Singulus warns of two solar orders commissioning delays

Chinese orders for CIGS thin-film equipment accounted for around €110.0 million of current order backlog. Image Singulus

Specialist PV manufacturing equipment supplier Singulus Technologies has noted the delay in assembling and commissioning two previously shipped orders to customers that were expected to have been operational in 2016. 

Revenue recognition for the shipped orders could impact guided full-year revenue, which was recently guided to be in the range of €68 million to €78 million. Singulus said that it would update on the customer delays should revenue recognition be postponed into 2017. 

Although the company did not say why the assembly and commissioning of the tools at the customers manufacturing facilities had so far been delayed, after shipments were made in earlier quarters in the year, solar industry overcapacity has already forced some PV manufacturers to curtail utilisation rates and adjust capacity to reduce inventory levels on weak demand, primarily from China since the beginning of the third quarter of 2016. 

In the last period of major overcapacity, PV manufacturers accepted equipment shipments on signed contracts but delayed assembly and commissioning of production tools due to the weak demand and to preserve cash. 

However, Singulus has a very strong order backlog, primarily attributable to Chinese orders for CIGS thin-film equipment that accounted for around €110.0 million of its €134.0 million order backlog at the end of the third quarter. 

Management noted that despite delays in pre-payments from Chinese state-owned enterprise China National Building Materials (CNBM), which owns Germany-based CIGS producer AVANCIS, the first phase orders accounting for two 150MW production lines are expected to be delivered in 2017, setting-up next year for significantly higher revenues.

Financial results

Singulus Technologies reported total revenue for the first nine months of 2016 of €36.7 million, compared to €57.7 million in the prior year period. Sales in the third quarter were €12.1 million, compared to €28.5 million in the first nine months of 2015.

Solar segment sales in the reporting period were €18 million. Order intake in the third quarter was €12.6 million, up from €11.3 million in the third quarter of 2015.

The company reported a negative EBIT of €14.7 million, compared to a negative EBIT of €13.9 million in the prior year period.

11 October 2022
PV CellTech Extra will be held as a series of live webinars and on-demand sessions on 11-13 October 2022. We'll be taking a slightly further forward-looking view at the technologies and roadmaps for new cell architectures set to dominate mass production during 2023-2025 with special emphasis on the potential timelines for technologies beyond the single-junction cell design, including perovskite and hybrid concepts.

Read Next

October 6, 2022
Waaree Energies has raised US$120 million from investors to expand its module and cell production capacity in India.
PV Tech Premium
October 4, 2022
Maxeon’s interim CEO talks to PV Tech about capacity expansions, smart home solutions and the company’s search for a new CEO.
October 4, 2022
The government of India has released guidelines on the second round of its Production Linked Incentive (PLI) scheme designed to develop greater domestic PV production and slash the country’s reliance on imports.
September 29, 2022
A research consortium has devised a production line with a throughput of up to 20,000 wafers per hour, which is double the usual amount.
PV Tech Premium
September 27, 2022
Europe must build out its own large-scale, vertically integrated solar PV manufacturing base as a means to ensure its clean energy transition.
September 12, 2022
Renewables developer Amp Energy India has formed a joint venture (JV) with Websol Energy Systems Ltd. for manufacturing up to 1.2GW of monocrystalline PERC solar cells and modules in the north-western Indian state of West Bengal.

Subscribe to Newsletter

Upcoming Events

On-Demand Webinars, Solar Media Events
October 11, 2022
Virtual event
Upcoming Webinars
October 18, 2022
10am (EDT) / 4pm (CEST)
Solar Media Events
November 29, 2022
Malaga, Spain