UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of December, 2021
Commission File Number: 001-34615
JinkoSolar Holding Co., Ltd.
(Translation of registrant’s name into English)
1 Jingke Road
Shangrao Economic Development Zone
Jiangxi Province, 334100
People’s Republic of China
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1).
Yes ¨ No x
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7).
Yes ¨ No x
EXHIBIT INDEX
Number | Description of Document | |
99.1 | Press Release | |
99.2 | Press Release |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
JinkoSolar Holding Co., Ltd. | |||
By: | /s/ Mengmeng (Pan) Li | ||
Name: | Mengmeng (Pan) Li | ||
Title: | Chief Financial Officer |
Date: December 9, 2021
Exhibit 99.1
JinkoSolar Announces Third Quarter 2021 Financial Results
SHANGRAO, China, Nov. 30, 2021-- JinkoSolar Holding Co., Ltd. ("JinkoSolar" or the "Company") (NYSE: JKS), one of the largest and most innovative solar module manufacturers in the world, today announced its unaudited financial results for the third quarter ended September 30, 2021.
Third Quarter 2021 Business Highlights
l | JinkoSolar’s high-efficiency N-Type monocrystalline silicon solar cell sets new world record with highest conversion efficiency of 25.4%. |
l | Over 7GW of new cell capacity put into production in the second quarter reached full production in the third quarter, reducing cell production cost in the third quarter by more than 10% compared with the second quarter. |
l | China has strong market demand, and JinkoSolar’s percentage of module shipments in the Chinese market in the third quarter doubled compared to the second quarter. |
l | JinkoSolar’s competitive large-size module products accounted for nearly 50% of module shipments in the third quarter, compared with less than 20% in the first half of 2021. |
Third Quarter 2021 Operational and Financial Highlights
l | Quarterly shipments were 4,993 MW (4,671 MW for solar modules, 322 MW for cells and wafers), total shipments down 4.0% sequentially, and down 2.4% year over year. |
l | Total revenues were RMB8.57 billion (US$1.33 billion), up 8.1% sequentially and down 2.3% year over year. The sequential increase was mainly attributable to an increase in the shipment of solar modules with higher selling price compared with cells and wafers. |
l | Gross profit was RMB1.30 billion (US$201.1 million), down 4.6% sequentially and down 13.3% year over year. |
l | Gross margin was 15.1%, compared with 17.1% in Q2 2021 and 17.0% in Q3 2020. |
l | Net income was RMB194.2 million (US$30.1 million), up 193.2% sequentially and up 27.3 times year over year. |
l | Non-GAAP net income was RMB15.9 million (US$2.5 million), down 94.2% sequentially and down 95.1% year over year. |
l | Basic earnings per ordinary share and diluted loss per ordinary share were RMB1.02 (US$0.16) and RMB(0.12) (US$(0.02)), respectively. This translates into basic earnings per ADS and diluted loss per ADS of RMB4.07 (US$0.63) and RMB(0.49) (US$(0.08)), respectively. |
l | Non-GAAP basic and diluted earnings per share were RMB0.08 (US$0.01) and RMB0.08 (US$0.01), respectively. Non-GAAP basic and diluted earnings per ADS were RMB0.33 (US$0.05) and RMB0.31 (US$0.05), respectively. |
Mr. Xiande Li, JinkoSolar’s Chairman of the Board of Directors and Chief Executive Officer, commented, “the release of more efficient new cell capacity significantly reduced our cell production costs in the third quarter, partially offsetting the impact of high prices of polysilicon and other materials on production costs. Total shipments were impacted by the delay in sales revenue recognition caused by logistical issues and blockages. Logistics costs have further increased compared with the second quarter, and module prices hit a new high in almost a year. However, due to the transition to renewable energy in most regions of the world, the increase in electricity prices, financing support and other favorable policies, clients are more willing to accept higher module prices. Currently in its most severe shortage, we expect polysilicon supply will gradually return to sufficient levels starting next year, and as a result, installation demand is expected to increase significantly.
