welcome to the 16th ordinary shareholders‘ meeting · addressed global market potential 2016 -...

Welcome to the 16th ordinary Shareholders‘ Meeting

3 May 2016

Welcome and introduction of the representatives of the shareholders and of the Company

Highlights 2015

PV making significant strikes in the global energy mix

Financial statements Fiscal Year 2015 in detail

Agenda items and voting

Agenda

Meyer Burger Technology Ltd, Ordinary Shareholders’ Meeting 2016 2

Board of Directors Peter M. Wagner

Dr Alexander Vogel

Wanda Eriksen-Grundbacher

Peter Pauli

Dr Franz Richter

Heinz Roth

Prof Dr Konrad Wegener

Executive Board Peter Pauli – CEO

Michel Hirschi – CFO

Auditors Rolf Johner

PricewaterhouseCoopers AG, Bern

Notary Theodor Blum

Notary, Bern

Independent proxy André Weber

Attorney-at-law, Zurich

Constitution of AGM 2016


Highlights 2015

Peter M. Wagner, Chairman of the Board of Directors

PV market picking up – reflected in our incoming orders

PARIS

Historic UN Climate Conf. Dec 2015

+50 GW of end-installed PV capacity in 2015

Tier 1 + 2 cell and module manufacturers’

production capacities fully utilised

UN Climate Conference 2015 Paris

+28.5% Meyer Burger incoming orders in CHF

+40.4% at constant exchange rates


Company structure adjusted for fast improvement of profits

-15% Real operating expenses reduced by 15%

Optimisation programmes executed in 2014

show the expected results; further selective

optimisations done in 2015

MegaSlate modules Lucerne

1 525 Number of employees (FTE) at

year-end 2015

MCHF 400 Cost base implemented to ensure break-

even at EBITDA level can be reached in

2016 with net sales of about MCHF 400


High R&D efforts pay off

17% of net sales (MCHF 56) invested in

Research & Development in 2015

338 employees in R&D

Meyer Burger Research Ltd Hauterive, Switzerland

Market expectations regarding cell and module efficiencies are increasing

Meyer Burger continues to set new industry standards

Reduction of costs in processes, while at the same time enabling increasing efficiencies

Investment protection for established manufacturers through upgrade technologies such as MB PERC

Push on innovation for new market participants through Heterojunction and SmartWire Connection technologies

Superior technology competence is confirmed by important industry awards every year


PV making significant strides in the global energy mix

Peter Pauli, Chief Executive Officer

Global Energy Debate Mega Trends

+1.2 Bn Global population will grow by around

1.2 billion people to 8.4 billion in 2030

- especially in developing regions

+43% Rapid growth of total energy needs

+43% 2015 – 2040

Biggest growth in non-OECD

countries.


PV Efficiency versus Coal or Gas

23g/kWh CO2 efficiency – MB photovoltaic

systems

(Standard CO2 efficiency is 27 g/kWh)

662g/kWh CO2 efficiency – coal-fired power plant

148-428g/kWh CO2 efficiency – gas power plant

Living in Smog? IT’S TIME

FOR A CHANGE!


PV Outlook - Rapidly increasing global energy demand and grid parity of PV in many countries offer enormous long-term potential for PV industry

Energy market 2040 – increase of primary energy demand Change in LCOE will be the future driver of the PV industry

Energy market

Subsidy market

+52%

14 PWh

+19%

42 PWh +48%

14 PWh

+16%

28 PWh

+34%

20 PWh

+75%

10

PWh

+63%

112 PWh

North Americas

Europe Asia

Middle

East

Africa

Eurasia

South America

World: +43%

Energy market is changing

Source: International Energy Agency, SolarPower Europe, Meyer Burger

USA

Europe

South America

Africa India

MENA

Countries in need of energy technologies

Countries saturated

with energy

technologies but

with continued

demand growth

China

• World energy consumption will increase to Btu 820 quadrillion in 2040, an

increase of +43% compared to 2015

• More than 85% of increase in global energy demand will occur among

developing nations outside the OECD driven by strong economic growth

and expanding populations

• Grid parity of PV has been reached in many countries, thus making solar

electricity competitive to retail electricity

• As PV industry matures, the economic feasibility of PV projects is

increasingly being evaluated using levelized cost of electricity (LCOE)

which will be the future driver of the PV industry

• The countries in need of energy technologies present enormous potential

World energy demand and economic outlook

Caption:

Increase 2015 to 2040

Energy demand in 2040

1PWh = 1x1012 kWh = 1,000 TWh

Calculation with 3,412 Btu = 1kWh

Grid parity of PV is fact and

reached in most countries

USA

Mexico

Germany

Italy

Greece Spain Turkey

Peru

South Africa Australia

«watt»

«$/kWh»

LCOE

Sweden

China

India

Japan

Philippines

Malaysia

Chile

Brazil

Source: EIA; International Energy Outlook 2013

Asia OECD and non-OECD together

+19% 42 PWh


Source: International Energy Agency

PV Outlook - Global PV market expected to continue its impressive growth due to expected long-term increasing share of PV electricity

Energy market 2040 – increase of primary energy demand Cumulative PV capacity increases by up to 23% p.a. until 2020

