Phoenix Solar reports first profit since 2010

German solar developer Phoenix Solar AG has published its final results for fiscal year 2016. Last year, the company saw its revenue grow 16.6% to €139.2 million ($148.6 million).

Overall, the company installed 153.7 MW of new PV capacity in 2016, up 50% from a year earlier. Gross profit margin also grew to 12.6%. According to the company, this was mainly due to the restructuring and optimization measures implemented last year.

As for the operating result, the company was able to swing from a loss of €1.6 million ($1.7 million) in 2015 to a profit of €0.6 million ($0.6 million) last year. This is the first time that Phoenix Solar a registered a positive Ebit since 2010.

The U.S. accounted for €108.7 million ($116 million) of last year’s revenue. The company claims its revenue in the U.S. market could have been higher “had it not been for an eight month construction delay on one of our large-scale projects.” EBIT contribution from this market amounted to €4.6 million, up from €2.2 million in 2015. At the end of December 2016, the company had a PV project pipeline of 252 MW in the country.

In the Middle East, the company achieved revenue of €20.7 million, up 146.2% year-on-year. This growth is mainly attributable to Phoenix Solar’s activities in the Turkish market.

As for the European market, the company said that the overall trend “was weak in the face of uncertainty on government policies regarding renewable energy sources.” Revenue from the Old Continent for last year was only €0.8 million and this was mostly achieved in France, the company added.

In its outlook for 2017, Phoenix Solar forecasts turnover will range between €160 million ($170.8 million) and €190 million ($202.8 million). Furthermore, the company expects a positive Ebit between €1 million and €2 million.