LDK Reports Profit, Rev Slip, Guides Further Rev Drop in Q2

LDK Solar (NYSE:LDK) recorded a net income of $135.4 million, or $0.95 per diluted ADS, in the first quarter of 2011, compared with a net income of $145.2 million in the prior quarter, the company announced June 7. Quarterly revenue reached $766.3 million, down 16.8% sequentially, on wafer shipments of 631.5MW and module shipments of 118.7MW, the report stated.

For the second quarter, LDK estimates its revenue will be $710 million to $760 million, based on forecast wafer shipments of 500-550MW and module shipments of 200-220MW. The company also sees gross margin returning to 22-26% from 31.5% in the first quarter and 27.3% in the prior quarter, the report said.

In a separate statement, LDK announced the completion of a $240 million investment by China Development Bank Corporation, Apollo Asia Investment and China Construction Bank (0939.HK, 601939.SH) affiliated funds Excel Rise and Prosper East, for convertible preferred shares of LDK's polysilicon subsidiary LDK Silicon & Chemical Technology, representing a stake of approximately 18.46% of the subsidiary in which LDK Solar holds the remainder.