ST posted Q3 2025 revenues logging net revenue of $3.19 billion, marking a 15.2% sequential increase but a 2.0% decline year-over-year. The company’s gross margin stood at 33.2%, while operating income was $180 million, including $37 million in restructuring and impairment charges. Net income reached $237 million, or $0.26 diluted earnings per share.
As ST posted Q3 2025 revenues, it excludes one-time costs, the non-U.S. GAAP net income totaled $267 million, with earnings per share of $0.29.
Segment-wise, Analog, MEMS & Sensors (AM&S) registered $1.43 billion in revenue, growing 7% year-over-year, while Power & Discrete Products (P&D) fell 34% to $429 million, reflecting softer automotive demand. Meanwhile, Embedded Processing (EMP) achieved 8.7% growth, and RF & Optical Communications (RF&OC) declined 3.4% compared to last year.
Chery highlighted that ST’s book-to-bill ratio remained above one, signaling healthy order momentum. The company expects Q4 2025 revenues of $3.28 billion, up 2.9% sequentially, and a gross margin of about 35%. For the full year, ST projects revenue of approximately $11.75 billion, representing 22.4% growth in the second half, with a gross margin near 33.8%.
Leadership Comments
CEO Jean-Marc Chery said the quarter outperformed expectations, supported by stronger demand in Personal Electronics. “Q3 net revenues came slightly above the mid-point of our business outlook range, with higher revenues in Personal Electronics, while Automotive and Industrial performed as anticipated,” he commented. “Gross margin was slightly below expectations, mainly due to product mix within Automotive and Industrial.”
“To optimize our investments in response to current market conditions, we have reduced our CapEx plan to slightly below $2 billion for fiscal 2025,” Jean-Marc Chery added. “Our priorities remain accelerating innovation, reshaping our manufacturing footprint, resizing our cost base, and strengthening free cash flow generation.”
