Meyer Burger Technology AG — Earnings Release 2008

Aug 15, 2008

News Details

Corporate | 15 August 2008 09:03

Roth & Rau reports successful performance for H1 2008

Roth & Rau AG / Half Year Results

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Roth & Rau reports successful performance for H1 2008
- Sales rise 59.0% to EUR 103,669k
- EBIT up 54.1% to EUR 10,568k
- Orders on hand reach record level of EUR 278,040k
- Sales projections raised to a minimum of EUR 250 million, EBIT margin to
reach at least 10%

Hohenstein-Ernstthal, 15 August 2008 – In the first six months of 2008, the
Roth & Rau Group continued to grow and clearly improved all relevant key
figures. Sales revenues increased by 59.0% from EUR 65,195k in H1 2007 to
EUR 103,669k in H1 2008. The export share stood at 89.6%, up from 53.8% in
the previous year. The photovoltaics division contributed EUR 99,880k or
96.3% to Group sales (2007: 92.6%). The segment’s sales thus improved by
65.5% as compared to the same period of the previous year (H1 2007: EUR
60,357k). Roth & Rau again benefited from the strong demand for production
equipment for crystalline silicon solar cells and its market position as a
leading supplier of antireflection coatings and turnkey production lines.
Sales in the plasma and ion beam technology division amounted to EUR
3,789k, compared to EUR 4,830k. The decline is due to sales fluctuations in
the course of the year, which are attributable to the high share of project
business. This will probably be offset in the further course of the year.

Capital expenditure
The investments made in the second quarter further strengthened the basis
for the company’s future growth. In particular, the takeover of special
software provider AIS Automation Dresden GmbH will give Roth & Rau
additional competitive advantages. 'The integration of AIS will enable us
to increase our share in the value chain for the production of crystalline
silicon solar cells while at the same time pushing ahead the
standardisation of our turnkey production lines,' explained Dr. Dietmar
Roth, CEO of Roth & Rau AG. With a view to expanding its technological
expertise, which represents a major success factor, Roth & Rau AG signed a
cooperation agreement with the University of Neuchâtel, Switzerland. In the
context of a three-year programme, plants and technologies for the
production of highly efficient crystalline silicon solar cells will be
developed. The company plans to invest a total of EUR 14 million in this
project. With a view to the expected future growth, Roth & Rau also
continued to invest in the expansion of its production capacity in
Hohenstein-Ernstthal. Additional production space of 4,000 to 5,000 square
metres will be available from mid-Q3.
Earnings position and cash flow
Earnings before interest and taxes (EBIT) climbed by 54.1% to EUR 10,568k
(2007: EUR 6,859k). At 10.2%, the EBIT margin was on a par with the same
period of the previous year and above the level of the full year 2007. 'It
is one of our declared objectives in the current fiscal year to increase
our profitability. The increase in the first-half margin shows that the
measures we have initiated to improve our cost positions are beginning to
bear fruit,' said CFO Carsten Bovenschen. 'The constant optimisation of the
production processes and the use of materials has enabled us to reduce the
cost of materials as a percentage of sales.' The photovoltaics division
contributed EUR 10,474k to EBIT, which represents an increase of 53.0%
(2007: EUR 6,846k). The plasma and ion beam technology division boosted its
EBIT from EUR -13k to EUR 73k and is thus back in the black. The Group’s
result increased at a disproportionate rate of 97,2% to EUR 9.612k.

Outlook
The Roth & Rau Group assumes that demand for production equipment for
crystalline silicon solar cells will continue to grow in the coming months
and therefore expects business to remain strong. This view is confirmed by
the backlog of orders of EUR 278,040k as of 30 June 2008, which was up 130%
percent on the previous year‘s EUR 120,888k. The Management Board has
therefore raised its sales projections for fiscal 2008 from EUR 235 million
to a minimum of EUR 250 and projects an EBIT margin of at least 10%.

The interim report is available for download at www.roth-rau.de in the
Investor Relations section.

About Roth & Rau AG:
Roth & Rau AG based in Hohenstein-Ernstthal (ISIN DE000A0JCZ51) is by
market share one of the world’s leading suppliers of plasma process systems
for the photovoltaics industry. Furthermore Roth & Rau supplies components
and process systems based on plasma and ion beam technology for other
sectors. Developed by Roth & Rau, these products are manufactured and
distributed worldwide through the company’s photovoltaic and plasma and ion
beam technology divisions. Roth & Rau’s photovoltaic division focuses on
providing antireflective coating facilities as well as fully automated
manufacturing lines (turnkey production lines) for the production of
crystalline silicon solar cells. Another focus is on the production of
equipment for the coating of thin film solar modules. The plasma and ion
beam technology division, which accounted for 6 percent of total sales in
the 2007 financial year, produces plasma sources and ion beam sources as
well as process systems for plasma and ion beam enhanced thin film and
surface processing methods. Customers served by this division include, in
particular, companies in the semiconductor and automotive industries, R&D
departments in various industries including photovoltaics as well as
research institutes and universities. Roth & Rau AG posted sales of Euro
146 million and EBIT of Euro 14 million pursuant to IFRS for the 2007
financial year and had an average of 190 employees.

Contact:
Haubrok Investor Relations GmbH
Simone Gorny
Kaistraße 16
40221 Düsseldorf
Tel.: +49 (0) 211/30126-130
Fax: +49 (0)211/30126-5130
E-Mail: s.gorny@haubrok.de

15.08.2008 Financial News transmitted by DGAP

Language: English
Issuer: Roth & Rau AG
An der Baumschule 6-8
09337 Hohenstein-Ernstthal
Deutschland
Phone: 03723 6685-0
Fax: 03723 6685-100
E-mail: info@roth-rau.de
Internet: www.roth-rau.de
ISIN: DE000A0JCZ51
WKN: A0JCZ5
Indices: TecDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Stuttgart, München, Düsseldorf

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