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Peter Clarke
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Re: Softening?
Peter Clarke   7/24/2013 5:06:33 AM
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Well if we care to dive into the operating losses it turns out that the Sensors, Power semiconductors and Automotive business (Good ST) made an operating profit of $42 million while the Embedded Processing segement (Bad ST) made an operating loss of $106 million.

A column called Others covering subsystems, assembly services and impairments for capacity underutlization, restructuring charges and other related closure costs and otherwise unassigned corporate costs made an operating loss of $43 million.

Overall result an operating loss of $107 million.


Generally these numbers are coming down over time but the cost of getting out of ST-Ericsson will continue for another quarter or two.

 

wilber_xbox
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Manager
Re: Softening?
wilber_xbox   7/24/2013 12:34:18 AM
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so it means that the the loss that ST is making is temporary and the future looks bright. But sensors are used in all kind of smartphone (lowend and highend) and tablets. So, the overall sentiments should be good even in today's conditions. I think we are missing something that should explain the loss that ST incurred.

Peter Clarke
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Re: Softening?
Peter Clarke   7/23/2013 4:50:09 PM
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A softening at the end of the second quarter.

I think the smartphone, and mobile device market generally, have been growing quite briskly but there is now a little bit of negative sentiment coming out pointing to a below par Q3 from a few places.

On the other hand TI is predicting good sequential growth in Q3, but TI is less exposed to the mobile phone and smartphone markets.

ST has massive sales of inertial sensors into smartphones so it should be a reasonable bellwhether of the sector, which implies slightly difficult times in 2H13.

 

Tom Murphy
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Softening?
Tom Murphy   7/23/2013 4:45:34 PM
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The company blamed a "softening in the smartphone market?"  Really?  Funny, I thought the smartphone market was growing quite briskly.  Isn't it?



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