Enfield’s STR Holdings said its fourth-quarter loss increased more than three-fold, largely due to its income tax bill.
The solar-encapsulant maker booked a net loss of $13.4 million, or $1.38 per diluted share, up from a net loss of $3.7 million, or 26 cents, in the fourth quarter of 2013.
The loss came despite an increase in net sales, which grew over the year from $6.7 million to $9.2 million — the result of gaining more Chinese customers, STR said.
For the full year, STR lost $23.6 million, or $2.16 per diluted share, compared to a 2013 loss of $18.3 million, or $1.32.
The recent quarter included a nearly $7 million income tax charge, compared to a $3 million tax benefit in the final quarter of 2013.
STR said it has signed a supply agreement with an affiliate of Zhenfa New Energy, which acquired a majority stake in STR in December for $21.7 million. Under the agreement, STR will sell 500 megawatts worth of encapsulants annually to Zhangjiagang Huhui Segpv Co. Ltd. Orders are expected to begin in the second quarter.
Zhenfa acquired a majority stake in STR in December for $21.7 million.
STR is now manufacturing its products in Zhenfa’s factory in the eastern Chinese city of Suzhou. The factory became fully operational in November, giving STR a total of 2.2 gigawatts of production capacity in China.
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