- SMA Solar has reported 2022 sales figures as higher than its updated guidance
- It attributes improvement in supply of electronic components and high prices for this growth
- Order backlog went up to €2.07 billion till the end of December 2022, including €1.7 billion in product
Barring large scale and project solutions, both home solutions and commercial and industrial (C&I) solutions segments pushed up German solar PV inverter company SMA Solar Technology’s 2022 net sales by 8.4% YoY to €1.066 billion thanks mainly to improved supply situation for electronic components.
This is slightly higher achievement than the company’s updated guidance for the year it shared in late-2022 as €975 million and €1,050 million, while EBITDA was at the higher end of the guided range of €60 million to €70 million (see SMA Solar Revises Annual Earnings Forecast For 2022).
C&I segment sales improved 18.3% YoY to €290.3 million to pitch in with 27.2% share in total sales. EMEA region accounted for 79.4% of segment sales, followed by the Americas as 11.5% and APAC with 9.1%. SMA cites higher procurement prices ‘which could not be passed on to the same extent as in the home solutions segment’.
Home solutions registered an annual jump of 26.2% with €335 million, contributing 31.4% to total sales in 2022. Improvement is attributed to improved supply situation and implementation of price increases, especially in Q4. EMEA region was the largest procurer as 86.7% sales for this segment came from here.
US’ anti-dumping policy towards Chinese modules manufacturers in H1/2022 was attributed by SMA as the primary reason for its large scale and project solutions business sales dropping 6.8% YoY to €440.6 million in 2022. This segment accounted for 41.4% share of SMA’s total sales last year. The Americas was its largest market.
At the end of 2022, SMA grew its total order backlog to €2.077 billion, including €1.7 billion in the product business that increased from €1.2 billion at the end of September 2022. Overall, on annual basis the order backlog grew by 134%.
“The supply situation for electronic components has gradually eased in the past fiscal year, our measures to improve operating development have taken effect and we are consistently pushing ahead with our ‘SMA 2025’ strategy,” said CEO Jürgen Reinert. “The SMA group is thus well positioned for further profitable growth. In the C&I and Large Scale & Project Solutions segments, we are also planning to achieve positive EBIT as early as fiscal 2023.”
Expecting strong sales in in Q1/2023 and positive developments in the supply situation of electronic components, SMA management has increased its annual sales guidance for 2023 to between €1.45 billion and €1.60 billion, up from €1.35 billion and €1.50 billion.
EBITDA guidance has also been raised to €135 million and €175 million, having gone up from €100 million and €140 million.
Following ‘numerous positive discussions with suppliers who have confirmed an improvement in their production capacities’, SMA management explained 2023 guidance is based on positive trend in sales and earnings that began in H2/2022 and is expected to continue in the current fiscal year.