According to preliminary, unaudited figures, Elmos Semiconductor AG (FSE: ELG) increased its sales by 9.5% to 250.4 million Euro in 2017. EBIT was at 38.4 million Euro, which corresponds to an EBIT margin of 15.3%. Capital expenditure, in particular for the expansion of test operations, amounted to 14.9% of sales over the course of the past fiscal year. Adjusted free cash flow was −5.2 million Euro. This means that Elmos met its 2017 guidance and exceeded the expected EBIT margin, as stated in the ad-hoc release published on February 5, 2018.
In Q4 2017, sales grew by 7.9% to 68.5 million Euro. In the final quarter, EBIT grew disproportionately to 17.3 million Euro, or an EBIT margin of 25.2%, due to factors such as increased production efficiency, lower operating costs and several one-off effects. Capital expenditure amounted to 21.9% of sales in Q4 2017. Adjusted free cash flow was −4.4 million Euro.
The Supervisory Board and Board of Management intend to propose a dividend increase to 0.40 Euro per share at the Annual General Meeting on May 16, 2018, in Dortmund, Germany (previous year: 0.35 Euro per share).
“2017 was a challenging year. We achieved the high single-digit growth we were aiming for and exceeded our EBIT expectations. The company will continue to develop positively in 2018. We are planning to make the required investments,” says Dr. Anton Mindl, Chairman of the Board of Management for Elmos Semiconductor AG.
Assuming a continued positive economic environment, Elmos is expecting sales growth of 8% to 12% in 2018. The EBIT margin is expected to be between 13% and 17%. The company will continue to drive forward measures for further growth in the current fiscal year. Capital expenditure should – as in the previous year – account for less than 15% of sales. Due to ongoing capital expenditure in the growth of the company, we expect that Elmos will have negative adjusted free cash flow in 2018. This forecast is based on an exchange rate of 1.20 U.S. Dollars/Euro.
Overview of financial figures
Overview of select, preliminary and unaudited financial figures in accordance with the IFRS (in millions of Euro/percent, unless indicated otherwise):
| 2017 | 2016 | Diff. | Q4/17 | Q4/16 | Diff. | |
| Sales | 250.4 | 228.6 | 9.5% | 68.5 | 63.5 | 7.9% |
| Gross profit on sales | 110.1 | 96.8 | 13.7% | 32.8 | 29.4 | 11.3% |
| Gross margin in % | 43.9% | 42.3% | 47.8% | 46.4% | ||
| Research and development | 33.8 | 36.0 | −6.1% | 7.8 | 9.1 | −14.5% |
| EBIT | 38.4 | 23.1 | 66.2% | 17.3 | 11.2 | 53.6% |
| EBIT margin in % | 15.3% | 10.1% | 25.2% | 17.7% | ||
| Consolidated net income after non-controlling interests | 24.9 | 15.9 | 57.1% | 10.6 | 8.1 | 30.2% |
| Basic earnings per share (Euro) | 1.26 | 0.80 | 57.4% | 0.54 | 0.41 | 31.5% |
| Capital expenditure | 37.2 | 23.2 | 60.6% | 15.0 | 4.6 | >100% |
| Capital expenditure in % | 14.9% | 10.1% | 21.9% | 7.3% | ||
| Adjusted free cash flow | −5.2 | 9.1 | n.a. | −4.4 | 8.4 | n.a. |
Definitions of select financial indicators
- Adjusted free cash flow: Cash flow from operating activities less capital expenditures for/plus disposals of intangible assets and property, plant and equipment
- Capital expenditure: Capital expenditures for intangible assets and property, plant and equipment less capitalized development expenses (prior-year figures adjusted in accordance with new definition)
- You will find further explanations of the indicators used in the 2016 Annual Report for Elmos Semiconductor AG at www.elmos.com
Webcast/presentation for analysts
Elmos will be carrying out a webcast for analysts and investors on February 15, 2018, at 11:30 a.m. (CET). You will be able to access the webcast and the analyst presentation on the website. The final figures and the complete Annual Report for 2017 are expected to be published on March 14, 2018.
About Elmos Semiconductor AG
Elmos develops, produces and markets semiconductors and sensors, primarily for use in the automotive industry. Our components communicate, measure, regulate and control safety, comfort, powertrain and network functions. For over 30 years, Elmos innovations have been bringing new functions to life and making mobility worldwide safer, more comfortable and more energy efficient.
Notice
This release contains forward-looking statements that are based on assumptions and estimates made by the Elmos management. Even though we assume the underlying expectations of the forward-looking statements to be realistic, we cannot guarantee the expectations will prove right. The assumptions may carry risks and uncertainties, and as a result actual events may differ materially from the forward-looking statements. Among the factors that could cause such differences are changes in general economic and business conditions, fluctuations of exchange rates and interest rates, the introduction of competing products, lack of acceptance of new products, and changes in business strategy. Elmos neither intends nor assumes any obligation to update its statements with respect to future events.
Contact: Elmos Semiconductor AG, Thalea Willms, Head of Investor Relations, Heinrich-Hertz-Str. 1, 44227 Dortmund, Telephone: +49 (0)231:-7549/-0:3. -273, Fax: +49 (0)231-7549-111, invest@elmos.com, www.elmos.com