STMicroelectronics is'focussed on delivering continued expense reduction',said CEO Carlo Bozotti,after the company made a loss of$75m in Q2,compared to a profit of$420m in Q2 2011,on sales 16%down on Q2 2011 at$2.15bn.
ST said it would cut 2012 capex by 25%to$500m-$600m.
For Q3,ST is forecasting sales growth of 2-2.5%plus or minus 3%.last week Intel forecast 6%sales growth for Q3 which is traditionally the strongest quarter of the year.
ST's shares have fallen 15%this year giving the company a market cap of$4.3bn which is less than half ARM's market cap.
ST's 2012 revenues look like being less than the$8.9bn revenues of 2005 which was the year Bozottie took over as CEO.
Source:
http://www.electronicsweekly.com/Articles/2012/07/24/54189/st-q2-sales-fall-makes-a-loss-lowers-capex-focussing-on-cost-reduction.htm
