Eindhoven, the Netherlands – Signify (Euronext: LIGHT) has announced the company’s first-quarter 2021 results.
“Our first-quarter performance demonstrates the execution of our strategy, as we report growth driven by our connected businesses and our growth platforms. The adaptive measures we took in 2020, combined with continued pricing discipline, cost and working capital management, resulted in improvements in our operating margin and free cash flow. Our teams have also begun to execute our new ‘Brighter Lives, Better World 2025’ sustainability program, which aims to double our positive impact on the environment and society in 2025,” said CEO Eric Rondolat.
“While we see signs of an economic recovery, supply chain performance is being challenged by component shortages, which are impacting the first half, and will, to a lesser extent, impact the second half of the year. We expect the continued vaccination rollouts and easing of lockdowns to drive an upswing in demand for our professional portfolio in the second half of the year. We are therefore aiming for mid-single-digit full-year comparable sales growth and further year-on-year operating margin improvements, driven by our digital businesses.”
First quarter 20211
- Signify’s installed base of connected light points increased from 77 million in Q4 20 to 83 million in Q1 21
- Sales of EUR 1,599 million; 12.0% nominal sales growth and CSG of 3.2%
- LED-based sales represented 82% of total sales (Q1 2020: 79%2)
- Adj. EBITA margin improved by 290 bps to 10.8%
- Net income increased to EUR 60 million (Q1 20: EUR 27 million)
- Free cash flow increased to EUR 168 million (Q1 20: EUR 112 million)
- Net debt/EBITDA ratio of 1.4x (Q1 20: 2.7x)