Higher finance costs widen Etrion’s net loss in Q2 2017

Independent solar power producer Etrion Corp (TSE:ETX) on Monday reported a second-quarter net loss of USD 6.9 million (EUR 5.9m), expanding its deficit of USD 2.9 million from a year ago.

The company explained its bottom line was mainly affected by depreciation and financing costs, whereas its solar business in Japan and Chile generated positive earnings before interest, tax, depreciation and amortisation (EBITDA) of USD 4 million, up from USD 1.5 million in the corresponding period of 2016.

Etrion, which now has 109 MW of solar capacity in Japan and Chile, said its revenues in the second quarter jumped to USD 7 million from USD 3.1 million, thanks to solar activities in Japan. The company increased its installed solar power capacity in the Asian country to 39.3 MW from 9.3 MW, which in turn lifted production levels to 14.9 million kWh from 3.4 million kWh.

Etrion closed the first six months of 2017 with a net loss of USD 14.4 million, against a loss of USD 9.7 million a year back. At the end of the period, the firm had USD 40.8 million in unrestricted cash balance and positive working capital of US 46.1 million.

The solar power producer noted it expects to connect to the grid its 13.2-MW Komatsu solar park in Japan by the second quarter of 2018. Meanwhile, it will work to achieve financial close to almost 50 MW of Japanese projects next year.

(USD 1.0 = EUR 0.848)

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