EANS-Adhoc

ams AG / ams reports second quarter revenues above guidance range despite negative EUR/USD trend; revised expected revenue growth CAGR 2016-2019 of more than 40%, EBIT margin target confirmed; - Seite 2

(including acquisition-related and share-based compensation costs) at 35%,
compared to 56% and 53% respectively in the same quarter 2016. In the first half
of 2017, adjusted gross margin (excluding acquisition-related and share-based
compensation costs) stood at 44% and IFRS reported gross margin (including
acquisition-related and share-based compensation costs) at 37%, compared to 57%
and 54% respectively in the first half of 2016.

The adjusted result from operations (EBIT) (excluding acquisition-related and
share-based compensation costs) for the second quarter was EUR 1.3 million or 1%
of revenues in line with previous expectations, decreasing from EUR 24.4 million
in the same period 2016. The IFRS reported result from operations (EBIT)
(including acquisition-related and share-based compensation costs) for the
second quarter was a loss of EUR 21.5 million or -12% of revenues, down from a
profit of EUR 16.7 million in the same period 2016. This expected result
reflects the underutilization of expanded capacity in ams' Heptagon business in
the second quarter. For the first half of 2017, the adjusted EBIT (excluding
acquisition-related and share-based compensation costs) was EUR 5.4 million,
down from EUR 52.6 million in the same period 2016, and the IFRS reported EBIT
(including acquisition-related and share-based compensation costs) was a loss of
EUR 35.3 million, down from a profit of EUR 36.4 million in the first half year
2016.

The net result for the second quarter was a loss of EUR 17.8 million compared to
a profit of EUR 19.6 million in the same period last year. Basic and diluted
earnings per share were
CHF -0.23/-0.22 or EUR -0.21/-0.21 based on 83,327,015/86,462,424 shares (basic/
diluted; weighted average) compared to CHF 0.32/0.31 or EUR 0.29/0.28 for the
second quarter 2016 based on 68,085,043/70,016,054 shares (basic/diluted;
weighted average). The net profit for the first half year 2017 was a loss of EUR
34.0 million, equivalent to CHF -0.47/-0.45 or EUR -0.43/
-0.42 per share (basic/diluted) based on 78,870,841/81,254,354 shares (basic/
diluted; weighted average), compared to a profit of EUR 33.2 million, i.e. CHF
0.53/0.52 or EUR 0.49/0.47 per share (basic/diluted) based on 68,321,871/
70,388,158 shares (basic/diluted; weighted average), for the same period last
year.

Operating cash flow for the second quarter was EUR -33.1 million compared to EUR
7.3 million in the second quarter last year, while operating cash flow for the
first half was EUR -7.0 million compared to EUR 14.8 million in the first half
year 2016. Total backlog on June 30, 2017 (excluding consignment stock
agreements) was EUR 211.0 million compared to EUR 195.6 million at the end of