Quarterly Report • Nov 12, 2015
Quarterly Report
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9-Month Financial Report as at September 30, 2015
Sensor solutions are synonymous with technical innovation and economic growth. This is because they form the basis for the development and use of intelligent technologies.
First Sensor AG is among the world's leading providers in the area of sensor technology. Our company develops and manufactures both standardized and tailor-made sensor solutions for applications in the industrial, medical and mobility growth markets.
We will be among the top three providers in our core markets by 2019.
| 1 | First Sensor in figures | 4 | |||||
|---|---|---|---|---|---|---|---|
| 2 | Foreword by the Management Board |
6 | |||||
| 3 | First Sensor share | 8 | |||||
| 4 | Group Management Interim Report (IFRS) |
||||||
| Business model . | 10 | ||||||
| - | Business activities and organization . | 10 | |||||
| Economic report | 11 | ||||||
| - | Changes in the basis of consolidation | 11 | |||||
| - | Results of operations . | 12 | |||||
| - | Order situation . | 14 | |||||
| - | Correction of forecast for 2015 | 14 | |||||
| - | Financial analysis . | 15 | |||||
| - | Investment analysis . | 15 | |||||
| - - |
Liquidity analysis . Analysis of asset and liability structure . 17 |
16 |
| Segment Reporting . 18 |
|---|
| - Business Unit Industrial . 18 |
| - Business Unit Medical . 19 |
| - Business Unit Mobility 20 |
| Supplementary report . 21 |
| Outlook, opportunity and risk report . 21 |
| ASSETS (IFRS) . 22 |
|---|
| Structure of ASSETS . 22 |
| EQUITY AND LIABILITIES (IFRS) . 23 |
| Structure of EQUITY AND LIABILITIES . 23 |
| Consolidated statement of comprehensive |
| income (IFRS) 24 |
| Consolidated statement of changes |
| in equity (IFRS) . 26 |
| Consolidated cash flow statement (IFRS) . 27 |
Presentation of the situation at the group . 28 Reporting principles . 28
| Important discretionary decisions and |
|---|
| uncertainty of estimates . 28 |
| Basis of consolidation . 28 |
| Management Board . 28 |
| Discontinued operations . 28 |
| Corporate Governance . 28 |
| Legal notice | 30 |
|---|---|
| Financial calendar | 30 |
| Contact | 31 |
| in € thousand, unless otherwise indicated |
9M 2014 |
9M 2015 |
Δ absolute | in % | Q3 2014 |
Q3 2015 |
Δ absolute | in % |
|---|---|---|---|---|---|---|---|---|
| Sales revenues | 92,214 | 102,635 | 10,421 | 11.3 | 32,912 | 35,420 | 2,508 | 7.6 |
| Industrial | 50,842 | 56,200 | 5,358 | 10.5 | 18,030 | 18,471 | 441 | 2.4 |
| Medical | 15,564 | 17,343 | 1,779 | 11.4 | 5,709 | 6,447 | 738 | 12.9 |
| Mobility | 25,815 | 29,317 | 3,502 | 13.6 | 9,209 | 10,667 | 1,458 | 15.8 |
| Others, consolidation | -7 | -225 | -218 | - | -36 | -165 | -129 | - |
| EBITDA | 11,086 | 9,238 | -1,848 | -16.7 | 4,321 | 1,674 | -2,647 | -61.3 |
| EBITDA margin (%) | 11.8 | 9.0 | -2.8 | - | 13.0 | 5.0 | -8.0 | - |
| EBIT | 4,707 | 2,257 | -2,450 | -52.1 | 2,187 | -657 | -2,844 | -130.0 |
| Industrial | n/a | 9,661 | - | - | n/a | 3,496 | - | - |
| Medical | n/a | 902 | - | - | n/a | 465 | - | - |
| Mobility | n/a | 1,445 | - | - | n/a | 433 | - | - |
| Others, consolidation | n/a | -9,751 | - | - | n/a | -5,051 | - | - |
| Net profit for the period | 2,572 | 417 | -2,155 | -83.8 | 1,499 | -1,331 | -2,830 | -188.8 |
| Cash flow from operating activities | 7,945 | -1,095 | -9,040 | -113.8 | 4,346 | 6,050 | 1,704 | 39.2 |
| Cash flow from investment activities | -3,215 | -4,204 | -989 | -30,8 | -812 | -1,508 | -696 | -85.7 |
| Free cash flow | 4,730 | -5,299 | -10,029 | -212.0 | 3,534 | 4,542 | 1,008 | 28.6 |
| Number of shares (in thousand) | 10,107 | 10,160 | 53 | 0.5 | 10,107 | 10,160 | 53 | 0.5 |
| Earnings per share (€) | 0.25 | 0.04 | -0,21 | -84.0 | 0.15 | -0.13 | -0.28 | -186.7 |
| Incoming orders | 109,576 | 106,801 | -2,775 | -2.5 | 30,758 | 28,581 | -2,177 | -7.1 |
| Book-to-bill-ratio | 1.19 | 1.04 | -0.15 | -12.6 | 0.93 | 0.81 | -0.12 | -12.9 |
| in € thousand, unless otherwise indicated |
Dec. 31, 2014 |
Sep. 30, 2015 |
Δ Δ absolute | in % |
|---|---|---|---|---|
| Orders on hand | 86,428 | 90,970 | 4,542 | 5.3 |
| Shareholders' equity | 71,982 | 73,075 | 1,093 | 1.5 |
| Balance sheet total | 144,889 | 148,470 | 3,581 | 2.5 |
| Equity ratio (%) | 49.7 | 49.2 | -0.5 | - |
| Net debt | -29,726 | -36,085 | -6,359 | -21.4 |
| Number of employees (full-time equivalent FTE) |
756 | 779 | 23 | 3.0 |
– Highest quarterly sales in First Sensor's history; sales growth of 11.3% in the first nine months
– Operating result (EBITDA) margin declines to 9.0% as a result of non-recurring effects
– Sales forecast for 2015 raised to up to €136 million, EBITDA forecast reduced to €12-14 million
Sales split by regions 9M 2015
Dear shareholders and business partners, Dear employees,
In the past year, we have laid the foundations for an even more successful future for First Sensor. In future, First Sensor will focus on high-growth markets and their higher-margin business segments. The strategic realignment also includes further improving the utilization of our production locations in Germany. Our marketing and sales strategy will be specifically geared towards this new strategy.
Our sales performance in the current fiscal year shows that our new strategy is having the desired effect. In the first nine months of 2015, our total sales increased by 11.3% year-on-year to €102.6 million. At €35.4 million, total sales in the third quarter were the strongest in our history. Having previously forecast sales of €132-134 million in fiscal year 2015, our extremely encouraging operating performance means we have raised our sales target up to €136 million.
