Hanwha energy’s second-quarter profits take a hit

Polaris solar PV net news: first-order PV makers hanwha energy (HanwhaSolarOne) reported that the 2014 components during the second quarter, gross profit margin, average selling prices and lower income, while shipments slightly increased.

The company reported, although shipments of components more 4.9% 339.5MW-323.6MW last quarter, but revenue was $ 178.5 million in 2014, representing a 2.7% decline in the first quarter.

However, hanwha energy had expected a second-quarter shipments of components to 350MW 370MW.

While Japan’s shipments of components (53%), Japan is still the biggest market in the second quarter, but China shipments increased, total shipments of 6% and less than 1% for the first quarter, causing component with an average selling price of us $ 0.67 per watt compared with last quarter’s slowdown was 0.69 dollars per watt.

Total gross margin for United Kingdom higher-priced markets such as impact of the sharp decline in shipments, United Kingdom 22% of the total shipments in the first quarter, but changed due to electricity price subsidy, utility grade decline, for the United Kingdom’s shipments accounted for 9% of the total shipments in the second quarter.

Therefore, gross profit margin fell to 9.5% compared with 13.9% in the previous quarter. No Japan shipments increased by 2%, interest rates will be lower. Manufacturing costs for the second quarter unchanged from the last quarter, to $ 0.59 per watt.

Hanwha energy, Chairman and CEO of nanshengyu (Seong-wooNam) says: “2014 second-quarter shipments increased, as well as our net loss decreased significantly. Our gross margin by lower average selling prices, reflecting the higher-priced EU market, in particular the United Kingdom’s sales decreased, and relatively low price to increase the proportion of the Chinese market. We maintain our Japan’s strong position and began shipments of several newer emerging markets. We will continue to maintain strict control over its operating expenses. ”

Contrary to its Chinese rival in the second quarter, United States shipments improved from the first quarter. Hanwha energy report for United States shipments accounted for 11% of the total shipments, 8% increased compared with the previous quarter.

The company noted that during the quarter, its shipments of PV modules to 23 countries, total shipments of components of 12% in Europe and Africa, the Asia-Pacific region accounted for 70% (Japan 53%), North American 18% (United States 11%).

Hanwha energy reports operating loss for the quarter of $ 6.4 million, while last quarter’s operating profit of $ 3.5 million. Net loss of $ 8.7 million.

Gross profit for the quarter of $ 16.9 million, and gross profit of $ 25.4 million in the first quarter.

Manufacturing upgrade

Hanwha energy pointed out that it is still on track to meet its 2014 is expected plans to expand manufacturing capacity, including the expansion of solar cell production to 1.5GW and module production to 2GW. Capital expenditures amounted to $ 13.6 million for the quarter, and 2014, spending will be $ 80 million.

The company also noted that it is expected by the end of the conversion efficiency of solar cells than 18%.

In view of the continuing commitment to automating its Assembly business, the company’s manufacturing costs are expected to decline from 8% to 10%.

Self-proclaimed silicon ingots and wafers significant cost reductions, will support the lower component costs later this year.

Due to the latest United States anti-dumping duties, said hanwha energy, for shipments to that country’s component, it will stop using the Taiwan solar cell.


The company said, its component shipments are expected to further improve in the third quarter, is expected to ship about 400MW. Said that annual shipments target shipments to 1.5GW to 1.6GW,25% to 30% associated with sister company hanwha QCELLS component processing services, than the previous goals have not changed.

Original title: hanwha energy’s second-quarter profits take a hit

Zhongmin of investment and integrated PV or promoting plant assets

Polaris solar PV net news: less than 4 months, from early May register with the August opening ceremony, zhongmin vote became a buzzword.

On August 28, zhongmin cast sign strategic cooperation agreement with the Ningxia Hui autonomous region, reached in 5 areas of cooperation, with a total investment of 100 billion yuan. In terms of new energy, zhongmin investment plans to invest 3GW-5GW photovoltaic power generation project in Ningxia, with a total investment of 30 billion to 50 billion yuan.

