The first nine months of 2010 have been highly successful for the SMA Group with the German photovoltaic inverter manufacturer generating close to €627m in sales, more than double 2009’s third quarter results, making for a record breaking quarter.
Due to the attractive global framework conditions, the worldwide market for photovoltaic systems saw a highly positive trend in the current financial year to the end of September. Germany continues to be the largest photovoltaics market with an estimated 5.3GW being installed in the country in the first three quarters of 2010.
SMA expanded the production capacities at a number of its sites significantly in 2010, reporting a maximum capacity of approximately 11GW worldwide at the end of the third quarter. This corresponds to a doubling in annual production output in comparison to the end of 2009.
Due to excellent third quarter sales, SMA was able to increase its operating profit (EBIT) from €120m in 2009 of third quarter to €418m this year. The third quarter alone contributed close to 50 per cent of the EBIT margin with over €198m. Fixed expenses increased at a slower rate than sales so that the strong sales growth had a positive effect on the EBIT margin.
For the entire year of 2010, the managing board of SMA expects sales to increase to between €1.7bn and €1.9bn and to achieve an EBIT margin of 26 per cent to 28 per cent. Expectations for 2011 numbers are not as high, as SMA’s managing board expects a market decline of up to ten per cent due to increased competitiveness and uncertainty in the growth of demand for solar power systems.
Copyright © 2010 NewNet
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