Enfield solar manufacturer STR Holdings posted a $82.1 million loss in the first quarter, following significant reductions in the price of its products and the volume sold.
STR on Monday announced a first quarter loss of $82.1 million, or $2 per share, compared to $10.8 million in earnings, or 27 cents per share, in the first quarter 2011.
The loss was created by a 54 percent reduction in sales from the first quarter 2011 ($31.1 million vs. $68 million); a 14.3 percent decline in the average selling price of its products; and a $82.5 million goodwill impairment charge from the decline in the solar market and the capitalization of the company's common stock.
STR makes encapsulants that protect photovoltaic cells in solar panels. The company has suffered for the past nine months from the significant slowdown in the solar panel industry, created by an oversupply in the market and a significant drop in prices.
The company is projecting the second quarter will remain flat in solar sales as well, predicting between $31 million and $33 million in revenues.