PVA TePla AG — Interim / Quarterly Report 2021

May 18, 2021

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Interim Statement as at March 31, 2021

Quarterly Statement for Q1/2021

Successful start to the year for PVA TePla with good sales revenues performance and strong orders

• Incoming orders up 53.3% year on year at EUR 25.5 million
• Sales revenues still good in Q1 at EUR 23.8 million
• Clear increase in EBITDA margin from 9.3% to 10.2%
• No changes to outlook for 2021

IMPORTANT CONSOLIDATED FIGURES AT A GLANCE

EUR'000	Q1 / 2021	Q1 / 2020
Sales revenues	23,797	26,423
Semiconductor Systems	16,820	17,646
Industrial Systems	6,977	8,777
Gross profit	7,054	7,939
in % sales revenues	29.6	30.0
R&D expenses	975	1,114
EBITDA	2,428	2,461
in % sales revenues	10.2	9.3
Operating result (EBIT)	1,310	1,454
in % sales revenues	5.5	5.5
Consolidated net result	350	941
in % sales revenues	1.5	3.6
Total assets	179,565	177,245*
Shareholders' equity	69,894	69,314*
Equity ratio in %	38.9	39.1*
Employees as of March 31	546	553*
Incoming orders	25,525	16,648
Order backlog	127,074	161,118
Book-to-Bill-Ratio	1.07	0.63
Cash Flow from operating activities	429	-1,459*
Net financial position	29,548	26,778*

* As of December 31

Dear Shareholders and Business Partners of PVA TePla,

The global economic recovery and advances in digitalization are having a positive impact on our Group, with the global semiconductor market enjoying a significant upturn compared to the previous year. Our Semiconductor Systems division is also benefiting from this and has seen incoming orders more than double against the previous year figure. This is all the more remarkable given that larger orders from the wafer industry are not expected until the next few quarters. This positive development is driven mainly by orders in metrology and plasma systems, used primarily in the frontend and backend of the semiconductor industry.

In the first quarter, at EUR 23.8 million sales revenues were almost on a par with the previous year which had been largely unaffected by the corona pandemic. EBITDA again rose year on year to 10.2%. At 5.5%, the EBIT margin reached the level of the previous year.

We are planning a key step within our growth strategy in the form of the process development for manufacturing silicon carbide (SiC) crystals for the semiconductor industry. Strategic partnerships are currently being explored with companies that can contribute complementary technologies. The PVA TePla Group will provide the prerequisites and the necessary expertise to contribute to this important chapter in European and global semiconductor technology. This semiconductor model is strategically important for e-mobility, which is currently rapidly gaining traction around the world, as well as for many other industrial applications.

In light of the COVID-19 pandemic, we are still operating in a limited market environment, mainly due to the restrictions on international travel. PVA TePla Group employees must occasionally complete weeks of quarantine under difficult conditions in order to deliver complex orders to customers. The management would like to express its thanks and gratitude to them for this.

Our Annual General Meeting on June 18, 2021 will again be held virtually on account of the current situation. We are looking forward to welcoming many of our shareholders.

We would like to thank our shareholders for their trust in these uncertain times, and are fully committed to continuing PVA TePla AG's journey in your interests.

Manfred Bender, Alfred Schopf Oliver Höfer Jalin Ketter Dr. Andreas Mühe Chief Executive Officer Chief Operating Officer Chief Financial Officer Chief Technology Officer

Interim Statement as of March 31, 2021 3

SALES REVENUES

Sales revenues in the PVA TePla Group came to EUR 23.8 million (previous year: EUR 26.4 million). The Semiconductor Systems division accounted for EUR 16.8 million (previous year: EUR 17.6 million) of this sales revenues performance and the Industrial Systems division for EUR 7.0 million (previous year: EUR 8.8 million).

Sales revenues	Q1/2021	Q1/2020
by Division	EUR'000	EUR'000
Semiconductor Systems	16,820	17,646
Industrial Systems	6,977	8,777
Total	23,797	26,423

INCOMING ORDERS

Incoming orders were 53.3% higher than in the previous year at EUR 25.5 million (previous year: EUR 16.6 million). The book-to-bill ratio was 1.07.

Incoming orders for the Semiconductor Systems division amounted to EUR 19.7 million (previous year: EUR 9.4 million). This essentially includes orders from the semiconductor industry for plasma and metrology systems.

Order intake in the Industrial Systems Division reached EUR 5.9 million (previous year: EUR 7.3 million). Orders centered around a plasma nitriding system and a smelting and casting system.

The PVA TePla Group's order backlog rose in the first quarter of fiscal 2021 to EUR 127.1 million (December 31, 2020: EUR 125.0 million). The Semiconductor Systems division had an order backlog at the quarterly closing date of EUR 88.5 million (December 31, 2020: EUR 85.2 million). The order backlog in the Industrial Systems division was on par with the figure at the end of the previous year at EUR 38.6 million (December 31, 2020: EUR 39,7 million).