Outlook of PV market and installed capacity

Additional installed PV capacity – continuous increase

End market installed PV capacity

0

100

200

300

400

500

600

700

Historical Low scenario High scenario

GW

Source: SolarPower Europe 2015-2019, Meyer Burger 2020

1) 1) 1) 1)

1) approximation

CAGR high 23% / low 15%

1)

• PV is expected to shape the future of electricity generation and become a

significant source for electricity

• By 2050, PV is expected to provide 16% of the global electricity demand –

China, India and USA are the three largest markets for PV electricity

generation

• To cover the increasing demand for PV electricity, annual installed PV

capacity is expected to increase continuously to about 93 GW in 2020 in

the positive scenario (52 GW in the lower scenario)

• The cumulative installed PV capacity reaches about 600-630 GW in 2020

(440-450 GW in the conservative scenario) – equivalent to an annual

increase of 23% (15%)

Source: International Energy Agency, SolarPower Europe, Meyer Burger

0

10

20

30

40

50

60

70

80

90

100

Historical Low scenario High scenario Current production capacity

GW

Source: SolarPower Europe, Meyer Burger

1) 1) 1)

1) approximation

1) 1)


Renewable Energies and Photovoltaic to accelerate even stronger


Large renewable energy projects to be implemented in order to achieve this strong broad political commitment.

December 2015

UN Conference on climate change in Paris

Historic political agreement on climate change

signed by 195 nations.

Universal agreement to keep global temperature

rise well below 2 degrees in this century and to

drive efforts to limit temperature increase even

further to 1.5 degrees Celsius above pre-industrial

levels.

December 2015

The U.S. Congress agreed to extend the solar investment

tax credit (ITC) in America for a further five years until

2021.

This important decision places solar energy and its ability to

provide clean and affordable energy clearly at the forefront

of the American energy industry.

Addressed Market Potential

2016 - 2030

300 – 400 GW (Systems, Equipment)

Climate Goals, COP21, Paris And the effects and impact on PV


+1.5ºC to +2ºC in 2100

8 - 10% PV electricity in

2030 (currently < 1%)

3’000 GW end installed

photovoltaic capacity

> 10-12,000 production

lines (Wafer/Cell/Module)

15+ % annual PV growth

Increased sea

levels by 2100

Destructiveness

of hurricanes

Species threatened

with extinction

Grain harvests

(USA, Africa, India)

Addressed Global Market Potential 2016 - 2020

New technologies

45+ GW

of additional new end installations

(above todays’ production capacities)

+ upgrade / replacement

business

65 GW (3 x 65 GW = per wafer / cell / module)

9 GW Wafering mono 2 GW

Cell line HJT 2 GW

Cell line MB PERC 2 GW

Module line SWCT/GG 3 GW

13 GW Wafering mono 0.5 GW

Wafering multi 2 GW

Cell line MB PERC 10 GW

Module line SWCT/GG 0.5 GW

CHF 18 – 20 billion = ~ 90 GW in next 5 years

Meyer Burger addressed market potential per annum

Meyer Burger addressed market potential per annum


Innovation & Impact

R&D resource

investments

Resources

Future investments

1954

Bell Lab 1990

Sanyo 2014

Performance

1/Costs (PV System)

Performance difference

Standard cells

HJT cell

Max potential of

standard technologies

Potential HJT Technology

Turning point

2016

Performance buffer

Innovation Curve HJT versus Standard Cell Technologies


31

3842

52

5963

70

82

93

0

10

20

30

40

50

60

70

80

90

100

2012 2013 2014 2015 2016 2017 2018 2019 2020

Additonal installed GW per year

2008 2015

Machine type DS 271 DW 288 Serie 3

Throughput in wafers/year 2.5 Mio. > 4.5 Mio.

Silicon per wafer in grams 18.8 12

Demand for machinery/GW 200 90

Sales per GW 100% 25 - 30%1)

Ex

isti

ng

N

ew

Innovation & Impact Technologies, Platforms

1) Machine price for a DW 288 Series 3 is approx 25 – 30% of the price of a DW 271 in 2008


Innovation & Impact Example: MAiA 2.1 – MB PERC

> 93% Up time

> 3’400 Cells per hour

+ 1% absolute Cell efficiency for multi c-Si

+ 1% absolute Cell efficiency for mono c-Si

55 GW Addressed MB ‘Upgrade’

market potential

> 80% Estimated actual market share

1 to 2 years Dominance in ‘Upgrade’ market


Innovation & Impact Example: HELiA – Heterojunction

> 3 Installed MB HJT processes

≥ 22% Cell efficiency with upward potential

- 0.20%/K Temperature coefficient delivers significantly better energy yield

≥ 140 µm Thin mono c-Si wafers in process

2’400 Cells per hour

> 45 GW Addressed ‘new business’ market potential

2016+ Future cell technology for high performance solar modules

HJT technology is ready to ensure newly acquired market potential following MAiA 2.1.


