LDK Solar 2012 losses top US$1 billion

Facebook
Twitter
LinkedIn
Reddit
Email

Struggling LDK Solar has reported a net loss of US$1.05 billion in 2012, the starkest figure in an annual report containing volumes of negative financial figures.

The technically bankrupt PV manufacturer made a loss from operations of US$807.7 million and a gross loss of US$352.5. Gross margin was negative 40.86% in 2012.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

The company exited 2012 with only US$98.28 million in cash and cash equivalents but did have pledged bank deposits of US$167.1 million.

Total liabilities amounted to US$5.2 billion with outstanding short-term borrowings of US$2,391.3 million. To feed the interest rates, LDK Solar generated a positive operating cash flow of only $39.9 million in 2012.

Key customers in 2012 were said in the report to be Sumitomo Corporation, Photovoltech NV-SA, (bankrupt in mid-2012), Hyundai Heavy Industry, Solartech Energy Corporation and Gintech Energy Corporation.

Not surprisingly, the company has seen a massive headcount reduction. Total employees in 2012 were 8,979, down from 24,449 in 2011.

The company spent US$17.7 million on R&D in 2012, down from US$43.1 million in 2011. LDK Solar had 275 employees in R&D activities last year.  
 
Noted in the report was LDK Solar’s attempt to gain more funding from banks in China to stay afloat. The company is seeking additional funds of US$318 million to support operations and capital expenditure plans, which were said to be in the range of US$80 million to US$150 million in 2013. CapEx in 2012 was US$79.5 million. 

Read Next

July 18, 2025
The average price of solar panels used in distributed generation projects in the US reached US$0.27/W by the first half of the year.
July 18, 2025
Companies have signed 4.22GW of solar PV power purchase agreements in the first half of 2025, according to Swiss consultancy Pexapark.
July 18, 2025
PV Tech spoke with international buyers and investors on key industry issues such as new technology equipment procurement, supply chain management and ESG compliance.
Premium
July 18, 2025
Inside the European Solar Academy's steps to equip Europe’s workforce with necessary skills as it approaches its first anniversary.
July 18, 2025
Georgia Power’s 2025 Integrated Resource Plan (IRP) will see the utility aim to install 4GW of new renewable power capacity by 2035.
July 18, 2025
Decisions and actions related to the US Department of Interior (DoI) will ‘undergo elevated review’ of solar PV and wind facilities.

Subscribe to Newsletter

Upcoming Events

Media Partners, Solar Media Events
September 2, 2025
Mexico City, Mexico
Solar Media Events
September 16, 2025
Athens, Greece
Solar Media Events
September 22, 2025
Bilbao, Spain
Solar Media Events
September 30, 2025
Seattle, USA
Solar Media Events
October 1, 2025
London, UK