Yingli Green Energy posts major shipments increase in Q2

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Total net revenue for Q2 of 2017 amounted to $468.1 million, compared to around $188.1 Million for Q1 of 2017, and up from $379.8 million in Q2 2016, with total photovoltaic module shipments at 1,146.6 MW, compared to 370.9 MW in the first quarter of 2017 and up from 662.0MW from Q2 2016.

Gross profit and gross margin were $7.9 million and 1.7% respectively, compared to approximately $9.3 million and 5.0% respectively in the first quarter of 2017. Gross margin on sales of PV modules was 3.9%. In comparison, gross profit in Q2 of 2016 was at $69.2 million.

Operating loss was $26.7 million, compared to operating loss of around $15.7 million in the first quarter of 2017. In Q2 2016 it was at $23.8 million.

On a non-GAAP basis, earnings before interest, tax expenses, depreciation and amortization (EBITDA) was negative $4.0 million, compared to around $15,3 million in the first quarter of 2017 and $70.6 million in Q2 2016.

Net loss and loss per American Depositary Share were $43.9 million and $2.4 respectively, compared to $28 million and $1,5 respectively in the first quarter of 2017.

On an adjusted non-GAAP basis, adjusted net loss and adjusted loss per ADS were $47.6 million and $2.6 respectively, compared to $29,15 million and $1.6 respectively in the first quarter of 2017.

“Driven by the surging demand from China due to the expected feed-in-tariff (FiT) reduction after June 30, 2017, the Company's PV module shipments reached a record high of 1,146.6 MW in a single quarter in the second quarter of 2017, increasing by 209% over the first quarter of 2017, and exceeded previous guidance,” said Mr.Liansheng Miao, Chairman and Chief Executive Officer of Yingli, commenting on his firm’s financial results.

Yingli expects shipments for the third quarter to contract QoQ to between 550 and 600 MW. Subsidiary Tianwei Yingli remains locked in a dispute over debts dating back to 2011. Earlier in September, a new lawsuit was filed by a creditor over missed payments in 2015 and 16. In its quarterly financial announcement, Yingli states that: “Tianwei Yingli plans to vigorously defend its rights in court while continuing to seek a mutually beneficial solution out of court.”

Author: Frederic Brown

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