Earnings Release • Oct 20, 2017
Earnings Release
Open in ViewerOpens in native device viewer
Full year revenue outlook updated. Due to recent reorganisation of Consumer Sports, revenue is now expected of around €900 million.2 Outlook for adjusted EPS1 of around €0.25 is unchanged.
| Key figures |
|---|
| ------------- |
| (€ in millions, unless stated otherwise) | Q3 '17 | Q3 '16 | y.o.y. change |
YTD '17 | YTD '16 | y.o.y. change |
|---|---|---|---|---|---|---|
| Automotive & Licensing | 81.1 | 65.7 | 23% | 242.2 | 197.2 | 23% |
| Telematics | 39.4 | 36.5 | 8% | 120.1 | 113.6 | 6% |
| Consumer | 97.2 | 137.1 | –29% | 321.5 | 410.9 | –22% |
| REVENUE | 217.7 | 239.3 | –9% | 683.8 | 721.7 | –5% |
| GROSS RESULT | 140.5 | 144.6 | –3% | 433.5 | 413.2 | 5% |
| Gross margin | 65% | 60% | 63% | 57% | ||
| EBITDA | 31.2 | 33.1 | –6% | 104.4 | 102.3 | 2% |
| EBITDA margin | 14% | 14% | 15% | 14% | ||
| OPERATING RESULT (EBIT) | –6.0 | 1.0 | –170.4 | 9.4 | ||
| EBIT margin | –3% | 0% | –25% | 1% | ||
| NET RESULT | –5.3 | 0.6 | –170.0 | 17.5 | ||
| ADJUSTED NET RESULT | 18.8 | 11.7 | 60% | 46.8 | 42.8 | 9% |
| DATA PER SHARE (in €) | ||||||
| EPS - fully diluted | –0.02 | 0.00 | –0.72 | 0.07 | ||
| Adjusted EPS1 - fully diluted |
0.08 | 0.05 | 59% | 0.20 | 0.18 | 8% |
Change percentages and totals calculated before rounding.
This report includes the following non-GAAP measures: gross margin, EBIT (margin), EBITDA (margin), adjusted net result, adjusted EPS and net cash, which are further explained on page 11 of this report.
1 Earnings per fully diluted share count adjusted for acquisition-related expenses & gains, impairments and material restructuring costs on a post-tax basis.
2 Previous full year revenue guidance was around €925 million.
"Our strategy is to build on our leading position in providing navigation technologies to business customers. We are setting our priorities for the future, strengthening support for our growing B2B products. In the quarter, combined revenue of Automotive, Licensing and Telematics grew by 18% year on year and the gross margin that we generate as a Group improved from 60% to 65%. Our Consumer segment will represent less than half of total revenue in the running year. Consumer Drive will continue to provide a valuable platform for consumer insight and collecting location data."
We are updating our revenue guidance for the year. Due to recent reorganisation of Consumer Sports, we now expect to deliver full year revenue of around €900 million. Previous full year revenue guidance was around €925 million.
Despite lower revenue, adjusted EPS3 of around €0.25 remains unchanged.
We now expect the level of investments (CAPEX and OPEX combined) to show a marginal increase compared with 20164 , excluding acquisitions and restructuring charges.
On 19 September 2017, TomTom announced the start of itsshare buyback programme to repurchase ordinary TomTom shares on Euronext Amsterdam for an amount up to €50 million.
The share buyback programme will ultimately end on 29 December 2017, unless the maximum number of 5,384,450 shares has been repurchased prior to that date. TomTom will use the shares to cover its commitments arising from its stock option and share plans.
The total number of shares repurchased under this programme at the end of Q3 '17 is 663,797 shares for a total consideration of €6.1 million.5
Revenue for the third quarter amounted to €218 million, 9% lower compared with the same quarter last year (Q3 '16: €239 million). Automotive, Licensing and Telematics jointly grew by 18% year on year, which was offset by lower Consumer revenue. Gross margin for the quarter equalled 65% (Q3 '16: 60%). The net result for the quarter was a loss of €5.3 million and included a one-off restructuring charge of €15.4 million related to Consumer Sports. Adjusted EPS1 in Q3 '17 was €0.08, compared with €0.05 in the same quarter last year.
| (€ in millions) | Q3 '17 | Q3 '16 | y.o.y. change |
YTD '17 | YTD '16 | y.o.y. change |
|---|---|---|---|---|---|---|
| Automotive | 47.2 | 31.3 | 51% | 136.7 | 95.9 | 43% |
| Licensing | 33.8 | 34.4 | –2% | 105.5 | 101.3 | 4% |
| Total Automotive & Licensing revenue | 81.1 | 65.7 | 23% | 242.2 | 197.2 | 23% |
Change percentages and totals calculated before rounding.
