DGAP-News: Phoenix Solar Aktiengesellschaft / Key word(s): Quarter
Results
Phoenix Solar Aktiengesellschaft: results of the first nine months of
2011
10.11.2011 / 07:21
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Phoenix Solar AG: results of the first nine months of 2011
- Consolidated revenues rise by 18.7 percent to EUR 113.1 million
- Share of international business climbs to more than 70 percent in the
third quarter
- Tumbling prices and substantial inventory impairment burdens the result
- Measures initiated to cut costs and optimise the business model
Sulzemoos 10 November 2011 / Phoenix Solar AG (ISIN DE000A0BVU93), a
leading international system integrator listed in Prime Standard of the
Frankfurt Stock Exchange, is today presenting its nine-monthly report as
per 30 September 2011.
Against the expectations of the photovoltaic sector, the third quarter of
2011 brought a continuation of the weak demand observed since the start of
the year and an unabated downtrend in the price of solar modules. Despite
these challenging market conditions, Phoenix Solar AG achieved a
significant increase in sales volume in the third quarter and revenues
which exceeded the year-earlier figures. Progress in successfully expanding
international business was also made. In contrast, the acceleration in the
decline of prices over the course of the quarter incurred substantial
inventory impairment which burdened the result. Owing to the persistently
difficult market environment, the company revised its guidance for revenue
and profit for the current financial year downwards on 11 October 2011 and
initiated measures to cut costs and optimise its business model.
Performance in the third quarter
In the third quarter, the Phoenix Solar Group generated consolidated
revenues of EUR 113.1 million (Q3/2010: EUR 95.3 million). The increase of
18.7 percent was mainly attributable to strong international business which
grew by 53.4 percent to EUR 81.0 million (Q3/2010: EUR 52.8 million) and
contributed 71.6 percent (Q3/2010: 55.5 percent) to consolidated revenues.
In contrast, sales in Germany as the former lead market fell by 24.4
percent to EUR 32.1 million (Q3/2010: EUR 42.5 million) owing to the
decline in the installation of photovoltaic plants.
The Components & Systems Segment lifted revenues by 22.3 percent to EUR
65.8 million in the third quarter (Q3/2010: EUR 53.8 million), thereby
contributing 58.2 percent to consolidated revenues (Q3/2010: 56.5 percent).
The Power Plants Segment generated revenues of EUR 47.3 million (Q3/2010:
EUR 41.5 million) which is an increase of 14.0 percent over the
year-earlier figure. This segment contributed 41.8 percent (Q3/2010: 43.5
percent) to total revenues.
Earnings before interest and taxes (EBIT) came to EUR -13.2 million in the
third quarter, thus falling considerably short of the previous year's
figure (3Q/2010: EUR 4.3 million). The large losses resulted mainly from
inventory impairment of EUR 9.6 million necessitated by the downward spiral
in prices over the quarter. The EBIT margin (ratio of EBIT to revenues)
stood at -11.6 percent (Q3/2010: 4.5 percent).
The consolidated result after tax came to EUR -19.0 million (Q3/2010: EUR
2.3 million) which corresponds to earnings per share of EUR -2.66 (Q3/2010:
EUR 0.31 EUR).
Results of the first nine months of 2011
In the first nine months, the consolidated revenues of the Phoenix Solar
Group declined by 44.7 percent to EUR 253.9 million (Q1-Q3/2010: EUR 459.3
million). In contrast, revenues generated by international business climbed
53.4 percent to EUR 149.6 million (Q1-Q3/2010: EUR 97.5 million) and
contributed 58.9 percent (Q1-Q3/2010: 21.2 percent) to total revenues.
At the end of the nine-month period, the Components & Systems Segment
delivered revenues of EUR 155.0 million (Q1-Q3/2010: EUR 268.2 million),
which is 42.2 percent below the figure posted a year ago. The segment
contributed 61.0 percent (Q1-Q3/2010: 58.4 percent) to consolidated
revenues. The share of revenues achieved by international business climbed
to 40.8 percent of segment revenues (Q1-Q3/2010: 20.5 percent). Revenues of
the Power Plants Segment stood at EUR 98.9 million (Q1-Q3/2010: EUR 191.1
million), which is 48.2 percent below the year-earlier figure. By contrast,
international revenues rose to EUR 86.4 million (Q1-Q3/2010: EUR 42.4
million), which is more than double, and contributed 87.4 percent to
segment revenues (Q1-Q3/2010: 22.2 percent). The portion contributed by
this segment to consolidated revenues came to 39.0 percent (Q1-Q3/2010:
41.6 percent).
Consolidated EBIT stood at EUR -39.5 million at the end of the nine-month
period (Q1-Q3/2010: EUR 31.2 million), and the EBIT margin posted -15.6
percent (Q1-Q3/2010: 6.8 percent).
The consolidated result after tax came to EUR -40.1 million at the end of
the period under review (Q1-Q3/2010: EUR 21.0 million), which corresponds
to earnings per share of EUR -5.52 (Q1-Q3/2010: EUR 3.04).
Order book at the end of the third quarter
Consolidated orders in hand stood at EUR 237 million at the end of the
third quarter (Q3/2010: EUR 271 million) which is 12.5 percent lower than a
year ago. Adjusted for projects currently under construction, the order
book came to EUR 98 million (Q3/2010: EUR 147 million). The international
share in the order book increased by 49.1 percent to EUR 173 million
(Q3/2010: EUR 116 million), thus contributing 73.0 percent (Q3/2010: 42.8
percent) to total orders in hand. Orders placed from outside Europe stood
at EUR 24 million (Q3/2010: EUR 1 million), which represents a share of
10.0 percent (Q3/2010: 0.2 percent) in the overall order volume.
