Hanwha SolarOne's Q3 net loss deepens

Nov 12, 2013 - Chinese solar equipment maker Hanwha SolarOne Co Ltd (NASDAQ:HSOL) today said its net loss for the third quarter of 2013 had widened to CNY 460.4 million (USD 75.6m/EUR 56.5m) from CNY 322.1 million a year before.

The bottom line result in the second quarter of the year was a loss of CNY 166 million. The quarter-on-quarter difference is the result of CNY 283.4 million in total non-cash charges from valuation allowance against deferred tax assets in the reporting period, Hanwha SolarOne explained.

Non-GAAP loss was CNY 401.6 million in the July-September quarter as compared to a CNY-301.9-million deficit a year ago.

The company saw its gross margin turn to positive 5.1% from negative 5.8% in the same quarter of 2012. Average selling prices stood at CNY 4.16 per watt, slightly down from CNY 4.22/watt a year back.

Hanwha SolarOne’s revenue amounted to CNY 1.14 billion, up from CNY 966 million. The Japanese market accounted for 46% of the total sales. The other three most important markets for the company were the US, China and South Africa with shares of total revenue of 12%, 11% and 10%, respectively.

Third-quarter shipments reached 317.8 MW, in line with SolarOne’s guidance of 300 MW-325 MW. The result compares to 321.2 MW in the second quarter of 2013 and 239.5 MW in the third quarter of 2012.

At the end of September, the company had CNY 1.05 billion in cash and cash equivalents and CNY 591.4 million in net working capital. Its short-term bank borrowings were CNY 1.27 billion, while long-term debt was CNY 3.61 billion.

(CNY 10 = USD 1.642/EUR 1.226)

Choose your newsletter by Renewables Now. Join for free!