Significant Increase in Full Year Sales Year-On-Year Driven by Growth Mainly in Automotive and Industrial Businesses and Integration of Intersil.

Achieved Improvements in Year-On-Year Full Year Gross and Operating Margins

• Q4 2017: Non-GAAP⁽¹⁾ semiconductor sales of 206.5 billion yen, up 28.0% year-on-year. Non-GAAP gross margin of 47.9%, up 2.3 points year-on-year and Non-GAAP operating profits (margin) of 34.1　 billion yen (16.2%), up 11.3 billion yen (up 2.5 points) year-on-year
• Full Year 2017: Non-GAAP semiconductor sales of 765.7 billion yen, up 23.4% year-on-year. Non-GAAP gross margin of 46.7%, up 3.1 points year-on-year and Non-GAAP operating profits (margin) of 128.1　billion yen (16.4%), up 50.1 billion yen (up 4.2 points) year-on-year
• Outlook for Q1 2018: Non-GAAP semiconductor sales of 178.7 billion yen, up 3.5% year-on-year, Non-GAAP gross margin of 43.9%, down 1.6 points year-on-year and Non-GAAP operating margin of 11.3%, down 5.1 points year-on-year

TOKYO — (BUSINESS WIRE) — February 8, 2018 — Renesas Electronics Corporation (TSE:6723, “Renesas”), a premier supplier of advanced semiconductor solutions, today reported financial results for the fourth quarter ended December 31, 2017 (October 1, 2017 to December 31, 2017) and financial results for the year ended December 31, 2017 (January 1, 2017 to December 31, 2017).

“We have been continuously improving our gross and operating margins by pursuing sales growth and cost efficiency,” said Bunsei Kure, Representative Director, President and CEO, Renesas Electronics Corporation. “Our fourth quarter non-GAAP semiconductor sales increased by 28.0% year on year, driven by increased sales mainly in the automotive and industrial businesses, in addition to the integration of Intersil. We expect to achieve traction in semiconductor sales during the coming quarter on a year-on-year basis.”