JinkoSolar(US:JKS)2024-10-30 15:38Financial Data and Key Metrics Changes - Total revenue was approximately $3.5 billion, up 2% sequentially but down 23% year-over-year, primarily due to a decrease in average selling price of solar modules [23][24] - Gross margin was 5.7%, compared to 11.1% in the second quarter and 19.3% in the same quarter last year, with the sequential increase attributed to higher average selling prices [24] - Net income attributable to ordinary shareholders was $3.2 million, with an adjusted net income of $14.8 million [26] Business Line Data and Key Metrics Changes - Total shipments were 25.9 gigawatts in the third quarter, with module shipments accounting for 92%, nearly flat sequentially [17] - Tiger Neo's shipments accounted for nearly 90% of total shipments, increasing from 85% in the second quarter [19] - Distribution business accounted for approximately 37% of total shipments, down from 45% in the second quarter [18] Market Data and Key Metrics Changes - Shipments to the U.S. market were approximately 15% to 18% of total shipments in Q3, with expectations for a decrease in Q4 due to seasonality and market turbulence [30] - In September, newly added installations in China were 20.89 gigawatts, up 32.4% year-over-year and 26.9% sequentially [9] Company Strategy and Development Direction - The company aims to balance market structure and profits while maintaining a leading position in N-type TOPCon technology and optimizing integrated costs [7][15] - Continued investment in R&D and digital transformation initiatives, such as the Jinko 360 Smart Platform, to enhance production efficiency and competitiveness [12][13] Management Comments on Operating Environment and Future Outlook - Management noted that the industry is facing pressure from supply-demand imbalances and price declines, but the company achieved relatively outstanding results [7][8] - The company expects model share to be between 90 gigawatts to 100 gigawatts for 2024 and 22.3 gigawatts to 32.3 gigawatts for Q4 [16] Other Important Information - The company has completed third-party ESG audits for most key suppliers and is committed to improving ESG management in its supply chain [14] - Total debt at the end of Q3 was $5.23 billion, up from $3.86 billion in the previous quarter [28] Q&A Session Summary Question: What was the volume of modules shipped into the U.S. in Q3? - Management confirmed that shipments to the U.S. were roughly 15% to 18% of total shipments [30] Question: What are the expectations for average selling prices (ASPs) in Q4? - ASPs are expected to decline moderately in Q4 due to a downward trend in market prices [35] Question: Can you provide an update on the storage business? - Management indicated that it is still early-stage and detailed numbers are not yet available [40] Question: What is the trend in shipping costs? - Shipping costs are expected to decrease starting in Q4 due to improved logistics conditions [41] Question: How much of the business is from the utility segment versus rooftop solar? - The utility segment accounts for approximately 63% of the business, while the rooftop solar segment is around 37% [52]