Ja Solar Holdings (NASDAQ:JASO)

SHANGHAI, China, Feb. 16, 2012 (GLOBE NEWSWIRE) -- JA Solar Holdings Co., Ltd., (Nasdaq:JASO) ("JA Solar" or the "Company"), one of the world's largest manufacturers of high-performance solar cells and solar power products, today announced that it has supplied 23MW of solar modules to a utility-scale photovoltaic project in the city of Lingwu, Ningxia province, China.

Jointly developed by the Angli Group and China Datang Corporation ("Datang"), this project qualifies for a feed-in tariff of RMB1.15/kwh under the FiT program introduced by China's National Development and Reform Commission (NDRC) in August 2011.

"We are pleased that JA Solar's high quality PV modules were selected by Angli Group and Datang, one of China's leading independent power producers, for their utility-scale project in Ningxia. China's feed-in tariff program is creating an increasingly attractive IRR for solar projects, and we are seeing strong growth in installation activity across the country," said Dr. Peng Fang, CEO of JA Solar. "We are confident that China will grow to be a multi-gigawatt market in 2012 and for the foreseeable future, and we believe that JA Solar is ideally positioned to benefit from this rapid growth. As one of the world's leading suppliers of high-quality, low-cost solar products, JA Solar combines local market knowledge with global industry expertise, making us the natural partner for China's solar project developers."

SHANGHAI, China, Dec. 29, 2011 (GLOBE NEWSWIRE) -- JA Solar Holdings Co., Ltd., (Nasdaq:JASO) ("JA Solar" or the "Company"), one of the world's largest manufacturers of high-performance solar cells and solar power products, today announced that it has entered into an agreement with Solarhybrid AG (Frankfurt:SHL) ("Solarhybrid"), a Germany-based project developer and general contractor for turn-key utility-scale solar power projects, to supply 19 MW of solar modules to Solarhybrid's Allstedt I solar power plant in Halle, Germany. JA Solar is the exclusive solar module supplier to the project.

Under the terms of the agreement, JA Solar will supply Solarhybrid with approximately 19 MW of high-efficiency PV modules. Located on a former military airfield in Germany, the Allstedt I solar power plant is expected to generate 19,030,000 kWh of electricity annually and reduce CO2 emissions by 266,381 tons over a service period of 20 years. The power plant is scheduled to be connected to the grid and commence operation by the end of this year.

"We are delighted to work with Solarhybrid as the exclusive module supplier to the Allstedt I solar power project," commented Dr. Peng Fang, CEO of JA Solar. "As this project demonstrates, demand and support for solar energy are strong in Germany. We look forward to working closely with Solarhybrid to ensure the success of this project and to take advantage of future growth opportunities in Germany and beyond."

Tom Schroder, CEO of Solarhybrid, said: "Following a stringent supplier selection process, we are very pleased to choose JA Solar, a proven provider of industry leading solar products, as our partner for this project. JA Solar's cost-effective, high-efficiency solutions will enable us to maximize the return on investment in this project. With JA Solar's support, we look forward to opening the Allstedt I power plant by end of this year."

JA Solar expects total module shipments to Solarhybrid to reach approximately 40 MW in 2011, including 19 MW of modules for the Allstedt I project.

SHANGHAI, China, Dec. 12, 2011 (GLOBE NEWSWIRE) -- JA Solar Holdings Co., Ltd., (Nasdaq:JASO) ("JA Solar" or the "Company"), one of the world's largest manufacturers of high-performance solar cells and solar power products, today announced that it has signed a cooperation agreement with TÜV SÜD, one of the world's leading providers of testing and certification services. Under the terms of the agreement, JA Solar and TÜV SÜD will cooperate on a range of product and system testing and certification initiatives, including the establishment of a TÜV SÜD-accredited testing facility at JA Solar's Fengxian facility in Shanghai. JA Solar is the first Chinese solar company to sign a strategic cooperative agreement with TÜV SÜD.

