SMA Group: Sales and earnings after nine months at a high level

SMA Solar Technology AG Corporate News   Sales of €1,160.7 million above previous year (9M 2025: €1,134.7 million) EBITDA before one-time effects reaches €109.6 million (9M 2025: €118.6 million); EBITDA including one-time effects at €146.3 million (9M 2025: -€16.9 million) High order backlog as of September 30, 2026: €1.9 billion (September 30, 2025: €1.3 billion) Large Scale & Project Solutions slightly below the previous year as per plan Home & Business Solutions significantly increase sales and EBIT Managing Board narrows previously raised guidance to the upper half of the ranges Niestetal, Germany, November 12, 2026 – The SMA Solar Technology AG (SMA/ISIN: DE000A0DJ6J9/FWB: S92) Group sales amounted to €1,160.7 million in the first nine months of 2026, slightly higher than the level of the previous year (9M 2025: €1,134.7 million); this figure includes, among other things, the reduction caused by US customs duty reimbursements in the amount of €22.3 million. Excluding this customs duty effect, sales reached €1,183.0 million. Operating earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to €109.6 million before the following effects, which are primarily attributable to the Home & Business Solutions division (9M 2025: €118.6 million). Positive earnings effects resulted from the utilization of previously written-down inventories (€39.2 million), changes to provisions for purchase commitments (€6.7 million), and the reversal of personnel-related provisions in connection with the restructuring program (€3.1 million). Conversely, the earnings were impacted by expenses for external sales commissions for a project within the framework of transformation (€3.1 million), as well as by provisions for potential liabilities under insurance indemnity payments in the low double-digit million range. Furthermore, provisions in the low single-digit million range were recognized within the Large Scale & Project Solutions division for potential customer-side legal disputes. The previous year was positively impacted by a compensation payment, the reversal of provisions for legal disputes in connection with the winding up of an O&M contract in North America, and the divestment of coneva GmbH, all of which amounted in total to a figure in the low double-digit million range. Offsetting these effects were impairments on inventory resulting from impairment tests (€121.4 million), an addition to provisions for purchase obligations (€24.6 million), a write-down on receivables in the United States due to a customer’s filing for bankruptcy (€7.5 million), and positive one-time effects totaling €18.0 million. Taking into account the above listed earnings effects as well as the US customs duty reimbursements of €18.6 million recognized in the income statement, the EBITDA for the reporting period rose significantly to €146.3 million (9M 2025: -€16.9 million), corresponding to an EBITDA margin of 12.6% (9M 2025: -1.5%). Earnings before interest and taxes (EBIT) improved significantly to €107.4 million (9M 2025: -€123.2 million). The EBIT margin amounted to 9.3% (9M 2025: -10.9%). The Group’s net result rose to €98.9 million (9M 2025: -€144.5 million). Earnings per share therefore amounted to €2.85 (9M 2025: -€4.16). At 12.5%, the net working capital ratio was below the figure for the end of the previous year (December 31, 2025: 14.0%) and thus slightly below the management’s target range of 13% to 16%. Free cash flow rose to €135.8 million in the first nine months of 2026, up from €114.5 million in the same period of the previous year. Key drivers included improved net income and lower capex due to reduced R&D capitalization. Net cash rose significantly to €301.6 million as of September 30, 2026, well above the value of €176.4 million reported at the end of 2025. The equity ratio increased to 31.3% (December 31, 2025: 28.0%). As of September 30, 2026, the Group’s order backlog had increased significantly to a total of €1,857.6 million (September 30, 2025: €1,281.7 million). The backlog mainly relates to the Large Scale & Project Solutions division, including projects of Altenso GmbH involving battery energy storage systems for which revenue is recognized over time. At €1,517.5 million, the product business accounts for more than three quarters of the order backlog (September 30, 2025: €950.0 million). Large Scale & Project Solutions division business performance in line with plan The Large Scale & Project Solutions division recorded a slight decline in sales of 2.6% to €928.8 million for the period from January to September 2026 (9M 2025: €953.4 million). This development is in line with the revenue distribution expected for the fiscal year, with the highest sales realization occurring in the fourth quarter. A further reason is the US customs duty reimbursements received in the second quarter, which have a negative effect on sales because the reimbursement of duties previously passed on to customers is recorded as a reduction in sales. EBIT for the Large Scale & Project Solutions division decreased to €130.2 million (9M 2025: €199.7 million), resulting in an EBIT margin of 14.0% (9M 2025: 20.9%). In addition to the US customs duty refunds from the second quarter, earnings also include increased service costs related to warranty and guarantee claims, as well as provisions for anticipated service and remedial measures amounting to a low double-digit million figure. The previous year’s result was