Nov 22, 2011 - Chinese solar wafer maker LDK Solar (NYSE:LDK) today posted a third-quarter net loss of USD 114.5 million (EUR 84.9m) against profit of USD 93.4 million a year ago, hit by falling average selling prices and lower than expected shipments.
Operating loss came in at USD 77.1 million from a profit of USD 119.5 million and gross margin was negative 3.6% from positive 22.2%, due to USD 47.3 million in inventory write-downs during the quarter driven by a drop in market price of wafers, LDK Solar said.
Revenue decreased to USD 471.9 million from USD 675.6 million a year ago.
The company shipped 292.5 MW of wafers and 192.1 MW of modules, and produced 2,883 tonnes of polysilicon and 296 MW of cells.
LDK Solar expects unfavourable industry environment to continue in the near term and guides for a fourth-quarter revenue of USD 440 million-520 million on expected shipments of 200 MW-270 MW of wafers, 180 MW-270 MW of modules, and in-house production of 2,200 tonnes-2,800 tonnes of polysilicon and 220 MW-250 MW of cells. Gross margin is seen at 2% to 7%.
The company forecasts a full-year revenue of USD 2.20 billion-2.25 billion and a gross margin of 9% to 12%. It expects to ship 1.55 GW-1.65 GW of wafers and 550 MW-650 MW of modules, and to produce 10,000 tonnes-11,000 tonnes of polysilicon and 600 MW-700 MW of cells in-house in 2011.