Innovation & Impact Example: SWCT module line

> 1% Increased productivity

> 3% relative Module output versus standard

modules

> 2’660 Contact points increase

electrical and mechanical reliability

> 10 years Increased module lifetime

+ 11% BoS cost advantage with

SWCT/HJT

21% price reduction by double the installed capacity

100+ GW1) PV capacity installed since end of 2012

Ave

rag

e p

ric

e f

or

PV

mo

du

les

[€ 2

01

2/W

p]

Accumulated installed capacity [MWp]

Source: Strategies Unlimited/Navigant Consulting 2012 estimate

PSE AG/Fraunhofer ISE, «Current facts of photovoltaic in Germany»,

Fraunhofer ISE, www.pv-fakten.de

1) Estimate of German Solar Industry Association (BSW)


http://www.pv-fakten.de/



Energy Generation = Volume and large scale applications

= Rapid, economical, sustainable, clean

Energy Efficiency = Building system becomes flexible

energy system

= Integration in new fields of application

such as ‘eMobility’

Innovation & Technology = Reduction $/kWp

= Increase in application efficiency

MB Technology Competency


Core Product Portfolio 2016

5 Busbar Technology Competitive CoO

High energy yield

High efficiency

Front and backside

passivation in one tool

Competitive CoO

PERC

High Efficiency

Competitive CoO

High energy yield

Good LCOE

Heterojunction (HJT) SmartWire Technology High energy yield

Highest efficiency

Busbarless cells

Durable and micro crack

resistant

High energy yield

Low system costs (BoS)

Good LCOE

Bifacial/G-G Module

BIPV

High energy yield

Meets building

regulations

MegaSlate®

Diamond Wire / DW 288 DW Management System

50% reduction in costs

Ideal for mono c-Si

Ideal for multi c-Si

Heterojunction / MAiA

Best-in-Class CoO

Cutting edge cell technology

SWCT / Wave Multi wire connection technology

Connects busbarless, half and IBC

cells

PI (HSC/WIS/CIS/MIS)

Process control

Material flow Handling concepts

Mono wafer

Multi wafer


Cost optimisation and focus on strategic business segments

Various cost optimisations and capacity adjustments carried out also in 2015

Thun: Optimising cost structure / focussing of product portfolio

Hennecke: Optimising processes and organisation

Somont: Streamlining / focussing product portfolio and restructuring of production capacities

Restructuring and re-focussing measures at DMT, Colorado Springs

Capacity adjustments (Jan)

Additional restructuring / re-focussing measures; no longer a low-margin “commodity business” (July)

Increased focus on diamond wire solutions for highly specialised applications outside PV industry

Cost reduction through these measures of over MUSD 6 for FY 2016 (vs. level at beginning of FY 2015)

Sale of Roth & Rau Ortner companies

Focus on MBT’s strategic business segments

Reduction of personnel expenses of MCHF 12.4 for 2016

compared to cost basis at beginning of 2015

Cost optimisations along value chain

Meyer Burger, Thun

Diamond Materials Tech, Colorado Springs


Expanded production capacity for laminators in Minhang, Shanghai, China, November 2015

Strong demand for local production capacity

Local service

Proximity to market ‘local4local’

Time to market

Expanded production capacity in Minhang, Shanghai, China


Growth path to 2020/21

Growth path for coming years Road 2020/21 Targets

Targets

Sales of CHF 1.3 billion

EBITDA margin 13-15%

High operating cash flows

Sales growth of between 20% and

40% per annum (different growth

rates in the different years)

Break-even EBITDA in 2016,

afterwards continuous improvement

of EBITDA margin

Achieving positive cash flows

Achieved in FY 2015

Net sales CHF 324 million

Costs under control

(operating expenses

substantially reduced vs. 2014)

EBITDA CHF -56 million

(Delay in sales and special

effect from R&R Ortner

impacted EBITDA)

Cash flow from operating

activities improved

substantially

2015 2016 – 2020/21 2020/21

Road 2020/21 quite ambitious from today’s perspective. However, it gives a broad indication of

the long-term growth path for Meyer Burger until 2020/21.

Addressable market potential of CHF 18-20 billion (over 5 year period) remains intact.

PV market (cell and module manufacturers) recovering and offers a good growth potential.


Financial statements Fiscal Year 2015 in detail

Michel Hirschi, Chief Financial Officer

Incoming orders / Order backlog

Incoming orders FY 2015

Incoming orders MCHF 419 (in CHF +28.5% vs 2014), at constant exchange rates +40.4% (MCHF 458)

Increase in demand with larger orders, especially for PV upgrade systems / MB PERC. Good level of incoming orders for wafer inspection systems. Increase in demand for wafer equipment towards year-end

Successful conclusion of larger orders MCHF 142 vs MCHF 42 in 2014 Higher volume of larger orders and increased size of individual orders

Capacities at Tier 1 and 2 producers very well utilised. Further capacity increases and/or upgrades of existing equipment planned

Substantial number of orders being worked on

Book to bill ratio 1.29 (2014: 1.03)

Order backlog 31 December 2015

Order backlog MCHF 257.5 (31.12.2014: MCHF 190.1)

Order backlog as at 31 Dec 2015 consists of: - PV & Alternative Materials MCHF 230.8 - Specialised Technologies MCHF 26.7

