TomTom Reports Second Quarter Results 2007

TomTom Reports Second Quarter Results 2007

Strong revenue and profitablity

Second quarter 2007 financial highlights
• Revenue of €380 million, up 29% sequentially and up 37% year on year
• Portable navigation device (PND) volume of 1.8 million, up 36% sequentially and up 118% year on year
• Gross margin of 45%, up 5 points sequentially and up 2 points year on year
• Operating margin of 25%, up 6 points sequentially and up 2 points year on year
• Net profit of €68 million, up 56% sequentially and up 81% year on year
• Fully diluted EPS of €0.58, up 56% sequentially and up 81% year on year
• Net cash flow from operating activities of €72 million

Second quarter 2007 operational highlights
• New TomTom GO range launched
• MapShare™ proprietary map improvement technology announced
• Joint development announced with Vodafone UK to deliver unique new advanced travel time information system in the UK

Outlook 2007
• European and North American markets for PNDs together expected to grow to around 21 million units in 2007
• Revenue expectation for 2007 of between €1.6 billion to €1.8 billion maintained
• PND unit forecast for 2007 increased to between 8 and 9 million
• Gross margin of at least 40% of revenue and operating margin of at least 20% of revenue now expected for the full year