JinkoSolar Holding Co., Ltd. JKS reported first-quarter 2018 earnings per American Depositary Share (ADS) of 2 cents, which missed the Zacks Consensus Estimate of 7 cents by 71.4%. The reported figure also declined 92.9% from 28 cents in the year-ago quarter.
In the quarter under review, JinkoSolar's total revenues of $728.1 million surpassed the Zacks Consensus Estimate of $715 million by 2%. However, the top-line figure decreased 13.2% on a year-over-year basis. The downturn can be attributed to a decrease in solar module shipments and a decline in the average selling price of solar modules in 2018.
JinkoSolar Holding Company Limited Price, Consensus and EPS Surprise
JinkoSolar Holding Company Limited Price, Consensus and EPS Surprise | JinkoSolar Holding Company Limited Quote
In first-quarter 2018, total solar product shipment was 2,015 megawatts, down 2.6% year over year. Shipments also declined 18.8%, sequentially. Nonetheless, the shipment came in line with the company's guidance range of 1.8-2.0 gigawatts (GW) for the reported quarter.
JinkoSolar's total operating expenses decreased 1.6% year over year to $84.7 million, owing to a decrease in shipping costs.
The company incurred $13.6 million as interest expenses, up 63.9%. Increased expenses were on account of interestexpenses associated with discounted notes receivable and an increase in borrowings.
As of Mar 31, 2018, JinkoSolar had cash and cash equivalents of $410.9 million, up from $296.4 million as of Dec 31, 2017.
Total interest bearing debts as of Mar 31, 2018 were $1.34 billion compared with $1.14 billion as of Dec 31, 2017.
For second-quarter 2018, JinkoSolar expects total solar module shipments in the range of 2.4-2.5 gigawatts (GW).
For 2018, the company continues to project total solar module shipments in the 11.5-12.0 GW band.
Zacks Rank & Stock to Consider
JinkoSolar currently carries a Zacks Rank #4 (Sell).
A better-ranked stock in the same space is SolarEdge Technologies SEDG , which carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
SolarEdge Technologies delivered an average positive earnings surprise of 29.11% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings moved north 6.8% to $3.31 in the last 90 days.
Other Solar Releases
ReneSola Ltd. SOL reported earnings of a penny, per American Depositary Share (ADS) in the first quarter of 2018, which came in line with the Zacks Consensus Estimate.
Canadian Solar Inc. CSIQ posted first-quarter 2018 earnings of 72 cents per share, beating the Zacks Consensus Estimate of 38 cents by 89.5%.
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