OSRAM implementation of large recovery stocks are still optimistic about the future of the LED industry

Implement treasury stock is expected to start in 2016 bought nearly 10% shares

In November 10th, OSRAM Monitoring Committee through the management committee's proposal will perform large Treasury shares. The repurchase of shares will be launched in the first quarter of fiscal year 2016, will be completed within 12 to 18 months. Is expected to cost 500 million euros ($3 billion 429 million 550 thousand), a total of about 9.81% shares to buy back. The Management Committee for the purpose of stock repurchases unlimited. The implementation of treasury shares to be issued will complete the dividend per share of 0.9 euros ($6.17) in February 2016, the annual meeting of shareholders released.

Pasa financial officer Claus (Klaus Patzak) said: "after the company staff attention announced retirement plans and other matters, the implementation of treasury stock is for the welfare of our shareholders do insist, this also is OSRAM's consistent policy. "

OSRAM 2015 fiscal year financial report

The 2015 fiscal year ended in September, OSRAM's pre tax earnings before depreciation amortization (EBITA, hereinafter referred to as the pre tax profit before income) excluding special items to rise, an increase of 26% last year, up to 567 million euros ($3 billion 889 million), profit to 10.2%.

Cost savings, favorable exchange rates and organizational simplification are all helpful to increase returns. Data show that despite the high conversion costs, pre tax interest income (EBITA) reached 5.3%, and net profit reduced to $171 million ($1 billion 170 million).

At the same time, revenue rose 8%, almost up to Euro 5 billion 600 million ($38 billion 400 million). In comparable periods, such as products and favorable exchange rates, revenues remained stable, with only a slight decrease of about 1%. According to the current structure of the company, OSRAM is expected to be comparable, the 2016 fiscal year earnings will be slightly lower than the fiscal year 2015. Due to the impact of OSRAM's white LED Diamond product development, and other growth plans, adjusted pre tax profit may be significantly lower than the 2015 fiscal year. On the contrary, the increase in the amount of shares sold FSL shares, is expected to significantly enhance net profit. OSRAM also confirmed at the shareholders' meeting, the 2015 fiscal year, the proposed dividend of $0.9 per share ($6.17). In the 2016 fiscal year, OSRAM is also expected to release a dividend of $0.9 per share ($6.17).

In a rapidly changing market, OSRAM continued to adapt to the industry, systematic adjustment of the company's operations, in recent years, the success of the company set foot on the road to profitability. One of the most drastic changes in OSRAM is to spin off the lights in the 2015 fiscal year. This change involves the establishment of an independent organization, the scope of the revenue of 2 billion euros ($13 billion 700 million), a total of about 11000 plants in a total of about 18 people. In addition, OSRAM also reorganized the company's strategy to determine the process, improve efficiency and enhance flexibility, organizational downsizing.

In this structure with the central management of release, the single group is regarded as a "global startups", must fully responsible for the development, production and sales business.

OSRAM CEO Olaf Burlin (Olaf Berlien), said: OSRAM's excellent performance in the 2015 fiscal year from the company in recent years to adjust the operating strategy in a timely manner. We are committed to improving the growth rate of white LED "Diamond" product development objective not only in the consolidation of the company leadership, but also to expand the scope of application, become the industry of high-tech lighting industry pioneer. We also hope that it will greatly enhance our market position in large general LED lighting. "

4Q '15 OSRAM overall performance

In the fourth quarter, OSRAM's revenue grew 7% to $1 billion 430 million ($9 billion 800 million). But in the meantime the traditional lighting industry fell 2%. Benefit from capacity improvement, adjusted pre tax profit increased by more than 9.5%. LED lamps and solutions accounted for 46% of the fourth quarter lamps revenue, compared to last year, accounting for an increase of 39%, up by 7%.

OSRAM financial reporting for the fourth quarter

OSRAM Opto Semiconductors (OS) operating sector revenue rose 5% in the fourth quarter. The main revenue from automotive and industrial lighting. Pre tax interest margins also reached an ideal 19.2%.

Special lighting (SP) in the automotive lighting and display / optical units, due to the huge demand for LED products, revenue also rose 5%. In contrast, pre tax profit before special lighting decreased by 11.5%. This result is due to the cost of automotive lighting and LED lighting products R & D costs.

Lighting solutions and system utilities (LSS) consists of LED modules and LED drives and other components, as well as lighting, solutions and services. Due to the growth of digital systems, revenue to a business group compared to the same period last year, an increase of 2%. Adjusted pre tax interest margin increased by 0.4%.

Lighting business includes general lighting. Due to the continued decline in demand for traditional lighting, lamps at this stage in the comparable period in the fourth quarter fell 8%. Adjusted pre tax profit of 4.7%. Free cash flow of 63 million euros ($20 million 577 thousand and 300), the best figure for the third quarter earnings.

2016 fiscal year forecasts

The following outlook focuses on the current structure of the company and therefore includes general lighting. In the 2016 fiscal year, the decision Committee expects revenue will decline slightly compared with the same period in 2015. The pre tax profit will be significantly lower than the 2015 fiscal year, will increase the cost of the reasons, mainly because of white light LED Diamond products R & D, related growth plans and spin off the general lighting