WUXI, CHINA: Suntech Power Holdings Co. Ltd, the world's largest producer of solar panels, announced financial results for its fourth fiscal quarter and full year ended December 31, 2011.
Q4 2011 highlights
* Total net revenues were $629 million.
* Total PV shipments decreased 9.7 percent sequentially and increased 3.2 percent year-over-year.
* Gross profit margin was 9.9 percent.
* Net loss attributable to holders of American Depository Shares (ADS) was $136.9 million, or $0.76 per diluted ADS.
* Improved accounts receivable and inventory by $489.6 million from the third quarter of 2011.
* Generated positive operating cash flow of $240.1 million.
Full year 2011 highlights
* Total net revenues were $3,146.6 million in 2011.
* Total PV shipments were 2,096MW, representing 33.3 percent growth year-over-year.
* Gross profit margin was 12.3 percent.
* Net loss attributable to holders of ADSs was $1,006.7 million, or $5.58 per diluted ADS.
* Generated positive operating cash flow of $80.1 million.
* Suntech achieved 2.4GW of PV cell and module capacity, and 1.6GW of silicon ingot and wafer capacity.
"In the fourth quarter, our customers continued to demonstrate their preference to work with global suppliers that are dedicated to delivering high performance and superior quality solar panels," said Dr. Zhengrong Shi, Suntech's chairman and CEO. "With strong demand ahead of subsidy reductions in multiple markets, we again exceeded our shipment guidance and met our gross profit target for the fourth quarter of 2011."
"In 2011, we continued to invest in our customer service capabilities and built on our foundation as a leading global brand. This was recognized in the EuPD's independent survey amongst end-customers in Germany, France and Italy that selected Suntech as the first China-based company to receive the Top PV Brand award. We are committed to driving further product and service innovation in the industry to ensure we continue to deliver the best value proposition to our customers.
"Looking into 2012, we expect excess capacity and further policy adjustments in Europe and the US will result in a sustained period of intense competition in the solar industry. In this context, our top priorities are to continue to drive down our production cost, invest in channel development and bring to market the most competitive product offerings. These actions will help us maintain our position as the leading supplier of solar products."