Q3 2020 at the upper end of guidance range: Sales at 40.9 million Euro / EBIT at -10.5 million Euro

Dortmund, November 3, 2020: Elmos Semiconductor SE (FSE: ELG) achieved sales of 40.9 million Euro in the third quarter of 2020 (Q3 2019 sales of continuing operations: 67.8 million Euro), finishing at the upper end of the guidance range of 37 to 41 million Euro. EBIT amounted to -10.5 million Euro in the reporting quarter (Q3 2019 EBIT of continuing operations: 9.7 million Euro). Capital expenditures remained at a low level of 3.7 million Euro or 9.1% of sales. Adjusted free cash flow was almost balanced at -0.5 million Euro.

"As expected, the third quarter of 2020 was clearly a turning point. We are seeing significant recovery in our business with very strong sequential growth in the fourth quarter of 2020. Due to this noticeable improvement, the full-year guidance for 2020 is above market expectations. This recovery is widespread, however the strongest impetus is coming from Asia," says Dr. Anton Mindl, CEO of Elmos Semiconductor SE. "In spite of the current rise in coronavirus infections, our intensive work on numerous new projects and our known strong product portfolio puts us in a confident mood when it comes to our medium- to long-term development."

Elmos expects sales of between 227 and 233 million Euro in 2020. EBIT is expected to be between 6 and 9 million Euro. The guidance is based on an exchange rate of 1.15 EUR/USD.

Overview of financials

Figures according to IFRS (in million Euro or percent unless otherwise indicated):

	Q3/20	Q3/191	Diff.	9M/20	9M/191	Diff.
Sales	40.9	67.8	-39.7%	163.9	197.7	-17.1%
Gross profit	11.9	32.5	-63.4%	64.6	91.1	-29.0%
Gross margin in %	29.1%	47.9%		39.4%	46.1%
Research and development	11.1	10.6	4.0%	36.0	29.6	21.6%
Operating income	-7.0	9.1	n/a	1.2	28.5	-95.9%
EBIT	-10.5	9.7	n/a	-0.2	29.8	n/a
EBIT margin in %	-25.7%	14.3%		-0.2%	15.1%
Consolidated net loss (-) / consolidated net income after non-controlling interests	-6.2	4.3	n/a	0.6	17.4	-96.3%
Basic earnings per share (Euro)	-0.34	0.22	n/a	0.03	0.89	-96.1%
Capital expenditure	3.7	7.4	-49.9%	12.9	32.7	-60.6%
Capital expenditure in %	9.1%	9.9%2		7.9%	14.9%3
Adjusted free cash flow	-0.5	88.3	n/a	2.6	76.2	-96.6%

¹ Prior-year amounts were adjusted; for purposes of comparison, information regarding the consolidated income statement relates exclusively to continuing operations.
² Percentage shown relates to sales from continuing and discontinued operations of 75,025 thousand Euro.
³ Percentage shown relates to sales from continuing and discontinued operations of 219,146 thousand Euro

Definitions of selected financial indicators
- Adjusted free cash flow: Cash flow from operating activities, less investments in/plus disposals of intangible assets and property, plant and equipment (including proceeds from disposals of consolidated companies)
- Capital expenditures: Capital expenditures in intangible assets and property, plant and equipment less capitalized development costs
- Further information on the key figures used can be found in the 2019 Annual Report at www.elmos.com

Quarterly report Q3 2020
Further information on the third quarter 2020 and the first nine months 2020 of Elmos Semiconductor SE can be found in the quarterly report Q3 2020. This report is available at www.elmos.com. Elmos will hold a conference call (in English) for analysts and investors on November 4, 2020 at 11.00 a.m. (CET). The conference call will be available later on the website.

Contact
Elmos Semiconductor SE
Janina Rosenbaum, Head of Investor Relations, Phone: +49-231‐7549‐287
E-mail: [email protected]

About Elmos
Elmos develops, produces and markets semiconductors, 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. With our solutions we are already the worldwide #1 in applications with great future potential, such as ultrasonic distance measurement, ambient light and intuitive HMI.

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.