TRINA(SH:688599) Jing Ji Guan Cha Wang·2025-05-01 10:09Core Viewpoint - Trina Solar reported a significant decline in revenue and profit for 2024, with a focus on transitioning from a photovoltaic product manufacturer to a smart energy solution provider, emphasizing downstream applications in the photovoltaic market [1][6]. Financial Performance - In 2024, Trina Solar's revenue was 80.282 billion yuan, a year-on-year decrease of 29.20% - The net profit attributable to shareholders was -3.443 billion yuan, a decline of 162.25% - The net profit excluding non-recurring items was -5.232 billion yuan, down 190.91% - For Q1 2025, the net profit was -1.32 billion yuan [1]. Business Strategy - Trina Solar's strategy focuses on system solutions and digital energy services, which generated approximately 20 billion yuan in revenue, accounting for 25% of total revenue with high gross margins [1][6]. - The company plans to enhance its production capacity for silicon wafers, battery cells, and modules from 55/75/95 GW to 60/105/120 GW, maintaining flexibility between self-production and outsourcing [5]. Market Dynamics - The "136 Document" issued by the National Development and Reform Commission and the National Energy Administration aims to promote high-quality development in the renewable energy sector, impacting distributed power stations [2][6]. - Trina Solar is adapting to market changes by potentially outsourcing components when prices are low, ensuring a strategy of "moderate integration" to avoid capacity burdens during supply fluctuations [3][4]. Industry Context - The photovoltaic industry faced significant price declines in 2024, with polysilicon prices dropping over 39%, silicon wafer prices down over 50%, and module prices decreasing by over 29% [4]. - Major competitors in the industry, such as JinkoSolar and LONGi Green Energy, also reported substantial losses, indicating a challenging market environment [3]. Future Outlook - Trina Solar aims for a year-on-year growth of no less than 20% in its system solutions and digital energy services business [7]. - The company has approximately 24.4 billion yuan in inventory, with expectations of significant reductions as the market for photovoltaic installations ramps up [7].