Germany-based solar equipment manufacturer SMA Solar Technology recorded a net income of €11 million (~$11.38 million) in the first nine months (9M) of 2022, a year-over-year (YoY) decline of 29%.

The company said that lower net income was mainly due to delays in large-scale solar projects. Of the three product segments, large-scale & project solutions account for the largest contribution to the company’s total sales.

The segment’s 9M revenue declined by 15% YoY to €304 million (~$314.54 million).

The company’s revenue for the period came in at €724 million (~$749.10 million), a YoY decline of 3%.

SMA Solar’s inverter sales declined to 8.73 GW output as opposed to 10.27 GW YoY.

The earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at €50 million (~$51.73 million), a YoY decline of 5%.

Source: SMA Solar Technology

“The second half of the year got off to a good start, and we improved the sales and earnings level significantly in the third quarter compared with the first half of the year,” said Jürgen Reinert, CEO of SMA.

“Given that the order backlog is still very high and the delivery situation for electronic components is improving, we are confident that this trend will be carried forward into the fourth quarter. We also expect to see an improvement in incoming orders for the large-scale and project solutions segment with corresponding contributions to sales and earnings for the SMA group. This trend had already started in the third quarter.”

The revenue for the third quarter was €252 million (~$260.74 million), while the EBITDA was €34 million (~$35.18 million). Most of the revenue during the quarter came from the home solutions segment, followed by commercial and industrial (C&I) and large-scale solutions.

The company stated that demand remains at a record level in 2022 after three quarters, with the highest order intake in August. This is the improved delivery capability reflected in the quarter’s increased sales in home and C&I solutions.

However, the large-scale solar segment remained below expectations, mainly due to lower order intake in the year’s first half. According to SMA, the profitability improved compared to the previous quarter and was driven by improved supply and increased productivity in production.

SMA Solar Technology recorded revenue of €221 million (~$232 million) in Q1 of 2022, a YoY decline of 8%.