Meyer Burger makes a first time loss as new orders fall 84%

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  The company made a loss for the period of CHF34.2 million, the first time it had reported a loss since its 2006 IPO.
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  New orders were CHF 128.4 million (US$131 million approx.) in the first 6-months of 2012, compared to a record high of CHF 787.6 million in the same period a year ago.

Citing continued reluctance of customers to place equipment orders in response to continued industry overcapacity and widespread quarterly losses, Meyer Burger still expects sales to top CHF600 million in 2012. Although management highlighted concern as to the overall industry conditions, improvements in equipment order intake are expected in 2013. The company made a loss for the period of CHF34.2 million, the first time it had reported a loss since its 2006 IPO.

With record sales and orders in 2011, Meyer Burger’s sales for the first-half of 2012 look to have fallen drastically. Sales reached CHF307.8 million (US$316 million approx.), down from 575.0 million in the first-half of last year.

On a geographical basis, Meyer Burger reported that Asia region generated 77% of net sales. Europe provided 18% of net sales while the USA accounted for 5% of net sales.

Order intake faired worse. The company noted that new orders fell 84% in the first 6-months of 2012, compared to prior year period. However, new order intake actually increased 44% when compared to the second-half of last year. New orders were CHF 128.4 million (US$131 million approx.) in the first 6-months of 2012, compared to a record high of CHF 787.6 million in the same period a year ago.

The all important order backlog for the first 6-months stood at CHF672.6 million (US$691 million approx.), down from CHF909.9 million as at the end of December, 2011.

Mayer Burger said that it expected sales for the full-year to be in the lower half of previous guidance (sales between CHF600 – 800 million; EBITDA margin between 4 – 8%).