Our high-efficiency N-type monocrystalline silicon solar cell reached a maximum conversion efficiency of 25.4%, setting a world record yet again. Based on our continuous leading R&D capabilities and two years of mass production experience, we are quickly expanding N-type cell production capacity. We are preparing for approximately 16 GW of N-type cell production capacity to be operational in the first quarter of 2022, and are planning to increase our global market share by enhancing our sales and promotions of N-type products to achieve at least 50% growth in annual shipments in 2022.
Our 7GW monocrystalline silicon wafer plant in Vietnam will commence production in the first quarter of 2022. After that, we will have approximately 7 GW of integrated mono wafer-cell-module manufacturing capacity overseas. A sound and diversified global industrial chain infrastructure will enable us to be more flexible in terms of order production and customer delivery, as we continue to provide integrated services to our global customers.”
Third Quarter 2021 Financial Results
Total Revenues
Total revenues in the third quarter of 2021 were RMB8.57 billion (US$1.33 billion), an increase of 8.1% from RMB7.93 billion in the second quarter of 2021 and a decrease of 2.3% from RMB8.77 billion in the third quarter of 2020. The sequential increase was mainly attributable to an increase in the shipment of solar modules, while the year-over-year decrease was mainly attributable to a decrease in the shipment of solar modules.
Gross Profit and Gross Margin
Gross profit in the third quarter of 2021 was RMB1.30 billion (US$201.1 million), compared with RMB1.36 billion in the second quarter of 2021 and RMB1.49 billion in the third quarter of 2020.
Gross margin was 15.1% in the third quarter of 2021, compared with 17.1% in the second quarter of 2021 and 17.0% in the third quarter of 2020. The sequential and year-over-year decreases were mainly attributable to cost increases due to the rise of material prices.
Income from Operations and Operating Margin
Income from operations in the third quarter of 2021 was RMB111.2 million (US$17.3 million), compared with RMB356.4 million in the second quarter of 2021 and RMB546.0 million in the third quarter of 2020.
Operating margin was 1.3% in the third quarter of 2021, compared with 4.5% in the second quarter of 2021 and 6.2% in the third quarter of 2020.
Total operating expenses in the third quarter of 2021 were RMB1.18 billion (US$183.9 million), an increase of 18.2% from RMB1.00 billion in the second quarter of 2021 and an increase of 24.9% from RMB948.9 million in the third quarter of 2020. The sequential and year-over-year increases were mainly attributable to increases in shipping costs of solar modules in the third quarter of 2021.
Total operating expenses accounted for 13.8% of total revenues in the third quarter of 2021, compared to 12.6% in the second quarter of 2021 and 10.8% in the third quarter of 2020.
Interest Expense, Net
Net interest expense in the third quarter of 2021 was RMB165.6 million (US$25.7 million), an increase of 5.1% from RMB157.5 million in the second quarter of 2021 and an increase of 28.1% from RMB129.2 million in the third quarter of 2020. The sequential and year-over-year increases were mainly due to an increase in interest expense, as the Company’s interest-bearing debts increased.
Subsidy Income
Subsidy income in the third quarter of 2021 was RMB63.5 million (US$9.9 million), compared with RMB162.2 million in the second quarter of 2021 and RMB62.8 million in the third quarter of 2020. The sequential decrease was mainly attributable to a decrease in the cash receipt of subsidies from local governments in China which are non-recurring, not refundable and with no conditions.
Exchange Loss and Change in Fair Value of Foreign Exchange Derivatives
The Company recorded a net exchange loss (including change in fair value of foreign exchange derivatives) of RMB6.2 million (US$1.0 million) in the third quarter of 2021, compared to a net exchange loss of RMB4.4 million in the second quarter of 2021 and a net exchange loss of RMB63.9 million in the third quarter of 2020. The net exchange loss was mainly due to the exchange rate fluctuation of the US dollars against the RMB in the third quarter of 2021.
