Continuing growth for Micronas (PR15)
1999 annual results press conference
March 14, 2000 - Micronas Semiconductor Holding AG
Micronas Group can look back on an extremely successful 1999 financial year. As the internationally active manufacturer of applications-specific chip systems reported at its annual results press conference in Zurich, all performance data and financial key figures were substantially improved. The company, which is listed on the Swiss Stock Exchange and on Frankfurt's Neue Markt, expects to maintain the pace of growth this year.
After adjusting for divestments, consolidated net sales increased by about 29 percent to CHF 321.7 million. Annual profit went up to CHF 24.8 million. This compares with the previous year's loss of CHF 44.6 million, which was caused mainly by restructuring. The firm's equity capital ratio increased from 19.7 percent to 37.4 percent. Earnings per share came to CHF 13.29.
"Our Group enjoys an outstanding position in the market for applications-specific chip systems in the multimedia, home entertainment and automotive electronics sectors," commented Dr. Franz Betschon, Chairman of the Board of Directors of Micronas Semiconductor Holding AG. "This explains our dynamic sales and earnings performance in a positive market environment."
In his review of the Group's overall performance and individual business areas, Dr. Wolfgang Kalsbach, Micronas's CEO, mentioned the good reception given to the company's newly developed chip products. In the year under review, the Micronas Group sold 22 million multisound processors for audio equipment and more than 2 million chips for MP3 equipment. Micronas continued to expand its international marketing and sales organization with a view to exploiting global markets more actively.
Growth was particularly strong in the USA and Asia. The company's client base is made up of well-known international manufacturers in the home entertainment and automotive electronics industries.
Kalsbach expects Group sales to increase to CHF 420 million this year, with a Group profit of CHF 46 million. Business for the first two months of 2000 has confirmed the positive trend. The wafer manufacturing plant in Freiburg im Breisgau is now being expanded in order to meet the increased demand for Micronas chip systems. Furthermore, the company is constantly evaluating opportunities to secure continued growth and to further improve the Micronas Group's market position. The Group has taken a 15 percent stake in the US firm Analog Circuit Technology, Inc., which is based in San Diego, thus obtaining the technological skills to tackle further high-potential markets and products. On this subject, Wolfgang Kalsbach commented: "We will do everything we can to fulfill the expectations of the financial markets, clients and employees with regard to our Group's innovation, growth and earnings."