Grenoble, France and Dallas, TX, USA – December 20, 2019 - Tronics, a TDK Group Company that manufactures custom MEMS products and standard inertial sensors, has announced its results for the first half of fiscal year 2020 (from April 1 to September 30, 2019).
Tronics' Management Board met on December 11, 2019, and approved the accounts for the first half of fiscal year 2020 ending on September 30, 2019, which were presented to the Supervisory Board on the same day.
The half-year financial report has been made publicly available and submitted to the French Market Authorities this day. This report is uploaded on the company's investors website, in the ”Financial Documents” section: www.tronicsgroup-bourse.com.
Consolidated 2020 half-year results
|in €k (IFRS) - unaudited||First half of
fiscal year 2020
|First half of
fiscal year 2019
|From April 1 to September 30, 2019||From April 1 to
September 30, 2018
|Group share of net income||(5,578)||(4,787)|
Consolidated 2020 half-year results
Revenue for the first half of fiscal year 2020 totalled more than €3.0M, nearly stable compared to the same period of last fiscal year (from April 1 to September 30, 2018). The entry into production of new products explains both the growth of +29% for the manufacturing activities, which generated revenue of €2.1M, and the 33% decrease in the engineering activities, which represented less than €1.0M.
Over the first half of fiscal year 2020, structural charges decreased significantly by €-1.2M compared to the first half of fiscal year 2019, mainly due to the adjustments on the structure of the American site. R&D teams have continued the work related to the development of a new generation of high-performance MEMS inertial sensors. Consolidated operating income for the first half of fiscal year 2020 as of September 30, 2019 amounted to €-3.8M.
After recognition of a financial loss of €1.9M related to the increase in the debt combined with a negative foreign currency exchange impact on the loans granted by Tronics' mother company, TDK Electronics AG (a large amount of this debt being accounted in dollars), the Group share of the consolidated net income was €-5.7M.
As of September 30 2019, the equity of Tronics amounted to €-13.8M, including the losses generated by the Group at both production sites during the half-year period.
Cash amounted to €3.2M and the gross debt to €36.4M, mainly related to the debt towards TDK Electronics AG. During the first half of fiscal year 2020, Tronics benefited from loans granted by TDK Electronics AG for a total of €7.5M.
For the second half of its fiscal year 2020, Tronics targets another increase of the share of its Manufacturing activities, which should be sustained by the momentum confirmed at Crolles in the previous periods.
During the fiscal year 2020, Tronics expects an improvement in its current operating income compared to the previous fiscal year 2019. This improvement will come from the adjustments made in the structure of the American subsidiary since the end of the previous fiscal year.
The net income of the fiscal year 2020 will strongly depend on the further development of the euro/dollar exchange rate related to the loans granted by TDK Electronics AG and recognized in financial results.
About Tronics Microsystems
Tronics Microsystems is a division of TDK's Temperature & Pressure Sensors Business Group that manufactures custom MEMS products and standard inertial sensors. Addressing high-growth markets relying on increasing miniaturization of electronic devices, the company provides custom and standard products especially to the industrial, aeronautics, security, and medical markets. Founded in 1997, Tronics is located in Crolles, near Grenoble (France) and in Dallas, Texas (United States), and has around 100 employees, most of them engineers and scientists. Following a tender offer ending January 2017, TDK Electronics AG (formerly EPCOS AG) now holds 74 percent of Tronics' shares.
* ISIN code: FR0004175099 ALTRO
About TDK Corporation
TDK Corporation is a leading electronics company based in Tokyo, Japan. It was established in 1935 to commercialize ferrite, a key material in electronic and magnetic products. TDK's comprehensive portfolio features passive components such as ceramic, aluminum electrolytic and film capacitors, as well as magnetics, high-frequency, and piezo and protection devices. The product spectrum also includes sensors and sensor systems such as temperature and pressure, magnetic, and MEMS sensors. In addition, TDK provides power supplies and energy devices, magnetic heads and more. These products are marketed under the product brands TDK, EPCOS, InvenSense, Micronas, Tronics and TDK-Lambda. TDK focuses on demanding markets in the areas of information and communication technology and automotive, industrial and consumer electronics. The company has a network of design and manufacturing locations and sales offices in Asia, Europe, and in North and South America. In fiscal 2019, TDK posted total sales of USD 12.5 billion and employed about 105,000 people worldwide.
Sales & Marketing Manager
Phone: 00 33 4 76 97 29 50
For more information: www.tronicsgroup-bourse.com/en/
- News release on accounts, results
Full and original press release in PDF: https://www.actusnews.com/news/61446-pr_tronics_h1-t124-half-year-results_12.20.19_eng_vdef.pdf