SÜSS MicroTec SE

Earnings Release • Nov 8, 2005

News Details

Ad-hoc | 8 November 2005 19:40

Süss MicroTec AG publishes nine-months report

Ad hoc announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. —————————————————————————— Sales markedly below previous year’s level · Positive trend in order entries · Highly positive trend in liquidity · Changeover from US GAAP to IFRS will lead to significant changes in the balance sheet and income statement for the full year 2005 Munich, November 8, 2005 – Sales and earnings in the first nine months of 2005 were markedly below the previous year’s figures. SUSS MicroTec’s consolidated sales amounted to EUR 72.1 million in the period under review, 7% lower than in the previous year (EUR 77.5 million). EBIT totaled EUR -8.0 million in the first nine months of 2005, compared with EUR -5.3 million in the same period last year. Earnings per share amounted to EUR -0.66 (previous year: -0.41). This development was caused mainly by deferments of sales generated with new products. These sales deferments had a corresponding impact on EBIT, which also includes a write-down of goodwill (Device Bonders) amounting to EUR 1.2 million with no impact on liquidity. Order entries in the reporting period, at EUR 81.2 million, were 9% below their previous year’s level (revised EUR 89.0 million). The trend in order entries in 2005 (Q1: EUR 23.2; Q2: 26.9; Q3: 31.2 million) is nevertheless positive, and we expect it to continue in the fourth quarter. The successful implementation of the restructuring measures can be seen in the gross profit margin of 42.9% in Q3. This exceeded 40% despite the lack of economies of scale that resulted from low sales figures. The liquidity trend was also gratifying. Thanks mainly to the development of inventories and accounts receivable, a free cash flow of EUR 3.1 million was generated in the third quarter. This, together with the capital increase, resulted in a capital inflow of EUR 10.5 million in Q3. SUSS MicroTec will prepare its financial statements for 2005 in accordance with the IFRS standard for the first time. This will lead to significant changes in the balance sheet and in the income statement. In particular, the recognition of sales and the handling of in-house development work will change as a result of IFRS. For further information please see our Nine-months Report at www.suss.com. For the full year we are expecting sales of some EUR 103 million on the basis of IFRS; there may be deviations from this figure, depending on the number of customers’ final acceptances that are completed by the end of the year. With sales at this level, and taking the effects of the changeover and the valuation allowance for the goodwill into account, we are assuming an EBIT figure of approx. EUR -7 million. In addition, we are not ruling out the possibility that further non-recurring expenditure will result from the strategic corporate decision – due before the end of this year – on whether to reduce the break-even point again. If the results were still reported in accordance with US GAAP, net sales would amount to some EUR 112 million and EBIT, before special items like goodwill impairment, approx. EUR -2 to -3 million, and would therefore be within the given guidance. The results from Q3/2005 by way of comparison: Amounts in EUR (millions) Q3/2004 Q3/2005 9M 2004 9M 2005 Net order entry 32.4 31.2 89.0 rev. 81.2 Net order backlog — — 45.1 rev. 49.6 Net sales 31.7 23.7 77.5 72.1 Shareholders’ equity — — 98.8 85.8 Capital ratio — — 64.3% 62.5% Cash liquidity — — 15.7 27.0 Free cash flow -4.0 3.1 -5.0 0.3 Gross profit 15.0 10.2 31.1 28.4 Gross profit margin 47.3% 42.9% 40.2% 39.4% EBITDA 4.1 -0.4 -1.3 -2.9 EAT(earnings after tax) 1.4 -3.6 -6.2 -10.1 EPS(earnings per share in EUR) 0.09 -0.23 -0.41 -0.66 Employees — — 747 662 You can find the Q3 report at http://www.suss.de (pdf to download). Further information can be obtained from: SÜSS MicroTec AG Investor Relations Barbara v. Frankenberg Tel.: +49 (0) 89 / 320 07-314 Fax: +49 (0) 89/ 320 07-450 E-mail: b.frankenberg@suss.de Süss MicroTec AG Schleissheimer Strasse 90 85748 Garching b. München Deutschland ISIN: DE0007226706 WKN: 722670 Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin- Bremen, Düsseldorf, Hamburg, München und Stuttgart End of ad hoc announcement (c)DGAP 08.11.2005