The chip manufacturer Elmos DE0005677108 experienced a surprisingly sharp decline in business at the beginning of 2025.

In the first quarter, sales fell by a good 7 percent year-on-year to just under €127 million, as the company, listed on the SDAX DE0009653386 index, announced in Leverkusen on Tuesday. Operating profit and net income even plummeted by almost a quarter. Analysts had expected smaller declines in each case. CEO Arne Schneider attributed the declines to subdued market developments. The chip supplier primarily supplies automakers. Nevertheless, the manager is sticking to his business forecasts for 2025.

As planned, sales this year are expected to reach approximately 580 million euros – with a margin of 30 million euros either way. Of this, 20 to 26 percent are expected to remain as operating profit (EBIT).

In the first quarter, Elmos Semiconductor earned €25.6 million before interest and taxes (EBIT), a good 24 percent lower than a year earlier. The corresponding margin fell from 24.7 to 20.2 percent. Profit fell by about a quarter to €18.5 million.