Valoe Oyj - Company Announcement

VALOE’S FINANCIAL GUIDANCE FOR 2016

Valoe Corporation                     Stock Exchange Release 14 December 2015
at 16.40 Finnish time 



VALOE’S FINANCIAL GUIDANCE FOR 2016

On 21 August 2012 Valoe Corporation ("Valoe" or "Company") stopped announcing
financial guidance for the time being because the Company’s restructuring from
a company manufacturing only production automation systems for electronics
industry to a technology company specializing only in clean energy solutions
commenced. 

The restructuring of the Company was finished during the first half of the year
2015. Valoe is now a technology start-up that specializes in photovoltaic
systems in particular. 

Since 2012 the Company has released non-binding long-term objectives for the
Managing Director in the Company’s Interim reports. The long-term objectives
were not to be considered as financial guidance. The Company has now resolved
to stop releasing reviews of the long-term objectives for the Managing Director
and to start announcing financial guidance in accordance with existing market
practices. 

In its meeting held on 14 December 2015 the Board of Directors of the Company
has evaluated the outlook of Valoe for 2016 and especially the progress of the
negotiations for the manufacturing partnership agreement. The Board of
Directors has resolved to announce the following financial guidance for the
year 2016: 

Valoe estimates that the net sales of Valoe Group will be ca. EUR 11 – 13
million in 2016 (Q3/2015: EUR 0.5 million) and the EBITDA ca. EUR 1.5 – 2.0
million (Q3/2015: EUR-0.8 million). The financial year 2016 is estimated to be
profitable (Q3/2015: EUR –2.0 million). All comparison figures concern the
continuing operations. 

Valoe estimates that the net sales of Valoe Group’s continuing operations for
2015 will be ca. EUR 0.7 million with negative result. 

Further, the Board of the Directors of the Company wishes to emphasize that
there are risks relating to the Company, especially in terms of sufficiency of
financing. The Convertible Bond I/2015 enabled the Company to stabilize its
short-term financing remarkably. Also negotiations for deliveries of production
technology have made good progress. However, the financing situation of Valoe
continues to be tight. The sufficiency of the company’s financing and working
capital for the next twelve months involve very significant risks. According to
the current view of Valoe’s management the company continues to need financing
until the cash flow from the business operations has turned positive or a
long-term financing arrangement has been secured with the planned share issue.
The company will have a significant deficit in its working capital until the
first delivery of production technology for solar modules will start to
generate positive cash flow. If the company does not succeed to secure
sufficient financing, the continuity of the company’s operation may be
jeopardized. If the company does not receive new orders as fast as it expects
or if the market situation gets worse it may take longer time to turn orders
into revenue. This would affect significantly the schedule in which cash flow
before investments would turn positive. In such a case the company’s financing
situation would further tighten. 

Other risks connected to Valoe have been presented in more detail in the
Interim Report released on 4 November 2015 and in the Annual Report for 2014. 



In Mikkeli 14 December 2015

Valoe Corporation

Board of Directors



For more information:
Iikka Savisalo
President and CEO, Valoe Corporation
Tel. +358 40 521 6082, email: iikka.savisalo@valoe.com



Distribution:
NASDAQ OMX, Helsinki
Main media
www.valoe.com



Valoe Corporation specializes in the clean energy, especially in photovoltaic
solutions. Valoe provides automated production technology for solar modules
based on the company’s own technology; production lines for modules; solar
modules and special components for solar modules. Valoe's head office is
located in Mikkeli, Finland.