German Sunways op loss grows to EUR 6.5m in Q2 2012

(SeeNews)- Oct 5, 2012 - German solar firm Sunways AG (ETR:SWW) said today its loss before interest and tax (LBIT) widened to EUR 6.5 million (USD 8.4m) in the second quarter of 2012 from a loss of EUR 6.3 million in the same period of 2011.

Sunways' sales in the solar inverter division increased during the reporting period, while its solar module sales dropped due to raw material shortages for the production of solar modules at Chinese parent LDK Solar.

In addition, Sunways' performance was hit by over-capacities and increasing price competition in the solar inverters business.

However, including deferred taxes relating to loss carry-forwards, the company's after-tax profit for the April - June period of 2012 came in at EUR 1.1 million, up from around EUR 200,000 a year earlier.

Sunways' second-quarter sales, on the other hand, more than halved to EUR 17.2 million from EUR 38.7 million in the prior-year period.

For the first half of 2012, the company registered LBIT of EUR 13.3 million, up from a loss of EUR 9.8 million if the first half of 2011. After-tax loss grew to EUR 6.2 million from a loss of EUR 2.5 million a year earlier.

Sales went down to EUR 27.6 from EUR 60.9 million.

The company still aims to reduce its losses in 2012 as compared with 2011. However, due to the changing political and economic conditions, Sunways abstained from giving a more concrete forecast.

(EUR 1.00 = USD 1.29)

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