In the year-earlier period, comparable growth was around 4%. This trend was driven by an ongoing healthy opto semiconductor business and continued robust demand from the automotive industry.
On a nominal basis, revenue increased around 5%. Adjusted for special items, EBITDA rose about 5% from a year earlier to €179 million, translating into a margin of 18.0%. Net income from continuing operations was €92 million in the first quarter. Based on the performance in the first three months and the current market development, Osram confirms its outlook for fiscal 2017.
“In the first quarter, we continued last year’s positive trend and laid a solid foundation for the remainder of the fiscal year. Compared with the prior year, we accelerated our growth even further. Demand for our products remains strong, which shows that our strategy is working. We are on the right track,” said Olaf Berlien, CEO of OSRAM Licht AG.
The LED components business (Opto Semiconductors, or OS) reported growth in all segments in the first quarter and posted a year-on-year revenue increase of 15% on a comparable basis. Growth was especially strong in automotive and the infrared business in general. With 26.2%, the EBITDA margin was again on a good level. Construction of the new LED chip factory in Kulim, Malaysia, continues to progress according to plan.
The Specialty Lighting (SP) reporting segment, which includes the Automotive Lighting and Professional & Industrial Applications units, benefited from continued robust demand from the automotive industry and recorded revenue growth of more than eight% on a comparable basis in the first quarter. The adjusted EBITDA margin showed a slight year-on-year increase and reached 16.3%. Osram was recently awarded as ‘Automotive Lighting Brand of 2016’ in China.
In the Lighting Solutions & Systems (LSS) reporting segment, which comprises the luminaires and systems business, revenue rose around 2% on a comparable basis, supported among other things by a strong digital components business. The adjusted EBITDA margin of 0.5% was slightly above break-even. In the first quarter, Osram agreed to buy a stake of 47.5% in Tvilight, a Dutch company offering sensor technology and smart light management software for smart city solutions, among other things.
In view of the agreed sale, the general lighting lamps business (Ledvance) is now reported under discontinued operations. Due to a seasonally strong business at Ledvance, net income from discontinued operations was €6 million in the first quarter. Osram continues to believe that the sale of Ledvance will be completed during the course of fiscal 2017.