Automotive & Licensing combined revenue in the quarter was €81 million (Q3 '16: €66 million). Automotive generated revenue of €47 million in the quarter, representing a 51% increase year on year. This increase mainly came from the ramp-up of a new contract that went live last year. Licensing revenue in Q3 '17 remained flat at €34 million compared with the same quarter last year.
3 Earnings per fully diluted share count adjusted for acquisition-related expenses & gains, impairments and material restructuring costs on a post-tax basis.
4 In 2016, CAPEX was €118 million and OPEX was €557 million. Year to date in 2017, we spent €24.5 million on acquisition-related CAPEX and €15.4 million on restructuring charges.
5 The cash outflow related to this share buyback programme will occur in the fourth quarter of this year.
In the quarter, we announced that Daimler selected TomTom Maps for its Mercedes infotainment platform, in a range of the automaker's A, C, B and E-class vehicles for the North American market. The new contract marks the strengthening of the relationship with Daimler, after the announcement of the TomTom Traffic deal for Europe, North America and Africa in March 2017.
During this year's IAA Frankfurt, we announced that our products are now available in the Peugeot 5008 SUV, through the new generation of Peugeot i-Cockpit®, the in-vehicle infotainment and control system with TomTom navigation.
We also announced at the IAA Frankfurt that we are working with Renault on the SYMBIOZ autonomous driving programme by providing the TomTom HD Map with RoadDNA, as well as engineering support and other products and services.
In the quarter, TomTom EV Service was launched which has been developed to assist drivers in making informed decisions about when and where to charge their vehicles. The real-time availability information is sourced from market leaders in EV charging locations and then integrated with the TomTom Map. The service will initially be available in Europe, with a geo-expansion planned to North America early next year. After this expansion, TomTom EV Service will list 35,000+ charging stations with real-time availability information, globally.
Our Traffic service is now available in 68 countries, after the expansion to four new countries - Egypt, Morocco, Macau and Iceland.
We have also announced that TomTom Traffic is increasingly providing Lane-Level traffic information, a feature that is critical for Autonomous Driving. Already able to detect traffic on different lanes at junctions, TomTom Traffic can now also differentiate between traffic flow on High Occupancy Vehicles (HOV) lanes and regular lanes.
Licensing announced collaborations with Sony, TripAdvisor and Michelin. TomTom Online Routing API is providing advanced routing technology to Sony, which is currently beta testing a biking navigation device (Future Lab Program N) for users in the San Francisco Bay Area. By leveraging on the geocoding capabilities of the TomTom Online Search API, TripAdvisor will be able to access TomTom's precise global address data, capable of handling millions of requests daily. TomTom Online APIs and map data will power Michelin's new mobile application specifically tailored for oversized vehicles called Michelin RoadConnect. The new service will employ our location technology to enable truck drivers to identify suitable routes and improve mobility.
| (€ in millions, unless stated otherwise) | Q3 '17 | Q3 '16 | y.o.y. 1 change |
YTD '17 | YTD '16 | y.o.y. change |
|---|---|---|---|---|---|---|
| Subscriptions | 31.6 | 29.4 | 7% | 93.6 | 87.5 | 7% |
| Hardware and other services2 | 7.8 | 7.1 | 10% | 26.5 | 26.0 | 2% |
| Total Telematics revenue | 39.4 | 36.5 | 8% | 120.1 | 113.6 | 6% |
| Monthly revenue per subscription (€) Subscriber installed base (# in thousands) |
13.6 785 |
14.6 671 |
–7% 17% |
1 Change percentages and totals calculated before rounding.
2 Other services revenue comprises installation services and separately purchased traffic service and/or map content.
Telematics revenue for the quarter was €39 million, 8% higher compared with the same quarter last year. The recurring subscription revenue for the quarter increased by 7% year on year to €32 million (Q3 '16: €29 million). Hardware and other services revenue increased by 10% year on year in the third quarter mainly due to a one-off service revenue. Monthly revenue per subscription decreased by 7% year on year, mainly due to a mix effect caused by growing aftermarket connected car volumes, which are priced at lower levels compared with the traditional fleet management services.
