Pull-forward effects of the reduction in the feed-in tariff in Germany, despite efforts to diversify overseas, contributed to S.A.G. Solarstrom’s revenue guidance for 2010 of reaching between €190 and €201 million. Group sales increase by 82.5 % to €139.5 million in the first nine months of the year.
“We deliberately relinquished windfall gains in the German market and continued to forge ahead with our foreign projects,” commented Dr. Karl Kuhlmann, CEO of S.A.G. Solarstrom AG. “This is now paying off. The foreign share of our sales is already 48% after nine months.”
Partner Sales and Plant Operation and Services segment of the company saw sales double to €44.9 million in the first three quarters of 2010, accounting for 32.2% of total sales. The growth was put down to having 40 exclusive partners.
The Project Planning and Plant Construction segment benefited from the strong German market and was able to compensate for start-up costs for major projects, in Italy and France. The company said. Sales increased to €80.8 million in the first nine months, compared to €46.1 million in the same period a year ago.
S.A.G Solarstrom noted that its Power Production segment posted €0.8 million in revenue, down from €1.8 million in the first nine months of 2009.
The company expects strong project business to continue in the fourth quarter. The Group noted that medium-sized roof-top projects in France and a large-scale project with 48MWp in North Italy was expected to boost revenue upon completion.