Meyer Burger unveils USD-74m order, adjusts EBITDA margin forecast

Swiss solar industry supplier Meyer Burger Technology AG (SWX:MBTN) today unveiled a CHF-74-million (USD 74.3m/EUR 65.7m) equipment order and adjusted its EBITDA margin forecast for 2018.

A non-Chinese sector player has purchased core equipment for a 600-MW Heterojunction (HJT) and SmartWire cell connection technology (SWCT) integrated production line. While the Swiss company did not disclose the name of the customer, CEO Hans Braendle mentioned it is “a well-established and highly respected cell module manufacturer”. He added that the latest order is strategically important and bolsters the market acceptance and credibility of Meyer Burger’s HJT and SmartWire technologies.

Meyer Burger said that it will start initial delivery under the CHF-74-million order in the first quarter of 2019, while the initiation of cell and module production is planned for the second half of the year. The entire production line is seen to up and running by the first quarter of 2020.

The Swiss company also commented on the current market conditions, saying that the market for photovoltaic (PV) equipment continues to be challenging. It stressed that due to margin pressure it is vital to increasingly outsource its manufacturing capacity to China as part of the transformation programme announced in October.

Meyer Burger confirmed its 2018 guidance for net sales of between CHF 400 million and CHF 440 million, but slightly reduced its projections for earnings before interest, tax, depreciation and amortisation (EBITDA) margin, including restructuring costs, and now expects it to be in the higher single digit percentage range instead of "around 10%". It also confirmed its expectation that it can achieve a breakeven level at net earnings as from fiscal 2021, with net sales of CHF 250 million.

(CHF 1.0 = USD 1.004/EUR 0.888)

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