Orders on hand in the Group also increased by €4.5 million as against the end of fiscal year 2014 to total €90.1 million as at September 30, 2015.
We are particularly pleased that all three business units have contributed to this development in equal measure, recording year-on-year sales growth of between 10.5% and 13.6%.
Despite higher sales, our operating result (EBITDA) for the first nine months of 2015 declined by 16.7% year-on-year to €9.2 million.
This was due to the following non-recurring effects:
Non-recurring valuation allowances of around €1.4 million were recognized on the Group's inventories in the third quarter. This was attributable to inventory products from a wide range of areas from the past, whose remaining stocks are no longer part of the revised sales concept.
Dr. Martin U. Schefter, CEO
In addition, we have resolved to divide ongoing production at our location in Singapore between the existing German locations, thereby improving the utilization and profitability of these locations in the medium term. Annual cost savings of €0.75 million are offset by nonrecurring expenses for the closure of the plant in Singapore in the amount of around €1 million. Provisions have already been recognized for some of these expenses in the financial statements for the first nine months.
The relocation of production from Asia to Germany does not mean that the market is becoming less attractive for us. Quite the opposite, in fact: we generated sales growth of 20.3% in the region in the first nine months of 2015, and we intend to further expand our market position. To achieve this, we will intensify our sales presence and our cooperation with established players on the Asian market – with products made in Germany.
In the third quarter, we also recognized increased expenses for the establishment of a sophisticated Group-wide risk and quality management system.
On account of the developments described above, First Sensor AG is revising its forecast for the operating result (EBITDA) for the current fiscal year from €15-17 million to €12-14 million.
The strategic realignment that has been initiated will begin to significantly improve First Sensor's competitiveness and earnings strength from the next fiscal year onward. The raised sales target up to €136 million for fiscal year 2015 is the first indication of this.
We would like to thank all of our employees for their hard work and dedication. Let us now use the same degree of commitment to bring fiscal year 2015 to a successful close!
Dr. Martin U. Schefter Dr. Mathias Gollwitzer CEO CFO
First Sensor AG's shares enjoyed excellent development in the third quarter of 2015. After muted performance in the second quarter, the share price accelerated during the period under review, peaking at a high of €12.95.
This represents an increase of 24.5% on the closing price of €10.40 on June 30. This rally was primarily due to a number of positive company reports, including the increased sales guidance and forecast for 2015 that was published in late July. Analysts from M.M. Warburg and Hauck & Aufhäuser also confirmed their "Buy" recommendations for First Sensor AG's shares. The share price climbed to €12.60 on August 19, its highest level since February 2008.
The devaluation of the Chinese currency by the country's government in late August then triggered substantial price losses on the global stock markets, a development that First Sensor AG's shares were unable to escape. The share price fell by more than 10% in just a few days, bottoming out at €11.24 before rapidly recovering once again to reach a high for the quarter of €12.95 on September 2.
The turbulence affecting the emerging markets gave rise to fears of negative consequences for the major global economies and continued to provide for uncertainty and considerable volatility on the international financial markets. Weak economic data in the US prevented the expected turnaround in the country's interest rate policy in September, leading to even greater nervousness among market participants.
Late September also saw the VW emissions scandal. The company's market capitalization plummeted in the space of just a few days, dragging the entire stock market down with it. In this market environment, First Sensor AG's
shares surrendered their previous gains and fell to €11.00 on September 29, the lowest level in the third quarter of 2015. Although the share price recovered at the very end of the quarter, it failed to recapture the highs recorded during the period under review.
Despite this, First Sensor's shares enjoyed respectable price growth of 10.1% on a quarterly basis.
The average number of First Sensor shares traded each day saw extremely positive development, increasing to 14,590 in the third quarter of 2015 compared with an average daily volume of 2,701 shares in the second quarter of 2015.
The TecDAX rose by 6.4% in the third quarter, while the Prime All Share Index fell by 9.7%.
| in € thousand, unless otherwise indicated |
Dec. 31, 2014 | Sep. 30, 2015 | Δ absolute | in % |
|---|---|---|---|---|
| Share capital (€) | 50,655,055 | 50,801,315 | 146,260 | 0.3 |
| Market capitalization | 98,777 | 116,335 | 17,558 | 17.8 |
| Share price (€), XETRA closing price | 9.75 | 11.45 | 1.70 | 17.4 |
| Net profit attributable to shareholders | 175 | 247 | 72 | 41.1 |
| Number of shares (weighted) | 10,046,396 | 10,146,819 | 100,423 | 1.0 |
| Earnings per share (€) | 0.02 | 0.02 | 0 | 0.0 |
| ISIN | DE0007201907 | ||
|---|---|---|---|
| Ticker Symbol | SIS | ||
| Class of security | No-par value ordinary bearer share | ||
| Market segment | Regulated market | ||
| Transparency level | Prime Standard | ||
| Trading centers | XETRA, all German stock exchanges | ||
| Industry | Technology | ||
| IPO | 1999 | ||
| Designated sponsor | equinet Bank AG | ||
| Analysts | Warburg Research, Hauck & Aufhäuser Institutional Research |
First Sensor is a developer and manufacturer of customer-specific high-end sensor solutions. These innovative specialized sensor solutions are used for the high-quality conversion of nonelectric variables (radiation, light, pressure, flow rate, position, speed, fill level, etc.) into electric variables that are then used in our customers' electronic systems. This means that our sensor solutions make an important contribution to the competitiveness of our customers' products..
First Sensor's future strategy for its sensor products will focus on three growing areas of business in the Industrial, Medical, and Mobility sectors. The three business units have been created as part of this plan, which will ensure a consistent focus on markets and customers. The broad mix of sectors means that the company is generally independent of cyclical developments in the individual sectors.
The business units are supported by the Competence Center for Research & Development and Production as well as a global sales organization.
Customers include prominent industrial groups and research institutes. Most of First Sensor's sensor solutions are used as key components in a wide range of applications in many different industries.
There was the following change in the basis of consolidation in the past quarter: First Sensor Technology GmbH, Berlin, was merged into First Sensor AG by dissolution without liquidation by way of the transfer of its entire assets under the terms of the merger agreement dated August 24, 2015 and the resolution approving the merger that was passed on the same day.
First Sensor Microelectronic Packaging GmbH (FSP) entered into a profit and loss transfer
agreement with First Sensor AG on April 10, 2015. This was approved by resolution of the shareholders' meeting of the company on August 12, 2015 and the Annual General Meeting of First Sensor AG on May 28, 2015. The agreement was entered in the commercial register of FSP on September 18, 2015.
