LDK Solar Updates Outlook For 2nd Quarter And Takes Out Additional Loans

LDK Solar just announced that is has revised its outlook for the 2nd quarter. According to Reuters,the revised outlook is still disappointing, with revenue down from$283.3 million in the first quarter to between $215 to $225 million inthe second quarter.  The estimates are between $25 and $35 millionlower than what analysts had expected, as well.  However, the companydid raise the amount of second-quarter wafer shipments that it expectsto ship to 220-230 MW, a 10 MW increase from earlier estimates.

The Reuters article quoted CLSA analyst Charles Yonts as having a somewhat gloomy outlook on LDK in the near term, saying

“We estimate that higher-than-spot price production costs andparticularly intense price wars for solar wafers will lead LDK tolosses next year.”

However, the company just obtained an additional $146 million worthof loans from two Chinese banks, and LDK CEO Xiaofeng Peng was quotedas having a sunnier view of the company’s future:

“We are encouraged by the recent improvement in market demand and expect to resume the expansion of our wafer plant.”

LDK Solar Updates Outlook For 2nd Quarter And Takes Out Additional Loans