HYPER GROWTH AND PROFITABILITY IN 2023
(Non-audited data)
- 47.0% quarterly revenue growth
- 50.7% revenue growth in FY 2023
- Quarterly adjusted EBITDA1 of EUR 970 thousand (24.4% of
revenue), bringing the adjusted EBITDA1 for FY 2023 to EUR 3,263
thousand (23.2% of revenue)
- Quarterly operating profit of EUR 818 thousand (20.6% of
revenue), with a cumulative operating profit of EUR 2,477 thousand
for FY 2023 (17.6% of revenue)
- Quarterly net profit of EUR 702 thousand (17.7% of revenue),
resulting in a cumulative net profit of EUR 2,140 thousand for FY
2023 (15.2% of revenue)
- Increased available cash to EUR 6,237 thousand as of
December 31, 2023
- A year that secures the trajectory of the 4G Plan and
strengthens the overall assets of the Group
- Shareholders and investors video conference - Wednesday,
January 24, 2024 at 09:30 a.m.
Regulatory News:
MEMSCAP (Euronext Paris: MEMS), leading provider of
high-accuracy, high-stability pressure sensor solutions for the
aerospace and medical markets using MEMS technology (Micro Electro
Mechanical Systems), today announced its earnings for the fourth
quarter of 2023 ending December 31, 2023.
Analysis of consolidated revenue
Consolidated revenue from continuing operations (non-audited)
for the fourth quarter of 2023 was EUR 3,973 thousand compared to
EUR 2,703 thousand for the fourth quarter of 2022, thus a growth of
47.0% and 50.7% for FY 2023.
The distribution of consolidated revenue (non-audited) from
continuing operations by market segment for the fourth quarter of
2023 and for FY 2023 is as follows:
Market segments / Revenue (In
thousands of euros) – Non-audited
Q4 2022
(3 months)
Q4 2022 (%)
Jan.-Dec. 2022
(12 months)
Jan.-Dec. 2022 (%)
Q4 2023 (3 months)
Q4 2023 (%)
Jan.-Dec. 2023
(12 months)
Jan.-Dec. 2023 (%)
Aerospace
1,849
68%
6,729
72%
2,323
58%
8,801
63%
Medical
821
30%
2,480
27%
1,066
27%
3,589
26%
Optical communications
--
--
--
--
548
14%
1,555
11%
Others (Royalties from licensed
trademarks)
33
1%
128
1%
36
1%
128
1%
Total revenue from continuing
operations
2,703
100%
9,336
100%
3,973
100%
14,073
100%
(Any apparent discrepancies in totals are due to rounding.)
Consolidated sales for the fourth quarter of 2023 confirmed the
strong momentum across all of the Group's businesses.
The aerospace segment, the Group's largest market, increased by
25.7% compared to the fourth quarter of 2022. Sales in the medical
segment increased by 29.9% during the same period.
The optical communications business generated a strong level of
activity with a revenue of EUR 548 thousand for this quarter.
Analysis of consolidated income statement
MEMSCAP’s consolidated earnings (non-audited) for the fourth
quarter of 2023 and FY 2023 are given within the following
table:
In thousands of euros –
Non-audited
Q4 2022 (3 months)
Jan.-Dec. 2022 (12 months)
Q4 2023 (3 months)
Jan.-Dec. 2023 (12 months)
Revenue from continuing
operations
2,703
9,336
3,973
14,073
Cost of revenue
(1,588)
(5,659)
(2,279)
(8,033)
Gross margin
1,115
3,677
1,694
6,040
% of revenue
41.3%
39.4%
42.6%
42.9%
Operating expenses*
(925)
(3,441)
(876)
(3,563)
Operating profit /
(loss)
190
236
818
2,477
Financial profit / (loss)
(99)
7
(132)
(304)
Income tax expense
(35)
(92)
16
(33)
Net profit / (loss) from
continuing operations
56
151
702
2,140
Profit / (loss) after tax from
discontinued operations
1,623
897
--
--
Net profit / (loss)
1,679
1,048
702
2,140
* Net of research & development grants. (Any apparent
discrepancies in totals are due to rounding.)