At the end of Q3 '17, Telematics reached 785,000 fleet management and connected car subscriptions. This represents a 17% year on year increase, from 671,000 subscriptions at the end of Q3 '16.
We continue to invest in our main Fleet Management Solution WEBFLEET. In the quarter, we provided access to all of our customers to the open beta version of the New WEBFLEET 2018, offering a complete new user interface.
In September, market research firm Berg Insight recognised TomTom Telematics as Europe's leading provider of fleet management solutions, for the third year running. According to its "Fleet Management in Europe" report, Telematics is currently twice as large as the second player.
Continuing on the Connected Car strategy, in Q3, we worked with LeasePlan on new Connected Car apps and gave them access to our cloud-based TomTom Telematics Services Platform.
| (€ in millions) | Q3 '17 | Q3 '16 | y.o.y. change |
YTD '17 | YTD '16 | y.o.y. change |
|---|---|---|---|---|---|---|
| Consumer products | 88.4 | 126.2 | –30% | 286.8 | 361.4 | –21% |
| Automotive hardware | 8.8 | 10.9 | –20% | 34.7 | 49.5 | –30% |
| Total Consumer revenue | 97.2 | 137.1 | –29% | 321.5 | 410.9 | –22% |
Change percentages and totals calculated before rounding.
Consumer revenue for the quarter decreased by 29% year on year to €97 million (Q3 '16: €137 million), reflecting a decrease in both Consumer products as well as Automotive hardware revenue.
As communicated earlier this year, the wearables market has fallen short of expectations. In line with the previously announced strategic review, our Sports business has been reduced in size. We are aligning our cost base with the current market developments while we continue to sell sports products and support our customers. We reported a restructuring charge of €15.4 million in the quarter and are further evaluating our strategic options for Consumer Sports.
We will continue to develop portable navigation devices, as the Drive business will continue to provide a valuable platform for consumer insight and collecting location data.
In the quarter, TomTom BRIDGE Hub was launched, enabling customers and partners in various industries - transportation, emergency, logistics and utilities - to connect with regular smartphones and tablets (BYOD), rugged professional devices or even HDMI displays, to create enhanced connected mobility solutions.
| (in € millions) | Q3 '17 | Q3 '16 | y.o.y. | YTD '17 | YTD '16 | y.o.y. |
|---|---|---|---|---|---|---|
| change | change | |||||
| Data, software & services | 138.9 | 120.9 | 15% | 407.7 | 358.5 | 14% |
| Hardware | 78.8 | 118.4 | –33% | 276.1 | 363.2 | –24% |
| Total revenue | 217.7 | 239.3 | –9% | 683.8 | 721.7 | –5% |
Change percentages and totals calculated before rounding.
Data, software & services revenue in the quarter was €139 million, 15% higher compared with €121 million in Q3 '16, mainly due to increase in Automotive revenue. Data, software & services accounted for 64% of the revenue in Q3 '17 compared with 51% in Q3 '16. Hardware revenue for the quarter was €79 million, 33% lower compared with €118 million in Q3 '16.
Our gross result decreased by 3% to €141 million in the quarter compared with €145 million in Q3 '16. Cost of sales in Q3 '17 included a one-off restructuring charge of €3.6 million related to the announced reorganisation in Consumer Sports.
The gross margin for the quarter was 65%, five percentage points higher compared with 60% in Q3 '16, reflecting the shift of revenue mix towards higher margin data, software & services revenue.