To support the reorganized company structure, the following companies were renamed with uniform company names each beginning with "First Sensor" in the second quarter:
| Microelectronic Packaging Dresden GmbH | First Sensor Microelectronic Packaging GmbH |
|---|---|
| Silicon Micro Sensors GmbH | First Sensor Mobility GmbH |
| Lewicki microelectronic GmbH | First Sensor Lewicki GmbH |
| Sensortechnics Scandinavia AB | First Sensor Scandinavia AB |
| Sensortechnics Ltd. | First Sensor Technics Ltd. |
In connection with cost optimization measures within the Group, the Management Board resolved to close the production site in Singapore at the end of the current fiscal year. The existing production will be distributed across other locations and the production facilities will be
gradually relocated accordingly. Some of the resulting obligations are reported as provisions in this interim financial report. Provisions have been recognized for expenses for the termination of the rental agreement and employment contracts and for other restoration obligations.
In the first nine months, First Sensor's total sales increased by 11.3% year-on-year to €102.6 million (previous year: €92.2 million). This is due primarily to the higher level of sales in the Business Unit Industrial. Sales
in the Business Units Medical and Mobility also enjoyed double-digit growth. The sales distribution between the business units was as follows:
| in € thousand | 9M 2014 | 9M 2015 | Δ absolute | in % |
|---|---|---|---|---|
| Industrial | 50,842 | 56,200 | 5,358 | 10.5 |
| Medical | 15,564 | 17,343 | 1,779 | 11.4 |
| Mobility | 25,815 | 29,317 | 3,502 | 13.6 |
| Others | -7 | -225 | -218 | - |
| Total | 92,214 | 102,635 | 10,421 | 11.3 |
The regional distribution of sales for the key regions was as follows:
| Sales in € thousand | 9M 2014 | 9M 2015 | Δ Δ absolute | in % |
|---|---|---|---|---|
| Germany | 46,161 | 52,567 | 6,406 | 13.9 |
| France | 2,026 | 2,326 | 300 | 14.8 |
| Italy | 843 | 711 | -132 | -15.7 |
| Benelux | 4,406 | 4,875 | 469 | 10.6 |
| Great Britain | 4,798 | 5,010 | 212 | 4.4 |
| Scandinavia | 11,491 | 11,006 | -485 | -4.2 |
| Rest of Europe | 10,643 | 10,402 | -241 | -2.3 |
| North America | 3,219 | 5,339 | 2,120 | 65.9 |
| Asia | 8,315 | 10,006 | 1,691 | 20.3 |
| Rest of world | 312 | 393 | 81 | 26.0 |
| Total | 92,214 | 102,635 | 10,421 | 11.3 |
Around half of consolidated sales are generated in the Germany sales region. Europe accounts for one-third of sales. Scandinavia stands out with sales of more than €11 million thanks to a customer in the Business Unit Mobility. The growth of over 65% in North America is extremely satisfactory. The Asian region also met expectations with sales of
€10 million and year-on-year growth in excess of 20%.
Gross profit, the earnings contribution calculated as the difference between sales and the attributable production costs, is broken down at the level of the individual business units as follows:
| Gross profit in € thousand |
9M 2014 | 9M 2015 |
|---|---|---|
| Industrial | n/a | 16,382 |
| Medical | n/a | 4,556 |
| Mobility | n/a | 4,272 |
| Total | n/a | 25,210 |
This corresponds to a gross profit margin in terms of sales as shown in the following table:
| in % | 9M 2014 | 9M 2015 |
|---|---|---|
| Industrial | n/a | 29.1 |
| Medical | n/a | 26.3 |
| Mobility | n/a | 14.6 |
| Total | n/a | 25.0 |
In addition to sales, the total performance of €102.3 million (previous year: €94.0 million) includes capitalized own work and changes in inventories of finished goods and work in progress. The increase is primarily due to increased sales. Changes in inventories declined by €2.4 million year-on-year, while own work capitalized increased by €0.3 million.
Other operating income fell by €0.7 million to €2.1 million (previous year: €2.8 million) as a result of the lower proceeds from subsidies and allowances from successfully completed development projects, as well as the income from benefits in kind that was taken directly to equity in the previous year in connection with the share matching scheme for members of the Management Board.
At 50.7%, the cost of materials ratio was up 1.6 percentage points on the same period of the previous year. This was due primarily to valuation allowances on inventories, the change in the product mix in the first nine months and the impact of the deterioration in the USD exchange rate on the cost of materials in procurement.
Personnel expenses increased by €1.6 million year-on-year to €-31.0 million (previous year: €-29.4 million). This does not include the expenses in the amount of €0.4 million that were taken directly to equity in the previous year in connection with the aforementioned share matching scheme. The increase was due largely to the appointment of new staff. Overall, the company had 50 more employees than at September 30 in the previous year. Despite this, the above-average increase in total performance meant that the personnel expenses ratio improved to 30.3%, down 0.9 percentage points on the same period of the previous year.
| Number of employees (FTE) |
Dec. 31, 2014 |
Sep. 30, 2015 |
|---|---|---|
| Industrial | n/a | 87 |
| Medical | n/a | 58 |
| Mobility | n/a | 98 |
| Competence Center Production |
n/a | 418 |
| Competence Cen ter Development |
n/a | 35 |
| Specialist areas, sales, manage ment |
n/a | 83 |
| Total | 756 | 779 |
Other operating expenses increased by €2.1 million to €-12.3 million (previous year: €-10.2 million). This was due to higher non-recurring expenses in connection with the closure of the production site in Singapore, the intensification of trade fair activities, and the €0.8 million increase in legal and consultancy fees. The ratio in terms of total performance increased by 1.2 percentage points to 12.0%.
This resulted in a year-on-year reduction in earnings before interest, taxes, depreciation and amortization (EBITDA) to €9.2 million (previous year: €11.1 million), which corresponds
to an EBITDA margin in relation to total performance of 9.0% (previous year: 11.8%).
on of depreciation for completed development projects, and additional depreciation and amortization due to new investments.
Consolidated earnings (EBIT) declined by €2.4 million to €2.3 million (previous year: €4.7 million). This corresponds to an EBIT margin of 2.2% (previous year: 5.0%). The distribution between the business units is shown below. Oncharged expenses and changes in cost allocation could lead to further shifts in earnings in future:
| EBIT in € thousand |
Δ 9M 2014 |
Δ 9M 2015 |
EBIT margin (%) |
|---|---|---|---|
| Industrial | n/a | 9,661 | 17.2 |
| Medical | n/a | 902 | 5.2 |
| Mobility | n/a | 1,445 | 4.9 |
| Others, con solidation |
n/a | -9,633 | - |
| Total | 4,707 | 2,257 | 2.2 |
The financial result improved by €0.1 million to €-1.6 million (previous year: €-1.7 million) as a result of the discontinuation of factoring and the net gains on the forward foreign exchange contracts concluded. Interest expenses improved slightly year-on-year to €-1.6 million as a result of more favorable interest conditions.
This resulted in a consolidated profit after tax of €0.4 million for the first nine months (previous year: €2.6 million).
