ReneSola announced its financial results for the second quarter of 2015. Although the PV module shipment decreased 35.1% from the first quarter of 2015, and the net revenue decreased 23.1% sequentially, the 16.5% gross margin was higher than 1Q15 and 2Q14. ReneSola aims to deepen its global penetration in solar market.
ReneSola sold 70MW of solar portfolio in UK, and the downstream business started to contribute to the company. In addition, the company is scaling back their module business, and have been rapidly building new solar portfolio comprised of selective high-quality projects mainly from attractive markets including the U.S., the UK, and Japan. The downstream business would be the major contributor to ReneSola’s financial performance.
Second Quarter 2015 Financial and Operating Highlights
- Total solar module shipments were 322.0MW, representing a decrease of 35.1% from Q1 2015. Total solar wafer and module shipments in Q2 2015 were 603.7MW, compared to 691.5MW in Q1 2015, and 698.3MW in Q2 2014.
- Net revenues were US$268.4 million, representing a decrease of 23.1% from US$349.0 million in Q1 2015, and a decrease of 30.7% from US$387.1 million in Q2 2014.
- Gross profit was US$44.4 million with a gross margin of 16.5%, compared to gross profit of US$36.7 million with a gross margin of 10.5% in Q1 2015, and gross profit of US$56.9 million with a gross margin of 14.7% in Q2 2014.
- Operating income was US$10.5 million with an operating margin of 3.9%, compared to an operating loss of US$9.5 million with an operating margin of negative 2.7% in Q1 2015, and operating income of US$10.6 million with an operating margin of 2.7% in Q2 2014.
- Net loss attributable to holders of ordinary shares was US$2.3 million, representing basic and diluted loss per share of US$0.01 and basic and diluted loss per American depositary share ("ADS") of US$0.02, compared to basic and diluted loss per share of US$0.09 and basic and diluted loss per ADS of US$0.18 in Q1 2015.
- Cash and cash equivalents plus restricted cash totaled $185.1 million as of the end of Q2 2015, compared to US$228.1 million as of the end of Q1 2015, and US$218.8 million as of the end of Q2 2014.
- Net cash outflow from operating activities was US$11.6 million compared to net cash outflow from operating activities of US$9.0 million in Q1 2015, and net cash outflow from operating activities of US$40.6 million in Q2 2014.