SHANGHAI, China, Dec. 1, 2011 (GLOBE NEWSWIRE) -- JA Solar Holdings Co., Ltd., (Nasdaq:JASO) ("JA Solar" or the "Company"), one of the world's largest manufacturers of high-performance solar cells and solar power products, today announced that it has successfully completed its previously announced acquisition of Silver Age Holdings Limited, a British Virgin Islands company that owns 100% of Solar Silicon Valley Electronic Science and Technology Co., Ltd. ("Solar Silicon Valley"), a leading producer of mono-crystalline solar wafers based in China.

JA Solar issued 30.901 million ordinary shares to the sellers, including Jinglong Group Co., Ltd., an affiliate of the Company, as consideration.

Third Quarter 2011 Results

• Revenue in the third quarter of 2011 was RMB 2.5 billion ($388.0 million), a decrease of 7.3% compared to RMB 2.7 billion ($418.5 million) in the second quarter of 2011 and a decrease of 31.6% from RMB 3.6 billion ($567.4 million) reported in the third quarter of 2010.
• Loss per diluted ADS in the third quarter of 2011 was RMB 2.28 ($0.36), compared with loss per diluted ADS of RMB 1.39 ($0.22) in the second quarter of 2011 and earnings per diluted ADS of RMB 3.14 ($0.49) in the third quarter of 2010.

Dr. Peng Fang, CEO of JA Solar, commented, "This continues to be a challenging period for the solar industry, but we are heartened that JA Solar has been able to retain customers and maintain strong market share in the third quarter. While ongoing macro-economic and industry volatility continued to restrain demand, overall product shipments were at the low end of our guidance at 445MW. With the European debt crisis limiting the amount of financing available for solar power projects, we did not see the anticipated demand recovery in major European markets during the month of September. However, JA Solar performed relatively well as customers increasingly relied on top tier suppliers with strong liquidity. In the current market environment, where customers have more choices of products and suppliers, we have seen customers shifting more of their orders to suppliers who can deliver high power products together with a strong brand, a reputation for quality, and a healthy balance sheet. JA Solar's suite of industry-leading high-performance products gives us a clear advantage and this is particularly evident in our module shipments for the third quarter, which grew by more than 45% sequentially. Our gross margin for the quarter has been impacted by an inventory provision of US$21.7 million. Excluding this inventory provision, gross margin would have been positive."

Dr. Fang continued, "As a result of on-going macro-economic and industry uncertainty, visibility in the near term is limited. We remain confident that we can outperform our peers by building on our already strong relationships with our diverse global customer base, and maintaining our long-term partnerships with leading solar companies internationally. JA Solar is also committed to ensuring operational efficiency by continuing our cost optimization efforts, reducing inventory, and producing to order. We believe that these efforts, supported by our healthy cash position and balance sheet strength, will ensure that JA Solar is well positioned to benefit when market conditions improve."

Outlook

Solar cell and module shipments in the fourth quarter are expected to be in the range of approximately 310 MW to 330 MW. The Company currently estimates that total cell and module shipments for full year 2011 will be approximately 1.6 GW. This compares to the Company's previous guidance of 1.8 GW.

Second Quarter 2011 Results

• Second quarter shipments of 401MW, an increase of 28.9% year-over-year and a decrease of 11.1% sequentially
   
• Second quarter revenue of $413.0 million, an increase of 12.1% year-over-year and a decrease of 26.7% sequentially
   
• Gross margin of negative 2.7%, compared to 17.3% in the first quarter of 2011
   
• Operating loss of $31.3 million and operating margin of negative 7.6%
   
• Second quarter net loss of $35.4 million and diluted loss per ADS of $0.22
   
• Strong balance sheet with a cash balance of $616.9 million and working capital of $872.4 million

Dr. Peng Fang, CEO of JA Solar, commented, "Our second quarter results reflect the market disruption that resulted from generally lower than anticipated installation levels in Germany and recent policy changes in Italy. Despite that challenging environment in the European market, demand for our high-efficiency, low-cost products remained healthy and ensured that we met our shipment goals. However, our gross margin and bottom line have been impacted by worse than anticipated market conditions and inventory provisions."

