JinkoSolar loses nearly $49M in 2nd-qtr
NEW YORK (AP) — JinkoSolar Holding Co. posted a second-quarter loss Thursday, joining several other Chinese solar products makers facing dramatically lower demand, price wars and tariffs in their biggest markets.
The company lost $48.9 million (RMB310.5 million), or 55 cents (RMB3.50) per share. In last year's second-quarter, it posted net income of RMB235.3 million, or 2.23 per share.
Revenue was slashed in half to $194.9 million.
Analysts were expected a loss of 91 cents per share on revenue of $194.8 million.
Jinko, like other solar product makers, has seen revenue plummet because a glut in solar panels has dragged down prices. A one-two punch of a capacity ramp-up and slowdown in Europe, by far the world's biggest solar market, has had a dramatically negative effect on the industry.
Added to that, Chinese producers are also facing accusations that they are engaged in predatory pricing in the U.S. and Europe and that they have received unfair help from the Chinese government.
The U.S. imposes both anti-dumping tariffs on Chinese-made panels and other tariffs meant to counteract what the U.S. said are unfair government subsidies. Last month, German solar companies filed a petition with the World Trade Organization and the European Commission complaining that the Chinese were dumping solar modules in the European market.
JinkoSolar said it will stand its ground in the U.S. market and has attempted to mitigate the effects of the tariffs. In Europe, it said that it's trying to steer away from Western Europe, where the demand decline has been the worst. It added that it's enjoying some strength in Eastern Europe and other markets like Canada, Australia and Brazil.
It expects shipments of solar modules to increase slightly in the current quarter compared with the second quarter.