Sharp sees 2014 solar reverse

Japanese electronics giant Sharp has warned that its solar equipment division faces an operating loss in the 2014 financial year.

Sharp said its Solar Cells division delivered a profitable performance last year, with sales almost 70% ahead on 2012’s level thanks to demand for ‘mega-solar’ plants in Japan and business from overseas developers.

But the group is forecasting a collapse in sales of 34% in 2014 to about 290bn yen ($2.84bn), dragging the solar unit to a 5bn yen operating loss.

The company said a reduced lack of business overseas and with Japanese residential customers – plus adverse currency factors – are to blame for the downbeat view.

Sharp said it plans to address the situation by stepping up its EPC activities and shifting towards ‘energy solution’ work such as O&M activities.