http://www.newenergyworldnetwork.com/investor-news/renewable-energy-news/by-technology/solar/solar-company-conergy-sees-margins-squeezed-in-q1.html

 

German solar company Conergy has reported second quarter sales of €225.2m, a 40 per cent increase on the first quarter but a decrease compared to the same period in 2010 when sales were €239.4m.

 

It increased international sales by 36 per cent from €115.6m in 2010 to €157.2m in the second quarter this year. The company is currently generating around 70 per cent of sales outside its home market of Germany with significant progress in the Asia Pacific region where sales doubled. Conergy also cut operating losses in half from €12.3m in the first quarter to €6.7m in the most recent three months.

Sales for the first half of the year were down slightly at €388.5m from €389.7m last year. But the gross profit margin was down from 27.2 per cent in the second quarter last year to 19.8 per cent in the same period in 2011. EBIT was negative €31.5m compared with €12m for the first half of 2010.

The company said it had successfully completed a refinancing that began at the end of last month and has restructured its debts by €190m.

Due to market conditions, which have seen the majority of large solar companies report worse than expected results, Conergy has not forecasted results for the second half of the year.