The gross margin rate, representing 42.6% of consolidated
revenue compared to 41.3% in the fourth quarter of 2022, increased
by 1.3 percentage point and continued to benefit from the growth in
sales volumes and the favourable evolution of the product mix
during the quarter. The gross margin thus amounted to EUR 1,694
thousand compared to EUR 1,115 thousand for the fourth quarter of
2022.
Operating expenses, net of research and development grants,
amounted to EUR 876 thousand compared to an amount of EUR 925
thousand for the fourth quarter of 2022.
For the fourth quarter of 2023, the Group posted an operating
profit from continuing operations of EUR 818 thousand (20.6% of
consolidated revenue) compared to an operating profit of EUR 190
thousand for the fourth quarter of 2022.
The financial income for the fourth quarter of 2023 was mainly
affected by an unfavourable exchange rate effect during this
quarter. The tax expense /gain recognized over the fourth quarters
of 2022 and 2023 corresponded to the change in deferred tax assets.
This tax expense / gain is a non-cash item.
Net profit after tax from continuing operations thus amounted to
EUR 702 thousand in the fourth quarter of 2023 compared to a net
profit of EUR 56 thousand in the fourth quarter of 2022.
The Group therefore reported a net profit of EUR 702 thousand in
the fourth quarter of 2023 (17.7% of consolidated revenue) compared
to a net profit of EUR 1 679 thousand in the fourth quarter of 2022
including discontinued operations. It is recalled that the net
profit for the fourth quarter of 2022 included the exceptional
capital gain of EUR 1,754 thousand related to the sale of the
foundry business assets (Custom products) of the Group’s US
subsidiary.
MEMSCAP reported an adjusted EBITDA1 of EUR 970 thousand for the
fourth quarter of 2023 and EUR 3,263 thousand for FY 2023
(non-audited), representing 23.2% of consolidated revenue. It is
noted that research and development costs were fully recognized as
expenses and were not capitalized in the Group's balance sheet.
Over the fourth quarter of 2023, the Group reported increased
available liquidities (cash and related investments), totalling EUR
6,237 thousand as of December 31, 2023, compared to EUR 5,456
thousand as of Decembre 31, 2022. At December 31, 2023, the total
amount of financial borrowings, excluding lease obligations, was
limited to EUR 128 thousand.
The increase in available cash reflected the Group's ability to
generate a strong operational cash flow in a context of
hyper-growth and associated working capital requirements.
1 Adjusted EBITDA means operating profit before depreciation,
amortisation, and share-based payment charge (IFRS 2) and including
foreign exchange gains/losses related to ordinary activities.
Perspectives
MEMSCAP’s operational and financial achievements for FY 2023
confirm the trajectory to 2026 outlined in the 4G plan focused on
achieving an average annual hyper-growth rate of 20% coupled with
high levels of profitability.
Shareholders and investors video conference - Wednesday,
January 24, 2024 at 09:30 a.m. Thank you for registering and
sending your questions in advance using the following link:
Registration for the video conference
FY 2023 financial statements: March 29, 2024.
About MEMSCAP
MEMSCAP is a leading provider MEMS based pressure sensors,
best-in-class in term of precision and stability (very low drift)
for two market segments: aerospace and medical.
MEMSCAP also provides variable optical attenuators (VOA) for the
optical communications market.
For more information, visit our website at: www.memscap.com
MEMSCAP is listed on Euronext Paris (Euronext Paris - Memscap -
ISIN code: FR0010298620 - Ticker symbol: MEMS)
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240123143105/en/
Yann Cousinet Chief Financial Officer Ph.: +33 (0) 4 76 92 85 00
yann.cousinet@memscap.com
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