SolarWorld Misses Profit Estimates, Cuts Annual Sales Outlook
Solarworld dropped as much as 16 percent and was at 3.28 euros as of 12:01 p.m. local time. Solarworld lost 9 million euros ($12.3 million) in the third quarter and expects full-year sales to exceed 1 billion euros but not reach last year’s level of 1.3 billion euros because of lower-than expected prices and demand, the Bonn-based company said in a statement today.
“We did not remain unscathed by the price declines caused by the strong surplus supply mainly from state-subsidized low- price providers,” Chief Executive Officer Frank Asbeck said in the statement.
Along with peers including Q-Cells SE (QCE) and Conergy AG, Solarworld has suffered this year amid falling demand in Germany, the world’s biggest solar market in 2010. Solar stocks are also under pressure from Chinese manufacturers that have boosted capacity even as international prices slumped.
Solarworld’s U.S. unit last month asked the U.S. government to slap duties on Chinese imports it says are undercutting U.S. manufacturers with unfair state aid.
Solarworld sait it expects demand for panels to pick up in the fourth quarter in Germany and the U.S. Germany may add 5 gigawatts of solar capacity this year, down from a record 7.4 gigawatts in 2010, Solarworld estimated.
Q-Cells today plunged the most in almost three years in Frankfurt trading today after posting a wider-than-expected loss in the third quarter and its chief financial officer quit.
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