North Coast Solar Stocks

May 22, 2009

Yingli Green Energy reports 1st-quarter loss

Filed under: YGE — Tags: , , , , , , — Jason @ 5:25 pm

Yingli Green Energy reports worse-than-expected 1Q loss, and guidance disappoints shareholders

Friday May 22, 2009, 5:25 pm EDT

MINNEAPOLIS (AP) — Solar cell maker Yingli Green Energy Holding Co. (YGE) reported a worse-than-expected first-quarter loss on Friday as the recession and tight credit reduced financing for green energy projects.

The company also reduced its guidance for 2009 shipments, and its shares fell.

The Baoding, China-based company said it lost $20.7 million, or 16 cents per American Depositary share. During the same period last year it reported a profit of $32.3 million, or 25 cents per ADS.

Revenue was $146.3 million, down from $234.1 million a year ago.

The company said that if not for one-time items it would have recorded a loss of $11.3 million, or 9 cents per ADS.

Analysts surveyed by Thomson Reuters, who generally exclude one-time items, expected a loss of a penny a share on revenue of $191.5 million.

The company said its gross profit margin expanded because of its ability to refinance polysilicon supply contracts.

The company said it believes the first quarter marked a low point for the solar industry this year.

Chairman and Chief Executive Liansheng Miao said the company is seeing “recent gradual recovery” in major markets including Germany, as well as what he called “encouraging government policies” in the U.S. and China give the company “reasons to remain confident in the future of the global solar market.”

Yingli reduced its 2009 production outlook to a range of 450 megawatts to 500 megawatts, down from a previous estimate of 550 to 600 megawatts. It said the change was because of “current market and operating conditions, estimated production capacity and forecasted customer demand” as well as exchange rates.

Yingli ADS fell 76 cents, or 7.5 percent, to close at $9.35.

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