The REC Group (REC) achieved revenue growth of 23 percent to NOK 8,191 million in 2008, generated by increased production in all the business segments. On a constant currency basis revenue increased by 25 percent, which was in line with the revenue forecast offered by the company at the beginning of 2008. Production of polysilicon increased by eight percent in 2008, production of wafers by 21 percent, and production of cells and modules by 181 percent and 90 percent, respectively. Earnings before interest, taxes, depreciation and amortization (EBITDA) increased by three percent to NOK 3,279 million in 2008, and the EBITDA-margin declined from 48 percent to 40 percent.
These are some of the highlights from 2008:
- Continued growth in production and revenue
- Operating profit affected by expansion costs and production ramp-up
- Gains on embedded derivatives contributed to strong net profit
- Delays and cost overruns on some of the expansion projects
- Shortfall of polysilicon production affected output across the value chain
- High investment level in construction of next generation solar plants
- Secured major long-term contracts and high order backlog