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JinkoSolar (JKS) Q4 Earnings Miss, Sales Beat Estimates

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JinkoSolar Holding Co., Ltd. (JKS - Free Report) reported fourth-quarter 2017 earnings per American Depositary Share (ADS) of 12 cents which missed the Zacks Consensus Estimate of 23 cents by 47.8%. The reported figure also declined 81.8% from the year-ago quarter earnings of 66 cents per ADS.

 

JinkoSolar Holding Company Limited Price, Consensus and EPS Surprise

 

JinkoSolar Holding Company Limited Price, Consensus and EPS Surprise | JinkoSolar Holding Company Limited Quote

 

Total Revenues

In the quarter under review, JinkoSolar’s total revenues of $976.3 million surpassed the Zacks Consensus Estimate of $913 million by 6.9%.  The top line also increased 32.4% on a year-over-year basis.

The year-over-year top-line improvement was mainly attributable to increase in solar module shipments, which was partially offset by a decline in average selling price of solar modules.

Quarterly Highlights

In fourth-quarter 2017, total solar product shipment was 2,481 megawatts, up 43.1% year over year. Shipments also improved 4.5%, sequentially.

JinkoSolar’s total operating expenses declined 1.2% year over year to $99 million, owing to a disposal gain in property, plant and equipment, which was partially offset by an increase in shipping costs.

The company incurred $8.5 million as interest expenses, down 25.5%. The decline can be attributable to a fall in interest expenses associated with the company’s convertible senior notes.

Financial Condition

As of Dec 31, 2017, JinkoSolar had cash and cash equivalents of $296.4 million, down from $360.3 million as of Dec 31, 2016.

Total interest bearing debts as of Dec 31, 2017 were $1.14 billion compared with $891.7 million as of Dec 31, 2016.

Guidance

For first-quarter 2018, JinkoSolar expects total solar module shipments in the range of 1.8-2.0 gigawatts (GW).

For 2018, the company currently projects total solar module shipments in the band of 11.5 GW to 12.0 GW.

Zacks Rank

JinkoSolar currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Peer Releases

Canadian Solar (CSIQ - Free Report) reported fourth-quarter 2017 earnings of $1.01 per share, missing the Zacks Consensus Estimate of $1.03 by 2%.

First Solar (FSLR - Free Report) reported fourth-quarter 2017 adjusted loss of 25 cents per share, which was narrower than the Zacks Consensus Estimate of a loss of 32 cents by 21.9%.

Enphase Energy (ENPH - Free Report) delivered fourth-quarter 2017 adjusted earnings of 1 cent per share, which compares favorably with the Zacks Consensus Estimate of break-even earnings.

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