Phoenix Solar expects a strong recovery in PV installations in Germany in the later part of this year, forecasting that the fourth quarter would see installations exceed levels seen in the same quarter of 2010. Heavily back-end year loaded, PV installations in Germany could reach between 5-6GW. Despite an expected recovery, as well as international sales improving, Phoenix Solar anticipates a slight decline in consolidated revenues compared to the previous year.
Phoenix Solar reported revenue of €108.4 million for the second quarter, down 61.8%, compared to the second quarter of 2010. However, revenue was significantly higher than the €32.4 million reported for the first quarter of 2011.
“Following the first quarter of 2011 when the markets in Europe came to an almost complete standstill, our business has now stabilised,” noted Dr Andreas Hänel, Chief Executive Officer of Phoenix Solar AG. “We have begun the second half-year with a well-filled pipeline and have achieved greater independence from the German market by forging ahead with internationalising our business.”
International revenue was up 21.4% €45.3 million, making a contribution of 41.8% to total revenues, compared to only 13.2% in the same period last year.
Phoenix Solar noted that a strong international order book was developing for the second half of the year. The share contributed by international business to segment revenues in the first half of 2011, increased 92.2%, compared to only 10.9% in the first half of 2010.
Phoenix Solar also reported that its Components & Systems segment’s revenues were €72.2 million in the second quarter, a decline of 55% compared with the year-earlier figure.
The Power Plants segment achieved revenues of €36.2 million, falling 70.6% short of the previous year’s figure.
Phoenix Solar reported the first half-year revenue, down 61.3% to €140.8 million in the first half of 2011. Revenue generated through international business climbed by 53.5% to €68.6 million.
The Components & Systems segment delivered revenues of €89.2 million in the first half-year, down 58.4 percent compared with a year ago. The Power Plants segment posted revenues of €51.6 million, falling 65.5% below the previous year's figure
Phoenix Solar reported a negative consolidated EBIT of €26.3 million in the first six months, with EBIT margin at a negative 18.7%.
Consolidated orders on hand were valued at €311.1 million at the end of the first six months, up 10.4% over the figure posted a year ago.
Phoenix Solar said that it expects the market demand to pick up significant momentum in the second half of 2011, with demand accelerating in September and a year-end rally in the fourth quarter.
Phoenix Solar anticipates a slight decline in consolidated revenues compared to the previous year.