Equipment sign-off delays due to customers impacted by weak demand and overcapacity within the PV industry have led to significantly lower than expected sales in the third quarter for Roth & Rau. Impairment charges on inventory and adjustments being made to the value of individual receivables due to certain customer creditworthiness changes contributed to EBIT losses for the first nine months of 2011 of €76 million. One-off items of €58 million were said to be the prime cause of losses for the current financial year to date.
Based on preliminary figures, Roth & Rau consolidated sales for the first nine months of 2011 amounted to €146 million, compared to €189.2 million in prior year period.
Roth & Rau guided sales of €54 million for the third quarter, 24% down on the prior year period. Preliminary EBIT for the quarter is expected to be negative €52 million, affected by one-off items of €45 million.
Management noted that approximately a further €15 million in earnings risks was possible in the current fourth quarter.