Dr. Fang continued, "In recent weeks, we have seen signs of market recovery with both orders and volume shipments increasing across our diverse customer base. Our strategic partners and key customers continue to value JA Solar's unyielding focus on technology leadership, innovation, quality, and customer service. We are particularly pleased to see growing demand for JA Solar's high-efficiency products, which underscores the success of our ongoing efforts to improve solar cell conversion efficiencies. With this healthy demand from our customers, we expect shipment volumes to increase in the second half of this year compared to the first half. We are also encouraged by a reduction in key raw material costs, as we continue to make progress on achieving our cost reduction targets. We have strong liquidity, with a cash balance in excess of $600 million, and we are confident JA Solar is well positioned to take advantage of growth opportunities as the solar market recovers."

Outlook

Solar cell and module shipments in the third quarter are expected to be in the range of approximately 450MW to 470MW. The Company's current estimate for total cell and module shipments for full year 2011 is expected to be approximately 1.8GW. This compares to the company's previous guidance of 2.2GW.

SHANGHAI, China, Aug. 8, 2011 (GLOBE NEWSWIRE) -- JA Solar Holdings Co., Ltd. (Nasdaq:JASO) ("JA Solar" or the "Company"), one of the world's largest manufacturers of high-performance solar cells and solar power products, today announced selected preliminary unaudited financial results for the second quarter of 2011.

Shipments for the second quarter of 2011 are expected to be approximately 400MW, in line with the Company's previously provided shipment guidance. Gross profits were affected by inventory provisions recorded on high-cost inventory. As a result, gross margin is expected to be in a negative low single digit range.

"Despite a challenging market environment as a result of changes in solar subsidy regulations in Italy and slower than expected growth in market demand in Germany, we met our shipment targets for the second quarter. Our gross margin was negatively impacted by a worse than anticipated decline in average selling prices, and the impact of high-cost inventory provisions for the quarter," said Dr. Peng Fang, CEO of JA Solar. "Since July, we have seen promising signs that both orders and volume shipments have increased across our diverse customer base. Geographies such as Germany, the United States and China are expected to be particularly strong in the second half of this year. With demand for our high-efficiency products growing, we expect shipment volumes to increase significantly in the second half of this year compared to the first half. As market conditions stabilize, we continue to execute on our accelerated cost reduction roadmap and we expect gross margins in the second half of the year to improve significantly from second quarter levels."

JA Solar announces Share Repurchase Program

Board of directors has approved a share repurchase program, effective immediately, that authorizes JA Solar to repurchase up to US$100 million of its American Depositary Shares, or ADSs.

The program permits the Company to purchase ADSs from time to time on the open market at prevailing market prices, in negotiated transactions off the market, and in block trades, in accordance with applicable securities laws and subject to restrictions relating to volume, price and timing.

"We are confident in JA Solar's long-term prospects because we believe that our financial and technological strengths, long-term relationships with the major players across the solar value chain, and unique position as the low cost leader in the solar industry, mean that our company is well-placed to benefit as the sector recovers," said Dr. Peng Fang, CEO of JA Solar. "Today's announcement demonstrates both that confidence for the future and our ongoing commitment to enhancing value for our shareholders."

We have financed our operations primarily through equity contributions by our shareholders through our initial and follow-on public offerings, the 2008 Senior Notes, short-term and long-term bank borrowings and cash flow from operations.

We believe that current cash and cash equivalents and anticipated cash flow from operations will be sufficient to meet our anticipated cash needs, including our cash needs for working capital and capital expenditures, for at least the next twelve months. We may, however, require additional cash to repay existing debt obligations or to re-finance our existing debts or due to changing business conditions or other future developments.

