意法半導體 (STM) 2017 Q4 法說會逐字稿

Ladies and gentlemen, good morning or good afternoon.

女士們先生們，早安或下午好。

Welcome to the STMicroelectronics Fourth Quarter and Full Year 2017 Earnings Results Conference Call and Live Webcast.

歡迎參加意法半導體 2017 年第四季和全年獲利結果電話會議和網路直播。

I am Moira, the Chorus Call operator.

我是莫伊拉，合唱呼叫操作員。

(Operator Instructions) The conference is being recorded.

（操作員指示）會議正在錄音。

(Operator Instructions) The conference must not be recorded for publication or broadcast.

（操作員說明）不得對會議進行錄音以供出版或廣播。

At this time, it's my pleasure to hand over to Mr. Tait Sorensen, Group Vice President, Investor Relations.

此時此刻，我很高興將工作交給負責投資人關係的集團副總裁 Tait Sorensen 先生。

Please go ahead, sir.

請繼續，先生。

Thank you, everyone, for joining our fourth quarter and full year 2017 financial results conference call.

感謝大家參加我們的 2017 年第四季和全年財務業績電話會議。

Hosting the call today is Carlo Bozotti, ST's President and Chief Executive Officer.

今天主持電話會議的是 ST 總裁兼執行長 Carlo Bozotti。

Joining Carlo on the call today are Jean-Marc Chery, Deputy CEO and Designated President and CEO; Carlo Ferro, Chief Financial Officer; and Georges Penalver, Chief Strategy Officer.

今天與 Carlo 一起參加電話會議的還有副執行長兼指定總裁兼執行長 Jean-Marc Chery；卡洛費羅，財務長；喬治‧佩納爾弗 (Georges Penalver)，首席策略長。

This live webcast and presentation materials can be accessed through ST's website.

此現場網路廣播和演示資料可透過 ST 網站存取。

A replay will be available shortly after the conclusion of this call.

本次電話會議結束後不久將進行重播。

This call will include forward-looking statements that involve risk factors that could cause ST's results to differ materially from management's expectations and plans.

這次電話會議將包括前瞻性陳述，這些陳述涉及可能導致 ST 的業績與管理層的預期和計劃存在重大差異的風險因素。

We encourage you to review the safe harbor statement contained in the press release that was issued with the results this morning and also in ST's most recent regulatory filings for a full description of these risk factors.

我們鼓勵您查看今天早上發布的結果新聞稿中包含的安全港聲明以及 ST 最新的監管文件中包含的安全港聲明，以獲取對這些風險因素的完整描述。

(Operator Instructions)

（操作員說明）

Today, Carlo Bozotti will begin with a summary overview of 2017, and then Georges Penalver will discuss our 2017 products and application review.

今天，Carlo Bozotti 將首先對 2017 年進行總結概述，然後 Georges Penalver 將討論我們 2017 年的產品和應用回顧。

Carlo Ferro will then review our financial results in detail.

卡洛費羅隨後將詳細審查我們的財務表現。

Jean-Marc Chery will then discuss the strategy and key programs driving our technology, R&D and manufacturing investments.

Jean-Marc Chery 隨後將討論推動我們技術、研發和製造投資的策略和關鍵計劃。

Finally, Carlo Bozotti will provide closing remarks and lead our Q&A session.

最後，卡洛·博佐蒂 (Carlo Bozotti) 將致閉幕詞並主持我們的問答環節。

I'd now like to turn the call over to Carlo Bozotti, ST's President and CEO.

我現在想將電話轉給 ST 總裁兼執行長 Carlo Bozotti。

Carlo?

卡洛？

Thank you, Tait, and good morning, everyone.

謝謝泰特，大家早安。

Well, this has been a morning of important news for ST.

嗯，這對 ST 來說是一個重要的消息。

Therefore, before we start our usual review of the fourth quarter and full year 2017, allow me a few minutes to comment on -- sorry -- on the press releases.

因此，在我們開始對 2017 年第四季和全年進行例行回顧之前，請允許我花幾分鐘時間對新聞稿發表評論（抱歉）。

As you know, I'm going to retire this year at the time of our Annual General Meeting of Shareholders.

如您所知，我將於今年召開年度股東大會時退休。

I will leave ST after 41 years, proud to retire at one of the best times in the history of our company and extremely glad about the decision of our Supervisory Board to propose the appointment of Jean-Marc Chery as sole member of the managing board and President and CEO of ST, subject to approval by ST's shareholders at 2018 Annual General Meeting.

41年後，我將離開ST，我很自豪能夠在我們公司歷史上最好的時光之一退休，並且非常高興我們的監事會決定任命Jean-Marc Chery為管理委員會的唯一成員， ST總裁兼首席執行官，須經ST股東在2018年年度股東大會上批准。

Our Board's decision is supporting the continuity of ST's strategy, plans and the management culture, and I'm really pleased about that.

我們董事會的決定支持 ST 策略、計劃和管理文化的連續性，我對此感到非常高興。

Jean-Marc has been with ST since 1986.

Jean-Marc 自 1986 年起就加入 ST。

He knows the company in depth, and you will get to know him better as a skilled, result-oriented, proactive, pragmatic and trustworthy leader who has gained in all these years an extensive experience in technology, manufacturing, critical business management and, more recently, also in sales and marketing.

他對公司有深入的了解，你會更了解他是一位技術精湛、注重結果、積極主動、務實且值得信賴的領導者，多年來在技術、製造、關鍵業務管理等方面積累了豐富的經驗。

As part of my succession plan, the ST Supervisory Board has also approved, upon Jean-Marc's proposal, the establishment of a newly formed executive committee, entrusted with the management of the company and led by ST's President and CEO as its Chairman.

作為我繼任計畫的一部分，ST監事會也根據Jean-Marc的提議，批准成立一個新成立的執行委員會，委託管理公司，並由ST總裁兼執行長擔任主席。

The executive committee will, of course, become effective upon shareholder approval of the appointment of Jean-Marc Chery at ST's 2018 AGM.

當然，執行委員會將在股東在 ST 2018 年年度股東大會上批准 Jean-Marc Chery 的任命後生效。

But before I mention the list of the proposed members of the executive committee, let me comment on another important development.

但在我提及執行委員會擬議成員名單之前，讓我先評論一下另一個重要的進展。

As you may have read today, someone that we all know and respect, Carlo Ferro, has informed our company about his intention to step down from his position at the same time as my retirement in order to pursue other personal opportunities.

正如您今天可能已經讀到的那樣，我們都認識並尊敬的卡洛·費羅 (Carlo Ferro) 已通知我們公司，他打算在我退休的同時辭去職務，以尋求其他個人機會。

Carlo remains committed to our company with unchanged dedication during this transition -- period of transition, and Carlo will remain until the end of 2018 as President of ST's Italian affiliate.

在此過渡期間，Carlo 仍將以不變的奉獻精神致力於我們公司，Carlo 將擔任 ST 義大利子公司總裁直至 2018 年底。

I want to deeply thank Carlo.

我要深深感謝卡洛。

As you know, he has been associated with ST in various capacities since its IPO in 1994.

如您所知，自 1994 年 ST 首次公開募股以來，他一直在 ST 擔任各種職位。

Since then, he has strongly contributed to the company's average compound total return to shareholders of about 10% per year.

此後，他為公司股東平均複合總回報率每年約10%做出了巨大貢獻。

In his role of CFO and then with increased responsibilities in legal, IP, infrastructure and planning, he has fully supported ST's transformation, inspiring and driving key initiatives of product, portfolio management, financial discipline, asset management and financing on the capital markets.

在擔任財務長期間，他在法律、智慧財產權、基礎設施和規劃方面的職責不斷增加，全力支持意法半導體的轉型，激勵和推動產品、投資組合管理、財務紀律、資產管理和資本市場融資等關鍵舉措。

Through his leadership, he has developed an outstanding and talented finance organization, and this is allowing us to plan for a highly qualified internal succession to his role.

在他的領導下，他建立了一個傑出且才華橫溢的財務組織，這使我們能夠規劃出一位高素質的內部繼任者來接替他的職位。

I am sure you will join me in wishing him all the best for the future.

我相信您會和我一起祝福他未來一切順利。

Going back to the proposed members of the executive committee, all the members underline the strong intention to guarantee continuity of ST's strategy and result.

回到執行委員會的擬議成員，所有成員都強調了保證ST策略和績效連續性的強烈意願。

Let me go through them: Orio Bellezza, President, Technology, Manufacturing and Quality; Marco Cassis, President, Sales, Marketing, Communications and Strategy Development; Claude Dardanne, President, Microcontrollers and Digital ICs Group; Lorenzo Grandi, President, Finance, Infrastructure and Services and Chief Financial Officer; Marco Monti, President, Automotive and Discrete Group; Georges Penalver, President, Human Resources and Corporate Social Responsibility; Steve Rose, President, Legal Counsel; and Benedetto Vigna, President, Analog, MEMS and Sensors Group.

讓我來介紹一下他們：Orio Bellezza，技術、製造和品質總裁； Marco Cassis，銷售、行銷、傳播與策略開發總裁； Claude Dardanne，微控制器和數位 IC 集團總裁； Lorenzo Grandi，財務、基礎設施和服務總裁兼財務長； Marco Monti，汽車與離散集團總裁； Georges Penalver，人力資源與企業社會責任總裁；史蒂夫·羅斯，總裁兼法律顧問；以及類比、MEMS 和感測器集團總裁 Benedetto Vigna。

During the coming months, Jean-Marc, the incoming executive committee, Carlo and myself, will continue to work together to prepare for a very smooth leadership transition with our strongest commitment to continue to deliver strong business and financial results.

在接下來的幾個月裡，讓-馬克、即將上任的執行委員會、卡洛和我將繼續共同努力，為非常順利的領導層過渡做好準備，我們將堅定地致力於繼續實現強勁的業務和財務業績。

And now it's time to start our Q4 and full year 2017 review.

現在是時候開始我們的 2017 年第四季和全年回顧了。

Building on the results of 2016, our priorities for 2017 were: first, deliver year-over-year sales growth across all our product families and across all regions, both with OEMs and in distribution and in mass market; second, continue to lead innovation, supporting our customers through product leadership and optimize application-oriented solutions; third, invest for growth, maximizing innovation with our R&D spend and leveraging our manufacturing investment to quickly ramp up our major programs; fourth, continue to be disciplined on operating expenses; and finally, as a result, continue to improve our operating profitability.

在 2016 年業績的基礎上，我們 2017 年的首要任務是：首先，實現我們所有產品系列和所有地區（包括 OEM、分銷和大眾市場）的銷售額同比增長；第二，持續引領創新，透過產品領先和優化應用導向的解決方案來支持我們的客戶；第三，投資促進成長，透過研發支出最大化創新，並利用我們的製造投資來快速推進我們的主要項目；四是繼續嚴守經營費用紀律；最後，繼續提高我們的營運獲利能力。

During 2017, we made significant progress quarter-after-quarter, and we achieved our goal of placing ST on a sustainable profitable growth trajectory.

2017年，我們每季都取得了重大進展，實現了讓ST走上可持續獲利成長軌道的目標。

As you have seen for our press release this morning, we closed 2017 with strong fourth quarter results.

正如您在今天早上的新聞稿中看到的那樣，我們以強勁的第四季度業績結束了 2017 年。

Net revenues increased 32.6% year-over-year to $2.47 billion.

淨收入年增 32.6%，達到 24.7 億美元。

Our year-over-year growth was broad-based with all regions contributing and with double-digit growth across all product groups.

我們的年成長基礎廣泛，所有地區都做出了貢獻，所有產品組均實現了兩位數成長。

We maintain a very good balance of revenues between OEMs, and distribution.

我們在原始設備製造商和分銷之間保持著非常好的收入平衡。

This is an important point as this indicates that we are matching new product ramps of OEMs with a diversified business including tens of thousands of small and mid-sized companies.

這是很重要的一點，因為這表明我們正在將原始設備製造商的新產品推向與包括數以萬計的中小企業在內的多元化業務相匹配。

Today, we have more than 100,000 customers worldwide.

如今，我們在全球擁有超過 10 萬名客戶。

Moving to profitability in the fourth quarter.

第四季實現獲利。

Gross margin reached 40.6%.

毛利率達40.6%。

Operating margin as reported was 16.5%, and net income was $308 million.

據報道，營業利潤率為 16.5%，淨利潤為 3.08 億美元。

For the full year 2017, net revenues increased 19.7% to $8.35 billion, gross margin expanded 400 basis points to 39.2%, operating margin increased 880 basis points to 11.9% and net income grew to $202 million.

2017 年全年，淨收入成長 19.7%，達到 83.5 億美元，毛利率成長 400 個基點，達到 39.2%，營業利潤率成長 880 個基點，達到 11.9%，淨利潤成長到 2.02 億美元。

But now, let's focus on growth and product leadership.

但現在，讓我們專注於成長和產品領導。

Yes, sorry, $802 million of net income -- but now -- or net income growth.

是的，抱歉，淨收入為 8.02 億美元——但現在——或者說淨收入成長。

But now, let's focus on growth and product leadership and I will hand over to Georges Penalver for that.

但現在，讓我們專注於成長和產品領導力，我將把這件事交給 Georges Penalver。

George?

喬治？

Thank you, Carlo, and good morning, everyone.

謝謝你，卡洛，大家早安。

Actually, we are executing on the growth strategy centered on the most promising application domain; Smart Driving, Internet of Things including industrial and the non-digital part of Smart Phones.

