Phoenix Solar AG (ISIN DE000A0BVU93), a leading photovoltaic system integrator listed on the German TecDAX, is today presenting its Interim Report as per 30 September 2010. The main event determining the third quarter of the current financial year was the unscheduled reduction of between 8 and 13 percent in the feed-in tariffs for photovoltaic electricity in Germany on 1 July 2010. In line with expectations, domestic demand subsequently diminished in the summer months. In the reporting quarter, Phoenix Solar concentrated first and foremost on building up its business in European countries outside Germany. As part of the Group’s ongoing strategy of internationalisation, the US subsidiary became operational in September, and a new office was founded in Malaysia.
International business dominates the third quarter
The reporting period from 1 July to 30 September 2010 was dominated by international business with a share of 55.5 percent of revenues as compared with only 7.6 percent in the year-earlier period. Of the Phoenix Solar Group’s total revenues, which came to EUR 95.3 million, EUR 52.8 million was generated by international business (Q3/2009: EUR 6.8 million). Total revenues rose by an overall 6.2 percent (Q3/2009: EUR 89.7 million). Total revenues were attributable as follows: 56.5 percent to the Components & Systems segment and 43.5 percent to the Power Plants segment. Despite the downturn in domestic demand, Phoenix Solar increased module sales by almost 20 percent to a peak power of 47 megawatts (MWp).
The Components & Systems segment was particularly affected by the slowdown in demand. Revenues in this segment fell by 29.4 percent to EUR 53.8 million in the third quarter (Q3/2009: EUR 76.2 million). In contrast, the Power Plants segment tripled revenues to EUR 41.5 million (Q3/2009: EUR 13.5 million).
Consolidated earnings before interest and taxes (EBIT) climbed from EUR 3.0 million in the third quarter of 2009 to EUR 4.3 million in the reporting quarter. The EBIT margin (ratio of EBIT to revenues) grew to 4.5 percent, up from 3.3 percent in the previous year’s quarter. After tax, consolidated profit stood at EUR 2.3 million compared with EUR 1.0 million in the third quarter of 2009. Earnings per share for the quarter came to EUR 0.31 (Q3/2009: EUR 0.15).
