China Sunergy eyes 158-168 MW of Q4 shipments

Dec 5, 2013 - Solar cell and module maker China Sunergy Co Ltd (NASDAQ:CSUN) said Thursday it expected to report fourth-quarter 2013 shipments of 158 MW-168 MW and boosted its full-year projections.

The positive guidance is motivated by improved working capital and better-than-expected shipments under original equipment manufacturer (OEM) contracts. The projected volumes are to include some 40 MW of OEM modules. For comparison, in the third quarter of 2013 the company’s shipments amounted to only 112.7 MW.

China Sunergy also sees its gross margin as a mid-single digit in percentage terms. This will be an improvement from 3% in July-September 2013. In the third quarter faced constrained working capital and was unable to procure adequate inventory for subsequent production. However it says the situation has now changed thanks to improved credit environment in China.

For the full year China Sunergy guided for shipments of 500 MW-510 MW. Its earlier expectations were for 440 MW-480 MW.

In the third quarter the company posted a net loss of USD 13.2 million (EUR 9.7m) as compared to USD 1.4 million in the preceding quarter. Revenues went down by 20.6% quarter-on-quarter to USD 57.1 million mainly as a result of a decrease in shipments and lower average selling prices.

(USD 1 = EUR 0.736)

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