75] - The company's enterprise value is A$90.1 million[75] - Sunstone Metals has cash and equities of A$4.0 million[75]

Core Viewpoint - STMicroelectronics is set to acquire the MEMS sensor business from NXP Semiconductors, indicating a strategic move to enhance its product offerings in the sensor market [1] Company Summary - The acquisition will allow STMicroelectronics to expand its portfolio in the MEMS sensor segment, which is crucial for various applications including automotive and consumer electronics [1] - NXP Semiconductors is divesting its MEMS sensor business, which may signal a shift in its strategic focus towards other areas of growth [1] Industry Summary - The MEMS sensor market is experiencing growth, driven by increasing demand in sectors such as automotive, healthcare, and consumer electronics [1] - This acquisition reflects a trend in the semiconductor industry where companies are consolidating to strengthen their market positions and enhance technological capabilities [1]

意法半导体将收购恩智浦旗下Mems传感器业务。 ...

Core Viewpoint - STMicroelectronics is enhancing its position in the sensors market through the acquisition of NXP Semiconductors' MEMS sensors business, which focuses on automotive safety and industrial applications [1][2][5]. Group 1: Acquisition Details - The acquisition involves a purchase price of up to $950 million, with $900 million paid upfront and an additional $50 million contingent on achieving technical milestones [5][6]. - The MEMS business being acquired generated approximately $300 million in revenue in 2024, with gross and operating margins expected to be significantly accretive for STMicroelectronics [3][5]. Group 2: Strategic Fit and Market Position - The acquisition is seen as a strategic fit for STMicroelectronics, complementing its existing MEMS portfolio and enhancing its capabilities in automotive safety and industrial technologies [2][4]. - STMicroelectronics aims to leverage its Integrated Device Manufacturer (IDM) model to enhance innovation cycles and customization capabilities in MEMS development [4][5]. Group 3: Market Growth Potential - The MEMS inertial sensors market in automotive applications is projected to grow at a faster rate than the overall MEMS market, indicating strong future revenue growth opportunities [3]. - The combined product offerings from ST and NXP are expected to be well-balanced across automotive, industrial, and consumer markets, positioning ST for success in a rapidly expanding MEMS automotive market [5][6].

Core Viewpoint - STMicroelectronics is enhancing its position in the sensor market through the acquisition of NXP Semiconductors' MEMS sensors business, which focuses on automotive safety and industrial applications [1][2][5]. Group 1: Acquisition Details - The acquisition price is up to $950 million, consisting of $900 million upfront and an additional $50 million contingent on achieving technical milestones [5][6]. - The transaction is expected to close in the first half of 2026, pending regulatory approvals and customary closing conditions [5][6]. Group 2: Strategic Fit and Market Position - The acquisition is seen as a strategic fit for STMicroelectronics, complementing its existing MEMS portfolio and enhancing customer relationships in automotive safety and industrial technologies [2][4]. - NXP's MEMS business generated approximately $300 million in revenue in 2024, with gross and operating margins that are expected to be accretive to STMicroelectronics [3][6]. Group 3: Technology and R&D Enhancement - The acquisition will bolster ST's MEMS technology and product R&D capabilities, particularly in automotive safety applications, leveraging its Integrated Device Manufacturer model [4][6]. - The MEMS sensors portfolio includes automotive safety sensors, pressure sensors, and accelerometers for industrial applications, which are critical for advanced functionalities in safety, electrification, automation, and connected vehicles [2][4]. Group 4: Market Growth Potential - The MEMS inertial sensors market in automotive is projected to grow at a faster rate than the overall MEMS market, indicating significant future revenue growth opportunities for STMicroelectronics [3].

