Third Quarter 2008 Highlights
-
Revenue increased 149 percent to RMB 2.12 billion or $312.3 million, compared with RMB 850.0 million or $125.2 million in Q3 2007
-
Total gross profit increased 130 percent to RMB 458.1 million or $67.5 million, compared with RMB 199.3 million or $29.4 million in Q3 2007
-
Gross margin of 21.6 percent, compared with 23.45 percent in Q3 2007 and 23.3 percent in Q2 2008
-
Income from operations increased 154 percent to RMB 433.3 million or $63.8 million, compared with RMB 170.4 million or $25.1 million in Q3 2007
-
GAAP net loss of RMB 0.92 or a loss of $0.13 per basic ADS and fully diluted ADS of RMB 2.47 or $0.36, compared with basic ADS net income of RMB 1.20 or $0.18 and fully diluted ADS of RMB 1.18 or $0.17 in Q3 2007
-
Non-GAAP net income of RMB 1.75 or $0.26 per basic ADS and fully diluted ADS of RMB 1.61 or $0.24, adjusted for stock-based compensation, change in fair value of certain non-cash derivative gain and loss and impairment loss on available-for-sale securities (Please refer to reconciliation on page 9)
-
Shipped 99.1 MW of solar cells during the quarter, compared with 43.8 MW in Q3 2007
- Cash and cash equivalents were RMB 1.69 billion or $248.8 million.
HEBEI, China, Nov. 12 /PRNewswire-FirstCall/ -- JA Solar Holdings Co., Ltd., (Nasdaq: JASO) a fast-growing manufacturer of high-performance solar cells, today reported financial results for its third quarter ended Sept. 30, 2008.
"We are pleased with our third quarter results, in which revenue, gross profit and income from operations increased sequentially. We shipped 99.1 MW of solar cells, more than twice the amount we shipped in the same quarter a year ago," said Samuel Yang, chief executive officer of JA Solar.
"JA Solar will remain a strong industry player, but we realize we are not immune from the worldwide financial situation. We will be conservative as we ramp production, but we will be aggressive in securing strategic partnerships and in enhancing our customer and supplier relationships to extend our industry leadership.
"Looking ahead, we expect that our tolling business, which carries with it a lower ASP, will represent an increasing portion of our revenue in the coming quarters. Our fourth quarter 2008 and full year 2009 guidance reflect the assumption of the increased tolling revenue.
"We are carefully managing the company for continued profitability in 2009. With our low cost basis, strong support from our suppliers, and ongoing success in broadening and diversifying our customer base, we believe we can achieve gross margins of at least 16 percent for the full year of 2009, with upside likely as we solidify and strengthen our operations during these uncertain times. JA Solar will continue to prosper, even if the current market conditions remain for an extended period. We will be able to capitalize on opportunities that weaker companies leave behind, and extend our market share and profitability even further," he said.Third Quarter 2008 Results
Summary of megawatts produced and shipped (includes cell processing service) Three months ended Megawatts September 30, 2007 June 30, 2008 September 30, 2008 Produced 44.6 MW 66.1 MW 102.9 MW Shipped 43.8 MW 65.7 MW 99.1 MW Cost per watt excluding wafer cost US$ 0.224/Wp US$ 0.205/Wp US$ 0.234/WpTotal revenue in the third quarter of 2008 was RMB 2.12 billion or $312.3 million, an increase of 149.5 percent from third quarter of 2007 revenue of RMB 850.0 million or $125.2 million, and an increase of 71.5 percent from the second quarter of 2008 revenue of RMB 1.24 billion or $182.1 million.
Total gross profit in the third quarter of 2008 was RMB 458.1 million or $67.5 million compared with RMB 199.3 million or $29.4 million in the third quarter 2007, and RMB 288.4 million or $42.5 million in the second quarter 2008. Gross margin was 21.6 percent in the third quarter 2008, compared with 23.45 percent in the third quarter 2007, and 23.3 percent in the second quarter 2008.
Interest expense in the third quarter of 2008 was RMB 63.5 million or $9.4 million, compared with RMB 1.3 million or $0.19 million in the third quarter of 2007. This compares with RMB 32.9 million or $4.9 million in the second quarter of 2008.
