PVTIME – Silicon manufacturer Daqo delivered marked improvements in operating performance in Q3 2025.
The firm recorded operating revenue of RMB 1.773 billion and a net profit of RMB 73 million attributable to shareholders, marking a year-on-year and quarter-on-quarter return to profitability. Net operating cash flow also turned positive, with polysilicon output reaching 31,000 tonnes and sales reaching 42,000 tonnes, resulting in a production-to-sales ratio of 138% and boosting asset operational efficiency.
In terms of costs, Daqo made significant progress in reducing costs and improving efficiency. The Q3 polysilicon unit cost was RMB 46.04 per kg, with a unit cash cost of RMB 34.63 per kg. Both of these figures have fallen significantly year-on-year and quarter-on-quarter, enhancing cost competitiveness.
Financially, Daqo maintained a sound structure. Its Q3 asset-liability ratio of 8.20% is low for the industry, and cash reserves, including monetary funds, time deposits, structured deposits, and bank acceptance bills, reached RMB 13.012 billion. This supports navigation through industry cycles and the capture of market opportunities.
In response to sharp shipment growth in Q3, Daqo proactively adapted to market changes by seizing the price recovery window, adjusting production and sales strategies flexibly, and strengthening production-sales coordination. This drove growth in both volume and price, thereby improving performance. Three key factors reduced unit costs: optimised supply chain procurement and cost control; improvements to the production process to reduce material and energy use; and higher production-to-sales ratios, which lowered fixed cost allocation to sales.
Taking into account market dynamics, prices, trends and routine maintenance, Daqo expects Q4 polysilicon output to be between 39,500 and 42,500 tonnes, and full-year 2025 output to be between 121,000 and 124,000 tonnes.
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