2013-04-24 07:05:02 -
Sandvika, April 24, 2013: Renewable Energy Corporation ASA (REC) reported first
quarter 2013 revenues of NOK 1,278 million and EBITDA of NOK 46 million. EBIT
was negative NOK 159 million. REC's cash position improved by NOK 0.1 billion to
NOK 2.0 billion.
REC experienced improved demand for solar panels in the first quarter 2013
compared to the second half of 2012. The slowdown observed in the largest solar
markets in Europe is being offset by growth in other markets, in particular in
Asia. Despite the recent price stabilization, the global production capacity is
still excessive throughout the solar value chain, and significant demand growth
or supply reduction is required to improve pricing.
Sales and production volumes were reduced in the first quarter after temporary
capacity shut downs in both Silicon and
Solar. REC's selling prices for solar
panels were down four percent from the previous quarter while average blended
polysilicon prices declined nine percent, mainly due to reduced prices and sales
volume of electronic grade polysilicon. REC managed to reduce its solar panel
cost further in the quarter, while FBR costs were negatively affected by high
maintenance costs and the temporary shutdown of the Silicon I Siemens reactors.
REC's first quarter revenues were down 24 percent from the previous quarter,
while the NOK 46 million EBITDA was an improvement from negative NOK 37 million
in the previous quarter. The fourth quarter 2012 revenues and EBITDA were
impacted by positive items of NOK 80 million in REC Silicon, while in the first
quarter 2013 other income of NOK 115 million from termination and settlement of
parts of a silane gas contract was recognized. The underlying EBITDA improvement
from the previous quarter in the operations of REC Solar was partially offset by
weaker results in REC Silicon.
Loss after tax was NOK 209 million, compared to a loss of NOK 2,170 million in
the previous quarter. Basic EPS from total operations was negative NOK 0.10 in
the first quarter 2013, compared to negative NOK 1.03 in the previous quarter.
"The market conditions continue to be demanding for the entire solar industry,
although the prices have stabilized recently. REC continues to focus on
improving our operations and on technology development in order to cut costs
further, while reinforcing our market position globally. In the first quarter,
our Solar organization has demonstrated its strength and adaptability by
shifting sales away from stagnating European markets to high growth solar
markets in Asia," says Ole Enger, CEO & President of REC.
For more information, please see the attached first quarter 2013 report and
presentation. A spreadsheet with detailed financial information can be found on
the investor section of www.recgroup.com.
On the release day, President and CEO Ole Enger of REC will give a presentation
together with other members of the management team. The presentation will take
place at 08:00 hrs Norwegian time/CET at the conference centre Høyres Hus,
Stortingsgaten 20, 0161 Oslo (www.hoyreshus.no).
The presentation, held in English, will be broadcasted live over the Internet,
and can be accessed from: www.recgroup.com.
It will also be possible to listen to the presentation through a conference
call. Please make sure to dial in 10 minutes prior to scheduled start time on
one of the following numbers:
Confirmation code: 4539971
Norway Toll Free: 800 56 054
UK Toll Free: 0800 279 4841
USA Toll Free: 1877 249 9037
International Toll: +44 (0)20 3450 9987
REC will further host an analyst conference call with possibilities for
questions and answers later the same day at 15:00 CET. Please make sure to dial
in at least 5 minutes ahead of time to finalize your registration:
International dial in: +47 2318 4540, please state your name and company.
Immediately after the call, a replay of the conference call will be made
available. To access, please dial +47 2318 4502 and use the following procedure:
1. Type pincode 1524 followed by # (pound-sign)
2. Continue by typing reference number 524 followed by # (pound-sign)
For further information, please contact:
SVP Investor Relations & Business Development, REC
Telephone: +47 976 99 144
REC is a leading global provider of solar electricity solutions. With nearly two
decades of expertise, we offer sustainable, high-performing products, services
and investment opportunities for the solar and electronics industries. Together
with our partners, we create value by providing solutions that better meet the
world's growing electricity needs. Our 2,200 employees worldwide generated
revenues of more than NOK 7 billion in 2012, approximately EUR 1 billion or USD
To see more of what REC can offer, visit www.recgroup.com
This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act)
REC Q1 2013 report:
REC Q1 2013 presentation:
This announcement is distributed by Thomson Reuters on behalf of
Thomson Reuters clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Renewable Energy Corporation ASA via Thomson Reuters ONE