SMA Solar cuts 2021 forecast due to shortage of components

German photovoltaic (PV) inverters maker SMA Solar Technology AG (ETR:S92) has reduced its sales and earnings guidance for 2021 due to a shortage of electronic components.

Sales are now projected in the range of EUR 980 million to EUR 1.03 billion (USD 1.22bn) compared with EUR 1.075 billion-1.175 billion expected in August. Second-half sales will exceed the level of the first six months, when they came in at EUR 488.3 million, but are expected to fall short of the August forecast, SMA Solar said on Monday.

Earnings before interest, tax, depreciation and amortisation (EBITDA) are now seen at between EUR 50 million and EUR 65 million, down from EUR 75 million-95 million projected earlier.

The adjustment was made after the cancellation of firmly promised delivery quantities which led to a significant deterioration in the short-term situation.

"We are in intensive contact with our partners on the supplier side in order to develop suitable solutions to secure deliveries and to compensate for delivery delays as far as possible in the coming weeks as well," said chief executive Juergen Reinert.

In mid-August, the PV inverter maker maintained its forecast but warned of potential delivery capacity constraints in the second half of the year that could be caused by the ongoing strained supply situation for electronic components.

(EUR 1 = USD 1.187)

Choose your newsletter by Renewables Now. Join for free!