Chinese photovoltaic (PV) manufacturer JinkoSolar made a non-GAAP net loss of RMB 247.9m ($38.9m) in the third quarter of 2011, after having made a second quarter income of RMB286.5m ($45m) in the previous three months and positive RMB259.5m ($41m) in the third quarter 2010.
The company recorded third quarter revenue of RMB1.8bn ($279.2m), a 23.8 per cent increase on the same period last year but a 21.4 per cent decrease on the second quarter. But operating margin was negative at 11.1 per cent after being a positive 18.1 per cent in the second quarter and 26.4 per cent in the same period last year.
JinkoSolar shipped modules and components with a combined capacity of 257.7MW during the three months, up slightly form 254.1MW in the second quarter and up 91.2 per cent on the same period in 2010 when it shipped 134.8MW.
Kangping Chen, CEO of JinkoSolar, said, 'The third quarter of 2011 was clearly a challenging period for both our company and the industry as a whole as the uncertain economic environment throughout Europe pressured demand and the typical seasonal upturn in Germany failed to materialise. During the quarter, we came in line with the high-end of our revised guidance for total module shipments and revenue, but significant pricing pressure in the market drove down average selling prices of solar products faster than we anticipated while the polysilicon prices did not fall as rapidly.'
He added, 'Total product shipments hit a new record of 257.7MW, which would not have been possible were it not for the strong relationships and support we have maintained among our customers around the world. Despite the situation in Europe, we intend to further grow our market share in the region with our mature sales team and solid market presence. We will also continue to build our teams in the US and China, further expand our geographic footprint by establishing an on-the-ground presence in Canada and Australia, and explore other emerging solar markets such as India and South Africa.'
Fellow Chinese manufacturers Trina Solar and LDK Solar have also recently announced quarterly results that featured squeezed margins and losses.