TomTom Reports First Quarter Results

Apr 25 2007

TomTom Reports First Quarter Results

Increased market share in both Europe and North America

First quarter financial highlights
Compared with Q1 2006
• Revenue increased by 16% to €296 million
• Revenue in North America increased by 121%
• 1.3 million portable navigation devices (PNDs) shipped, up 75%
• Gross margin increased by 5 percentage points to 40%
• Operating margin of 19.1% compared with 19.6%
• Net profit increased by 42% to €44 million
• Fully diluted EPS increased by 37% to €0.37

Compared with Q4 2006
• Revenue decreased by 38% in line with seasonality in the PND market
• PNDs shipped decreased by 31%
• Gross margin decreased by 6 percentage points
• Operating margin decreased by 7 percentage points

First quarter operational highlights
• European PND market continues to grow strongly
• Accelerating growth in the North American PND market
• Strengthening of European and North American market shares to 52% and 25% respectively (compares to 50% and 20% at the end of 2006)
• Continued strong cash generation from operations of €98 million
• Milestone of 1 million registered TomTom HOME users passed

Outlook 2007
We re-iterate our full year guidance. We estimate that we will deliver revenues of between €1.6 billion and €1.8 billion and we continue to target a gross margin of around 40% of revenue and an operating margin of around 20% of revenue.

* percentages are based on rounded figures

View the full First quarter results release 2007 in PDF format (137KB)