Phönix SonnenStrom Group AG(ISIN DE000A0BVU93), a Germany-based large scale photovoltaic systems integrator, reported Q1 results in line with expectations.
Especially in Germany, the world’s largest photovoltaic market, the seasonal course of the photovoltaic systems business is determined by the reduction in feed-in tariffs for electricity generated by photovoltaic plants which takes place on 1 January of each year. For this reason, the fourth quarter is particularly strong in terms of sales and earnings, and the first quarter is generally very weak. Moreover, at Phönix SonnenStrom AG, fixed costs rose relatively sharply in the first quarter owing to the ongoing expansion of the Group and the creation of new solar jobs.
Revenue was Euro 15.03 million, falling marginally short of the previous year’s figure of Euro 15.29 million. Earnings before interest and taxes (EBIT) stood at minus Euro 1.5 million (Q1-2006: Euro 0.12 million), considerably higher than the planned EBIT.
The company has record bookings in place for Q2 for Euro 78.13 million. The company confirmed its guidance for 2007, forecasting sales of Euro 200 million with an EBIT of Euro 9 million.