Intermediate declaration by the Board of Directors.
Ieper, Belgium - July 30th, 2014, 07.00 hrs CET

Half-year sales were 157.6 million EUR, an increase of 22% compared to the first half year of 2013. Gross margin was 74.5 million EUR, an increase of 26% compared to the same period last year. The operating result was 41.0 million EUR, compared to 28.1 million EUR in the same half year of 2013, an increase of 46%. Net income was 40.1 million EUR, compared to 24.3 million EUR in the first half year of 2013, an increase of 65%.

Sales for the second quarter of 2014 were 82.1 million EUR, an increase of 22% compared to the same quarter of the previous year and an increase of 9% versus the previous quarter. The EUR/USD exchange rate evolution had a negative impact of 1% compared to the previous quarter and a negative impact of 3% compared to the same quarter of the previous year.
Gross margin was 39.3 million EUR, an increase of 26% compared to the same quarter of last year and an increase of 12% versus the previous quarter.
R&D expenses were at 13.3% of sales, G&A was at 4.8% and Selling was at 2.4% of sales. The operating result was 22.4 million EUR, compared to 15.3 million EUR in the same quarter of 2013 and 18.6 million EUR in the previous quarter.
Net income was 21.2 million EUR, 52 cent per share, up from 33 cent per share in the second quarter of 2013 and 47 cent in the previous quarter.

Dividend
The Board of Directors decided to pay out an interim dividend of 1.00 EUR gross per share, an increase of 43% compared with last year. The Melexis shares will start trading ex coupon on October 20, 2014 (opening of the market). The record date is October 22, 2014 (closing of the market) and the dividend will be payable as from October 23, 2014.

Outlook
We expect in the third quarter of 2014 a low single digit sales growth versus the second quarter of 2014. For full year 2014, Melexis now expects sales growth to be between 17% and 20%, a gross profit margin above 47% and an operating margin above 25%, all taking into account a EUR/USD exchange rate of 1.35.

Business comment - Françoise Chombar, CEO:
''On the back of positive customer and market sentiment, Melexis achieved a 22% year-over-year sales growth, better than anticipated. Melexis equally benefited from a favorable product mix, which we expect to sustain for the remainder of the year. All this allows us to increase our sales guidance and profit margins again for full year 2014.
In the second quarter of 2014, in line with the first quarter, the main contributors for growth were magnetic sensors, sensor interfaces and, outside of the sensor space, motor control drivers.  In addition we saw an above average performance for pressure sensors and tire pressure monitoring systems (TPMS). 
Sales to automotive customers represented 87% of total sales. Year-over-year outside automotive sales growth accelerated from 7% in the first quarter to 13% in the second quarter.
The portion of ASSP sales in the second quarter of 2014 represented 56%, the same level as the first quarter of 2014''.

The statutory auditors BDO Bedrijfsrevisoren Burg. Ven. CVBA, have confirmed that their review procedures, which have been substantially completed, have not revealed material adjustments which would have to be made to the accounting information included in this press release.

Financial Calendar
-       Publication Q3 2014 Results: October 22, 2014
-       Publication FY 2014 Results: February 4, 2015
  
The company's results will be discussed in a conference call on Wednesday, July 30th, 2014 at 17 hrs CET. The conference call will be in English. You have to register for this conference call in advance. You can register by clicking on the following link and filling out the requested information:
https://eventreg1.conferencing.com/webportal3/reg.html?Acc=184341&Conf=190865:
https://eventreg1.conferencing.com/webportal3/reg.html?Acc=184341&Conf=190865
Conference ID: 946397

After registration, you will receive the conference call number, a participant user pin, conference pin and instructions on how to join the conference call. For security purposes all participants must register individually if they wish to join the call.
A replay number for this call is available for 7 days after the end of the conference call. The replay number for this call is +32 2 290 17 05, access code: 946397.

PR_ENG_Melexis_Q2_2014:
http://hugin.info/146237/R/1842000/641210.pdf


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The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Melexis N.V. via Globenewswire
HUG#1842000