[FORM 6-K Filing Information](index=1&type=section&id=FORM%206-K) STMicroelectronics N.V. filed a Form 6-K report in July 2025, announcing its Q2 2025 financial results [Report of Foreign Private Issuer Details](index=1&type=section&id=Report%20of%20Foreign%20Private%20Issuer) This document is a Form 6-K report filed by STMicroelectronics N.V. for July 2025, announcing its 2025 Second Quarter Financial Results - STMicroelectronics N.V. filed a Form 6-K report for July 2025[2](index=2&type=chunk) - The enclosure is a press release dated July 24, 2025, announcing the company's 2025 Second Quarter Financial Results[3](index=3&type=chunk) [2025 Second Quarter Financial Results Overview](index=2&type=section&id=STMicroelectronics%20Reports%202025%20Second%20Quarter%20Financial%20Results) STMicroelectronics reported Q2 2025 net revenues of $2.77 billion, with a net loss of $97 million, impacted by significant impairment and restructuring charges [Executive Summary of Q2 2025 Performance](index=2&type=section&id=Executive%20Summary) STMicroelectronics reported Q2 2025 net revenues of $2.77 billion, a gross margin of 33.5%, and a U.S. GAAP operating loss of $133 million, leading to a net loss of $97 million or -$0.11 diluted EPS. The results include significant impairment and restructuring charges - Q2 net revenues were **$2.77 billion**, gross margin **33.5%**, operating loss **$133 million**, and net loss **$97 million**[5](index=5&type=chunk)[6](index=6&type=chunk) - The operating loss included **$190 million** related to impairment, restructuring charges, and other related phase-out costs[6](index=6&type=chunk) - H1 net revenues were **$5.28 billion**, with a gross margin of **33.5%** and a net loss of **$41 million**[6](index=6&type=chunk) [U.S. GAAP Financial Highlights](index=2&type=section&id=U.S.%20GAAP%20Financial%20Highlights) Under U.S. GAAP, STMicroelectronics experienced a significant year-over-year decline in Q2 2025, with net revenues decreasing by 14.4% and a shift from operating income to a substantial operating loss, primarily due to impairment and restructuring charges Q2 2025 U.S. GAAP Financial Summary | U.S. GAAP (US$ m, except per share data) | Q2 2025 | Q1 2025 | Q2 2024 | Q/Q | Y/Y | | :-------------------------------------- | :------ | :------ | :------ | :---- | :---- | | Net Revenues | $2,766 | $2,517 | $3,232 | 9.9% | -14.4% | | Gross Profit | $926 | $841 | $1,296 | 10.2% | -28.5% | | Gross Margin | 33.5% | 33.4% | 40.1% | +10 bps | -660 bps | | Operating Income (Loss) | $(133) | $3 | $375 | - | - | | Operating Margin | -4.8% | 0.1% | 11.6% | -490 bps | -1,640 bps | | Net Income (Loss) | $(97) | $56 | $353 | - | - | | Diluted Earnings Per Share | $(0.11) | $0.06 | $0.38 | - | - | - Net revenues decreased **14.4%** year-over-year, while gross margin decreased **660 basis points** to **33.5%**[5](index=5&type=chunk) - Operating income shifted from **$375 million** in Q2 2024 to a loss of **$133 million** in Q2 2025, primarily due to **$190 million** in impairment and restructuring charges[5](index=5&type=chunk)[11](index=11&type=chunk) [Non-U.S. GAAP Financial Highlights](index=2&type=section&id=Non-U.S.%20GAAP%20Financial%20Highlights) Excluding specific charges, non-U.S. GAAP operating income for Q2 2025 was $57 million, with a net income of $57 million or $0.06 diluted EPS, representing a significant year-over-year decline but a sequential improvement Q2 2025 Non-U.S. GAAP Financial Summary | Non-U.S. GAAP (US$ m, except per share data) | Q2 2025 | Q1 2025 | Q2 2024 | Q/Q | Y/Y | | :------------------------------------------- | :------ | :------ | :------ | :----- | :----- | | Operating Income | $57 | $11 | $375 | 429.6% | -84.7% | | Operating Margin | 2.1% | 0.4% | 11.6% | 170 bps | -950 bps | | Net Income | $57 | $63 | $353 | -9.1% | -83.9% | | Diluted Earnings Per Share | $0.06 | $0.07 | $0.38 | -14.3% | -84.2% | - Non-U.S. GAAP operating income was **$57 million**, a **429.6%** sequential increase but an **84.7%** year-over-year decrease[7](index=7&type=chunk) - Non-U.S. GAAP net income decreased **83.9%** year-over-year to **$57 million**[7](index=7&type=chunk) [CEO Commentary and Business Outlook](index=2&type=section&id=CEO%20Commentary%20and%20Business%20Outlook) The