LDK Solar Co. Ltd.
) reported second-quarter of fiscal 2013 loss per American
Depositary Share (ADS) of 97 cents, wider than the Zacks
Consensus Estimate of a loss of 92 cents per ADS. However,
quarterly loss narrowed from the year-ago loss of $2.00 per ADS.
ENPHASE ENERGY (ENPH): Free Stock Analysis
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LDK SOLAR CO (LDK): Free Stock Analysis
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LDK Solar's net revenues were $114.7 million, lower than the
Zacks Consensus Estimate by $4.3 million. A year-over-year
decline of 51.1% was primarily due to a delay in the execution of
photovoltaic (PV) projects for permits and subsidies from the
customers, changes in conventional feed-in tariff markets, and a
decline in utilization of manufacturing capability.
Quarterly gross loss was narrower by 41.5% year over year to
$59.5 million due to lower cost of goods sold.
Total operating expenses were $41.3 million, down 49% year over
year due to a decrease in selling, general and administrative,
and research and development expenses.
LDK Solar's loss from operations was $95.1 million compared with
a loss of $172.7 million a year ago.
Interest expenses, amortization of debt issuance costs and debt
discount decreased 22% year over year to $58.9 million due to a
decline in long-term borrowings.
LDK Solar had $85.1 million of cash and cash equivalents as of
Jun 30, 2013 versus $296.2 million as of Jun 30, 2012.
Long-term borrowing was $103.4 million as of Jun 30, 2013 versus
$854.2 million as of Jun 30, 2012.
Third Quarter Guidance
LDK Solar anticipates its revenues to be in the range of $140 -
$180 million. In addition, the company expects wafer, and cell
and module shipments in the band of 350 - 450 megawatt (MW) and
60 - 80 MW, respectively.
JinkoSolar Holding Co. Ltd.
) reported second-quarter 2013 adjusted loss per ADS of 56 cents,
much wider than the Zacks Consensus Estimate of a loss per ADS of
First Solar Inc.
) reported adjusted second-quarter 2013 earnings of 39 cents per
share, lower than the Zacks Consensus Estimate by 22%.
Enphase Energy, Inc.
) posted second quarter 2013 results with a loss of 15 cents per
share (including stock based compensation expense), a penny lower
than the Zacks Consensus Estimate of a loss of 16 cents.
Currently, Chinese solar product manufacturers are facing
hardship due to the stringent government laws rolled out by the
U.S. and European Union on the import of PV modules from China.
This was reflected on the Chinese solar companies' last few
quarters' financial performance. LDK Solar also registered a
negative earnings surprise in the last 3 out of 4 quarters.
However, the recent resolution between the European Union and
China will help the Chinese companies to ship certain amount of
solar modules to Europe annually. Moreover, rising demand for
solar equipments in China is also encouraging for LDK Solar.
In addition, LDK Solar continues to reduce its solar module
manufacturing costs through improvements in its manufacturing
methods and reduction in operating expenses, which will in turn
boost its margin, going forward.
Xinyu City, Jiangxi Province in the People's Republic of
China-based LDK Solar and its subsidiaries are engaged in the
design, development, manufacture, and marketing of photovoltaic
products and development of power plant projects. The company
currently has a Zacks Rank #3 (Hold).