Xinte Energy Grew 2020 Annual Revenues By Over 54%

• Xinte Energy's annual revenues improved in 2020 with a total of RMB 13.5 billion reported
• Polysilicon segment added RMB 3.98 billion to the group revenues thanks to new capacity release of 36,000 tons in 2020
• Management said production capacity expansion of 100,000 tons in Baotou is on track to begin in H1/2021

Part of the TBEA Group, Chinese polysilicon supplier Xinte Energy Co., Ltd., achieved a 54.85% annual increase in its revenues for the year 2020 with a total of RMB 13.5 billion, thanks mainly to the capacity release of its 36,000 ton polysilicon project last year, along with the increase in product sales and increase in the scale of its engineering and construction contracting (ECC) business for wind and solar power plants. Group gross profit increased by 16.81% YoY.

The polysilicon production business contributed a total of RMB 3.98 billion to the group revenues, going up by 78.76% from RMB 2.23 billion it reported for the year 2019.

During the reporting period, Xinte Energy sold 86.91% more polysilicon on annual basis amounting to a total of 66,300 tons. Going forward, the management is confident of stable sales for this segment due to the long term supply deals, between 2021 and 2025, it has signed with JA Solar and LONGi Green Energy Technology, for 97,200 tons and 270,000 tons respectively (see LONGi Contracts Xinte For 270,000 MT Polysilicon).

Since then, the company has bagged more deals with Wuxi Shangji for 70,350 MT, and with Qinghai Gaojing for 152,400 MT (see Xinte Energy Secures 152,400 Tons Polysilicon Supply Deal).

The company said it will also further reduce its production costs while enhancing quality and increasing profitability. Production expansion is also on the cards for a total of 200,000 high-purity polysilicon fab in Baotou City of China, to be added in 2 phases of 100,000 MT (see Xinte Energy To Build 200,000 Tons Polysilicon Fab).

Construction on phase I with 100,000 MT capacity is scheduled to start in H1/2021, and is planned to come online within 18 to 24 months.

"With the improved competitiveness of China's polysilicon industry, polysilicon manufacturers move their production lines to China with a well-defined oligopoly competition pattern, and companies that do not have advantages in cost and quality, will find it difficult to have sustainable development in the industry in the medium and long term," stated the management.