Orders on hand in the Group amounted to €91.0 million at September 30, 2015, an increase of €4.6 million compared with December 31, 2014 (€86.4 million). Incoming orders declined by €2.8 million but remained at a high level of €106.8 million (previous year: €109.6 million).
Accordingly, the ratio of incoming orders to sales (book-to-bill) fell to 1.04 (previous year: 1.19).
| in € thousand | 9M 2014 | 9M 2015 | Δ absolute | in % |
|---|---|---|---|---|
| Sales revenues | 92,214 | 102,635 | 10,421 | 11.3 |
| Incoming orders | 109,576 | 106,801 | -2,775 | -2.5 |
| Ordes on hand (previous year as at Dec. 31) | 86,428 | 90,970 | 4,542 | 5.3 |
| Book-to-bill-ratio | 1.19 | 1.04 | -0.15 | -12.6 |
Orders on hand, incoming orders and the book-to-bill ratios are broken down by business unit in the following tables:
| Orders on hand in € thousand |
Dec. 31, 2014 |
Sep. 30, 2015 |
Incoming orders in € thousand |
9M 2014 |
9M 2015 |
Book-to-bill-ratio | 9M 2014 |
9M 2015 |
|---|---|---|---|---|---|---|---|---|
| Industrial | n/a | 39,869 | Industrial | n/a | 56,533 | Industrial | n/a | 1.01 |
| Medical | n/a | 17,788 | Medical | n/a | 19,217 | Medical | n/a | 1.11 |
| Mobility | n/a | 33,313 | Mobility | n/a | 31,051 | Mobility | n/a | 1.06 |
| Total | 86,428 | 90,970 | Total | 109,576 | 106,801 | Total | 1.19 | 1.04 |
The ad hoc disclosure published on October 12, 2015 contained a correction of the earnings forecast due to non-recurring effects in the previous quarter. Despite this, the Management Board is raising the sales forecast for its operating business for the current fiscal year up to €136 million. However, it is also lowering its EBITDA forecast to €12-14 million on account of the non-recurring effects described below:
As part of the strategic concentration of production capacity at profitable units, the location in Singapore is being closed. Ongoing production will be divided between the existing German locations, thus improving utilization and cutting costs. First Sensor expects to save
around €0.8 million per year starting from 2016. This will be offset by the non-recurring closure costs of around €1 million. The company has taken precautions to ensure that it can continue to serve the strategically important Asian market reliably in the future.
The strategic realignment toward high-growth markets and their higher-margin business segments led to the recognition of a non-recurring valuation allowance of around €1.4 million on the Group's inventories in the third quarter. This was attributable to inventory products from a wide range of areas from the past, whose remaining stocks have no longer been part of the new, targeted marketing and sales concept since 2014.
With the integration and the aim of clearly positioning the company as a quality provider in a higher-margin environment over the medium term, the Group also began to develop a sophisticated Group-wide risk and quality management system. Owing to the increased transparency and a redefined risk assessment, additional quality risks have already been identified and taken into account. The expansion of risk and quality management will continue on an ongoing basis.
However the management raised the guidance for development of sales in current year up to € 136 million.
The aim of First Sensor's financial management is to ensure adequate liquidity at all times for the production processes, growth and investments.
The promissory note loans totaling €31.0 million that were issued at the end of fiscal year 2013 are repayable on maturity (€19.0 million in December 2016 and €12.0 million in December 2018), meaning that only repayments of current investment finance and interest payments were incurred in the period under review.
The short-term utilization of overdraft facilities due to the factoring that was discontinued with effect from April 30, 2015 was reduced significantly as of the reporting date and no longer has an influence on the net debt from factoring as at September 30.
The composition of net debt is shown in the following table:
| in € thousand | 2014 | Q3 2015 | Δ absolute |
|---|---|---|---|
| Non-current financial liabilities | -41,176 | -39,479 | 1,697 |
| Current financial liabilities | -3,075 | -8,145 | -5,070 |
| Cash and cash equivalents | 14,525 | 11,539 | -2,986 |
| Net debt | -29,726 | -36,085 | -6,359 |
In the area of financial liabilities, there was a reclassification of €1.7 million to the shortterm maturity category. In the area of current financial liabilities, the utilization of overdraft
facilities was reduced to just €2.1 million. This was due to the aforementioned termination of the factoring agreement, as well as short-term financing for current business operations. Cash and cash equivalents fell by €-3.0 million due to being tied up in working capital, and particularly in the higher level of accounts receivable due to the expansion of operating business.
Cash flow from investing activities of €-4.2 million relates primarily to investments in machinery and equipment.
| in € thousand | 9M 2014 | 9M 2015 |
|---|---|---|
| Intangible assets | -656 | -919 |
| Property, plant and equipment | -2,928 | -3,952 |
| Investments | -3,584 | -4,871 |
| Investment grants | 346 | 661 |
| Other effects | 23 | 6 |
| Cash flow from investment activities | -3,215 | -4,204 |
| Intangible assets | -2,403 | -2,830 |
| Property, plant and equipment | -3,976 | -4,151 |
| Depreciation and amortization | -6,379 | -6,981 |
In order to be able to assess First Sensor's solvency, the following table shows the company's liquidity in the form of liquidity ratios. To calculate the cash ratio, cash and cash equivalents are shown in relation to current liabilities. The quick ratio includes current receivables, while
the current ratio also takes inventories into account.
The short-term impact on liquidity (see Financing) has led to a reduction in these ratios:
| in % | 2014 | Q3 2015 |
|---|---|---|
| Cash ratio | 77.9 | 46.0 |
| Quick ratio | 140.7 | 131.2 |
| Current ratio | 300.8 | 246.2 |
The following table shows the condensed consolidated statement of cash flows:
| in € thousand | 9M 2014 | 9M 2015 |
|---|---|---|
| Cash flow from operating activities | 7,945 | -1,095 |
| Cash flow from investment activities | -3,215 | -4,204 |
| Cash flow from financing activities | -2,016 | 2,352 |
| Exchange differences | 53 | -39 |
| Change in cash and cash equivalents | 2,714 | -2,947 |
| Cash and cash equivalents at the beginning of the financial year | 11,357 | 14,525 |
| Cash and cash equivalents at the end of the reporting period | 14,124 | 11,539 |
| Free cash flow | 4,730 | -5,299 |
down significantly year-on-year at €-1.1 million. This was largely due to the capital tied up in working capital, as well as tax payments of around €1 million. In addition, the pre-financed factoring receivables at year-end 2014 mean that around €4.3 million of the receivables that are normally outstanding at this date have already been recognized as a cash inflow.
Free cash flow, which consists of the total of cash flow from operating activities and cash flow from investing activities, amounted to €-5.3 million in the period under review (previous year: €4.7 million). The negative figure for the first nine months is primarily due to the effects in the cash flow from operating activities described above. This was amplified by the €1.0 million increase in investment expenditure compared with the previous year.
