European semiconductor manufacturer STMicroelectronics' second quarter financial report showed that due to asset reductions and reorganization costs, the single-quarter surprise was the first to see in more than ten years, resulting in a low stock price, declaring the biggest drop in the past year.
According to the financial report of SARS on the 24th, the second quarter of 2025 (as of June 28, 2025) closed down 14.4% year-on-year to US$2.76 billion, higher than the financial measurement area and analyst estimates. However, due to the dilemma of sales decline, the STMicroelectronics launched a reorganization plan in April, identifying related reorganization costs and reducing losses of US$190 million, resulting in a second-quarter loss of US$133 million, the first time since 2013.
(Source: Structural Semiconductor)
If the above reorganization expenditure and reduction are not included, the business interest after adjustment in the second quarter will be US$57 million, in line with analyst expectations.
However, STMicroelectronics Semiconductor Financial measured the viewing information, and as customer demand recovered, it is estimated that the third quarter of 2025 will be up to US$3.17 billion, a decrease of 2.5% year-on-year, but better than the analysts' expectations of US$3.1 billion.
Currently, vehicle chips are still the main source of revenue for STMicroelectronics. Key customers include Tesla, accounting for about 6% of the company's overall revenue. However, due to the reduction of electric vehicle purchases by various governments, Trump has imposed taxes on the car market, the recent challenge of declining demand in the automotive industry has also caused harm to STMicroelectronics operations.