LDK shares tumble as prices fall

Chinese solar supplier LDK Solar has forecast lower than expected revenue for the current quarter after being forced cut its prices.

The company cites oversupply and lower subsidies in Europe behind the drop in selling prices. LDK’s shares have fallen to a six month low following three loss-making quarterly results.

“In 2012, we expect that excess capacity and further policy uncertainties in Europe and the US will result in continued intense competition within the solar industry,” said chief executive Xiaofeng Peng.

The company said it expects revenue of $190 million – $230 million for the first quarter whilst analysts were expecting $397.2 million, according to Thomson Reuters.