ams OSRAM reported that its strategic focus delivered a positive third quarter, with €43 million free cash flow and 9% comparable growth in its core semiconductor business.
The company stated that third-quarter revenues reached €853 million, with an adjusted EBITDA margin of 19.5%, which included a positive one-off item and sat at the midpoint of guidance. It recorded run-rate savings of approximately €185 million through its ‘Re-establish the Base’ programme.
Fourth-quarter expectations ranged between €790 and €890 million in revenue, and adjusted EBITDA of 17.5% +/-1.5%, based on an assumed EUR/USD rate of 1.16. The full-year free cash flow outlook of above €100 million remained unchanged, assuming timely receipts linked to the Chips Act. Design-win momentum remained in line with its aim of reaching €5 billion in 2025.
The company continues with its deleveraging plan, noting that the process for asset disposals intended to generate proceeds well above €500 million in 2026 stayed on schedule.
Investment in technology platforms also continued. The company signed a broad patent cross-licence agreement with Nichia to support intellectual property protection for customers. It reported progress in infrared LED and infrared laser development and introduced a two-dimensional direct Time-of-Flight sensor platform.
Aldo Kamper, CEO of ams OSRAM, stated: “Our core semiconductor business grew again like-for-like in line with our target operating model. As promised, we are delivering a stronger second half in terms of top-line, bottom-line and cash flow, despite the weaker US Dollar and higher raw material prices. At the same time, we are continuously winning new business and are preparing for future growth by launching new technology platforms.”