Zhongmin voted big layout planning of photovoltaic industry throws, also are in the field of PV Melaleuca.

For the PV industry, zhongmin significance of investment and involvement in addition to large sums of money into the PV market, “will also encourage PV from the industry side to finance the transition. “Yu Ding Wenlei, Executive Director of solar energy, airlines told the China business news reporters said in an interview.

Industry consolidation is not really happening

On August 21, led by the national organization,, 59 well-known private enterprises with registered capital of 50 billion yuan to initiate the establishment of Minsheng investment limited (abbreviated shooting) inauguration ceremony held in Shanghai.

Zhongmin voted in the new layout has been fully rendered and parsed in the energy sector, will be “the integration and operation of photovoltaic power generation project” as the starting point, was established in the new energy group. Through innovation, system innovation and policy support, especially mode innovation and mechanism innovation in features, after United play a guiding role of the market, exploring the integration of upstream industry resources. “PV reorganization since the Ministry launched access now, from across the industry, real consolidation and restructuring has not yet happened. “Ding Wenlei told reporters that” following the access system, photovoltaic or in the low-end manufacturing level, including integration of solar cell efficiency is no great breakthrough, on the conversion efficiency stagnated at the same level. “” Such a huge company into solar, from the lower station, and will affect upstream consolidation and restructuring and technological innovation, the positive effect of the industry as a whole is good. “Ding Wenlei admits,” States the adoption of such a large company to achieve the consolidation and restructuring of the industry as a whole, zhongmin investment and do business may have its weaknesses, but it can play to their financial advantage, drive the industry to achieve a new economic development. ”

Rather, the choice of the photovoltaic industry, have also caused speculation. Standing on the point the industry, Ding Wenlei believed that “the vote will come in May was of PV power plant stable profits, first and foremost policy fallback, followed by tangible assets placed there, which saw power plant investment security. ”

“Do not exclude investment and involvement in upstream entity making ends, such as cooperation and Concord, including next steps on how to promote the consolidation and restructuring, is certainly leading enterprise integration or said zhongmin’s equity holdings. “Ding Wenlei speculates.

Upstream and downstream through GCL radiation

People vote in 10 days after registration, on May 19 at the international solar industry and photovoltaic engineering exhibition, GCL Group announced that will work with zhongmin voted to establish the scale of 10 billion yuan of funds. It was voted first surfaced since the establishment of the investment plan.

Concord Group Chairman, Mr Zhu said, the Fund will invest in the future in order to develop PV and PV industry consolidation and Terminal receiving stations, natural gas distributed energy projects. Among them, the PV industry consolidation target two aspects include manufacturing and power plants.

“Through a partnership with GCL, may radiate to swim up and down. “NCR thought Lily Center for energy research and policy Director said.

“People voted in mid-may indirectly achieve consolidation and restructuring. “Ding Wenlei with similar views,” for example, deeper cooperation currently GCL solar, a stake in each other, and concord to build power stations need to procure components, zhongmin vote may pass downstream of GCL indirectly involved in the reorganization, current circumstances, cell, and module link saw people vote directly involved needed time to prove. ”

However, “people voted from power cuts and upstream polysilicon and raw materials involved, prove to be from the whole industry chain involved. “In fact,” export upstream through downstream interventions through upstream and cooperation throughout the whole industry chain of the GCL, pinching ends means it can control the middle. “Ding Wenlei with respect,” no matter how involved, zhongmin voted only on the financial side, are less likely to enter industry. ”

Rescue PV innovation mode

In fact, the trade value of financial innovation is driven people voted in the photovoltaic industry.

