TRINA(SH:688599) Xin Lang Cai Jing·2025-11-10 06:37Core Viewpoint - The company reported a significant decline in revenue and net profit for Q1-Q3 2025, indicating challenges in the current market environment, but there are signs of improvement in certain segments such as distributed systems and energy storage [1][2]. Financial Performance - For Q1-Q3 2025, the company achieved revenue of 49.97 billion, a year-on-year decrease of 20.9%, and a net profit attributable to shareholders of -4.2 billion, a year-on-year decline of 396.2% [1]. - The gross profit margin was 5.1%, down 7.4 percentage points year-on-year, while the net profit margin was -8.4%, a decrease of 7.1 percentage points year-on-year [1]. - In Q3 2025, revenue was 18.91 billion, with a quarter-on-quarter decrease of 6.3% but an increase of 13.1% year-on-year [1]. Component Shipment and Profitability - The company shipped approximately 19-20 GW of components in Q3 2025, with a loss of about 5-6 cents per watt, showing slight improvement quarter-on-quarter [1]. - The distributed systems segment continues to show positive profitability, while energy storage shipments were over 1 GWh, maintaining profitability, with expectations of 5 GWh in Q4 and 8-10 GWh for the year [1]. - The mounting competition in the photovoltaic sector is expected to lead to price recovery in the future [1]. Cost Management and Capital Expenditure - Total expenses for Q1-Q3 2025 were 5.91 billion, a year-on-year decrease of 17.7%, with an expense ratio of 11.8%, up 0.5 percentage points year-on-year [2]. - Operating cash flow for Q1-Q3 2025 was 2.85 billion, down 25.5% year-on-year, with Q3 cash flow at 1.01 billion, a significant drop of 74.6% year-on-year [2]. - Capital expenditure for Q1-Q3 2025 was 3.81 billion, a decrease of 63% year-on-year, with Q3 capital expenditure at 470 million, down 77.6% year-on-year [2]. Profit Forecast and Investment Rating - Due to intensified industry competition and price pressures, the company has revised its net profit forecasts for 2025 and 2027 to -4.1 billion and 2.4 billion, respectively, reflecting a year-on-year change of -18% and +236% [2]. - The net profit forecast for 2026 has been raised to 720 million, a year-on-year increase of 118%, driven by growth in component shipments and effective cost control [2]. - The investment rating is maintained at "Buy" based on the company's growth in component shipments and cost management [2].