Meyer Burger Investor Presentation slide image

Meyer Burger Investor Presentation

RESIDENTIAL CUSTOMERS PAY LARGE PRICE PREMIUM FOR HIGHER PERFORMANCE AND QUALITY Residential rooftop segment - total system cost, example 8 kWp Germany [EUR] Benchmark system (PERC module) 0.27 Meyer Burger HJT/SWCT system +0.19 EUR/Wp module ASP MEYER BURGER . 0.46 premium for Meyer Burger 12,640 10,800 765 5'190 Module 3'050 1'375 3'050 Performance pricing enabled by BOS1 7'750 BOS lever2 • Higher energy yield ³ to achieve same LCOE System cost Customer desire for better quality, esthetics, brand, "Made in Germany" and "Swiss technology" 7,4504 Benchmark Performance premium Additional System cost premium • End customer benefits from BOS savings due to higher efficiency, as well as higher energy yield, both lowering levelized cost of energy (LCOE) To reward better performance, customers are willing to pay a higher module price - this performance premium offsets LCOE savings On top of performance premium, customers in premium segment are willing to pay additional premium for higher quality, esthetics and "Made in Germany" / "Swiss technology" • Reference for additional premium are premium competitors LG, REC, SunPower Assumptions: System - 8 kWp, Year - 2020, Total module cost include wholesaler and installer margins; 1) Balance-of-system; 2) BOS lever: Higher module power requires less modules for the same area leading to e.g., less cables, mounting structures, installation, etc.; 3) Improved performance due to e.g., lower temperature coefficient and degradation translate into more energy generation over lifetime; 4) BOS cost is reduced vs. benchmark BOS cost because of BOS lever 11 O Meyer Burger
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