ReneSola scraps annual outlook as Q2 2011 profit dips
Aug 9, 2011 - ReneSola Ltd (NYSE:SOL) today said its second-quarter net profit plunged to USD 1.8 million (EUR 1.3m) from USD 36.1 million a year ago due to a faster-than-expected drop in wafer and module prices, and pulled its full-year guidance.
The Chinese photovoltaics (PV) maker projected that market conditions would remain difficult and forecast a third-quarter gross profit margin of 6-8%, revenue of USD 220 million-240 million and solar product shipments of 330 MW to 350 MW.
Revenue in the second quarter declined 1.8% on the year to USD 249.3 million, although total solar product shipments rose 14.4% to 295.5 MW.
The gross margin slumped to 18.4% from 30.2% and operating profit decreased 56.2% on the year to USD 23 million.