223 288

326

419

0

100

200

300

400

500

2012 2013 2014 2015

157 169

223 196

0

50

100

150

200

250

H1 14 H2 14 H1 15 H2 15

Incoming orders

Incoming orders HY 2014/2015

MCHF

MCHF

+28.5%1)

1) at constant exchange rates +40.4%

112

190 190

258

0

50

100

150

200

250

300

2012 2013 2014 2015

Order backlog year-end

MCHF


21 22 25 21 20 21 21

36

19 22 19

38

20 23 29

11

30 28 18 18

29 19

30 22 22 24

27

15 28

54

23

37 22

0

10

20

30

40

50

60

70

80

90

J F M A M J J A S O N D J F M A M J J A S O N D J F

Orders "usual" business Larger orders

Incoming orders per month

Substantially more

larger orders

Ø Run rate incoming orders 2015 MCHF 34.9 (2014: MCHF 27.2)

Total amount of incoming orders often doubles in those months in which larger incoming orders are received, larger orders will continue to have a substantial influence on the total incoming orders (irregular timing)

Incoming orders 2014 MCHF 326 Incoming orders 2015 MCHF 419 2016 MCHF


Net sales

Net sales at constant exchange rates +8.3%; Foreign currency effects (mainly EUR) of -5.8%

Net sales lower than expected at beginning of the year

Higher proportion of systems with longer throughput time

Final acceptance by customers for a larger number of machines and systems delayed into 2016 → affected about MCHF 40 in sales, which will now be realised during 2016

About MCHF 5.5 less of net sales due to the sale of the two Roth & Rau Ortner companies at end of August 2015

Nominally strongest region in terms of sales continued to be Asia (mainly China)

645

203

316 324

0

100

200

300

400

500

600

700

2012 2013 2014 2015

129

187

124

199

0

50

100

150

200

250

H1 14 H2 14 H1 15 H2 15

Net sales

Net sales HY 2014/2015

MCHF

MCHF

+2.4%1)

Change in net sales by region

America

-37%

Europe

-15%

Asia

+31%

1) at constant exchange rates +8.3%


63%

22%

15%

Asia

Europe

America

26%

49%

18%

7%

CHF

EUR

USD

Other

Split of net sales MCHF 323.6

By region

62%

22%

13%

3%

Equipment PV & AlternativeMaterialsSpecialised Technologies

Services, spare parts PV &Alternative MaterialsConsumables

By type of sales By currencies


285

103 133

154

44% 51%

42% 48%

0

50

100

150

200

250

300

2012 2013 2014 2015

Operating income after costs of products and services

Margin in 2015 of 47.7% was 5.4 percentage points higher than in 2014

Margin in H1 2015 positively influenced by: Income recognised in conjunction with the sale of the GTAT claim, one-time positive cost effects on materials and a change in product mix

Margin in H2 2015 negatively influenced by: Sales with lower margins, additional costs in conjunction with pilot projects and first orders as well as negative cost effects on materials

Normalised margin of operating income after costs of products and services was about 49% for 2015 (2014: about 50%)

− Margin of 42% in the previous year negatively influenced by special effects (especially in H2 2014 due to GTAT)

Op. income after costs of prod. and servives

Op. income a c o p a s HY 2014/2015

66 67 71

83

51%

36%

57%

42%

0

30

60

90

H1 14 H2 14 H1 15 H2 15

MCHF

MCHF

Operating income Op. Income margin


OPEX (1) – Personnel

Employees

FY 2015: Decrease of -227 FTE to 1,525 FTE, mainly at site in Thun/Umkirch -85, DMT -107, sale R&R Ortner -116; on the other hand increase of personnel at site in Hohenstein-Ernstthal by +91 FTE to ensure increase in production capacities

Increase of 138 temporary employees mainly at site in Hohenstein-Ernstthal +114 and at Hennecke +18

Personnel expenses declined by 14% vs. previous year

Personnel expenses 2015 by MCHF 25.4 lower compared to 2014. MCHF 154.8 (2014: MCHF 180.2)

Cost savings from the measures taken in 2014 fully reflected in FY 2015. Additional cost optimisations in Thun and at DMT in 2015 only partially reflected

Sale of R&R Ortner companies led to cost reduction in

personnel expenses of MCHF 4.1 (Sep-Dec 2015).

Personnel expenses for 2016 lower by MCHF 12.4 due to

the sale of the R&R Ortner companies (vs. cost level at

beginning of 2015)

Restructuring measures at DMT (Jan / July) will lower operating cost base by more than MUSD 6 for FY 2016 (vs. cost level at beginning of 2015)

1752 1645 1525

44 -107

+144 188 -120 -6 182

0

700

1400

2100

96

84 81 74

0

20

40

60

80

100

H1 14 H2 14 H1 15 H2 15

Number of employees

Personnel expenses 2014/2015

FTE

MCHF

Employees (permanent positions)

Temporary employees


-33

-117 -96

-56

-5%

-58%

-30%

-17%

-200

-100

0

100

2012 2013 2014 2015

OPEX (2) / EBITDA

EBITDA

EBITDA HY 2014/2015

-55

-40 -33

-23

-43%

-22% -26%

-12%

-60

-40

-20

0

20

40

H1 14 H2 14 H1 15 H2 15

MCHF

MCHF

EBITDA EBITDA margin

Other operating expenses

Total other operating expenses MCHF 55.4 (2014: MCHF 48.9)

