Printed Electronics Now Staff05.08.20
Osram has achieved a good second quarter given the global challenges and thus met market expectations.
Although revenue fell by almost 8% on a comparable basis to €821 million, a positive free cash flow of €64 million was achieved particularly through targeted cash management. The adjusted EBITDA margin improved by almost 4 percentage points year-on-year to 11.7%.
Thanks to the structural measures and the conversion to IFRS 16, adjusted EBITDA was about a third higher than in the previous year at €96 million.
“The measures we took very early on to counter the consequences of the COVID-19 crisis are having an effect throughout the company. It has been a challenge to maintain production largely on a regular basis in recent weeks, as our top priority is and remains the health and protection of our employees. Osram is also using the time to be well positioned after the Corona crisis. Our high equity ratio is of great benefit to us,” said Olaf Berlien, CEO of OSRAM Licht AG.
The Opto Semiconductors division reported a strong adjusted EBITDA margin of 21% in the past quarter. Sales in the semiconductor division decreased slightly to €362 million. At €431 million, comparable sales in the Automotive sector were significantly lower than in the previous year. The cause for this is, among other things, the initial effects of the COVID-19 crisis on the automotive industry, which was already weakened before the corona crisis.
Revenues in the business unit Digital (DI) also fell significantly by about 12%. Here, the pandemic-related decline in the entertainment and cinema lighting business and in building illumination projects in China became noticeable. The DI division was nevertheless able to maintain its operating profitability, with adjusted EBITDA positive at €2 million.
Although revenue fell by almost 8% on a comparable basis to €821 million, a positive free cash flow of €64 million was achieved particularly through targeted cash management. The adjusted EBITDA margin improved by almost 4 percentage points year-on-year to 11.7%.
Thanks to the structural measures and the conversion to IFRS 16, adjusted EBITDA was about a third higher than in the previous year at €96 million.
“The measures we took very early on to counter the consequences of the COVID-19 crisis are having an effect throughout the company. It has been a challenge to maintain production largely on a regular basis in recent weeks, as our top priority is and remains the health and protection of our employees. Osram is also using the time to be well positioned after the Corona crisis. Our high equity ratio is of great benefit to us,” said Olaf Berlien, CEO of OSRAM Licht AG.
The Opto Semiconductors division reported a strong adjusted EBITDA margin of 21% in the past quarter. Sales in the semiconductor division decreased slightly to €362 million. At €431 million, comparable sales in the Automotive sector were significantly lower than in the previous year. The cause for this is, among other things, the initial effects of the COVID-19 crisis on the automotive industry, which was already weakened before the corona crisis.
Revenues in the business unit Digital (DI) also fell significantly by about 12%. Here, the pandemic-related decline in the entertainment and cinema lighting business and in building illumination projects in China became noticeable. The DI division was nevertheless able to maintain its operating profitability, with adjusted EBITDA positive at €2 million.