We expect that purchase of property and equipment for our planned expansion in manufacturing capacity will continue to constitute a significant portion of our capital expenditure. As of December 31, 2010, we had contracted for capital expenditures on machinery and equipment of RMB 1,357.5 million. We estimate that our capital expenditures in 2011 will be approximately RMB 2.3 billion, which will be used primarily for the expansion of our solar product manufacturing facilities. In addition, we expect to expend approximately RMB 812 million in 2011 to develop our Hefei manufacturing center. We plan to fund the balance of our 2011 capital expenditure substantially with cash from operations and additional borrowings from third parties.

First Quarter Results:

• First quarter shipments of 451MW, an increase of 65.8% year-over-year and a decrease of 2.6% sequentially
• First quarter revenue of $556 million, an increase of 91.2% year-over-year and a decrease of 5.5% sequentially
• Gross margin of 17.3%, down from 19.2% in the fourth quarter of 2010
• Operating income of $83.3 million and operating margin of 15.0%
• First quarter net income of $71.8 million and GAAP diluted EPS of $0.41
• Strong balance sheet with cash balance of $422.2 million and working capital of $711.8 million

 "Despite the seasonally weaker first quarter and uncertainties surrounding Italy's solar policies, our first quarter performance illustrates that our strategic partners continue to recognize our clear market leadership on costs and technology," said Dr. Peng Fang, CEO of JA Solar. "Shipments in the first quarter were slightly below our previously announced estimates, primarily due to factory shutdowns during the week-long Chinese New Year holiday which had a stronger impact than anticipated on solar cell production output and shipping schedules. However, overall shipments for the quarter remained more or less in line with production volume. This sustained demand for our products highlights the success of our strategy of developing long-term strategic partnerships with the leading solar players across the global solar markets. Underpinning this is our unique position as the industry's low cost leader, and we are confident that in the future we can achieve even greater production efficiencies and drive costs down further."

Fourth Quarter Highlights:

• Revenue in the fourth quarter of 2010 was RMB 3.9 billion ($584.3 million), an increase of 6.6% compared to RMB 3.6 billion ($548.3 million) reported in the third quarter of 2010 and an increase of 137% from RMB 1.6 billion ($246.5 million) reported in the fourth quarter of 2009.
• Gross profit in the fourth quarter of 2010 was RMB 740.4 million ($112.2 million), compared with RMB 816.0 million ($123.6 million) in the third quarter of 2010 and RMB 335.0 million ($50.8 million) in the fourth quarter of 2009.
• Operating income in the fourth quarter of 2010 was RMB 590.7 million ($89.5 million), compared with RMB 669.3 million ($101.4 million) in the third quarter of 2010 and RMB 246.7 million ($37.4 million) in the fourth quarter of 2009.
• Earnings per diluted ADS in the fourth quarter of 2010 were RMB 3.90 ($0.59), an increase of 24% compared with RMB 3.14 ($0.48) in the third quarter of 2010 and an increase of 366% compared with RMB 0.84 ($0.13) in the fourth quarter of 2009.

Based on strong customer demand for JA Solar's products and a number of new customer wins, the Company currently expects total cell and module shipments to exceed 2.2GW in 2011, representing an increase of approximately 50% compared to 2010. Module shipments are expected to be approximately 500MW to 600MW. Sales contracts signed to date for 2011 delivery amount to more than 2GW, representing approximately 90% of the Company's expected shipments for 2011.

Third Quarter 2010 Financial Results

• Third quarter 2010 revenue was a record RMB 3.6 billion ($541.0 million), a sequential growth of 52 percent from RMB 2.4 billion ($356.0 million) reported in the second quarter. This compares with revenue reported in the third quarter a year ago of RMB 1.3 billion ($197.2 million).  Total shipments in the third quarter of 2010 were 418MW, compared with the second quarter shipments of 311MW, representing an increase of 34 percent. Compared with third quarter shipments a year ago of 177MW, total shipment increase was over 136 percent.
   
