LONGi Forecasts Net Loss in H1 2024 Yet Positive on BC Products

PVTIME – PV giant LONGi (601012.SH) announced its primary operating data estimated from January to June 2024.

It is calculated that the net loss attributable to shareholders of listed companies in the first half of the reporting period will be 4.8 billion to 5.5 billion yuan (approximately 659.52 million to 755.7 million US dollars), a year-on-year decrease of 159.93% to 152.3%, compared with 9.178 billion yuan (approximately 1.261 billion US dollars) in the first half of 2023. And its net loss will be 4.839 billion to 5.539 billion yuan (approximately 664.88 million to 761.1 million US dollars) after deducting non-recurring gains and losses.

In the first quarter of 2024, LONGi’s net loss was 2.35 billion yuan (approximately 322.89 million US dollars), then the loss in the second quarter is calculated to be 2.45 billion to 3.15 billion yuan (approximately 336.63 million to 432.81 million US dollars).

The losses were mainly due to the decreased prices of various core products of LONGi, as well as the reduction of profits earned via investments in silicon manufacturing companies during the reporting period, with an estimated reduction in the amount of inventory impairment of 4.5 billion to 4.8 billion yuan (approximately 618.3 million to 659.52 million US dollars).

In addition, LONGi claims to be focusing on the second generation of BC products with massive investment. According to its plan, the total production capacity of BC I and II will reach 70GW per month by the end of 2025, with 50GW of BC II and 20GW of BC I. Most of its plants producing PERC will be rebuilt and reconfigured to produce BC II products. Then all of LONGi’s factories in China will be upgraded to produce BC products by the end of 2026, except for some of its overseas factories. In addition, LONGi has secured an order for 1GW of Hi-MO9 modules in less than 2 months since the launch of this BC product in early May 2024, and a further 5GW of the same modules is under negotiation, according to LONGi.

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