Longi Green Energy nearly doubled revenue in 2016
Post date: 20/03/2017 - 18:33
Chinese monocrystalline ingot, wafer and module manufacturer Longi Green Energy Technology Co., Ltd. posted revenue of RMB 11.5 billion ($1.66 billion) for the year 2016, an increase of 93.89 percent compared to the previous year. Net profit was RMB 1.547 billion ($223 million), an increase of 197.36 percent compared to 2015.
According to Longi, the improvement in performance is due to the company's effort »in breaking free from traditional business model of relying solely on solar wafer, and adding module business to drive revenue growth«. Last year, solar module sales reached RMB 5.7 billion, surpassing sales of silicon wafer (RMB 5.075 billion), and became the company's revenue »cash cow.« »The module business gross margin of 27.2 percent is far higher than that of the solar cell and polycrystalline silicon businesses, and is closing in on the 28.16 percent margin for wafer business,« says the company.
Longi will continue capacity expansion for solar cell and module business. A few projects are under way: 500 MW solar cell and module factory in India, vertically integrated ingot/wafer/cell/module, facility in Kuching, Malaysia, including 500 MW cell and module, and 2 GW cell and module manufacturing lines in Taizhou. The company targets a module production capacity of 6.5 GW at the end of 2017. Longi anticipates to deliver 4.5 GW of solar cell and module this year.
As reported, in February research firm Bloomberg New Energy Finance included Longi Solar (formerly Lerri Solar) in its Tier 1 module supplier list.