China’s JA Solar Holdings Co Ltd (NASDAQ:JASO) saw its third-quarter 2016 (Q3) net profit drop by 82.9% on the year to CNY 44.1 million (USD 6m/EUR 6.4m).
The solar products maker’s bottom line went down from CNY 164.1 million in the second quarter of 2015.
The company’s release showed that it shipped 1,240.9 MW of cells and modules entirely to external customers, in line with July-September forecasts. Q3 sales were up by 10.1% year-on-year and 0.9% sequentially. Modules and module tolling accounted for 1,200 MW of the total shipments.
China brought 32% of the external shipments, as compared to 53.1% a year back and 63.9% the previous quarter. “We executed our strategy to redirect solar product sales to several stronger international markets, as shipments to the domestic market of China declined significantly after demand was pulled forward into Q2,” Chairman and CEO, Baofang Jin, said.
Details on JA Solar’s Q1 performance are available in the table:
|Results in CNY
|Earnings per diluted ADS
JA Solar guided for Q4 cell and module shipments of 1.2 GW-1.3 GW, none of which will go for own solar power projects. The lack of internal PV usage led to a slashed guidance for full-year shipments of 4.9 GW-5 GW versus the initially projected 5.2 GW to 5.5 GW.
The photovoltaics (PV) producer currently has approximately 50 MW of downstream projects under construction. It intends to develop another 150 MW to 200 MW in the coming year, the CEO said.
As of end-September, JA Solar had cash and cash equivalents of CNY 2 billion and total working capital of CNY 1.5 billion. Total short-term borrowings were CNY 2.9 billion and total long-term borrowings were CNY 3.1 billion.
(CNY 1.0 = USD 0.145/EUR 0.136)
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