Jinko Solar expects »strong domestic demand« over the next six months

Jinko Solar Holding Co., Ltd. achieved revenues in the third quarter of 2019 of CNY 7.48 billion ($1.05 billion), an increase of 8.2 percent from CNY 6.91 billion in the second quarter of 2019 and an increase of 11.8 percent from CNY 6.69 billion in the third quarter of 2018. The sequential increase was mainly attributable to an increase in the average selling price of solar modules and increase of multi-crystalline silicon wafers sales in the third quarter of 2019. The year-over-year increase was mainly attributable to an increase in the shipment of solar modules in the third quarter of 2019, says the company.
Income from operations in the third quarter of 2019 was CNY 638.8 million ($89.4 million), compared with CNY 260.3 million in the second quarter of 2019 and CNY 188.0 million in the third quarter of 2018. Net income attributable to the company's ordinary shareholders was CNY 363.6 million ($50.9 million) in the third quarter of 2019, compared with CNY 125.4 million in the second quarter of 2019 and CNY 189.1 million in the third quarter of 2018.
As of September 30, 2019, Jinko Solar had CNY 4.14 billion ($579.8 million) in cash and cash equivalents and restricted cash, compared with CNY 4.81 billion as of June 30, 2019. The company's inventories were CNY 6.07 billion ($849.6 million), compared with CNY 6.63 billion as of June 30, 2019.
Total solar module shipments were 3,326 MW, a decrease of 1.8 percent from 3,386 MW in the second quarter of 2019 and an increase of 12.6 percent from 2,953 MW in the third quarter of 2018. In-house annual silicon wafer, solar cell and solar module production capacity was 14.5 GW (including 11.0 GW of mono wafers), 9.2 GW (all for PERC cells) and 15.0 GW, respectively. Jinko Solar expects its annual silicon wafer, solar cell and solar module production capacity to reach 15.0 GW (including 11.5 GW of mono wafers), 10.6 GW (including 9.8 GW of PERC cells) and 16.0 GW, respectively, by the end of 2019.
»The late announcement of the government subsidy policy for PV projects in China earlier this year delayed a large number of projects which we believe will restart during the fourth quarter and the first quarter of 2020,« says Kangping Chen, Jinko Solar's Chief Executive Officer. »This delay is expected to drive strong domestic demand over the next six months.« With the cost of solar energy now falling below that of conventional energy sources in many markets across the globe and more aggressive clean energy targets being set by governments, »we are also very confident and optimistic that global demand will significantly increase next year. We currently estimate that global installations next year will be approximately 20 percent higher than this year.«
For the fourth quarter of 2019, the company expects total solar module shipments to be in the range of 4.2 GW to 4.4 GW. Total revenue for the fourth quarter is expected to be in the range of $1.17 billion to $1.23 billion. For the full year 2019, the company estimates total solar module shipments to be in the range of 14.0 GW to 14.2 GW.
Total solar module shipments for the full year of 2020 would be in the range of 18.0 GW to 20.0 GW. Jinko Solar expects its annual silicon wafer, solar cell and solar module production capacity to reach 20.0 GW (including 18.0 GW of mono wafers), 10.6 GW (including 800 MW N-type cells) and 22.0 GW, respectively, by the end of 2020.
© PHOTON

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