Operating expenses mostly reduced

Maintenance and repair MCHF -3.1

Administration expenses thirds MCHF -1.5

Transportation expenses MCHF -1.2

Marketing expenses MCHF -0.7

Rental expenses MCHF -0.7

IT expenses MCHF +0.8

Other purely operating expenses MCHF -2.4 (Insurances, energy, R&D thirds)

Loss from sale of Roth & Rau Ortner in the amount of

MCHF 6.3 included in remaining operating expenses 2015

(2014: Release of two provisions in total amount of

MCHF 9.0 in remaining operating expenses line). Adjusted

by these special effects, the comparable operating costs

amounted to MCHF 49.1 for FY 2015 and to MCHF 57.9 for

2014. Real operating costs therefore declined by about 15%

through cost reductions

EBITDA

EBITDA MCHF -55.9 below the expectations at the beginning of the year, due to the delayed sales and negative effects R&R Ortner as mentioned above (2014: MCHF -95.6)

Adjusted EBITDA for H2 2015 would have been at MCHF -16.7 (adjusted by R&R Ortner effect) due to below average operating margin


-128

-197 -162

-129

-20%

-97%

-51%

-40%

-300

-200

-100

0

100

2012 2013 2014 2015

EBIT

Depreciation, amortisation and impairments total MCHF 72.7 (2014: MCHF 66.2)

Scheduled depreciation and amortisation

Property plant and equipment

Depreciation MCHF 18.3

Intangible assets

Amortisation of intangible assets mainly related to M&A activities of recent years of MCHF 36.7

Amortisation of other intangible assets MCHF 1.9

One-time impairments

At DMT: impairment of property, plant and equipment MCHF 8.9; of intangible assets MCHF 3.2

Sale of R&R Ortner: impairment of intangible assets, customer relationships and technology MCHF 3.0

Impairments of property, plant and equipment at other companies MCHF 0.7

EBIT

EBIT HY 2014/2015

-88

-74 -69 -60 -68%

-39% -55%

-30%

-120

-90

-60

-30

0

30

60

H1 14 H2 14 H1 15 H2 15

MCHF

MCHF

EBIT EBIT margin


Financial result

Financial result, net of MCHF -28.2 (2014: MCHF +3.2)

Financial income:

Interest income MCHF 0.3 (2014: MCHF 0.6)

Financial expenses:

Unrealised foreign currency translation losses on the valuation of intercompany loans to foreign subsidiaries of MCHF 16.8, whereof MCHF 7.6 are recognised through P&L and MCHF 9.2 are directly recognised in equity (long-term intercompany loans with equity characteristics), other foreign currency exchange losses MCHF 3.5; (2014: unrealised foreign currency translation gains of MCHF 15.1)

Interest expenses: MCHF 12.4 for straight bond and convertible bond (2014: MCHF 8.0), MCHF 1.0 for bank loans (2014: MCHF 1.3), MCHF 1.0 for loan secured by mortgage certificates on building in Thun (2014: MCHF 1.0)

Other financial expenses MCHF 3.0 (2014: MCHF 2.2)

Taxes

Tax expense MCHF -12.2 (2014: tax income of MCHF 23.9)

Current income taxes MCHF -2.3 (2014: tax income of MCHF 1.8), mainly minimum tax in Germany

Deferred income taxes MCHF -9.9 (2014: tax income MCHF 22.1)

– Recognition of deferred tax assets on loss carry-forwards MCHF 8.2

– Utilisation of loss carry-forwards MCHF -4.2

– Revaluation of tax assets on loss carry-forwards MCHF -8.1

– Change in temporary differences (mainly intangible assets) MCHF 10.4

– Impairment of capitalised deferred tax assets DMT MCHF -16.2

Not recognised tax losses on loss for the period MCHF -22.7 (2014: MCHF -14.0)

Financial result / Taxes


Net result

Net result

Attributable to the shareholders of MBTN MCHF -168.5

Minority interests MCHF -0.5

Earnings per share

EPS CHF -1.87 (2014: CHF -1.50)

Ø Number of outstanding shares 90,209,721 (2014: 88,576,957)

Cash EPS CHF -0.57 (2014: CHF -1.73)

-111

-163 -135

-169 -200

-150

-100

-50

0

50

100

2012 2013 2014 2015

-88

-47

-93 -76

-100

-50

0

50

100

H1 14 H2 14 H1 15 H2 15

Net result

Net result HY 2014/2015

MCHF

MCHF


TCHF 2015 in % 2014 in%

Net sales 323 567 100.0% 315 846 100.0%

Other income 6 415 9 137

Income 329 982 324 983

Change in inventories of finished products and work in process 31 119 -12 784

Costs of products and services -219 875 -195 066

Capitalised services 12 998 16 357

Operating income after costs of products and services 154 224 47.7% 133 490 42.3%

