Chinese solar PV wafer producer Zhonghuan Semiconductor released its financial report of the third quarter on October 25, showing an operating revenue of RMB 29.089 billion in the first three quarters, a YOY increase of 117%; The net profit was RMB 3.277 billion, a YOY increase of 226%; The basic earnings per share was RMB 0.91 yuan, compared with RMB 0.3 yuan in the same period last year. The operating revenue in the third quarter was RMB 11.445 billion, a YOY increase of 142% and a MOM increase of 12%; The net profit was RMB 1.282 billion, a YOY increase of 316% and a MOM increase of 37%.
In terms of profitability, though the gross profit margin in the third quarter decreased by 1.74% to 19.09% compared with previous one, the net profit margin increased by 0.92% to 12.16%. Affected by this, the net interest rate in the first three quarters increased by 0.58% to 11.27%, compared with 8.44% in the same period last year. The gross profit margin in the first three quarters decreased by 0.6% to 20.02% compared with the first half of the year
The photovoltaic industry has ushered in a golden period of development due to global goal of reaching carbon neutrality, which has brought the company’s performance to a higher level, and the installed demand of photovoltaic power stations has increased significantly, resulting in a sharp increase in the revenue scale of the company’s silicon wafer business and module business. Although the price of upstream silicon material continues to rise, the profitability of the enterprise is significantly improved compared with last year due to the strong bargaining power of silicon wafer and the industry-leading production process of the company.
The company’s technical capacity in the field of 210mm large-size silicon wafers continues to improve. In the field of photovoltaic modules, the company accelerated the introduction of shingled technology to its G12 wafer production. Zhonghuan Semiconductor also actively promotes the global cell and module manufacturing system and the market development business of large scale and distributed power stations in the overseas business field.
