Melexis Q1 2007 results

Intermediate declaration by the Board of Directors
Ieper, Belgium - April 25th, 2007, 07.00 hrs CET

Highlights:
- Revenues in EUR in the same range as the 1st quarter of last year.
- If Melexis would report in USD, there would be an increase of sales.

Revenues for the first quarter were 50.5 million EUR, a slight decrease of 1% compared to the same quarter of the previous year. Geographically, revenues remain well-balanced worldwide.

Gross margin was 20.8 million EUR, a decrease of 3% as compared to the same quarter last year. The operating result was 9.9 million EUR, a decrease of 12% compared to the same quarter of 2006.
Net profit was 8.4 million EUR, compared to 8.7 million EUR in the same quarter of last year, resulting in a profit of 20 cent per share.
R&D expenses amounted to 14% of our sales in Q1/07 and Selling and G&A remained at 7% of sales.

Rudi De Winter, CEO of Melexis, comments:
“Though non-automotive business in Q1/07 was weak, the core business is strong. Our growth in EUR for our automotive activities was 8% compared to the same quarter last year. If the USD would have been our reporting currency, our automotive growth would have been 17% vs. the same quarter of last year." 

Outlook for 2007:
For the full year 2007, without currency effects, we expect a revenue growth of 10-15% compared to 2006. The evolution of the USD to the EUR will influence sales figures expressed in either of these currencies. The profit is slightly affected by the USD weakness. Net profit margin is estimated to be between 16 and 18%.