SMA Solar keeps adjusted 2021 outlook

Image by SMA Solar Technology AG. All Rights Reserved.

November 10 (Renewables Now) - German photovoltaic (PV) inverters maker SMA Solar Technology AG (ETR:S92) on Wednesday confirmed its adjusted forecast for 2021 after profitability in the first nine months of the year increased substantially even as sales were affected by the shortage of components.

Net income surged 66.3% to EUR 15.3 million (USD 17.7m) in the period from January to September and earnings before interest and tax (EBIT) more than doubled to EUR 21.2 million. Profit growth was driven by the Home Solutions segment where EBIT also more than doubled to EUR 38.5 million, offsetting the operating losses incurred in the other divisions.

In the first nine months of 2021, SMA Solar sold inverters with a total power of some 10.3 GW and booked a 3.7% drop in sales to EUR 744.9 million as the ongoing shortage of components and the investment reluctance of small and medium-sized businesses at the start of the year led to a 21.8% decline in the Business Solutions segment. Unlike the Business Solutions unit, sales in the Large Scale & Project Solutions and the Home Solutions units increased 3% and 4.9%, respectively.

SMA Solar's order backlog rose 16.5% to EUR 922.3 million at the end of September, of which EUR 430.3 million was attributable to the product business.

The company maintained its 2021 forecast, reduced in September due to the shortage of electronic components, and expects sales in the range of EUR 980 million to EUR 1.03 billion compared with EUR 1.026 billion generated in 2020. Earnings before interest, tax, depreciation and amortisation (EBITDA) are seen at between EUR 50 million and EUR 65 million against EUR 71.5 million in the prior year.

(EUR 1 = USD 1.158)

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