Erlangen (Germany), December 13, 2007. Solar Millennium AG (ISIN DE0007218406) continued with positive profit and turnover development of the company in the business year 2006/2007, which ended on 31 October 2007. The turnover based on IFRS rose by about 75 % from 17.8 million Euros in the previous year to 31.1 million Euros, according to preliminary figures. The annual net after-tax earnings increased by about 17 % from 10.1 million Euros to around 11.8 million Euros and thus corresponds to the expectations of the company.
In the current business year 2007/2008 the board is planning for even stronger growth. It plans to significantly increase turnover as well as the results in each of its business areas of the solar thermal power plants. At the same time, the board has firmed up its previous predictions and expects a 160 % turnover increase to about 80 million Euros. They also predict that after-tax profits will increase by about 50 % to around 18 million Euros. This corresponds to an EBIT of about 24 million Euros. In spite of this high growth rate, the even more ambitious rate aimed up by the board in May 2007 has not been completely reached. This is because turnover from the construction of power plants has been delayed to the following business year, as completion of our own projects and projects developed by third parties had to be postponed by a couple of weeks.
The positive development of results and turnover in the 2006/2007 business year derives from important advances in the Spanish projects. Besides partial settlements of accounts from project developments in Southern Spain, the company settled the accounts for the project development of the Andasol 2 solar power plant at the end of the financing negotiations. The company also profited from an increasing order volume in the technology business area. The technology subsidiary Flagsol further increased its operative business and received an order from the construction consortium of the Andasol 2 solar power plant to deliver engineering and the control system for the solar field. Further turnovers derived from Flagsol's delivery of the first parabolic trough power plant in Europe, Andasol 1.
Furthermore, Solar Millennium generated significant turnover results in the project financing business area and by gaining the Portugese EDP group as a business partner in the Ibersol and Murciasol 1 project. Additional results were generated by selling 50 % of the shares of the respective project companies and by selling a 25% share in the power plant company Andasol 2 to a holding company.
The chairman of the board of directors Christian Beltle commented warmly on the business development of the company: "Solar Millennium was able to extend its leading position in the area of solar thermal power production even further. During the last months we were not only successful in Spain, our main market until now, but also very successful in the exploitation of the North-African, Chinese and American markets. The extension of our business model has enabled us to also have strong growth in the future. We will be able to expand our leading position by continually developing our technology."
The balance sheet 2006/2007 as well as the detailes plans for the business year 2007/2008 will be published in February 2008 at the balance sheet press conference.About Solar Millennium AG:
About the technology:
Solar thermal power plants generate electricity using heat energy captured from solar radiation. In a parabolic trough power plant, trough-shaped mirrors concentrate the sun rays onto a pipe in the focal line of the collector. Their absorption causes a heat transfer fluid to be heated in the pipe, generating steam in the power block by way of heat exchange. As with conventional power plants, the steam is utilized in a turbine to generate power; by integration of thermal storage, this power can then be supplied on demand. Thus, solar power plants can also generate electricity after sunset.