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By Eric Auchard and Mathieu Rosemain
FRANKFURT/PARIS May 11 STMicroelectronics
expects 2017 revenue to grow by between 12.5 and 15.5
percent from last year to around $8 billion, Chief Financial
Officer Carlo Ferro said on Thursday.
Europe's second-biggest chipmaker has been benefiting from
growing demand for sensors for smartphones, cars, and the
devices related to the burgeoning so-called "Internet of Things"
(IoT) sector of internet-connected machinery and household
devices that are able to collect and exchange data using
Speaking to investors at the semiconductor maker's annual
capital markets day in London, Ferro also said the company was
making steady progress in reaching its long-promised,
often-delayed target of achieving 10 percent operating margins.
"We wanted to share with you our determination to meet and
to beat in the second half of this year that target," said Ferro
The chipmaker is also considering a possible increase in its
initially planned investments of $1.1 billion for 2017 on the
back of higher demand in the second-half and beyond, it said in
STMicro has cut jobs and reorganised itself last year in an
attempt to recover from an unsuccessful venture with mobile
telecoms equipment maker Ericsson and to counter
margin pressure in an ever-more competitive chip market.
It has extended the contract of its long-time CEO Carlo
Bozotti by a year, and lined up its operations chief Jean-Marc
Chery to succeed him, seeking to end a battle over succession
between France and Italy, the company's controlling
Shares were little changed after STMicro's financial
announcements, down 0.58 percent at 0940 GMT.
(Reporting by Eric Auchard in Frankfurt and Mathieu Rosemain in
Paris; Editing by Sudip Kar-Gupta)