實際上，我們正​​在執行以最有前途的應用領域為中心的成長策略；智慧駕駛、物聯網，包括工業和智慧型手機的非數位部分。

This enables us to cover 40% volume of the total semiconductor market.

這使我們能夠覆蓋整個半導體市場 40% 的份額。

We have deployed an aggressive and very successful stage in marketing strategy, targeting distribution and the mass market as well as share count.

我們在行銷策略、目標分銷和大眾市場以及份額計數方面部署了積極且非常成功的階段。

Revenues from our Top 10 customers in 2017 grew 37% year-over-year.

2017年我們十大客戶的營收年增37%。

Distribution increased significantly in absolute numbers and moved to 34% of total revenue in 2017 from 33% in 2016 with year-over-year point of sales growth of 12%.

分銷的絕對數量顯著增加，佔總收入的比例從 2016 年的 33% 升至 2017 年的 34%，銷售點年增 12%。

Importantly, our unique product portfolio offers all the essential blocks to serve the IoT and Smart Driving applications.

重要的是，我們獨特的產品組合提供了服務物聯網和智慧駕駛應用的所有基本模組。

We launched many new products in 2017 and we continue to innovate at a fast pace.

2017年我們推出了許多新產品，並且持續快速創新。

Turning to some of the key 2017 achievements of our product groups, I will start with our Automotive and Discrete Group, ADG.

談到我們產品組 2017 年的一些關鍵成就，我將從我們的汽車和分離式元件組 (ADG) 開始。

Our Automotive revenues considering all our product groups grew about 10% for the full year.

考慮到我們所有的產品組，我們的汽車收入全年增長了約 10%。

Also in 2017, the average ST content in a car has continued to increase with our company now providing up to 1,000 semiconductor components in a premium car like the Audi A8.

同樣在 2017 年，汽車中 ST 的平均含量持續增加，我們公司現在為奧迪 A8 等高端汽車提供多達 1,000 個半導體元件。

In the area of safer driving, we made good progress in product development and production ramp-up and we achieved substantial growth with ADAS-related components.

在安全駕駛領域，我們在產品研發和產能提升方面取得了良好進展，ADAS相關零件實現了大幅成長。

We started production of our partner Mobileye EyeQ4 product for semi-autonomous vehicles based on our 28-nanometer FD-SOI technology.

我們開始生產基於我們的 28 奈米 FD-SOI 技術的合作夥伴 Mobileye EyeQ4 產品，用於半自動駕駛汽車。

As Mobileye said at the CES 2 weeks ago, 13 automakers are planning designs on this stuff and 5 major brands will launch their EyeQ4-equipped vehicles during 2018.

正如 Mobileye 兩週前在 CES 上所說，13 家汽車製造商正在計劃進行此類設計，5 個主要品牌將在 2018 年推出配備 EyeQ4 的汽車。

Development of the new -- the next-generation Mobileye EyeQ5 is ongoing with first silicon planned for later this year and we have started joint work on the next-generation EyeQ6.

新產品—下一代 Mobileye EyeQ5 的開發正在進行中，第一批晶片計劃於今年稍後推出，我們已經開始共同開發下一代 EyeQ6。

We also had success with our 24-77 gigahertz RADAR product, which grew revenues by about 25% in 2017.

我們的 24-77 GHz 雷達產品也取得了成功，2017 年營收成長了約 25%。

In the area of greener driving, we won new designs in car electrification growing our market share in power components.

在綠色駕駛領域，我們贏得了汽車電氣化的新設計，提高了我們在功率元件方面的市場份額。

This will include our Silicon Carbide products.

這將包括我們的碳化矽產品。

We have already talked about important wins in the U.S. and Asia and I can now mention that we are collaborating with Renault Group on the next On-Board Charger with our SiC Diodes and MOSFETs.

我們已經討論過在美國和亞洲取得的重要勝利，現在我可以提及的是，我們正在與雷諾集團合作開發採用我們的 SiC 二極體和 MOSFET 的下一代車載充電器。

Silicon Carbide revenues started to materialize last year and looking forward, we see big opportunities as the adoption of hybrid and electric vehicles increase.

碳化矽收入去年開始實現，展望未來，隨著混合動力和電動車的採用增加，我們看到了巨大的機會。

We also continued to see strong growth and market traction with our 32-bit microcontroller family for automotive, particularly in Body and Gateway applications at several car makers.

我們也繼續看到我們的 32 位元汽車微控制器系列的強勁成長和市場吸引力，特別是在多家汽車製造商的車身和網關應用中。

Power Discrete had a robust 2017 with sales up by about 13% for the year in total and with a strong contribution from automotive applications.

Power Discrete 2017 年表現強勁，全年銷售額成長約 13%，其中汽車應用做出了強勁貢獻。

On top of silicon carbide for automotive, we also enjoyed growth in low and high end -- and high voltage power MOSFETs components for industrial applications.

除了汽車用碳化矽之外，我們在工業應用的低端和高端以及高壓功率 MOSFET 組件方面也取得了成長。

Now let me move to Microcontrollers and Digital ICs, MDG, where year-on-year revenue grew 15.8% during 2017.

現在讓我談談微控制器和數位 IC，MDG，2017 年營收年增 15.8%。

Our Microcontroller business grew throughout the year to deliver year-on-year growth of about 25%.

我們的微控制器業務全年成長，年增約 25%。

The strong expansion of our business was driven by our STM32 general purpose family where we shipped more than 1 billion products during 2017.

我們業務的強勁擴張是由 STM32 通用系列推動的，2017 年我們的產品出貨量超過 10 億個。

This achievement is impressive as 1 year ago, our cumulative shipments since 2007 had been 2 billion units.

這項成績令人印象深刻，一年前，我們自2007年以來的累積出貨量已達到20億台。

The STM32 family now offers more than 800 parts.

STM32 系列現在提供超過 800 個零件。

The key part of our success is linked to our development ecosystem, which allows fast and easy access to tools and design resources.

我們成功的關鍵部分與我們的開發生態系統有關，它允許快速、輕鬆地存取工具和設計資源。

And during the year, we added a number of tools to enable product development for the IoT as well as integration with leading Cloud services providers.

在這一年中，我們添加了許多工具來支援物聯網產品開發以及與領先的雲端服務供應商的整合。

During the fourth quarter, we acquired Atollic to offer our customers a full integrated development environment, specifically tailored for the STM32 family and the STM32 Nucleo development ecosystem.

在第四季度，我們收購了 Atollic，為客戶提供完整的整合開發環境，專為 STM32 系列和 STM32 Nucleo 開發生態系統量身定制。

Our Secure Microcontroller solutions and Near Field Communication connectivity both benefited from the acquisition we made in 2016.

我們的安全微控制器解決方案和近場通訊連線都受惠於我們 2016 年的收購。

We announced 2 key products; the ST54 and ST53, targeting mobile and wearable for NFC and secure applications.

我們宣布了 2 款重點產品； ST54 和 ST53，針對 NFC 和安全應用的行動和穿戴式裝置。

We also made significant inroads with our RFID readers and NFC controllers in areas such as game console, automotive and smart furniture.

我們也利用 RFID 讀取器和 NFC 控制器在遊戲機、汽車和智慧家具等領域取得了重大進展。

In the digital area, we were recognized by many OEMs for our technology leadership and service excellence and we achieved several design wins for digital ASICs in advanced technology for optical and satellite communication.

在數位領域，我們的技術領先地位和卓越服務得到了許多 OEM 廠商的認可，並且我們在光學和衛星通訊先進技術領域的數位 ASIC 設計方面取得了多項設計成果。

Let's now move to the newly formed group.

現在讓我們轉到新成立的小組。

Starting in the fourth quarter of 2017 we organized the activities related to our sensors into 1 group transferring the Imaging product division previously reported in others, include the Analog and MEMS Group formerly known as AMG, to create the new organization Analog, MEMS and Sensors group or AMS.

從2017 年第四季開始，我們將與感測器相關的活動組織為1 個群組，轉移了先前在其他報告中報告的成像產品部門，包括以前稱為AMG 的模擬和MEMS 組，以創建新的組織類比、MEMS 和感測器組或 AMS。

In our MEMS, Sensors and Actuator business, revenues grew over 20% compared to 2016.

在我們的 MEMS、感測器和執行器業務中，營收比 2016 年成長了 20% 以上。

We further developed the business with our high volume consumer and mobile customer base thanks to multiple sensor design wins with leading smartphone, wearables and game console makers.

由於領先的智慧型手機、穿戴式裝置和遊戲機製造商的多項感測器設計勝利，我們進一步發展了與大量消費者和行動客戶群的業務。

We also saw strong growth with our industrial and automotive customers to whom we shipped over 60% more sensors in 2017 compared to 2016.

我們也看到工業和汽車客戶的強勁成長，2017 年我們向這些客戶交付的感測器比 2016 年增加了 60% 以上。

In this area, we received new business awards for sensors to support assisted driving and to accelerate growth in industrial application, we introduced a number of new sensors with 10-year longevity.

在這一領域，我們獲得了感測器新業務獎，為支持輔助駕駛並加速工業應用的成長，我們推出了多款具有10年壽命的新型感測器。

Our analog business also performed well in 2017 achieving growth of over 20% year-over-year.

我們的模擬業務在2017年也表現出色，年成長超過20%。

This growth was broad-based across our wide Analog and Power product portfolio.

這種增長在我們廣泛的模擬和電源產品組合中具有廣泛的基礎。

We saw solid progress, both with design wins and revenue growth with our high-end industrial customers with product families such as our STSPIN motor control family and our intelligent power switch solutions, which target smart industry applications.

我們在高端工業客戶中取得了紮實的進展，包括針對智慧工業應用的 STSPIN 馬達控制系列和智慧電源開關解決方案等產品系列的設計勝利和收入成長。

We continued to assist this with our smart metering solutions and we announced a new modular programmable chipset.

我們繼續透過智慧計量解決方案來協助實現這一目標，並推出了新的模組化可編程晶片組。

We also grew with power conversion product such as our ViperPLUS family of high voltage AC/DC converters.

我們也隨著電源轉換產品的發展而發展，例如我們的 ViperPLUS 系列高壓 AC/DC 轉換器。

In 2017, our Wireless Connectivity revenues more than doubled versus 2016.

2017 年，我們的無線連線收入比 2016 年成長了一倍以上。

We launched a new system-on-chip Bluetooth Low Energy 5.0 certified and we won multiple designs in a range of applications.

我們推出了經過藍牙低功耗 5.0 認證的新系統單晶片，並贏得了一系列應用中的多項設計。

In Imaging, 2017 was a year of continued success as revenue grew triple digit year-over-year.

在影像領域，2017 年是持續成功的一年，營收年增三位數。

Our proprietary Time of Flight technology gained traction and we released our third generation of laser ranging sensors.

我們專有的飛行時間技術受到關注，我們發布了第三代雷射測距感測器。

Also, our specialized 3D sensing technology ramped in volume for a major customer and we are also won design for a depth sensing time of fluctuation to support assisted driving with a Tier 1 automotive supplier, certainly a priority for us.

此外，我們的專業 3D 感測技術在主要客戶中的銷量大幅增加，我們還贏得了一級汽車供應商的深度感測波動時間設計，以支援輔助駕駛，這當然是我們的首要任務。

Now let me turn the presentation over to Carlo Ferro to discuss in detail our business and financial performance results.

現在讓我將演示轉交給卡洛·費羅，詳細討論我們的業務和財務表現結果。

Thank you, Georges.

謝謝你，喬治。

Good morning to everyone.

大家早安。

It's really a great pleasure to be here today to present the results and particularly to present the 2017 fourth quarter and full year earnings results, which are the best historical performance for our company in the last 17 years.

非常高興今天能夠在這裡公佈業績，特別是公佈 2017 年第四季度和全年盈利結果，這是我們公司過去 17 年來最好的歷史業績。

Beginning with a brief summary of our fourth quarter.

首先對第四季進行簡要總結。

The significant progress we have made over the last year, including the substantial creation of shareholder value, is quite visible.

去年我們取得的重大進展，包括股東價值的大幅創造，是顯而易見的。

Net revenues up 32.6% year-over-year, gross margin up 310 basis points, operating income was $408 million translating into an operating margin of 16.5% and a positive free cash flow of $145 million.

淨收入年增 32.6%，毛利率成長 310 個基點，營業收入為 4.08 億美元，營業利潤率為 16.5%，自由現金流為 1.45 億美元。

On a sequential basis, sales grew 15.5% and we were 200 basis points above the high end of our guidance on higher than expected revenues in Imaging products and Microcontrollers.

銷售額環比成長 15.5%，比我們的指導上限高出 200 個基點，因為影像產品和微控制器的收入高於預期。

This performance is above our historical seasonality.

這一表現高於我們的歷史季節性。

In fact, this reflected the strength of our offer with sequential growth in each of our Microcontrollers, Analog, Power Discrete, Automotive and MEMS sub-groups.

事實上，這反映了我們的產品實力，我們的每個微控制器、類比、分立功率、汽車和 MEMS 子組都在持續成長。

And this also reflects the fact that with the Imaging product ramp, our seasonality is evolving as our product portfolio evolves leading towards higher sales in the third and fourth quarter of the year.

這也反映了這樣一個事實：隨著影像產品的增加，我們的季節性隨著我們的產品組合的發展而變化，導致今年第三和第四季的銷售額更高。

Turning to the full year 2017.

展望2017年全年。

Net revenues increased 19.7% year-over-year equivalent to the addition of $1.37 billion in revenue.

