JinkoSolar First Quarter 2013 Results Beat Expectations on Increasing Solar Markets

released fiscal first quarter 2013 earnings pre-market Friday and beat analyst estimates. The company reported first quarter EPS of $(0.56), beating estimates of $(1.66), and shares jumped 9.33 percent during morning trading. Total solar product shipments grew 36 percent in the first quarter from the same period a year ago to 338.6 megawatts. Consequently, total revenues had a 9.7 percent increase year over year to 187.3 million. Chief Executive Officer Kangping Chen said the first quarter results demonstrated the company's geographic expansion along with improved average selling prices and competitive cost structure. Gross margin increased to 12.7 percent compare to 0.7 percent same period last year. "We believe that this quarter's results demonstrate the effectiveness of the measures we have taken to diversify our customer base and the improvements in our operational efficiency in a rapidly changing solar power environment," he said. In addition, gross profit grew to $23.7 million compared to $1.13 million in the first quarter of 2012. Loss from operations decreased significantly to $2.7 million compared with a loss from operations of $49.17 million in the first quarter of 2012. Accordingly, total operating expenses decreased 47.6 percent, primarily due to the non-cash charges recognized by the company last quarter. Following the unveil of the newest series of 'Eagle II' solar modules last month, the company expect to revolutionize the way in which solar modules are managed and optimized. In terms of globe expansion, JinkSolar will continue to seek out opportunities in emerging solar markets such as Japan, US, South Africa, and India. With considerable presence in Japan, the company expects it to account approximately 15 percent of total product shipment in the coming quarters. Looking forward to second quarter of 2013, further increase in solar module shipments are expected to be in the range of 450 MW to 470 MW.