“In view of the continuing weak market and immense price pressure in the home and commercial sectors, we must expand our ongoing restructuring and transformation program, particularly in the Home & Business Solutions division,” said SMA CEO Jürgen Reinert. Last year’s performance was already weak, and this year Germany has recorded a further drop of 40 percent. “We are holding our market share, but as the market contracts, we have to tighten our belts once again.”
Top SPI rating for SMA’s DC-coupled hybrid inverter
Only the segment focused on solutions for large-scale plants has shown positive development in recent times. SMA now generates 80 percent of its revenue from ground-mounted systems. This business unit is currently supporting products for residential and commercial customers. “That is not a sustainable situation in the long term,” Reinert added.
The inverter manufacturer has been implementing a rigorous cost-saving programme for over a year. In November, the company announced plans to cut 1,100 full-time positions worldwide by the end of this year, 700 of which are in Niestetal. These measures are expected to save up to €200 million. Currently, SMA employs a total of 3,800 people, with 2,800 based in Niestetal.
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Restoring competitiveness
A month ago, SMA announced additional savings measures, targeting a further €100 million per year. At that point, it was still unclear how many jobs would be affected. Now, another 300 positions are set to be cut at the Niestetal site, along with an additional 50 worldwide.
“We will restore our competitiveness by sharpening our focus on core competencies in the future,” Reinert said. “This includes our technical expertise in cybersecurity and quality, as well as our ability to develop comprehensive solutions that meet the highest international and national standards and increasingly address the evolving needs of our customers. At the same time, we will make greater use of our international presence to optimise value creation in production,” Reinert emphasised. (hcn)