Total assets increased from €144.9 million in the consolidated financial statements for 2014 to €148.5 million. The main changes were due to the following factors:
Intangible assets fell by €2.8 million as a result of amortization (with scheduled amortization accounting for €2.6 million). This was offset by investments of €0.9 million, which led to carrying amounts declining from €19.1 million to €17.2 million.
Internally generated intangible assets are reported separately for better clarity. Capitalization amounting to €0.7 million and current amortization meant that the reported amount was €3.9 million (previous year: €3.5 million).
Goodwill remained unchanged year-on-year at €29.8 million. The carrying amounts were subjected to an impairment test in the annual financial statements. A regular review of these carrying amounts found that no valuation allowances were necessary.
Property, plant and equipment declined by €0.6 million to €35.8 million in the period under review. This was due to amortization, which exceeded the level of investment in the first
nine months. Investments primarily related to the acquisition of technical equipment and machinery for the purposes of capacity expansion.
Inventories declined by a net figure of €1.0 million to total €28.9 million (previous year: €29.9 million). This was attributable to the valuation allowances in the amount of €1.4 million and increased purchases of materials.
The increase in accounts receivable of €10.2 million to €18.8 million compared with December 31, 2014 (previous year: €8.6 million) is attributable primarily to the factoring receivables that were sold at year-end 2014, as well as the higher level of sales in the period under review.
Other current assets and tax refund claims declined by €0.6 million to €2.5 million (previous year: €3.1 million). This was largely due to value-added tax receivables and the reversal of prepaid expenses.
Cash and cash equivalents amounted to €11.5 million at the reporting date, a decrease of €3.0 million compared with the end of the previous year. This was mainly due to the capital tied up in working capital and the higher level of operating expenses.
Accounts payable increased slightly by €0.3 million compared with December 31, 2014 to €8.5 million (previous year: €8.2 million).
Other current liabilities totaled €6.5 million at the reporting date (previous year: €6.8 million). This includes liabilities for wages and salaries, value-added tax liabilities, and other current provisions.
Group equity increased by €1.1 million as against December 31, 2014 to €73.1 million (previous year: €72.0 million). Please refer to the statement of changes in equity for further information. Due to the increase in total assets as a result of the rise in working capital, this resulted in an equity ratio of 49.2% (previous year: 49.7%).
For the purposes of segment reporting, First Sensor reports on the basis of business units as distinguishable segments within the meaning of IFRS 8. Accordingly, the Business Units Industrial, Medical, and Mobility are identified as segments and addressed in greater detail in the following section. Employees are allocated to the segments on a functional basis. Employees in the areas of production, development, sales and the cross-divisional specialist departments are reported separately.
The Business Unit Industrial offers products along the entire value chain, from unhoused sensor elements and media-isolated industrial transmitters through to complex sensor solutions. The key areas covered are length measurement, radiation and safety, building automation and air conditioning technology, industrial process monitoring, and aviation.
In the area of product development, the business unit focuses on broadening the value chain of pressure, optical and flow sensors on the basis of platform technology and the expansion of application expertise. Human resources in the area of product management have been successively strengthened with a view to realizing the defined strategic targets.
The first success has been achieved in the shape of the cooperation with the Italian Optoi Group, a leading provider in the area of SiPM (silicon photomultiplier) technology. In future, the Business Unit Industrial will work with the Optoi Group on the development, manufacture and distribution of optical sensors and systems. The corresponding cross-distribution agreement has an initial term of 36 months.
Sales increased by more than €5 million or 10.5% in the period under review. Segment EBIT of €9.7 million resulted in an EBIT margin of 17.2%. Incoming orders in the first nine months and orders on hand at September 30, 2015 serve to confirm the growth targets, while the book-to-bill ratio of 1.01 is an indicator of stable development.
| in € thousand, unless otherwise indicated | 9M 2014 | 9M 2015 |
|---|---|---|
| Sales revenues | 50,842 | 56,200 |
| Gross Profit | n/a | 16,382 |
| Gross profit margin in % | n/a | 29.1 |
| EBIT | n/a | 9,661 |
| EBIT margin in % | n/a | 17.2 |
| Orders on hand | n/a | 39,869 |
| Incoming orders | n/a | 56,533 |
| Book-to-bill ratio | n/a | 1.01 |
| Number of employees (FTE) | n/a | 87 |
The Business Unit Medical develops, produces and distributes sensor solutions for medical technology. The technologies used include optical sensors, radiation sensors, and pressure, flow and fill level sensors. EN ISO 13485 certification demonstrates compliance with the high requirements for medical products.
The Business Unit Medical recorded sales of €17.3 million in the first nine months (previous year: €15.6 million), corresponding to year-on-year growth of €1.8 million or more than 11%. EBIT in the Medical segment amounted to €0.9 million. This figure was calculated for the first time and is still subject to assumptions and estimates concerning cost allocation that could lead to changes in future. Allocable incoming orders amounted to €19.2 million in the period under review, with the book-to-bill ratio of 1.11 indicating a solid growth path for the achievement of the defined targets.
Silicon photomultipliers (SiPM) serve typical areas of application in medical technology in the fields of medical diagnosis and nuclear medicine, in analytical instruments and in the identification of radiation risks. Their immunity to magnetic fields means they are ideal for medical imaging applications. Examples include hybrid devices that combine positron emission tomography (PET) or single-photon emission computed tomography (SPECT) with magnetic resonance tomography (MRT).
The number of employees was allocated on a cost center-specific basis for the first time in fiscal year 2015, meaning that prior-period figures are not available.
| in € thousand, unless otherwise indicated | 9M 2014 | 9M 2015 |
|---|---|---|
| Sales revenues | 15,564 | 17,343 |
| Gross Profit | n/a | 4,556 |
| Gross profit margin in % | n/a | 26.3 |
| EBIT | n/a | 902 |
| EBIT margin in % | n/a | 5.2 |
| Orders on hand | n/a | 17,788 |
| Incoming orders | n/a | 19,217 |
| Book-to-bill ratio | n/a | 1.11 |
| Number of employees (FTE) | n/a | 58 |
Sales 9M 2014 - 2015
The Business Unit Mobility develops, produces, and distributes innovative pressure sensors and cameras for the automotive and vehicle industry. All quality standards are fulfilled in accordance with the strict ISO/TS 16949 quality standards for the automotive industry.
The segment enjoyed encouraging business development in the first nine months, with sales increasing by more than €3.5 million or 13.6% to €29.3 million. This was largely due to the increased demand for pressure sensors. Segment EBIT amounted to €1.4 million, corresponding to a margin of 4.9%. The strength of the US dollar in particular has had a significant negative impact on the cost of materials in the current fiscal year. However, this was largely offset thanks to the currency hedging performed by the Group. EBIT after adjustment for exchange rate effects amounted to €1.9 million, corresponding to a margin of 6.5%.