Net loss available to ordinary shareholders in the third quarter 2008 was RMB 142.8 million or $21.0 million compared with net profit of RMB 165.9 million or $ 24.4 million in the third quarter 2007, and RMB 318.6 million or $46.9 million in the second quarter 2008.
Basic and diluted loss per ADS was RMB 0.92 or $0.13 and RMB 2.47 or $0.36, respectively. This compares with basic and diluted net income per ADS of RMB 1.20 or $ 0.18 and RMB 1.18 or $ 0.17, respectively, in the same period of 2007; and RMB 2.06 or $0.30 and RMB -0.04 or $-0.01, respectively, in the second quarter 2008.
The bankruptcy of Lehman Brothers and its affiliates had a material impact on our third quarter net income and EPS. Firstly, the company recorded a $100 million other than temporary impairment adjustment against short term investments purchased from Lehman Brothers Treasury Co. B.V. ("Lehman Treasury") due to its bankruptcy and related default on repayment of this investment at maturity of 9th October 2008. Further in connection with the senior convertible notes offering, JA Solar entered into a 6.56 million share lending agreement with Lehman Brothers International (Europe) ("Lehman Europe"). Under the share lending agreement with Lehman Europe, the shares must be returned to the Company no later than May 15, 2013, the maturity date of the senior notes. Until that time, the shares are considered to be issued and outstanding for corporate law purposes. Under current accounting rules, since there was an obligation of Lehman Europe to return the borrowed shares, such shares would have been excluded from the company's per share calculation. However, due to the recent bankruptcy filing by Lehman Europe, the Company will now include these shares in its per share calculation on a weighted average basis. Approximately 1.1 million shares were included in the per share computation for the third quarter related to the Lehman Europe share lending arrangement. Also in connection with the senior note offering, JA Solar entered into a capped call transaction with Lehman Brothers OTC Derivatives Inc. ("Lehman OTC") and the company recorded a $7.35 million loss in Q3 given Lehman OTC bankruptcy.
The third quarter 2008 included share-based compensation expense of RMB -18.1 million or -$2.7 million, including a reversal of RMB 52.6 million in previously recognized stock-based compensation for the resignation of COO Dr. Sun and other employees in the third quarter of 2008.
In the third quarter 2008, on a non-GAAP basis, adjusted to exclude stock-based compensation, changes in fair value of the embedded derivatives underlying the senior convertible notes and capped call options, and impairment loss on available-for-sale securities, non-GAAP basic and diluted net income per ADS were RMB 1.75 or $0.26 and RMB 1.61 or $0.24, respectively. This compares with non-GAAP basic and diluted net income per ADS of RMB 1.31 or $0.19 and RMB 1.29 or $0.19, respectively, in the same period of 2007; and RMB 1.04 or $0.15 and RMB 0.99 or $0.15, respectively, in the second quarter 2008. Please refer to Note 3 set forth at the end of this release.
Third Quarter 2008 Balance Sheet
At Sept. 30, 2008, JA Solar had cash and cash equivalents of RMB 1.69 billion or $248.8 million, compared with RMB 794.1 million or $117.0 million at the end of the third quarter 2007, and RMB 3.57 billion or $525.1 million at the end of the second quarter 2008.
Capital expenditures were RMB 142.5 million or $21.0 million in the third quarter 2008, compared with RMB 144.3 million or $21.2 million in the third quarter 2007, and RMB 264.1 million or $38.9 million in the second quarter 2008. Depreciation and amortization expenses in the third quarter 2008 were RMB 23.7 million or $3.5 million, as compared with RMB 10.7 million or $1.6 million in the third quarter 2007, and RMB 16.4 million or $2.4 million in the second quarter 2008.
"In the third quarter, operating profit more than doubled both sequentially and year over year, demonstrating our ongoing strong financial performance and controls," said Daniel Lui, chief financial officer of JA Solar.
