Singulus expects sales to increase in the second half of 2019

German Singulus Technologies AG reports half-year sales for 2019 of € 44.1 million ($48.9 million), compared to the previous year with € 46.4 million. In the second quarter of 2019, sales of 23.3 million ($25.8 million) were recorded compared to 29.1 million in Q2 2018. The entire first half of 2019 recorded positive earnings before interest and taxes (EBIT) of 1.6 million ($1.7 million) compared to minus 1.2 million in the same period of the previous year. The second quarter of 2019 was also positive with EBIT of 0.5 million (previous year: 0.4 million). EBITDA of € 3.6 million ($3.9 million) for the first six months improved significantly year-on-year from € -0.3 million. To date, the company has reported zero net profit for the period (H1 2018: minus € 2.4 million).
For the current fiscal year, Singulus Technologies expects a further increase in revenues and earnings figures according to IFRS compared to the previous fiscal year 2018. The basis for these increases is in particular the timely realization of the ongoing major projects for the planned expansions and new CIGS sites of Singulus shareholder and state-owned group China National Building Materials Corp. (CNBM). Singulus Technologies therefore expects the most important sales and earnings impulses from the solar segment and here from the large project orders for investments in production lines for CIGS solar modules from several customers.
In its planning for fiscal 2019, the Management Board assumes that the supply contracts will be signed and the corresponding advance payments received within the next few weeks. Subsequently, the advance payments have to be made by the customers at short notice in order to start the projects operationally. This is the prerequisite for these projects to make a significant contribution to sales and earnings in the current financial year. Based on these premises, the Management Board continues to expect a significant increase in the Group's sales revenues in the 2019 financial year within a range of €135 million ($149 million) to €155 million ($171 million). Operating earnings before interest and taxes (EBIT) are also expected to develop positively in all probability and are expected to be within a range of €6.0 million ($6.6 million) to €11 million ($12.2 million).

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