STMicroelectronics N.V. (NYSE:STM) Q4 2023 Earnings Conference Call January 25, 2024 3:30 AM ET

Company Participants

Celine Berthier - Group Vice President, Investor Relations

Jean-Marc Chery - President & Chief Executive Officer

Lorenzo Grandi - Chief Financial Officer, President of Finance, Purchasing, ERM & Resilience

Conference Call Participants

Francois Bouvignies - UBS

Jerome Ramel - BNP Paribas Exane

Gianmarco Bonacina - Equita

Joshua Buchalter - TD Cowen

Lee Simpson - Morgan Stanley

Sandeep Deshpande - JPMorgan

Stephane Houri - ODDO

Operator

Ladies and gentlemen, welcome to the STMicroelectronics Fourth Quarter and Full Year 2023 Earnings Conference Call and Live Webcast. I am Moira, the Chorus Call operator. I would like to remind that, all participants will be in a listen-only and the conference has been recorded. The presentation will be followed by a Q&A session. [Operator Instructions] The conference must not be recorded for publication or broadcast.

At this time, it's my pleasure to hand over to Celine Berthier, Group Vice President Investor Relations. Please go ahead, madam.

Celine Berthier

Thank you, Moira, and good morning. Thank you, everyone, for joining our fourth quarter and full year 2023 financial results conference call. Hosting the call today is Jean-Marc Chery, ST's President and Chief Executive Officer. Joining Jean-Marc on the call today are Lorenzo Grandi, Chief Financial Officer; President of Finance, Purchasing, ERM and Resilience; and Marco Cassis, President of Analog, MEMS and Sensor Group and Head of STMicroelectronics Strategy, System Research and Applications and Innovation Office.

This live webcast and presentation materials can be accessed on ST's Investor Relations website. A replay will be available shortly after the conclusion of this call. This call will include forward-looking statements that involve risk factors that could cause the results to differ materially from management expectations and plans. We encourage you to review the safe harbor statement contained in the press release that was issued with the results this morning and also in ST's most recent regulatory filings for a full description of these risk factors. Also, to ensure all participants have an opportunity to ask questions during the Q&A session, please limit yourself to one question and a brief follow-up.

I'd now like to turn the call over to Jean-Marc, ST's President and CEO.

Jean-Marc Chery

Thank you, Celine. Good morning, everyone, and thank you for joining ST for our Q4 and full year 2023 earnings conference call. Let me begin with some opening comments. Starting with Q4. Our net revenues of $4.28 billion decreased 3.2% year-over-year and 3.4% sequentially. Gross margin was 45.5%. Revenues and gross margin were slightly below the midpoint of the guidance with higher revenues in personal electronics, offset by a softer growth rate in automotive. Operating margin was 23.9% and net income was $1.08 billion.