CEO noted Q2 net revenues exceeded expectations, driven by Personal Electronics and Industrial, despite Automotive being slightly below. The company anticipates solid sequential growth in Q3, while acknowledging an uncertain macroeconomic environment and focusing on customer support, new product introductions, and manufacturing footprint reshaping - Q2 net revenues exceeded the mid-point of the business outlook, driven by Personal Electronics and Industrial, with Automotive slightly below expectations[6](index=6&type=chunk) - Book-to-bill ratio remained above one for Industrial in Q2, while Automotive was below parity, and bookings continued to increase sequentially[6](index=6&type=chunk) - Priorities include supporting customers, accelerating new product introductions, and executing a company-wide program to reshape manufacturing footprint and resize the global cost base amidst an uncertain macroeconomic environment[6](index=6&type=chunk) [Detailed Financial Review - Q2 2025](index=3&type=section&id=Second%20Quarter%202025%20Summary%20Review) This section provides a detailed review of Q2 2025 financial performance, including net revenues by segment, gross profit, operating income, and net earnings analysis [Net Revenues by Reportable Segment](index=3&type=section&id=Net%20Revenues%20by%20Reportable%20Segment) Total net revenues for Q2 2025 were $2.77 billion, a 14.4% year-over-year decrease but a 9.9% sequential increase. All product groups, APMS and MDRF, experienced year-over-year revenue declines, with P&D showing the largest decrease Net Revenues by Reportable Segment (US$ m) | Net Revenues by Reportable Segment (US$ m) | Q2 2025 | Q1 2025 | Q2 2024 | Q/Q | Y/Y | | :----------------------------------------- | :------ | :------ | :------ | :---- | :----- | | Analog products, MEMS and Sensors (AM&S) | 1,133 | 1,069 | 1,336 | 5.9% | -15.2% | | Power and discrete products (P&D) | 447 | 397 | 576 | 12.9% | -22.2% | | Subtotal: APMS Product Group | 1,580 | 1,466 | 1,912 | 7.8% | -17.4% | | Embedded Processing (EMP) | 847 | 742 | 906 | 14.1% | -6.5% | | RF & Optical Communications (RF&OC) | 336 | 306 | 410 | 10.1% | -17.9% | | Subtotal: MDRF Product Group | 1,183 | 1,048 | 1,316 | 13.0% | -10.1% | | Others | 3 | 3 | 4 | - | - | | Total Net Revenues | $2,766 | $2,517 | $3,232 | 9.9% | -14.4% | - Net sales to OEMs and Distribution decreased **15.3%** and **12.0%** year-over-year, respectively[9](index=9&type=chunk) [Analog, Power & Discrete, MEMS and Sensors (APMS) Product Group](index=3&type=section&id=Analog%2C%20Power%20%26%20Discrete%2C%20MEMS%20and%20Sensors%20(APMS)%20Product%20Group) The APMS Product Group's revenue decreased 17.4% year-over-year to $1.58 billion. The P&D segment saw the largest revenue decline of 22.2% and shifted to an operating loss of $56 million - APMS Product Group revenue decreased **17.4%** year-over-year[9](index=9&type=chunk) - Analog products, MEMS and Sensors (AM&S) segment revenue decreased **15.2%**, with operating profit down **55.9%** to **$85 million**[9](index=9&type=chunk)[13](index=13&type=chunk) - Power and Discrete products (P&D) segment revenue decreased **22.2%**, resulting in an operating loss of **$56 million** compared to a **$61 million** profit in the prior year[9](index=9&type=chunk)[12](index=12&type=chunk) [Microcontrollers, Digital ICs and RF products (MDRF) Product Group](index=3&type=section&id=Microcontrollers%2C%20Digital%20ICs%20and%20RF%20products%20(MDRF)%20Product%20Group) The MDRF Product Group's revenue decreased 10.1% year-over-year to $1.18 billion. The RF & Optical Communications segment experienced a 17.9% revenue decrease and a 37.2% drop in operating profit - MDRF Product Group revenue decreased **10.1%** year-over-year[9](index=9&type=chunk) - Embedded Processing (EMP) segment revenue decreased **6.5%**, mainly due to Custom Processing, with operating profit down **8.7%** to **$114 million**[9](index=9&type=chunk)[21](index=21&type=chunk) - RF & Optical Communications (RF&OC) segment revenue decreased **17.9%**, with operating profit decreasing **37.2%** to **$60 million**[9](index=9&type=chunk)[21](index=21&type=chunk) [Gross Profit and Margin Analysis](index=3&type=section&id=Gross%20Profit%20and%20Margin%20Analysis) Gross