Conergy on Friday posted a first-quarter loss that almost tripled over the year-ago loss, a sign that the German solar titan still has a way to go to get back into investors’ good graces.
Conergy reported a net loss of €43 million ($66.58 million) for the first quarter of 2008, compared with a net loss of €15 million ($23.22 million) during the same quarter a year ago.
Of course, Conergy did its best to spin its earnings in a positive light, saying it had “regained momentum” in the first quarter.
The company reported it had doubled its gross profit to €34 million ($52.64) from a restated gross profit of €17 million ($26.32 million) for the first quarter of 2007, and also said it had increased sales by 53 percent to €203 million ($314.24 million) for the quarter from a restated €133 million ($205.88 million) in sales a year ago.
The company blamed a series of challenges, such as higher financing costs and project delays, for its widening net loss.
Conergy shares fell $0.62, or 4.84 percent, to $12.18 per share. The company trades under the ticker “CGY” on the Frankfurt Stock Exchange.
Previously, Conergy had been a solar industry darling of sorts. But last year, the company lost some luster.
In late October, the company said it was lowering its outlook, which plunged shares down 30 percent to €37.19 ($59.43) per share (see Solar Companies Take Stock).
By early November, Conergy announced the resignation of its former CEO, Hans-Martin Rüter, and said it would raise €100 million ($146 million) to meet a "shortfall in liquidity."
With something clearly amiss, Conergy said in December it would restructure the company (see IN BRIEF: Conergy's CEO Steps Down, California Sues EPA and Ethanol-Purification Startup Snags Cash).
“Five months after the start of the strategic repositioning, our efforts to stabilize the company are showing results," CEO Dieter Ammer said in a statement Friday.
But investors apparently don’t think the results are good enough.