SunEdison's net loss drew dramatically in the fourth quarter of 2013, deepening from $11.8 million to $286.4 million year-on-year.
The California-based company saw revenue from October to December drop 8.2 percent to $551.2 million, while its operating profit widened from $67.8 million to $184.4 million.
SunEdison said revenue from its Solar Energy segment dropped due primarily to the company's decision to retain 127 MW of solar projects on the balance sheet. Revenue from the Solar Energy segment in the fourth quarter reached $344.5 million, compared to $372.2 million the year before.
The company said lower sales of solar materials were offset by higher solar project sales.
Solar Energy recognized fourth-quarter revenue from solar projects totaling 55 MW, up from 42 MW in the third quarter of 2013 and 52 MW in the fourth quarter of 2012. The company held 127 MW of projects on its balance sheet during the fourth quarter, it reported.
The company said lower sales and higher expenses related to growth initiatives to build and retain solar projects led to lower operating income.
In addition, its operating result included charges of $37 million related to the indefinite closure of the polysilicon and trichlorosilane facilities in Merano, Italy, and $15.2 million related to amortization and impairment of intangible assets.
Solar project pipeline
The Solar Energy segment ended the 2013 fourth quarter with a project pipeline of 3.4 GW, up 269 MW compared to the previous quarter, and 805 MW more year on year.
As of December 31, 2013, the company had 504 MW of pipeline projects under construction, compared to 558 MW the prior quarter and 73 MW the previous year.
The company said revenue from its Semiconductor Materials segment was down year-on-year due to lower volume and price, pointing out that the lower average selling prices for large diameter wafers had the greatest impact on revenue. While revenue dropped sequentially due to lower volume, the average selling price was up slightly, the company added. Volume was down across all diameters.
"The industry continues to experience overcapacity, soft demand and aggressive pricing. Continued weakness in the Japanese yen remains a significant challenge in the competitive pricing environment," SunEdison said.
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