DGAP-News

2G Energy AG: CORRECTION: Dynamic start to FY 2014 with EUR 115 million order book position - Seite 3

Advance payments received of EUR 17.7 million (previous year: EUR 9.2
million) were deducted from the respective orders that are being processed.
At EUR 26.8 million as of the balance sheet date, the receivables and other
assets item corresponds to its previous year's level. Working capital
(current assets less current liabilities) of EUR 26.8 million was almost
unchanged (previous year: EUR 30.1 million). Liquid assets fell from EUR
14.1 million as of the previous year's balance sheet date to EUR 10.4
million. The 2G Group's consolidated equity stood at EUR 47.2 million as of
the balance sheet date (previous year: EUR 47.8 million), with the equity
ratio improving further to 53.2 % (previous year: 50.4 %). During the year
under review, 2G reduced its bank borrowings by EUR 3.1 million to EUR 7.2
million, as planned.

Rise in cost of materials and personnel expenses
As a result of the structural change in sales and revenue activities, the
cost of materials ratio increased from 65.4 % in the previous year to 70.5
% (expressed as a percentage of total output). The taking into
consideration of individual customer requirements, as well as exclusively
order-related purchasing and production, changed the mix of materials costs
and third-party services compared with the previous year, resulting in a
deterioration of the margin. The personnel cost ratio was also up, from
12.2 % in the previous year to 15.6 % (as a percentage of total output). 2G
hired qualified staff, especially in its service area, and for its
international growth. Group employees increased by 83 to 518 individuals on
the basis of numbers calculated as of the reporting date. In line with the
further internationalization of business activities, marketing, operating
and administrative expenses registered a slight year-on-year increase of
EUR 10.5 million (previous year: EUR 10.0 million). The net financial
result was neutral. The company incurred EUR 1.8 million of corporation
taxes on income (previous year: EUR 5.1 million).

Dynamic start to FY 2014 with record order book position
The order book position for 2G CHP system deliveries of around EUR 115
million as of the end of April 2014 considerably outstrips the previous
year's level of around EUR 53 million. This order book position comprises
around 58 % natural gas-driven CHP systems and 42 % biogas-driven CHP
systems. The high order book position deriving from orders from Germany
arises from an accelerated ordering effect due to the cut-off date for the
validity of the regulations of the amendment to the German Renewable