LDK Solar sees higher revenues in Q3 2012

Aug 27, 2013 - Chinese firm LDK Solar Co Ltd (NYSE:LDK) expects revenues of between USD 140 million (EUR 105m) and USD 180 million in July-September 2013, more than it booked in the first and second quarters of the year.

The photovoltaics (PV) maker posted second-quarter revenues of USD 114.7 million today, up from USD 104.3 million for the first three months of 2013.

The company also expects a quarter-on-quarter increase in third-quarter shipments to 350 MW-400 MW for wafers and 60 MW-80 MW for solar cells and modules. This compares to 303.9 MW of wafers and 35.3 MW of cells and modules in April-June.

In the second quarter LDK’s net loss narrowed to USD 165.3 million from USD 254.3 million a year ago. “We are starting to see early signs of improvement within the PV market as average selling prices are beginning to stabilize,” said president and chief executive Sam Tong. He added that the recent policy updates from China and the European Union are encouraging.

Gross margin in April-June was negative 46.9%, compared to negative 39.1% a year earlier. The result was affected by a USD-19.5-million loss on recoverable value added tax (VAT) and and inventory write-down of USD 3.7 million.

Earlier this month, Tong told Bloomberg that LDK expected profit this year thanks to the China-Europe solar deal and the fact that oversupply in the solar sector is declining.

(USD 1 = EUR 0.748)

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