ams expects lower revenues but better EBIT margin in the fourth quarter 2013, sees gesture recognition solution starting production in the first quarter 2014
Unterpremstaetten, Austria (17 December 2013) - ams (SIX: AMS), a leading provider of high performance sensors and analog ICs, expects lower revenues but better operating (EBIT) margin in the fourth quarter 2013 together with positive momentum from new smartphone sensor applications in the first quarter 2014, compared to previous expectations.
ams expects a reduction in fourth quarter 2013 revenues by around EUR 5 million compared to previously expected levels while the operating (EBIT) margin for the fourth quarter 2013 is expected to be up by more than 200 bps sequentially, above previous expectations. The change in revenue expectations is due to recent stocking delays in a consumer customer’s supply chain and has been exacerbated by a customer shifting pre-production for a new consumer platform from the fourth quarter 2013 into the first quarter 2014.
At the same time, ams expects to secure significant gesture recognition business for smartphone applications in Asia next year. Given strong customer interest, ams sees gesture recognition products already reaching production run rates in the first quarter 2014. As a consequence of these developments, ams expects to have a positive start into the year 2014.
ams sees 2014 as a year of considerable growth in revenues and earnings particularly driven by wireless and smartphone sensor solutions. The new smartphone solutions mentioned above will provide an upside to previous management expectations for 2014.
ams will hold a conference call on this fourth quarter 2013 / first quarter 2014 update today, 17 December 2013, at 9.30 am CET. The following dial-in numbers are available for the call:
+41 58 310 5000 (Switzerland)
+44 20 3059 5862 (UK)
+43 1 25 302 1402 (Austria)
+49 69 25 511 4445 (Germany)
+33 1 70 91 87 06 (France)
+1 866 291 4166 (USA)
ams will report fourth quarter and full year 2013 results including an updated outlook for the first quarter 2014 on 4 February 2014 at 7.30 am CET.