Germany's SMA Solar H1 profit rebounds on home, business segment growth; raises outlook
Germany's SMA Solar H1 profit rebounds on home, business segment growth; raises outlook
Overview
Germany photovoltaics and storage firm reported H1 sales flat yr/yr, impacted by customs duty refunds
Net income and EPS rebounded from losses in prior year
Company raised full-year guidance and reported record order backlog
Outlook
SMA Solar raises 2026 sales guidance to €1.625 bln-€1.725 bln
Company expects 2026 EBITDA of €180 mln-€230 mln
SMA anticipates stronger H2 2026 performance in both main divisions due to higher order intake
Result Drivers
CUSTOMS DUTY REIMBURSEMENTS - Sales were reduced by €22.3 mln due to US customs duty refunds, which lowered reported revenue for the period
HOME & BUSINESS SOLUTIONS GROWTH - Sales in the Home & Business Solutions division rose 24.5% due to higher demand and targeted sales initiatives, including the sale of previously written-down inventories
COST REDUCTIONS - Cost-cutting measures and reversals of inventory write-downs improved operating earnings
Company press release: ID:nEQ1n8Xvra
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 Sales |
| EUR 686.60 mln |
|
H1 EPS |
| EUR 2.10 |
|
H1 Net Income |
| EUR 72.80 mln |
|
H1 Free Cash Flow |
| EUR 71.80 mln |
|
H1 Order Backlog |
| EUR 1.80 bln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the semiconductors peer group is "buy"
Wall Street's median 12-month price target for SMA Solar Technology AG is €58.00, about 1.6% above its August 12 closing price of €57.10
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 22 three months ago
Reuters Recommended Reads
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Aug 11 - Europe's power grids braced for eclipse with extensive backup plans
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)