"We ended the quarter with a strong cash position of RMB 1.69 billion or $248.8 million. We believe that the combination of cash on hand with an average operating cash flow of at least 10 percent as a percentage of revenue, will be more than enough to finance our production ramp, including the pre- payments to suppliers, throughout 2009," he said. "We will be cautious as we build out new production lines, but we will continue to invest in process improvements to enable future cost reductions. In the fourth quarter and in 2009, we continue to expect to generate net cash inflows from operations.
"Liquidity of the company is and will stay strong in the foreseeable future. Not only do we receive strong credit support from local banks, future minimum prepayment obligations are expected to be substantially less than the contractual $260 million as the silicon material/wafer supplies become abundant as a result of the global market downturn. Further, to achieve 1GW nameplate capacity by the end of 2009, an additional investment of only RMB 850 million or $125 million would be necessary. We expect to invest approximately RMB 210 million or $30.9 million in R&D throughout next year. But as Samuel said, we will be cautious in our production ramps and capacity expansion, as we wait to see how orders are flowing before we commit new capital," he said.
The conversion of Renminbi into U.S. dollars in this release, made solely for the convenience of the reader, is based on the noon buying rate in The City of New York for cable transfers of Renminbi as certified for customs purposes by the Federal Reserve Bank of New York as of Sept. 30, 2008, which was RMB 6.7899 to $1.0000. No representation is intended to imply that the Renminbi amounts could have been, or could be, converted, realized or settled into U.S. dollars at that rate on Sept. 30, 2008, or at any other date. The percentages stated in this press release are calculated based on Renminbi.
2008 Outlook
Based on current market conditions, the devaluation of the Euro and other global financial uncertainties, the company expects revenue for the fourth quarter to be approximately RMB 1.3 billion or $191.5 million to RMB 1.5 billion or $220.9 million. The gross margin in the fourth quarter is expected to be between 5 and 7 percent; non-GAAP earnings per basic and diluted ADS are expected to be approximately break-even.
JA Solar's target for total production output has been updated to 310MW for 2008, with the nameplate annual production expected to be 600MW by the end of this year.
2009 Outlook
The company updated 2009 guidance based on market forecasts and the financial environment. For the full year 2009, revenue is expected to be in the range of RMB 10.0 billion or $1.5 billion to RMB 11.6 billion or $1.7 billion. Full-year gross margins are expected to be at least 16 percent. Non- GAAP earnings per basic ADS are expected to be at least 1.00 and diluted ADS are expected to be $0.90.
Total production output is expected to be approximately 800MW with total production capacity projected to exceed 1GW by the end of 2009.
Investor Conference Call / Webcast Details
A conference call has been scheduled for today, Wednesday, Nov. 12, 2008 at 8:00 am Eastern time. The call may be accessed by dialing 1.888.989.3484 or 1.517.308.9407 (international). The passcode is JA Solar. A live webcast of the conference call will be available on the company's website at www.jasolar.com. A replay of the call will be available beginning two hours after the live call and will be accessible by dialing 1.800.944.1558 or 1.203.369.3871 (international). The passcode for the replay is 5276 (JASO).
About JA Solar Holdings Co., Ltd.
Based in Hebei, JA Solar Holdings Co., Ltd. is a fast-growing manufacturer of high-performance solar cells. The company sells its products to solar module manufacturers who assemble and integrate its solar cells into modules and systems that convert sunlight into electricity. For more information, please visit http://www.jasolar.com.
Forward-looking Statement
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by words such as "will," "may," "expect," "anticipate," "aim," "intend," "plan," "believe," "estimate," "potential," "continue," and other similar statements. Statements other than statements of historical facts in this announcement are forward- looking statements, including but not limited to, our expectations regarding the expansion of our manufacturing capacities, our future business development, and our beliefs regarding our production output and production outlook. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about the Company and the industry. Further information regarding these and other risks is included in our registration statement on Form F-1 and other documents filed with the Securities and Exchange Commission. The Company undertakes no obligation to update forward-looking statements, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.
About Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, JA Solar uses the following non-GAAP measures which are adjusted from the most directly comparable GAAP results to exclude items related to share-based compensation, change in fair value of the embedded derivatives underlying the senior convertible notes and capped call options and impairment loss on available-for-sale securities which arose from the company's stock price movement. JA Solar believes that non-GAAP information is useful for analysts and investors to evaluate JA Solar's future on-going performance because they enable a more meaningful comparison of JA Solar's projected cash earnings and performance with its peers and historical results from prior periods. This information is not intended to represent funds available for JA Solar's discretionary use and not intended to represent or to be used as a substitute for gross profit/margin, operating expenses, operating income or net income as measured under GAAP. This non-GAAP measure is not in accordance with or an alternative for GAAP financial data, the non-GAAP results should be reviewed together with the GAAP results and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies. For more information on this non-GAAP financial measure, please see the tables captioned "Note 3. Reconciliation of non-GAAP results of operations measure to the nearest comparable GAAP measures" set forth at the end of this release and which shall be read together with the preceding financial statements prepared under GAAP. -
JA Solar Holdings Co., Ltd. Condensed Consolidated Statements of Operations (Unaudited) Three months ended September 30, June 30, 2007 2008 RMB USD RMB USD Net revenues Solar products to third parties 803,948,453 118,403,578 992,414,128 146,160,345 Solar products to related parties 4,235,069 623,731 181,649,316 26,752,871 Solar cells processing 41,811,183 6,157,850 62,613,837 9,221,614 Total revenues 849,994,705 125,185,159 1,236,677,281 182,134,830 Cost of revenues Solar products (639,550,780) (94,191,487) (925,093,577) (136,245,538) Solar cells processing (11,112,156) (1,636,571) (23,134,255) (3,407,157) Total cost of revenues (650,662,936) (95,828,058) (948,227,832) (139,652,695) Gross profit 199,331,769 29,357,101 288,449,449 42,482,135 Selling, general and administrative expenses (27,813,372) (4,096,286) (66,587,857) (9,806,898) Research and development expenses (1,109,276) (163,371) (5,545,808) (816,773) Total operating expenses (28,922,648) (4,259,657) (72,133,665) (10,623,671) Income from operations 170,409,121 25,097,444 216,315,784 31,858,464 Interest expense (1,321,305) (194,599) (32,948,109) (4,852,518) Interest income 13,992,625 2,060,800 14,219,824 2,094,261 Foreign exchange loss (18,952,072) (2,791,215) (35,985,949) (5,299,923) Other income 1,735,985 255,672 151,348 22,290 Loss from sale of investments - - (13,667,739) (2,012,951) Change in fair value of derivatives (see note 1) - - 175,661,767 25,871,039 Impairment on available-for-sale securities - - - - Income/ (loss) before income taxes 165,864,354 24,428,102 323,746,926 47,680,662 Income tax benefit/ (expense) - - (5,186,955) (763,922) Net income/ (loss) available to ordinary shareholders 165,864,354 24,428,102 318,559,971 46,916,740 Net income/ (loss) per ordinary shares (see note 2) Basic 1.20 0.18 2.06 0.30 Diluted 1.18 0.17 (0.04) (0.01) Weighted average number of ordinary shares outstanding: Basic 138,270,000 138,270,000 154,519,808 154,519,808 Diluted 140,095,013 140,095,013 163,688,037 163,688,037 Net income/ (loss) per ADS (see note 2) Basic 1.20 0.18 2.06 0.30 Diluted 1.18 0.17 (0.04) (0.01) Weighted average number of ADS outstanding: Basic 138,270,000 138,270,000 154,519,808 154,519,808 Diluted 140,095,013 140,095,013 163,688,037 163,688,037 September 30, 2008 RMB USD Net revenues Solar products to third parties 1,864,733,731 274,633,460 