Sunways sees significant Q1 losses


Down significantly from the 22.1 MWp of photovoltaic modules shipped in Q4 2011, Sunways shipped just 6.4 MWp in Q1 2012, which translated into sales revenues of €5.1 million, compared to €16.4 million in Q1 2011.

Material shortages at LDK Solar, which completed its investment in Sunways at the end of this April, saw "limited availability"of the German company’s modules. This, and continued pressure on selling prices, was attributed to the decline.

Sunways’ solar cell sales revenues similarly fell, from €7.5 million in Q1 2011, to €4 million in Q1 2012; volumes fell from 6.8 MWp to 4.9 MWp in the same period. Inverter revenues, on the other hand, saw a small boost, from €3.1 million in Q1 2011, to €4.1 million, and volume grew from 12.6 MWp to 24.3 MWp.

Looking at overall sales, revenues halved from €22.2 million in Q1 2011, to €10.4 million in Q1 2012. Business in Spain and Italy was said to have been "particularly disappointing", with revenues declining by over 90% in each market. Germany also saw a decline from €9.4 million to €7.1 million in the same period. On a more positive note, sales in Asia increased on back of the LDK cooperation, to reach €0.4 million in Q1 2012, compared to €0.1 million in Q1 2011.

At €-7.3 million, Sunways’ Q1 2012 profit took a tumble, from the €2.7 million consolidated net loss seen in Q1 2011. This saw earnings per share drop from €-0.23 to €-0.42 in the same period. Meanwhile, Q1 2012 EBIT decreased from €-3.5 million to €-6.8 million. Gross margin, however, increased to 12.6 percent, up from 11.5 percent in Q1 2011.

Looking ahead to the full year, Sunways declined to offer any earnings or shipment guidance. It did say, however, that its goal was to stabilize sales revenues and reduce EBIT losses. "Corporate development is expected to be funded with cash-flows, but in particular through long payment terms to be granted by and a letter of support from LDK Solar," it added.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact:


Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.