SolarProfit will lay off 90% of its staff

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The solar panel and installation company SolarProfit, which already created an Employment Regulation Act (ERE) last September for 30% of the workforce, intends to create a new one that would affect 90% by making the situation in private homes even worse. Consumer demand.

In a communication to BME Growth, the market for expanding companies on which the company is listed, the company indicated this Thursday that the implementation of the new ERE should take place as quickly as possible and announced that it would also adjust the debt restructuring proposal of the Bank to adapt it to the current reality.

SolarProfit has pointed out that private demand for solar panels and systems has fallen even further since the previous ERE was announced on September 4, and industrial demand has also been affected due to the downward trend in energy prices.

According to SolarProfit, the dynamics of the solar business have deteriorated

SolarProfit’s sales in the 2023 financial year were 66 million euros and the gross operating profit (Ebitda) was -33 million euros, and although preliminary balance sheet figures for the first quarter of 2024 are not yet available, SolarProfit says that the dynamics of the business have deteriorated.

The accumulation of losses has led to the company’s consolidated net assets being negative, and to ensure its continuity, its managers believe that it is necessary to completely change the structure of assembling equipment with third-party suppliers (certain fixed costs in convert variables). reduce personnel costs to a minimum.

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To achieve this, SolarProfit says it will be “essential” to introduce a new ERE that would affect 90% of the workforce and that would be implemented as quickly as possible.

A Catalan company with 650 employees

According to the information on the BME Growth page, the company is headquartered in Llinars del Vallès (Barcelona) and currently employs more than 650 people.

Likewise, he considers that the debt restructuring proposal presented by the banks must be modified and adapted to the current reality, since in practice it would not allow the access of new funds to recapitalize the company.

According to the company, the situation is leading to high liquidity tensions, which significantly affect compliance with payment deadlines, which is why it announced at the end of March that it was starting negotiations with creditors on a restructuring plan.

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