SMA initiates company-wide restructuring and transformation program

At the same time, the Managing Board is aiming to realise cost savings of an estimated EUR 150 to 200 million. The main areas of action were discussed with the Supervisory Board on 25 September.

In the restructuring and transformation program, measures are to be developed for the following areas of action: (1) optimisation of the company’s cost structure, (2) adjustment of the organisational and operational structure, and (3) strategic repositioning of the company on the market.

‘We are convinced that the future belongs to renewable energies. To ensure that SMA can continue to be an integral part of the global energy transition, we must now position ourselves better and fit for the future,’ says SMA CEO Jürgen Reinert. ‘With the restructuring and transformation program that has now been initiated, we will stabilise SMA financially in the short term on the one hand and realign the medium and long-term business strategy on the other. However, this will require considerable cost savings, which will also make job cuts likely. We will carefully discuss the steps necessary for this in the coming weeks in cooperation with the representatives of employee co-determination.’

The program will help the company to grow profitably, even in a market environment that remains volatile.

‘By initiating this comprehensive restructuring and transformation programme, the Supervisory Board and Managing Board have taken an important step towards improving SMA’s ability to act,’ added SMA Chief Financial Officer Barbara Gregor. ‘Our top priority is to increase profitability and sustainably strengthen the company’s financial stability. At the same time, we are keeping a firm eye on the future and setting a decisive organisational and strategic course. It will now be crucial to quickly concretise our ambitious plans and then implement them in a disciplined and consistent manner.’

Disclaimer:

This press release serves only as information and does not constitute an offer or invitation to subscribe for, acquire, hold or sell any securities of SMA Solar Technology AG (the “Company”) or any present or future subsidiary of the Company (together with the Company, the “SMA Group”) nor should it form the basis of, or be relied upon in connection with, any contract to purchase or subscribe for any securities in the Company or any member of the SMA Group or commitment whatsoever. Securities may not be offered or sold in the United States of America absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended.

This press release can contain future-oriented statements. Future-oriented statements are statements which do not describe facts of the past. They also include statements about our assumptions and expectations. These statements are based on plans, estimations and forecasts which the Managing Board of SMA Solar Technology AG (SMA or company) has available at this time. Future-oriented statements are therefore only valid on the day on which they are made. Future-oriented statements by nature contain risks and elements of uncertainty. Various known and unknown risks, uncertainties and other factors can lead to considerable differences between the actual results, the financial position, the development or the performance of the corporation and the estimates given here. These factors include those which SMA has discussed in published reports. These reports are available on the SMA website at www.SMA.de. The company accepts no obligation whatsoever to update these future-oriented statements or to adjust them to future events or developments.