China's Shunfeng expands loss in H1 2018

Solar panels. Author: University of Salford Press Office. License: Creative Commons. Attribution 2.0 Generic

China’s Shunfeng International Clean Energy Ltd (HKG:1165) has seen its first-half (H1) loss expand to CNY 1.154 billion (USD 169m/EUR 145m) in 2018 from CNY 327.5 million a year back.

The widened loss can, to a large extent, be explained with an impairment loss on property, plant and equipment in the amount of CNY 674.4 million in January-June 2018. There was no such loss in the same period of 2017, the company noted.

Total revenue went up just slightly by 0.7% to about CNY 5 billion. The sales volume of solar products increased by 0.5% to 1,969.2 MW. The manufacture and sales of solar products and PV system installation services contributed CNY 4.1 billion combined.

At the same time, generation from solar power plants rose to 844,338 MWh from 816,610 MWh. As at end-June 2018, Shunfeng had grid-connected solar parks with a combined capacity of 1.5 GW.

The table below gives more details about the company's financial performance in January-June 2018.

Figures in CNY	H1 2018	H1 2017
Revenue	5.01bn	4.98bn
of which solar products manufacture and sales	3.89bn	3.99bn
of which solar power generation	672.8m	697.6m
of which solar plant operation and services	62.9m	58.8m
of which PV systems installation	213.1m	90.2m
of which LED products manufacture and sales	170.2m	143.6m
Adjusted EBITDA	779.1m	964m
Net loss	(1.154bn)	(327.5m)

The earnings before interest, tax, depreciation and amortisation (EBITDA) result in the table is adjusted to exclude the above-mentioned impairment loss.

(CNY 1.0 = USD 0.146/EUR 0.125)

Choose your newsletter by Renewables Now. Join for free!