Orders on hand of more than €33 million and the book-to-bill ratio of 1.06 indicate that the growth targets for the remaining months of the year will be achieved. Incoming orders primarily relate to the product families of front cameras and pressure sensors, but additional orders have also been secured for new production runs.
Development costs of €1.2 million were recorded in the Mobility segment in the period under review. These were concentrated on innovative, cost-efficient, customer-specific solutions with a particular focus on:
The capacity for pressure sensor production at the Dresden site was successfully doubled at the start of the year, thereby safeguarding new production launches as well as the expansion of existing production activities. To achieve the increased capacity, investments amounting to €1.7 million were made primarily in equipment and operating facilities.
| in € thousand, unless otherwise indicated | 9M 2014 | 9M 2015 |
|---|---|---|
| Sales revenues | 25,815 | 29,317 |
| Gross Profit | n/a | 4,272 |
| Gross profit margin in % | n/a | 14.6 |
| EBIT | n/a | 1,445 |
| EBIT margin in % | n/a | 4.9 |
| Orders on hand | n/a | 33,313 |
| Incoming orders | n/a | 31,051 |
| Book-to-bill ratio | n/a | 1.06 |
| Number of employees (FTE) | n/a | 98 |
An ad hoc disclosure correcting the earnings forecast was published on October 12, 2015. The main items covered in the ad hoc disclosure were:
EBITDA earnings forecast for 2015 lowered from €15-17 million to €12-14 million.
Guidance for development of sales in current year raised up to €136 million.
Divestments due to plant closure in Singapore will adversely affect earnings in 2015 and lead to significant cost reduction from 2016 onward.
Valuation allowances recognized on inventories due to strategic realignment.
Forecast takes account of increased expenses arising from optimized quality and risk management.
For reporting on the outlook, opportunity and risk report, please refer to the information contained in the Annual Report 2014, which was published at the end of March 2015.
The outlook is also subject to the changes described in the supplementary report.
In terms of opportunities, First Sensor believes that the cooperation concluded in August will lead to improved prospects for expanding its business.
In future, First Sensor AG will work with the Italian Optoi Group, a leading provider in the area of SiPM (silicon photomultiplier) technology, on the development, manufacture, and distribution of optical sensors and systems. The corresponding cross-distribution agreement has an initial term of 36 months.
The strong growth in First Sensor's current business operations is also leading to increased demand in terms of development work and its implementation in production, as well as process stability. Quality risks have been identified. This risk is being countered through the targeted expansion of risk and quality management.
| ASSETS in € thousand | Dec. 31, 2014 | Sep. 30, 2015 | Δ absolute | in % |
|---|---|---|---|---|
| Intangible assets | 19,069 | 17,187 | -1,882 | -9.9 |
| Internally-generated intangible assets | 3,489 | 3,859 | 370 | 10.6 |
| Goodwill | 29,816 | 29,816 | 0 | 0.0 |
| Property, plant and equipment | 36,412 | 35,830 | -582 | -1.6 |
| Total non-current assets | 88,786 | 86,692 | -2,094 | -2.4 |
| Inventories | 29,862 | 28,862 | -1,000 | -3.3 |
| Trade accounts receivables | 8,611 | 18,851 | 10,240 | 118.9 |
| Tax refund claims | 576 | 764 | 188 | 32.6 |
| Other current assets | 2,529 | 1,762 | -767 | -30.3 |
| Cash and cash equivalents | 14,525 | 11,539 | -2,986 | -20.6 |
| Total current assets | 56,103 | 61,778 | 5,675 | 10.1 |
| TOTAL ASSETS | 144,889 | 148,470 | 3,581 | 2.5 |
| in % | Dec. 31, 2014 | Sep. 30, 2015 |
|---|---|---|
| Non-current assets | 61.3 | 58.4 |
| Inventories | 20.6 | 19.4 |
| Trade accounts receivables | 5.9 | 12.7 |
| Other current assets | 2.1 | 1.7 |
| Cash and cash equivalents | 10.0 | 7.8 |
| EQUITY AND LIABILITIES in € thousand | Dec. 31, 2014 | Sep. 30, 2015 | Δ absolute | in % |
|---|---|---|---|---|
| Share capital | 50,655 | 50,801 | 146 | 0.3 |
| Capital reserves | 16,363 | 16,539 | 176 | 1.1 |
| Earning reserves | 1,004 | 1,004 | 0 | 0.0 |
| Currency translation | -213 | 20 | 233 | 109.4 |
| Revaluation reserves | -425 | -306 | 119 | 28.0 |
| Retained earnings | 4,193 | 4,440 | 247 | 5.9 |
| Minority interest | 405 | 577 | 172 | 42.5 |
| Total equity | 71,982 | 73,075 | 1,093 | 1.5 |
| Non-current post-employment benefit obligation |
323 | 316 | -7 | -2.2 |
| Other non-current provisions | 208 | 254 | 46 | 22.1 |
| Long-term loans, excluding current portion | 41,176 | 39,479 | -1,697 | -4.1 |
| Other non-current liabilities | 5,602 | 4,981 | -621 | -11.1 |
| Deferred tax liabilities | 4,257 | 3,762 | -495 | -11.6 |
| Total non-current liabilities | 51,566 | 48,792 | -2,774 | -5.4 |
| Income tax provisions and liabilities | 1,590 | 1,090 | -500 | -31.4 |
| Other current provisions | 1,102 | 1,261 | 159 | 14.4 |
| Short-term loans and current portion of long-term loans |
3,075 | 8,145 | 5,070 | 164.9 |
| Payments received on account of orders | 545 | 1,094 | 549 | 100.7 |
| Trade accounts payables | 8,211 | 8,520 | 309 | 3.8 |
| Other current liabilities | 6,818 | 6,493 | -325 | -4.8 |
| Total current liabilities | 21,341 | 26,603 | 5,262 | 24.7 |
| TOTAL EQUITY AND LIABILITIES | 144,889 | 148,470 | 3,581 | 2.5 |
| in % | Dec. 31, 2014 | Sep. 30, 2015 |
|---|---|---|
| Equity | 49.7 | 49.2 |
| Non-current liabilities | 7.2 | 6.3 |
| Financial liabilities | 30.5 | 32.1 |
| Trade accounts payables | 5.7 | 5.7 |
| Other current liabilities | 6.9 | 6.7 |
| in € thousand | 9M 2014 | 9M 2015 | Δ absolute | Q3 2014 | Q3 2015 | Δ absolute |
|---|---|---|---|---|---|---|
| Sales revenues | 92,214 | 102,635 | 10,421 | 32,912 | 35,420 | 2,508 |
| Other operating income | 2,759 | 2,117 | -642 | 984 | 737 | -247 |
| Change in inventories of finished goods and work in progress |
1,395 | -992 | -2,387 | 169 | -2,006 | -2,175 |
| Other own work capitalized | 405 | 704 | 299 | 138 | 346 | 208 |
| Costs of materials and purchased services | -46,158 | -51,907 | -5,749 | -16,551 | -17,673 | -1,122 |
| Personnel expenses | -29,366 | -31,010 | -1,644 | -9,949 | -10,571 | -622 |
| Other operating expenses | -10,163 | -12,309 | -2,146 | -3,382 | -4,579 | -1,197 |
