Slide 1: Second Quarter 2025 Presentation
Second Quarter 2025 Presentation Kurt Levens, CEO Jack Yun, CFO 1 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 2: Disclaimer
Disclaimer This presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this presentation are based on current expectations, estimates and projections abo
Slide 3: A Silicon Materials Company Providing Enabling Materials for the Digital Revolution and Energy Industry
A SILICON MATERIALS COMPANY PROVIDING ENABLING MATERIALS FOR THE DIGITAL REVOLUTION AND ENERGY INDUSTRY 3 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 4: Agenda
Agenda › Highlights and Updates › Financial Review › Strategic Direction › Summary 4 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 5: Highlights and Updates
HIGHLIGHTS AND UPDATES 5 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 6: Highlights and Updates
Highlights and Updates › Restructuring and cost reduction continues › EBITDA from continuing operations of $4.9M › Hanwha/Anchor AS completed voluntary offer for shares on 14 July, receiving acceptances for 43.94% of the shares - Hanwha/Anchor AS launched mandatory share offer for the remaining shar
Slide 7: Butte Silicon Gases
Butte Silicon Gases › Silicon gas sales - 570 MT shipped in Q2’25 vs 560 MT in Q1’25 › Volumes still range bound - Regional silane shipments affected by tariffs and uncertainties - Outside of China PV silane market still soft - Silicon anode silane demand still delayed - Semi underlying demand still
Slide 8: Financial Review
FINANCIAL REVIEW 8 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 9: Group Earnings
Group Earnings › Revenues $19.9M (Millions USD) Q2 2025 Q2 2024 H1 2025 H1 2024 YEAR 2024 - Silicon gas sales volume increased by 1.8% vs. Q1’25 Butte $ 19.8 $ 36.4 $ 41.2 $ 56.9 $ 140.7 - Selling down Siemens polysilicon inventory as Moses Lake 0.0 0.0 $ 0.0 0.0 0.0 planned Other 0.0 0.0 $ 0.0 $ 0.
Slide 10: Butte Operations
Butte Operations $36.4M (USD Millions) › Revenues $19.8M $32.8M - 7.2% decrease in revenues vs. Q1’25 $29.6M - Polysilicon sales volume as planned - Silicon gas sales volume – 1.8% increase vs. Q1’25 $21.4M $19.8M - Silicon gas sales price – 2.5% decrease vs. Q1’25 › EBITDA contribution ($0.3M) - $1
Slide 11: Cash Flows
Cash Flows › June 30, 2025, cash balance $8.3M - $8.5M decrease in cash during Q2’25 Cash Flows (USD Million) › Cash flows from operating activities ($15.7M) - $4.9M EBITDA $30 - ($1.6M) working capital $25 • $3.2M decrease in inventories $4.9 • ($0.8M) change in receivables/prepayments $10.0 $20 •
Slide 12: Financial Position
Financial Position › Nominal debt $455.6M Debt Maturity Profile (USD Million) - $1.2M decrease during Q2’25 • $10.0M increase in term loans $408.3 400 • ($11.2M) changes in lease liabilities 350 › Nominal net debt $447.3M 300 Property Tax Settlement - $7.2M increase during Q2’25 Lease Liabilities 25
Slide 13: Strategic Direction
STRATEGIC DIRECTION 13 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 14: Update on 2025 Initiatives
Update on 2025 Initiatives › Continued delay in reshoring market demand - Trade action continues to cause market uncertainty - Silicon Anode material production delays by multiple quarters - Few PV Cell projects starting (three by end of year) • Uncertainty surrounding timing and feasibility of proj
Slide 15: Mandatory Cash Offer to Acquire All Shares of REC Silicon
Mandatory Cash Offer to Acquire All Shares of REC Silicon Completion of Voluntary Offer Launch of Mandatory Offer › Anchor AS (offeror), a newly formed Norwegian limited › Anchor AS launched a mandatory offer to acquire all liability company established by the two largest shares at an offer price of
Slide 16: Financing Status
Financing Status › REC Silicon does not have sufficient available cash to meet debt service and other anticipated operating cash flow requirements for this year without the continued support of the major shareholder, Hanwha, or additional sources of capital. › Therefore, it will soon require additio
Slide 17: Update on Legal Processes
Update on Legal Processes › Request for investigation submitted to Norwegian District Court in July - REC Silicon is complying with the Court process › Subpoena issued by a U.S. court for the delivery of certain information - REC Silicon is complying with the Court process 17 © REC Silicon ASA Secon
Slide 18: Summary
SUMMARY 18 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 19: Summary
Summary › Expected quarter-on-quarter cost reduction to continue through end of the year › Q3’25 silicon gases shipment target 550-600 MT › Global trade and market uncertainties continue to impact timing on expansions and sales growth › Short and long-term financing options are still in progress 19
Slide 20: Thank you.
Thank you. REC Silicon ASA Q3 2025 November 6, 2025 20 © REC Silicon ASA Second Quarter 2025. All rights reserved. Confidential.
Slide 21: REC Silicon ASA contact and about
REC Silicon ASA About REC Silicon Lysaker Torg 5, 3 etg. REC Silicon is a global leader in silane based high purity silicon materials. We combine 40 years experience and best-in-class PO Box 63 1324 Lysaker proprietary technology to deliver on customer expectations. Our two U.S. based plants have a