EANS-Adhoc

ams AG / ams reports first quarter 2017 results above previous guidance; sequential revenue growth expected for second quarter; fully on track for expected second half 2017 ramp-ups; significantly increased customer forecasts and revenue pipe - Seite 2

to EUR 13.6 million in the same period last year. Basic and diluted
earnings per share were CHF -0.23/-0.23 or EUR -0.22/-0.21 based on
74,496,209/76,213,409 shares (basic/diluted; weighted average)
compared to CHF 0.22/0.21 or EUR 0.20/0.19 for the first quarter 2016
based on 68,667,002/70,932,874 shares (basic/diluted; weighted
average).

Operating cash flow for the first quarter was EUR 26.1 million
compared to EUR 7.5 million in the same quarter last year. Total
backlog on March 31, 2017 (excluding consignment stock agreements)
was EUR 195.6 million - a sharp increase compared to EUR 136.1
million at the end of the fourth quarter 2016 and EUR 126.2 million
on March 31, 2016.

ams' business had a strong start into the year in the first quarter
of 2017 recording a meaningful quarter-on-quarter increase in
revenues amid solid demand from most end markets. These results
demonstrate ams' strong market position in both the consumer and
smartphone markets and across its balanced portfolio of consumer and
non-consumer businesses.

The consumer and communications business showed attractive results in
the first quarter based on overall better volumes across ams' broad
customer base. Leading OEMs rely on the company's solutions and drove
positive run rates of ams' high performance optical sensor solutions
including ambient light sensing, proximity sensing and other optical
applications. ams' other consumer product lines including audio
solutions saw continued good volume shipments to a range of device
vendors which contributed positively to ams' first quarter results.
Design momentum in ams' consumer business remains strong as OEMs
realize the attractiveness of ams' offering across key areas of
sensing. ams' multi-year project and product pipeline is supported
and advanced by the company's clear development focus on next
generation sensing in optical / 3D, audio and environmental.

ams is receiving positive market feedback on the acquisition of
Princeton Optronics which ams announced in the quarter. ams' ability
to offer a complete value chain in optical sensing including VCSEL
illumination sources opens up very attractive new growth
opportunities for the coming years. ams sees the potential to
increase its presence in consumer and smartphone applications as well
as future automotive applications for 3D sensing, based on the
combination of Princeton and ams technologies.

ams' industrial, medical, and automotive businesses performed well in
the first quarter 2017. Demand in these non-consumer end markets is
showing positive momentum and appears improved when compared to last