Singulus Technologies announced it is adjusting the IFRS forecast for its current financial year.
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Unedited press release follows:
SINGULUS TECHNOLOGIES reduces revenue forecast – operating result for 2017 of between € +2 million and € – 3 million expected
• Payment on account for next phase of large-scale project in China delayed
• Marked year-on-year rise in revenue to approx. € 90-100 million expected for 2017
• Cost basis reduced further
• Operating result (EBIT) for 2017 expected to be in range of € +2 to € -3 million
• Positive outlook for the Solar division
Kahl am Main, 26 09 2017 – SINGULUS TECHNOLOGIES AG (SINGULUS TECHNOLOGIES) is adjusting the IFRS forecast for the current financial year of 2017 announced at the start of the year.
In its IFRS planning, SINGULUS TECHNOLOGIES anticipated a doubling of revenue for the year in progress compared with the previous year (€ 68.8 million). The forecast for the 2017 financial year was based principally on the assumption that the contractual supply agreements within the order backlog would for the most part be fulfilled on time in the course of the financial year. As already disclosed in the report on the first half of 2017, the key condition was that the individual contractually agreed payments on account would be received according to schedule.
The client in the large-scale project for CIGS production systems has notified SINGULUS TECHNOLOGIES that the outstanding payment on account for the next items of machinery is due to be made at the end of the year. The company therefore now no longer expects to receive the outstanding payments on account from the Chinese client for its next location in a manner that will allow the timely commencement of the work early enough to achieve the previous revenue and earnings forecast by the end of the year.
Revenue for the year in progress is now expected to lie within the range of € 90 to 100 million. This nevertheless represents a substantial revenue increase on the previous year (€ 68.8 million).
Revenue realization also affects the earnings figures for the year in progress. Thanks to an improved cost structure and a healthier gross margin, SINGULUS TECHNOLOGIES has succeeded in bringing the profitability threshold down further. With the newly forecast revenue range, the operating profit (EBIT) is expected to come in at between € +2 and € -3 million.
The company will announce a new forecast for the 2018 financial year along with publication of the annual financial statements for 2017.
SINGULUS TECHNOLOGIES nevertheless remains very confident about its future development. The company expects its Solar division to benefit from a protracted investment cycle specifically for high-grade CIGS solar thin-film modules. The near future is likely to bring further extensive investment in production systems particularly in the Chinese market. In the Semiconductor segment, growing interest has been registered in the systems for the application of ultra-thin magnetic coatings. These play an increasingly important role in products in sensor technology and memory elements in the semiconductor industry.
SINGULUS TECHNOLOGIES – innovations for new technologies
SINGULUS TECHNOLOGIES is a mechanical engineering company that develops and builds machinery for economical and resource-efficient production processes. The application areas of the machinery built by SINGULUS TECHNOLOGIES span vacuum thin-film and plasma coating, wet-chemical cleaning and etching processes, as well as thermal process technologies.
SINGULUS TECHNOLOGIES draws on its expertise in the fields of automation and process engineering for all machinery, processes and applications, and is thus able to supply innovative products for the solar, semiconductor and optical disc application areas as well as other attractive fields of activity.