Solar products to related parties 214,150,867 31,539,620 Solar cells processing 41,683,479 6,139,042 Total revenues 2,120,568,077 312,312,122 Cost of revenues Solar products (1,647,376,134) (242,621,561) Solar cells processing (15,129,810) (2,228,282) Total cost of revenues (1,662,505,944) (244,849,843) Gross profit 458,062,133 67,462,279 Selling, general and administrative expenses (17,858,354) (2,630,135) Research and development expenses (6,914,040) (1,018,283) Total operating expenses (24,772,394) (3,648,418) Income from operations 433,289,739 63,813,861 Interest expense (63,490,476) (9,350,723) Interest income 13,811,446 2,034,116 Foreign exchange loss (40,772,184) (6,004,828) Other income 51,814 7,631 Loss from sale of investments (8,319,520) (1,225,279) Change in fair value of derivatives (see note 1) 229,051,739 33,734,185 Impairment on available-for-sale securities (686,320,000) (101,079,545) Income/ (loss) before income taxes (122,697,442) (18,070,582) Income tax benefit/ (expense) (20,055,640) (2,953,746) Net income/ (loss) available to ordinary shareholders (142,753,082) (21,024,328) Net income/ (loss) per ordinary shares (see note 2) Basic (0.92) (0.13) Diluted (2.47) (0.36) Weighted average number of ordinary shares outstanding: Basic 155,832,515 155,832,515 Diluted 169,896,784 169,896,784 Net income/ (loss) per ADS (see note 2) Basic (0.92) (0.13) Diluted (2.47) (0.36) Weighted average number of ADS outstanding: Basic 155,832,515 155,832,515 Diluted 169,896,784 169,896,784 Each ADS represents 1 ordinary share JA Solar Holdings Co., Ltd. Condensed Consolidated Balance Sheets December 31, 2007 September 30, 2008 RMB USD RMB USD (Audited) (Conversion) (Unaudited) (Conversion) ASSETS Current assets Cash and cash equivalents 1,145,032,918 168,637,670 1,688,999,291 248,751,718 Available-for-sale securities 803,121,383 118,281,769 542,341,000 79,874,667 Accounts receivables from third party customers 28,819,554 4,244,474 378,814,765 55,790,921 Accounts receivables from related party customers 24,730,689 3,642,276 78,015,000 11,489,860 Inventories 157,334,310 23,171,815 359,077,652 52,884,085 Advances to related party suppliers 389,871,684 57,419,356 529,667,967 78,008,213 Advances to third party suppliers 898,722,659 132,361,693 1,168,978,017 172,164,246 Other current assets 42,315,074 6,232,061 35,216,349 5,186,578 Deferred tax assets 1,214,246 178,831 4,199,437 618,483 Total current assets 3,491,162,517 514,169,945 4,785,309,478 704,768,771 Property and equipment, net 532,011,999 78,353,437 1,095,803,851 161,387,333 Intangible asset, net 6,687,677 984,945 6,079,077 895,312 Deferred tax assets 4,355,369 641,448 11,336,087 1,669,551 Advances to third party suppliers 536,332,174 78,989,701 1,146,765,923 168,892,904 Derivative assets- capped call options - - 25,058,249 3,690,518 Deferred issuance cost - - 75,263,349 11,084,603 Total assets 4,570,549,736 673,139,477 7,145,616,014 1,052,388,992 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Short-term bank borrowings 200,000,000 29,455,515 - - Accounts payable to third parties 10,119,234 1,490,336 44,884,001 6,610,406 Tax payables 342,025 50,373 27,460,168 4,044,267 Advances from third parties customers 70,285,896 10,351,536 68,796,539 10,132,187 Other payables to third parties 16,841,500 2,480,375 156,131,990 22,994,741 Payroll and welfare payable 6,364,403 937,334 17,165,811 2,528,139 Accrued expenses 15,279,750 2,250,365 54,497,616 8,026,277 Amounts due to related parties 113,890,220 16,773,475 14,633,653 2,155,209 Interest payable - - 46,115,325 6,791,753 Total current liabilities 433,123,028 63,789,309 429,685,103 63,282,979 Accrued warranty cost 929,170 136,846 2,963,648 436,479 Convertible bonds payable - - 1,868,383,037 275,170,921 Embedded derivatives - - 273,822,928 40,327,977 Total liabilities 434,052,198 63,926,155 2,574,854,716 379,218,356 Commitment and