The Management Board of Elmos Semiconductor SE, with approval from the Supervisory Board, has decided to further develop its dividend policy, signaling a commitment to attractive and sustainable capital allocation. Under the new policy, when the company maintains a positive net cash position at year-end, a significant portion of that net cash will be returned to the capital market through dividends and structured share buybacks, considering expected business development and market conditions.
For the fiscal year 2025, Elmos will propose a dividend of 1.50 euros per share at the Annual General Meeting scheduled for May 27, 2026. This represents a 50% increase compared to the previous year's dividend. Additionally, the Management Board has resolved to launch a share buyback program via the stock exchange, authorizing the acquisition of treasury shares with a total volume of up to 10.0 million euros, excluding transaction costs. The buyback is scheduled to occur between February 24, 2026, and March 31, 2026.
Combined, the proposed dividend and share buyback program amount to a total distribution of approximately 36 million euros for fiscal year 2025. This figure represents an increase of more than 100% compared to the previous year's distributions, underscoring the company's successful operational development and robust cash position. The preliminary financial figures for 2025 and the outlook for fiscal year 2026 are set to be published on February 24, 2026.
Dr. Arne Schneider, CEO of Elmos Semiconductor SE, stated that the enhanced capital allocation policy, the significant dividend increase, and the approved buyback program send a strong signal for the sustainable and future-oriented development of the Elmos Group. He emphasized that these measures allow shareholders to participate substantially in the company's success while preserving financial flexibility and strategic capacity for further profitable growth. The company's forward-looking statements are based on management assumptions and estimates, and actual results may differ due to various factors including economic conditions, exchange rate fluctuations, and market acceptance of products. The original release can be viewed on www.newmediawire.com.
This announcement carries significant implications for investors and the semiconductor industry. For shareholders, the substantial increase in capital returns demonstrates confidence in Elmos's financial health and future profitability, potentially making the stock more attractive to income-focused and value investors. The structured approach to capital allocation, balancing returns with growth investment, suggests a mature financial strategy that could enhance long-term shareholder value. For the industry, Elmos's move may signal strength within the automotive semiconductor sector, particularly for companies specializing in analog mixed-signal integrated circuits. As a fabless company focused on automotive applications like driver assistance systems and electromobility, Elmos's strong cash position and ability to return capital may indicate resilience and competitive advantage in a challenging market. The policy also reflects broader trends where semiconductor companies with stable cash flows are increasingly returning capital to shareholders while funding innovation in high-growth areas like autonomous driving and software-defined vehicles.
