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Fourth quarter 2011

Renewable Energy Corporation ASA (REC) reported fourth quarter 2011 revenues of NOK 2,865 million and EBITDA of NOK 178 million. EBITDA was negatively affected by a weak solar market, aggressive polysilicon pricing and close down of production capacity in Norway. Affecting EBIT, REC recognized a further NOK 2.5 billion impairment on fixed assets of the Singapore operations in the quarter. REC reduced net debt by NOK 0.6 billion in the fourth quarter to NOK 4.7 billion.

HIGHLIGHTS

  • Weak solar market and overcapacity across the value chain, signs of improved demand at the end of the quarter
  • Revenues of NOK 2.9 billion, down five percent from the previous quarter
  • EBITDA of NOK 178 million, down from NOK 370 million in the previous quarter
  • Recognized costs of capacity shutdowns of NOK 335 million, and income of NOK 690 million for termination of wafer sales contracts
  • EBITDA excluding special items was negative NOK 178 million, including NOK 250 million in write downs of inventory at the end of the quarter
  • Net debt reduced by NOK 0.6 billion in the quarter to NOK 4.7 billion
  • Operating fixed assets in Singapore written down by NOK 2.5 billion
(NOK in million) Q4 2011 Q4 2010 Dec 31, 2011 Dec 31, 2010
Revenues 2 865 4 874 13 366 13 776
EBITDA 178 1 836 2 867 3 532
Fourth quarter 2011
February 8, 2012

Oslo Konserthus, Oslo, Norway