JinkoSolar Holding, a global solar module manufacturer, has released its impressive financial results for the second quarter ending on June 30, 2023, along with exciting expansion plans.
Financial Highlights for Q2 2023
JinkoSolar said its total revenues surged to RMB30.69 billion ($4.23 billion), marking an outstanding 31.5 percent sequential increase and a remarkable 62.9 percent year-over-year rise.
The company has revised its module shipment guidance for 2023, now aiming for a range of 70 to 75 GW.
Quarterly shipments reached a substantial 18,613 MW, with solar modules accounting for 17,763 MW and cells and wafers making up 850 MW. This performance showcased a notable 28.5 percent sequential growth and an impressive 76.7 percent year-over-year surge.
JinkoSolar reported an impressive gross profit of RMB4.78 billion ($659.6 million), indicating an 18.4 percent sequential increase and a remarkable 72.5 percent year-over-year growth.
The company achieved a gross margin of 15.6 percent, a slight decrease from 17.3 percent in Q1 2023, but a significant improvement from 14.7 percent in Q2 2022.
N-type module shipments soared to about 10.4 GW during the second quarter, establishing JinkoSolar as the first in the industry to deliver such a substantial volume of N-type modules in a single quarter.
The mass production efficiency of N-type TOPCon cells reached an impressive 25.5 percent, resulting in N-type module power output of approximately 580 watts peak (wp), surpassing the output of equivalent P-type modules by 25-30 wp.
Net income for the quarter totaled RMB1.31 billion ($180.1 million), displaying substantial growth compared to Q1 2023 figures and a remarkable recovery from a net loss in Q2 2022.
Market Challenges and Optimistic Outlook
JinkoSolar highlighted the challenges posed by a significant decline in polysilicon prices during the second quarter, causing volatility in module prices and a slowdown in customer orders, impacting module demand. However, the company remains optimistic that demand will rebound as prices stabilize.
The company anticipates N-type modules accounting for approximately 60 percent of total module shipments due to the growing global demand for N-type products. JinkoSolar plans to invest in N-type capacity expansion, both in terms of technology and cost competitiveness. The company aims to reach an annual production capacity of 85.0 GW for mono wafers, 90.0 GW for solar cells, and 110.0 GW for solar modules by the end of 2023. Of this capacity, N-type products are expected to make up over 75 percent.
Bold Expansion Plans
JinkoSolar announced its major production base project, the Shanxi Integrated Base, with an impressive capacity of 56 GW for integrated wafer-cell-module production. Set to become the largest N-type integrated production facility in the industry, this expansion demonstrates JinkoSolar’s commitment to efficient technology, competitive products, reduced investment costs, operational efficiency, and intelligent manufacturing.
Moreover, the company’s 1 GW capacity expansion project for N-type modules in the U.S. is on track for production commencement in September 2023. JinkoSolar aims to solidify its position with an overseas industrial chain network that encompasses integrated production capabilities from wafer and cell to module, underpinned by traceability and strong product competitiveness.
With further overseas N-type capacity expansion expected in the latter half of 2023, JinkoSolar targets an integrated production capacity of over 12 GW overseas by the end of the year, with N-type production comprising over 75 percent of this capacity.