'Despite an increase in revenues and sales volumes, the steep decline in
solar module prices caused a considerable downturn in the result in the
third quarter. To return to profitability in this difficult market
environment, we intend to position ourselves in future as a leaner company
and to concentrate on the high-margin areas of value added', stated Dr
Andreas Hänel, Chief Executive Officer of Phoenix Solar AG.
Outlook
As announced on 11 October 2011, Phoenix Solar AG has revised its guidance
for revenues and the results downwards for the financial year 2011 and now
anticipates revenues in the range of between EUR 350 and 400 million and an
EBIT of EUR -42 to -49 million. Measures to cut costs and optimise the
business model have been initiated in order to return to the profit zone in
the financial year 2012.
Overview: figures as per 30 September 2011
|[![CDATA[|[pre|]]]|]
Q1-Q3 2011 Q1-Q3 2010 Change
Sales volume MWp 159 224 -29.0%
Total revenues EUR m 253.9 459.3 -44.7%
Components & Systems EUR m 155.0 268.2 -42.2%
Segment
Power Plants Segment EUR m 98.9 191.1 -48.2%
International sales EUR m 149.6 97.5 +53.4%
EBIT EUR m -39.5 31.2 -70.7 Mio. EUR
Consolidated result EUR m -40.1 21.0 -61.1 Mio. EUR
Earnings per share EUR -5.52 3.04 -8.56 EUR
|[![CDATA[|[/pre|]]]|]
This is an English translation of the German original. Only the German
version is binding.
About Phoenix Solar AG
Phoenix Solar AG, which has its headquarters in Sulzemoos near Munich, is a
leading international photovoltaic system integrator. The Group achieved
total revenues of EUR 636 million and an EBIT of EUR 36.4 million in the
financial year 2010. The company develops, plans, builds and takes over the
operation of large-scale photovoltaic plants and is a specialist wholesaler
for complete power plants, solar modules and accessories. The Group is a
leader in photovoltaic system technology. It focuses on the consistent
lowering of system costs. With a sales network throughout Germany, and
subsidiaries in Spain, Italy, Greece, France, Singapore, Malaysia, Oman,
Australia and the United States of America, the Group currently has a
workforce of more than 400 employees. The shares of Phoenix Solar AG (ISIN
DE000A0BVU93) are listed on the official market (Prime Standard) of the
Frankfurt Stock Exchange.
Disclaimer
The content of this press release is solely for information purposes and is
not intended to constitute a recommendation for investment or a
solicitation to subscribe or an offer to buy or sell securities of the
company. Phoenix Solar AG shall undertake no liability whatsoever for any
loss in connection with this press release or the information made
available. This also applies particularly to any eventual loss in
connection with the shares of Phoenix Solar AG.
This document contains forward-looking statements on future developments
which are based on management's current assessment. Words such as
'anticipate', 'assume', 'believe', 'estimate', 'expect', 'intend',
'can/could', 'plan', 'project', 'forecast', 'should', and similar terms are
indicative of such forward-looking statements. Such statements are subject
to certain risks and uncertainties which are mainly outside the sphere of
influence of Phoenix Solar AG, but which have an impact on the business
activities, the success, the business strategy and the results. These risks
and factors of uncertainty include, for instance, climatic change, changes
in the state subsidisation of photovoltaics, the introduction of competitor
products or technologies of other companies, the development of the planned
internationalisation of business activities, fierce competition as well as
rapid technological change in the photovoltaic market. If one of these or
other factors of uncertainty or risks should occur, or if the assumptions
underlying the statements should prove incorrect, the actual results may
diverge substantially from the results in these statements or implicit
indications. Phoenix Solar AG does not have the intention nor will it
undertake any obligation to realise forward-looking statements on an
ongoing basis or at a later point in time as this is entirely dependent on
circumstances prevailing on the day of their release.
In some countries, especially in the United States of America, the
dissemination of this press release and the information contained therein
may be restricted or prohibited under the law. This press release is
therefore expressly not intended for persons resident in the United States
of America or any other legal system under which such an offer or
solicitation is not permissible, or for persons for whom such an offer or
invitation would constitute a breach of the law.
Contact:
Phoenix Solar AG
Jutta Stolp
Hirschbergstrasse 8
85254 Sulzemoos
Germany
Tel.: +49 (0)8135 938-315
Fax: +49 (0)8135 938-399
j.stolp@phoenixsolar.de
www.phoenixsolar-group.com
Local Court of Munich HRB 129117
Ust-ID Nr. DE 812868419
Board of Directors: Dr. Andreas Hänel (CEO), Dr. Murray Cameron, Sabine
Kauper, Ulrich Reidenbach
Head of Supervisory Board: J. Michael Fischl
End of Corporate News
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10.11.2011 Dissemination of a Corporate News, transmitted by DGAP - a
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Language: English
Company: Phoenix Solar Aktiengesellschaft
HirschbergstraÃe 8
85254 Sulzemoos
Germany
Phone: +49 (0)8135-938-000
Fax: +49 (0)8135-938-099
E-mail: kontakt@phoenixsolar.de
Internet: www.phoenixsolar-group.de
ISIN: DE000A0BVU93
WKN: A0BVU9
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
München (m:access), Stuttgart
End of News DGAP News-Service
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145581 10.11.2011
DGAP-News: Phoenix Solar Aktiengesellschaft: results of the first nine months of 2011
| Source: EQS Group AG