REC Silicon's Q2 revenues rise q/q, EBITDA drops excluding loan forgiveness

Norway-based polysilicon and silicon gas producer REC Silicon ASA increased its revenues in the second quarter of 2021 to USD 35.6 million (EUR 30.2m) from USD 28 million in the first quarter of the year.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) rose to USD 7.9 million from USD 4 million in the preceding quarter, but this was as a result of the forgiveness of USD 8.3 million in loans guaranteed by the US government under the C.A.R.E.S. Act.

In the semiconductor materials segment, polysilicon sales volumes grew to 466 tonnes from 227 tonnes in the first quarter, reflecting a substantial rise in semiconductor grade polysilicon sales, while solar-grade polysilicon sales volumes were relatively flat at 91 tonnes. In the solar materials segment, there were additional polysilicon sales of 18 tonnes from remaining granular polysilicon inventories.

REC Silicon currently operates its semiconductor materials plant in Butte, Montana after its facility in Moses Lake, Washington was shut down in 2019 due to Chinese tariffs on polysilicon made in the US and difficult market conditions.

“REC Silicon is exploring opportunities created by President Biden’s renewable energy agenda to utilize its proven FBR technology to provide low-cost, low-carbon polysilicon for the solar value chain,” said chief executive Tore Torvund. “A US solar value chain will support the transition to renewable energy, create high-paying manufacturing jobs in the US, and result in the restart of the REC Silicon Moses Lake facility,” the CEO added.

(USD 1.0 = EUR 0.848)

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