The solar inverter market leader, SMA Solar Technology has made a significant upward revision to its revenue guidance for 2010 on the back of strong demand. The company said it expected revenue to be between €1.5 and €1.8 billion for the year. Previously, SMA Solar guided revenue to be between €1.1 and €1.3 billion. The worldwide solar market could reach 14GW installed, compared to previous expectations of the market reaching 9GW to 11GW in 2010.
The upward revisions to both revenue and global market growth suggest the critical shortages of inverter components, primarily semiconductors is expected to ease in the second-half of the year as IC suppliers increase production allocations to customers such as SMA Solar to better meet booing demand.
SMA Solar noted that delivery times for its inverters would gradually improve in
the second-half of the year. The company previously noted that recent capacity expansions at facilities were underutilized due to the shortages in components.
The company said that sales topped €800 million for the first six months 2010 and sold more than 3.1GW of inverter output. However, SMA Solar noted that it expected a decline in the German market and a stronger growth of foreign markets in 2011.