LONDON — (BUSINESS WIRE) — May 6, 2015 — Dialog Semiconductor plc (FWB: DLG), a provider of highly integrated power management, AC/DC, solid state lighting and Bluetooth(R) Smart wireless technology, today reports results for its first quarter ending 3 April 2015.

Q1 2015 financial highlights

- Revenue up 41% over Q1 2014 to $311 million

- IFRS gross margin at 46.0%

- Underlying (*) EBITDA (**) up 94% to 80.2 million or 25.8% of revenue

- IFRS operating profit (EBIT) up 142% over Q1 2014 to $55.6 million or 17.9% of revenue

- Underlying (*) basic and diluted EPS up 131% and 109% respectively over Q1 2014. IFRS basic and diluted EPS up 24% and 20% respectively over Q1 20141

- Record $132 million of cash generated from operations

(1) 2014 IFRS Net Income has been adjusted. Please refer to Note 2 of the Q1 2015 Interim Report

Q1 2015 operational highlights

- Design win momentum continues for Power Management smartphone and tablet designs

- Bluetooth(R) Smart product portfolio expansion with launch of four new products, including industry's first Wearable on Chip(TM)

- IoT success continues as our low power Bluetooth Smart technology is broadly adopted

- Mediatek's latest MT6795 Octa-core Application processor powered by Dialog's sub PMIC

- Sub PMIC adopted in HTC's latest two smartphones

- LED Solid State Lighting portfolio and market expansion with new products launched

- Sensor Joint Venture announced with DYNA Image

Commenting on the results Dialog Chief Executive, Dr Jalal Bagherli, said:

"This has been an outstanding first quarter for Dialog and I am extremely pleased that our strong, consistent growth trajectory continues. Our cash generation stands at a record level, underscoring the profitability and operational leverage of our business model.

"Our growth drivers remain aligned to our strategic focus. Momentum in Power Management and Bluetooth(R) Smart continues to gather pace with new customers and the industry's first Wearable on ChipTM. The joint venture with DYNA Image brings complementary sensor technology to our product portfolio.

"This is a strong note on which to start the year and we look forward to the months ahead with confidence in the continued development of our business."

Outlook

Given our current visibility, we expect 2015 to be another year of good growth. As in previous years, revenue performance will be weighted towards the second half of the year.

We expect revenue for Q2 2015 to be in the range of $290 to $310 million.

Gross margin in Q2 2015 will remain broadly in line with Q1 2015 and improve on a year-on-year basis. Gross margin for the full year 2015 is now expected to be slightly above the full year 2014.

Financial overview

(1) Including other operating expenses/income