Topsil Semiconductor Materials A/S
PERFORMANCE IN Q1 2015 AS EXPECTED

DGAP-News: Topsil Semiconductor Materials A/S

2015-05-26 / 09:00

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'As expected, performance in Q1 2015 showed a decline in revenue and weaker
operating results than last year as we did not resume deliveries to the
customer involved in the complaint case until in Q2 2015. In continuation of
the complaint case from 2014, our priority is a cautious start-up, and
consequently we only began delivering to the customer in Q2 2015. All
production equipment from the old plant has now been installed at the new
silicon plant in Denmark.' 
						Kalle Hvidt Nielsen, CEO

TOPSIL SEMICONDUCTOR MATERIALS A/S

Announcement No. 09/2015

Interim report, Q1 2015
Three months ended 31 March 2015





HIGHLIGHTS OF THE QUARTER

  -- Topsil's revenue was DKK 60.1 million in Q1 2015 against DKK 73.4 million
     in the year-earlier period (down 18%). Q1 revenue was affected by the fact
     that no deliveries were made to the customer involved in the complaint
     case.
  -- EBITDA was a loss of DKK 0.3 million in Q1 2015 against a profit of DKK 3.3
     million in Q1 2014. The contribution ratio was 49.9% in Q1, representing a
     year-on-year increase of 1.2 percentage point.
  -- Cash flows from operating activities were an inflow of DKK 10.3 million in
     Q1 2015 against an outflow of DKK 10.4 million in the year-earlier period.
     Working capital stood at DKK 123.4 million at 31 March 2014, representing a
     reduction of DKK 24.0 million compared to 31 March 2014. Cash flows for
     investing activities were DKK 2.5 million.
  -- In early January 2015, an existing long-term contract with one of Topsil's
     biggest FZ customers was extended by two years to and including 2017.
  -- In January 2015, the staff was reduced by 15 non-production employees in
     line with the announced cost saving programme.
  -- In early February, the customer complaint case was settled with the
     customer and an agreement was made to resume deliveries beginning in Q2
     2015. Negotiations about compensation from the third-party contractor are
     still ongoing.
  -- In March 2015, Topsil renewed the agreement with its principal bankers.
     Under the agreement, the existing facilities were extended until 1 March
     2016.
  -- The remaining production equipment from the old production plant was
     installed at the new plant in the course of Q1 2015 and is now used in
     day-to-day production.

 OUTLOOK FOR 2015

The Group retains its guidance for the full year. Topsil expects revenue growth
in 2015 of around 0-5% and EBITDA in the range of DKK 10-20 million. 

Market volume is expected to grow, but prices are expected to remain squeezed
as a result of surplus capacity. The lower selling prices are expected to be
offset by efficiency improvements and cost reductions. 


         Please direct any questions regarding this announcement to the
Company's CEO and CFO through Susanne Hesselkjær, Executive Secretary, tel.:
+45 2926 6752, sh@topsil.com. 
         
         Unsubscribe newsletter: investor@topsil.com
News Source: NASDAQ OMX



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2015-05-26 Dissemination of a Corporate News, transmitted by DGAP - a
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Language:    English                             
Company:     Topsil Semiconductor Materials A/S  
 
 
             Denmark                             
ISIN:        DK0010271584                        
 
 
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