Singulus Technologies AG

Earnings Release • Jul 31, 2009

News Details

Corporate | 31 July 2009 07:25

SINGULUS TECHNOLOGIES reports figures for the first six months of 2009

SINGULUS TECHNOLOGIES AG / Half Year Results

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Press Release

SINGULUS TECHNOLOGIES reports figures for the first six months of 2009

Kahl am Main, July 31, 2009 - Since the beginning of the economic crisis in
the 4th quarter of the previous year the global economy has been in a
recession. The order intake in the German machine and plant engineering
sector has been hit particularly hard by these impacts and continued to
drop sharply. The SINGULUS TECHNOLOGIES AG (SINGULUS) was not able to
withdraw from this negative trend, either. Both the segments Optical Disc
and Solar experienced a significant decrease in orders received.

Insofar, the key figures for order intake and order backlog at SINGULUS
were substantially below the prior-year figures in the 2nd quarter 2009 and
also lower than expected. During the first six months of the business year
the order intake amounted to EUR 40.8 million (previous year: EUR 155.2
million), which was 73.7 % below the level achieved in the first half of
2008. In the quarter under review the order intake came to EUR 23.4 million
(previous year: EUR 70.8 million). As of June 30, 2009 the order backlog
amounted to EUR 43.9 million and was thus also considerably below the
prior-year level of EUR 129.7 million. According to the business trend
sales amounted to EUR 67.1 million in the first six month of 2009 and was
thus below the same period one year ago (EUR 81.3 million). Sales of EUR
31.7 million in the 2nd quarter 2009 were also lower than in the previous
year (Q2 2008: EUR 51.0 million).

In the 1st half of 2009 earnings before interest and taxes (EBIT) amounted
to EUR -10.6 million. This included restructuring charges from the 1st
Quarter in the amount of EUR 3.0 million. The comparable figure last year
in the amount of EUR-1.7 million included a one-time positive earnings
effect in the amount of EUR 15.6 million (extraordinary effect in
connection with the first-time consolidation of the Blu-ray activities
acquired from the Oerlikon Balzers AG). In the quarter under review the
EBIT came to EUR -5.7 million (previous year: EUR -2.0 million).

Due to the so far incurred losses as well as the weak business expectation
for the remainder of 2009 the Executive Board devised a restructuring plan
and discussed it with the Supervisory Board of the company. On July 24,
2009 both Boards adopted this restructuring plan. The goal is to achieve an
improvement of the results in 2010, even in an environment of significantly
lower sales volumes. Accordingly, it has become necessary to adjust the
processes and capacities in the SINGULUS group to the market expectations
and to realize saving potentials. This includes personnel measures and
reductions in material expenses. Globally, up to 190 employees are affected
from this plan. The headquarters in Kahl will be affected by approximately
80 employees. The expected one-time restructuring charges amount to about
EUR 7 million and result in savings of personnel expenses of EUR 11-12
million from 2010.

Outlook

The impact of the international economic crisis on the development of the
markets Solar and Optical Disc are more severe than foreseeable at the
beginning of the business year 2009. This affects SINGULUS to a particular
extent. The market for solar technology has almost come to a standstill
since fall 2008. Also the optical disc market shows little impulses for the
remaining months of the business year 2009. The orders usually placed by
major customers towards the end of the 2nd quarter have failed to appear so
far. The expected total number of Blu-ray disc production machines in the
business year 2009 will therefore remain below the sales realized in 2008.
A recovery in the entire business activities has not yet materialized and
we also expect a difficult 2nd half of 2009.

Although the recession has eased considerably in Germany according to the
assessment of the German Institute for Economic Research (DIW) and the
International Monetary Fund reported in the course of a forecast update on
the 'World Economic Outlook' from April, that the global economy is at the
end of the recession, the situation has not improved for SINGULUS. SINGULUS
therefore expects sales in a range from EUR 105 to 125 million for the
business year 2009 and clearly negative earnings.

Economists and experts of various economic institutes see a positive trend
for the year 2010 at the latest. If the overall economic situation will
improve from 2010 this is expected to provide a new stimulus for SINGULUS'
business as well.

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

                                              2007     2008     2009

Sales million EUR 62.5 51.0 31.7
Order intake million EUR 48.1 70.8 23.4
EBIT million EUR 0.5 -2.0 -5.7
EBITDA million EUR 5.9 4.6 -0.6
Earnings before taxes million EUR 0.7 -3.9 -7.0
Net profit million EUR 0.1 -3.2 -7.8
R+D expenses million EUR 5.6 4.4 2.5

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

                                              2007      2008      2009

Sales million EUR 112.3 81.3
67.1
Order intake million EUR 108.5 155.2
40.8
Order backlog (June 30) million EUR 77.7 129.7
43.9
EBIT million EUR 0.7 -1.7
-10.6
EBITDA million EUR 10.8 14.5
-0.4
Earnings before taxes million EUR 1.3 -5.1
-12.9
Net profit million EUR 0.9 -3.2
-13.9
Employees (June 30) 674 758 608
Earnings per share, basic EUR 0.01 -0.09
-0.38

SINGULUS TECHNOLOGIES AG, Hanauer Landstraße 103,

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

For further information please contact:

Robert Adolph, Head of Investor Relations,

Tel.: + 49 (0) 6188 -440 612, or

Bernhard Krause, Communications Worldwide
Tel.: + 49 (0) 6181 982 80 20

SINGULUS TECHNOLOGIES AG, Hanauer Landstraße 103,

D-63796 Kahl/Main, ISIN: DE0007238909, WKN: 723890
Bernhard Krause, Communications Worldwide
Tel.: + 49 (0) 6181 982 80 20

31.07.2009 Financial News transmitted by DGAP

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, München, Düsseldorf, Stuttgart, Hamburg

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