UPDATE 3-Energy Conversion posts second straight loss, shrs dip
* Q1 shr loss $0.28 vs EPS of $0.27 last yr
* Q1 sales more than halve, way below Wall St view
* Sees price declines, sequentially flat shipments in Q2
* Says prior FY rev outlook no longer applicable
* Shares down 4 pct (Adds conf call details, analyst comments, updates share)
By Adveith Nair
BANGALORE, Nov 9 (Reuters) - Energy Conversion Devices Inc (ENER.O) reported its second straight quarterly loss, with sales coming in below estimates as demand for its solar products remained soft, and warned that prices would continue to fall.
On a conference call with analysts, the company said average selling prices, down 13 percent in the fourth quarter, would continue to decline in the December quarter.
"Our current estimate is we think high single digits to just around double digit decline would be appropriate," a company executive said.
Like others in the solar industry, the Rochester Hills, Michigan-based company has been hurt by a dearth of financing and a global oversupply of solar panels that sent prices on solar power products tumbling.
ECD, which reported five consecutive profitable quarters before two back-to-back quarterly losses, makes lightweight, flexible solar laminates for rooftops and buildings that convert sunlight into electricity.
The company also indicated that visibility remained poor.
"At this time, our project business is uneven with large discreet orders where the shipments and timing of revenue recognition are difficult to precisely forecast. As a result, our prior full year revenue production is no longer applicable," Chief Financial Officer Harry Zike said on the call.
The company had earlier forecast 2010 revenue to rise 10 percent to 15 percent.
Raymond James analyst Pavel Molchanov said while the quarter was not as awful as it might have been, it was still nothing to write home about.
In particular, there was still a lack of visibility on when building integrated photovoltaic market conditions will improve, he said. Continued...