profit for Q2 2025 was $926 million, a 28.5% year-over-year decrease. The gross margin of 33.5% decreased by 660 basis points year-over-year, primarily due to product mix, lower manufacturing efficiencies, and higher unused capacity charges - Gross profit totaled **$926 million**, a **28.5%** decrease year-over-year[10](index=10&type=chunk) - Gross margin was **33.5%**, a **660 basis point** decrease year-over-year[10](index=10&type=chunk) - The decrease in gross margin was mainly due to product mix, lower manufacturing efficiencies, and higher unused capacity charges[10](index=10&type=chunk) [Operating Income (Loss) Analysis](index=3&type=section&id=Operating%20Income%20(Loss)%20Analysis) STMicroelectronics reported an operating loss of $133 million in Q2 2025, a significant decline from an operating income of $375 million in the prior-year quarter. This loss includes $190 million in impairment and restructuring charges - Operating income decreased from **$375 million** in Q2 2024 to an operating loss of **$133 million** in Q2 2025[11](index=11&type=chunk) - Operating margin decreased **1,640 basis points** year-over-year to **-4.8%**[11](index=11&type=chunk) - The operating loss included **$190 million** for impairment, restructuring charges, and other related phase-out costs, associated with manufacturing footprint reshaping and cost base resizing[11](index=11&type=chunk) [Net Earnings and Diluted Earnings Per Share](index=4&type=section&id=Net%20Earnings%20and%20EPS) Net earnings and diluted EPS for Q2 2025 turned negative, reporting a loss of $97 million and -$0.11 respectively, a substantial decrease from positive figures in the year-ago quarter - Net Earnings decreased to a negative **$97 million**, compared to a positive **$353 million** in Q2 2024[14](index=14&type=chunk) - Diluted Earnings Per Share decreased to a negative **$0.11**, compared to a positive **$0.38** in Q2 2024[14](index=14&type=chunk) - Non-U.S. GAAP Net income and diluted EPS stood at **$57 million** and **$0.06**, respectively[14](index=14&type=chunk) [Cash Flow and Balance Sheet](index=4&type=section&id=Cash%20Flow%20and%20Balance%20Sheet%20Highlights) This section highlights the company's cash flow performance and balance sheet position, including inventory levels and net financial position [Cash Flow Highlights](index=4&type=section&id=Cash%20Flow%20Highlights) Net cash from operating activities decreased significantly year-over-year to $354 million. Free cash flow was negative at $152 million in Q2 2025, compared to positive $159 million in the prior-year quarter Cash Flow Summary (US$ m) | (US$ m) | Q2 2025 | Q1 2025 | Q2 2024 | Trailing 12 Months Q2 2025 | Trailing 12 Months Q2 2024 | TTM Change | | :---------------------------- | :------ | :------ | :------ | :------------------------- | :------------------------- | :--------- | | Net cash from operating activities | 354 | 574 | 702 | 2,332 | 4,922 | -52.6% | | Free cash flow (non-U.S. GAAP) | (152) | 30 | 159 | 142 | 1,384 | -89.7% | - Net Capex (non-U.S. GAAP) was **$465 million** in Q2 2025, down from **$528 million** in Q2 2024[16](index=16&type=chunk) [Balance Sheet and Financial Position](index=4&type=section&id=Balance%20Sheet%20and%20Financial%20Position) Inventory increased to $3.27 billion, with days sales of inventory at 166 days. The net financial position remained strong at $2.67 billion, though it decreased from the previous quarter - Inventory at quarter-end was **$3.27 billion**, up from **$3.01 billion** in the previous quarter and **$2.81 billion** in the year-ago quarter[17](index=17&type=chunk) - Days sales of inventory increased to **166 days** from **130 days** in the year-ago quarter[17](index=17&type=chunk) - ST's net financial position (non-U.S. GAAP) was **$2.67 billion** as of June 28, 2025, reflecting total liquidity of **$5.63 billion** and total financial debt of **$2.96 billion**[18](index=18&type=chunk) [Corporate Information](index=4&type=section&id=Corporate%20Information) This section covers corporate developments, Q3 2025 business outlook, conference call details, forward-looking statements, and company overview [Corporate Developments](index=4&type=section&id=Corporate%20developments) STMicroelectronics held its 2025 Annual