u-blox Updates and Increases Guidance for FY 2021

Rhea-AI Summary

u-blox (OTC PINK: UBLXF) has revised its financial guidance for FY 2021. Revenue is projected to grow by 11.19%, up from a previous estimate of 5.15%, with anticipated revenue of CHF 334 million. The EBITDA margin remains stable at 16.22% while EBIT is slightly adjusted to 9.12%. Increasing demand and a higher order intake are highlighted despite challenges in component availability. Further updates are expected with the half-year results on August 20, 2021.

Positive

• Increased revenue guidance for FY 2021 from 5.15% to 11.19%.
• Current order book levels are higher than anticipated, indicating strong demand.
• Stable EBITDA margin at 16.22%.

Negative

• Tight component availability is impacting production capability.

THALWIL, SWITZERLAND / ACCESSWIRE / June 1, 2021 / u-blox (SIX:UBXN)(OTC PINK:UBLXF), a global leader in wireless and positioning technologies, today announced that it has updated its financial guidance for the full year 2021, as follows:

(in CHF millions)	Actual FY 2020 (adjusted)		Previous Guidance 2021 (adjusted)	Updated Guidance 2021 (adjusted)
Revenue	334	Revenue growth1	5.15%	11.19%
EBITDA	42	EBITDA margin	16.22%	16.22%
EBIT	18	EBIT margin	9.15%	9.12%

¹ Exchange rate assumptions for 2021: Average rates of 2020 (USD: 0.939, EUR: 1.075, GBP: 1.204)

The company reports that the pace of order intake has continued to accelerate since the previous guidance presented in the company's press release dated 12 March 2021. As a result, current orderbook levels are higher than previously anticipated.

"Demand continues to expand throughout our business, highlighting the importance and value-add of our products and solutions to customers," said Thomas Seiler, CEO of u-blox. "We are experiencing this dynamic across the entire business in terms of end markets and geographies. While we are encouraged with these demand trends and the current strength of our orderbook, we are still managing tight component availability, an issue that is impacting the entire industry, and are successful in steadily increasing output capacity. We look forward to providing additional updates in August when we report our first half 2021 financial results."

About u-blox
u-blox (SIX:UBXN) is a global technology leader in positioning and wireless communication in automotive, industrial, and consumer markets. Their smart and reliable solutions, services and products let people, vehicles, and machines determine their precise position and communicate wirelessly over cellular and short range networks. With a broad portfolio of chips, modules, and secure data services and connectivity, u-blox is uniquely positioned to empower its customers to develop innovative and reliable solutions for the Internet of Things, quickly and cost-effectively. With headquarters in Thalwil, Switzerland, the company is globally present with offices in Europe, Asia, and the USA.

Find us on www.u‑blox.com, Facebook, LinkedIn, Twitter @ublox and YouTube

Financial calendar
Half year results 2021: 20 August, 2021
Analyst day: 23 November, 2021

u-blox investor releations contacts:

Switzerland and Europe:

Doris Rudischhauser, c/o Dynamics Group AG
Phone: +41 79 410 81 88
E-mail: dru@dynamicsgroup.ch

US:

Jeehae Linford, c/o The Equity Group Inc.
Phone: +1 (212) 836-9615
E-mail: jlinford@equityny.com

u‑blox AG
Zürcherstrasse 68
8800 Thalwil
Switzerland
Phone +41 44 722 74 44
Fax +41 44 722 74 47
info@u-blox.com
www.u‑blox.com

Disclaimer
This release contains certain forward-looking statements. Such forward-looking statements reflect the current views of management and are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the u-blox Group to differ materially from those expressed or implied. These include risks related to the success of and demand for the Group's products, the potential for the Group's products to become obsolete, the Group's ability to defend its intellectual property, the Group's ability to develop and commercialize new products in a timely manner, the dynamic and competitive environment in which the Group operates, the regulatory environment, changes in currency exchange rates, the Group's ability to generate revenues and profitability, and the Group's ability to realize its expansion projects in a timely manner. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this report. u-blox is providing the information in this release as of this date and does not undertake any obligation to update any forward-looking statements contained in it as a result of new information, future events or otherwise.

SOURCE: u-blox AG

View source version on accesswire.com:
https://www.accesswire.com/649934/u-blox-Updates-and-Increases-Guidance-for-FY-2021

FAQ

What is the updated revenue guidance for u-blox in 2021?

u-blox has increased its revenue guidance for 2021 to 11.19%.

What challenges is u-blox facing according to the latest press release?

u-blox is facing tight component availability, which is impacting its production capacity.

When will u-blox report its half-year financial results for 2021?

u-blox will report its half-year financial results on August 20, 2021.

What was u-blox's actual revenue for FY 2020?

u-blox's actual revenue for FY 2020 was CHF 334 million.

What is the stock symbol for u-blox?

The stock symbol for u-blox is UBLXF.