SMA Solar Technology AG (SMA/FWB: S92) increased its sales and earnings from January to September 2016 despite high price pressure in all market segments and regions.
SMA Group sales rose by 3.2% year on year to EUR708.8 million (Q1-Q3 2015: EUR686.9 million).
Operating earnings (EBIT) increased considerably to EUR59.4 million (Q1-Q3 2015: EUR9.9 million).
The main earnings driver was the segment for large-scale PV power plants (Utility). In addition, the segment for commercial PV systems (Commercial) continued its positive business performance.
From January to September 2016, SMA Solar sold PV inverters with a cumulative power of 5.7 GW (Q1-Q3 2015: 5.0 GW). SMA’s high international share of sales of 90.0% (Q1-Q3 2015: 86.9%) underscores its strong international positioning.
As a result of increased sales volumes and the fixed cost reduction, EBITDA improved considerably from January to September 2016 to EUR107.9 million (EBITDA margin: 15.2%; Q1-Q3 2015: EUR64.6 million, 9.4%).
The result includes one-time items from the consolidation of worldwide production sites. Consolidated earnings amounted to EUR36.9 million (Q1-Q3 2015: EUR-13.7 million). Earnings per share thus amounted to EUR1.06 (Q1-Q3 2015: EUR-0.39).
The considerable increase in SMA’s flexibility and the attractiveness of the business model can be seen in its net cash flow in particular.
The net cash flow increased considerably in the first nine months of 2016 to EUR123.6 million (Q1-Q3 2015: EUR70.4 million).
Net cash increased to EUR352.8 million (December 31, 2015: EUR285.6 million).
With an equity ratio of 49.7% (December 31, 2015: 49.1%), SMA Solar has a comfortable equity capital base and continues to boast a very solid balance sheet structure.
The SMA Managing Board confirms its sales and earnings forecast for fiscal year 2016 adjusted on October 24, 2016.
This forecast anticipates sales of EUR900 million to EUR950 million and a significant increase in operating earnings (EBIT) year on year to between EUR60 million and EUR70 million.
The earnings forecast takes into account one-off items from the consolidation of global production sites of a low double-digit amount.
Read also:
