REC Silicon - Third quarter 2023 results

Oslo, Norway – November 15, 2023: REC Silicon ASA (REC Silicon or Company) reported third quarter 2023 revenues of USD 34.8 million compared to USD 36.7 million in the second quarter of 2023. The Company also reported an EBITDA loss of USD 17.8 million compared to an EBITDA loss of USD 8.5 million in the prior quarter.

The Company reported EBITDA contributed by the semiconductor materials segment of USD 6.1 million for the third quarter compared to USD 10.1 million for the second quarter. The lower EBITDA contribution is due primarily to a decrease in silicon gas sales volumes.

Silicon gas sales volumes for the third quarter were 754 MT compared to 849 MT during the prior quarter. Total polysilicon sales volumes for the third quarter were 199 MT.
REC Silicon reported cash balances of USD 121.7 million on September 30, 2023, compared to USD 15 million on June 30, 2023. The increase in cash was primarily a result of cash inflows from additional term debt of USD 140 million and USD 30 million prepayment received from Hanwha Q Cells.

“We are focused on improving our underlying operational position despite the continuing weakness in the Semiconductor segment and Solar PV market. Our underlying EBITDA from our Semiconductor materials has improved markedly compared to the same quarter last year when the industry entered the slump. We are poised well to benefit once the market recovers. Our outstanding, diligent and tenacious team has ensured that we began the restart process of the Moses Lake facility in line with our previous communications. Progress is ongoing in accordance with previously disclosed plans and within budget. The Company anticipates that the first silicon production will occur this month and the first shipments of product will occur in Q1 2024.” said Kurt Levens, CEO.

For more information, please see the attached third quarter 2023 report and presentation.

A live webcast of the presentation can be accessed at www.recsilicon.com or with the following link:
https://channel.royalcast.com/landingpage/hegnarmedia/20231115_6/

Webcast participants need to register to post questions.