WXSJ(SH:603185) Xin Lang Cai Jing·2025-07-09 02:37Core Viewpoint - The collaboration between Hongyuan Green Energy and Shunfeng Photovoltaic aims to stabilize the operations of Wuxi Suntech, which is undergoing pre-restructuring due to financial difficulties [1][3][10] Group 1: Company Developments - Hongyuan Green Energy signed a cooperation agreement with Shunfeng Photovoltaic to manage Wuxi Suntech's operations, replacing Xiamen Jianfa as the new managing entity [3][6] - The agreement allows Hongyuan to perform various management functions, excluding board and shareholder rights, for a period of five years [6][9] - Hongyuan Green Energy has shifted its focus from equipment manufacturing to the photovoltaic sector, with 98% of its revenue coming from new energy materials as of 2021 [4][15] Group 2: Industry Context - Wuxi Suntech, established in 2001, is a well-known player in the photovoltaic industry, with a production capacity of 5.5 GW and a historical shipment volume exceeding 50 GW [5][9] - The photovoltaic industry is currently facing a downturn, impacting companies like Wuxi Suntech, which previously underwent bankruptcy restructuring in 2013 [10][11] - The pre-restructuring process for Wuxi Suntech was initiated due to its inability to repay debts, despite its brand value and market recognition [11][12] Group 3: Financial Performance - Hongyuan Green Energy reported a revenue of 7.30 billion yuan in the previous year, a decline of 38.42%, and a net loss of 2.70 billion yuan, marking its first loss since listing [15][16] - In the first quarter of this year, Hongyuan's revenue was 1.66 billion yuan, down 24.37%, with a net loss of 62 million yuan [18] - The company's financial position includes total assets of 28.21 billion yuan and a debt-to-asset ratio of 58.15% as of the end of the first quarter [18]