Personnel expenses -154 787 -180 194

Other operating expenses -55 386 -48 884

EBITDA -55 949 -17.3% -95 588 -30.3%

Depreciation and impairment property, plant and equipment -27 966 -20 360

Amortisation and impairment intangible assets -44 735 -45 848

EBIT -128 650 -39.8% -161 796 -51.2%

Financial result -28 159 3 157

Earnings before taxes -156 809 -48.5% -158 638 -50.2%

Taxes -12 152 23 930

Net result -168 961 -52.2% -134 708 -42.6%

Income statement details


Balance sheet

Decision by Swiss National Bank to abandon CHF/EUR minimum exchange rate effects balance sheet positions:

Cash, cash equivalents by MCHF -2.1

Equity by MCHF -16.3

Total foreign currency effects on equity in 2015 (through income statement and balance sheet positions) MCHF -25.5

Long-term financial liabilities:

MCHF 130 5% straight bond 2017

MCHF 30 loan secured by mortgage certificates 2017

MCHF 88 4% convertible bond (equity component of MCHF 12 recognised in equity as this reflects the convertible bond‘s conversion right)

TCHF 31.12.2015 in % 31.12.2014 in%

Cash and cash equivalents 101 457 169 768

Trade and other receivables 45 200 61 425

Inventories 117 829 134 418

Other current assets 15 009 4 936

Total current assets 279 495 48.8% 370 548 49.0%

Other non-current receivables 2 045 1 880

Property, plant and equipment 120 318 141 187

Intangible assets 77 888 132 133

Deferred tax assets 92 558 110 151

Total non-current assets 292 809 51.2% 385 351 51.0%

Total assets 572 304 100% 755 899 100%

Current financial liabilities 702 305

Trade payables 36 138 35 771

Customer prepayments 46 241 50 926

Current provisions 10 028 16 777

Other current liabilities 44 270 40 914

Total current liabilities 137 380 24.1% 144 693 19.2%

Non-current financial liabilities 250 111 247 755

Non-current provisions 5 101 3 667

Deferred tax liabilities 2 364 5 264

Other non-current liabilities 2 345 2 090

Total non-current liabilities 259 920 45.4% 258 775 34.2%

Equity incl. minority interests 175 003 30.6% 352 431 46.6%

Total liabilities and equity 572 304 100% 755 899 100%


TCHF 31.12.2015 31.12.2014 31.12.2013

Trade and other receivables 45 200 61 425 48 011

Inventories (gross) 201 655 189 808 188 594

./. allocated customer prepayments -83 826 -55 389 -40 707

Inventories (net) 117 829 134 418 147 887

Other current assets (excluding cash and cash equivalents) 15 009 4 936 8 643

Current assets excluding cash and cash equivalents 178 038 200 780 204 540

Current financial liabilities 702 305 298

Trade payables 36 138 35 771 44 043

Customer prepayments 46 241 50 926 66 092

Provisions 10 028 16 777 46 574

Other current liabilities 44 271 40 914 43 888

Current liabilities 137 380 144 693 200 894

Net working capital 40 658 56 087 3 646

Analysis Net Working Capital

Increase in inventories

(gross) financed through

higher customer

prepayments

Decrease in receivables by

about MCHF 16

In FY 2015,

change in NWC totalled MCHF -15.4

Decline in NWC despite increase in production volumes (inventories gross

MCHF +12 on NWC), mainly due to higher customer prepayments (MCHF -24 on

NWC), decline in receivables (MCHF -16 on NWC) and higher accruals (MCHF +10

on NWC).

Increase in customer

prepayments (also

considering the

prepayments already

allocated to inventories) of

MCHF 24; proportion of

customer prepayments

allocated to inventories

increased substantially,

mainly due to the increase

in equipment that is ready

for customer acceptance.


Maturity structure of financial liabilities

30

100

130

0

50

100

150

200

2015 2016 2017 2018 2019 2020 2021 2022

Maturities of financial liabilities

MCHF

Loan secured by mortgage securities (building in Thun) 5% straight bond 2017

4% Convertible bond 2020 (put in 2018)

Loan secured by mortgage

certificates extended by 2 years

Aim to further extend the loan secured by

mortgage certificates by another 2 to 3

years

Project started for the refinancing of the 5% straight bond 2017.

Aim to refinance by issuing a new straight bond.


Cash flow

CF from operating activities

Operating CF with MCHF -51.9 still considerably negative, despite the improvement by MCHF 101 (before changes in NWC improvement by MCHF 45.4)

CF from investing activities

Investments in property, plant, equipment

Investments in Heterojunction demo-line MCHF 7.5

Normal CAPEX MCHF 5.1

CF from financing activities

No substantial financing activities in FY 2015

Purchase of further shares in MB Germany (Roth & Rau)

