SolarWorld AG: preliminary financial results for third quarter 201311-11-13
SolarWorld AG will release its consolidated interim report on the third quarter 2013 on November 14, 2013. According to preliminary figures, SolarWorld’s groupwide shipments of solar modules and kits amounted to 390 (Q1-Q3 2012: 431) MW in the first nine months of 2013, a reduction of 9 percent compared with the same period last year. In the third quarter, however, SolarWorld was able to raise shipments in its “Trade” segment by 57 percent to 180 (Q3 2012: 115) MW compared with prior-year quarter. Main driver of this development was growing business in European export markets and in the United States, whereas shipments in Germany continued to fall because of the ongoing restructuring. Consequently, SolarWorld’s groupwide foreign sales quota stood at 76 (Q1-Q3 2012: 61) percent in the first three quarters 2013, i. e. 15 percentage points above last year’s level. Groupwide shipments including external wafer business totaled 427 (Q1-Q3 2012: 470) MW in the reporting period 2013.
Due to the ongoing restructuring of SolarWorld AG, especially private customers in the German market showed reluctance to buy. That is why SolarWorld’s business with solar kits declined heavily and mere sales of modules with its weaker margins prevailed in the reporting period. Mainly because of this, group revenue decreased considerably in the first nine months 2013. Having reached € 345.6 (Q1-Q3 2012: € 468.9) million, group revenue was about 26 percent below previous year’s level.
Provisioning of loan capital for large-scale projects is not feasible at the moment since the initiated financial restructuring has not been fully implemented yet. Moreover, sales in our core market Germany have developed weaker than planned. As a result, SolarWorld currently expects that shipments of modules and kits as well as group revenue in 2013 will fall below previous year’s level, which means a deviation from SolarWorld’s previous forecasts.
Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) improved in the first nine months of 2013 to € –60.2 (Q1-Q3 2012: € –123.2) million. Consolidated earnings before interest and taxes (EBIT) was also above previous year’s level totaling € –107.2 (Q1-Q3 2012: € –189.6) million. The consolidated net result for the first nine months of 2013 amounted to € –148.6 (Q1-Q3 2012: € –230.0) million. The improvement of results can mainly be attributed to a reduction of the cost of materials as well as lower depreciations and impairments in comparison to the same period in 2012.
As at September 30, 2013, SolarWorld had liquid funds of € 163.8 (December 31, 2012: € 224.1) million at its disposal. Cash flow from operating activities was positive again in the first nine months of 2013 and amounted to € +6.5 (Q1-Q3 2012: € –45.7) million.