ANSAN, South Korea--(BUSINESS WIRE)--Seoul Semiconductor Co., Ltd. (KOSDAQ 046890), a market leader in LED (light emitting diode) design and manufacturing, today announced consolidated first-quarter revenues of Korean won (KrW) 283.0 billion. The rise in consolidated revenue came from strong sales in general lighting, especially from the automotive lighting segment and strength across all application segments, with the IT division delivering high single digit growth YoY. The results fall within the company’s guided KrW 270 billion and KrW 290 billion for the quarter.
During the first quarter, automotive lighting sales recorded double digit YoY growth, thanks to company’s diversified portfolio of customers in China, the US and in the EU, despite difficulties that one local automotive customer faced during the quarter.
The recorded operating profit was 6.1%, affected by multiple factors such as the KrW strengthening against the dollar, resulting in the previous fourth quarter forex rate of 1,106 won per dollar falling to 1,072 won, a seasonal decrease in utilization, and opportunity cost increases from company’s new manufacturing plant in Vietnam (typical when ramping up a new production site). In the upcoming quarters, the company expects its US manufacturing plant to contribute to rising utilization rate and improved profits. Seoul recorded 16.3% EBITDA margin for the first-quarter, delivering twelve-month trailing EBITDA of KrW 208 billion or 18.3%, continuing to show excellent cash generation capabilities. Seoul has provided sales guidance of KrW 280 to 300 billion for the upcoming second quarter.
Sangbum Kim, the company’s chief financial officer, has stated that the company was able to achieve sales growth in this quarter despite lower seasonal demand, and this trend is expected to continue throughout the remainder of the year, as the company sales of differentiated products such as the SunLike, WICOP and Acrich Series devices lead to improved utilization, and the new Vietnam plant contributes to higher utilization once fully set up, once again challenging last year’s record sales.
About Seoul Semiconductor:
Seoul Semiconductor develops and commercializes light emitting diodes (LEDs) for automotive, general illumination, specialty lighting, and backlighting markets. As the fourth-largest LED manufacturer globally, Seoul Semiconductor holds more than 12,000 patents, offers a wide range of technologies, and mass produces innovative LED products such as SunLike – delivering the world’s best light quality in a next-generation LED enabling human-centric lighting optimized for circadian rhythms; Wicop – a simpler structured package-free LED which provides market leading color uniformity, cost savings at the fixture level with high lumen density and allows design flexibility; NanoDriver Series – World’s Smallest 24W DC LED Drivers; Acrich, the world's first high-voltage AC-driven LED technology developed in 2005, includes all AC LED-related technologies from chip to module and circuit fabrication, as well as multi-junction technology (MJT); and nPola, a new LED product based on GaN-substrate technology that achieves over ten times the output of conventional LEDs. UCD constitutes a high color gamut display which delivers over 90 % NTSC.
For more information about Seoul Semiconductor, please visit http://www.seoulsemicon.com
Wicop and Acrich are trademarks of Seoul Semiconductor Co., Ltd.
Investor information and additional product details are available on the company website, www.seoulsemiconductor.com
This press release material contains forward-looking statements which reflect Seoul Semiconductor’s current views with respect to future events and financial performance, which are subject to certain risks and uncertainties which could cause actual results to differ materially from those anticipated. Although Seoul Semiconductor believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be attained. Seoul Semiconductor undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. All financial figures are consolidated unless stated otherwise.