TCHF 2015 2014

Result -168 961 -134 708

Non-cash items 106 684 27 040

CF from op. activities before changes in NWC -62 277 -107 667

Change in NWC (cash related) 10 417 -45 142

Cash flow from operating activities -51 860 -152 810

Investments in property, plant, equipment, net -12 575 -18 326

Investments in intangible assets -1 299 -753

Acquisition of group companies, net of cash -626 -

Sale of group companies net of cash 2 799 212

Cash flow from investing activities -11 701 -18 867

Capital increases (incl. premium) 31 75 557

Issuance of convertible bond - 97 160

Purchase shares of MB Germany after change control -2 008 -4 036

Sale of treasury shares - 495

Repayment current financial liabilities -68 -1 290

Cash flow from financing activities -2 045 167 886

Cash, cash equivalents at beginning of period 169 768 173 179

Change in cash, cash equivalents -65 607 -3 791

Currency translation effects on cash, cash equivalents -2 704 379

Cash, cash equivalents at end of period 101 457 169 768


Cash flow from operating activities

-168

-130 -153

-52

-200

-150

-100

-50

0

50

100

2012 2013 2014 2015

-99

-54 -28 -24

-150

-100

-50

0

50

100

H1 14 H2 14 H1 15 H2 15

Cash flow from operating activities

CF from operating activities HY 2014/2015

MCHF

MCHF

Operating cash break-even with MCHF -51.9 not yet achieved in 2015

The operating cash drain was again substantially reduced however (by MCHF 101 vs. FY 2014; strong reduction also when comparing half-year periods). Major effects:

Realised cost reduction measures have positively influenced cash flow. Substantial reduction of the cash expenses in personnel and other operating expenses compared to 2014

Higher cash inflow from improved margins

Cash inflow from decline in net working capital. Especially a substantial increase in customer prepayments and cash inflow from decline in trade and other receivables

Positive cash flow from operating activities expected for 2016


Growth path for coming years Road 2020/21 targets

Targets

Sales of CHF 1.3 billion

EBITDA margin 13-15%

High operating cash flows

Sales growth of between 20% and

40% per annum (different growth

rates in the different years)

Break-even EBITDA in 2016,

afterwards continuous improvement

of EBITDA margin

Achieving positive cash flows

Achieved in FY 2015

Net sales CHF 324 million

Costs under control

(operating expenses

substantially reduced vs. 2014)

EBITDA CHF -56 million

(Delay in sales and special

effect from R&R Ortner

impacted EBITDA)

Cash flow from operating

activities improved

substantially

2015 2016 – 2020/21 2020/21

Road 2020/21 quite ambitious from today’s point of view. However, it gives a broad indication of

the long-term growth path for Meyer Burger until 2020/21.

Addressable market potential of CHF 18-20 billion (over 5 year period) remains intact.

PV market (cell and module manufacturers) is recovering and offers a good growth potential.


Agenda items and voting

Peter M. Wagner, Chairman of the Board of Directors

Secretary of the minutes Dr Alexander Vogel

Vote counters Julia Gremminger

Nadja Herren

Andrea Liechti

Rahel Stalder

Michelle Wenger

Head of vote counters Simon Linder

Notary Theodor Blum

Independent proxy André Weber

Formalities


1. Annual Report 2015 1.1 Approval of the management report 2015, the annual financial statements 2015 and the consolidated financial statements 2015; presentation of the reports of the auditors 1.2 Consultative vote on the remuneration report 2015

2. Use of balance sheet result

3. Release of the members of the Board of Directors and of the Management

4. Election of the members of the Board of Directors 4.1 Election of the members of the Board of Directors and election of the Chairman 4.2 Election of the Nomination & Compensation Committee

5. Election of the auditors

6. Election of the independent proxy holder

7. Vote on the remuneration for the Board of Directors and the Management 7.1 Vote on the total maximum amount of remuneration for the Board of Directors for the business year 2017 7.2 Vote on the total maximum amount of remuneration for the Management for the business year 2017

8. Amendments of the Articles of Association: Creation of authorised capital

Agenda items


Approval of the management report 2015, the annual financial statements 2015 and the consolidated financial statements 2015; presentation of the reports of the auditors

Motion of the Board of Directors:

Approval of the management report, annual financial statements and consolidated financial statements for the business year 2015.

Agenda item 1.1


Consultative vote on the remuneration report 2015


Approval of the remuneration report 2015 (non-binding consultative vote).

Note: For the remuneration report 2015 please refer to pages 67 – 81 of the Report to Fiscal Year 2015 section of the Annual Report 2015.

Agenda item 1.2


Use of balance sheet result

Loss for the year TCHF -166‘296

Loss carried forward TCHF -2‘234

Net loss per 31 December 2015 TCHF -168‘530


Balance of net loss amounting to TCHF -168‘530 to be carried forward.

Note: Statutory financial statements of Meyer Burger Technology Ltd in accordance with Swiss Code of Obligations.

Agenda item 2


Release of the members of the Board of Directors and of the Management


Release the members of responsible corporate bodies for the business year 2015.

