REC ASA - Second Quarter 2007

Oslo, July 27, 2007: Renewable Energy Corporation ASA (REC) reported revenues of NOK 1,673 million in the second quarter 2007, an increase of 67 percent from the NOK 1,003 million reported in the second quarter of 2006. Revenues for the first half of 2007 were NOK 3,288 million compared with the NOK 1,875 million reported for the first half of 2006, representing an increase of 75 percent.
 
Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to NOK 812 million in the second quarter 2007, compared with NOK 387 million in the second quarter 2006.  The EBITDA margin of 49 percent in the second quarter 2007 compares with 39 percent in the same quarter last year. First half over first half, the EBITDA increased 119 percent from NOK 766 million in 2006 to NOK 1,681 million in 2007.
 
The operating profit (EBIT) was NOK 679 million in the second quarter, compared with NOK 303 million in the same quarter in 2006. The EBIT margin increased to 41 percent from 30 percent. For the first six months of 2007 the EBIT was NOK 1,416 million compared with NOK 601 million for the same period of 2006, representing an increase of 135%.
 
Profit before tax was NOK 716 million in the second quarter 2007, compared with NOK 274 million, excluding and effect of convertible loans, in the second quarter 2006. For the first two quarters of 2007 the adjusted profit before tax was NOK 1,498 million in 2007 and NOK 518 million in 2006.
 
Earnings per share were NOK 1.01 in the second quarter 2007 and 2.09 year to date, compared with NOK 0.40 in the second quarter 2006 and -0.56 for the first six months of 2006, on both a basic and diluted basis.
 
Please see the attachments on www.newsweb.no or www.recgroup.com
 
 
For more information, please contact;
Jon Andre L√łkke, SVP & Investor Relation Officer, +47 67 81 52 65
 
About REC
REC is uniquely positioned in the solar energy industry as the only company with a presence across the entire value chain. REC Silicon and REC Wafer are the world's largest producers of polysilicon and wafers for solar applications. REC Solar produces solar cells and solar modules. REC Group had revenues in 2006 of NOK 4,334 million and an operating profit of NOK 1,574 million. Please also see www.recgroup.com
 
Q2 2007 resultsPresentation Q2 2007
Attachments:
Q2 2007 results
Presentation Q2 2007