* Q2 sales of 142 million eur vs 225 million in Q1
* Q2 EBIT loss 62 mln eur; says market still difficult
* Sees tough H2 2009, pricing pressure to continue -CFO
* Shares down 11.4 percent, other German solar stocks fall (Recasts, adds CFO comments, analyst quotes)
By Christoph Steitz
FRANKFURT, July 14 (Reuters) - Q-Cells SE, the world's biggest maker of solar cells, withdrew its full-year sales outlook and said it saw no signs of an upturn in its market outlook, sending shares across the sector lower.
Along with peers in the once-booming industry, Q-Cells has been hit by a steep decline in prices for solar cells, mainly caused by an oversupply that built up during the boom years of 2007 and 2008.
The funding-hungry sector has also been hurt by the global credit squeeze, making refinancing difficult.
"The prolonged weak development of the global photovoltaic markets has continued to negatively impact the business development of Q-Cells SE in the second quarter," the company said as it released second-quarter results.
Q-Cells, which in May slashed its 2009 sales outlook for the third time since September, said it no longer expects sales to reach 1.3-1.6 billion euros ($1.81-2.23 billion), adding that it is was not possible to make a reliable forecast now.
Shares in German solar stocks fell on the news, with Q-Cells leading the pack, down 11.4 percent, while peers SolarWorld, Solon, and Phoenix Solar were all down 2.2 to 4.1 percent.
Shares in Norwegian peer Renewable Energy Corp (REC) -- in which Q-Cells sold its 17.2 percent stake in May -- also fell, shedding 2.6 percent after it said a recent rights issue was 60 percent oversubscribed.
"The (Q-Cells) numbers are a huge disappointment. After the departure of CFO Schuening a few weeks ago, the company strongly denied that this had something to do with weak Q2 results," DZ Bank analyst Sven Kuerten wrote in a note.
UNDER PRESSURE
Nedim Cen, who took over the position of chief financial officer from Hartmut Schuening at Q-Cells last month, said sales would remain under pressure in the second quarter.
"Regarding prices, we expect a very tough environment (in the second half of the year)," he told a conference call.
Over the weekend, Chief Executive Anton Milner told German magazine WirtschaftsWoche that he expected a recovery with regard to the price slump that has gripped the industry.
Q-Cells -- which competes which competes with Sharp Corp and Kyocera -- said second quarter sales came in at 142 million euros, compared with 580 million a year ago.
The loss before interest and tax reached 62 million euros, down from a profit of 119 million.
"We believe that investors' confidence is now fully destroyed," DZ Bank's Kuerten also noted.
"So far are no details on the working capital situation available. We fear that financing issues could arise again if the fundamental situation does not improve."
(editing by John Stonestreet)