Net Profit Increased By 191% Over The Same Period. Ace's Strong 1Q18 Performance
- Apr 30, 2018 -

Ace (AIXTRON), the world's leading semiconductor equipment supplier, announced its performance report for the first quarter of 2018 (2018 1-3).

During the reporting period, AIXTRON realized revenue of 62 million 400 thousand euros (RMB 481 million yuan), up 16% from 53 million 600 thousand euros (RMB 413 million yuan) in the same period last year, with a net profit of 12 million 300 thousand euros (about RMB 94 million 818 thousand and 200), and an increase of 191% over the same period of -1350 million in the same period of last year.

In the first quarter of 2018 revenue composition, equipment revenue of 50 million 800 thousand euros (17%), accounting for 81% of total revenue, 14% of which came from the production of LED equipment; accessories and services and other revenue of 11 million 600 thousand euros (15%), accounting for 19% of total revenue. By region, Asia, Europe and the US contributed 46%, 38% and 16% respectively.

Driven by the continuous demand for MOCVD systems for laser applications such as 3D sensor technology or optical data transmission vertical cavity surface emitting lasers (VCSEL), the total volume of orders (including accessories and services) in the first quarter of 2018 reached 78 million 600 thousand euros, up 27% from a year earlier, and an increase of 20%.

Free cash flow in the first quarter of 2018 decreased by 55 million 700 thousand euros compared with the same period last year (34 million 600 thousand euros), to -2110 million euros. In addition, Ace strong 1Q18 realized gross margin of 26 million 800 thousand euros, an increase of 97% over the same period last year, and achieved a gross margin of 43%, an increase of 18 percentage points over that of 1Q17.

Based on the performance of the first quarter and the current order situation, the management expects to achieve operating income of 230 million -2.6 billion euros and gross margin 35%-40% in fiscal year 2018.

"We are happy to have a good start in the new fiscal year," said Dr. Bernd Schulte, President of Ace strong. "1Q18 is the strongest first quarter of Ace since 2011. Revenue and orders are further increased, which makes the 2018 expectation of February more definite." We expect 2018 earnings and EBIT profits to be close to the expected upper limit.

"Ace strong has a very good market position in the field of laser and special LED applications, and has promising technology in the field of power electronics. In the medium term, we expect that power electronics based on gallium nitride and silicon carbide will bring great potential to the company. " Dr. Felix Grawert, the president of Ace, added.