Total operating expenses for the quarter were €147 million, €2.8 million higher compared with €144 million in the same quarter last year. Operating expenses included a one-off restructuring charge of €11.8 million related to the announced reorganisation in Consumer Sports. Excluding this restructuring charge, operating expenses declined by €9.0 million year on year mainly due to lower marketing expenditure in the quarter.
| (€ in millions, unless stated otherwise) | Q3 '17 | Q3 '17 1 |
YTD '17 | YTD '171 |
|---|---|---|---|---|
| actual | recalculated at | actual | recalculated at | |
| Q3 '16 | YTD '16 | |||
| FX rates | FX rates | |||
| Revenue | 217.7 | 220.7 | 683.8 | 687.8 |
| Gross result | 140.5 | 140.7 | 433.5 | 437.8 |
| Gross margin | 65% | 64% | 63% | 64% |
| EBIT (YTD excl. impairment charge) | –6.0 | –7.1 | –1.7 | 0.9 |
| EBIT margin (YTD excl. impairment charge) | –3% | –3% | 0% | 0% |
| FX RATES IN € | Q3 '17 | Q3 '16 | YTD '17 | YTD '16 |
| US dollar | 1.17 | 1.11 | 1.11 | 1.11 |
| GB pound | 0.90 | 0.84 | 0.87 | 0.79 |
1 The Q3 '17 / YTD '17 income and expenses in US dollar and GB pound have been converted to euro using Q3 '16 / YTD '16 average exchange rates. All other foreign currencies have not been converted.
| (€ in millions) | Q3 '17 | Q3 '16 | y.o.y. | YTD '17 | YTD '16 | y.o.y. |
|---|---|---|---|---|---|---|
| change | change | |||||
| Cost of sales | 4.3 | 1.9 | 129% | 10.3 | 6.2 | 66% |
| Research and development | 3.0 | 3.4 | –10% | 9.2 | 9.1 | 2% |
| Amortisation of technology and databases | 24.4 | 22.6 | 8% | 71.2 | 64.3 | 11% |
| Marketing | 0.1 | 0.1 | 11% | 0.3 | 0.2 | 7% |
| Selling, general and administrative | 5.4 | 4.3 | 26% | 15.0 | 13.1 | 15% |
| Impairment charge | 168.7 | |||||
| Total | 37.2 | 32.3 | 16% | 274.7 | 93.0 | |
| Of which acquisition-related | 13.8 | 13.7 | 1% | 210.3 | 41.1 |
Change percentages and totals calculated before rounding.
Total depreciation and amortisation was €37 million in Q3 '17, compared with €32 million in the same quarter last year. Acquisitionrelated amortisation remained flat at €14 million in the quarter (Q3 '16: €14 million).
Financial income and expenses, excluding results of associates, amounted to an expense of €0.4 million in Q3 '17 compared to a gain of €0.1 million in Q3 '16.
The net income tax for the quarter was a gain of €0.8 million versus a net income tax expense of €0.6 million in the same quarter last year.
| (€ in millions, unless stated otherwise) | Q3 '17 | Q3 '16 | y.o.y. change |
YTD '17 | YTD '16 | y.o.y. change |
|---|---|---|---|---|---|---|
| Net result | –5.3 | 0.6 | –170.0 | 17.5 | ||
| Net result attributed to equity holders | –5.3 | 0.6 | –169.8 | 17.5 | ||
| Remeasurement of deferred tax liability | –7.6 | |||||
| Impairment charge | 168.7 | |||||
| Acquisition-related amortisation | 15.3 | 13.7 | 11% | 45.8 | 41.1 | 11% |
| Restructuring charge | 15.4 | 15.4 | ||||
| Tax effect of adjustments | –6.6 | –2.6 | 155% | –13.3 | –8.2 | 62% |
| Adjusted net result | 18.8 | 11.7 | 60% | 46.8 | 42.8 | 9% |
| Adjusted EPS, € fully diluted | 0.08 | 0.05 | 59% | 0.20 | 0.18 | 8% |
Change percentages and totals calculated before rounding.
The net result for the quarter was a loss of €5.3 million compared with a gain of €0.6 million in Q3 '16. The adjusted net result for the quarter was a gain of €19 million compared with €12 million in Q3 '16.
Adjusted EPS for the quarter was €0.08, compared with €0.05 in the same quarter last year.
At the end of the quarter, trade receivables plus other receivables totalled €227 million compared with €219 million at the end of Q3 '16. The inventory level at the end of the quarter was €53 million, compared with €61 million at the end of the same quarter last year. Cash and cash equivalents at the end of the quarter were €105 million versus €129 million at the end of Q3 '16.
Current liabilities excluding deferred revenue were €271 million compared with €300 million at the end of Q3 '16.
Deferred revenue was €240 million at the end of Q3 '17, compared with €206 million at the end of the same quarter last year. The year on year increase reflects increased Automotive deferred revenue position on contracts with upfront payments for multi-year service offerings.
