Meyer Burger Technology AG · OTC:MYBUF
Meyer Burger Technology — FY2008 Earnings Presentation
47 slides from Meyer Burger Technology's earnings presentation, Mar 23, 2009
Slide 1: Fiscal Year 2008 Results – Analyst and Media Conference
Fiscal Year 2008 Results Analyst and Media Conference 23 March 2009
Slide 2: 2008 – Another successful year
2008 – Another successful year Peter M. Wagner Chairman
Slide 3: Dynamic Development
Dynamic Development in CHF m 2008 2007 ∆ 08/07 9 Order Backlog 829.8 657.9 + 26% 9 Incoming Orders 575.4 710.5 (19)% 9 Net Sales 455.4 208.0 + 119% 9 EBIT 57.5 25.0 + 130% 23 March 2009, Meyer Burger Technology Ltd 9 EBIT adjusted1 77.1 25.0 + 208% 9 Group Earnings 38.1 19.2 + 98% 1 excl. effects fo
Slide 4: Highlights 2008
Highlights 2008 Strong, above average growth in the solar industry Deliveries according to plan and agreements Sales growth 2008: 101% organic, 18% through acquisitions Adjusted EBIT margin reaches 16.9%1, above our own targets AMB and Hennecke develop positively Services network further
Slide 5: Current Situation
Current Situation Postponement of certain deliveries for customers in Asia Differing signals from the market – Positive signals from several customers that financing has become available again and release of orders (delayed) – Reluctance and postponement of deliveries with other customers Prod
Slide 6: The future in the solar industry
The future in the solar industry Peter Pauli Chief Executive Officer
Slide 7: Renewable energy mix
Renewable energy mix Alternative energy supply la rth – erm Energy density [Wm-2] ola rgy W d S ne CH & GE Global ind un ar e Average PV Sol Sund ~ 110 ~ 165 23 March 2009, Meyer Burger Technology Ltd Wind ~3 ~3 Biomass ~ 1,0 ~ 0,1 Water power ~ 0,02 Geothermal ~ 0,08 ~ 0,1 Water, Geothermal energy,
Slide 8: Electricity cost of private households
Electricity cost of private households 23 March 2009, Meyer Burger Technology Ltd 8 Quelle: HSBC – European solar sector February 2009
Slide 9: Earlier reach of grid parity
Earlier reach of grid parity Example: Installation of c-Si on rooftops Central Europe 35 35 Q3/08 Q1/09 2015 30 2012 30 25 25 20 20 15 15 23 March 2009, Meyer Burger Technology Ltd 10 10 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Electricity from socket GE/€ - cts/kWh Roof inst
Slide 10: Photovoltaic – Market development
Photovoltaic – Market development Until 2020: 2 TW of energy supplied through PV (= 10% of world demand) - 2 Terrawatts equal 2‘000 Gigawatt - thereof approx. 70% share c-Si equivalent Development PV Market Development Meyer Burger 2'500.0 2'000.0 200.0 Next step of 100 23 March 2009, Meyer Burger
Slide 11: Yearly growth of Meyer Burger
Yearly growth of Meyer Burger Growth until reach of grid parity Market shares drop due to increased competition 30 100 80 GW c-Si-Moduls Market share [%] 20 23 March 2009, Meyer Burger Technology Ltd 60 40 10 20 - - 2 3 4 6 6 7 8 9 0 1 Market share MBT 2 01 2 01 2 01 2 00 2 00 2 00 2 00 2 00 2 0
Slide 12: Emerging markets
Emerging markets Worldwide increased support of PV Industry Europe – New support and stimulus programs in preparation – first results expected in 2010 – Italy, Greece, France and Portugal North America – USA – > 900 MW PV program for 2009 – Yearly PV program of 1 GW from 2010 Asia 23 March 2
Slide 13: Increased demand
Increased demand Silicon Production Worldwide increased silicon 160 148 Produktion c-Si in Tsd Tonnen production 140 120 121 Total 122 c-Si production increase is fully 100 80 82 Solar 99 allocated to PV 60 44 61 36 63 40 Focus on Cost Reduction on 42 20 25 18 non-Si-cost” 0 41 2006 2007 2008E
Slide 14: Automation and Integration
Automation and Integration Wafer Fab Crystalization Robotics & Automation System Line Bricking / Wafering 23 March 2009, Meyer Burger Technology Ltd Mono-/Poly- Silicon Measuring Machine Wafer Handling Mono-/Poly- Silicon blocs / Silicon Ingot cutting Solar cells Solar modules Solar systems into Waf
Slide 15: Potential of Automation
Potential of Automation cu rve r ence f fe I n di Low Potential of Automation More cost-effectiveness Higher throughput rates More efficient production [ Labor Cost ] Manual Operations Brick Line Wafer Line High Cropping Low High [ Complexity/Quality ]
Slide 16: Technological expansion of the group
Technological expansion of the group Leading measurement technologies Optical/electrical precision measurement technologies Quality inspection of Messsysteme – Thickness – Edge defects – Geometry – Saw marks 23 March 2009, Meyer Burger Technology Ltd – Invisible micro cracks – Stain detection
Slide 17: Technological expansion of the group
