“The first quarter marks a successful start into the new fiscal year. But we cannot rest on the already achieved. We will continue with our transformation and will announce in spring what that means in strategic terms,” said Olaf Berlien, Chief Executive Officer of OSRAM Licht AG.

“The quarter was also strong due to seasonal effects and was characterized by an exceptionally good operating result. At the same time, our LED-based business showed substantial growth again and reached 39 percent of total revenue. The traditional business performed well despite a still very challenging environment. We also made a major step forward regarding our transformation program,” added Chief Financial Officer Klaus Patzak.

Osram reporting segments and regional developments in the first quarter

In the first quarter, Osram’s opto-semiconductor components reporting segment (Opto Semiconductors, or OS) posted a comparable revenue increase of four percent from an exceptionally strong year-earlier period. The development was in particular supported by the industry business. Overall, all reporting regions contributed to the segment’s growth in the quarter. At 16.2 percent, the EBITA margin again reached a very good level and benefited from a favorable product mix, among other things.

Specialty Lighting (SP), with its Automotive Lighting and Display/Optics units, continued to benefit from robust demand and recorded revenue growth of six percent on a comparable basis in the quarter. Nominal growth was higher, at 15 percent, due to the weaker euro and the first-time consolidation of Italian entertainment lighting company Clay Paky. Excluding special items, the adjusted EBITA margin reached 16.0 percent.

The reporting segment LED Lamps & Systems (LLS) covers Osram’s business with LED lamps, light engines as well as LED drivers. In light of the continuously growing market acceptance of LED-based products, the segment’s revenue rose 65 percent on a comparable basis in the first quarter. The adjusted EBITA margin improved by more than 20 percentage points year on year to minus 4.4 percent due to economies of scale, among other things.

The market trend toward LEDs continued to have a negative impact on the Classic Lamps & Ballasts (CLB) reporting segment in the first quarter. Still, the comparable revenue decrease of ten percent was not as strong as in the previous quarters. The adjusted EBITA margin was 11.4 percent and benefited from cost savings.

The Luminaires & Solutions (LS) reporting segment comprises luminaires for professional customers, products for consumers as well as service and solutions business. The segment’s revenue fell 19 percent in the first quarter on a comparable basis, mainly as a result of the reorganization of the service business in North America and the regional focus strategy of the luminaire business. The segment’s adjusted EBITA margin was minus 7.0 percent.

From a regional perspective²,Osram’s EMEA reporting region recorded a year-over-year comparable increase in first-quarter revenue of one percent. Revenue in the Americas region also rose one percent on that basis, while revenue in the APAC region declined two percent on a comparable basis.

Outlook for fiscal 2015

Osram confirms the outlook given at the beginning of fiscal 2015. For fiscal 2015, the Managing Board thus expects revenues to be on the level of fiscal 2014 on a comparable basis. The adjusted EBITA margin is also expected to be at the prior-year level. In addition, the Managing Board expects both net income and return on capital employed (ROCE) to decrease sharply in the current fiscal year due to a sharp increase in transformation costs. Free cash flow is expected to come in with a positive triple-digit million euro amount in fiscal 2015 but to stay below the prior-year level. Based on the outlook for fiscal 2015 and Osram’s midterm prospects, the Managing Board intends dividend continuity with €0.90 per share also for fiscal 2015.

Highlights in the first quarter

Osram has made further important achievements in the first quarter of fiscal 2015. The acquisition of Clay Paky was completed in October. Clay Paky is a leading provider of entertainment lighting for shows and events whose products were for example most recently used to illuminate the traditional Nobel Prize Banquet in Stockholm. Osram also set the stage for state-of-the art lighting at the end of October, when the new lighting solution in the Sistine Chapel officially went into operation. Osram was in charge of realizing this project, which was financially supported by the European Union. The new installation consists of 7,000 LEDs and sets new standards in terms of quality of light and energy efficiency. But Osram is also leading the way regarding non-visible lighting. A few weeks before the International Consumer Electronics Show (CES) in Las Vegas, the company presented its first integrated optical sensor for automatic fitness monitoring, which is used in mobile devices such as smartwatches or fitness bracelets. The sensor measures the wearer’s blood oxygen level and pulse without the inconvenience of a chest band. In December, Osram also presented an infrared emitter for unlocking electronic devices “with a single glance”. Biometric identification methods for cell phones and tablets are a big trend because such devices are increasingly being used for sensitive applications such as online banking and shopping. In addition to fingerprint scanning, many manufacturers are currently considering the potential of iris scanning as a new biometric method for unlocking electronic devices. With this technology, an infrared light illuminates the user’s eye so that a camera can take a picture of the iris and identify characteristic features.

The company will hold a conference call for journalists on the preliminary results for the first quarter with the Managing Board of OSRAM Licht AG today at 9:00 a.m. CET. The conference will also be broadcast via the Internet atwww.osram.com/press. After the event, a recording of the conference will be provided at the same link.

Starting at 2:00 p.m. CET, you can follow the conference call for analysts with the Managing Board atwww.osram.com/ir.

The full report of OSRAM Licht AG’s first quarter will be posted on the company’s Investor Relations homepage atwww.osram.com/ir on February 16.

(Preliminary, not yet with review opinion, figures in millions of euros, margins in percent, employees as of December 31. Negative values in brackets.)

(Preliminary, not yet with review opinion, figures in millions of euros. Negative values in brackets.)

¹Earnings before interest, taxes and amortization

²Osram divides its business into the three regions APAC (Asia Pacific), EMEA (Europe, Middle East and Africa) and the Americas (North and South America).