The company still appears on track to post good third-quarter results. Guidance suggests $270 million in revenues, though gross margins could slightly dip. We've given our earnings estimates a slight bump: we now see $1 billion in revenue for 2012, up from our previous estimate of $980 million. Our earnings per share estimate is now $.63, from $.60. Other analysts are predicting revenues slightly above our outlook, but it really depends how fourth quarter sales are impacted by European regulations. The United States' tariff on Chinese solar cells could also lessen solar demand stateside, although those tariffs have yet to be finalized. It is also concerning that the U.S. may decide to apply the tariffs retroactively.
Power-One is releasing its Aurora Ultra inverter next week, which at 1.4 MW boasts the highest capacity in the solar market. The Ultra is designed for utility-size installations. In addition to the industry-leading generating power, the inverter requires fewer wire hookups and shouldn't take as long to test as other inverters. The company is also continuing its efforts to penetrate Asia. It expects sales to India to double in 2013. Stiff competition is hindering expansion in China.
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