Agenda item 3


Election of the members of the Board of Directors and election of the Chairman


Election of the members of the Board of Directors individually for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

4.1.1 Re-election of Peter M. Wagner (and election as Chairman of the Board of Directors)

4.1.2 Re-election of Dr Alexander Vogel

4.1.3 Re-election of Wanda Eriksen-Grundbacher

4.1.4 Re-election of Peter Pauli

4.1.5 Re-election of Dr Franz Richter

4.1.6 Re-election of Heinz Roth

4.1.7 Re-election of Prof Dr Konrad Wegener

Agenda item 4.1


Re-election of Peter M. Wagner and election as Chairman of the Board of Directors


Re-election of Peter M. Wagner as member of the Board of Directors and election as Chairman of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.1


Re-election of Dr Alexander Vogel


Re-election of Dr Alexander Vogel as member of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.2


Re-election of Wanda Eriksen-Grundbacher


Re-election of Wanda Eriksen-Grundbacher as member of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.3


Re-election of Peter Pauli


Re-election of Peter Pauli as member of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.4


Re-election of Dr Franz Richter


Re-election of Dr Franz Richter as member of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.5


Re-election of Heinz Roth


Re-election of Heinz Roth as member of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.6


Re-election of Prof Dr Konrad Wegener


Re-election of Prof Dr Konrad Wegener as member of the Board of Directors for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.1.7

Bild Wegener


Election of the Nomination & Compensation Committee


Individual election of the following members of the Board of Directors in the Nomination & Compensation Committee for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

4.2.1 Re-election of Dr Alexander Vogel

4.2.2 Re-election of Wanda Eriksen-Grundbacher

4.2.3 Election of Dr Franz Richter

Agenda item 4.2


Re-election of Dr Alexander Vogel


Re-election of Dr Alexander Vogel as member of the Nomination & Compensation Committee for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.2.1


Re-election of Wanda Eriksen-Grundbacher


Re-election of Wanda Eriksen-Grundbacher as member of the Nomination & Compensation Committee for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.2.2


Election of Dr Franz Richter


Election of Dr Franz Richter as member of the Nomination & Compensation Committee for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 4.2.3


Election of the Auditors


Re-election of PricewaterhouseCoopers AG, Bern, as auditors for another year.

Agenda item 5


Election of the Independent Proxy Holder


Re-election of lic. iur. André Weber as independent proxy holder of the Company for a term of one year until the end of the next ordinary Shareholders‘ Meeting.

Agenda item 6


Vote on the total maximum amount of remuneration for the Board of Directors for the business year 2017


Approval of the total amount of remuneration for the Board of Directors of a maximum of CHF 980,000 for the business year 2017.

Agenda item 7.1


Vote on the total maximum amount of remuneration for the Management for the business year 2017


Approval of the total amount of remuneration for the Management of a maximum of CHF 3,800,000 for the business year 2017.

Agenda item 7.2


Amendments of the Articles of Association: Creation of authorised capital

Note: The Articles of Association included authorised capital in the amount of CHF 240,000 (4,800,000 fully paid-in registered shares) since the Shareholders‘ Meeting 2014. Issuance was possible until 29 April 2016.


Maintenance or creation of authorised capital and replacement of Article 3a of the Articles of Association as follows (unofficial translation of the German original text):

“Art. 3a: Authorised capital The Board of Directors is authorised, at any time until 3 May 2018, to increase the share capital by a maximum aggregate amount of CHF 240,000 through the issuance of a maximum of 4,800,000 fully paid-in registered shares with a nominal value of CHF 0.05 each.

The Board of Directors is entitled (including in the case of a public offer for shares of the company) to restrict or exclude the subscription rights of the shareholders and allocate them to third parties, if the new shares are to be used (1) for the acquisition of enterprises, parts of enterprises, participations or new investment plans or in case of a placement of shares for the financing or re-financing of such transactions, (2) for the purpose of the participation of strategic partners or for the purpose of broadening the shareholder constituency in certain investment markets or (3) for the rapid and flexible creation of equity capital through a placement of shares, which would only be possible with difficulties with subscription rights.

The capital increase may occur by means of underwriting and/or partial increases. The Board of Directors is entitled to set the issue price of the shares, the type of contribution and the date of entitlement to dividends. Upon acquisition, the new registered shares are subject to limitations for registration in the share register in accordance with Article 4 of the Articles of Association.”

Agenda item 8


Thank you for your participation and your confidence. We wish you a safe journey home.

Disclaimer

Information in this presentation may contain “forward-looking statements”, such as guidance, expectations, plans, intentions or strategies regarding the future. These forward-looking statements are subject to risks and uncertainties. The reader is cautioned that actual future results may differ from those expressed in or implied by the statements, which constitute projections of possible developments. All forward-looking statements included in this presentation are based on data available to Meyer Burger Technology Ltd as of the date that this presentation is released. The company does not undertake any obligation to update any forward-looking statements contained in this presentation as a result of new information, future events or otherwise.

This presentation is not being issued in the United States of America and should not be distributed to U.S. persons or publications with a general circulation in the United States. This presentation does not constitute an offer or invitation to subscribe for, exchange or purchase any securities. In addition, the securities of Meyer Burger Technology Ltd have not been and will not be registered under the United States Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws and may not be offered, sold or delivered within the United States or to U.S. persons absent registration under an applicable exemption from the registration requirements of the Securities Act or any state securities laws.

The information contained in this presentation does not constitute an offer of securities to the public in the United Kingdom within the meaning of the Public Offers of Securities Regulations 1995. No prospectus offering securities to the public will be published in the United Kingdom. Persons receiving this presentation in the United Kingdom should not rely on it or act on it in any way.

In addition, the presentation is not for release, distribution or publication in or into Australia, Canada or Japan or any other jurisdiction where to do so would constitute a violation of the relevant laws or regulations of such jurisdiction, and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions.


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