Melexis (MELE) Q2 2025 earnings summary

Executive summary

• Q2 2025 sales reached €211.6 million, down 14% year-over-year but up 7% sequentially, with net profit at €37.8 million, a 23% decline year-over-year but up 54% from Q1.

• Gross margin for Q2 2025 was 39.0%, down from 44.3% in Q2 2024, and EBIT margin was 16.8%, both lower year-over-year but improved sequentially.

• Automotive applications accounted for 88% of Q2 sales, with strong growth in powertrain and interior lighting; non-automotive contributed 12%.

• New product launches included temperature, thermographic infrared, and magnetic position sensors for automotive, industrial, and medical sectors.

• The company maintains a strong dividend yield and active share buyback program.

Financial highlights

• H1 2025 sales totaled €409.8 million, down 16% year-over-year; Q2 2025 sales were €211.6 million.

• Q2 2025 net income was €37.8 million (EPS €0.94), down from €1.21 in Q2 2024; H1 2025 net income was €62.4 million (EPS €1.54), down 39% year-over-year.

• Q2 2025 EBITDA was €50.1 million (23.7% margin), down 35% year-over-year but up 21% sequentially.

• Dividend of €96 million paid in H1 2025; €8 million spent on share buybacks.

• EUR/USD exchange rate negatively impacted Q2 sales by 2% year-over-year and 3% sequentially.

Outlook and guidance

• Q3 2025 sales expected between €210–215 million; full-year 2025 sales forecasted at €835–845 million.

• Gross margin for the year guided around 39%, operating margin around 16%, assuming EUR/USD rate of 1.17.

• Full-year 2025 CAPEX expected to be €40 million, revised down from €50 million.

• Guidance includes short-term orders; visibility remains limited due to customer order patterns.