Production and Capacity - Polysilicon production volume reached 33,702 MT in Q4 2022, up from 33,401 MT in Q3 2022[2] - The company expects to produce approximately 31,000 MT to 32,000 MT of polysilicon in Q1 2023 and 190,000 MT to 195,000 MT for the full year 2023[9] - The company plans to complete construction of its Phase 5A 100,000 MT polysilicon capacity expansion project by June 2023[8] - The company has a total polysilicon nameplate capacity of 105,000 metric tons, positioning it as one of the world's lowest cost producers[32] Financial Performance - Revenue for Q4 2022 was $864.3 million, a decrease from $1,219.7 million in Q3 2022[3] - Full year 2022 revenue was $4,608.3 million, a 175% increase from $1,678.8 million in 2021[4] - Revenues for 2022 were $4,608.3 million, a significant increase from $1,678.8 million in 2021, driven by higher polysilicon ASPs and sales volume[17] - Revenues for the year ended December 31, 2022, were $4,608,349, a significant increase from $1,678,793 in 2021, representing a growth of 174%[36] Profitability - Gross profit in Q4 2022 was $668.9 million, with a gross margin of 77.4%, down from 80.2% in Q3 2022[3] - Gross profit reached $3,407.9 million with a gross margin of 74.0%, up from 65.4% in 2021, attributed to increased sales volume and ASPs[18] - Net income attributable to shareholders was $372.9 million in Q4 2022, compared to $323.4 million in Q3 2022[3] - Net income for the year ended December 31, 2022, reached $2,519,777, compared to $864,847 in 2021, marking an increase of 191%[42] - The adjusted net income attributable to Daqo New Energy Corp. shareholders for the year ended December 31, 2022, was $2,162,453, compared to $759,001 in 2021, indicating a growth of 185%[45] Earnings and Margins - Adjusted net income (non-GAAP) for Q4 2022 was $403.3 million, down from $590.4 million in Q3 2022[3] - Adjusted net income (non-GAAP) was $2,162.5 million, with adjusted earnings per basic ADS of $28.50, compared to $10.28 in 2021[21] - EBITDA (non-GAAP) for Q4 2022 was $648.5 million, with an EBITDA margin of 75.0%[3] - EBITDA for the year ended December 31, 2022, was $3,150,732, up from $1,132,796 in 2021, representing an increase of 178%[44] Cash Flow and Assets - Cash and cash equivalents as of December 31, 2022, totaled $3,520.4 million, an increase from $724.0 million at the end of 2021[24] - Net cash provided by operating activities was $2,466.9 million, significantly higher than $639.0 million in the same period of 2021[25] - The company reported a net cash provided by operating activities of $2,466,927 for the year ended December 31, 2022, compared to $638,989 in 2021, indicating a significant increase of 286%[42] - The company’s total assets as of December 31, 2022, were $7,592,982, compared to $3,343,651 at the end of 2021, showing a growth of 127%[38] Shareholder Returns - Net income attributable to shareholders was $1,860.0 million, compared to $748.9 million in 2021, resulting in earnings per basic ADS of $24.51, up from $10.14[21] - Basic earnings per ADS for the year ended December 31, 2022, were $24.51, compared to $10.14 in 2021, reflecting an increase of 142%[36] - The total equity of Daqo New Energy Corp. increased to $6,644,744 as of December 31, 2022, from $2,663,830 in 2021, marking a growth of 149%[39] Future Outlook - The company plans to discuss its future outlook and operational strategies in a conference call scheduled for February 28, 2023[30]

