Financial PerformancePricing, persistent underutilization, suppressed like-for-like volumes, and abatement of capacity reservation fees are likely to push operating margins down even further to <10%.
Inventory ChallengesST does not expect the situation to resolve until at least mid-2025, with auto inventory digestion and personal electronics dynamics driving management's expectations for a worse than seasonal 1Q25.
Revenue OutlookSTMicro lowered its SiC 2027-2028 revenue target to $2B+ from the previous model of $5B.