euro adhoc: Solar-Fabrik AG
Financial Figures/Balance Sheet
Solar-Fabrik AG
announces group performance for 2005
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
31.03.2006
Solar-Fabrik AG (ISIN: DE0006614712) has completed a successful fiscal 2005. The group posted a positive performance of 340,000 euros. Total sales for the year are posted at 51.084 million euros. In the 4th quarter of 2005 alone, sales amounted to around 19 million euros -- the highest revenue in any quarter in the Company's history. The measures that the management has taken are having the desired effect: in 2005, the Solar-Fabrik Group expanded along the value chain considerably on the path to becoming an integrated solar group. In addition to its traditional core business of module production, a major milestone was reached with the acquisition of wafer trader Global Expertise Wafer Division Ltd. By taking these measures, Solar-Fabrik has ensured a supply of materials so that its profitability will improve for the long term. The Company thus managed to turn the year around after a weak first two quarters. Due to one-off effects from due diligence costs in the amount of 335,000 euros and the postponement/cancellation of promised deliveries of solar cells, the record performance of 2004 could not be maintained. Total sales for the year amounted to 51.084 million euros (previous year 52.119 million euros). In 2005, Solar-Fabrik AG posted an after-tax profit of 340,000 euros after a profit of 579 million euros in the previous year. Earnings before interest and tax (EBIT) amounted to minus 312,000 euros (previous year 1,006,000 euros). If we factor out the costs for due diligence for a planned acquisition, the Solar-Fabrik Group posted a positive operating result of 24,000 euros. For 2006, Solar-Fabrik plans to expand its production and sales quantities by at least 23 MW or more than 60 %. An in-house probability and planning metrics revealed that these growth rates will probably be surpassed. The reason is that GEWD has intensified its trading and now has another representative in the US, which will provide significant short-term success. In addition, Solar-Fabrik is planning to enter into contracts soon for the production of cells with a machine capacity of at least 30 MW. Furthermore, in 2006 Solar-Fabrik is no longer dependent on major suppliers, who are simultaneously major customers and therefore determine margins. This marks a decisive step toward greater independence for Solar-Fabrik within the entire market segment. For this reason alone, Solar-Fabrik's gross yield will improve considerably The target EBIT is up to four million euros with sales exceeding 80 million euros. In the first three months, Solar-Fabrik AG has already gained new suppliers. For instance, a ten-year contract has been signed with Photovoltech NV-SA of Belgium for a total volume of up to 70 MWp. In addition, in mid-March Solar-Fabrik AG signed a letter of intent with E-Ton Solar Tech. Co. Ltd. of Taiwan for the supply of at least 140 megawatts of solar cells. These deliveries will be made between 2007 and 2011. For 2006, E-Ton Solar has agreed to provide up to 10 megawatts (MW) of cells. The new contract provides for 20 MW in 2007, followed by at least 30 MW in each subsequent year. In other words, the amounts supplied will continuously increase starting in 2006. Overall, Solar-Fabrik plans to produce and sell up to 40 MWp in 2007.
end of announcement euro adhoc 31.03.2006 07:36:52
Further inquiry note:
Martin Schlenk
Tel. +49(0)761 4000 207
E-Mail: m.schlenk@solar-fabrik.de
Branche: Alternative energy
ISIN: DE0006614712
WKN: 661471
Börsen: Frankfurter Wertpapierbörse / regulated dealing/prime
standard
Börse Berlin-Bremen / free trade
Baden-Württembergische Wertpapierbörse / free trade
Bayerische Börse / free trade