Stmicroelectronics Nv (STM) has reported 21.11 percent fall in profit for the quarter ended Oct. 01, 2016. The company has earned $71 million, or $0.08 a share in the quarter, compared with $90 million, or $0.10 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $96 million, or $0.11 a share compared with $101 million or $0.12 a share, a year ago.

Revenue during the quarter went up marginally by 1.87 percent to $1,797 million from $1,764 million in the previous year period. Gross margin for the quarter expanded 103 basis points over the previous year period to 35.78 percent. Total expenses were 94.99 percent of quarterly revenues, up from 94.84 percent for the same period last year. That has resulted in a contraction of 15 basis points in operating margin to 5.01 percent.

Operating income for the quarter was $90 million, compared with $91 million in the previous year period.

However, the adjusted operating income for the quarter stood at $119 million compared to $102 million in the prior year period. At the same time, adjusted operating margin improved 84 basis points in the quarter to 6.62 percent from 5.78 percent in the last year period.

"In the third quarter revenues increased 5.5% sequentially and 1.9% year-over year. Revenue growth also brought improved operating profitability, with a third quarter operating margin before impairment and restructuring of 6.6%," commented Carlo Bozotti, STMicroelectronics president and chief executive officer.