Ad-hoc release: Phoenix Solar AG achieves sharp increase in revenue and EBIT in the second quarter of 2008

- Total revenues climb to EUR 110.2 million
- EBIT rises to EUR 11.2 million

Sulzemoos - According to the preliminary figures as per 30 June 2008, Phoenix Solar AG (ISIN DE000A0BVU93), a leading international photovoltaic systems integrator listed on the TecDAX, has achieved strong growth rates in comparison with the previous year’s period.

In the period from 1 April to 30 June 2008, the Phoenix Solar Group lifted total revenues substantially, both in its domestic and international business, to EUR 110.2 million, which is an increase of 152 percent (Q2/2007: EUR 43.8 million). Earnings before interest and taxes (EBIT) climbed 1,144 percent to EUR 11.2 million, up from EUR 0.9 million, as against the second quarter of 2007. The EBIT margin (the ratio of EBIT to sales) of 10.2 percent was the highest ever posted in a second quarter (Q2/2007: 2.2 percent).

In the first half-year of 2008, total sales of the Group thus rose 158 percent to EUR 151.8 million (H1/2007: EUR 58.8 million) in comparison with the year-earlier period. The share of international business in sales stood at almost 51 percent at the end of six months (H1/2007: 23 percent). EBIT soared to EUR 11.5 million in the first half-year (H1/2007: EUR -0.52 million). The EBIT margin for the first six months came to 7.6 percent (H1/2007: -0.9 percent).

Orders on hand of EUR 230 million as per 30 June 2008 are 107 percent higher than the previous year’s figure of EUR 111 million.

Against the background of the Group’s performance in the first six months, the Board of Directors does not preclude the possibility of its guidance for the financial year 2008 being exceeded.

The Interim Report as per 30 June 2008 will be released on 14 August 2008 and can be downloaded from the company web site at http://www.phoenixsolar.com under the heading Investor Relations, Financial Reports.


Disclaimer
The content of this press release is solely for information purposes and is not intended to constitute a recommendation for investment or a solicitation to subscribe or an offer to buy or sell securities of the company. Phoenix Solar AG shall undertake no liability whatsoever for any loss in connection with this press release or the information made available. This also applies particularly to any eventual loss in connection with the shares of Phoenix Solar AG.

This document contains forward-looking statements on future developments which are based on management’s current assessment. Words such as "anticipate", "assume", "believe", "estimate", "expect", "intend", "can/could", "plan", "project", "forecast", "should", and similar terms are indicative of such forward-looking statements. Such statements are subject to certain risks and uncertainties which are mainly outside the sphere of influence of Phoenix Solar AG, but which have an impact on the business activities, the success, the business strategy and the results. These risks and factors of uncertainty include, for instance, climatic change, changes in the state subsidisation of photovoltaics, the introduction of competitor products or technologies of other companies, the development of the planned internationalisation of business activities, fierce competition as well as rapid technological change in the photovoltaic market. If one of these or other factors of uncertainty or risks should occur, or if the assumptions underlying the statements should prove incorrect, the actual results may diverge substantially from the results in these statements or implicit indications. Phoenix Solar AG does not have the intention nor will it undertake any obligation to realise forward-looking statements on an ongoing basis or at a later point in time as this is entirely dependent on circumstances prevailing on the day of their release.

In some countries, especially in the United States of America, the dissemination of this press release and the information contained therein may be restricted or prohibited under the law. This press release is therefore expressly not intended for persons resident in the United States of America or any other legal system under which such an offer or solicitation is not permissible, or for persons for whom such an offer or invitation would constitute a breach of the law.


Sulzemoos, 07 August 2008


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Attention editorial offices: For further questions please contact Mrs.
Anka Leiner, Investor Relations Phoenix Solar AG.

Hirschbergstr. 8
D-85254 Sulzemoos
Tel: 08135-938-315
Fax: 08135-938-399
E-mail: a.leiner@phoenixsolar.de
Internet: http://www.phoenixsolar.de

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