UPDATE: ReneSola Posts Q2 Profit, Shares Surge

Shares of ReneSola SOL surged more than 4.9% in pre-market trading after the company posted a profit in the second quarter. The company posted a quarterly net income attributable to shareholders of $757,000, or $0.01 per American depositary share (ADS), versus a year-ago loss of $21.1 million, or $0.24 per ADS. Its revenue surged 2.6% to $387.1 million from $377.4 million. However, analysts were expecting a loss of $0.10 per share on revenue of $401.43 million. ReneSola posted an operating income of $10.6 million, versus an operating loss of $16.6 million. Total solar module shipments rose to 498.7 megawatts, from 434.1 MW in the year-ago quarter. However, total solar wafer and module shipments fell to 698.3 MW from 849.3 MW. Its net cash outflow from operating activities declined to $40.6 million, from $65.5 million. Its gross margin widened to 14.7% from 8%. Mr. Daniel K. Lee, ReneSola's chief financial officer, said, "The second quarter results demonstrate the effectiveness of our global business infrastructure to deal with the solar industry's increasingly complex trade dynamics and to position ourselves favorably for a sustainable, balanced and diversified revenue mix.” ReneSola projects Q3 total solar module shipments of 530 MW to 550 MW, and gross margin of 15% to 17%. ReneSola shares surged 4.93% to $2.98 in pre-market trading.