淨收入年增 19.7%，相當於增加了 13.7 億美元的收入。

Operating income came close to the $1 billion mark, indeed $993 million.

營業收入接近 10 億美元大關，實際上是 9.93 億美元。

Operating margin of 11.9%, almost a fourfold increase over 2016 and clearly above the anticipated 10% target.

營業利益率為 11.9%，幾乎比 2016 年成長四倍，明顯高於 10% 的預期目標。

Net income increased $637 million to $802 million and free cash flow increased about 7% to $338 million.

淨利潤增加 6.37 億美元，達到 8.02 億美元，自由現金流增加約 7%，達到 3.38 億美元。

The key element of our strategy to achieve sustainable profitable growth has been synchronizing growth in each of the area of our strategic progress; IoT, Smart Driving, Industrial and Smartphones; after having positioned our portfolio in multiple growth markets.

我們實現可持續獲利成長的策略的關鍵要素是我們策略進展的每個領域的同步成長；物聯網、智慧駕駛、工業和智慧型手機；在將我們的投資組合定位於多個成長市場之後。

In the fourth quarter, our sales growth of 32.6% year-over-year reflected double-digit growth across all the product groups.

第四季度，我們的銷售額年增 32.6%，反映出所有產品組均達到兩位數成長。

AMS revenues increased 70.1%, MDG revenues were up by 21.4% and ADG revenues were higher by 14.6%.

AMS 營收成長 70.1%，MDG 營收成長 21.4%，ADG 營收成長 14.6%。

For the full year 2017, our revenues growth of 19.7% reflect the broad-based growth across all product groups and geographies.

2017 年全年，我們的收入成長了 19.7%，反映出所有產品組和地區的廣泛成長。

Asia-Pacific revenues increased 26.5%, EMEA revenues were up by 14.3% and America was up by 3.2%.

亞太地區營收成長 26.5%，歐洲、中東和非洲地區營收成長 14.3%，美洲成長 3.2%。

Turning to our first quarter outlook.

轉向我們的第一季展望。

Based upon the midpoint of our guidance range, we are anticipating year-over-year revenue growth of about 22%, that remains the usual 350 basis points, which on such a strong Q4 '17 is a sequential decrease of 10% at the midpoint.

根據我們指導範圍的中點，我們預計收入同比增長約為 22%，這仍然是通常的 350 個基點，在如此強勁的 17 年第 4 季度，中點連續下降 10% 。

This revenue dynamics reflect a better-than-seasonal quarter-to-quarter evolution for Smart Driving and Internet of Things applications combined with the negative influence of seasonality in Smartphones.

這種收入動態反映出智慧駕駛和物聯網應用的季度演變優於季節性，以及智慧型手機季節性的負面影響。

One year ago I have outlined the 4 key drivers of expanding growth in the operating margin to translate into higher net earnings and significantly enhanced return on invested capital.

一年前，我概述了營業利潤率擴大成長的 4 個關鍵驅動因素，以轉化為更高的淨利潤和顯著提高的投資資本回報率。

Leveraging sales growth, fully loading on fabs, manufacturing scale and technology reducing cost and innovation improving product mix.

利用銷售成長、晶圓廠滿載、製造規模和技術降低成本、創新改善產品組合。

Indeed, they all have been well-implemented and in 2017 $1.37 billion of additional sales year-over-year translated into $779 million of additional operating income or a 57% margin on incremental sales, 57%.

事實上，它們都得到了很好的實施，2017 年同比增加 13.7 億美元的銷售額轉化為 7.79 億美元的額外營業收入，即增量銷售利潤率為 57%，即 57%。

So let's see in greater detail how our P&L performed.

讓我們更詳細地看看我們的損益表表現如何。

Manufacturing efficiencies and favorable product mix has been the main drivers of our gross profit and gross margin improvement during the fourth quarter and for the year in total.

製造效率和有利的產品組合是我們第四季和全年毛利和毛利率改善的主要驅動力。

Our fourth quarter gross profit reached $1 billion and our gross margin was 40.6% above the midpoint of our guidance and this is the best performance for ST since the Internet bubble in the early 2000s.

我們第四季的毛利達到了10億美元，毛利率比我們指導的中點高出40.6%，這是ST自2000年代初網路泡沫以來最好的業績。

On a sequential basis, gross margin increased 110 basis points due to improved product mix and increased manufacturing efficiency, partially offset by normal price pressure and negative currency effect net of hedging.

由於產品組合的改善和製造效率的提高，毛利率環比增長了 110 個基點，但部分被正常的價格壓力和扣除對沖後的負面貨幣影響所抵消。

For 2017, our gross margin is up 400 basis points bringing it up to 39.2%, a level that already generates solid earnings.

2017 年，我們的毛利率上升了 400 個基點，達到 39.2%，這一水準已經產生了穩定的收益。

For the first quarter of 2018, at the midpoint of our revenues range, we anticipate a gross margin of about 39.5% reflecting the anticipated decreasing revenues on a sequential basis.

對於 2018 年第一季度，在我們收入範圍的中點，我們預計毛利率約為 39.5%，反映了預期收入環比下降。

And importantly, we are starting the year 2018 above the prior year gross margin.

重要的是，我們 2018 年的毛利率將高於前一年。

We have maintained a very strong expense discipline with average quarter operating expenses in 2017 and net of the R&D grants of about $555 million, in line with our target range.

我們維持了非常嚴格的費用紀律，2017 年平均季度營運費用（扣除研發補助金）約為 5.55 億美元，符合我們的目標範圍。

As a result, we saw significant operating leverage with 2017 OpEx-to-sales ratio of 27.4%, which is an improvement of about 5 points from the 2016 level.

因此，我們看到了顯著的營運槓桿，2017 年營運支出與銷售額的比率為 27.4%，比 2016 年的水準提高了約 5 個百分點。

As we first discussed in October, operating expenses net of R&D grants are anticipated to increase to somehow above $600 million per quarter in 2018 in average reflecting revenues growth, inflation dynamics, currency, lower R&D grants and increased marketing and sales at quarter while keeping tight expenses discipline.

正如我們在10 月首次討論的那樣，預計2018 年每季扣除研發補助金後的營運支出平均將增加至6 億美元以上，反映出營收成長、通膨動態、貨幣、研發補助金的減少以及季度行銷和銷售的增加，同時保持緊張狀態開支紀律。

Commencing in the fourth quarter of 2017, the company transferred the Imaging Product Division, previously reported in Others, into the new reorganization Analog, MEMS and Sensors Group, the AMS.

從 2017 年第四季開始，該公司將先前在《其他》中報告的成像產品部門轉移到新重組的模擬、MEMS 和感測器集團 (AMS)。

And please note and you may have noted in the press release that we have reclassified the data for 2016 and 2017 to facilitate your job.

請注意，您可能已經在新聞稿中註意到，我們對 2016 年和 2017 年的數據進行了重新分類，以方便您的工作。

Operating income, before impairment and restructuring, significantly improved from $153 million to $428 million in the fourth quarter of 2017 versus the year ago's quarter.

與去年同期相比，2017 年第四季減損和重組前的營業收入從 1.53 億美元大幅提高至 4.28 億美元。

Importantly, you can see that all the 3 product groups improved their profitability progressively during the year and achieved in Q4 '17 a double-digit operating margin before impairment and restructuring.

重要的是，您可以看到所有 3 個產品組在這一年中都逐步提高了盈利能力，並在 17 年第四季度在減值和重組之前實現了兩位數的營業利潤率。

In Q4, ADG posted an operating margin of 12.3%, a year-over-year improvement of 500 basis points.

第四季度，ADG 營業利潤率為 12.3%，年增 500 個基點。

AMS, now including Imaging, operating margin was 20.9%, well above the 10.1% in the year ago quarter.

AMS（現包括影像部門）營業利益率為 20.9%，遠高於去年同期的 10.1%。

And MDG operating margin was 19.6%, 9.9 points above Q4 '16.

MDG 營業利益率為 19.6%，比 2016 年第四季高出 9.9 個百分點。

All product groups have reached their operating margin targets for the second half of 2017, and that is as anticipated at our Capital Markets Day in last May.

所有產品組均已達到 2017 年下半年的營業利潤率目標，這符合我們去年 5 月資本市場日的預期。

In particular AMG driven by the improvement in both Analog and MEMS and MDG, driven by bulk improvement in Microcontrollers, a significant reduction in Digital ICs well exceeded the target of low teens.

特別是在類比和 MEMS 改進推動的 AMG 以及微控制器批量改進推動的 MDG 推動下，數位 IC 的大幅減少遠遠超出了低兩位數的目標。

Our free cash flow increased to $338 million after absorbing $1.3 billion of capital expenditure in the year while covering our cash dividend to shareholder totaling $214 million in 2017.

在吸收了當年 13 億美元的資本支出後，我們的自由現金流增加至 3.38 億美元，同時向股東支付了 2017 年總計 2.14 億美元的現金股利。

CapEx at the end followed well our anticipated route to support revenue growth.

最終的資本支出很好地遵循了我們預期的路線，以支持收入成長。

Free cash flow came in higher than anticipated, clearly the higher EBITDA which reached about 25% of revenues in the fourth quarter.

自由現金流高於預期，EBITDA 明顯更高，第四季達到營收的 25% 左右。

The expansion of our profitability and acceleration of our net asset turns have driven a strong increase in our return on net assets, which for us is the measure for the return on invested capital, accelerating quarter after quarter during 2017.

我們獲利能力的擴大和淨資產週轉率的加快推動了我們衡量投資資本回報率的淨資產回報率的強勁增長，在2017年逐季加速增長。

Already in the third quarter to take as a reference a period with available data from competitors, asset position in the ranking places us among the best in the semiconductor non-memory IDFs.

已經在第三季度，以競爭對手的可用數據作為參考，排名中的資產地位使我們躋身半導體非內存 IDF 中最好的行列。

Well, we made a significant step forward in Q4.

嗯，我們在第四季向前邁出了重要一步。

RONA reached almost 36% in the fourth quarter, well above the 15% in the year-ago quarter.

第四季 RONA 達近 36%，遠高於去年同期的 15%。

This result is significantly exceeding our weighted average cost of capital, which is currently about 9%.

這一結果大大超過了我們目前約為 9% 的加權平均資本成本。

In 2017 we also accomplished a significant improvement of our balance sheet with the successful offering of $1.5 billion new convertible bonds at an average of zero yield, the full settlement of $1 billion convertible bond issued in 2014, and new credit facility.

2017 年，我們也成功發行了 15 億美元的平均零收益率新可轉換債券、全額結算 2014 年發行的 10 億美元可轉換債券以及新增信貸額度，顯著改善了資產負債表。

As a result, the overall liquidity increased to $2.19 billion at the year-end 2017 with a negative yield of 1.5%.

結果，2017年底整體流動性增加至21.9億美元，收益率為負1.5%。

At the same time, our financial debt cost has been significantly lower this past year as a result of our refinancing bringing our cash cost of the debt to 44 basis points thereby creating a positive spread of over 1 point.

同時，由於我們的再融資將我們的債務現金成本降低至 44 個基點，從而創造了超過 1 個基點的正利差，去年我們的金融債務成本顯著降低。

We also strengthened our financial flexibility by signing a new $500 million euro credit facility with the European Investment Bank and we had over $1 billion of available undrawn credit facility at the year-end.

我們還與歐洲投資銀行簽署了一項新的 5 億歐元信貸安排，增強了我們的財務靈活性，截至年底，我們擁有超過 10 億美元的未提取信貸安排。

Further, we continued to maintain our financial flexibility with a financial position of $489 million at December 31 compared to $513 million 1 year earlier showing our ability to manage the planned increased investment made in 2017.

此外，我們繼續保持財務靈活性，截至 12 月 31 日的財務狀況為 4.89 億美元，而一年前為 5.13 億美元，這表明我們有能力管理 2017 年計劃增加的投資。

Importantly during the year, shareholder received a cash dividend paid quarterly of $0.06 per share representing an yield of about 1% based on the current share price and we repurchased in the year shares for $300 million.

重要的是，在這一年中，股東收到了每季支付的現金股息，每股0.06 美元，相當於基於當前股價的約1% 的收益率，而我們在這一年以3 億美元的價格回購了股票。

Finally, we are pleased to we have our progress in operating profitability coupled with maintaining a very solid capital structure recognized with a return to the CAGR 14% versus September 2017 as well as with the rating agencies with the Moody's most recent upgrade of our rating and Standard & Poor upgrading their outlook for now.

最後，我們很高興我們在營運獲利能力方面取得了進步，同時保持了非常穩固的資本結構，與2017 年9 月相比，複合年增長率達到14%，評級機構穆迪最近升級了我們的評級，標準普爾目前上調了展望。

Now to describe our technology and manufacturing strategy and the related capital investment, I will turn the stage to Jean-Marc Chery.

現在請讓-馬克·奇瑞介紹一下我們的技術和製造策略以及相關的資本投資。

Thank you, Carlo.

謝謝你，卡洛。

So first of all, I would like to deeply thank the Supervisory Board of ST for their confidence and I am honored to have been nominated as the successor to Carlo Bozotti.

首先，我要深深感謝ST監事會的信任，我很榮幸被提名為Carlo Bozotti的繼任者。

Carlo has set a very high bar and I owe him great debt of gratitude for his guidance and support of my candidacy for this estimated leadership role in ST.

Carlo 設定了非常高的標準，我非常感謝他對我擔任 ST 預計領導職務的候選人的指導和支持。

I would like also to deeply thank Carlo Ferro for all the years we have worked together and the solid legacy he leaves behind both in term of the financial solidity of the company as well as the highly capable finance team soon to be led by Lorenzo Grandi.