Technological expansion of the group Wafer handling and automation technology in wafer and cell production Process stabilization High Yield Fully automated wet wafer separation Transport and handling of ultra thin wafers down to 50 µm 23 March 2009, Meyer Burger Technology Ltd – Breakage f
Slide 18: Technological expansion of the group
Technological expansion of the group Robotic & Handling Systems The Brick Line integrates and automates all sub-processes such as Messsysteme – Grinding – Measuring – Cropping – Gluing 23 March 2009, Meyer Burger Technology Ltd Transportation and handling of bricks and higher load capacity H
Slide 19: Innovations and new products
Innovations and new products Wafer Tracking System WTS Inline Wafer identification from brick to module Process analysis and optimization Quality control and increased efficiency Process Management System PMS Management system for Wafer Fabs Control and optimization of production Process ana
Slide 20: Expansion of added value
Expansion of added value Our equipment is used in an early stage on the value chain in the solar cell process and is used worldwide in the industry. Industrial interaction of slicing, robotics, measuring and automation by MB. Mono- /Multi c-Si Ingot-/Wafer Solar cells Solar systems Solar modules Sli
Slide 21: From crystallization of c-Si to the manufacture of Solar Systems
From crystallization of c-Si to the manufacture of Solar Systems Wafer Line Mono-/ Grinding Pre-Cleaning, Final Slicing Wafers separating Measuring & Multi-Silicon Cropping Block Cutting edges, Cleaning sorting wafers Production surfaces wafers Cell Line Wafer Measurement Handling- & Automation Syst
Slide 22: Gigawatt GW Wafer Fab
1 Gigawatt GW Wafer Fab Æ 10’000 Si Æ 20’000 – 25’000 Æ 600’000 Æ 300’000’000 tons Si/year Blocks/y Bricks/y Wafer/y ~ 230 Multi Si Oven ~ 460 Mio US$/Jahr COO ~ 30 Band saws ~ 4.50 US$/Wafer ~ 4 Brick Lines ~ 2’900 Tons/Year kerf loss - 20 ID Saws (Basis: 120 µm ø wire) - 20 Grinders ~ 8’100 m2 spa
Slide 23: Roadmap - Technology
Roadmap - Technology Wafer Wire Grit Slurry Slurry thickness diameter Kerf loss size consumption reduction Wafer/kg Year [µm] [µm] [µm] [µm] [kg/Wafer] [%] mc-Si 2005 270 160 210 15 0.1865 0 35.7 2007 200 140 170 10 0.1465 - 21.4 46.9 2008/09 150 120 145 8 0.1287 - 31.0 58.0 2009 120 100 125 8 0.113
Slide 24: Industrial Excellence
Industrial Excellence Short lead times Anzahl Maschinen Internal Lead time significantly reduced for wire saws to now less than 3 weeks (from ordering to Stück shipping) 700 637 – Modularization 600 – Increased efficiency 500 – Optimized mounting processes 400 Flexible and increased capacity wit
Slide 25: Order situation
Order situation Total order backlog per 31 December 2008 CHF 829.8 Mio. 400 150 280 Year 2009 2010 2011 2012 23 March 2009, Meyer Burger Technology Ltd By contract agreed and planned value of delivered machines (at the time of contract completion) Planned value including open postponed shipments thr
Slide 26: Cost management
Cost management er Th af inn rW er e inn W Material Material ire Th Utilization Utilization Cost 23 March 2009, Meyer Burger Technology Ltd Si m e pl tim ific Up at g ion Pr abi lin St oc lit nd es y Ha s Yield Automation 26
Slide 27: Yield – Uptime – Cost of Ownership
Yield – Uptime – Cost of Ownership 23 March 2009, Meyer Burger Technology Ltd 27
Slide 28: Financial Details
Financial Details Michel Hirschi Chief Financial Officer
Slide 29: Incoming Orders / Order Backlog
Incoming Orders / Order Backlog Incoming Orders Incoming Orders Customers expand their capacities CHF m Slight decline in incoming orders, as customers 800 currently order 1-2 years ahead, instead of 2-3 710.5 years ahead as in 2007 Received various large orders from key account 600 575.5 cust
Slide 30: Net Sales
Net Sales Sales recorded after acceptance by customers Net Sales (Completed Contract Method) Highest growth rates in Norway, South Korea, CHF m Philippines and Taiwan 500 455.4 Dynamic in Asia remained strong in 2008, slight slow-down at the beginning of 2009 400 Strong growth in all markets
Slide 31: Distribution of Net Sales
Distribution of Net Sales Net Sales by Region Net Sales by Currency CHF 455.4 m in 2008 CHF 455.4 m in 2008 20% 3% 2% 36% 43% 78% 23 March 2009, Meyer Burger Technology Ltd 18% Asia North America Europe USD EURO CHF others Incoming Orders 2008: 15 % in USD 31
Slide 32: Gross Profit
Gross Profit Increase due to higher sales Gross Profit CHF m % Again high amount of advance 200 60 performance 183.7 – Increase in inventories of finished 50 products and work in process / 150 48.3% machines prior to acceptance in total 40 41.5% 40.3% amount of CHF 88.1 m 100 86.2 30 In-house
