DGAP-News

2G Energy AG: CORRECTION: Dynamic start to FY 2014 with EUR 115 million order book position - Seite 4

Energies Act (EEG) 2014, which was set for August 1, 2014. Along with the
strong German market, the order book position in Europe is developing well,
at around EUR 20 million, deriving mainly from United Kingdom and France,
as well as from Japan and, in particular, the USA. With an order book
position of around EUR 22 million that needs to be taken into additional
consideration, the US market is becoming the strongest international sales
market outside Germany. Due to project-related factors, the US order book
position stretches into the 2015 financial year. In all likelihood, 2G will
be able to invoice the orders deriving from Germany and Europe so that they
are fully effective in terms of revenue and earnings during the third and
fourth quarters of the current financial year. The foreign share of the
total order book position amounted to around 18 % (ex USA), compared with
82 % deriving from Germany.

During the first quarter of 2014, 2G generated EUR 20.0 million of revenue
(previous year: EUR 15.4 million) mainly from the overhang of orders for
EUR 46 million of CHP systems dating back to the previous year. Total
output amounted to EUR 27.5 million. The EUR 7.5 million increase in work
in progress arises from work that has started on CHP system orders deriving
from the aforementioned of order overhang, and new orders from the current
financial year. Earnings before interest and tax (EBIT) amounted to minus
EUR 0.9 million (previous year: EUR 0.2 million). This result is mainly
attributable to a marked increase in inventories and work in progress.
These are already reported with their costs, although recognition of
revenue and earnings does not occur until during the subsequent quarters
when they are completed and accepted. The order book position for CHP
systems amounted to EUR 102 million as of March 31, 2014, plus an
additional EUR 22 million deriving from the USA.

Once the current CHP order book position has been completed and accepted by
customers, 2G will realize revenue and earnings contributions mainly during
the third and fourth quarters. 2G is currently assuming that the business
situation in Germany will normalize again by the end of 2014 and the start
of 2015, and that international business will become more important again.
The overall starting position for revenue and earnings growth in 2014 is
good.

For the 2014 financial year, the Management Board is expecting to achieve
revenue of between EUR 145 million and EUR 165 million, and an EBIT margin
of between 6 % and 8 %. From todays perspective the Management Board sees