Consistent and growing demand for high efficiency mono products in its shipment mix has encouraged JinkoSolar to further invest in the technology which it expects to comprise almost all of its 18 GW to 20 GW shipments guided for 2020. (Source: JinkoSolar Holding Co., Ltd.)
- Higher module shipments in Q3/2019 helped JinkoSolar report 11.8% more revenues over last year
- Around 75% of company’s shipments of 3,326 MW comprised high-efficiency mono-based products
- Net income for the company went up too with $51 million, increasing from $28 million in Q3/2018
- Management has guided for 2019 shipments in the range of 14 GW to 14.2 GW, and for 2020 it expects close to 35% YoY increase in shipments going up to 20 GW
JinkoSolar Meets Revenue & Shipment Guidance In Q1/2020 Despite COVID-19 Causing Delays; Senses Opportunity For Few Key Players To Expand Market Share While Reiterating 2020 Shipment Guidance
(16. June 2020)
Coronavirus Pandemic Notwithstanding, JinkoSolar Sees 18 GW To 20 GW Solar Module Shipments In 2020 With Mono Products Comprising Almost 100% Share As Company Sails Through 2019
(14. March 2020)
‘Incredibly Strong’ Demand Spurs JinkoSolar To Increase 2019 Solar Module Shipment Guidance To Up To 14.4 GW; 2020 Shipment Outlook Unchanged At 18 GW To 20 GW
(10. March 2020)
JinkoSolar Holding Co., Ltd. ticked the right boxes for its third quarter financial results as it improved the numbers on annual basis and reported record high gross profit of $223 million, while a year back it was $145 million.
The vertically integrated Chinese solar module supplier’s revenues for the quarter increased 11.8% YoY to $1.05 billion thanks to higher module shipments. Higher ASP of solar modules and increase in the sales of multi-crystalline silicon wafers also helped improve sequential revenues by 8.2% (see JinkoSolar Continues Strong Run In Q2/2019).
As compared to $28 million net income earned in third quarter of 2018, JinkoSolar’s took it up to $51 million this year.
JinkoSolar’s shipments went up 12.6% YoY to 3,326 MW meeting the guidance of 3.2 GW to 3.5 GW for the quarter, around 75% of which were mono-based high efficiency products. An increase in shipping costs due to higher percentage of shipments to overseas markets impacted the company’s operating expenses that accounted for 12.8% of total revenues during the reporting period, compared to 12.1% in Q3/2018.
In November 2019, JinkoSolar had already announced expansion of its high efficiency mono wafer production by an additional 5 GW at its new facility in Leshan, Sichuan province in China, which would take its overall mono wafer manufacturing capacity to 18 GW by 2020 (see JinkoSolar Adding 5 GW More Mono Wafer Capacity).
By the end of 2019, it expects the annual silicon wafer production capacity to reach 15 GW (including 11.5 GW mono wafers), 10.6 GW solar cell (9.8 GW PERC cells and 800 MW N-type cells) and 16 GW solar module capacity.
Expanding it further, JinkoSolar hopes to report annual silicon wafer capacity to reach 20 GW (18 GW mono wafers and 2 GW multi-wafer), 10.6 GW solar cell (9.8 GW PERC cells and 800 MW N-type cells), and 22 GW solar module capacity by the end of 2020.
JinkoSolar management has guided for Q4/2019 shipments in the range of 4.2 GW to 4.4 GW which will earn it reveneus of $1.17 billion to $1.23 billion with 18.5% and 20.5% gross margin. For the entire year 2019, the module maker has forecast total module shipments between 14 GW to 14.2 GW.
The management has also provided its expected shipment range for 2020, anticipating 18 GW to 20 GW comprising almost entirely of mono based high efficiency products and representing an approximately 35% increase over its guided 2019 shipments. This confidence stems from the expectation of a large number of projects that were delayed due to the late announcement of Chinese government’s subsidy policy to restart in Q4/2019 and Q1/2020.
“This delay is expected to drive strong domestic demand over the next six months, especially since China’s national renewable energy information management center recently announced that it is accelerating the formulation of subsidy policies for PV projects in 2020,” said JinkoSolar CEO Kangping Chen.
Roth Capital Partners’ Philip Shen pointed out, “JKS traditionally releases full year guidance on its Q4 call, typically in February or March, but decided to release a quarter earlier to signal its confidence in 2020. JKS provided 2020 shipments guidance of 18-20GW (mp: 19GW) vs. prior ROTHe 16GW, which is 19% better than expected.”