我還要深深感謝卡洛·費羅(Carlo Ferro) 多年來我們的合作，以及他留下的堅實遺產，無論是公司的財務穩健性，還是即將由洛倫佐·格蘭迪(Lorenzo Grandi ) 領導的高素質財務團隊。

I joined ST even before it was ST.

我在ST之前就加入了ST。

I know and admire this company, its people and its future in depth.

我深入了解並欽佩這家公司、它的員工和它的未來。

You can say that when appointed I will put the utmost commitment growing ST supported by a strong executive committee composed of great colleagues.

可以說，當我被任命時，我將在由優秀同事組成的強大執行委員會的支持下，盡最大努力發展ST。

I have been working with them for many, many years and I deeply respect and trust.

我和他們一起工作了很多很多年，我深深地尊重和信任。

Moving now to my presentation.

現在開始我的演講。

So ST has a broad portfolio of differentiated technologies that allow us to address the wider market and application requirements we target.

因此，意法半導體擁有廣泛的差異化技術組合，使我們能夠滿足我們目標的更廣泛的市場和應用需求。

I would like to highlight 2017 development and our key focus areas for 2018.

我想重點介紹一下 2017 年的發展以及 2018 年我們的重點領域。

BCD, our BCD technology is a long-standing area of strength for ST and a major enabler of our business in automotive and industrial application.

BCD，我們的BCD技術是ST長期的優勢領域，也是我們汽車和工業應用業務的主要動力。

During 2017 we expanded our product portfolio and continued the manufacturing arm of our 110-nanometer technology.

2017 年，我們擴大了產品組合，並繼續發展 110 奈米技術的製造部門。

We also completed the transfer of our 160-nanometer node to major silicon foundries in order to expand our capacity to serve the growing smart power market.

我們也完成了 160 奈米節點向主要矽代工廠的轉移，以擴大我們的產能，服務於不斷增長的智慧電力市場。

For 2018, we are focusing on the development of our tenth generation which addresses the need for more digital logic and memory intensive smart power products.

2018 年，我們將專注於開發第十代產品，以滿足更多數位邏輯和記憶體密集型智慧電源產品的需求。

This new 90-nanometer platform enables the development of fully integrated system-on-chip smart power product.

這個新的 90 奈米平台能夠開發完全整合的系統單晶片智慧電源產品。

We are also developing differentiated flavors of our BCD technology family, which allows us to address higher power and voltage application as well as galvanic isolation.

我們也正在開發 BCD 技術系列的差異化產品，這使我們能夠解決更高功率和電壓的應用以及電流隔離問題。

Our advanced CMOS technology roadmap is evolving along 3 axis of development.

我們先進的 CMOS 技術路線圖沿著 3 個發展軸不斷發展。

First, we are enriching our 28-nanometer FD-SOI platform with additional features to address RF and space application.

首先，我們正在豐富 28 奈米 FD-SOI 平台的附加功能，以解決射頻和空間應用的問題。

Second, we recently announced our adoption of 22Fdx foundry technology as the next node in our FD-SOI road map targeting specific high performance and low power products.

其次，我們最近宣布採用 22Fdx 代工技術作為我們針對特定高效能和低功耗產品的 FD-SOI 路線圖的下一個節點。

And third, we are working with 16- and 7-nanometer FinFET platforms from a foundry partner where we have designed a product for high-density digital applications, including system-on-chip for autonomous driving.

第三，我們正在使用代工合作夥伴的 16 奈米和 7 奈米 FinFET 平台，我們為高密度數位應用設計了一款產品，包括用於自動駕駛的系統單晶片。

In addition to the development of RF features on our 28-nanometer FD-SOI platform, we also continued to raise our differentiated BiCMOS 55-nanometer technology.

除了在 28 奈米 FD-SOI 平台上開發射頻功能外，我們也持續提升差異化的 BiCMOS 55 奈米技術。

This unique platform offers best-in-class bipolar transistor capable of operating at frequencies up to 300 gigahertz.

這個獨特的平台提供一流的雙極晶體管，能夠在高達 300 GHz 的頻率下運作。

This technology is really positioned us to address high-speed communication needs for data center and cloud infrastructure and 5G infrastructure application.

這項技術確實使我們能夠滿足資料中心和雲端基礎設施以及 5G 基礎設施應用的高速通訊需求。

In 2018 we will continue to improve the performances of this technology with additional bipolar devices operating at even higher frequencies.

2018 年，我們將透過在更高頻率下運行的其他雙極裝置繼續改進該技術的性能。

Now embedded nonvolatile memory.

現在嵌入式非揮發性記憶體。

This technology is a key enabler for our microcontroller family, which addresses both spectrum of applications from consumer to automotive and industrial.

該技術是我們微控制器系列的關鍵推動因素，可滿足從消費性到汽車和工業的各種應用需求。

In 2017 we expanded our capacity for 40-nanometer in Crolles on 12-inch wafer for all flavors of 32-bit microcontrollers.

2017 年，我們擴大了 Crolles 12 吋晶圓上 40 奈米的產能，適用於所有類型的 32 位元微控制器。

Embedded nonvolatile memory is also important in our 28-nanometer FD-SOI offering as we can embed phase change memory to deliver a competitive low power high-performance technology platform to address automotive and IoT application.

嵌入式非揮發性記憶體在我們的28 奈米FD-SOI 產品中也很重要，因為我們可以嵌入相變記憶體來提供具有競爭力的低功耗高性能技術平台，以滿足汽車和物聯網應用的需求。

This is one of our focus areas in 2018.

這是我們2018年重點關注的領域之一。

Imaging now.

現在正在成像。

2017 saw our continued deployment and penetration of our patented FlightSense Time-of-Flight technology.

2017 年，我們持續部署並滲透專利的 FlightSense 飛行時間技術。

With the launch of our next generation of product introducing optic and advanced processing to boost performance.

隨著我們推出引入光學和先進處理技術的下一代產品，以提高性能。

This enables us to grow our wireless business, but also to drive growth in wider applications such as PC, robotics and the general mass market.

這使我們能夠發展無線業務，同時也推動 PC、機器人和一般大眾市場等更廣泛應用的成長。

We also successfully ramped up an important Time of Flight product and a specialized Imaging sensor addressing a 3D sensing application for our major customer.

我們也成功推出了重要的飛行時間產品和專門的成像感測器，為我們的主要客戶解決了 3D 感測應用的問題。

For 2018, we are focused on the further development of our next generation of imaging technology.

2018 年，我們的重點是進一步開發下一代影像技術。

We will launch a new Single Photon Avalanche Diode (SPAD) in 40-nanometer technology enabling a step change in performance of Time of Flight application.

我們將推出採用 40 奈米技術的新型單光子雪崩二極體 (SPAD)，使飛行時間應用的性能發生重大變化。

We will also secure the following generation with the 3D SPAD further boosting the performance, scalability and enabling higher resolution Time of Flight sensor.

我們還將透過 3D SPAD 確保下一代產品的安全，進一步提高性能、可擴展性並實現更高解析度的飛行時間感測器。

This is key for multiple markets from 3D sensing to LIDAR.

這對於從 3D 傳感到 LIDAR 的多個市場來說至關重要。

We are also developing our next generation of Global Shutter technology with significant performance improvement in near-infrared light detection as well as our future image sensor with backside illumination and 3D integration for visible and non-visible light application.

我們也正在開發下一代全局快門技術，該技術在近紅外光檢測方面具有顯著的性能改進，以及我們未來的具有背面照明和 3D 集成的圖像感測器，適用於可見光和不可見光應用。

MEMS Sensor and Actuator, 2017 saw significant increase in our manufacturing volume in MEMS associated with prior introduction of a number of new market-leading motion and environmental MEMS product based on our optimized micromachine technology.

MEMS 感測器和執行器 2017 年，我們在 MEMS 領域的製造量顯著增加，這與先前基於我們優化的微機械技術推出的許多新的市場領先的運動和環境 MEMS 產品有關。

Our focus in 2018 is on developing next-generation technology.

2018 年我們的重點是開發下一代技術。

For example, we are developing a version of our Motion MEMS technology that support even the industrial application.

例如，我們正在開發一個甚至支援工業應用的運動 MEMS 技術版本。

We are also developing our next generation of Motion MEMS technology for consumer and automotive that will boost performance and a new magnetic and resonator capability.

我們也正在為消費性和汽車開發下一代運動 MEMS 技術，該技術將提高性能以及新的磁性和諧振器功能。

Our pressure sensor technology also continues to evolve with higher level of integration and waterproofing.

我們的壓力感測器技術也隨著更高水準的整合和防水而不斷發展。

Our focus in actuators is on our Thin Film Piezoelectric technology, which enables a number of different applications such as inkjet and 3D printing, smaller and lower camera autofocus solution and MEMS speaker.

我們在執行器領域的重點是薄膜壓電技術，可實現多種不同的應用，例如噴墨和 3D 列印、更小和更低的相機自動對焦解決方案以及 MEMS 揚聲器。

Silicon Carbide, moving now to Silicon Carbide.

碳化矽，現在轉向碳化矽。

As we have said before, this is an area where ST developed the technology organically for a number of years and today we are one of few semiconductor companies able to supply Silicon Carbide products in volume.

正如我們之前所說，意法半導體多年來在這一領域有機地開發了該技術，如今我們是少數能夠批量供應碳化矽產品的半導體公司之一。

In 2017 we started volume production in our newly installed 6-inch manufacturing line Catania and Carlo already mentioned some of our business presence.

2017 年，我們新安裝的 6 吋生產線 Catania 開始批量生產，Carlo 已經提到了我們的一些業務存在。

In 2018 we plan to increase our 6-inch capacity in line with customer demand while expanding our product base on our third generation of Silicon Carbide technology.

2018年，我們計劃根據客戶需求增加6吋產能，同時擴大我們第三代碳化矽技術的產品基礎。

At the same time, we are continuing the technology development of our next generation of automotive grade MOSFET, which will include a move to trench technology in the fourth generation.

同時，我們正在繼續開發下一代汽車級 MOSFET 的技術，其中包括轉向第四代溝槽技術。

Let me turn now to our manufacturing strategy and here I would like to explain how we ensure the strategy support our revenue growth, competitiveness and ability to differentiate.

現在讓我談談我們的製造策略，在這裡我想解釋一下我們如何確保該策略支持我們的收入成長、競爭力和差異化能力。

First, our wafer fab where our currently available and planned capacity rely and the smart combination of internal wafer fab and a network of foundry partners.

首先，我們目前可用和規劃產能依賴的晶圓廠以及內部晶圓廠和代工合作夥伴網路的智慧組合。

We follow a number of principles consistent with our technology strategy and our ability to differentiate our offer to Silicon.

我們遵循一系列與我們的技術策略和我們的矽產品差異化能力一致的原則。

Some technologies are completely outsourced.

有些技術是完全外包的。

In digital CMOS technology BM 28-nanometer, we rely on foundries for all application focus area.

在數位 CMOS 技術 BM 28 奈米中，我們依賴代工廠來實現所有應用重點領域。

Some technologies are partially outsourced, a good example is digital CMOS derivative technology like embedded nonvolatile memory, which enable IoT and smartphone application.

有些技術部分外包，一個很好的例子是數位CMOS衍生技術，如嵌入式非揮發性記憶體，它支援物聯網和智慧型手機應用。

Some technologies where ST has unique top priority, IP remain internal.

ST 有獨特的一些技術，IP 仍然是內部的。

This include differentiated CMOS technology imaging automotive application for Analog and RF ASICs and specialized imaging sensors and Time of Flight.

其中包括用於模擬和 RF ASIC 的差異化 CMOS 技術成像汽車應用以及專用成像感測器和飛行時間。

Differentiated Analog, Power and MEMS technology also remain generally internal whatever the application focus.

無論應用重點如何，差異化的類比、功率和 MEMS 技術通常仍然是內部技術。

However, we also have a flexible approach for the internal technology as they mature and as some of the opportunities evolve.

然而，隨著內部技術的成熟和一些機會的發展，我們也對內部技術採取靈活的方法。

For example, this year we set up partial outsourcing to support strong BCD demand opportunity.

例如，今年我們設立了部分外包，以支持強勁的 BCD 需求機會。

ST internal manufacturing rely on the smart combination of appropriately scaled with the fab, which then dedicated to differentiated processes like our wafer fab in Agrate, Catania, Crolles and Tours and some really high volume production starts capability like in Rousset and Singapore.

ST內部製造依賴適當規模的晶圓廠的智慧組合，然後致力於差異化工藝，如我們位於阿格拉特、卡塔尼亞、克羅爾和圖爾的晶圓廠，以及一些真正大批量生產的工廠，如魯塞特和新加坡。

All of these fabs are engaged in a continuous lean manufacturing improvement program including an absolute focus on quality and in each of them, we have stabilized and modular approach to adjust internal capacity to demand whether for technology needs or selective capacity addition.

所有這些工廠都致力於持續的精益製造改進計劃，包括對品質的絕對關注，在每個工廠中，我們都採用穩定和模組化的方法來調整內部產能以滿足技術需求或選擇性產能增加的需求。

In order to support our anticipated product portfolio mix and to fuel strong revenue growth in the second half of 2018 compared to the first half, we expect to invest approximately $1 billion to $1.1 billion.

為了支持我們預期的產品組合併推動 2018 年下半年與上半年相比的強勁收入成長，我們預計將投資約 10 億至 11 億美元。

In front-end manufacturing at ST, we will further expand capacity in Crolles 12-inch within the current footprint to increase flexibility and support the introduction of new technology.

