TomTom reports second quarter 2017 results
Financial summary Q2 '17
- Revenue of €253 million (Q2 '16: €265 million)
- Gross margin of 63% (Q2 '16: 55%)
- EBITDA of €45 million (Q2 '16: €44 million)
- Non-cash impairment charge on the entire goodwill of the Consumer segment of €169 million
- Net result of -€160 million (Q2 '16: €12 million)
- Adjusted EPS1 of €0.09 (Q2 '16: €0.10)
- Net cash position of €82 million (Q2 '16: €58 million)
Operational summary Q2 '17
- TomTom High Definition (HD) map coverage expanded to all motorways in Western Europe
- TomTom Traffic service expanded to 64 countries from 54 countries
- TomTom and Baidu have joined forces to develop global HD maps
- Collaboration with Bosch announced to create first radar localisation map layer
- Telematics passes milestone of 750,000 subscribed vehicles
New share buy-back program
TomTom intends to repurchase ordinary TomTom shares for an amount up to €50 million, representing 2.5% of total issued share capital.2
Full year revenue outlook updated; we now expect to deliver full year revenue around the lower end of our guidance of between €925 million and €950 million.
Outlook for adjusted EPS1 of around €0.25 is unchanged.
Change percentages and totals calculated before rounding.
This report includes the following non-GAAP measures: gross margin, EBIT (margin), EBITDA (margin), adjusted net result, adjusted EPS and net cash, which are further explained on page 21 of this report.
1 Earnings per fully diluted share count adjusted for acquisition-related expenses & gains and material restructuring costs on a post-tax basis.
2 Based on the closing price of TomTom (TOM2) share on Euronext Amsterdam on 18 July 2017 of €8.72.
TomTom's Chief Executive Officer, Harold Goddijn
“Our strategy is to build on our navigation technologies to provide location-based content, software, and services to business customers, with high margins and recurring income. Combined Automotive, Licensing and Telematics revenue grew by 18% year on year in the quarter, ahead of expectations.”
View the full TomTom reports second quarter 2017 results release on our quarterly results website.