"Last year we continued to drive forward our transformation and made good progress with our execution programs," said Olaf Berlien, CEO of OSRAM Licht AG. "We are keeping our promise. Osram will further accelerate the transformation.
"After a challenging fiscal year 2019, due to a weak automotive industry and a demanding takeover process, Osram is showing a robust start to the current fiscal year. The free cash flow improved by €107 million to €7 million within a year. With steady revenue of €873 million, adjusted EBITDA climbed by 22% to €114 million. The ad-justed EBITDA margin increased from 11.3% in the first quarter of the prior year to 13%. Implementing various efficiency programs at an early stage has proven to have made a significant contribution towards this positive outcome. As a result, the Management Board is taking advantage of this momentum and extended the overall savings target to €300 million.
"But of course, we will not get Osram back on track simply by making savings. We have already begun to streamline our product portfolio. This will bring operational benefits in production. We also intend to make targeted investments in research and development,” said Ingo Bank, CFO of Osram.
As of the 2020 Annual General Meeting, nearly 80% of Osram shares will be in free float. The major shareholder, ams, holds about 20% of the shares. The voting rights of the shares offered to ams will only be transferred to ams with the completion of the takeover offer - most likely in the second calendar quarter of 2020.