• GAAP earnings per diluted ADS in the third quarter were RMB 3.14 ($0.47), compared with RMB 1.20 ($0.18) in the second quarter of 2010, representing an increase of over 161 percent. Change in fair value of derivatives, a non-cash expense, totaled a RMB 37.7 million ($5.6 million) loss in the third quarter compared with a RMB 34.0 million ($5.1 million) loss in the second quarter. The non-cash impact of the change in fair value of derivatives was RMB 0.23 ($0.03) per diluted ADS in the third quarter. The impact of significant non-cash items including a provision for prepayments to Shunda and change in fair value of derivatives was RMB 0.61 ($0.09) per diluted ADS in the second quarter.

"We are pleased to deliver our fifth consecutive quarter of record shipments, with strong operating and financial results that exceeded our previous guidance," said Dr. Peng Fang, CEO of JA Solar. "JA Solar has achieved the one gigawatt shipment milestone in the first three quarters of 2010 and we will continue to deliver high quality, technologically advanced photovoltaic products to fulfill the fast growing global demand for clean energy. We continued to strengthen our market leadership by expanding our annual cell manufacturing capacity to 1.8 gigawatts at the end of September, and we recently reached 1.9 gigawatts of solar cell capacity, ahead of our capacity expansion schedule. 

"Business momentum and visibility continues to be strong, and we are seeing robust demand for our high quality products from both existing and new customers. As we continue to develop strong partnerships with leading international solar companies, we are expanding our customer base worldwide, with strong growth in several geographic end markets including, The United States, Canada, Italy, Japan, Australia, China and India. We believe our strategy of partnering with well established solar companies with strong presence in these geographies will help us to further capture market share and participate in the growth of these new markets," he said. 

Outlook

Based on strong demand for JA Solar's products, the company is raising its outlook for the full year of 2010. The company currently expects shipments to exceed 1.45GW in 2010, compared with prior guidance of 1.35GW. Shipments in the fourth quarter of 2010 are expected to be approximately 450MW. 

Based on strong customer orders and higher than anticipated production and shipments during the third quarter, JA Solar expects its third quarter 2010 shipments to exceed 410 MW, above its previous shipment guidance of 375MW given on Aug. 10, 2010.

The new guidance represents approximately 31.8 percent higher shipment compared with second quarter 2010 shipment of 311MW, and approximately 131.6 percent growth over third quarter 2009 shipment of 177MW.

"We are pleased with our second quarter results, which reflect our success in growing JA Solar's customer base and our market share," said Baofang Jin, JA Solar's chairman and CEO. "JA Solar continues to offer high quality products at a very competitive price, afforded by our industry-leading technology and cost structure. We are also pleased that because of our focus on operations and cost reductions, we were able to show gross margin improvement in the second quarter," he said.

"Looking ahead, we are seeing significant signs of market improvement in both end-market demand and financing. We believe our cost structure and customer relationships will drive even stronger third quarter results," he said.

Source: PR Newswire (August 12, 2009)

Guidance Update:

The first quarter results and the continuing market uncertainty are translating into less visibility for the coming quarters. At this time, JA Solar believes it is unlikely to achieve the results as given in the 2009 guidance provided on March 10, 2009, which was for revenue of $830 million to $952 million and production output of 500 MW to 550 MW. JA Solar has no plans to give further guidance on its 2009 revenue or production unless and until the company has better visibility of the global solar market conditions in the coming quarters.

Source: PR Newswire (May 19, 2009)

Guidance Report:

Full Year Fiscal 2009 Guidance Ending December

	2009 Guidance	2008 Reported	Period Change
GAAP Revenue	$830 to $952 million	$800.0 million	3.75% to 19%

Source: PR Newswire (March 10, 2009)