Negative earnings in 2011 for aleo solar

Revenue showed a fall of 16.6% to €461.8 million from 2010’s €553.5 million. The 2011 financial year closed with earnings before interest and taxes (EBIT) of negative €30.5 million. The EBIT margin fell to negative 6.6% and earnings per share fell to negative €2.47.

"The 2011 financial year saw an unprecedented level of price erosion in the photovoltaic industry," said York zu Putlitz, CEO and CFO of aleo solar AG. "Triggered by a global oversupply, prices for cells and modules fell massively. We, too, were forced to reduce our selling prices by over a third in the course of the year. This put considerable pressure on our revenue and margins and prevented us from achieving the targets we had originally set for ourselves." Earnings were also depressed by an extraordinary settlement of cell supply contracts from earlier years.

aleo solar increased its module output in terms of production and sales volume in 2011. Production increased to 303 MW from 267 MW the year before. 50% of the company’s revenue was generated in international markets. In 2012, the company plans to increase sales again by fully utilising its production capacity. Earnings are however scheduled to remain in the negative zone in 2012. aleo solar targets at least €440 million in revenue for 2012.