MEMC has been forced to lower fourth quarter revenue guidance, just over a month after revisions were made as the company announced a major restructuring effort due to lower than expected PV project interconnections carried out by project developer subsidiary, SunEdison. MEMC revised revenue to be in the range of US$698 million to US$733 million, compared to December, 2011 guidance of between US$789 million to US$861 million.
On a full-year basis, revenue is therefore expected to be in the range of US$2,695 and US$2,703 million. GAAP net sales in 2010 were US$2,239.2 million, an increase of 92% from US$1,163.6 million in 2009.
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“We responded to the continuing cyclical downturn in the semiconductor industry and the severe market disruption in the solar market by taking decisive action through a significant restructuring that we believe will strengthen our business going forward,” commented Ahmad Chatila, MEMC's Chief Executive Officer. “Although our solar business achieved record growth in 2011, interconnections, which exceeded 100 MW in the fourth quarter, fell short of our expectations. As we begin 2012, our focus is on operational excellence in completing our restructuring plan and profitably growing our solar and semiconductor businesses.”
MEMC ended the quarter with approximately US$586 million of unrestricted cash and total liquidity in excess of US$800 million. The company plans to announce its fourth quarter and year-end results on Wednesday, February 15, 2012.