Contingencies - - - - Shareholders' equity: - - - - Ordinary shares(US$0.0001 par value; 493,480,000 shares authorized 154,058,000 and 167,888,020 shares issued and outstanding as of December 31, 2007 and September 30, 2008) 123,307 18,160 123,799 18,233 Additional paid-in capital 3,655,194,120 538,328,123 3,753,621,468 552,824,264 Statutory reserve 71,617,912 10,547,712 71,617,912 10,547,712 Accumulated earnings 417,203,191 61,444,674 747,477,654 110,086,696 Accumulated other comprehensive income (7,640,992) (1,125,347) (2,079,535) (306,269) Total shareholders' equity 4,136,497,538 609,213,322 4,570,761,298 673,170,636 Total liabilities and shareholders' equity 4,570,549,736 673,139,477 7,145,616,014 1,052,388,992 Note 1. Change in fair value of derivatives Three months Three months Three months ended, ended, ended, September September June 30, 30, 2007 30, 2007 2008 In RMB In USD In RMB Change in fair value of embedded foreign currency derivatives - - (25,845,420) Change in fair value of capped call options - - (125,254,486) Change in fair value of embedded derivatives underlying senior convertible notes - - 326,761,673 Total - - 175,661,767 Three months Three months Three months ended, ended, ended, June 30, September September 2008 30, 2008 30, 2008 In USD In RMB In USD Change in fair value of embedded foreign currency derivatives (3,806,451) (24,128,575) (3,553,598) Change in fair value of capped call options (18,447,176) (75,774,466) (11,159,880) Change in fair value of embedded derivatives underlying senior convertible notes 48,124,666 328,954,780 48,447,663 Total 25,871,039 229,051,739 33,734,185 Note 2. Net income per ADS on a fully diluted basis Three months Three months Three months ended, ended, ended, September September June 30, 30, 2007 30, 2007 2008 In RMB In USD In RMB Net income/(loss), Basic 165,864,354 24,428,100 318,559,971 Change in fair value of embedded derivatives underlying senior convertible notes - - (326,761,672) Foreign exchange gain on senior convertible notes - - (31,721,331) Accretion of non-cash interest charge on senior convertible notes - - 16,541,320 Amortization of deferred issuance cost in relation to senior convertible notes - - 973,815 4.5% interest expenses of senior convertible notes - - 15,432,975 Net income, Diluted 165,864,354 24,428,100 (6,974,922) Weighted average number of ordinary shares and ADS outstanding: Basic 138,270,000 138,270,000 154,519,808 Diluted 140,095,013 140,095,013 163,688,037 Net income per ordinary shares and per ADS: Basic 1.20 0.18 2.06 Diluted 1.18 0.17 (0.04) Three months Three months Three months ended, ended, ended, June 30, September September 2008 30, 2008 30, 2008 In USD In RMB In USD Net income/(loss), Basic 46,916,740 (142,753,082) (21,024,328) Change in fair value of embedded derivatives underlying senior convertible notes (48,124,666) (328,954,780) (48,447,663) Foreign exchange gain on senior convertible notes (4,671,841) (10,983,426) (1,617,612) Accretion of non-cash interest charge on senior convertible notes 2,436,165 32,885,854 4,843,349 Amortization of deferred issuance cost in relation to senior convertible notes 143,421 1,936,045 285,136 4.5% interest expenses of senior convertible notes 2,272,931 28,668,577 4,222,238 Net income, Diluted (1,027,250) (419,200,812) (61,738,880) Weighted average number of ordinary shares and ADS outstanding: Basic 154,519,808 155,832,515 155,832,515 Diluted 163,688,037 169,896,784 169,896,784 Net income per ordinary shares and per ADS: Basic 0.30 (0.92) (0.13) Diluted (0.01) (2.47) (0.36) Weighted average ordinary shares and ADS excludes 6,562,760 ADSs borrowed by affiliates of the joint book-running managers in connection with the May 2008 senior convertible notes offering. The Company believes that under U.S. GAAP the ADSs borrowed are not to be considered outstanding for the purpose of computing and reporting our net