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STMicroelectronics reported second-quarter 2026 revenue of $3.49 billion, a 26% increase from the same period last year, driven by stronger demand in its Automotive and Consumer, Embedded Processing and Connectivity (CECP) businesses. The company also reported improving order trends across all end markets and raised its revenue outlook for AI data center applications.
For the second quarter ended June 27, 2026, ST reported:
- Revenue of $3.49 billion
- Gross margin of 34.8% (35.2% on a non-U.S. GAAP basis)
- Operating income of $187 million
- Net income of $222 million, or $0.24 per diluted share
- Non-U.S. GAAP net income of $291 million, or $0.31 per diluted share
According to the company, second-quarter revenue exceeded the midpoint of its guidance, while gross margin was in line with expectations.
ST said demand strengthened further during the quarter, supported by strong bookings across all end markets. The company also reported improved supply visibility, tightening availability in several product categories, and distribution inventory levels that have fallen below its normal target.
For the third quarter of 2026, ST expects:
- Revenue of approximately $3.70 billion
- Sequential revenue growth of about 6.2%
- Year-over-year revenue growth of about 16.2%
- Gross margin of approximately 37.0%, including around 70 basis points of unused capacity charges
Looking ahead, the company expects revenue growth to accelerate in the fourth quarter, driven primarily by customer programs in AI data centers and low Earth orbit (LEO) satellite communications. ST forecasts fourth-quarter revenue to exceed $4 billion, resulting in second-half revenue growth above its typical seasonal pattern.
Reflecting continued strong demand from AI infrastructure, ST also increased its revenue outlook for its data center business. The company now expects data center revenue to exceed $1 billion in 2026 and projects revenue to grow to well above $2 billion in 2027, assuming current market conditions and customer engagements continue.
The revised outlook highlights the growing contribution of AI infrastructure to ST’s business, alongside continued demand from automotive, industrial, and communications markets.
Original – STMicroelectronics
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Navitas Semiconductor and Magnachip Semiconductor have announced a strategic partnership to accelerate the adoption of silicon carbide (SiC) technologies in high-voltage (HV) and ultra-high-voltage (UHV) power applications. Under the agreement, Magnachip will license Navitas’ GeneSiC™ Trench-Assisted Planar (TAP) technology to expand its power semiconductor portfolio into the SiC market.
The licensing agreement covers GeneSiC technologies with voltage ratings of 1200 V, 2300 V, 3300 V, and higher, enabling Magnachip to develop SiC devices for next-generation high-power conversion systems.
As part of the collaboration, Magnachip will also gain access to Navitas’ established SiC supply chain and materials ecosystem to support faster product development and market entry. The companies plan to transfer, qualify, and internalize the licensed technology at Magnachip’s manufacturing facility in South Korea while maintaining compatibility with Navitas’ existing technology platform.
The partnership targets a broad range of high-power applications, including:
- Energy transmission and grid infrastructure
- Battery energy storage systems (BESS)
- Industrial electrification
- Automotive power systems
- High-voltage power conversion
- Ultra-high-voltage power electronics
The companies stated that the agreement extends beyond the current SiC licensing arrangement, with additional areas of collaboration expected to be announced in the future.
For Navitas, the partnership expands the reach of its GeneSiC technology into the high-voltage power semiconductor market through licensing and technology collaboration. For Magnachip, the agreement provides a pathway into the rapidly growing SiC market, complementing its existing MOSFET and power semiconductor portfolio while enabling the development of higher-voltage, higher-efficiency power conversion solutions.
Original – Magnachip Semiconductor
