Sinovel faces $495m loss for 2013
Sinovel expects its 2013 net loss to balloon to 3bn yuan ($495.4m), marking its second straight year of red ink.
The anticipated loss is due to a decline in total installations, delayed orders and postponed payments, it said in a statement to the Shanghai Stock Exchange (SSE).
Sinovel also warned that its stock could be delisted under SSE rules after a second straight loss, and its bonds may be suspended, also due to stock exchange regulations.
The wind company did not specify a date for release of its final full-year results statement.
The Beijing-based company suffered a net loss of roughly 583m yuan in 2012. It first raised the possibility of a 2013 deficit in October, shortly after it posted a 699m yuan ($115m) net loss for the January to September period.
At the time, it acknowledged that a series of high-profile problems have had “a serious impact” on its operations.
Earlier this month, Sinovel said in an SSE filing that the China Securities Regulatory Commission (CSRC) had launched a criminal investigation against it for suspected violation of securities laws.
The company – formerly China’s largest supplier of wind turbines and at one point the global number-two – did not disclose further details.
In June, a US grand jury charged Sinovel, two company executives and an ex-employee of former key supplier AMSC with stealing trade secrets from the Massachusetts-based power technology group.
AMSC is also battling Sinovel through the Chinese court system for allegedly stealing its intellectual property.