PRESS RELEASE
Q1 results for the financial year 2015/16
LEM reports stable business development – Swiss franc appreciation weighedon sales and margins
Fribourg, 11 August 2015 – LEM (SIX: LEHN), the market leader in providing
innovative and high quality solutions for measuring electrical parameters,announces sales of CHF 61.5 million, an EBIT of CHF 10.5 million and net profitof CHF 8.9 million for Q1 of 2015/16 (1 April to 30 June 2015).
Q1 of 2015/16 compared with Q4 of 2014/15:
 Bookings amounted to CHF 60.9 million, an increase of 0.4%
(CHF 60.6 million)
 Sales remained unchanged at CHF 61.5 million
 The book-to-bill remained stable at 0.99 (0.99)
 EBIT increased by 1.7% to CHF 10.5 million; the EBIT margin was at
17.1% (16.8%)
 Net profit for the period decreased by 11.1% to CHF 8.9 million(CHF 10.0 million) due to non-renewal of positive one-off tax effects in
Q4 of 2014/15
Compared to Q1 of 2014/15, sales decreased by 5.4% in Q1 of 2015/16; at constantexchange rates sales decreased by 3.1%. EBIT decreased by 22.5% fromCHF 13.5 million in Q1 of 2014/15 to CHF 10.5 million in Q1 of 2015/16.
“The start into the new financial year 2015/16 continued on the same level of the endof financial year 2014/15. Foreign exchange effects, one-off costs following theintroduction of a new ERP system as well as organizational changes affected ourresults. We still saw strong sales growth in China across all businesses but sales
performance in the other major regions remained slow. We are pleased to see that
our recently launched products – 27 during the past three years – recorded highmarket acceptance and were designed-in into a number of new customer
applications. We expect a ramp-up of production in those products in the comingquarters. Our EBIT margin remained within our target range of 15-20% and we arecontinuing to implement our roadmap to increase efficiency of operations”, said
François Gabella, CEO of LEM.
Industry segment: strong growth in China
Compared to Q4 of 2014/15, sales in the Industry segment increased by 1.1% toCHF 52.1 million in Q1 of 2015/16. Compared to Q1 of 2014/15, sales decreased by7.8%; at constant exchange rates by 4.5%. Sales were driven by seasonal recovery
along with strong underlying growth in China and seasonal factors in the renewableenergies businesses. Sales in China jumped by 58% while sales in the rest of Asia
decreased by 17%. Sales in Europe and North America decreased by 15% and 13%
respectively. Asia maintains the position of the most important sales region for LEM
accounting for 49% of sales (China alone accounted for 35%), followed by Europe

LEM Holding SA
Avenue Beauregard 1
1700 Fribourg
Switzerland

Tel. : +41 26 460 10 30
Fax.: +41 26 460 10 39
www.lem.com

with 38% and North America with 12% of sales. Orders received lowered slightly
from CHF 51.0 million in Q4 of 2014/15 by 0.3% to CHF 50.9 million in Q1 of2015/16. EBIT decreased by 5.7% to CHF 9.2 million in Q1 of 2015/16.






Sales in the drives & welding business decreased by 7% compared to Q4 of2014/15. Strong sales in China matched with slow markets in the rest of theworld. LEM won several projects with its new products. The Company
maintained its market share
The renewable energies & power supplies business benefitted from seasonal
effects and growing investments in renewable energies in China. However,ending government support programs is affecting sales in Japan. Continued
investments in European wind applications provided support. In Q1 of2015/16, total sales increased by 14% compared with Q4 of 2014/15.
Compared to Q1 of 2014/15, sales were unchanged.
Sales in the traction business continued its positive development with agrowth of 5%. LEM recorded strong sales performance in the USA following
the introduction of new locomotive standards and ongoing growth in China.
LEM sustained its leading market position.
Sales in the high precision business decreased by 17% compared with Q4 of
2014/15. LEM noticed stronger competition with new players. All markets,except China, were weak. LEM introduced new products with a higher
temperature range for scientific applications.

Automotive segment: stable businesses
In Q1 of 2015/16, sales in the Automotive segment totaled CHF 9.4 million, adecrease of 5.8% compared to Q4 of 2014/15. Compared to Q1 of 2014/15, sales
increased by 10.2% in Q1 of 2015/16; at constant exchange rates by 6.1%. LEM
reached a good performance in China and Korea thanks to project wins but recorded
a significant decline in Japan due to lower car volumes and foreign exchange effects.
EBIT increased from CHF 0.6 million in the previous quarter to CHF 1.4 million in thereporting period.
In the conventional cars business, sales slowed by 4% after a strong Q4
2014/15. Growth in China and Germany has offset decreasing sales in USAand Japan. Product prices remained stable.
Sales in the green cars business were up 4% versus the previous year but
decreased by 14% compared to Q4 of 2014/15. Business in Japan andEurope was weak. LEM won market share in China. LEM’s products are now
in all new models of local Chinese car manufacturers. Also, LEM won market
share with Korean battery makers.

