Trina Solar Reports 245.81% Year-on-Year Growth in Net Profits in 2020 Half-Year Results

PVTIME - Trina Solar Co., Ltd. ("Trina Solar" or the "Company"), a leading global PV and smart energy total solution provider, published half-year financial reports for 2020 on Aug 26. It shows a sharp increase in sales of PV products and PV systems, which the company attributes to its years of operational experience and effective risk control mechanisms. Total revenue for the first six months of 2020 reaches RMB 12.55 billion, a year-on-year increase of 16.56%, while net profits—belonging to shareholders of the listed company—hit RMB 493 million, up 245.81% on the previous year.

Jifan Gao, chairman and CEO of Trina Solar,
pointed out that Trina and other leading global PV companies had
achieved growth despite the global economic downturn brought about by
Covid-19 in the first half of the year. "The Chinese PV industry
continues to grow in leaps and bounds as we enter the
ultra-high-efficiency era," he said. "Companies with outstanding
sustainable development capabilities and those who are leaders in the
global PV market are thriving. Having led the way into the
ultra-high-efficiency era, Trina Solar
now plans to step up the rollout of advanced production capacity and the
application of innovative technologies in our products in order to
boost profits further." Customers would remain at the heart of the
company's operations, and the company would constantly improve the
quality of its products and services to create more value for customers
and produce even better returns for society and stakeholders, added Mr.
Gao.

Innovative and Technological Breakthroughs Demonstrate Core Competitiveness

In the first half of 2020, Trina Solar invested RMB 860 million
in R&D. The company has accumulated 852 patents, including 310
innovation patents, and has consistently maintained its investment in
the research and development of advanced technologies for
high-efficiency cells, high-power modules and smart tracking mounts,
focusing on the development of cutting-edge technologies while
simultaneously continuing to improve its mass-production capacity.

With regard to solar cells, Trina went through third-party testing by the ISFH CalLab in Germany
to confirm conversion efficiency of 23.39% in its PERC cell, which was
produced with standardized industrial equipment and was the
highest-efficiency industrial PERC cell to pass the international
ISO/IEC 17025 standard at that time. Trina is an industry leader in the
scale production of PERC cell technology, with cell efficiency on the
company's newly built PERC production line averaging 22.8%-22.9%. Trina Solar's
HJT cell achieves efficiency of 23.8% or more in mass production, and
TüV certification and marketing of its HJT products are expected
imminently. Trina's TOPCon high-efficiency cell has recorded laboratory
efficiency of 24.58%, with the highest average batch efficiency in mass
production reaching 23.8%.

With respect to PV modules, Trina's new Vertex series of high-power
module products incorporates numerous forward-looking innovations
including a 210 mm silicon wafer, high-density encapsulation and
multi-busbar (MBB) technology, keeping Trina at the forefront of the
industry as it leads the way into the ultra-high-power era. Trina's
partners in and around the supply chain are already fully equipped with
the associated production facilities.

In terms of PV systems, the company launched its new TrinaPro Mega
solution, equipped with industry-leading 500W+ ultra-high-power modules,
which established lower unit costs and will further increase power
plant returns, including higher compatibility of parts, lower system
costs and smarter services. Trina has already established a test line
for electric and electronic products as well as an outdoor empirical
model application platform, and has completed small-batch production and
product test verification processes for the AC version and module
string version of its TCU/NCU smart tracking controllers. The two
versions are compatible with various mount structures and are projected
to hit the market at the end of September and the end of December,
respectively.

Global Brand and Layout Enable Growth Despite the Downturn

Thanks to its global brand and global business layout, Trina Solar
effectively withstood the shock of Covid-19 in the first half of 2020,
not only overcoming the impact of the pandemic on production and
logistics, but actually further increasing its market share in certain
market regions. In the first half of the year, the company achieved
total module shipments of 5.84 GW, up 37% over the same period in 2019. February 2020
saw a new market breakthrough for Trina, with the release of the
world's first 500W+ module, Vertex, and in July the company went one
better with its 600W+ module to lead the industry into the 600W era. By
the release date of the half-year report, the Vertex module was already
approaching 1 GW worth of orders.

The company's TrinaPro business showed fast and steady growth, with
orders for 882 MW delivered worldwide—over 100% more than the same
period last year.

Trina Solar also signed a deal with
The Rise Fund, part of one of the world's largest alternative asset
management companies, TPG Group, for project contracts worth a total of
approximately US$700 million and covering a
total scale of 1 GW. Trina's domestic power plant systems business
continues to grow steadily, with close to 1 GW worth of PV price-bidding
and price-parity projects won during the reporting period, a
year-on-year increase of over 25%.

Further Scaling Up of Global Advanced Production Capacity and Business Layout

Within the industry, Trina Solar is an
active proponent of ultra-high-power module products based on
large-sized cells, aiming to drive home its advantages in terms of
large-scale advanced module production capacity for large cells. The
company forecasts total cell production capacity of around 26 GW by the
end of 2021, of which the large 210 mm cells are expected to account for
some 70%. All of the module production capacity due to be built from
the second half of 2020 onwards will be for ultra-high-power modules,
with total module production capacity forecast to reach around 22 GW by
the end of 2020 and around 50 GW by the end of 2021.

The company also aims to further consolidate its industry-leading
advantages in the fields of large high-efficiency cells and modules,
with plans to promote upstream-downstream interconnectivity in the
supply chain based on the "600W+ Photovoltaic Open Innovation Ecological
Alliance" and to accelerate the transformation of the "supply chain" to
the "value chain". Drawing on the strengths of its global brand and
channels, as well as advanced module product capacity and the
coordinated development of the companies in the open innovation
eco-alliance, Trina is well set to offer customers maximum value by
providing them with higher-value integrated solutions and outstanding
professional services.

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