Taiwan’s PV cell manufacturers are continuously releasing the results of monthly net sales. The 2Q13 financial report will soon be released before mid-August. In terms of profitability, Gintech is officially back on track with EPS reaching NT$0.32. Motech’s financial report is still being assessed by its board of directors. They are likely to turn profitable in 2Q13 with EPS reaching NT$0.24. As for Neo Solar Power, it’s estimated that they will start to make money from the second quarter.
The gross margin of Gintech in 1Q13 was -11.8% while loss per share was NT$1.45. However, it turned profitable in the second quarter with gross margin reaching 10.03% and EPS reaching NT$0.32. After all, loss per share in the first half year turned out to be NT$1.12. In addition, the proportion of Gintech’s OEM products slightly increased, representing 20%-30% of the total shipment quantity.
Gintech indicates that due to the increasing product price in the second quarter and the accelerated decreasing cost (such as drop in silver price), the amount of orders seems to be in good shape with high visibility for 3Q13. Although half of Gintech’s orders are placed for 3 months in a row, price will have to depend on market reaction towards Europe’s anti-dumping policy.
Motech’s EPS in 2Q13 was NT$0.24 while the gross margin was 7%. Since loss per share was NT$1.45 in 1Q13, that in 1H13 turned out to be NT$1.21. According to Motech, the worst is over. Although cost is likely to continuously decrease, the trend of product average price can’t be evaluated accurately yet. It seems that the result will be good in July and August. Unless there are major changes occurred in September, Motech is positive about the performance in the third quarter.
The production capacity of Motech’s factory in Kunshan is 500MW and the utilization rate remains high. The production capacity of the factory in Japan is 70MW-100MW per year. Currently, they are evaluating the possibility of an expansion due to the increasing orders placed by clients. Furthermore, Motech is likely to come up with a whole new high-efficiency multi-si cell product called “Virgo” in September.
Although Neo Solar Power hasn’t released its 2Q13 financial report, the chance for them to turn profitable can be high. Neo Solar Power’s loss per share in the first quarter was NT$1.29 while the gross margin was -8.03%.