DGAP-News

SMA Solar Technology AG: SMA Managing Board Expects Sales Between EUR730 Million and EUR770 Million in a Difficult Business Environment in 2015 and Presents Cost Reduction Measures

DGAP-News: SMA Solar Technology AG / Key word(s): Forecast
SMA Solar Technology AG: SMA Managing Board Expects Sales Between
EUR730 Million and EUR770 Million in a Difficult Business Environment
in 2015 and Presents Cost Reduction Measures

30.01.2015 / 08:31

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SMA Solar Technology AG-Corporate News

SMA Managing Board Expects Sales Between EUR730 Million and EUR770 Million
in a Difficult Business Environment in 2015 and Presents Cost Reduction
Measures

Niestetal, January 30, 2015-The Managing Board of SMA Solar Technology AG
(SMA/FWB: S92) is forecasting sales of between EUR730 million to EUR770
million and earnings before interest and taxes (EBIT) of EUR-30 million to
EUR-60 million in the current fiscal year. To return SMA to profitability,
the Managing Board will adjust the company's structures worldwide. At
today's Capital Markets Day, SMA Chief Executive Officer Pierre-Pascal
Urbon is presenting the measures that are intended to lower SMA's
break-even point to less than EUR700 million in the coming months.

SMA's management has developed specific measures for all corporate areas in
order to cut fixed costs by more than EUR160 million. In addition to a
substantial adjustment of the corporate structure in Germany and abroad,
the plan includes, among others, the focus on strategically important
development projects, the reduction of the depth of added value and the
consolidation of the global infrastructure. "We deeply regret that the
transformation is associated with a drastic staff reduction. However, we
have no other choice since sales markets with significance for SMA have
declined by almost 75% within just 48 months because of the change in
general conditions," said SMA Chief Executive Officer Pierre-Pascal Urbon.
By implementing these measures, the SMA Managing Board wants to reduce the
cost base sharply enough that SMA will not have to make any more personnel
adjustments in the future even with a lower
sales level.

"In the last fiscal year, SMA defended its global market share measured in
euros despite the market slump in continental Europe. We will continue to
offer system technology and services for all photovoltaic applications in
all attractive solar markets as the global market leader. Our latest
product developments prove that we can use technological innovation not
only to significantly reduce the specific inverter costs per watt, but also
to set trends in our industry. Thanks to our good sales and service