| Profit from operations (EBITDA) | 11,086 | 9,238 | -1,848 | 4,321 | 1,674 | -2,647 |
| Depreciation of property, plant and equipment and amortization of intangible assets |
-6,379 | -6,981 | -602 | -2.134 | -2.331 | -197 |
| Earnings before interest and tax (EBIT) | 4,707 | 2,257 | -2,450 | 2,187 | -657 | -2,844 |
| Interest income | 10 | 6 | -4 | 3 | 2 | -1 |
| Interest expenses | -1,693 | -1,632 | 61 | -546 | -533 | 13 |
| Currency gains | 83 | 1,627 | 1,544 | 2 | 259 | 257 |
| Currency losses | -129 | -1,574 | -1,445 | 0 | -476 | -476 |
| Income before tax and minority interest | 2,978 | 684 | -2,294 | 1,646 | -1,405 | -3,051 |
| Income tax expenses | -406 | -267 | 139 | -147 | 74 | 221 |
| Net profit/loss for the period | 2,572 | 417 | -2,155 | 1,499 | -1,331 | -2,830 |
| Net profit/loss for the period attributable to First Sensor AG shareholders |
2,355 | 247 | -2,108 | 1,410 | -1,386 | -2,796 |
| Net profit for the period attributable to minority interest |
217 | 170 | -47 | 89 | 55 | -34 |
| Earnings per share in € (basic) | 0.24 | 0.02 | -0.22 | 0.14 | -0.14 | -0.28 |
| Earnings per share in € (diluted) | 0.23 | 0.02 | -0.21 | 0.14 | -0.14 | -0.28 |
| in € thousand | 9M 2014 | 9M 2015 | Δ absolute | Q3 2014 | Q3 2015 | Δ absolute |
|---|---|---|---|---|---|---|
| Net profit for the period | 2,572 | 417 | -2,155 | 1,499 | -1,331 | -2,830 |
| Actuarial gains and losses on defined benefit plans |
0 | 0 | 0 | 0 | 0 | 0 |
| Taxes on other comprehensive income | 0 | 0 | 0 | 0 | 0 | 0 |
| Items not subsequently reclassified to the income statement |
0 | 0 | 0 | 0 | 0 | 0 |
| Changes from currency translations | 322 | 233 | -89 | 282 | -160 | -442 |
| Revaluation of derivative financial instruments |
41 | 170 | 129 | 24 | 276 | 252 |
| Revaluation of derivative financial instruments taxes on other comprehensive income |
0 | -51 | -51 | 0 | -83 | -83 |
| Items that can be subsequently reclassified to the income statement |
363 | 352 | -11 | 306 | 33 | -273 |
| Total comprehensive income | 2,935 | 769 | -2,166 | 1,805 | -1,298 | -3,103 |
| Thereof attributable to shareholders of First Sensor AG |
2,718 | 597 | -2,121 | 1,716 | -1,355 | -3,071 |
| Thereof attributable to minority interest | 217 | 172 | -45 | 89 | 57 | -32 |
| in € thousand | Number of shares in thou. |
Capital stock |
Capital reserves |
Earning reserves |
Currency translation |
Revaluation reserves |
Retained earnings |
Minority interest |
Total sharehol ders' |
|---|---|---|---|---|---|---|---|---|---|
| As at January 1, 2014 | 9,981 | 49,907 | 15,960 | 1,004 | -570 | -495 | 4,018 | 182 | 70,006 |
| Net profit for the period | 2,355 | 217 | 2,572 | ||||||
| Other comprehensive income |
322 | 41 | 363 | ||||||
| Total comprehensive income |
322 | 41 | 2,355 | 217 | 2,935 | ||||
| Share-based remuneration | 207 | 207 | |||||||
| Capital increase | 126 | 629 | 93 | 722 | |||||
| Appropriation of earnings | 0 | ||||||||
| As at September 30, 2014 | 10,107 | 50,536 | 16,260 | 1,004 | -248 | -454 | 6,373 | 399 | 73,870 |
| in € thousand | Number of shares in thou. |
Capital stock |
Capital reserves |
Earning reserves |
Currency translation |
Revaluation reserves |
Retained earnings |
Minority interest |
Total sharehol ders' |
|---|---|---|---|---|---|---|---|---|---|
| As at January 1, 2015 | 10,131 | 50,655 | 16,363 | 1,004 | -213 | -425 | 4,193 | 405 | 71,982 |
| Net profit for the period | 247 | 172 | 419 | ||||||
| Other comprehensive income |
233 | 119 | 352 | ||||||
| Total comprehensive income |
233 | 119 | 247 | 172 | 771 | ||||
| Share-based remuneration | 122 | 122 | |||||||
| Capital increase | 29 | 146 | 54 | 200 | |||||
| Appropriation of earnings | 0 | ||||||||
| As at September 30, 2015 | 10,160 | 50,801 | 16,539 | 1,004 | 20 | -306 | 4,440 | 577 | 73,075 |
| in € thousand | 9M 2014 | 9M 2015 | Δ absolute | Q3 2014 | Q3 2015 | Δ absolute |
|---|---|---|---|---|---|---|
| Income before tax and minority interest | 2,978 | 684 | -2,294 | 1,646 | -1,405 | -3,051 |
| Interest paid | 1,683 | 1,626 | -57 | 543 | 529 | -14 |
| Depreciation of property, plant and equipment and amortization of intangible assets |
6,379 | 6,981 | 602 | 2,134 | 2,331 | 197 |
| Income from investment grants | -346 | -661 | -315 | -149 | -358 | -209 |
| Gains and losses on disposal of fixed assets | -13 | -8 | 5 | 6 | 3 | -3 |
| Other non-cash expenses and income | -775 | 54 | 829 | -1,050 | 14 | 1,064 |
| Changes in provisions | -670 | 198 | 868 | 289 | 965 | 676 |
| Changes in working capital | -2,976 | -8,931 | -5,955 | -327 | 2,874 | 3,201 |
| Changes in other assets and liabilities | 1,198 | -573 | -1,771 | 1,068 | 519 | -549 |
| Income tax paid | 487 | -465 | -952 | 186 | 578 | 392 |
| Cash flow from operating activities | 7,945 | -1,095 | -9,040 | 4,346 | 6,050 | 1,704 |
| Payments for investments in property, plant and equipment and intangible assets |
-3,584 | -4,871 | -1,287 | -958 | -1,870 | -912 |
| Proceeds from disposal of property, plant and equipment, intangible assets and investments |
13 | 0 | -13 | -6 | 0 | 6 |
| Proceeds from investment grants | 346 | 661 | 315 | 149 | 358 | 209 |
| Interest received | 10 | 6 | -4 | 3 | 4 | 1 |
| Cash flow from investment activities | -3,215 | -4,204 | -989 | -812 | -1,508 | -696 |
| Proceeds from shareholders | 722 | 321 | -401 | 86 | 146 | 60 |
| Repayments from financial liabilities | -3,080 | -2,406 | 674 | -650 | -591 | 59 |
| Proceeds from loans | 1,225 | 5,779 | 4,554 | 0 | -1,457 | -1,457 |
| Interest paid | -883 | -1,342 | -459 | -276 | -497 | -221 |
| Cash flow from financing activities | -2,016 | 2,352 | 4,368 | -840 | -2,399 | -1,559 |
| Net change in cash and cash equivalents | 2,714 | -2,947 | -5,661 | 2,694 | 2,143 | -551 |
| Currency differences from converting funds | 53 | -39 | -92 | 45 | -23 | -68 |
| Cash and cash equivalents at the beginning of the financial period |
11,357 | 14,525 | 3,168 | 11,385 | 9,419 | -1,966 |
| Cash and cash equivalents at the end of the financial period |
14,124 | 11,539 | -2,585 | 14,124 | 11,539 | -2,585 |
The parent company is First Sensor AG, domiciled in Berlin, Peter-Behrens-Str. 15, 12459 Berlin, and entered in the commercial register of Berlin in Department B under HRB 69326. First Sensor AG is listed in the regulated market on the Frankfurt Stock Exchange in the Prime Standard segment under ISIN DE0007201907.
