JA Solar Earnings Cheat Sheet: Sun Shining Bright on Double-Digit Profit and Revenue Growth

JA Solar Holdings, Co., Ltd. (JASO) reported net income above Wall Street’s expectations for the most recent quarter. JA Solar Holdings Co., Ltd. designs, manufactures and markets high-performance solar cells, which are made from specially processed silicon wafers.

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JA Solar Holdings, Co Earnings Cheat Sheet for the First Quarter

Results: Net income for JA Solar Holdings, Co., Ltd. rose to $71.8 million (41 cents/share) vs. $38.4 million (24 cents/share) in the same quarter a year earlier. A rise of 87% from the year earlier quarter.

Revenue: Rose 99.2% to $556 million YoY.

Actual vs. Wall St. Expectations: JASO beat the mean analyst estimate of 32 cents/share. Estimates ranged from 19 cents per share to 40 cents per share.

Quoting Management: “Despite the seasonally weaker first quarter and uncertainties surrounding Italy’s solar policies, our first quarter performance illustrates that our strategic partners continue to recognize our clear market leadership on costs and technology,” said Dr. Peng Fang, CEO of JA Solar. “Shipments in the first quarter were slightly below our previously announced estimates, primarily due to factory shutdowns during the week-long Chinese New Year holiday which had a stronger impact than anticipated on solar cell production output and shipping schedules. However, overall shipments for the quarter remained more or less in line with production volume. This sustained demand for our products highlights the success of our strategy of developing long-term strategic partnerships with the leading solar players across the global solar markets. Underpinning this is our unique position as the industry’s low cost leader, and we are confident that in the future we can achieve even greater production efficiencies and drive costs down further.”

Key Stats: The company has enjoyed double-digit year-over-year revenue growth for the past five quarters. Over that span, the company has averaged growth of more than threefold, with the biggest boost coming in the first quarter of the last fiscal year when revenue rose 723.4% from the year earlier quarter.

Competitors to Watch: SunPower (NASDAQ:SPWRA), Total (NYSE:TOT), LDK Solar (NYSE:LDK), ReneSola (NYSE:SOL), JinkSolar (NYSE:JKS), Yingli Green Energy (YGU), China Sunergy (NASDAQ:CSUN), First Solar (NASDAQ:FSLR), Evergreen Solar (NASDAQ:ESLR), Canadian Solar (NASDAQ:CSIQ)Solarfun Power Holdings Co. Ltd. (NASDAQ:SOLF) and Suntech Power Holdings Co. Ltd. (NYSE:STP)

Stock Performance: Shares of JASO are up this morning to $6.29 per share, up 3%, from the previous close of $6.10.


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