Manz AG — Earnings Release 2010

Mar 10, 2011

News Details

Corporate | 10 March 2011 07:59

Manz Automation AG reports marked revenue and earnings leap in 2010

Manz Automation AG / Key word(s): Final Results/Forecast

10.03.2011 / 07:59

• Total operating revenue more than doubles from EUR 101 million to EUR 205
  million
• Return to profitability with EBIT of EUR 0.6 million
• Significant double-digit growth expected for 2011

Reutlingen, March 10, 2011 - Today, Manz Automation AG, one of the world's
leading technology providers for the photovoltaic and Flat Panel Display
(FPD) industry, has published preliminary business figures for 2010. The
company's revenue went up from EUR 85.9 million to EUR 181.4 million. At
the same time, total operating revenue more than doubled from EUR 101.1
million to EUR 205.0 million. Along with a strong increase of customer
demand, the successful launch of newly developed products on the market was
the main reason for this significant growth.

The company, based in Reutlingen, Germany, achieved a record result
particularly in its FPD segment in which Manz Automation AG develops and
produces innovative system solutions for the production of flat screens and
touch panels. Driven by the boom for tablet computers and touch panel
mobile phones, segment revenue quadrupled from EUR 14.9 million to EUR 58.8
million. Revenue also increased in the photovoltaic segment, rising from
EUR 46.9 million to EUR 65.7 million. Newly developed crystalline solar
cell production systems, in particular, enjoyed a considerable demand
boost.

Improved capacity utilisation was the reason for last year's additional
productivity gains. At the same time, cost-cutting measures fed through to
a return to profitability. Following a loss before interest and tax (EBIT)
of EUR -15.9 million in the previous year, Manz Automation reported EBIT of
EUR 0.6 million in 2010. The positive net financial result, which, as
previously, is attributable to the company's solid liquidity position,
resulted in earnings before tax (EBT) of EUR 0.7 million (previous year:
EUR -13.0 million).

Manz Automation generated positive operating cash flow of EUR 2.0 million
(previous year: EUR 39.7 million), despite significantly higher working
capital requirements due to the operating business expansion. Financing for
the CIGS technology license that was acquired in the previous year from
Würth Solar is the main reason for the decline in the cash and cash
equivalents position to EUR 38.9 million as of December 31, 2010 (previous
year: EUR 59.3 million). At 66.9%, the equity ratio at the end of 2010
remained at a high level (previous year: 79.0%).

For Dieter Manz, CEO of Manz Automation AG, the results that have been
achieved are a solid basis for a further growth leap in the ongoing year:
'We expect significant double-digit sales growth in 2011. In view of the
current order book position of around EUR 140.7 million we anticipate sales
of EUR 240 million to EUR 250 million.' The Management Board is confident
that it will be able to acquire its first CIGS technology customer: 'In
this instance, we would anticipate that sales would grow even more
strongly. Irrespective of this, we expect an EBIT margin of at least 5% as
the result of further optimisations of our cost structure.' In the
Management Board's assessment, particularly Asian markets such as China and
India will make significant contributions to future growth.

Company profile: Manz Automation AG

Manz Automation AG, based at Reutlingen/Germany (ISIN: DE000A0JQ5U3), is a
globally leading high-tech mechanical engineering company. The company,
which was founded in 1987, has developed over recent years from an
automation specialist into a provider of integrated production lines for
the photovoltaic industry (crystalline and thin film), and for the
manufacturing of flat screens. The development and manufacturing of
production systems for lithium-ion batteries comprises a new business area.
The Group of companies, which is managed by founder Dieter Manz, and which
has been listed on the Germany stock market since 2006, currently
manufactures in Germany, China, Taiwan, Slovakia and Hungary. There are
also distribution and service branches in the USA, South Korea, India and
Spain. The company employed around 1,750 staff as of the end of 2010, 800
of whom are located in Asia. Revenue in the past financial year amounted to
more than EUR 181 million. With their new 'passion for efficiency' claim,
Manz express their service commitment to provide ever more efficient
production systems to their customers that operate in important sectors of
the future.

Investor relations contact:

cometis AG
Ulrich Wiehle / Dominic Großmann
Tel.: +49 (0)611 - 205855-15
Fax: +49 (0)611 - 205855-66
E-Mail: grossmann@cometis.de

Public relations contact:

Manz Automation AG
Axel Bartmann
Tel.: +49 (0)7121 - 9000-395
Fax: +49 (0)7121 - 9000-99
E-Mail: abartmann@manz-automation.com

End of Corporate News

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Language: English
Company: Manz Automation AG
Steigäckerstr. 5
72768 Reutlingen
Deutschland
Phone: +49 (0) 7121 9000-0
Fax: +49 (0) 7121 9000-99
E-mail: info@manz-automation.com
Internet: http://www.manz-automation.com
ISIN: DE000A0JQ5U3
WKN: A0JQ5U
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, München, Stuttgart

End of News DGAP News-Service

115032 10.03.2011