income per ordinary share and per ADS. Note 3. Reconciliation of non-GAAP results of operations measures to the nearest comparable GAAP measures Three months Three months Three months ended, ended, ended, September September June 30, 30, 2007 30, 2007 2008 In RMB In USD In RMB GAAP Net Income/(loss) 165,864,354 24,428,100 318,559,971 Stock based compensation 15,060,822 2,218,121 44,268,934 Change in fair value of capped call options - - 125,254,486 Change in fair value of embedded derivatives underlying senior convertible notes - - (326,761,672) Impairment loss on available-for-sale securities - - - Non-GAAP Net income 180,925,176 26,646,221 161,321,719 Non-GAAP Net income Basic 180,925,176 26,646,221 161,321,719 Foreign exchange gain on senior convertible notes - - (31,721,331) Amortization of deferred issuance cost - - 973,815 Accretion on senior convertible notes - - 16,541,320 4.5% interest expenses of senior convertible notes - - 15,432,975 Non-GAAP Net income Diluted 180,925,176 26,646,221 162,548,498 Weighted average number of ordinary shares and ADS outstanding: Basic 138,270,000 138,270,000 154,519,808 Diluted 140,095,013 140,095,013 163,688,037 Non-GAAP Net income per ordinary shares and per ADS: Basic 1.31 0.19 1.04 Diluted 1.29 0.19 0.99 Three months Three months Three months ended, ended, ended, June 30, September September 2008 30, 2008 30, 2008 In USD In RMB In USD GAAP Net Income/(loss) 46,916,740 (142,753,082) (21,024,328) Stock based compensation 6,519,821 (17,244,925) (2,539,791) Change in fair value of capped call options 18,447,176 75,774,466 11,159,880 Change in fair value of embedded derivatives underlying senior convertible notes (48,124,666) (328,954,780) (48,447,663) Impairment loss on available-for-sale securities - 686,320,000 101,079,545 Non-GAAP Net income 23,759,071 273,141,679 40,227,643 Non-GAAP Net income Basic 23,759,071 273,141,679 40,227,643 Foreign exchange gain on senior convertible notes (4,671,841) (10,983,426) (1,617,612) Amortization of deferred issuance cost 143,421 1,936,045 285,136 Accretion on senior convertible notes 2,436,165 32,885,854 4,843,349 4.5% interest expenses of senior convertible notes 2,272,931 28,668,577 4,222,238 Non-GAAP Net income Diluted 23,939,747 273,141,679 40,227,643 Weighted average number of ordinary shares and ADS outstanding: Basic 154,519,808 155,832,515 155,832,515 Diluted 163,688,037 169,896,784 169,896,784 Non-GAAP Net income per ordinary shares and per ADS: Basic 0.15 1.75 0.26 Diluted 0.15 1.61 0.24 These potentially dilutive securities were not include in the calculation of dilutive earnings per share because of their anti-dilutive effectSOURCE JA Solar Holdings Co., Ltd.
CONTACT: U.S., Deborah Stapleton, deb@stapleton.com, or Alexis Pascal,
alexis@stapleton.com, both of Stapleton Communications, +1-650-470-0200, for
JA Solar Holdings Co., Ltd.
/Web site: http://www.jasolar.com
(JASO)
-
Shipped 99.1 MW of solar cells during the quarter, compared with 43.8 MW in Q3 2007
-
Non-GAAP net income of RMB 1.75 or $0.26 per basic ADS and fully diluted ADS of RMB 1.61 or $0.24, adjusted for stock-based compensation, change in fair value of certain non-cash derivative gain and loss and impairment loss on available-for-sale securities (Please refer to reconciliation on page 9)
-
GAAP net loss of RMB 0.92 or a loss of $0.13 per basic ADS and fully diluted ADS of RMB 2.47 or $0.36, compared with basic ADS net income of RMB 1.20 or $0.18 and fully diluted ADS of RMB 1.18 or $0.17 in Q3 2007
-
Income from operations increased 154 percent to RMB 433.3 million or $63.8 million, compared with RMB 170.4 million or $25.1 million in Q3 2007
-
Gross margin of 21.6 percent, compared with 23.45 percent in Q3 2007 and 23.3 percent in Q2 2008
-
Total gross profit increased 130 percent to RMB 458.1 million or $67.5 million, compared with RMB 199.3 million or $29.4 million in Q3 2007