Rising sales bolster JinkoSolar's Q3 profit by 183% Y/Y

Chinese solar module maker JinkoSolar Holding Co Ltd’s (NYSE:JKS) third-quarter net profit zoomed by 183.1% year-on-year thanks to solid growth in shipments and revenues.

On a quarter-on-quarter basis, net profit attributable to ordinary shareholders came at CNY 549.8 million (USD 75.5m/EUR 75.9m) against a net loss of CNY 623.3 million. Adjusted to exclude the impact of a change in the fair value of the company’s convertible senior notes and share-based compensations expenses, JinkoSolar’s bottom line turned to a CNY-427.5-million profit from a CNY-1.5-million loss a year back, the company’s financial report showed on Friday.

The Chinese company shipped 10,856 MW in the July-September, including 10,286 MW of solar modules and 570 MW of cells and wafers. The strong demand, both in China and globally, led to this 117.4% year-on-year increase in shipments, which, in turn, pushed total revenues up by 127.8%. Consequently, the gross margin improved to 15.7% from 15.1%.

“We are pleased to announce better-than-expected results for this quarter despite continued rises in raw material prices, power rationing measures imposed on our manufacturing facilities and an earthquake in Sichuan Province where one of our manufacturing facilities is based,” said CEO Xiande Li.

JinkoSolar is in the process of expanding its production and expects its annual manufacturing capacity for mono wafers, solar photovoltaic (PV) cells and modules to reach 65 GW, 55 GW and 70 GW, respectively, by the end of 2022.

The Chinese company anticipates shipping between 13 GW and 15 GW of solar modules in the last quarter of the year. Its forecast for module shipments in 2022 ranges between 41.5 GW and 43.5 GW.

(CNY 1.0 = USD 0.137/EUR 0.138)

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