Significant Increase in Full Year Sales Year-On-Year Driven by Growth Mainly in Automotive and Industrial Businesses and Integration of Intersil.
Achieved Improvements in Year-On-Year Full Year Gross and Operating Margins
- Q4 2017: Non-GAAP(1) semiconductor sales of 206.5 billion yen, up 28.0% year-on-year. Non-GAAP gross margin of 47.9%, up 2.3 points year-on-year and Non-GAAP operating profits (margin) of 34.1 billion yen (16.2%), up 11.3 billion yen (up 2.5 points) year-on-year
- Full Year 2017: Non-GAAP semiconductor sales of 765.7 billion yen, up 23.4% year-on-year. Non-GAAP gross margin of 46.7%, up 3.1 points year-on-year and Non-GAAP operating profits (margin) of 128.1 billion yen (16.4%), up 50.1 billion yen (up 4.2 points) year-on-year
- Outlook for Q1 2018: Non-GAAP semiconductor sales of 178.7 billion yen, up 3.5% year-on-year, Non-GAAP gross margin of 43.9%, down 1.6 points year-on-year and Non-GAAP operating margin of 11.3%, down 5.1 points year-on-year
TOKYO — (BUSINESS WIRE) — February 8, 2018 — Renesas Electronics Corporation (TSE:6723, “Renesas”), a premier supplier of advanced semiconductor solutions, today reported financial results for the fourth quarter ended December 31, 2017 (October 1, 2017 to December 31, 2017) and financial results for the year ended December 31, 2017 (January 1, 2017 to December 31, 2017).
“We have been continuously improving our gross and operating margins by pursuing sales growth and cost efficiency,” said Bunsei Kure, Representative Director, President and CEO, Renesas Electronics Corporation. “Our fourth quarter non-GAAP semiconductor sales increased by 28.0% year on year, driven by increased sales mainly in the automotive and industrial businesses, in addition to the integration of Intersil. We expect to achieve traction in semiconductor sales during the coming quarter on a year-on-year basis.”
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Quarterly Financial Summary (Billion yen) |
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| Non-GAAP basis |
Q4 FY2017
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Q3 FY2017
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Q3 FY2016
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QoQ | YoY | |||||
| Net Sales | 210.2 | 195.5 | 166.4 | +7.5% | +26.3% | |||||
| Semi. Sales | 206.5 | 192.3 | 161.4 | +7.4% | +28.0% | |||||
| Gross Margin | 47.9% | 47.7% | 45.6% | +0.2pts | +2.3pts | |||||
| Operating Income | 34.1 | 35.9 | 22.8 | -1.9 | +11.3 | |||||
| Operating Margin | 16.2% | 18.4% | 13.7% | -2.2pts | +2.5pts | |||||
| EBITDA (2) | 54.5 | 55.0 | 38.6 | -0.5 | +15.9 | |||||
| Japan GAAP basis |
Q4 FY2017
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Q3 FY2017
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Q3 FY2016
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QoQ | YoY | |||||
| Net Sales | 210.2 | 195.5 | 166.4 | +7.5% | +26.3% | |||||
| Semi. Sales | 206.5 | 192.3 | 161,4 | +7.4% | +28.0% | |||||
| Gross Margin | 47.7% | 47.6% | 44.9% | +0.1pts | +2.8pts | |||||
| Operating Income | 21.9 | 25.0 | 21.6 | -3.1 | +0.3 | |||||
| Operating Margin | 10.4% | 12.8% | 13.0% | -2.4pts | -2.6pts | |||||
| EBITDA | 52.6 | 54.1 | 37.4 | -1.5 | +15.1 | |||||
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Yearly Financial Summary (Billion yen) |
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Non-GAAP
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Full-Year 2017
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Full-Year 2016
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YoY | |||
| Net Sales | 781.5 | 638.8 | +22.3% | |||
| Semi. Sales | 765.7 | 620.4 | +23.4% | |||
| Gross Margin | 46.7% | 43.6% | +3.1pts | |||
| Operating Income | 128.1 | 78.0 | +50.1 | |||
| Operating Margin | 16.4% | 12.2% | +4.2pts | |||
| EBITDA | 203.0 | 138.8 | +64.2 | |||
| Japan GAAP basis |
Full Year 2017
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Full Year 2016
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YoY | |||
| Net Sales | 780.3 | 638.8 | +22.1% | |||
| Semi. Sales | 764.4 | 620.4 | +23.2% | |||
| Gross Margin | 45.2% | 42.4% | +2.8pts | |||
| Operating Income | 78.4 | 70.4 | +8.0 | |||
| Operating Margin | 10.0% | 11.0% | -1.0pts | |||
| EBITDA | 187.1 | 131.2 | +55.9 | |||
| (1) | Non-GAAP Basis: Results excluding non-recurring and certain other items. Non-GAAP basis excludes the impact of sales and profit/loss of Renesas SP Drivers, impact of profit/loss of LTE modem business and profit/loss from inventory buildup until the end of FY2016 ended December 2016. Starting from FY2017 ended December 2017, Non-GAAP definition was revised to exclude amortization of goodwill, amortization of purchased intangible assets, costs related to the Intersil acquisition, stock-based compensation cost, costs related to the offering, and PPA (purchase price allocation) effects associated with the Intersil acquisition. (Reference: The impact on the operating income from the inventory buildup in FY2017 Q4 was negative 0.1 billion yen.) See page 6 for reconciliation of Japan GAAP and Non-GAAP. | |
| (2) | EBITDA: Operating income + Depreciation and amortization + Amortization of long-term prepaid expenses. Amortization of goodwill is also included for Japan GAAP-based EBITDA. | |