LEM Holding SA
Avenue Beauregard 1
1700 Fribourg
Switzerland

Tel. : +41 26 460 10 30
Fax.: +41 26 460 10 39
www.lem.com

Financial calendar
The financial year runs from 1 April to 31 March

11 November 201516 February 2016
9 June 2016
30 June 2016
5 July 2016
7 July 2016

Half-year results 2015/16
Third quarter results 2015/16Year-end results 2015/16
Ordinary General Meeting of the Shareholders for the year
2015/16
Dividend ex-date
Dividend payment date

LEM – At the heart of power electronics
LEM is the market leader in providing innovative and high quality solutions formeasuring electrical parameters. Its core products - current and voltage transducers are used in a broad range of applications in drives & welding, renewable energies &power supplies, traction, high precision, conventional and green cars businesses.
LEM’s strategy is to exploit the intrinsic strengths of its core business, and to develop
opportunities in existing and new markets with new applications. LEM is a mid-size,
global company with approximately 1’350 employees worldwide. It has production
plants in Beijing (China), Geneva (Switzerland), Sofia (Bulgaria) and Machida(Japan). With regional sales offices near its customers’ locations, the company isable to offer a seamless service around the globe. LEM has been listed on the SIX
Swiss Exchange since 1986; the company’s ticker symbol is LEHN.
www.lem.com
For further information please contact
Jan Gregor, Investor Relations
Phone: +41 44 212 41 41
Email: investor@lem.com

LEM Holding SA
Avenue Beauregard 1
1700 Fribourg
Switzerland

Tel. : +41 26 460 10 30
Fax.: +41 26 460 10 39
www.lem.com

Appendix:Key figures
In CHF millions

2014/15

2015/16

ChangeOrders received
Industry segment
Automotive segment
Total LEM

Q1
56.2
8.5
64.7

Q2
52.1
9.8
61.9

Q3
55.0
8.8
63.8

Q4
51.0
9.6
60.6

Q1
50.9
10.0
60.9

Q1 to Q1 Q1 to Q4
-9.6%
-0.3%
+17.7%
+4.3%
-6.0%
+0.4%

Book-to-bill ratio
Industry segment
Automotive segment
Total LEM

Q11.000.99
1.00

Q20.911.04
0.93

Q30.981.00
0.99

Q40.990.96
0.99

Q10.981.06
0.99

Q1 to Q1 Q1 to Q4
-2.0%
-1.0%
+7.1% +10.4%
-1.0%
±0.0%

Sales
Industry segment
Automotive segment
Total LEM

Q1
56.5
8.6
65.0

Q2
57.1
9.4
66.5

Q3
56.0
8.8
64.7

Q4
51.5
10.0
61.5

Q152.1
9.4
61.5

Q1 to Q1 Q1 to Q4
-7.8%
+1.1%
+10.2%
-5.8%
-5.4%
-0.0%

EBIT
Industry segment
Automotive segment
Total LEM

Q112.6
1.0
13.5

Q214.4
1.6
16.0

Q3
13.2
1.1
14.3

Q4

Q1

9.7
0.6
10.3

9.2
1.4
10.5

Q1 to Q1 Q1 to Q4-27.3%-5.7%+41.0% +115.6%-22.5%+1.7%

LEM Holding SA
Avenue Beauregard 11700 Fribourg
Switzerland

Tel. : +41 26 460 10 30
Fax.: +41 26 460 10 39
www.lem.com

Consolidated income statement
April to June
2015/16 2014/15
In CHF thousands
Sales
Cost of goods sold
Gross margin

61 532(33 862)
27 67065 047(35 610)29 436

Sales expense
Administration expense
Research & development expense
Other expense
Other incomeEBIT(6 629)(6 847)(3 713)(2)
26
10 507(6 013)(6 221)(3 903)(0)252
13 550

(10)
25475

(8)
39
101

Profit before taxes

10 996

13 683

Income taxes(2 116)(2 961)

Net profit of the period

8 880

10 722Financial expense
Financial income
Foreign exchange effect

LEM Holding SA
Avenue Beauregard 1
1700 Fribourg
Switzerland

Tel. : +41 26 460 10 30
Fax.: +41 26 460 10 39
www.lem.com