However, I assume that the analyst or the data entry person simply missed the word "next".
That is the most likely scenario.
Here is another bullish article, however, on the semis:
European chip giants' profits double on higher sales
By Bloomberg News
July 18, 2000, 7:00 a.m. PT
URL: news.cnet.com
PARIS--Philips Electronics and STMicroelectronics, Europe's two biggest chipmakers, said second-quarter profit more than doubled on sales to makers of products such as mobile phones and digital cameras.
STMicroelectronics' net income rose to $336.5 million, or 37 cents a diluted share. Philips' profit, excluding a one-time gain, soared to $654 million (699 million euros), or 49 cents a share, from $256.44 million, or 19 cents, in the year-ago period.
"These are very happy times in the semiconductor world," said Eric de Graaf, an analyst at ING Barings who rates STMicroelectronics "buy" and Philips "strong buy." "Profitability for ST and Philips is very good."
Philips and STMicroelectronics have both focused on more profitable products such as the chips used in mobile phones and digital cameras. Worldwide chip sales will rise more than 30 percent to $222 billion this year, according to market researcher Dataquest.
Geneva-based STMicroelectronics has focused on high-margin products such as flash memory chips--semiconductors that retain data when a device is turned off--to tap growing demand from mobile phone companies.
"ST made a strategic decision to focus on consumer electronics and telecommunications five years ago and is now reaping the benefits of this decision," said de Graaf.
Record sales forecast
STMicroelectronics' revenue rose 58 percent to $1.88 billion, and its gross margin, the percentage of sales left after costs of production, rose to 46 percent, compared with 39.5 percent in the same period last year.
Sales at Philips, which is also Europe's largest consumer electronics company, rose 25 percent to $8.6 billion, led by semiconductors, components and consumer products. The company makes products ranging from shavers and vacuum cleaners to televisions, computer monitors and video recorders.
Chip sales rose 60 percent in the first half, including sales at VLSI Technology, which Philips bought last year. Sales of components such as mobile-phone screens and other parts rose 36 percent. Consumer electronics sales rose 21 percent, and domestic appliance sales rose 17 percent. The company doesn't provide quarterly sales figures by division.
Both companies' second-quarter figures beat estimates of analysts polled by Bloomberg News.
Amsterdam-based Philips said it expects double-digit earnings growth this year and forecasts record 2000 sales and profit. STMicroelectronics said it expects third-quarter revenue and operating margin to beat second-quarter figures.
Including a $2.7 billion one-time gain from the sale of shares in ASM Lithography Holding and the value of Philips' stake in Taiwan Semiconductor Manufacturing, second-quarter profit rose to $3.37 billion, or $2.54 a share.
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