RESULTS OF OPERATIONS

PVA TePla once again increased its operating result (EBITDA).

At 29.6%, the gross margin was stable year on year (previous year: 30.0%), as was absolute EBITDA at EUR 2.4 million (previous year: EUR 2.5 million). The margin improved to 10% (previous year: 9%). The operating result (EBIT) came to EUR 1.3 million (previous year: EUR 1.5 million). As in the previous year, the EBIT margin was 5.5% at Group level. Earnings after taxes were at EUR 0.4 million (previous year: EUR 0.9 million), respectively 2% (previous year: 4%) of sales revenues.

EQUITY AND TOTAL ASSETS

Total assets increased compared to December 31, 2020 slightly to EUR 179.6 million (December 31, 2020: EUR 177.2 million). Equity increased to EUR 69.9 million (December 31, 2020: EUR 69.3 million), with an equity ratio of 39% (December 31, 2020: 39%).

LIQUIDITY

Cash flow from operating activities came to EUR +0.4 million (Q1 2020: EUR -1.5 million), cash flow from investing activities - due to increased cash inflows from financial assets - totaled EUR +2.4 million (Q1 2020: EUR -1.4 million), and cash flow from financing activities was EUR -0.3 million (Q1 2020: EUR 0.006 million).

At EUR 29.5 million (December 31, 2020: EUR 26.8 million), the net financial position remains very high.

EMPLOYEES

The Group had 546 employees as of March 31, 2021 (December 31, 2020: 553).

REPORT ON OPPORTUNITIES AND RISKS

There were no significant changes to the opportunities and risks presented in the 2020 annual report in the course of the first quarter of fiscal year 2021, including with regard to the COVID-19 crisis. There is no information on risks to the Group as a going concern.

FORECAST

PVA TePla saw stable business development in the first quarter, with good incoming orders well above the previous year's level. The Management Board confirms the current statement on business development in 2021 and continues to expect a solid fiscal year with sales revenues in the range of EUR 140 million to EUR 150 million and EBITDA between EUR 18 million and EUR 20 million.

Interim Consolidated Financial Statements

CONDENSED CONSOLIDATED BALANCE SHEET

January 1 - March 31, 2021

Non-current assets Right-of-use assets 10,991 Intangible assets 2,506 Property, plant and equipment 27,927	11,081 2,695 28,596 393 4,531 47,296
Non-current investments 768
Deferred tax assets 4,469
Total non-current assets 46,661
Current assets
Inventories 73,649	67,627
Trade and other receivables 19,057	24,802
Contract assets 7,539	7,674
Tax repayments 385	116
Cash and cash equivalents 32,274	29,730
Total current assets 132,904	129,949
Total 179,565	177,245
LIABILITIES AND SHAREHOLDERS' EQUITY EUR'000 Mar. 31, 2021	Dec. 31, 2020
Shareholders' equity 69,894	69,314
Non-current liabilities 23,289	23,220
Current liabilities 86,382	84,711
Total 179,565	177,245

CONDENSED CONSOLIDATED INCOME STATEMENT

January 1 - March 31, 2021

	Jan. 1 - Mar.	Jan. 1 - Mar.
EUR'000	31, 2021	31, 2020
Sales revenues	23,797	26,423
Cost of sales	-16,743	-18,484
Gross profit	7,054	7,939
Selling and distributing expenses	-3,538	-3,488
General administrative expenses	-2,239	-2,316
Research and development expenses	-975	-1,114
Other operating income	1,347	818
Other operating expenses	-339	-385
Operating result (EBIT)	1,310	1,454
Financial result and share of profits
from associates	-61	-93
Net result before tax	1,249	1,361
Income taxes	-899	-420
Consolidated net result for the period	350	941
of which attributable to
Shareholders of PVA TePla AG	350	941
Minority interest	0	0
Earnings per share
(basic/diluted)
Earnings per share (basic) in EUR	0.02	0.04
Earnings per share (diluted) in EUR	0.02	0.04

CONDENSED CONSOLIDATED CASH FLOW STATEMENT

January 1 - March 31, 2021

EUR'000	Jan. 1 - Mar. 31, 2021	Jan. 1 - Dec. 31, 2020
= Cash-flow from operating activities	429	-1,459
= Cash-flow from investing activities	2,371	-1,381
= Cash-flow from financing activities	-326	6
Net change in cash and cash equivalents	2,474	-2,834
+/- Effect of exchange rate fluctuations on cash	69	0
+ Cash and cash equivalents at the beginning of the period	29,730	25,570
= Cash and cash equivalents at the end of the period	32,274	22,736