SolarWorld has outperformed many of its peers in 2009 due primarily to its nature as a fully-integrated photovoltaics firm, with operations ranging from silicon procurement to module manufacture.

SolarWorld, which ranked as Germany’s third largest solar firm last year by revenues, has hauled in more money in 2009 than any of its competitors.

In the year to 30 September SolarWorld notched up revenues of €634.1m ($943.5m), a 4.7% decline over last year. In comparison, Q-Cells’ revenues tumbled from €931.9m to €550.3m during the same period, while Conergy’s sank from €828m to €368m.

SolarWorld has parried the deep price cuts seen across solar panels and components by boosting its wafer and module shipments by 22%. Thus, says chief executive Frank Asbeck, “the effects of the industry-wide price reduction could almost be compensated for by sales increases”.

Asbeck says that while lower prices may be painful in the near term, they have lit a fire under demand for solar products, particularly in Germany. Germany saw 953 megawatts (MW) of solar capacity installed in the third quarter alone, compared to the 513MW installed in the first half of the year, according to the Federal Grid Agency.

Germany is likely to see between 2.2 and 2.6 gigawatts (GW) installed during 2009, compared to the 1.5GW put up last year.

Asbeck points out that electricity prices are rising across Europe. Add to that the declining price of solar modules, and he believes solar energy is on the cusp of grid parity in many critical markets.

In response, SolarWorld is expanding production aggressively at a time when many of its competitors are sidelining capacity and licking their wounds.

Over the past two months the company announced it will triple its production capacity in Freiburg, Germany, and expand production to 500MW at its site in the US state of Oregon. By 2011 SolarWorld intends to have an annual production capacity in excess of 1GW.

SolarWorld recently held its full-year earnings guidance at €1bn, a move that has split analysts, as it would require record-high earnings in the final quarter of €366m.