Europe Movers: STMicroelectronics, Sartorius, SAP

Bridgette Randall
26 Jan, 2023
Frankfurt

STMicroelectronics soared 8.2% to €42.68 after the advanced semiconductor equipment maker reported better-than-expected earnings. 

Fourth quarter revenue increased 24.4% to $4.4 billion and net income soared 66.4% to $1.25 billion from $750 million a year ago. 

Diluted earnings per share rose to $1.32 from 82 cents a year ago. 

The company guided first quarter revenue to increase 18.5% from a year ago and decline 5.1% from the previous quarter to $4.2 billion. 

The equipment maker estimated a gross margin of 48.0% and capital expenditure in 2023 of $4.0 billion. 

Sartorius AG increased 3.6% to €354.0 after the biotech holding company reported stronger-than-expected financial results. 

Fiscal 2022 revenue increased 21% or 15% in constant currencies to €4.1 billion. 

The company benefited from orders related to Covid-19 and underlying operating earnings rose 20% to €1.4 billion and operating margin declined to 33.8% from 34.1% in the prior year. 

The company guided 2023 consolidated revenue to increase in the " low single-digit percentage range."

SAP SE declined 0.9% to close at €105.0 after the software company reported a sharp decline in profit. 

Revenue in the December quarter increased 6% to €8.4 billion from €7.98 billion a year ago. 

Net income plunged 77% to €332 million from €1.4 billion and diluted earnings per share dropped 66% to 47 euro cents from €1.23 a year ago. 

The company also confirmed that it is looking to sell its stake in Qualtrics. 

The company also plans to reduce its current workforce of 110,000 by 2.5% or about 3,000 and take a restructuring charge between  €250 million and €300 million.