Lower revenue for Aleo Solar in the first half of 2013

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Oldenburg-based PV module manufacturer Aleo Solar stated that based on preliminary calculations, the company expects to have closed the first six months of this year with an operating loss (before interest and taxes) of €29.4 million (US$37.71 million). This is even lower than 2012’s half-year period, which closed with a €23.5 million loss. Revenue plunged nearly €100 million to €68.3 million, a defty change from the previous year’s €166.4 million.

The first six months of 2013 saw rather sluggish demand for PV in Europe, according to Aleo solar. This was especially so in Germany. Even though the figures for June 2013 from the Federal Network Agency have not been released, only 1,488 MW were connected to the grid January to May this year. In contrast, 4,374 MW of solar electricity were connected to the grid in Germany the first half of last year.

The subsidy cuts in Europe have also dampened demand for PV. The company states that since the expiry of the most recent transition periods in connection with the 2012 amendment of the German Renewable Energy Act (EEG), demand for photovoltaics has been down approximately 50% year-on-year.

However, Aleo solar did record an increase in revenue in the U.S. Still this only partly compensated the weak business in Europe. The price pressure has also hit Aleo Solar. "Selling prices dropped by around 25 percent compared with the first six months of last year," said York zu Putlitz, CEO of Aleo Solar AG.

Aleo Solar has been searching for investors to replace Bosch’s 90.7% stake after Bosch withdrew from the PV business. Zu Putlitz had already expected the company to make another loss in 2013 then.

The complete 2013 half-year financial report is expected to be published 13 August 2013.