* Operating earnings top average forecast

* Net income per share 26 cents

* Raises full-year sales, profit outlook (Adds forecast, background, share price)

NEW YORK, Oct 16 (Reuters) - SunPower Corp reported sharply higher quarterly earnings on Thursday on strong demand for solar power and raised its full-year profit forecast slightly, sending its shares up more than 7 percent.

The maker of the highest-efficiency silicon solar cells and modules has seen its shares suffer with others in the industry in recent weeks, but remained confident that market demand for the clean-energy source would continue to grow.

"Overall, global industry fundamentals remain strong, and demand is increasing across multiple geographies," Chief Executive Tom Werner said in a statement.

SunPower has benefited from the growing appetite for clean energy around the globe, but a pullback in government subsidies in key markets such as Spain and Germany has hampered investor interest in solar stocks this year.

The San Jose, California-based company said it expected full-year 2008 net income of $2.34 to $2.41 per share, up slightly from the $2.26 to $2.36 that it had forecast in July.

Revenue would climb to between $1.44 billion and $1.46 billion from the $1.39 billion to $1.44 billion it had predicted.

For the third quarter, net income rose to $22.4 million, or 26 cents per share, from $8.4 million, or 10 cents per share, a year earlier.

Excluding one-time items, the company earned 60 cents a share. On that basis, Wall Street analysts on average had been expecting 56 cents, according to Reuters Estimates.

Revenue rose 61 percent to $377.5 million, compared with analysts' estimates of $350.4 million.

SunPower forecast fourth-quarter revenue at $405 million to $435 million and earnings per share of 73 cents to 80 cents.

Revenue for 2009 is expected to climb to between $2.05 billion to $2.15 billion.

blog comments powered by Disqus