General Meeting of Shareholders on May 28, 2025, where all proposed resolutions were approved - All proposed resolutions were approved by shareholders at the 2025 Annual General Meeting on May 28, 2025[19](index=19&type=chunk) [Business Outlook (Q3 2025 Guidance)](index=4&type=section&id=Business%20Outlook) For Q3 2025, STMicroelectronics expects net revenues of $3.17 billion, representing a 14.6% sequential increase, and a gross margin of approximately 33.5%, including about 340 basis points of unused capacity charges - Q3 2025 net revenues are expected to be **$3.17 billion**, an increase of **14.6%** sequentially[22](index=22&type=chunk) - Gross margin for Q3 2025 is expected to be about **33.5%**, including approximately **340 basis points** of unused capacity charges[22](index=22&type=chunk) - Q3 gross margin will be negatively impacted by about **140 basis points** sequentially, mainly from currency effects and non-recurring costs related to manufacturing reshaping[6](index=6&type=chunk) [Conference Call and Webcast Information](index=5&type=section&id=Conference%20Call%20and%20Webcast%20Information) STMicroelectronics held a conference call and webcast on July 24, 2025, to discuss its Q2 2025 financial results and business outlook, with a replay available until August 8, 2025 - A conference call and live webcast were held on July 24, 2025, at 9:30 a.m. CET to discuss Q2 2025 financial results and business outlook[23](index=23&type=chunk) - The webcast replay is accessible at https://investors.st.com and will be available until August 8, 2025[23](index=23&type=chunk) [Forward-looking Information and Risk Factors](index=5&type=section&id=Forward-looking%20Information) The report includes forward-looking statements based on management's current views, which are subject to various known and unknown risks and uncertainties. These risks, detailed in the Annual Report on Form 20-F, could cause actual results to differ materially from expectations - Statements in the release that are not historical facts are forward-looking and based on management's current views and assumptions[27](index=27&type=chunk) - Known and unknown risks and uncertainties could cause actual results, performance, or events to differ materially from anticipated outcomes[27](index=27&type=chunk)[29](index=29&type=chunk) - Key risk factors include changes in global trade policies, uncertain macro-economic and industry trends, customer demand variations, and the ability to design innovative products[28](index=28&type=chunk) [About STMicroelectronics](index=6&type=section&id=About%20STMicroelectronics) STMicroelectronics is a global semiconductor leader with 50,000 employees, serving over 200,000 customers. The company focuses on smarter mobility, efficient power management, and cloud-connected autonomous things, with a goal to be carbon neutral by the end of 2027 - STMicroelectronics is an integrated device manufacturer with **50,000 employees**, serving over **200,000 customers** and thousands of partners[32](index=32&type=chunk) - The company's technologies enable smarter mobility, more efficient power and energy management, and wide-scale deployment of cloud-connected autonomous things[32](index=32&type=chunk) - ST aims to be carbon neutral in all direct and indirect emissions (scopes 1 and 2) and achieve **100%** renewable electricity sourcing by the end of **2027**[32](index=32&type=chunk) [Consolidated Financial Statements (U.S. GAAP)](index=7&type=section&id=Consolidated%20Financial%20Statements) This section presents the unaudited U.S. GAAP consolidated statements of income, balance sheets, and selected cash flow data for Q2 and H1 2025 [Consolidated Statements of Income (Three months ended June 28, 2025)](index=7&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20INCOME%20(Q2)) For the three months ended June 28, 2025, STMicroelectronics reported net revenues of $2,766 million, a gross profit of $926 million, and an operating loss of $133 million, leading to a net loss attributable to parent company stockholders of $97 million Consolidated Statements of Income (Q2 2025 vs Q2 2024) | (in millions of U.S. dollars, except per share data ($)) | June 28, 2025 (Unaudited) | June 29, 2024 (Unaudited) | | :----------------------------------------------------- | :------------------------ | :------------------------ | | NET REVENUES | 2,766 | 3,232 | | GROSS PROFIT | 926 | 1,296 | | OPERATING INCOME (LOSS) | (133) | 375 | | NET INCOME (LOSS) ATTRIBUTABLE TO PARENT COMPANY STOCKHOLDERS | (97) | 353 | | DILUTED EARNINGS PER SHARE | (0.11) | 0.38 | - Impairment, restructuring charges and other related phase-out costs amounted to **$190 million** in Q2 2025, compared to zero in Q2 2024[34](index=34&type=chunk) [Consolidated Statements of Income (Six months ended June 28, 2025)](index=8&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20INCOME%20(H1)) For the six months ended June 28, 2025, net revenues were $5,283 million, gross profit was $1,767 million, and the company reported an operating loss of $130 million, resulting in a net loss attributable to parent company stockholders of $41 million Consolidated Statements of Income (H1 2025 vs H1 2024) | (in millions of U.S. dollars, except per share data ($)) | June 28, 2025 (Unaudited) | June 29, 2024 (Unaudited) | | :----------------------------------------------------- | :------------------------ | :------------------------ | | NET REVENUES | 5,283 | 6,697 | | GROSS PROFIT | 1,767 | 2,739 | | OPERATING INCOME (LOSS) | (130) | 925 | | NET INCOME (LOSS) ATTRIBUTABLE TO PARENT COMPANY STOCKHOLDERS | (41) | 865 | | DILUTED EARNINGS PER SHARE | (0.05) | 0.92 | - Impairment, restructuring charges and other related phase-out costs for H1 2025 totaled **$198 million**[35](index=35&type=chunk) [Consolidated Balance Sheets](index=9&type=section&id=CONSOLIDATED%20BALANCE%20SHEETS) As of June 28, 2025, total assets were $25,463 million, with total liabilities of $7,479 million. Total equity stood at $17,984 million, including $17,748 million attributable to parent company stockholders Consolidated Balance Sheets (US$ m) | In millions of U.S. dollars | June 28, 2025 (Unaudited) | March 29, 2025 (Unaudited) | December 31, 2024 (Audited) | | :-------------------------- | :------------------------ | :------------------------- | :-------------------------- | | Total assets | 25,463 | 24,923 | 24,743 | | Total liabilities | 7,479 | 6,964 | 7,064 | | Total equity | 17,984 | 17,959 | 17,679 | | Cash and cash equivalents | 1,616 | 1,781 | 2,282 | | Inventories | 3,273 | 3,014 | 2,794 | - Current assets totaled **$11,521 million**, while current liabilities were **$4,204 million**[36](index=36&type=chunk) [Selected Cash Flow Data](index=10&type=section&id=SELECTED%20CASH%20FLOW%20DATA) In Q2 2025, net cash from operating activities was $354 million, while net cash used in investing activities was $332 million and net cash used in financing activities was $191 million, resulting in a net cash decrease of $165 million Selected Cash Flow Data (US$ m) | Cash Flow Data (in US$ millions) | Q2 2025 | Q1 2025 | Q2 2024 | | :------------------------------- | :------ | :------ | :------ | | Net Cash from operating activities | 354 | 574 | 702 | | Net Cash used in investing activities | (332) | (796) | (628) | | Net Cash used in financing activities | (191) | (282) | (112) | | Net Cash decrease | (165) | (501) | (41) | - Depreciation & amortization was **$464 million** in Q2 2025, and net payment for Capital expenditures was **$481 million**[37](index=37&type=chunk) [Appendix - Supplemental Information](index=11&type=section&id=Appendix) This appendix provides supplemental financial information, including changes to reportable segments, channel data, and non-U.S. GAAP reconciliations [Changes to Reportable Segments](index=11&type=section&id=Changes%20to%20reportable%20segments) Effective January 1, 2025, STMicroelectronics adjusted its segment reporting within its two Product Groups (APMS and MDRF) to optimize resources and implement synergies. This involved transferring VIPower products and reorganizing Microcontroller and Digital ICs into new Embedded Processing and RF & Optical Communications segments - Segment reporting adjustments were made effective January 1, 2025, to implement synergies and optimize resources[39](index=39&type=chunk) - VIPower products were transferred from Power and Discrete products (P&D) to Analog products, MEMS and Sensors (AM&S) segment[42](index=42&type=chunk) - New