Solargiga’s total revenue rose 11% year on year to CNY 2,779.5 million ($391.6 million) in the nine months to the end of September, based on unaudited operating results filed to the Hong Kong stock exchange on Wednesday.
Revenue from its production business – including sales of silicon solar ingots, wafers, cells and PV modules – increased 13.3% year on year to CNY 2,768.4 million in the January-September period. External shipments by volume soared 51.5% year on year to CNY 2,660.5 million, it said.
However, the preliminary results shed little light on the future outlook of the company, which recorded a significant full-year net loss of roughly $33.08 million in 2018. Several months ago, it issued a profit warning and attributed its poor performance to problems with mono ingot and wafer production, as well as the delay of changes to China’s solar policy.
Last month, Solargiga revealed that it had finally finished building its new 600 MW monosilicon ingot and wafer production facility in Qujing, in China’s Yunnan province, following multiple delays. And now that it is gradually ramping up to full production on those new lines, its future hinges more than ever on a much-needed demand turnaround in the Chinese market, as the company has been saying for much of the past year.
The jury is still out on whether the Chinese market is now in the middle of a year-end development rush. And longer term, the outlook is equally unclear, with Eric Luo – chief executive of GCL System Integration – recently predicting annual capacity additions of just 20-25 GW in China through 2025.
Solargiga did not say when it will reveal full, audited results for the January-September period, leaving investors in limbo until the next major event on the company’s calendar: the Nov. 12 de-listing of its Taiwan Depositary Receipts from the Taiwanese stock exchange.