DGAP-News

AIXTRON SE: Q2 Orders and Revenues Up Again / Phase Two of 5-Point-Program underway / Impending Launch of Next Generation MOCVD Tool - Seite 2

Financial Highlights

Global demand for LEDs continues to increase, driven by the growing
adoption of LEDs in the general lighting market. Utilization rates of most
leading LED chip manufacturers also remain high. However, the increasingly
positive market sentiment has not yet translated into substantially
increased order levels for AIXTRONs LED manufacturing capacity.
Nevertheless, AIXTRON generated increased revenues sequentially and
year-on-year

The Company's gross profit at EUR 12.6m was 17% higher than in the previous
quarter, mainly due to higher volumes and a more favorable product mix
(Q1/2014: EUR 10.8m). It was up slightly year-on-year compared to EUR 12.3m
in Q2/2013.

Operating expenses at EUR 23.2m were slightly up both sequentially and
year-on-year (Q2/2013: EUR 22.0m; Q1/2014: EUR 21.7m) primarily due to
increased R&D costs.

Consequently, EBIT for Q2/2014 was broadly unchanged sequentially and came
in at EUR -10.6m (Q2/2013: EUR -9.8m; Q1/2014: EUR -10.9m). The net result
for Q2/2014 amounted to EUR -11.6m (Q2/2013: -11.8m; Q1/2014: EUR -11.8m).

AIXTRON's Q2/2014 equipment order intake, at EUR 38.2m, showed a
year-on-year increase of 25% from the EUR 30.5m in Q2/2013. Sequentially,
the equipment order intake was also up (Q1/2014: EUR 37.7m), representing
the fifth consecutive quarter of rising orders. The total equipment order
backlog of EUR 66.4m as at June 30, 2014 was 14% higher than the 2014
opening backlog of EUR 58.1m.

Mainly due to the next generation MOCVD tool being in the qualification
phase at key customers, Research and Development costs in Q2/2014 increased
year-on-year by 22% to EUR 15.5m and 13% sequentially (Q2/2013: EUR 12.7m;
Q1/2014: EUR 13.7m). At 34% of revenues, R&D spending remained at a
relatively high level that underlines the important strategic significance
of AIXTRON's internal R&D capabilities. Further progress was made in SG&A
expenses. They were further reduced sequentially by 13% to EUR 7.9m in
Q2/2014 (Q1/2014: EUR 9.1m).

Mainly due to the operating losses and a scheduled increase of inventories
for new MOCVD tools and spares, free cash flow was down to EUR -17.5m in
Q2/2014 (Q2/2013: EUR -3.7m; Q1/2014: -13.8m). Cash and cash equivalents
(including bank deposits with a maturity of more than three months) as of
June 30, 2014 amounted to EUR 275.6m (December 31, 2013: EUR 306.3m).


Management Review

Martin Goetzeler, President & Chief Executive Officer of AIXTRON SE,
comments on the market environment and the development in the second
quarter: "As evidenced by our 5th consecutive quarter of higher equipment