At 30 September 2017, we reported a net cash position of €102 million (Q3 '16: net cash of €81 million). Net cash is the sum of the cash and cash equivalents at the end of the period (€105 million) minus the nominal amount of the borrowings (€3.0 million).
The cash flow from operating activities for the quarter was €48 million compared with €54 million in Q3 '16, a decrease of 10%. This year on year decrease in operating cash flow was mainly driven by lower cash flows received from working capital movements versus prior year.
The cash flow used in investing activities during the quarter decreased by €3.2 million year on year to €29 million (Q3 '16: €32 million). The vast majority of our investments related to map content and various technology platforms to support growth in Automotive and Licensing.
| CAPEX (excluding acquisitions) | ||||||
|---|---|---|---|---|---|---|
| (€ in millions) | Q3 '17 | Q3 '16 | y.o.y. change |
YTD '17 | YTD '16 | y.o.y. change |
| Map content | 8.6 | 7.9 | 9% | 22.6 | 18.6 | 21% |
| Mapmaking platform | 7.8 | 8.7 | –10% | 23.9 | 24.2 | –1% |
| Applications | 3.6 | 3.6 | –2% | 11.6 | 10.6 | 9% |
| Customer specific | 5.0 | 5.3 | –6% | 16.0 | 15.2 | 5% |
| Telematics | 2.1 | 2.6 | –20% | 9.9 | 7.4 | 34% |
| Other | 1.8 | 3.8 | –53% | 6.8 | 15.1 | –55% |
| Total | 28.8 | 31.9 | –10% | 90.8 | 91.2 | 0% |
The cash flow from financing activities was an inflow of €0.9 million, reflecting cash inflow from the exercises of employee stock options. In the quarter, 183 thousand options (Q3 '16: 340 thousand options) were exercised.
| (€ in thousands) | Q3 '17 | Q3 '16 | YTD '17 | YTD '16 |
|---|---|---|---|---|
| Unaudited | Unaudited | Unaudited | Unaudited | |
| REVENUE | 217,666 | 239,331 | 683,819 | 721,711 |
| Cost of sales | 77,149 | 94,690 | 250,323 | 308,507 |
| GROSS RESULT | 140,517 | 144,641 | 433,496 | 413,204 |
| Research and development expenses | 51,636 | 50,680 | 155,401 | 140,888 |
| Amortisation of technology and databases | 24,429 | 22,571 | 71,231 | 64,304 |
| Marketing expenses | 11,633 | 19,159 | 47,656 | 55,762 |
| Selling, general and administrative expenses | 58,827 | 51,278 | 160,883 | 142,858 |
| Impairment charge | 168,687 | |||
| TOTAL OPERATING EXPENSES | 146,525 | 143,688 | 603,858 | 403,812 |
| OPERATING RESULT | –6,008 | 953 | –170,362 | 9,392 |
| Interest result | –247 | –404 | –740 | –1,086 |
| Other financial result | –115 | 513 | 1,741 | 991 |
| Result of associates | 203 | 97 | 556 | 558 |
| RESULT BEFORE TAX | –6,167 | 1,159 | –168,805 | 9,855 |
| Income tax (expense) / gain | 821 | –594 | –1,153 | 7,663 |
| NET RESULT | –5,346 | 565 | –169,958 | 17,518 |
| Attributable to: | ||||
| - Equity holders of the parent | –5,285 | 595 | –169,797 | 17,453 |
| - Non-controlling interests | –61 | –30 | –161 | 65 |
| NET RESULT | –5,346 | 565 | –169,958 | 17,518 |
| Basic number of shares (in thousands) | 235,227 | 232,424 | 234,246 | 231,413 |
| Diluted number of shares (in thousands) | 237,772 | 235,265 | 237,134 | 234,898 |
| EARNINGS PER SHARE (in €) | ||||
| Basic | –0.02 | 0.00 | –0.72 | 0.08 |
| Diluted¹1 | –0.02 | 0.00 | –0.72 | 0.07 |
In 2017, no additional shares from assumed conversion are taken into account as the effect would be anti-dilutive.