negatively impacted by impairments on inventories (€1.1 million) and a write-down on receivables in the USA (€7.5 million). Conversely, the reversal of the provision for legal disputes – arising from the winding-up of an O&M contract in North America and amounting to a mid-single-digit million figure – impacted the result. The division’s order backlog improved significantly to €1,732.1 million as of September 30, 2026, up from €1,298.2 million at the end of the fiscal year 2025. A higher volume of incoming orders for battery inverters and a strong international focus, most notably on the US market, made a significant contribution to this. Home & Business Solutions significantly increase sales and EBIT Sales in the Home & Business Solutions division rose by 27.9% to €231.9 million (9M 2025: €181.3 million) due to higher demand. The EBIT also rose significantly to -€28.9 million (9M 2025: -€322.1 million). This includes the positive earnings effects stated above as well as provisions for individual warranty claims and potential liabilities under insurance indemnity payments in the low double-digit million range. The EBIT margin was therefore -12.5% (9M 2025: -177.7%). The previous year was affected by inventory impairments amounting to €121.4 million as well as by additions to provisions for purchase commitments amounting to €24.6 million. In addition, the division’s earnings were negatively impacted by impairments of €29.2 million on machinery and production systems, as well as impairments of €36.2 million on capitalized development projects. “The positive demand momentum in the Home & Business Solutions division continued in the third quarter. We are seeing strong interest and a healthy volume of incoming orders, particularly for our new three-phase hybrid inverter. We also recorded a solid intake of new orders in the Large Scale division, amounting to €480 million in the third quarter. As a result, our order backlog at the end of September 2026 stands at €1.9 billion. This development underscores the high demand for our innovative solutions and confirms that our product development is addressing the requirements of customers effectively,” says Olaf Heyden, Chief Operating Officer at SMA. Managing Board narrows guidance to the upper half of the ranges The SMA Managing Board is narrowing its sales and earnings guidance for fiscal year 2026, which was raised on July 16, 2026, to the upper half of the previously announced ranges. It now expects Group sales of between €1,675 million and €1,725 million compared with the previous range of €1,625 million to €1,725 million (2025: €1,516.0 million). The guidance for EBITDA is now between €205 million and €230 million; previously, this was €180 million to €230 million (2025: -€65.4 million). “Our business performance during the first nine months confirms our expectations for the full year. Based on the course of business to date and the trends anticipated for the fourth quarter, we expect to reach the upper half of our raised guidance ranges for both sales and EBITDA. At the same time, we are seeing a strong improvement in net cash, which, even after just the first nine months, is significantly higher than the previous year. Furthermore, the high order backlog in the Large Scale & Project Solutions division demonstrates our strong positioning in the large-scale systems segment. In addition, the growing importance of battery storage systems is creating further market opportunities for our existing product portfolio, not least with regard to the requirements for data centers,” explains Dr. Kaveh Rouhi, CFO of SMA.   Additional information The Statement on Nine-Month Results covering January to September 2026 is available on our website at www.sma.de/en/investor-relations/publications. SMA will discuss the course of business on a conference call for analysts and investors at 1:30 p.m. on November 12, 2026 (CET). An overview of the analyst consensus is available at www.SMA.de/en/investor-relations/analyst-coverage-consensus. About SMA As a leading global specialist in photovoltaics and storage system technology, the SMA Group is setting the standards of today for the decentralized and renewable energy supply of tomorrow. SMA’s portfolio contains a wide range of efficient PV and battery inverters, holistic system solutions for PV and battery storage systems of all power classes, intelligent energy management systems and charging solutions for electric vehicles and power-to-gas applications. Digital energy services as well as extensive services round off SMA’s range. The SMA PV inverters sold around the world since 2006, with a total output of approximately 156 GW, have helped to avoid greenhouse gas emissions of more than 69 million metric tons of CO2e. This corresponds to avoided environmental costs of approximately €21 billion. SMA’s multi-award-winning technology is protected by more than 1,600 patents and utility models. Since 2008, the Group’s parent company, SMA Solar Technology AG, has been listed on the Prime Standard of the Frankfurt Stock Exchange (S92) and is listed on the SDAX and TecDAX indices. SMA Solar Technology AG Sonnenallee 1 34266 Niestetal Germany   Press Contact: Nina McDonagh Tel. +49 561 9522425911 Presse@SMA.de   Investor Relations Contact: Thomas Fritsche Tel. +49 561 95221404 Investor.Relations@SMA.de   Disclaimer: This corporate news 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. This corporate news may 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.