segments include 'Embedded Processing' (EMP) for microcontrollers and Custom Processing, and 'RF & Optical Communications' (RF&OC) for former D&RF and some RF ASICs[42](index=42&type=chunk) [Supplemental Financial Data by Segment and Channel](index=12&type=section&id=ST%20Supplemental%20Financial%20Information) Supplemental data shows that in Q2 2025, OEM channel accounted for 72% of net revenues, and Distribution for 28%. The 'Others' category operating loss significantly increased to $(336) million, primarily due to $190 million in impairment and restructuring charges and $103 million in unused capacity charges Net Revenues By Market Channel (%) | Net Revenues By Market Channel (%) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--------------------------------- | :------ | :------ | :------ | :------ | :------ | | Total OEM | 72% | 71% | 73% | 76% | 73% | | Distribution | 28% | 29% | 27% | 24% | 27% | - Operating loss for 'Others' was **$(336) million** in Q2 2025, compared to **$(101) million** in Q2 2024[44](index=44&type=chunk) Key Components of 'Others' Operating Loss (US$ m) | (US$ m) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :---------------------------------------------- | :------ | :------ | :------ | :------ | :------ | | Unused capacity charges | 103 | 123 | 118 | 104 | 84 | | Impairment, restructuring charges and other related phase-out costs | 190 | 8 | - | - | - | [Non-U.S. GAAP Financial Measures Reconciliation and Explanation](index=13&type=section&id=Supplemental%20Non-U.S.%20GAAP%20Financial%20Information) The appendix provides reconciliations of non-U.S. GAAP financial measures to U.S. GAAP, including operating income, net earnings, EPS, net financial position, adjusted net financial position, net capex, and free cash flow. These measures are presented to offer a clearer understanding of ongoing operations by excluding specific non-recurring items - Non-U.S. GAAP measures are unaudited and not prepared in accordance with U.S. GAAP, serving as supplemental information for better period-to-period comparisons and trend analysis[25](index=25&type=chunk)[46](index=46&type=chunk)[47](index=47&type=chunk) [Non-U.S. GAAP Operating Income, Net Earnings and EPS](index=13&type=section&id=Non-U.S.%20GAAP%20Operating%20Income%2C%20Net%20Earnings%20and%20EPS) Non-U.S. GAAP operating income, net earnings, and EPS exclude impairment, restructuring charges, and other related phase-out costs to provide a view of ongoing operational performance. For Q2 2025, non-U.S. GAAP operating income was $57 million and net earnings were $57 million - Non-U.S. GAAP measures exclude impairment, restructuring charges, and other related phase-out costs to enhance understanding of ongoing operations[48](index=48&type=chunk) Q2 2025 U.S. GAAP to Non-U.S. GAAP Reconciliation | Q2 2025 (US$ m, except per share data) | Gross Profit | Operating Income (Loss) | Net Earnings | Corresponding Diluted EPS | | :------------------------------------- | :----------- | :---------------------- | :----------- | :------------------------ | | U.S. GAAP | 926 | (133) | (97) | (0.11) | | Impairment, restructuring charges and other related phase-out costs | - | 190 | 190 | | | Estimated income tax effect | - | - | (36) | | | Non-U.S. GAAP | 926 | 57 | 57 | 0.06 | [Net Financial Position and Adjusted Net Financial Position](index=14&type=section&id=Net%20Financial%20Position%20and%20Adjusted%20Net%20Financial%20Position) Net Financial Position, a non-U.S. GAAP measure, represents total liquidity minus total financial debt. As of June 28, 2025, the Net Financial Position was $2.67 billion, and the Adjusted Net Financial Position (considering capital grant advances) was $2.31 billion - Net Financial Position measures capital resources based on cash, short-term deposits, marketable securities, and total financial debt[51](index=51&type=chunk)[52](index=52&type=chunk) Net Financial Position (non-U.S. GAAP) (US$ m) | (US$ m) | Jun 28, 2025 | Mar 29, 2025 | Dec 31, 2024 | | :---------------------------------------- | :----------- | :----------- | :----------- | | Total liquidity | 5,629 | 5,959 | 6,184 | | Total financial debt | (2,957) | (2,877) | (2,953) | | Net Financial Position (non-U.S. GAAP) | 2,672 | 3,082 | 3,231 | | Advances received on capital grants | (361) | (377) | (385) | | Adjusted Net Financial Position (non-U.S. GAAP) | 2,311 | 2,705 | 2,846 | [Net Capex and Free Cash Flow](index=15&type=section&id=Net%20Capex%20and%20Free%20Cash%20Flow) Net Capex, a non-U.S. GAAP measure, adjusts capital expenditures for proceeds from asset sales and capital grants. Free Cash Flow, also non-U.S. GAAP, measures cash generation from operating and investing activities. In Q2 2025, Net Capex was $(465) million, and Free Cash Flow was $(152) million - Net Capex considers the effect of advances from capital grants received on prior periods allocated to property, plant and equipment[55](index=55&type=chunk)[57](index=57&type=chunk) Net Capex (non-U.S. GAAP) (US$ m) | (US$ m) | Q2 2025 | Q1 2025 | Q4 2024 | | :-------------------------------------------------------------------- | :------ | :------ | :------ | | Payment for purchase of tangible assets, as reported | (574) | (587) | (584) | | Proceeds from sale of tangible assets, as reported | 4 | 2 | - | | Proceeds from capital grants and other contributions, as reported | 89 | 47 | 83 | | Advances from capital grants allocated to property, plant and equipment | 16 | 8 | 31 | | Net Capex (non-U.S. GAAP) | (465) | (530) | (470) | Free Cash Flow (non-U.S. GAAP) (US$ m) | (US$ m) | Q2 2025 | Q1 2025 | Q4 2024 | | :------------------------------------------------------ | :------ | :------ | :------ | | Net cash from operating activities | 354 | 574 | 681 | | Net Capex | (465) | (530) | (470) | | Payment for purchase of intangible assets, net of proceeds from sale | (41) | (14) | (32) | | Payment for purchase of financial assets, net of proceeds from sale | - | - | (51) | | Free Cash Flow (non-U.S. GAAP) | (152) | 30 | 128 | [Signatures](index=16&type=section&id=SIGNATURES) This section contains the official signatures for the Form 6-K report, confirming its authorization and filing [Report Signatures](index=16&type=section&id=Report%20Signatures) The report was signed on July 24, 2025, by Lorenzo Grandi, President and Chief Financial Officer of STMicroelectronics N.V., as duly authorized - The report was signed by Lorenzo Grandi, President and Chief Financial Officer of STMicroelectronics N.V., on July 24, 2025[64](index=64&type=chunk)

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

智通财经7月24日电，"绩劣股"集体重挫，意法半导体大跌近18%，奇波雷墨西哥烧烤、陶氏化学跌超 12%，IBM跌超10%。 ...

Investment Rating - The report does not explicitly provide an investment rating for STMicroelectronics, but it highlights weak performance and lower-than-expected guidance for future quarters, indicating a cautious outlook for the stock. Core Insights - STMicroelectronics reported weak 2Q25 results, with revenue of $2.77 billion, meeting market expectations, but EPS of -$0.11 significantly missed the consensus estimate of $0.09 [1][7] - For 3Q25, the company guides revenue between $3.07 billion and $3.27 billion, with a midpoint of $3.17 billion, representing a 14.6% QoQ growth but a 2.5% YoY decline [4][10] Summary by Sections Revenue Performance - In 2Q25, STMicroelectronics achieved a 9.9% QoQ revenue increase but a 14.4% YoY decline. All end markets saw sequential growth, with automotive revenue down 24% YoY but up 14% QoQ, driven by Asia Pacific and the Americas [2][8] - The industrial market saw an 8% YoY decline but a 15% QoQ increase, confirming that 1Q25 was the cyclical trough. Personal electronics and communication equipment also experienced slight declines [2][8] Profitability - The gross profit for 2Q25 was $926 million, a 28.5% YoY decline, with a gross margin of 33.5%, down 660 bps YoY due to unfavorable product mix and lower manufacturing efficiency [3][9] - Operating loss was $133 million, including $190 million in impairment and restructuring charges. Non-GAAP operating margin for the quarter was +2.1% [3][9] Future Guidance - For 3Q25, the company expects all end markets except automotive to return to YoY growth, with gross margin guidance of 33.5% ± 200 bps, impacted by idle capacity costs and non-recurring costs related to manufacturing reorganization [4][10] - The FY2025 capital expenditure plan is maintained at $2.0 billion to $2.3 billion, primarily for manufacturing transformation efforts [4][10]