SGL Carbon Records Comparatively Solid Business Development in the Third Quarter 2020

November 16 (2020

• Sales revenues increased approx. 10% to 227 million euros compared to the prior quarter. Operating recurring EBIT improved substantially to 15 million Euros compared to the prior quarter which was weakened by the pandemic
• Group sales revenues in 9M/2020 declined by approx. 18% to 684 million Euros. Group operating recurring EBIT reached 25 million Euros (9M/2019: 54 million Euros)
• Current status of the new 5 year plan, as declared on October 30, 2020, requires impairment charge of 80-100 million Euros in the fourth quarter of 2020. Additionally, restructuring program resolved with earnings improvement measures of more than 100 million Euros until 2023
• Outlook for Group sales and operating recurring Group EBIT for 2020 confirmed. Outlook for Group net result however reduced to minus 130 to 150 million Euros due to impairment charge and restructuring expenses
• Free cashflow of approx. 44 million Euros in 9M/2020. As a result, very positive development of liquidity to 167 million Euros as of September 30, 2020 due to strict spend control and non-capital market related funding measures (year-end 2019: 137 million Euros).

Composites - Fibers & Materials (CFM): Second quarter marked the trough in sales and earnings development - significant recovery in the third quarter

While the first quarter 2020 in the reporting segment CFM was still relatively unaffected by the Corona crisis, the effects were clearly visible in the second quarter 2020. Fortunately, the negative effects eased again in the third quarter, so that the development – particularly in earnings – was substantially better than expected at the half year mark. Compared to the previous quarter, CFM sales revenue increased by 20% to 97.7 million Euros. Recurring EBIT even increased significantly from minus 1.9 million Euros to 8.8 million Euros. Compared to the third quarter of 2019, however, sales revenue decreased by approx. 11% while recurring EBIT improved significantly from minus 4.6 million Euros in Q3/2019 to 8.8 million Euros in Q3/2020.

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