在ST的前端製造方面，我們將在現有佔地面積內進一步擴大Crolles 12吋的產能，以提高靈活性並支援新技術的引入。

In our other facilities, we will continue the next evolution to advance BCD and prepare for the 12-inch pilot line.

在我們的其他設施中，我們將繼續下一步的發展以推進 BCD 並為 12 英寸試驗線做好準備。

In Catania, we are focusing on capacity growth of 8-inch advanced BCD and 6-inch Silicon Carbide.

在卡塔尼亞，我們將重點放在8吋先進BCD和6吋碳化矽的產能成長。

And in Singapore, we will continue 8-inch capacity expansion for Power Discrete and BCD broadening our technology capability.

在新加坡，我們將繼續擴大 Power Discrete 和 BCD 的 8 吋產能，從而拓寬我們的技術能力。

In 12-inch assembly and testing, we will continue to invest to align our revenue growth and new products, particularly in Silicon Carbide as well as new product lines for automotive MCUs and advanced BCDs.

在 12 吋組裝和測試方面，我們將繼續投資，以協調我們的收入成長和新產品，特別是碳化矽以及汽車 MCU 和先進 BCD 的新產品線。

We will also accelerate the base of equipment modernization in our assembly and testing center.

我們也將加快裝配檢測中心的設備現代化建設。

With that, I would like to hand back over to Carlo.

說到這裡，我想把任務交還給卡洛。

Well, thank you to Jean-Marc.

嗯，謝謝讓-馬克。

Indeed, a very impressive package of new technologies so important for new products and future growth.

事實上，這是一套非常令人印象深刻的新技術，對於新產品和未來的成長非常重要。

So as we discussed, we have demonstrated exiting 2017 capability to grow revenues at accelerated pace and to significantly improve our operating profitability and net income.

正如我們所討論的，我們已經證明了 2017 年有能力加快收入成長，並顯著提高我們的營業利潤和淨利潤。

In 2018 our objective is simple and straightforward, to leverage our achievement and to continue to drive sustainable and profitable growth thanks to our continued product leadership.

2018 年，我們的目標簡單明了，即利用我們的成就，並憑藉我們持續的產品領先地位，繼續推動可持續和盈利的增長。

Just starting from Q1, we will be adding $400 million additional revenues compared to Q1 last year.

從第一季開始，我們的營收將比去年第一季增加 4 億美元。

The progress we made in 2017, a truly successful year for ST, materialized during the third year anniversary of the formation of the company.

2017年是ST真正成功的一年，我們所取得的進步在公司成立三週年之際得到了體現。

We are very happy to be able to celebrate this milestone with a much stronger ST with solid product leadership in IoT and Smart Driving, strong market position in distribution and with major accounts and a world-class team of engaged employees.

我們很高興能夠與更強大的意法半導體一起慶祝這一里程碑，該公司在物聯網和智慧駕駛領域擁有堅實的產品領導地位，在分銷領域擁有強大的市場地位，擁有大客戶以及世界一流的敬業員工團隊。

We are certainly very well set to continue to grow and to leverage this growth to bring additional improvement to our 2017 financial performance.

我們當然已經做好了繼續成長的準備，並利用這種成長來進一步改善我們 2017 年的財務表現。

My colleagues and I would now be very happy to answer your questions.

我和我的同事現在非常樂意回答您的問題。

Thank you.

謝謝。

(Operator Instructions) The first question is from David Mulholland from UBS.

（操作員說明）第一個問題來自瑞銀集團（UBS）的大衛·穆赫蘭（David Mulholland）。

Just one clarification.

只是一處澄清。

First of all, on the commentary you're giving on the second half on your growth expectations.

首先，關於您對下半年成長預期的評論。

Could you just clarify that, that is growth in absolute terms H2 versus H1 rather than a kind of year-on-year acceleration into the second half?

您能否澄清一下，這是下半年相對上半年的絕對成長，而不是下半年的年比加速？

And could you give us a bit of color on what is actually giving you confidence in the business and potentially by business area?

您能否向我們介紹一下是什麼真正讓您對業務充滿信心，並可能按業務領域劃分？

And what's giving you confidence into H2?

是什麼讓您對 H2 充滿信心？

And then the second question.

然後是第二個問題。

There's been a lot of volatility in currency rates recently and quite a few changes in ST's business mix.

最近匯率波動較大，ST的業務結構也發生了不少變化。

So can you just give us an update on what the sensitivity is at the kind of gross profit and operating profit level of the business to each change in the euro-dollar rate if we exclude the impact of hedging?

那麼，如果我們排除對沖的影響，您能否向我們介紹企業的毛利和營業利潤水平對歐元美元匯率每次變化的敏感性的最新情況？

Yes.

是的。

Well, I'll take the first one, the first part, and then Carlo will comment on the second one.

好吧，我會講第一部分，第一部分，然後卡洛會對第二部分發表評論。

Well, it's broad.

嗯，範圍很廣。

I think certainly, as I just said, if I take Q1 this year over Q1 last year, this is an addition of about $400 million of revenue.

我認為，正如我剛才所說，如果我將今年第一季與去年第一季相比，營收將增加約 4 億美元。

We want to keep going.

我們想繼續前進。

So certainly we plan to have an important growth H2 this year over H1 this year.

因此，我們當然計劃今年下半年比今年上半年實現重要成長。

But first, we planned for growth H2 this year over H2 last year.

但首先，我們計劃今年下半年比去年下半年成長。

And this is, of course, based on the visibility that we have today.

當然，這是基於我們今天的可見度。

The visibility today is of a strong automotive market.

今天的汽車市場可見一斑。

Last year, as we said, automotive overall for ST grew about 10%.

去年，正如我們所說，意法半導體的汽車業務整體成長了約 10%。

In Q4, our overall automotive business grew, Q4 over Q4, almost 18%, and we expect a very strong year in automotive.

第四季度，我們的整體汽車業務成長了，第四季較第四季度成長了近 18%，我們預計汽車業務將迎來非常強勁的一年。

We are targeting a growth this year in automotive that is certainly stronger than 10%, and this is across the company.

我們今年的目標是汽車業務的成長肯定超過 10%，而且是整個公司的成長。

It's not only in our ADG but also our MEMS for automotive, other products we mentioned before; for instance new things like LIDAR based on our imaging technologies, et cetera.

它不僅存在於我們的 ADG 中，還存在於我們的汽車 MEMS 以及我們之前提到的其他產品中；例如基於我們的成像技術的雷射雷達等新事物。

We have last year enjoyed a great distribution business.

去年我們的分銷業務非常出色。

Our stock turn last year increased.

去年我們的庫存週轉率增加。

Inventories are very low.

庫存非常低。

I think we had -- at the end of last year, we had an unprecedented level of stock turn.

我認為去年年底，我們的庫存週轉率達到了前所未有的水平。

I think with our product portfolio, we should have around 3 months of inventory and it's certainly below that with our distributors and we do not have any -- of course, with the visibility that we have today, any negative sign on our distribution business.

我認為，根據我們的產品組合，我們應該有大約3 個月的庫存，這肯定低於我們分銷商的庫存，而且我們沒有任何庫存——當然，以我們今天的可見度，我們的分銷業務有任何負面跡象。

We are particularly pleased about our microcontrollers.

我們對我們的微控制器特別滿意。

As we said, last year we sold more than 1 billion pieces of STM32.

正如我們所說，去年我們銷售了超過10億顆STM32。

This is great technology.

這是一項偉大的技術。

This is so many customers.

這是這麼多的客戶。

We had certainly more than 50,000 customers in microcontrollers.

我們確實擁有超過 50,000 個微控制器客戶。

It's very, very broad.

它非常非常廣泛。

And finally, it's projects -- a new project in wireless.

最後是專案——無線領域的新專案。

So this is, for us, of course, the important additions that this is also changing somehow the pattern of the quarterly sales.

因此，對我們來說，這當然是重要的補充，這也在某種程度上改變了季度銷售的模式。

As Carlo said before, we expect to see moving on in the future a different way quarter-by-quarter, with typically the second half that is significantly higher than the first half.

正如卡洛之前所說，我們預計未來每季都會以不同的方式發展，通常下半年的成長率明顯高於上半年。

So our visibility is based on this.

所以我們的可見度就是基於此。

Certainly not everything is perfect, but there are many things that are moving into the right direction.

當然，並非一切都是完美的，但有很多事情正在朝著正確的方向發展。

So Carlo?

那麼卡洛？

On your second question, David, I would first summarize the currency exposure and then offer you a rule of thumb to compute the rate sensitivity.

關於你的第二個問題，大衛，我將先總結貨幣風險，然後為你提供計算利率敏感度的經驗法則。

So our revenues are about 87% in U.S. dollar and about 13% in euro.

所以我們的收入大約 87% 是美元，大約 13% 是歐元。

Then when looking at the operating expense structure, the U.S. exposure has a little bit to reduce in favor of exposure to other currencies.

然後，在考慮營運費用結構時，美國的風險敞口略有減少，有利於其他貨幣的風險敞口。

So in cost, about 1/4 there of costs are based on the euro; about another 10% is based on other currency, and those are mostly Asian currencies; and 55% is in U.S. dollar.

所以在成本上，大約有1/4的成本是基於歐元的；另外約10%是基於其他貨幣，其中大部分是亞洲貨幣； 55%是美元。

In operating expenses, about 60% is still euro denominated, and the rest is a balance between U.S. dollar and other currencies.

營運費用中，約60%仍以歐元計價，其餘為美元與其他貨幣的平衡。

Then to the part on a rule of thumb on sensitivity, we estimated that 1 percentage point -- not 1 figure.

然後對於敏感度的經驗法則部分，我們估計是 1 個百分點——而不是 1 個數字。

1 percentage point of change in the exchange rate between the euro and the U.S. dollar translates into $6 million of operating income per quarter.

歐元兌美元匯率每變動 1 個百分點，每季營業收入將達到 600 萬美元。

As I would say, an approximate estimate.

正如我所說，一個大概的估計。

So just one very quick follow-up.

所以只有一個非常快速的後續行動。

On the commentary you gave on OpEx through 2018, you said around $600 million run rate.

在您對 2018 年營運支出的評論中，您提到營運費用約為 6 億美元。

Just given the currency sensitivity around that, what currency assumption have you used in the guidance?

鑑於貨幣敏感性，您在指南中使用了哪種貨幣假設？

$1.25...

1.25 美元...

Again, what we are referring today is where we were basically last Friday $1.225 before, of course, considering the effect of the hedge.

同樣，我們今天指的是上週五 1.225 美元的價格，當然，考慮到對沖的影響。

The next question is from Janardan Menon from Liberum.

下一個問題來自 Liberum 的 Janardan Menon。

Just going back to the strength that you're seeing in the second half versus the first half, if you can compare that with last year, how does your visibility stack up because you were pretty bullish about the second half around the same time last year as well and last year you did about 23% growth second half versus first half?

回到你在下半年和上半年看到的實力，如果你可以將其與去年進行比較，你的可見度如何疊加，因為你在去年同一時間對下半年非常樂觀去年下半年與上半年相比，你們的成長率約為23%？

I was just wondering can we expect that kind of seasonality because of what's happening in the wireless business or will it be lower than that this year for various reasons?

我只是想知道，我們是否會因為無線業務的情況而預期出現這種季節性，或者由於各種原因，這種季節性會低於今年？

Listen we -- of course, we do not give guidance for the second part.

聽著，我們——當然，我們不會為第二部分提供指導。

I think the way that I see is, first of all, our market is good.

我認為我的看法是，首先，我們的市場很好。

So in Q4 year-over-year, we grew almost 18% in the automotive business and this year overall we grew 10% and we expect that in 2018 our growth will be more than 10%.

因此，在第四季度，我們的汽車業務年增了近 18%，今年整體成長了 10%，我們預計 2018 年我們的成長將超過 10%。

So this is the first data point and in the automotive, the visibility is longer term.

所以這是第一個數據點，在汽車領域，可見度是長期的。

We have better visibility.

我們有更好的能見度。

So then there is a second element to that I would like to give to you as a better point.

那麼我想向您提供第二個要素作為更好的觀點。

There are certain projects that last year they were more concentrated in 6 months while, of course, this year we will enjoy them on 12 months because they started -- they started mid last year.

有些項目去年更集中在 6 個月內，當然，今年我們將在 12 個月內享受它們，因為它們是從去年年中開始的。

Then a third data point, we also have new projects with big customers.

然後第三個數據點，我們還有大客戶的新專案。

And now, of course, if you take the smartphone, we have three blocks of technology.

當然，現在如果你使用智慧型手機，我們擁有三大科技模組。

We are not in the digital part in the smartphone and we will not be in the digital part of the smartphone, but we have three blocks of technology.

我們不參與智慧型手機的數位部分，也不會參與智慧型手機的數位部分，但我們擁有三個技術模組。

One is sensors, the other one is security, the third one is power management.

一是感測器，二是安全，三是電源管理。

And we are working on all these three blocks, and of course, we also have new projects that are important for the year.

我們正在所有這三個方面開展工作，當然，我們還有今年重要的新項目。

Finally, there is distribution in mass market.

最後是大眾市場的分銷。

Of course, clearly we are living in a moment where the demand is very, very strong and we know that we will not live in a super cycle forever.

當然，顯然我們生活在一個需求非常非常強勁的時代，我們知道我們不會永遠生活在超級週期中。

However, we are encouraged by two things.