Slide 33: EBIT
EBIT Depreciation and amortisation expenses in EBIT1 2008 amount to total of CHF 26.9 m – Includes amortisation expenses of CHF m % CHF 19.6 m for goodwill and intangible 80 77.1 18 assets at AMB and Hennecke 16.9% 60 EBIT according to Swiss GAAP FER 12 CHF 57.5 Mio. 12.0% 40 9.7% EBIT1 adjust
Slide 34: Income Statement
Income Statement TCHF 2008 in % 2007 in % ∆ 08/07 Net sales 455,359 100.0% 207,968 100.0% 119% Changes in inventories of finished products and work 88,075 47,708 85% in process Other income 7,539 3,628 108% Operating income 550,974 259,305 112% Cost of products and services (367,243) (173,093) 112%
Slide 35: Balance Sheet
Balance Sheet TCHF 31.12.2008 in % 31.12.2007 in % Solid balance sheet structure Cash, cash equivalents 43,739 67,260 Increase in receivables due to Receivables (trade, other) 88,233 26,936 strong growth Inventories 1 151,043 95,651 Increase in inventories due to Prepaid expenses, accr. income
Slide 36: Cash Flow
Cash Flow TCHF 2008 2007 Substantial operating cash flow Earnings after taxes 37,050 19,187 Depreciation and amortisation 25,485 2,807 Increase in Net Working Capital Depreciation of financial assets 1,401 - resulting from higher prepayments to suppliers and strong sales growth Increase in provi
Slide 37: Shareholder Structure
Shareholder Structure as of 31 December 2008 No of registered shares: 3,026,190 Nominal value per share CHF 0.50 Other Members of Management & P. Pauli1 Board of Directors1 Vontobel Fonds 6% 4% Services AG 6% SWISSCANTO Fondsleitungs AG 3% 23 March 2009, Meyer Burger Technology Ltd Free Float 81
Slide 38: Outlook
Outlook Meyer Burger will strengthen its leading position as technology group in the solar industry Market benefits from the enhanced portfolio of systems and solutions and from the introduction of new, innovative products Short-term it will be important to see a recovery from the credit crisi
Slide 39: Contacts
Contacts Peter Pauli Chief Executive Officer pauli@meyerburger.ch Michel Hirschi Chief Financial Officer ir@meyerburger.ch Werner Buchholz Head of Corporate Communications w.buchholz@meyerburger.ch Phone +41 (0)41 761 80 00 Fax +41 (0)41 763 08 08 23 March 2009, Meyer Burger Technology Ltd A
Slide 40: Additional Informationen
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Slide 41: Meyer Burger Group
Meyer Burger Group Board of Directors Executive Board 23 March 2009, Meyer Burger Technology Ltd Robotics / Slicing Measurement Wafer Handling / Brick Handling Technologies Technologies Automation Systems Meyer Burger Meyer Burger Ltd Hennecke Systems GmbH AMB Apparate + Automation GmbH Maschinenbau
Slide 42: Vision
Vision We are developing into the leading technology group Meyer Burger is developing into the leading technology group for innovative systems and processes for processing crystalline and other high-grade materials. As part of this development, each company unit concentrates on its inherited core co
Slide 43: Mission
Mission Consistent and continuous reduction of the cost of ownership Our action and our processes are aimed at consistently and continuously reducing the cost of ownership for the customer and for ourselves. Optimum customer support Our customers needs appoint our actions. We offer a highly qualifie
Slide 44: Core Values
Core Values Sustainability We support sustainability - both in terms of growth and profitability. In doing so, we always act in harmony with the environment and by taking good account of society's basic values. Long-term loyal partnership Our actions are based on loyalty and esteem, both inside and
Slide 45: Meyer Burger Global Footprint
Meyer Burger Global Footprint Meyer Burger has its headquarters in Switzerland and subsidiaries and own service centres in Germany, Norway, 23 March 2009, Meyer Burger Technology Ltd China and Japan. Numerous sales and service partners are part of the Company‘s global distribution network and offer
Slide 46: Customers Solar Industry
Customers Solar Industry Our equipment is used in an early stage on the value chain in the solar cell process and is used worldwide in the industry. Silicon blocs / Mono- /Multi c-Si Solar cells Solar systems Ingot cutting Solar modules into wafer Industry references • BP Solar • Solarworld • ScanWa
Slide 47: Completed Contract Method
Completed Contract Method The need for pre-financing, and consequently working capital, depends strongly on the geographical origins of the customer. Sales are always recorded at the time the customer confirms acceptance (Completed Contract Method). Payment terms: Duration 4 – 10 months Commissionin
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