Singulus Technologies AG

Earnings Release • Aug 5, 2008

News Details

Corporate | 5 August 2008 07:45

Singulus Technologies AG:Significantly Higher Order Intake/Strong Sales for the Second Half of 2008

SINGULUS TECHNOLOGIES AG / Quarter Results

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Press Release

SINGULUS TECHNOLOGIES Posts Significantly Higher Order Intake Compared with
Previous Year and Expects Strong Sales for the Second Half of 2008

• Order intake + 47 %, order backlog + 67 % compared with previous year

• Sales + 68 % compared with previous quarter, EBIT slightly negative

• Further optimization of cost structure initiated

• Positive outlook for Blu-ray and Solar

Kahl am Main, August 5, 2008 - The key figures for order intake and order
backlog at SINGULUS TECHNOLOGIES (SINGULUS) in the 2nd quarter 2008 were
also significantly higher than prior-year figures. Accordingly, an order
intake of € 70.8 million (previous year € 48.1 million) was achieved in the
quarter under review. Therefore, the order intake rose by 47.2 % compared
with the same quarter one year ago. As of June 30, 2008 the order backlog
rose about 67 % to € 129.7 million (previous year: € 77.7 million). The
high order intake in the first half of the year reflects the interest in
the new Blu-ray technology as well as in our solar equipment.

Sales in the 2nd quarter increased by 68 % compared with the previous
quarter. However, at € 51.0 million they were below the € 62.5 million
reported in the 2nd quarter 2007. Since the orders for the high-margin
products from the Blu-ray and Solar segment in the first half of the year
will only be recorded as sales in the following quarters, an EBIT of only €
-2.0 million could be achieved in the quarter under review (previous year:
€ 0.5 million). In particular, the weak semi-conductor activities at
HamaTech and the segment coating weighed on the results in the 2nd quarter.
The gross margin in the 2nd quarter stood at 27.1 % and thus remained at
the level of the prior-year period
(27.0 %).

At € 8.3 million, in the 1st half of 2008 the expenses for R&D declined
significantly by -20.2 % compared with the previous year (€ 10.4 million).
A further review of the work processes and our cost situation had induced
SINGULUS in the meantime to also relocate the assembly of the MoldPro
injection molding machines to Kahl am Main. One of the reasons for this
step was the fact that the commissioning of Dual Layer Blu-ray Disc
machines in Kahl requires a fine tuning of the injection molding machine
with the rest of the line. Approximately 50 employees are affected by the
closure of the SINGULUS MOLDING AG in Schaffhausen.

Outlook and strategy

SINGULUS will even stronger focus on the two core work areas Optical Disc
and Solar.

In the segment Optical Disc the global market leadership for activities
with Blu-ray production machines as well as the rapid market launch of the
new inline mastering system for Blu-ray is clearly in the focus.

For the segment Solar SINGULUS has made the decision for a fast further
development. STANGL continues to grow at double-digit rates and will have
sufficient capacity for a planned expansion after the completion of the new
production areas. SINGULUS works extensively on the development of the new
solar coating machine and will unveil its coating technology for silicon
solar cells in 2008.

SINGULUS expects consolidated sales in a range from € 210 million to € 230
million for the fiscal 2008. With respect to the order intake we project an
increase compared with the business year 2007.

The sales and earnings situation in the 1st half of 2008 was still
characterized by the weak order backlog at the end of 2007. In this
respect, the sales so far reflect the weakness in the previous year, but
not the favorable order intake, which we have been experiencing since the
beginning of 2008. This will mainly be reflected by the sales from the 3rd
quarter onwards. The new products in our Blu-ray and Solar portfolio will
substantially gain importance in our Group in the next couple of years and
considerably impact the favorable trend at SINGULUS.

Consolidated key figures 2nd quarters 2006-2008
pursuant to IFRS

                                               2006     2007     2008

Sales million € 67.6 62.5 51.0
Order intake million € 86.8 48.1 70.8
EBIT million € -1.8 0.5 -2.0
EBITDA million € 3.8 5.9 4.6
Earnings before taxes million € -1.4 0.7 -3.9
Net profit million € -2.4 0.1 -3.2
Research & development million € 7.5 5.6 7.4

Consolidated key figures 1st half 2006-2008
pursuant to IFRS

                                              2006      2007      2008

Sales million € 116.5 112.3 81.3
Order intake million € 194.3 108.5 155.2
Order backlog (June 30) million € 138.7 77.7 129.7
EBIT million € 5.2 0.7 -1.7
EBITDA million € 22.6 10.8 14.5
Earnings before taxes million € 5.9 1.3 -5.1
Net profit million € 7.3 0.9 -3.2
Employees (June 30) 1,154 674 758
Earnings per share, basic € 0.21 0.01 -0.09

Short profile SINGULUS TECHNOLOGIES

SINGULUS TECHNOLOGIES is the world market leader for optical disc
production lines for CDs, DVDs and Blu-ray Discs, and the only manufacturer
to offer the full product range: mastering, molding and replication lines.
In addition to the further development of optical disc core business,
diversification into the new area of solar is its principal strategic goal.

STANGL and SINGULUS will systematically expand their solar activities.
STANGL is currently one of the few suppliers of wet-chemical machines for
both crystalline silicon solar technology and thin-film solar technology,
with growth rates in excess of 40 %. SINGULUS is set to unveil its own
solar coating machine in 2008, based on its wealth of experience in the
core area of optical discs. It will be able to tap into STANGL's experience
and market knowledge for this move. In March 2008 SINGULUS TECHNOLOGIES
teamed up with Q-Cells, the most important solar cell producer worldwide,
for the development of this new machine and won the company as a key
customer. Together with the equipment made by STANGL, SINGULUS TECHNOLOGIES
will then be able to offer two important machine groups with wet-chemical
and vacuum coating processes for a production line for crystalline silicon
solar cells. The goal is to strengthen its global position for production
equipment for crystalline solar cells over the next few years.

SINGULUS TECHNOLOGIES AG, Hanauer Landstraße 103,

D-63796 Kahl/Main, ISIN: DE0007238909, WKN: 723890

For further information please contact:

Bernhard Krause, Corporate Communications

Tel.: + 49 (0) 6181-9828020 / Mobile: + 49 (0) 170 920 29 24
05.08.2008 Financial News transmitted by DGAP

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Language: English
Issuer: SINGULUS TECHNOLOGIES AG
Hanauer Landstrasse 103
63796 Kahl am Main
Deutschland
Phone: +49 (0)6188 440-105
Fax: +49 (0)6188 440-110
E-mail: bernhard.krause@go-metacom.de
Internet: www.singulus.de
ISIN: DE0007238909
WKN: 723890
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Stuttgart, München, Hamburg, Düsseldorf

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