| (€ in thousands) | 30 September 2017 | 31 December 2016 |
|---|---|---|
| Unaudited | Audited | |
| Goodwill | 254,525 | 400,318 |
| Other intangible assets | 787,726 | 795,771 |
| Property, plant and equipment | 35,539 | 40,398 |
| Deferred tax assets | 9,369 | 12,046 |
| Investments in associates | 4,184 | 3,941 |
| TOTAL NON-CURRENT ASSETS | 1,091,343 | 1,252,474 |
| Inventories | 53,141 | 54,078 |
| Trade receivables | 164,467 | 132,424 |
| Other receivables and prepayments | 62,383 | 46,115 |
| Other financial assets | 1,210 | |
| Cash and cash equivalents | 105,220 | 142,527 |
| TOTAL CURRENT ASSETS | 385,211 | 376,354 |
| TOTAL ASSETS | 1,476,554 | 1,628,828 |
| Share capital | 47,064 | 46,577 |
| Share premium | 1,068,482 | 1,051,890 |
| Treasury shares | –6,116 | |
| Other reserves | 269,207 | 234,502 |
| Accumulated deficit | –548,528 | –338,138 |
| EQUITY ATTRIBUTABLE TO EQUITY HOLDERS OF THE PARENT | 830,109 | 994,831 |
| Non-controlling interests | 1,533 | 1,906 |
| TOTAL EQUITY | 831,642 | 996,737 |
| Borrowings | 2,835 | 9,586 |
| Deferred tax liability | 93,305 | 97,282 |
| Provisions | 37,160 | 54,406 |
| Deferred revenue | 132,908 | 107,151 |
| TOTAL NON-CURRENT LIABILITIES | 266,208 | 268,425 |
| Trade payables | 64,510 | 76,630 |
| Income taxes | 1,730 | 1,289 |
| Other taxes and social security | 10,164 | 9,383 |
| Provisions | 52,867 | 36,410 |
| Deferred revenue | 107,303 | 97,256 |
| Accruals and other liabilities | 142,130 | 142,698 |
| TOTAL CURRENT LIABILITIES | 378,704 | 363,666 |
| TOTAL EQUITY AND LIABILITIES | 1,476,554 | 1,628,828 |
| (€ in thousands) | Q3 '17 | Q3 '16 | YTD '17 | YTD '16 |
|---|---|---|---|---|
| Unaudited | Unaudited | Unaudited | Unaudited | |
| Operating result | –6,008 | 953 | –170,362 | 9,392 |
| Financial (losses) | –3,315 | –1,960 | –2,918 | –1,559 |
| Depreciation, amortisation and impairment | 37,177 | 32,140 | 274,727 | 92,951 |
| Change in provisions | 11,475 | –2,422 | 3,205 | –834 |
| Equity-settled stock compensation expenses | 2,346 | 816 | 6,748 | 2,750 |
| Changes in working capital: | ||||
| Change in inventories | 212 | –10,535 | –290 | –12,647 |
| Change in receivables and prepayments | –11,657 | 19,192 | –45,172 | –27,880 |
| Change in liabilities (excluding provisions)1 | 21,149 | 22,571 | 17,849 | 17,024 |
| CASH GENERATED FROM OPERATIONS | 51,379 | 60,755 | 83,787 | 79,197 |
| Interest received | 48 | 42 | 199 | 128 |
| Interest (paid) | –214 | –364 | –690 | –966 |
| Corporate income taxes (paid) | –3,082 | –6,695 | –8,313 | –9,716 |
| CASH FLOWS FROM OPERATING ACTIVITIES | 48,131 | 53,738 | 74,983 | 68,643 |
| Investments in intangible assets | –25,313 | –27,489 | –79,986 | –74,471 |
| Investments in property, plant and equipment | –3,457 | –4,409 | –10,815 | –16,702 |
| Acquisition of subsidiaries and other businesses | –24,493 | –2,331 | ||
| Dividend received | 106 | 50 | 106 | 130 |
| CASH FLOWS FROM INVESTING ACTIVITIES | –28,664 | –31,848 | –115,188 | –93,374 |
| Change in utilisation of credit facility | –30,000 | –7,000 | 3,000 | |
| Repayment of borrowings | –708 | –4,287 | ||
| Change in non-controlling interest | –98 | –123 | –98 | |
| Dividends paid | –11 | –138 | ||
| Proceeds on issue of ordinary shares | 860 | 1,255 | 11,840 | 8,923 |
| CASH FLOWS FROM FINANCING ACTIVITIES | 860 | –28,854 | 4,009 | 7,400 |
| Net increase / (decrease) in cash and cash equivalents | 20,327 | –6,964 | –36,196 | –17,331 |
| Cash and cash equivalents at the beginning of period | 85,041 | 136,391 | 142,527 | 147,565 |
| Exchange rate changes on cash balances held in foreign currencies | –148 | –165 | –1,111 | –972 |
| CASH AND CASH EQUIVALENTS AT THE END OF PERIOD | 105,220 | 129,262 | 105,220 | 129,262 |
1 Includes movements in the non-current portion of deferred revenue presented under Non-Current liabilities
The condensed consolidated financial information for the three-month and nine-month period ended 30 September 2017 with related comparative information has been prepared using accounting policies which are based on International Financial Reporting Standards (IFRS) as endorsed by the EU. Accounting policies and methods of computation followed in the condensed consolidated financial information, for the period ended 30 September 2017, are the same as those followed in the Financial Statements for the year ended 31 December 2016. Further disclosures as required under IFRS for a complete set of consolidated financial statements are not included in the condensed consolidated financial information. Unless otherwise indicated, the condensed consolidated financial information in this press release has not been audited nor reviewed.