Photovoltaic power plant assets from 2011 and filed to almost 4 years now, but have yet to make substantive changes. “Now see from the development stage of finance leases, trusts, funds, securities, is still relatively simple. “Ding Wenlei told reporters,” we judge next PV mature must have the financial support to do so, PV is EPC drive development in the past, the next step will form a EPC+FOM pattern. Is implemented through property financing models, drive the second-step development of PV. ”

Innovation is the way to save the PV model, “must extend down from the EPC to FOM mode, that is FO and FM-led solar led solar investment fund financing, insurance, pension funds and the new model of the Sun the Sun. “Ding Wenlei believed that” PV must financial innovation to drive the industry out of its current difficulties, and for power stations or distributed or special applications, at this time, zhongmin voted today have a money advantage, may also have an advantage in financial innovation, relatively. ”

Ideal situation, future power station into a financial product. “In foreign countries has been reflected, but while China currently power stations there is no capitalization, so there is no way to achieve, such as mortgages, loans, listed, so PV needed to solve the problem of power plant assets, zhongmin cast into may move the first piece. “Ding Wenlei explained that the situation now is in wait-and-see in all areas, banks such as wait-and-see policy, market watch, wait and see, is an inspiration to realization of assets.

Zhongmin voted Chairman Dong wenbiao said that now the whole photovoltaic industrial chain from the mineral resources development, smelting, chips, components, China did the best in the world, but in the end, PV must be translated into power, but China has not done, the core reason is, power station is a capital intensive investment, a single private enterprise can’t do. Therefore, zhongmin vote first to establish new energy group, walking on two legs: first PV, bigger, stronger push the technology forward again and, secondly, to consolidate the country’s original small photovoltaic power plant. Through financial portfolio in the future, using zhongmin vote advantage of lower capital costs, creating a powerful competitive advantage. Also, it is possible to build world’s largest solar power station, providing clean energy, reduce air pollution and solve the dilemma of PV industry chain, each link in the enterprise.

Original title: investment and integrated PV or promoting plant assets

Built 170MW, Xinghua city, Jiangsu Yue Kwong complement photovoltaic projects

Polaris solar PV net news: recently, is located in the Hua Hsing Yue Kwong complementarity, Xinghua city, Jiangsu photovoltaic project was completed two months ahead, Chung, sand two grid-connected PV power plant built to generate electricity.

It is learned that the project with a total investment of 1.5 billion yuan, total capacity 170MW, Chung Town 90MW, shagou Township 80MW. Two power stations were built on the pond, the cumulative take up water of more than 5,800 acres.

According to reports, Xinghua base 170MW plant will produce 1.02 million a day, annual generating capacity of about 360 million degrees, Xinghua bases on-grid electricity prices for around 1.2 Yuan per unit, and can provide power savings of about 90,000 tons of standard coal each year, carbon dioxide emissions of more than 200,000 tons.

Meanwhile, solar power also contribute to local economic development. First, the current rent is 850 dollars per acre per year, by 5% every 5 years. Secondly, 170MW plant generation year after taxes can be formed about 60 million Yuan. In addition, eco-tourism, as far as the glowing blue light of solar-power generation equipment magnificent, is a tourist attraction in itself, Xinghua, and eco-tourism zone in northwestern forest area, thousand Island cauliflower area on the water, the sand ditch town winds, Mu which together form a new line of eco-tourism, Xinghua ecotourism more unique charm.

Fisheries and PV complement each other to achieve, project design for each unit of 25 acres, 1MW, solar panels are separated by some distance, surrounded by deep ruts. “The formation spacing between the panels, you can let the sun shine to the surface. Channel 5 m wide, 5 m deep, and cage fishing fish activity. “Chung Town fisheries station Chen Weidong said,” through investigation and feasibility studies, project base implementation of poly-culture of lobster and crab, while farmed turtles, Tiger sharks, shade-fish such as Loach, eel. Under the current model, acres of fisheries production value of up to 4000 Yuan, achieve win-win economic and ecological benefits. ”

Original title: built 170MW, Xinghua city, Jiangsu Yue Kwong complement photovoltaic projects