Phoenix Solar AG revises revenue and earnings forecast downwards again
Sulzemoos, Germany - Phoenix Solar AG, an international photovoltaic system integrator, closed an agreement with its financing banking syndicate which renews the existing financing, adjusted to take account of reduced operational planning, through to 30 September 2016.
It is based on a revised corporate plan under which the level of revenues and results anticipated, also for the current financial year, are lower than originally expected. Although the order book has improved notably for the first time again since the end of the third quarter, boosted in particular by an order placed for the construction of a photovoltaic power plant of 32.1 MWp in the USA, orders will, however, largely only be reflected in revenues in the coming financial year.
The company therefore assumes that it will now generate revenues of between EUR 45 million and EUR 55 million and earnings before interest and taxes (EBIT) in the range of minus EUR 4 million in the financial year 2014. Before this, expectations were for revenues of between EUR 70 million and EUR 100 million (2013: EUR 141.2 million) and EBIT of EUR 0 million to EUR 3 million (2013: EUR -1.4 million).
This guidance includes a positive special item from the disposal of the European O&M business which was completed as of 31 October 2014. As part of the revised corporate planning, the decision was also taken to terminate the pilot phase of implementing new business models for households (residential) in Germany and to discontinue these activities without substitution. This measure has already been implemented.
In the coming financial year, orders received already indicate significant revenue growth and a noticeable improvement in the results. Now that the process of restructuring and realigning the company to focus on the international project business has been completed and financing renewed through to 30 September 2016 secured, Dr. Bernd K
Source: IWR Online, 05 Nov 2014
