Roth & Rau Posts EU52 Million Loss on Deteriorating Markets
Roth & Rau AG, a German maker of solar-panel manufacturing equipment, posted a loss before interest and taxes of 52 million euros ($71 million) in the third quarter, based on preliminary calculations, the company said in a statement today.
Sales fell 24 percent in the quarter to 54 million euros, after customers in the solar industry delayed final acceptance of products and demand for solar modules and systems declined in a “drastic” way as a consequence of uncertainty surrounding the future structure of solar promotion programs in key European markets.
Financing for new solar projects has become more difficult as global economic risk increased, prompting clients to postpone or cancel planned investments, Roth & Rau said.
The loss includes 45 million euros for writedowns on inventories and provisions for contractual risks, and the company said it may have to book additional one-time charges of as much as 15 million euros in the fourth quarter.
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