Updates with capex plan in paras 7-8, cost-cutting plan paragraph 9

Oct 23 (Reuters) - STMicroelectronics STMPA.PA, on Thursday said that it expected sales to rise in the fourth quarter compared with the current quarter, showing evidence of a sustained recovery after a multi-year downturn in its main markets.

One of Europe's largest chipmakers, whose clients include Tesla TSLA.O and Apple AAPL.O, sees fourth quarter revenue reaching $3.28 billion, up from the $3,19 billion it reported this quarter.

Analysts polled by LSEG expected fourth quarter revenue at $3.34 billion, and $3.12 billion in the third quarter.

"Our strategic priorities remain clear: accelerating innovation; executing our company-wide program to reshape our manufacturing footprint" STMicroelectronics' Chief Executive Jean-Marc Chery said in a statement.

Chipmakers exposed to the struggling automotive, industrial, and consumer chip markets such as STMicro, Texas Instruments TXN.O, or NXP NXPI.O have faced a multi-year long sales slump since the pandemic's end, hit by low demand, high inventories, and geopolitical disruptions.

Analysts had raised concerns after U.S.' Texas Instruments forecast a dour fourth quarter on Wednesday, with sales falling more than expected.

The Franco-Italian firm also trimmed its capital expenditure plans for the year of 2025, citing current market conditions as a reason.

STMicro's capex plan is now slightly below $2 billion, from a range of 2$ to $2.3 previously.

The firm also said its cost-cutting plan "remains on schedule" after it faced opposition in Italy over its implementation.

(Reporting by Nathan Vifflin in Gdansk; editing by Matt Scuffham)

((nathan.vifflin@thomsonreuters.com; +48 58 769 67 13;))