AMSSY - ams-OSRAM AG (AMSSY) Q1 2024 Earnings Call Transcript
2024-04-26 17:25:22 ET
ams-OSRAM AG (AMSSY)
Q1 2024 Earnings Conference Call
April 26, 2024 04:00 AM ET
Company Participants
Juergen Rebel - Head of Investor Relations
Aldo Kamper - CEO
Rainer Irle - CFO
Conference Call Participants
François-Xavier Bouvignies - UBS Investment Bank
Janardan Menon - Jefferies
Robert Sanders - Deutsche Bank
Jurgen Wagner - Stifel
Didier Scemama - Bank of America
Sebastien Sztabowicz - Kepler Cheuvreux
Sandeep Deshpande - JPMorgan
Presentation
Operator
Ladies and gentlemen, welcome to the conference call on the first quarter 2024 results. My name is Tracy [ph], the Chorus Call operator. I would like to remind you that all participants will be in a listen-only mode and the conference is being recorded. The presentation will be followed by a question-and-answer session. [Operator Instructions]
At this time, it is my pleasure to hand over to Juergen Rebel, Head of Investor Relations. Please go ahead, sir.
Juergen Rebel
Good morning, everyone. This is Juergen speaking. I would like to welcome you to our first quarter 2024 earnings call for investors and analysts. With me today are Aldo Kamper, our CEO; and Rainer Irle, our CFO. Aldo will comment as usual on business and strategy update, and Rainer will comment on financials. After our introductory remarks, we are happy to answer your questions. Aldo and Rainer will refer to the earnings call presentation that you find on our website. For additional information, please bear in mind that we also have a full deck available on the website.
Aldo, please walk us through the Q1 business and strategy update.
Aldo Kamper
Thank you, Juergen, and good morning to everyone also from my side. We delivered again a solid business performance in the first quarter in spite of significant market uncertainty. So let's take a look at Slide #2 here. Q1 Group revenues decreased quarter-on-quarter and came in at €847 million,. €61 million lower than in Q4. [Technical difficulty] revenue therefore increased around 5% year-on-year.
We are quite happy that our underlying core business is getting back into structural growth mode besides a certain cyclical element. The increase is driven by both automotive and consumer semiconductor business, but other verticals remain an inventory correction.
Adjusted EBIT margin came in at 5.2%, below the midpoint of the guided range. With our ad-hoc announcement on the microLED on February 28, we indicated we will no longer be able to capitalize R&D expenses for the cornerstone project. This weighs on EBIT with around €11 million in Q1. Without this effect, we would have again come in above the midpoint of the guided adjusted EBIT range. In absolute terms, adjusted EBIT stood at €44 million compared to €62 million in Q4 '23....
ams-OSRAM AG (AMSSY) Q1 2024 Earnings Call Transcript