Hareon forecasts 2016 net loss of up to US$69.8 million

The preliminary figures contrast sharply with the net profit of 96.08 million yuan it posted in 2015.

It attributed its poor results to a “significant decline” in the solar market in the second half of 2016.

It also said that gross margins on its main products fell, partly due to foreign-exchange losses.

In addition, ongoing efforts to restructure its business and shift away from the provision of EPC services contributed to the expected loss, according to a statement to the Shanghai stock exchange.

The company — based in Jiangyin, Jiangsu province — recorded a net profit of 45.29 million yuan ($6.68 million) in the January-September period, down 9.5% from the preceding year.

Its operational solar assets in China stood at 220.49 MW by the end of the third quarter. It did not reveal full-year capacity figures in its most recent online statement.

Last February, Hareon emerged unscathed after United Photovoltaics scrapped a $90 million lawsuit against the company over an ill-fated deal to build 930 MW of solar in China.

In July, a subsidiary of the Hareon group unveiled plans to invest $40 million in the construction of 160 MW of PV in India, in collaboration with Keshav Power.

And in August, the company announced plans to invest 51 million yuan in a new solar generation unit and a construction subsidiary, in addition to another 10 million yuan investment in an R&D centre in Wuxi, Jiangsu province.