然而，有兩件事令我們感到鼓舞。

First, that we are very sticky with our microcontrollers.

首先，我們對微控制器非常執著。

We have 1 billion pieces of the STM32.

我們有10億顆STM32。

This is penetrating in many, many applications around the world and I think it's really a solid presence in the mass market.

這正在滲透到世界各地的許多應用中，我認為它在大眾市場上確實佔有一席之地。

Let's face it, we want -- if you exclude memories and deep processor we are not in, we want to be #2 in the world in this market and I think we can be #2 in the world.

讓我們面對現實吧，我們希望——如果排除我們不涉及的記憶體和深度處理器，我們希望在這個市場上成為世界第二，而且我認為我們可以成為世界第二。

We are getting there.

我們正在實現目標。

And the other encouragement point here is the inventory turns.

另一個令人鼓舞的點是庫存週轉率。

As I said before, the inventory turn is -- at the end of last year is higher than what we had at the end of 2016, but we do not have the crystal ball and we know that particularly in this area some correction in the cycle may come.

正如我之前所說，去年年底的庫存週轉率高於 2016 年底的庫存週轉率，但我們沒有水晶球，我們知道，特別是在這個領域，週期會出現一些修正可能會來。

But based on all of this, I think we expect another interesting and good year of growth for the company.

但基於所有這些，我認為我們預計公司將迎來另一個有趣且良好的成長年。

Can I just ask a small clarification on that from another angle, which is you said your automotive business will be growing faster than the 10% you grew last year?

我能從另一個角度稍微澄清一下嗎？

In your businesses, which division do you think will clearly grow slower than last year or will all your businesses grow roughly at the same rate or faster?

在您的企業中，您認為哪個部門的成長速度將明顯慢於去年，或者您的所有業務的成長速度大致相同或更快？

In the automotive or in general?

在汽車領域還是一般領域？

In general across the company.

整個公司普遍如此。

In general.

一般來說。

So maybe, Carlo, you have the data in front of you, why don't you comment?

所以也許，卡洛，你面前有數據，為什麼不發表評論呢？

Again it's early I believe to share another -- they are expected to phase by segment across all the different groups.

我相信現在分享另一個還為時過早——預計他們將在所有不同的群體中分階段進行。

Certainly, we have to consider that in digital we are still progressing on the phaseout of legacy products from the set-top box business and maybe today taking to your question perhaps digital will be the less growing of the other 7 -- the overall 7 subgroups.

當然，我們必須考慮到，在數位領域，我們仍在逐步淘汰機上盒業務中的遺留產品，也許今天回答您的問題，也許數位領域將是其他7 個領域（總體7 個子組）中增長較慢的一個。

This is digital within the MDG business?

這是 MDG 業務中的數位化嗎？

This is digital in the MDG.

這在千禧年發展目標中是數位化的。

Today, frankly what we see is another year of good growth across the board towards the part digital where we have phased products that is out.

今天，坦白說，我們看到的是另一年全面地向數位化方向良好成長，我們已經逐步淘汰了產品。

We still have some other products that we don't support any longer that are going down.

我們還有一些不再支援的其他產品正在下降。

But in general, we see the opportunity for another year of growth across the board both from the products point of view, but also from the geography point of view.

但總的來說，我們從產品的角度和地理的角度都看到了另一年全面成長的機會。

And for us it's very important to make sure that yes, key customer major programs, we are vital, crucial; but our distribution and mass market presence is also crucial and we want to keep growing.

對我們來說，確保關鍵客戶的主要項目至關重要，這一點非常重要；但我們的分銷和大眾市場影響力也至關重要，我們希望繼續成長。

The next question is from Adithya Metuku from Bank of America.

下一個問題來自美國銀行的 Adithya Metuku。

I just had a quick question on wafer pricing.

我剛剛有一個關於晶圓定價的快速問題。

We've been hearing a lot from the likes of TSMC on that and about the impact on margins.

我們已經從台積電等公司聽到了很多關於此事及其對利潤率的影響的聲音。

So could you give us some color on how you expect to see the impact from wafer pricing increases on your gross margins in 2018?

那麼您能否告訴我們您預期晶圓價格上漲對 2018 年毛利率的影響如何？

Yes, indeed there are certainly some price increase particularly on the 8-inch diameters.

是的，確實確實有一些價格上漲，尤其是 8 英寸直徑的價格。

You need also to consider that again the price increase on this material already start mid of last year so some of in effect is already in our cost of goods sold in the fourth quarter.

您還需要再次考慮到，這種材料的價格上漲已經從去年中期開始，因此其中一些實際上已經計入我們第四季度銷售的商品成本中。

Then overall, we may expect some further negative impact in the course of 2018.

總體而言，我們預計 2018 年會出現進一步的負面影響。

Nevertheless, our global procurement campaign is anticipated to continue to generate overall savings on materials and services included also for the year 2018, including the already defined and the fixed prices for silicon substrate.

儘管如此，我們的全球採購活動預計將繼續在 2018 年的材料和服務方面產生整體節省，包括矽基板的定義和固定價格。

So, do you think your gross margins can go up in 2018 despite the wafer price increases?

那麼，儘管晶圓價格上漲，您認為2018年你們的毛利率還能上升嗎？

We are not here to guide on the 2018 gross margins, but generally again there are really a number of factors of ingredients from the product innovation to the product pricing to the manufacturing efficiencies to the overall advantage on scaling up the fabs plus the overall cost of manufacturing materials and we have not considered the silicon substrate pricing as one of the major ingredient affecting our gross margin dynamic next year.

我們並不是來指導 2018 年的毛利率，但總的來說，確實有很多因素，從產品創新到產品定價，從製造效率到擴大晶圓廠的整體優勢，再加上總體成本。我們尚未將矽基板定價視為影響我們明年毛利率動態的主要因素之一。

The next question is from Jerome Ramel from Exane BNP Paribas.

下一個問題來自法國巴黎銀行的 Jerome Ramel。

Best of luck for Carlo and Carlo and congratulation to Jean-Marc.

祝卡洛和卡洛好運，並祝賀讓-馬克。

First question concerning gross margin, actually I'm surprised by the resilience of the gross margin in Q1 because revenues is down, you guided for down 10% sequentially.

關於毛利率的第一個問題，實際上我對第一季毛利率的彈性感到驚訝，因為收入下降了，您預計將季減 10%。

So I just wanted to understand what is offsetting this volume decline you are seeing in Q1 for the gross margin?

所以我只是想了解是什麼抵消了第一季毛利率的銷售下降？

Is it better mix, is it better pricing?

是否有更好的組合，是否有更好的定價？

I just like to understand how resilient it has been.

我只是想了解它的彈性如何。

Carlo, please.

卡羅，請。

Jerome, I think your question again trying to drive on the evolution of gross margin from the 40.6% reported last quarter and 39.5% anticipated as midpoint for the current quarter.

傑羅姆，我認為你的問題再次試圖推動毛利率的演變，從上季報告的 40.6% 到本季預期中點的 39.5%。

Then we started to see some of the currency impact.

然後我們開始看到一些貨幣影響。

There are about a 30 basis point of currency impact.

貨幣影響大約有30個基點。

And then the other 80 basis point is a combination of sales price and you know that the Q1 is particular for the same applications and customers as we enter into the yearly new price for the full year.

然後另一個 80 個基點是銷售價格的組合，您知道，當我們進入全年的年度新價格時，第一季是特定於相同的應用程式和客戶的。

So Q1 normally is heavier than the second half of the year in this respect.

因此，在這方面，第一季通常比下半年更重要。

And then overall again we continue to generate efficiencies for the fab, but some of the seasonality effects of some of our -- in some of our applications, particularly in assembling is generating some negative on the overall efficiency of one assembly line.

總體而言，我們繼續提高晶圓廠的效率，但在我們的一些應用中，特別是在組裝方面，一些季節性影響對一條裝配線的整體效率產生了一些負面影響。

And maybe as a follow-up.

也許作為後續行動。

What do you think will be the biggest challenge for STMicro in 2018?

您認為2018年STMicro面臨的最大挑戰是什麼？

The biggest challenge.

最大的挑戰。

Well, the biggest challenge we still have many ramp-ups to do.

好吧，最大的挑戰是我們仍然有許多工作要做。

We have opportunities for new programs, for new products.

我們有機會開發新項目、新產品。

Some of the things you guys know, some of the things you guys don't know.

有些事你們知道，有些事你們不知道。

There are still challenges in terms of ramping up new technologies internally, ramping up new technologies outside.

在內部推廣新技術、外部推廣新技術方面仍存在挑戰。

There is a big effort with our silicon foundry partners.

我們的矽代工夥伴付出了巨大的努力。

So these ramp-ups, we are getting used to it.

所以這些提升，我們已經習慣了。

We had a major ramp-up in Q4 -- Q3/Q4 2016 and we had really 2 major ramp-ups last year in the second half, in fact 2 important fabs for the company.

我們在 2016 年第 4 季（即第 3 季/第 4 季）進行了重大產能擴張，去年下半年我們確實進行了 2 次重大產能擴張，實際上是公司的 2 個重要晶圓廠。

We are not -- there are more opportunities to ramp up which is good, of course.

我們沒有──當然，有更多的提昇機會，這是好事。

This is, of course, on different technologies.

當然，這是基於不同的技術。

It is not always the same fabs, the same technologies.

並不總是相同的晶圓廠、相同的技術。

So, these ramp-ups we must execute and we must make sure that this is properly done and this is certainly a challenge.

因此，我們必須執行這些升級，並且必須確保正確完成，這無疑是一個挑戰。

Another area that I would like to mention, of course, but it's been already touched is the euro-dollar.

當然，我想提的另一個領域是歐元，但它已經被觸及了。

This is not helping ST.

這對ST沒有幫助。

I think we are becoming more resilient.

我認為我們變得更有彈性。

Carlo was mentioning how much of our manufacturing cost now is euro denominated.

卡洛提到我們現在有多少製造成本是以歐元計價的。

We are becoming more resilient, but this is certainly not helping.

我們正在變得更有彈性，但這肯定沒有幫助。

Then what I said before, of course, we will be very pleased to see this strong pattern of business coming from distribution and mass market and the proliferation of the STM32 and building around the STM32; maybe the market may correct here, but it is not what we see today.

那麼我之前說過，當然，我們會很高興看到這種來自分銷和大眾市場的強大業務模式以及 STM32 的擴散和圍繞 STM32 的構建；也許市場可能會在這裡修正，但這不是我們今天看到的。

This is another potential concern.

這是另一個潛在的問題。

I think we will remain visible, for sure.

我認為我們肯定會保持可見性。

I mean we will be very attentive with CapEx, with expenses; but I would say a number of ramp-ups important, of course, also this year of new things, the euro-dollar rate, making sure that the STM32 is very, very, very sticky with all these 500,000 customers and that we could yield more around the STM32 with other products.

我的意思是，我們將非常關注資本支出和費用；但我想說，當然，還有一些重要的提升，今年的新事物，歐元美元匯率，確保 STM32 對所有這 500,000 名客戶非常、非常、非常有粘性，並且我們可以產生收益更多圍繞STM32與其他產品。

So these are the things.

這些就是事情。

The next question is from Stephane Houri from Natixis.

下一個問題來自 Natixis 的 Stephane Houri。

So I have a question around the CapEx and I would like to understand a little bit more if this CapEx you are announcing for this year is related to 1 specific project and if you can give us some information about the capacity of coal to where you want to take it?

因此，我有一個關於資本支出的問題，我想更多地了解一下您今年宣布的資本支出是否與 1 個特定項目相關，以及您是否可以向我們提供一些有關您想要的煤炭產能的信息拿走它？

And the follow-up is a little bit related.

而且後續有點相關。

I'd like to understand a little bit more the seasonality now of ST sales during the year now that the exposure to mobile I would say has increased again.

我想更多地了解 ST 在這一年中銷售的季節性，因為我想說的是，行動裝置的曝光度再次增加。

So the minus 10% is on a strong basis, of course.

因此，負 10% 當然是有堅實基礎的。

But what is the normal seasonality for ST now?

但現在ST的正常季節性是多少呢？

Well, I would say yes, 10% is, of course, also starting from a level of revenues that frankly we did not expect.

嗯，我想說是的，10% 當然也是從我們沒有預料到的收入水準開始的。

When we started Q4, we did not expect to end up with $2.466 billion.

當我們開始第四季時，我們並沒有預期最終會達到 24.66 億美元。

This is what -- I mean for us this was really unexpected.

這就是——我的意思是對我們來說這確實是出乎意料的。

I believe that the best way for you to look at this -- I think in ST there is new opportunities for us.

我相信你看待這個問題的最佳方式是——我認為 ST 為我們帶來了新的機會。

We keep going with this project for a number of years because a very complex project.

這個計畫我們持續進行了很多年，因為這是一個非常複雜的計畫。

We believe we are innovating a lot so it is important for us to keep going for a number of years -- a number of generations.

我們相信我們正在進行大量創新，因此對我們來說持續多年（幾代）非常重要。

And to study the seasonality of our wireless business, I think you need to look at, of course, our major customers in Korea, in China, in United States and look at the space of smartphones quarter-by-quarter.

為了研究我們無線業務的季節性，我認為你當然需要看看我們在韓國、中國、美國的主要客戶，並逐季度看看智慧型手機的空間。

There is certainly a next generation in the second half of the year.

下半年一定會有下一代。

And I would say that considering the very, very strong Q4, 10% is possibly on a little bit of the high end if we look at the future because we really start from a [84] that is very, very high.

