2018-09-27

DGAP-News: Managing Board of SMA Solar Technology AG Lowers Guidance for the Current Fiscal Year

DGAP-News: SMA Solar Technology AG / Key word(s): Change in Forecast
Managing Board of SMA Solar Technology AG Lowers Guidance for the Current
Fiscal Year

27.09.2018 / 15:20
The issuer is solely responsible for the content of this announcement.

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SMA Solar Technology AG-Corporate News

Managing Board of SMA Solar Technology AG Lowers Guidance for the Current
Fiscal Year

Niestetal, September 27, 2018 - The Managing Board of SMA Solar Technology
AG (SMA/FWB: S92) is adjusting its sales and earnings guidance for the
current fiscal year. The SMA Managing Board expects sales of between EUR800
million and EUR850 million for 2018 (previously: EUR900 million to EUR1,000
million). The background for this is a further sharp fall in prices and
project postponements as a result of the market downturn in China. The
Managing Board is announcing structural adjustments to SMA. Corresponding
measures are to be established by the end of the year. These will incur
one-off costs that will negatively affect SMA's earnings. The Managing Board
is therefore expecting break-even to slightly negative EBITDA (after one-off
effects from restructuring) for 2018 (previously: EBITDA of EUR90 million to
EUR110 million). The SMA Managing Board is anticipating sales growth and
positive EBITDA for 2019.

\"The massive and unexpected reduction of the PV expansion targets by the
Chinese government has led to enormous excess capacity in module and
inverter production in China. As a result, Chinese manufacturers are putting
increasing pressure on international markets,\" explained SMA CEO
Pierre-Pascal Urbon. \"This has once again exacerbated the already steep
decline in prices in all markets and segments. In recent weeks, we have seen
that project developers and investors are increasingly delaying the
implementation of PV projects in the coming year in anticipation of even
lower prices. Against this backdrop, SMA is currently recording incoming
orders below our expectations.\"

In order to quickly return SMA to profitability under the changed
conditions, the Managing Board has decided to adjust the company's
structures. \"We will be introducing product innovations in the major
photovoltaic markets in the coming months and into 2019 that will allow us
to counter the increasing price pressure in the components business. Our
expertise in the field of energy management and the integration of battery
storage systems is making a decisive contribution in penetrating the
higher-margin systems and services business in the long term. In the medium
term, we will also be making structural adjustments to be able to react even
more flexibly to market-specific changes,\" said Pierre-Pascal Urbon. \"The
planned measures are to be adopted by the end of the year. They concern
issues such as the reduction of complexity in the areas of operations and
technology, the outsourcing of activities and the global adjustment of
administrative areas. Due to the strength of its balance sheet and its
experience in the consistent implementation of restructuring measures, SMA
is well equipped to benefit from the expected market consolidation and to
quickly return to profitability.\"

About SMA
The SMA Group with sales of around EUR900 million in 2017 is a global leader
for solar inverters, a key component of all PV plants. SMA offers a wide
range of products and solutions that allow for high energy yields for
residential and commercial PV systems and large-scale PV power plants. To
increase PV self-consumption efficiently, SMA system technology can easily
be combined with different battery technologies. Intelligent energy
management and digital energy solutions, comprehensive services and
operational management of PV power plants round off SMA's range. The company
is headquartered in Niestetal, near Kassel, Germany, is represented in 19
countries and has more than 3,000 employees worldwide, including 500 working
in Development. SMA's multi-award-winning technology is protected by more
than 1,100 patents and utility models. 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 is listed in the SDAX index.


SMA Solar Technology AG
Sonnenallee 1
34266 Niestetal
Germany

Head of Corporate Communications:
Anja Jasper
Tel. +49 561 9522-2805
Presse@SMA.de

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

Disclaimer:
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
amended.

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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27.09.2018 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Language: English
Company: SMA Solar Technology AG
Sonnenallee 1
34266 Niestetal
Germany
Phone: +49 (0)561 / 9522 - 0
Fax: +49 (0)561 / 9522 - 100
E-mail: info@sma.de
Internet: www.sma.de
ISIN: DE000A0DJ6J9
WKN: A0DJ6J
Indices: SDAX
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Munich,
Stuttgart, Tradegate Exchange



End of News DGAP News Service
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SMA Solar Technology AG

Investor Relations
Sonnenallee 1
34266 Niestetal
Germany

Fax +49 561 9522-1133