Thalwil, Switzerland – September 2, 2011 – u-blox (SIX:UBXN), a leading provider of GPS receiver and wireless communication semiconductors and technology, today announced revenue for the first half year 2011 of CHF 62.5 million. This constitutes a 26.8% increase over the first half year of 2010. Gross profit increased strongly by 20.0% from CHF 26.2 million to CHF 31.4 million. EBIT for the first half year of 2011 was CHF 11.7 million which is 54.5% higher in comparison to the same period in 2010. A net profit of CHF 7.4 million was reached.

Good performance despite adverse conditions

During the first half of 2011, u-blox continued to leverage its GPS & Wireless strategy to expand its market position in the global positioning and wireless communications markets in all regions, especially in the Americas. Although global economic conditions have become more challenging, u-blox addresses a particularly robust sector of the electronics industry that continues to create new innovative products and services that capitalize on digital convergence.

The combination of global positioning with wireless communications, Internet and multimedia services in small, portable devices has become an accelerating industry trend. This is particularly true for mass-market consumer, navigation and fleet management products. This has also allowed u-blox to penetrate new electronic market sectors that up until recently did not include GPS as a standard feature, such as smartphones, e-readers and tablet computers.

Revenue growth in virtually all sectors

During the period, u-blox continued to dominate and expand in the vehicle tracking market, while experiencing strong year-on-year growth in multiple strategic sectors such as mobile phones, precision timing, asset tracking, notebook and tablet computers. This performance demonstrated the successful adoption of u-blox products in a well-diversified range of applications in the consumer, industrial and automotive markets.

Strong profitability despite exchange rate pressures

Although first half year results were negatively impacted by the strong Swiss Franc, especially against the US Dollar and the Euro, u-blox was able to achieve excellent profitability with 18.8% EBIT margin. Profitability was helped by natural hedging in material costs plus lower operating costs due to currency effects and efficiency improvements.

Migration to the new u-blox 6 GPS platform

u-blox also experienced an excellent rate of customer migration to the latest GPS platform, u-blox 6. The latest platform not only gives customers industry-leading positioning performance, but also optimizes production costs. During the first half of 2011, 66% of all GPS receiver products delivered were based on u-blox 6.

Business development

u-blox continued to increase its business in terms of volumes, revenues and profits primarily by winning new key projects for mass-market consumer and automotive navigation applications, and winning projects away from competition.

Highlights include:

  • Coagent, China’s largest maker and global provider of in-car entertainment systems selected u
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