我想說，考慮到非常非常強勁的第四季度，如果我們展望未來，10% 可能有點高端，因為我們實際上是從非常非常高的 [84] 開始的。

However, I think this year automotive and industrial and distribution are certainly better.

不過，我認為今年汽車、工業和分銷領域肯定會更好。

In practice, we are eating up completely the negative effect of the Chinese New Year and I do not believe that this is sustainable in the future.

實際上，我們正​​在完全消化農曆新年的負面影響，我不認為這種情況在未來是可持續的。

But the drop in wireless is material and I believe is also related to a fairly very strong Q4 frankly.

但無線業務的下降是重大的，坦白說，我相信也與相當強勁的第四季有關。

But overall I think maybe little bit on the high end if we project in the future even if, of course, we just started.

但總的來說，我認為如果我們在未來進行規劃，即使我們剛開始，也可能會有點高端。

It's not that simple, but I try to give you few points; the fact that this year the Chinese New Year basically we don't see it, but on the other hand pretty strong decline on wireless.

事情沒那麼簡單，但我試著給你幾點；事實上，今年農曆新年我們基本上看不到它，但另一方面無線業務的下降相當強勁。

So the other question was for Jean-Marc, I think, on CapEx.

我認為另一個問題是關於讓-馬克的資本支出。

So CapEx, I would like to repeat the 2 points.

所以資本支出，我想重複兩點。

First, in spontaneity I see for basically slow growth.

首先，我認為成長基本上是自發性的。

The first block of CapEx is to continue to invest our capacity in advanced BCD in Agrate and in Catania and again this puts also in perspective what we are doing with foundry.

資本支出的第一個部分是繼續投資我們在阿格拉特和卡塔尼亞的先進 BCD 產能，這也讓我們重新審視我們在代工廠所做的事情。

I mentioned in my speech that we are qualifying this kind of technology in the foundry partner.

我在演講中提到，我們正在對代工合作夥伴進行這種技術的鑑定。

So this is the first block to see probably growth on advanced BCD.

因此，這是第一個在高級 BCD 上可能出現成長的區塊。

The second block, of course is Power Discrete so in Catania and in Singapore you see probably growth and especially the Silicon Carbide.

當然，第二個區塊是離散功率，因此在卡塔尼亞和新加坡您可能會看到成長，尤其是碳化矽。

The third block is Crolles so Crolles is a wafer fab in 12-inch which supports basically 3 big block of business; automotive, microcontroller, secure and general purpose and the specialized imaging console.

第三個區塊是Crolles，所以Crolles是一家12吋晶圓廠，基本上支援3大區塊的業務；汽車、微控制器、安全性和通用性以及專用成像控制台。

So here, we have again to support primarily according to the demand to grow within the current footprint.

因此，在這裡，我們再次主要根據在當前足跡內成長的需求來提供支援。

And again, please put it in perspective with the fact that we have intense and stronger technology transfer and activities in foundry especially to support the Microcontrollers business.

再次，請正確看待這一事實，即我們在代工方面擁有密集且更強大的技術轉移和活動，特別是為了支持微控制器業務。

So this is the 3 main block in Crolles.

這是克羅爾的 3 個主要街區。

On top of that I said that we are preparing the 12-inch pilot line in Agrate.

除此之外，我說過我們正在阿格拉特準備12吋的中試線。

Then in what we call assembly, test and electrical wafer fab foundry, here clearly this is support our goals, particularly in the Silicon Carbide as well as new products for automotive MCUs and advanced BCD.

然後，在我們所說的組裝、測試和電氣晶圓代工廠中，這顯然支持我們的目標，特別是在碳化矽以及汽車 MCU 和先進 BCD 的新產品方面。

So this is let's say consistent with the capacity growth we are internally of the wafer fab as described and the capacity increase we are assembling up there.

因此，這可以說與我們所描述的晶圓廠內部產能成長以及我們在那裡組裝的產能成長一致。

So basically, this is the profile of our CapEx between $1.1 billion again, which is necessarily to support our growth of CapEX for this year.

基本上，這就是我們的資本支出概況，再次在 11 億美元之間，這必然支持我們今年資本支出的成長。

The next question is from Andrew Gardiner from Barclays.

下一個問題來自巴克萊銀行的安德魯·加德納。

My first one was sort of related to the first quarter guidance and some of the comments you've been making about demand generally.

我的第一個與第一季的指導以及您對需求的一些評論有關。

Clearly, there are some worries out there in the financial markets about the state of the cycle.

顯然，金融市場對週期狀況有些擔憂。

Can I take it from the comments you've made that you haven't seen any real cuts in orders or changes to customer demand in any area so far this year?

從您的評論中我是否可以看出，今年到目前為止，您還沒有看到任何領域的訂單出現任何真正的削減或客戶需求的變化？

No.

不。

We know that.

我們知道這一點。

I do not believe in a super-cycle, but frankly, we never had outstanding distribution in any of the years with the stock turn so high that we had this year.

我不相信超級週期，但坦白說，我們在任何年份都沒有出現過出色的分配，而且股票週轉率像今年這樣高。

So I think this is a good start.

所以我認為這是一個好的開始。

The distribution if you ask in Q4 was at the very high level as Q3 with a significant growth compared to 1 year ago.

如果你問，第四季的分佈與第三季一樣處於非常高的水平，與一年前相比有顯著成長。

The inventory are low, I believe are too low for us.

庫存很低，我相信對我們來說太低了。

Of course, this does not mean that we not change forever.

當然，這並不意味著我們永遠不會改變。

My opinion is that one day there will be some correction, but we don't see that -- we don't see.

我的觀點是，有一天將會出現一些修正，但我們沒有看到這一點——我們沒有看到。

And on the other hand, what we see now in the market is an acceleration of the growth, this is for sure.

另一方面，我們現在在市場上看到的是成長的加速，這是肯定的。

We see a stronger growth in automotive across the board.

我們看到汽車產業全面強勁成長。

It is power technology, it is smart power technologies, it is digital technologies.

它是電力技術，它是智慧電力技術，它是數位技術。

So I -- and then on projects, there are seasonalities, of course, there are new models, et cetera.

所以我——然後在項目上，有季節性，當然，有新模型等等。

But this is the pattern that we see today.

但這就是我們今天看到的模式。

So now we do not see any negative sign coming from distribution, mass market, from automotive and we believe smartphone you see, of course, most likely growth and more projects phase.

因此，現在我們沒有看到來自分銷、大眾市場和汽車的任何負面跡象，我們相信您看到的智慧型手機當然最有可能出現成長和更多專案階段。

Okay.

好的。

Just another one on some of those specific projects.

這只是關於其中一些具體項目的另一項。

There's lots of interesting things happening within imaging, some of that has been dedicated to one customer in particular.

成像領域發生了很多有趣的事情，其中​​一些是專門針對一位客戶的。

I'm just wondering whether you're now seeing interest from some of the other OEMs to try and catch up and potentially use differentiated technology that you have in this area?

我只是想知道您現在是否看到其他一些原始設備製造商有興趣嘗試追趕並可能使用您在該領域擁有的差異化技術？

Any comment on how you see the rest of the space?

您對其餘空間有何看法？

Listen, I think it's for us very difficult to talk about specific customers, and certainly, there is a great interest in automotive.

聽著，我認為我們很難談論特定的客戶，當然，人們對汽車非常感興趣。

I believe that with our imaging technology we can certainly contribute to the new wave of autonomous driving, the LIDAR, the Flicker free sensors.

我相信，憑藉我們的成像技術，我們一定能為自動駕駛、光達、無閃爍感測器的新浪潮做出貢獻。

For us, it is important and rather than talking project for smartphone customers because we cannot talk about project for smartphone customers.

對我們來說，這比談論智慧型手機客戶的專案更重要，因為我們不能談論智慧型手機客戶的專案。

There are a limited number of leaders in the smartphone customers.

智慧型手機客戶中的領導者數量有限。

There is a great leader in the U.S., there is leadership position in Korea, in China, but they are not many.

美國有一位偉大的領導人，韓國、中國有領導地位，但他們不多。

So I think that automotive -- I am sure it is an important opportunity for all our sensors.

所以我認為汽車——我相信這對我們所有的感測器來說都是一個重要的機會。

Last year in MEMS we grew in automotive, industrial, but it is more automotive 60% as we said before.

去年，我們在 MEMS 領域實現了汽車、工業領域的成長，但正如我們之前所說，更多的是汽車領域的 60%。

There is a big space to grow.

有很大的成長空間。

I believe for the next 10 years, we see imaging becoming more and more important in the automotive and we want to be there and I think we can be there with our technologies.

我相信在未來 10 年裡，我們會看到成像在汽車領域變得越來越重要，我們希望實現這一目標，我認為我們可以憑藉我們的技術實現這一目標。

The next question is from Amit Harchandani from Citigroup.

下一個問題來自花旗集團的 Amit Harchandani。

Amit Harchandani from Citi.

來自花旗銀行的阿米特·哈昌達尼 (Amit Harchandani)。

Firstly, with respect to I guess the current demand cycle, if I could just ask a question slightly differently.

首先，關於我對當前需求週期的猜測，我是否可以稍微不同地提出一個問題。

At Q3 you talked about your lead time which was still stretching and I just wanted an update on the same whether in Q4 they are still stretching or have they at least stabilized even at a high level and do you anticipate your lead times to come back to normal based on the CapEx plans by the end of this year?

在第三季度，您談到了您的交貨時間仍在延長，我只是想更新相同的情況，無論在第四季度，它們是否仍在延長，或者至少穩定在高水平，您預計您的交貨時間會回到根據今年底的資本支出計畫是否正常？

That would be my first question.

這是我的第一個問題。

My second question is with respect to the industrial end market.

我的第二個問題是關於工業終端市場的。

We have talked a bit about automotive and wireless, but I was very keen to understand what kind of visibility do you have in the industrial space?

我們已經討論了一些關於汽車和無線的問題，但我非常想了解您在工業領域擁有什麼樣的知名度？

Is it more short cycle and how sustainable do you think that is likely to be going into the second half of the year?

週期是否更短？

Amit, maybe I start from the investor market and well, Carlo will talk more what we see in the supply chain.

阿米特，也許我從投資者市場開始，卡洛會更多地談論我們在供應鏈中看到的情況。

But we have so many families that's basic and there is no doubt and yes, we want to go back to a more normal.

但我們有很多家庭，這是基本的，毫無疑問，是的，我們想回到更正常的狀態。

But I would talk few -- I would say a few words on investor.

但我不會多談——我會就投資人說幾句話。

For us first of all, the definition of investor is many things, but certainly the biggest -- the biggest area of interest for us is the smart things.

首先，對我們來說，投資者的定義有很多，但肯定是最大的——我們最感興趣的領域是智慧事物。

So it's the digitalization of the manufacturing line, industry process here in Europe or whatever name in the other countries.

因此，這就是歐洲的生產線、工業流程或其他國家的任何名稱的數位化。

Here we have an important portfolio of products and we are really working to contribute and we can do this, of course, with leaders, for instance the leaders in fact for the automation, but we can also contribute working with the final customers particularly in the mass market.

在這裡，我們擁有重要的產品組合，我們確實在努力做出貢獻，當然，我們可以與領導者一起做到這一點，例如事實上的自動化領導者，但我們也可以與最終客戶合作，特別是在大眾市場。

The key products for us are very much around our microcontrollers.

我們的關鍵產品很大程度上圍繞著我們的微控制器。

At the end of this year, we will introduce also a microprocessor for industrial.

今年底，我們還將推出工業用微處理器。

This is still based on ARM so it is really targeting industrial applications.

它仍然基於ARM，因此它真正針對的是工業應用。

But in general what we have with our microcontrollers is very critical.

但總的來說，我們的微控制器擁有的東西非常關鍵。

Another area that is very much associated with microcontrollers is connectivity.

與微控制器密切相關的另一個領域是連接性。

In this kind of applications there is a must to be connected.

在此類應用中，必須進行連接。

If you want to control a number of smart sensors on an industrial line, these sensors must be connected and this connection is wireless.

如果要控制工業生產線上的多個智慧感測器，則必須連接這些感測器，並且這種連接是無線的。

You cannot conceive models where you upgrade a manufacturing line and it is through a wired application, it's wireless.

您無法想像透過有線應用程式升級生產線的模型，它是無線的。

So wireless connectivity is crucial, security is crucial.

所以無線連線至關重要，安全性也至關重要。

Fourth, some form of artificial intelligence into the microcontroller to make the sensor really smarter and somehow independent so distributed artificial intelligence.

第四，將某種形式的人工智慧引入微控制器，使感測器真正變得更智能，並以某種方式獨立，從而實現分散式人工智慧。

So, this is a big block of the things that we are doing.

所以，這是我們正在做的事情的一大塊。

And then, of course, there is all the other domains for us that is smart power and for these applications, impact to the automation and industrial is really motion control.

當然，對我們來說，還有所有其他領域，即智慧電力，對於這些應用來說，對自動化和工業的影響實際上是運動控制。

60% of the energy that is consumed by a typical manufacturing line is on parts that are moving so it's motion control.

典型生產線 60% 的能源消耗在移動部件上，因此需要運動控制。

So energy saving, better solution, a smarter solution for motion control.

所以節能，更好的解決方案，更聰明的運動控制解決方案。

Again more distributed solutions with a simplification of the cabling, putting electronics directly into the model, all of these things.

同樣，更多的分散式解決方案簡化了佈線，將電子設備直接放入模型中，所有這些都是如此。

And here is really our BCD, the Silicon Carbide, all these kinds of products.

