EANS-Adhoc: ams AG ams reports record third quarter revenues and earnings
ahead of expectations; expects revenue growth and strong profitability in fourth
quarter
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Financial Figures/Balance Sheet/9-month report
20.10.2014
Key financial data for the third quarter 2014
Unterpremstaetten, Austria (20 October 2014) - ams (SIX: AMS), a leading
provider of high performance sensor solutions and analog ICs, reports third
quarter 2014 revenues and profitability ahead of expectations with both gross
margin and operating profitability (EBIT margin) increasing substantially
year-on-year. Based on additional product ramp-ups, ams expects revenue growth
and ongoing strong profitability in the fourth quarter 2014.
Third quarter group revenues were EUR 132.8 million, the highest quarterly
revenues in the company's history, up 25% sequentially compared to the second
quarter and up 35% from EUR 98.2 million in the same quarter 2013. On a constant
currency basis, third quarter revenues were 34% higher compared to the third
quarter last year.
Gross margin remained on a record level of 57%, excluding acquisition-related
costs, and 55%, including acquisition-related costs, compared to 55%, excluding
acquisition-related costs, and 53%, including acquisition-related costs, in the
same quarter 2013.
The result from operations (EBIT) excluding acquisition-related costs for the
third quarter rose to the record level of EUR 37.4 million or 28% of revenues,
compared to EUR 22.5 million in the third quarter of 2013. The result from
operations (EBIT) including acquisition-related costs for the third quarter was
EUR 34.5 million or 26% of revenues, compared to EUR 20.0 million in the same
period 2013. The net result for the third quarter was EUR 31.9 million compared
to EUR 18.6 million in the same period 2013. Basic/diluted earnings per share
were CHF 0.57/0.54 or EUR 0.47/ 0.45 based on 68,071,765/70,796,466 shares
(basic/diluted; weighted average) compared to CHF 0.34/ 0.33 or EUR 0.28/0.27
based on 67,220,166/69,181,615 shares (basic/diluted; split-adjusted weighted
average) in the third quarter 2013.
Operating cash flow for the third quarter was EUR 37.1 million, compared to EUR
34.0 million in the third quarter last year. Total backlog on 30 September 2014
(excluding consignment stock agreements) was EUR 119.8 million, compared to EUR
107.1 million on 30 June 2014 and EUR 91.2 million on 30 September 2013.
ams' business performed strongly in the third quarter given good demand in key
end markets, the launch of a major new customer platform and ams' attractive
position in sensor and analog solutions.
In ams' consumer and communications business, the company's innovative gesture
sensor solution continued to ship into major device platforms at a brisk pace.
The module combines advanced gesture recognition with RGB color and proximity
sensing and mobile coupon redemption in a minimized footprint. ams added another
global device platform during the quarter and is seeing good traction for
gesture sensing with Asian smartphone OEMs. Shipments of ams' broad portfolio of
intelligent light sensors and lighting and power management products to major
smartphone and device vendors remained at high levels in the quarter. The
company's microphone IC business for a wide range of low noise applications
continued to perform well at high run rates.
The expected steep ramp-up of high volume shipments for ams' unique NFC antenna
booster supported the launch of a major global smartphone platform. As
projected, NFC was therefore an important growth driver for ams in the third
quarter with shipments continuing at very substantial levels. ams' NFC antenna
booster is key to enabling robust and dependable NFC in smartphones and other
mobile devices. The solution ensures optimum signal transmission in complex or
space-constrained device environments for successful NFC payment transactions.
ams' industrial, medical and automotive businesses recorded another quarter of
positive results. Demand in the company's industrial end-markets remains on
attractive levels supporting the momentum of its diversified industrial business
in the second half. ams' high performance sensors and sensor interfaces play a
central role in a wide range of industrial applications for leading OEMs. Sensor
solutions for digital imaging, which includes advanced computed tomography (CT),
mammography, and ultrasound, were again key drivers for ams' high value medical
business.
In the company's automotive business, healthy demand for ams' sensor and sensor
interface solutions continued in the third quarter. Innovative safety systems
such as LIDAR collision avoidance and critical applications including battery
power management are built around ams' sensor expertise. The company's products
enable higher safety and reliability for an increasing number of volume
platforms.
Given its full development pipeline ams has decided to accelerate an additional
investment into the company's internal production capacity in order to prepare
for major growth opportunities in the coming years. ams plans to implement part
of this investment for approximately 20% additional wafer capacity in the
current year and therefore expects capital expenditures for 2014 to increase by
around EUR 10 million to EUR 65-70 million.
For the fourth quarter 2014, ams expects sequential and year-on-year revenue
growth with revenues of EUR 133-138 million. Additional ramp-ups in Consumer &
Communications for new devices are expected to drive this growth. ams sees
strong profitability continuing in the fourth quarter and expects EBIT margin on
a comparable level quarter-on-quarter.
ams' investments in R&D and production infrastructure underline the company's
confidence in the strong development of its business in the future driven by the
emerging markets for sensor solutions in our daily lives. These investments
align with ams' growth outlook for the coming year and for substantial mid-term
growth in revenues and earnings.
The company's third quarter report 2014 including additional financial
information is available on the company website at
http://www.ams.com/eng/Investor/Financial-Reports .
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About ams
ams develops and manufactures high performance analog semiconductors that solve
its customers' most challenging problems with innovative solutions. ams'
products are aimed at applications which require extreme precision, accuracy,
dynamic range, sensitivity, and ultra-low power consumption. ams' product range
includes sensors, sensor interfaces, power management ICs and wireless ICs for
customers in the consumer, industrial, medical, mobile communications and
automotive markets.
With headquarters in Austria, ams employs over 1,500 people globally and serves
more than 7,800 customers worldwide. ams is listed on the SIX Swiss stock
exchange (ticker symbol: AMS). More information about ams can be found at
www.ams.com.
Further inquiry note:
Moritz M. Gmeiner
Director Investor Relations
Tel: +43 3136 500-31211
Fax: +43 3136 500-931211
Email: investor@ams.com
end of announcement euro adhoc
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issuer: ams AG
Tobelbader Strasse 30
A-8141 Unterpremstaetten
phone: +43 3136 500-0
FAX: +43 3136 500-931211
mail: investor@ams.com
WWW: www.ams.com
sector: Technology
ISIN: AT0000A18XM4
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language: English