Despite the slowdown in sales of smartphones, STMicroelectronics still showed strong momentum in the first quarter, while Austrian chipmaker Ams expects changes in its customer's smartphone project to have significant short-term impact.
STMicroelectronics' revenue in the first quarter of 2018 was 2.23 billion US dollars, an increase of 22.2% year-on-year, but it was down 9.8% month-on-month.
Carlo Bozotti, president and CEO of STMicroelectronics, who will retire on May 31, said at the press conference that although the demand for smart phones in the first half of 2018 was weak, it is still expected that the company's second-quarter revenue will increase by approximately 17.5% year-on-year. , Mainly from the strong growth of the automotive, industrial and Internet of things markets.
As a result of the simulation, MEMS and sensor business revenues fell by 25%, and STMicroelectronics' revenue in the first quarter was significantly affected. The company said that this was due to the traditional off-season factors in the smart phone market and also to the imaging business. A certain amount of shock.
Looking at the other side again, ams, which provides high-performance sensor solutions, has lowered its operating profit for the second quarter based on 'production capacity not fully utilized'.
Ams stated that the underutilization of capacity was mainly due to the product transformation kernel transformation of a large customer project, which resulted in the inability of components to be produced in advance. Although ams did not reveal a specific customer identity, analysts considered the customer as Apple. Apple ended last year. Launched iPhone X with facial recognition, optical sensors provided by ams have an important position in the field of facial recognition, which has led to a substantial increase in its performance.
However, the company later stressed that preparations for various production increases for the second half of the year are still in full swing.
The financial report showed that ams' revenue for the first quarter of this year reached $452.7 million, a year-on-year increase of 147%, but it fell 22% month-on-month, and turned a year-on-year profit. Net profit increased to $99.9 million, compared to a loss of $19.9 million in the same period last year. At the same time, the company also issued early warning information, saying that as the demand for large customers' orders weakened, it lowered the second quarter's performance expectations, and the revenue will drop to between 220 million and 250 million US dollars, which is about the first quarter. Half of it.