The financial information in this report includes measures, which are not defined by generally accepted accounting principles (GAAP) such as IFRS. We believe this information, along with comparable GAAP measurements, gives insight to investors because it provides a basis for evaluating our operational performance. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information presented in compliance with GAAP. Wherever appropriate and practical, we provide reconciliations to relevant GAAP measures.
EBIT is equal to our operating result
EBIT margin is calculated as operating result divided by revenue
EBITDA is equal to our operating result plus depreciation, amortisation and impairment charges
EBITDA margin is calculated as operating result plus depreciation, amortisation and impairment charges divided by revenue Adjusted net result is calculated as net result attributed to equity holders adjusted for acquisition-related expenses and gains, impairments and material restructuring costs on a post-tax basis
Adjusted EPS is calculated as adjusted net result divided by the weighted average number of diluted shares over the period Net cash is defined as our cash and cash equivalents minus the nominal value of our outstanding borrowings
TomTom Investor Relations [email protected] +31 20 757 5194
The information for results audio webcast is as follows:
TomTom is listed at NYSE Euronext Amsterdam in the Netherlands ISIN: NL0000387058 / Symbol: TOM2
TomTom (TOM2) empowers movement. Every day millions of people around the world depend on TomTom to make smarter decisions. We design and develop innovative products that make it easy for people to keep moving towards their goals. Our map-based components include map content, online map-based services, traffic, and navigation software. Our consumer products include PNDs, navigation apps, and sports watches. Our main business products are custom in-dash navigation systems and a fleet management system, which is offered to fleet owners as an online service with integrated in-vehicle cellular devices. Our business consists of four customer facing business units: Automotive, Licensing, Telematics and Consumer. Founded in 1991 and headquartered in Amsterdam, we have more than 4,700 employees worldwide. For further information, please visitwww.tomtom.com.
This document contains certain forward-looking statements with respect to the financial position and results of TomTom's activities. We have based these forward-looking statements on our current expectations and projections about future events, including numerous assumptions regarding our present and future business strategies, operations and the environment in which we will operate in the future. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, and you should not place undue reliance on them. Many of these risks and uncertainties relate to factors that are beyond TomTom's ability to control or estimate precisely, such as levels of customer spending in major economies, changes in consumer preferences, the performance of the financial markets, the levels of marketing and promotional expenditures by TomTom and its competitors, costs of raw materials, employee costs, exchange-rate and interest-rate fluctuations, changes in tax rates, changes in law, acquisitions or disposals, the rate of technological changes, political developments in countries where the company operates and the risk of a downturn in the market. Statements regarding market share, including the company's competitive position, contained in this document are based on outside sources such as specialised research institutes, industry and dealer panels in combination with management estimates.
The forward-looking statements contained herein speak only as of the date they are made. We do not assume any obligation to update any public information or forward-looking statement in this document to reflect events or circumstances after the date of this document, except as may be required by applicable laws.
This document contains inside information as meant in clause 7 of the Market Abuse Regulation.
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.