SMA Solar Technology AG Significantly Increases Sales in First Half of 2015 and Improves Operating Earnings

DGAP-News: SMA Solar Technology AG / Key word(s): Half Year Results
SMA Solar Technology AG: SMA Solar Technology AG Significantly
Increases Sales in First Half of 2015 and Improves Operating Earnings

13.08.2015 / 07:00


SMA Solar Technology AG - Corporate News

SMA Solar Technology AG Significantly Increases Sales in First Half of 2015
and Improves Operating Earnings

Overview of first half of 2015:
- Sales increase year on year to EUR429.3 million (Q1-Q2 2014: EUR341.2

- International share rises significantly to 87.2% (Q1-Q2 2014: 73.4%)

- Operating earnings (EBIT) improve considerably to EUR-14.9 million
(Q1-Q2 2014: EUR-62.4 million)

- High net cash of EUR211.0 million (December 31, 2014: EUR225.4 million)
despite severance payments

- Equity ratio still high at 47.2% (December 31, 2014: 46.8%)

- Company transformation progressing as planned

- Managing Board confirms raised sales and earnings guidance for fiscal
year 2015

Niestetal, August 13, 2015-In the second quarter of 2015, SMA Solar
Technology AG (SMA/FWB: S92) continued its positive business performance
from the first three months. From January to June 2015, SMA Group's sales
climbed by 26% year on year to EUR429.3 million (Q1-Q2 2014: EUR341.2
million) and were thus in line with the Managing Board's forecast. The main
sales driver was the segment of large-scale PV power plants (Utility). In
addition, the segments for residential PV systems (Residential) and
commercial PV systems (Commercial) increased in importance in the second
quarter. SMA's outstanding international position is reflected in a high
international share of sales of 87.2% (Q1-Q2 2014: 73.4%). SMA Group's most
important foreign markets in the first six months of the year were North
America, Japan, Great Britain and Australia. SMA sold PV inverters with an
output of 3.2 GW in the reporting period (Q1-Q2 2014: 2.0 GW).

As a result of increased sales volumes, reduced fixed costs and positive
exchange rate effects, EBITDA improved considerably to EUR21.3 million
(Q1-Q2 2014: EUR-17.0 million). At EUR-14.9 million (EBIT margin: -3.5%),
EBIT was at the upper end of the Managing Board's earnings forecast for the
first half of 2015 (forecast: EUR-25 million to EUR-15 million). In the
same period of the previous year, SMA generated EBIT of EUR-62.4 million
(EBIT margin: -18.3%). Consolidated earnings amounted to EUR-21.4 million
in the first half of 2015 (Q1-Q2 2014: EUR-44.9 million).

Gross cash flow and net cash were particularly influenced by severance
payments in the wake of the staff reduction. However, gross cash flow
improved to EUR-5.1 million in the first half of 2015 (Q1-Q2 2014: EUR-41.7
million). Net cash remained at a high level at EUR211.0 million (December
31, 2014: EUR225.4 million). With an equity ratio of 47.2% (December 31,
2014: 46.8%), SMA remains financially sound and can implement the strategy
from its own resources.

\"After the positive development in the first half of the year and in light
of the continued high order backlog, the SMA Managing Board is anticipating
a rise in sales again in the current fiscal year for the first time since
2010. In recent years, we have consistently invested in the establishment
of global infrastructure in order to compensate for market fluctuations,
and we can now benefit from growth in demand and the consolidation in the
photovoltaics industry in all regions. In order to generate profits again
as quickly as possible, the Managing Board has also comprehensively
transformed the Company over the last few months. The goal is to reduce
fixed costs by EUR160 million by the end of 2015. The first effects of the
cost reduction measures initiated will already be evident in the second
half of 2015. We therefore anticipate positive free cash flow in the
current fiscal year,\" explained SMA Chief Executive Officer and Chief
Financial Officer Pierre-Pascal Urbon.

The SMA Managing Board confirms the sales and earnings forecast for the
current fiscal year that was raised in July and predicts sales of EUR800
million to EUR850 million. Around 80% of the forecasted sales have already
been accounted for in the sales of the first six months of 2015 and the
order backlog for this fiscal year. Taking into consideration the Company's
improved business performance and timely implementation of its
transformation, the Managing Board anticipates a break-even in terms of
operating result (EBIT) in the best-case scenario in 2015. In the
worst-case scenario, SMA would generate an operating loss of EUR25 million
in 2015.

You can find the half-yearly financial report for January to June 2015 at

About SMA
The SMA Group with sales of more than EUR800 million in 2014 is the global
market leader for solar inverters, a key component of all PV plants and
offers innovative key technologies for future power supply structures. It
is headquartered in Niestetal, near Kassel, Germany, and is represented in
21 countries. The Group employs more than 4,000 people worldwide. SMA's
broad product portfolio includes a compatible inverter for every type of
module on the market and for all PV system sizes. The repeatedly awarded
product range includes system technologies for grid-connected photovoltaic
systems as well as off-grid and hybrid systems. The technology is protected
by more than 550 patents. The range of services is supplemented by
comprehensive services and operational management of large-scale PV power
plants. Since 2008, the Group's parent company, SMA Solar Technology AG,
has been listed on the Prime Standard of the Frankfurt Stock Exchange (S92)
and also in the TecDAX index.

SMA Solar Technology AG
Sonnenallee 1
34266 Niestetal

Head of Corporate Communications:
Anja Jasper
Tel.: +49 561 9522-2805

Press Contact:
Susanne Henkel
Manager Corporate Press
Tel.: +49 561 9522-1124
Fax +49 561 9522-421400

Investor Relations Contact:
Fax +49 561 9522-2223

This Corporate News serves only as information and does not constitute an
offer or invitation to subscribe for, acquire, hold or sell any securities
of SMA Solar Technology AG (the \"Company\") or any present or future
subsidiary of the Company (together with the Company, the \"SMA Group\") nor
should it form the basis of, or be relied upon in connection with, any
contract to purchase or subscribe for any securities in the Company or any
member of the SMA Group or commitment whatsoever. Securities may not be
offered or sold in the United States of America absent registration or an
exemption from registration under the U.S. Securities Act of 1933, as

This Corporate News can contain future-oriented statements. Future-oriented
statements are statements which do not describe facts of the past. They
also include statements about our assumptions and expectations. These
statements are based on plans, estimations and forecasts which the Managing
Board of SMA Solar Technology AG (SMA or company) has available at this
time. Future-oriented statements are therefore only valid on the day on
which they are made. Future-oriented statements by nature contain risks and
elements of uncertainty. Various known and unknown risks, uncertainties and
other factors can lead to considerable differences between the actual
results, the financial position, the development or the performance of the
corporation and the estimates given here. These factors include those which
SMA has discussed in published reports. These reports are available on the
SMA website at www.SMA.de. The company accepts no obligation whatsoever to
update these future-oriented statements or to adjust them to future events
or developments.


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Language: English
Company: SMA Solar Technology AG
Sonnenallee 1
34266 Niestetal
Phone: +49 (0)561 / 9522 - 0
Fax: +49 (0)561 / 9522 - 100
E-mail: info@sma.de
Internet: www.sma.de
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart

End of News DGAP News-Service
386363 13.08.2015

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SMA Solar Technology AG

Investor Relations
Sonnenallee 1
34266 Niestetal