SMA Solar Surges on CEO Profit Comments: Frankfurt Mover
SMA Solar Technology AG, Germany’s biggest solar company by market value, rose the most in almost six weeks after Chief Executive Officer Pierre-Pascal Urbon said the company aims to generate a profit this year.
SMA, based in Niestetal, rose as much as 13 percent in Frankfurt trading after Handelsblatt reported that the German supplier aims for a profit, citing an interview with Urbon. The CEO last year said the company expects “at best” a balanced result for 2013 because of falling prices and subsidies.
Rising competition in the solar industry reduced panel prices by half in 2011 and an additional 24 percent last year, squeezing profit margins and tipping more than a dozen companies into bankruptcy, including Solar Millennium AG and Q-Cells, once the world’s largest producer of power-generating cells.
SMA, the biggest supplier of inverters to convert power from photovoltaic panels, was up 9.2 percent as of 10:58 a.m. Volume exceeded the three-month daily average after less than two hours of trading.
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