JinkoSolars net profit more than tripled last year to CNY 673 million ($108.5 million) as revenues climbed 41% to CNY 9.98 billion ($1.61 billion).
The stratospheric results reflected the Chinese companys record-high solar module shipments, which reached nearly 3 GW last year, including 520.4 MW used in the groups own downstream projects. JinkoSolars total solar product shipments to third parties also broke previous records with a year-on-year increase of 44.2%, reaching 2,787.1 MW (consisting of 2,423.2 MW of solar modules, 229.6 MW of silicon wafers and 134.3 MW of solar cells).
According to JinkoSolar CEO Kangping Chen, revenue streams expanded as costs continued to improve, allowing the company to achieve more than $100 million in net income for the year.
Our rapidly growing downstream business, expanding geographic presence and industry-leading products will continue to support our growth as we work towards our goal of transforming into a one-stop energy solutions provider," Chen added.
Looking at JinkoSolars fourth-quarter performance, the company reported a near 50% year-on-year increase in net profit to CNY 244.7 million ($39.4 million) on revenue of CNY 2.97 billion ($478.9 million), which rose 35.8% from the fourth quarter of 2013.
"We closed out the year on a very strong note," Chen said, adding that module shipments reached a record high of 1,078.3 MW which, including 339.1 MW designated for the companys own downstream business.
"Our downstream business continued to gain momentum with electricity revenues from solar power projects reaching CNY 80.4 million in the fourth quarter of 2014, representing an increase of 68.6% sequentially, Chen added. 270 MW of projects were completed during the quarter of which 150 MW were connected to the grid. This brings the total capacity of connected JinkoSolar power projects to 503 MW.
The chief exec said a the number of megawatts connected to the grid was lower than initially anticipated due to a cold winter and a slower grid connection process at the end of the year, but added that the group now expect to make up for it by connecting approximately 360 MW of projects in the first half of 2015.
JinkoSolar will continue to diversify its market presence this year in view of an anticipated 15% to 20% growth in global solar demand and that despite falling oil prices.
The price of oil, we believe, has a limited impact on solar fundamentals as it is primarily used for transportation rather than power generation in most of the key solar markets, Chen pointed out. And it is important to remember that mounting concern over the environment has been one of the driving factors behind increased solar demand in many key markets, China in particular."
JinkoSolar estimates module shipments of between 710 MW and 780 MW in the first three months of the year, including 550 MW to 600 MW of shipments to third parties and 160 MW to 180 MW for its own downstream projects.
For the full year, the company expects module shipments of between 3.3 GW and 3.8 GW, including 2.7 GW to 3 GW to third parties. It is also anticipating newly added PV power project development to reach between 600 MW and 800 MW.