這實際上是我們的 BCD、碳化矽以及所有這些類型的產品。

So we are working on the angle of the control.

所以我們正在研究控制的角度。

We are not in the main processor.

我們不在主處理器中。

We have a specific product like the IO-Links that are crucial to connect all the sensors.

我們擁有像 IO-Links 這樣的特定產品，它對於連接所有感測器至關重要。

But the big blocks are really the sensing, the smart sensing, the microcontrollers, the connectivity, the security, the distributed artificial intelligence on one part and everything that is power, not power, motion control on the other part.

但大塊其實是感測、智慧感測、微控制器、連接性、安全性、分散式人工智慧，而另一部分則是動力而非動力、運動控制。

For us, it is very important.

對我們來說，這非常重要。

We want to push this.

我們想推動這一點。

We have a lot of technology here.

我們這裡有很多技術。

It is a fundamental area for Europe and we certainly want to push this.

這是歐洲的一個基本領域，我們當然希望推動這一領域。

So just so that I could -- I believe (inaudible) something.

這樣我就可以──我相信（聽不清楚）某件事。

Your other question was on lead times and here Carlo said it, demand remains very strong across almost all applications.

你的另一個問題是關於交貨時間，卡洛在這裡說，幾乎所有應用程式的需求仍然非常強勁。

Again the lead time remains a pressure across all of the semiconductor supply chain, it's not only for us and it's not only for our own set of operations in the chain.

同樣，交貨時間仍然是整個半導體供應鏈的壓力，這不僅對我們而言，也不僅對我們自己的供應鏈中的一系列業務而言。

We have invested.

我們已經投資了。

The investments are translating very effectively on increasing capacity, but also demand is increasing.

這些投資非常有效地轉化為產能的增加，但需求也在增加。

So we are in a catching-up phase where I have to say that certainly in the fourth quarter we have made progress in servicing the customers.

因此，我們正處於追趕階段，我不得不說，在第四季度，我們在為客戶提供服務方面確實取得了進展。

But again the priority remains the service for us and overall lead times remain stretched.

但我們的首要任務仍然是服務，整體交貨時間仍然很長。

We have not totally catching up yet and this is also the reason why as Jean-Marc has said that we have a plan of capital expenditure for 2018, which is aimed at balanced supply and demand.

我們還沒有完全追上，這也是為什麼正如Jean-Marc所說，我們有一個2018年資本支出計劃，旨在平衡供需。

I was just trying to get a clarification on the earlier answer.

我只是想澄清之前的答案。

To what extent was the -- all the industrial factors you talked about, to what extent is the demand according to your cyclical versus secular what you're seeing right now?

您談到的所有工業因素在多大程度上，根據您現在所看到的周期性與長期需求，需求在多大程度上？

Secular demand.

世俗需求。

Secular demand for industrials.

工業的長期需求。

I think certainly it's a great news for us, this one because this is what I said.

我認為這對我們來說當然是一個好消息，因為這就是我所說的。

The digitalization of the manufacturing line, the quarter evolution, I believe this is robotics for instance.

生產線的數位化，季度的演變，我相信這就是機器人技術的例子。

We had a demo of a robot in Las Vegas and it was our robot.

我們在拉斯維加斯進行了機器人演示，這就是我們的機器人。

I think if I remember well, there were in this robot 32 different products from ST, right?

我想如果我沒記錯的話，這個機器人裡面有32種不同的ST產品，對吧？

So 32 different products.

所以有 32 種不同的產品。

And take for instance collaborative robotics, here is more and more products.

以協作機器人為例，產品越來越多。

Certainly, this is a long-term plan and it's good that we have so many products for robotics and is going through the technologies that I was describing, but this is a very good example.

當然，這是一個長期計劃，我們擁有如此多的機器人產品，並且正在研究我所描述的技術，這是一件好事，但這是一個非常好的例子。

We build up our own robot as a demo for -- of the customer's specificity with our demo room in Las Vegas at the CES and in this robot there are 32 different components from ST.

我們在拉斯維加斯 CES 的演示室中建立了自己的機器人作為客戶特殊性的演示，在這個機器人中，有 32 個來自 ST 的不同組件。

Certainly a good opportunity.

當然是個好機會。

We've got about 5 more minutes so if the remaining analysts can just ask 1 brief question, we'd appreciate that.

我們還有大約 5 分鐘的時間，所以如果剩下的分析師可以問 1 個簡短的問題，我們將不勝感激。

So we'll move to the next question, please.

那麼我們將進入下一個問題。

The next question is from Quang Le from Credit Suisse.

下一個問題來自瑞士信貸銀行的 Quang Le。

It's Achal Sultania from Credit Suisse.

我是瑞士信貸銀行的阿查爾蘇塔尼亞 (Achal Sultania)。

So just one question on the margin for Carlo.

所以對卡洛來說，只有一個問題。

Carlo, we've already seen your margins go up to 17% on the EBIT side this quarter and you obviously mentioned couple of headwinds like FX and wafer prices.

卡洛，我們已經看到本季你們的息稅前利潤方面上升了 17%，而且你們顯然提到了外匯和晶圓價格等一些不利因素。

Can we talk about what are the positives from here because it seems like some of the manufacturing efficiencies you're already operating at 100% level?

我們能否談談這裡有哪些正面因素，因為您的某些製造效率似乎已經達到 100% 的水平？

So how can -- what are the positive drivers from here on?

那麼，從現在開始，積極的驅動因素是什麼？

Is it just mainly product mix or is there something else we can think off?

主要是產品組合還是我們可以考慮其他什麼？

Well, last year we did U.S. GAAP operating income of 11.9%.

嗯，去年我們的美國 GAAP 營業收入為 11.9%。

This was in 2017 overall.

這是 2017 年的總體情況。

Carlo, why don't you go through the drivers?

卡洛，為什麼不檢查一下司機呢？

There are drivers.

有司機。

Last year was an exceptional year in terms of leverage, 57% of the additional revenues fell down into the operating margin.

就槓桿率而言，去年是非同尋常的一年，額外收入的 57% 落入了營業利潤率。

I believe that this is not sustainable, but certainly, we are working to guarantee another step in terms of leverage and I think, Carlo, if you want to comment here.

我認為這是不可持續的，但當然，我們正在努力保證在槓桿方面又邁出一步，我想，卡洛，如果你想在這裡發表評論的話。

Maybe I may refer again to the drivers I was referring earlier that have significantly boosted margin in the course of 2017 and we referred to the 2017 operating margin level.

也許我可以再次提及我之前提到的在 2017 年期間顯著提高利潤率的驅動因素，我們提到了 2017 年的營業利潤率水準。

Certainly, the opportunity of leveraging on higher sales will continue to be a very significant booster and driver for margin.

當然，利用更高銷售額的機會將繼續成為利潤率的非常重要的推動者和驅動力。

On alluding to the fact there is frankly very little now, not to say nothing being recovered.

坦白說，現在已經很少了，更不用說沒有恢復任何東西了。

However, the other point, which is the continued improvement of manufacturing cost thanks to technology, thanks to scale, thanks to the hundreds of initiatives and actions that as we talk we are running in our fabs remains an important also driver of improvement.

然而，另一點是，由於技術、規模、正如我們所說的，我們在工廠中運作的數百項舉措和行動，製造成本的持續改善仍然是改進的重要驅動力。

And then you have noted that in the last quarter our product mix has been significantly able to offset or significantly offset the pricing trends.

然後您注意到，在上個季度，我們的產品組合已經能夠顯著抵銷或顯著抵銷定價趨勢。

So, product innovation also remain very well.

所以說，產品創新也保持得很好。

It is a fair point that Carlo highlighted that we need to consider for 2018 the headwinds back from the current.

卡洛強調，我們需要考慮 2018 年當前的逆風，這是一個公平的觀點。

Carlo, just one clarification.

卡洛，我只是做一件事澄清。

In your business, do you still have some products which are loss-making, which was the case let's say 12 months back, like or relatively products?

在您的業務中，您是否仍有一些虧損的產品，例如 12 個月前的情況，類似或相對的產品？

We are seeing a problem so certainly there is not at all that are repeatable that are now very important areas.

我們看到了一個問題，因此現在非常重要的領域根本不存在可重複的問題。

It's more business unit is not -- I think anyhow you are right, we have -- and I'm not talking about the product divisions.

更重要的是業務部門不是——我認為無論如何你是對的，我們有——而且我不是在談論產品部門。

In the company we have about, how many, 17, 18 product divisions.

我們公司大約有多少個產品部門，17、18個。

I'm talking about 1 level below because then each of the product division is a split in business unit so there are many business unit.

我說的是下面的 1 級，因為每個產品部門都是業務部門的一個分支，因此有很多業務部門。

There are areas for improvement and we will focus on this area for improvement because I think it's correct that any single business unit perform.

有需要改進的地方，我們會專注在這個改進的地方，因為我認為任何單一業務部門的表現都是正確的。

And there are many?

而且有很多？

No, but there are some.

不，但有一些。

And I think it is our duty to focus also on this limited number of business units and again, I'm not talking -- we have 7 subgroups, we have 17, 18 product divisions and then 1 step down, we have the business units.

我認為我們有責任也關注數量有限的業務部門，再說一次，我不是在談論——我們有 7 個子集團，我們有 17、18 個產品部門，然後向下一級，我們有業務部門。

So we certainly target those areas where it is not -- the leverage to be, but it's limited.

因此，我們當然會瞄準那些沒有槓桿作用的領域，但它是有限的。

The next question is from Gianmarco Bonacina from Equita.

下一個問題來自 Equita 的 Gianmarco Bonacina。

Going back to your strong revenue growth outlook for second half 2018, just to clarify the definition.

回到 2018 年下半年強勁的營收成長前景，只是為了澄清定義。

Would be fair to assume that this strong means at least 10% half-on-half growth?

可以公平地假設這種強勁意味著至少 10% 的半年成長嗎？

And then in terms of the design win which are behind this, you have in the press release a couple of pages as usual with several design win.

然後就其背後的設計勝利而言，您在新聞稿中像往常一樣有幾頁內容，其中有幾個設計勝利。

Can we say that part of the visibility on this ramp in growth is linked to this announcement which are included in the release today or would you say that most of this ramp-up is linked to, let's say, private non-disclosed design win?

我們是否可以說，這種增長的部分可見性與今天發布的公告有關，或者您是否會說，這種增長的大部分與私人未披露的設計勝利有關？

The other one is just going back to the rule of thumb on the euro-dollar, was mentioned before about $6 million impact on the EBIT every percentage points in the euro-dollar.

另一個是回到歐元的經驗法則，之前提到歐元每增加一個百分點，就會對息稅前利潤產生約 600 萬美元的影響。

Is that before or after the positive impact on the top line because clearly, you have some headwind on the cost and some positive impact on the top line, if you can just clarify?

這是在對營收產生正面影響之前還是之後，因為很明顯，您在成本方面遇到了一些阻力，但對營收產生了一些正面影響，如果您能澄清一下嗎？

The quick answer to the last one, Gianmarco, this is all inclusive is the overall impact to the operating income.

最後一個問題的快速答案是，Gianmarco，這一切都是對營業收入的整體影響。

We cannot quantify.

我們無法量化。

We express the sentiment that opportunities are there for another important step.

我們表示，有機會踏出另一重要一步。

I try to articulate what are the areas, what is the visibility, but I would prefer not to quantify.

我試圖闡明哪些區域、可見性是什麼，但我不想量化。

I think we will have an analyst or first of all, we will have the conference call in April and then during the month of May we will have our Annual Capital Market Day and certainly there will be a much better opportunity to go in detail to discuss and we will have also better visibility for the second half to quantify it.

我認為我們將有一位分析師，或者首先，我們將在四月份舉行電話會議，然後在五月我們將舉行年度資本市場日，當然會有更好的機會詳細討論我們還將對下半年有更好的可視性來量化它。

In terms of the design wins, you're right, there are many things that we can write, but there are many things that we cannot write.

就設計勝利而言，你是對的，有很多東西我們可以寫，但也有很多東西我們不能寫。

And there are also important opportunities that are not in this place and this we will not be able to comment.

還有一些重要的機會不在這個地方，我們無法對此發表評論。

I think it is normal so I think it is a combination of the 2. We try to be as much as possible transparent and giving all the information, but on certain things we cannot discuss and this is across the segment not talking particularly on a specific segment, it is across the segment.

我認為這是正常的，所以我認為這是兩者的結合。段，它是跨段的。

So I would say these are 2 things.

所以我想說這是兩件事。

There are certainly important things that are not in this.

當然，還有一些重要的事情不在此列。

At this point, we are going to need to close our conference call.

此時，我們需要結束電話會議。

I apologize for those that still have questions on the line.

對於那些仍有疑問的人，我深表歉意。

I would like to remind everyone that ST will host an investor event at Mobile World Congress in Barcelona on February 27.

在此提醒大家，ST將於2月27日在巴塞隆納世界行動通訊大會上舉辦投資者活動。

If you need the details, please contact myself or any member of the Investor Relations team.

如果您需要詳細信息，請聯繫我本人或投資者關係團隊的任何成員。

And thank you all for participating.

感謝大家的參與。

Thank you very much.

非常感謝。

Thank you all.

謝謝大家。

Bye.

再見。

Ladies and gentlemen, the conference is now over.

女士們、先生們，會議現在結束了。

Thank you for choosing Chorus Call, and thank you for participating in the call.

感謝您選擇 Chorus Call，也感謝您參與此通話。

You may now disconnect your lines.

現在您可以斷開線路。

Goodbye.

再見。