First Sensor AG and its subsidiaries, referred to hereinafter as "First Sensor", operate in the sensor production and microsystems technology industries. The company's business focuses mainly on the development, manufacture and distribution of customer-specific semiconductor sensors and sensor systems.
First Sensor also develops and manufactures highly reliable customized hybrid circuits and products for microsystem engineering and advanced packaging.
The consolidated financial statements for 2014 were approved by the Supervisory Board on March 25, 2015, and were published on the First Sensor AG website.
First Sensor's consolidated financial statements for 2014 have been prepared in accordance with the applicable International Financial Reporting Standards (IFRS) as at the balance sheet date and the interpretations of the International Financial Reporting Interpretations Committee (IFRIC) that must be applied in the European Union.
In the consolidated interim financial report as at September 30, 2015, which was prepared on the basis of International Accounting Standard (IAS) 34 "Interim Financial Reporting", the same accounting policies were used as in the consolidated financial statements for fiscal year 2014.
The interim financial statements were prepared in euro (€). Unless otherwise indicated, all amounts have been stated in thousands of euro (€ thousand). The fiscal year of First Sensor AG and its consolidated subsidiaries corresponds to the calendar year.
The statement of comprehensive income has been prepared using the nature of expense method.
To improve clarity, individual items have been summarized in the balance sheet and the statement of comprehensive income. There may be rounding differences in the presentation.
In preparing the interim financial statements, some assumptions and estimates have been made which affected the amount and the disclosure of reported assets and liabilities, earnings and expenses. In individual cases, the actual values may deviate from these assumptions or estimates at a later stage. Relevant changes will be made once more accurate information is available.
All assumptions and estimates are made to the best of our knowledge and belief in order to provide a true and fair view of the Group's net assets, financial position and results of operations.
The Group's basis of consolidation changed compared with the consolidated financial
statements for 2014 as a result of the merger of First Sensor Technology GmbH into First Sensor AG. There were no other changes.
The Supervisory Board of First Sensor AG has appointed Dr. Mathias Gollwitzer as the CFO of First Sensor AG for a three-year term with effect from August 10, 2015. In addition to finance and controlling, Dr. Gollwitzer will be responsible for procurement, human resources, IT and process development, investor relations, and legal issues in his role as CFO.
No operations were discontinued in the first nine months of 2015. The closure of the company in Singapore at the end of the year does not qualify as a discontinued operation within the meaning of IAS 35 in conjunction with IFRS 5.
The company has issued a declaration of compliance pursuant to Article 161 AktG (German Stock Corporation Act) and the declaration of business management pursuant to Article 289a HGB (German Commercial Code). These declarations are made permanently available on the company's website at www.first-sensor.com/en/.
To the best of our knowledge, and in accordance with the applicable reporting principles, the financial statements give a true and fair view of the net assets, financial position and results of operations of the Group, and the consolidated management report includes a fair review of the development and performance of the business and the position of the Group for the first nine months of the financial year, together with a description of the principal opportunities and risks associated with the expected development of the Group for the remaining months of the financial year.
Berlin, November 12, 2015
First Sensor AG
CEO CFO
Dr. Martin U. Schefter Dr. Mathias Gollwitzer
This report contains statements of a predictive nature and does not represent any incitement to purchase shares of First Sensor AG, but rather is intended exclusively for information purposes with regard to possible future developments at the company.
All future-oriented specifications in this consolidated interim financial report were produced on the basis of a probability-based plan and represent statements regarding the future which cannot be guaranteed.
| Date | Topic | Location |
|---|---|---|
| March 24, 2016 | Publication of consolidated Financial Report 2015 |
|
| March 24, 2016 | Annual press conference | |
| May 2, 2016 | Publication of consolidated 3-Month Financial Report as at March 31, 2016 |
|
| May 4, 2016 | Annual General Meeting | Penta Hotel Berlin Köpenick, Grünauer Str. 1, 12557 Berlin, Germany |
| August 11, 2016 | Publication of consolidated 6-Month Financial Report as at June 30, 2016 |
|
| November 10, 2016 |
Publication of consolidated 9-Month Financial Report as at September 30, 2016 |
|
| November 2016 | Analysts' conference First Sensor AG/ German Equity Capital Forum 2016 |
As we cannot rule out the possibility that dates will be changed, we recommend that you consult the latest information at www.first-sensor.com/en/investor-relations/financial-calendar/.
This consolidated interim financial report is available in German and English. Both versions are also available for download on the Internet at www.first-sensor.com/en/investor-relations/financial-publications/all-annual-reports/.
Investor Relations T +49 30 639923-760 F +49 30 639923-719
[email protected] www.first-sensor.com/de/investor-relations
T +49 30 6399 2399 F +49 30 6399 2333
www.first-sensor.com
Peter-Behrens-Str. 15 12459 Berlin, Germany [email protected]
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