Financial Data and Key Metrics Changes - In Q3 2022, revenue reached $1.22 billion, with a gross profit of $979 million and a net income attributable to shareholders of $323.4 million [5][11] - Adjusted net income attributable to shareholders was $590 million, with an adjusted earnings per basic ADS of $7.81 [14] - Operating cash flow for the first nine months of 2022 was $1.7 billion, and the cash position combined with bank note receivables reached $4.6 billion at the end of Q3 [6][15] Business Line Data and Key Metrics Changes - Polysilicon production volume was 333,401 metric tons, with sales volume of 33,126 metric tons in Q3 2022, reflecting an 11.8% decline in sales volume compared to Q2 2022 [6][11] - The average selling price (ASP) of polysilicon increased by 10% compared to the previous quarter, contributing to improved gross margin, which reached 80% [7][12] - SG&A expenses were $280 million, primarily due to non-cash share-based compensation costs related to the company's incentive plan [13] Market Data and Key Metrics Changes - Demand for solar PV products increased significantly, particularly in China, Europe, Southeast Asia, and Brazil, driven by rising global energy prices [7] - China installed 52.6 gigawatts of solar PV projects in the first three quarters of 2022, a 106% increase compared to the same period last year [9] - Current polysilicon ASPs remain high at approximately $36 to $38 per kg, with expectations for module prices to support polysilicon ASPs [9][20] Company Strategy and Development Direction - The company aims to maintain its position as a leading low-cost and high-quality polysilicon provider, benefiting from the long-term trend of renewable energy displacing fossil fuels [10] - The company plans to produce approximately 30,000 to 32,000 metric tons of polysilicon in Q4 2022 and 130,000 to 132,000 metric tons for the full year [10] - The company is exploring dual listing in Hong Kong to address potential delisting risks and has engaged with the Hong Kong Stock Exchange [45] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued strong demand for polysilicon, with expectations that polysilicon will remain a bottleneck in the value chain due to slower expansion compared to downstream sectors [21][24] - The company anticipates that N-type technology will gain significant market share, positioning Daqo favorably due to its capability to produce ultra-high purity polysilicon [24][41] - Management noted that the COVID situation in Xinjiang has posed challenges but has not significantly impacted production [47] Other Important Information - The company completed a share repurchase program, spending $119.9 million to repurchase approximately 1.88 million ADRs [8] - The company expects to recognize approximately $7.3 million of non-cash share-based compensation expenses monthly from October 2022 through September 2025 [13] Q&A Session Summary Question: Outlook for polysilicon pricing with new capacity coming online - Management indicated that polysilicon ASP is currently high and expected to remain stable through Q4, with strong demand supporting prices [20][21] Question: Share-based compensation details - Management clarified that the share-based compensation plan is for at least three years and is separate from the share buyback program [25][26] Question: Construction progress in Mongolia - Management reported that construction is progressing smoothly, with over 50% completion and expectations for pilot production by the end of Q1 2023 [32][33] Question: Q4 production guidance - Management explained that the slight decrease in Q4 production guidance is due to maintenance schedules being pushed back [36] Question: N-type technology and market share - Management noted that while N-type market share is currently small, it is expected to grow rapidly, with Daqo well-positioned to benefit [41][42] Question: COVID impact on production and supply - Management acknowledged that COVID-related logistics challenges have affected deliveries but emphasized that operations are running normally [47]

Daqo New Energy Corp. (NYSE:DQ) Q2 2022 Earnings Conference Call August 3, 2022 8:00 AM ET Company Representatives Longgen Zhang - Chief Executive Officer Ming Yang - Chief Financial Officer Kevin He - Investor Relations Conference Call Participants Philip Shen - ROTH Capital Partners Gary Zhou - Credit Suisse Chao Ji - Goldman Sachs Alan Lau - Jefferies Rajiv Chaudhri - Sunsara Capital Operator Good day and welcome to the Daqo Second Quarter 2022 Results Conference Call. All participants will be in a liste ...

Daqo New Energy Corp. (NYSE:DQ) Q1 2022 Results Conference Call April 21, 2022 8:00 AM ET Company Participants Kevin He - Head of Investor Relations Longgen Zhang - Chief Executive Officer & Director Ming Yang - Chief Financial Officer Conference Call Participants Justin Clare - ROTH Capital Partners Gary Zhou - Credit Suisse Chao Ji - Goldman Sachs Alan Lau - Jefferies Tony Fei - Bank of China International Colin Yang - Daiwa Securities Operator Good day, and welcome to the Daqo New Energy First Quarter 20 ...

Daqo New Energy Corp. (NYSE:DQ) Q4 2021 Results Conference Call February 28, 2022 8:00 AM ET Company Participants Kevin He - Head of Investor Relations Longgen Zhang - Chief Executive Officer & Director Ming Yang - Chief Financial Officer Conference Call Participants Philip Shen - Roth Capital Partners Gary Zhou - Credit Suisse Alan Lau - Jefferies Colin Yang - Daiwa Securities Chao Ji - Goldman Sachs Operator Good day, and welcome to the Daqo New Energy Fourth Quarter and Fiscal Year 2021 Results Conferenc ...