Change in Fair Value of Convertible Senior Notes and Call Option
The Company issued US$85.0 million of 4.5% convertible senior notes due 2024 (the “Notes”) in May 2019 and has elected to measure the Notes at fair value derived by valuation model, i.e. Binomial Model. The Company recognized a gain from a change in fair value of the Notes of RMB239.0 million (US$37.1 million) in the third quarter of 2021, compared to a loss of RMB335.7 million in the second quarter of 2021 and a loss of RMB593.7 million in the third quarter of 2020. The change was primarily due to a decrease in the Company’s stock price in the third quarter of 2021.
Concurrent with the issuance of the Notes in May 2019, the Company entered into a call option transaction with an affiliate of Credit Suisse Securities (USA) LLC. The Company accounted for the call option transaction as freestanding derivative assets in its consolidated balance sheets, which is marked to market during each reporting period. The Company recorded a loss from a change in fair value of the call option of RMB38.2 million (US$5.9 million) in the third quarter of 2021, compared to a gain of RMB137.9 million in the second quarter of 2021 and a gain of RMB280.7 million in the third quarter of 2020. The change was primarily due to a decrease in the Company’s stock price in the third quarter of 2021. The Company exercised all the remaining call option using cash settlement in the third quarter of 2021.
Equity in Earnings/(loss)of Affiliated Companies
The Company indirectly holds a 20% equity interest in Sweihan PV Power Company P.J.S.C, a developer and operator of solar power projects in Dubai, and accounts for its investment using the equity method. The Company also holds a 30% equity interest in Jiangsu Jinko-Tiansheng Co., Ltd, which processes and assembles PV modules as an OEM manufacturer, and accounts for its investments using the equity method. The Company recorded equity in earnings of affiliated companies of RMB13.2 million (US$2.0 million) in the third quarter of 2021, compared with a loss of RMB0.3 million in the second quarter of 2021 and a gain of RMB24.7 million in the third quarter of 2020. The gain primarily arose from interest rate swap recorded by the equity affiliate due to an increase in long-term interest rates in the third quarter of 2021. Hedge accounting was not applied for the derivative.
Income Tax Expense/(Benefit)
The Company recorded an income tax expense of RMB22.0 million (US$3.4 million) in the third quarter of 2021, compared with an income tax benefit of RMB6.9 million in the second quarter of 2021 and an income tax expense of RMB69.2 million in the third quarter of 2020. The sequential increase of tax expense was mainly due to additional 2020 income tax deduction for R&D costs approved by the local tax bureau in the second quarter of 2021.
Net Income and Earnings/(loss) per Share
Net income attributable to the Company’s ordinary shareholders was RMB194.2 million (US$30.1 million) in the third quarter of 2021, compared with net income attributable to the Company’s ordinary shareholders of RMB66.2 million in the second quarter of 2021 and RMB6.9 million in the third quarter of 2020.
Net income attributable to non-controlling interests decreased in the third quarter of 2021 mainly attributable to lower profit generated from the Company’s certain subsidiary of which non-controlling shareholders own equity interests.
Basic earnings per ordinary share and diluted loss per ordinary share were RMB1.02 (US$0.16) and RMB(0.12) (US$(0.02)), respectively, during the third quarter of 2021, compared to RMB0.35 and RMB0.35, respectively, in the second quarter of 2021, and RMB0.04 and RMB(1.55), respectively, in the third quarter of 2020. As each ADS represents four ordinary shares, this translates into basic earnings per ADS and diluted loss per ADS of RMB4.07 (US$0.63) and RMB(0.49) (US$(0.08)), respectively in the third quarter of 2021; RMB1.39 and RMB1.38, respectively, in the second quarter of 2021; and RMB0.16 and RMB(6.20), respectively, in the third quarter of 2020. The difference between basic earning and diluted loss per share in the third quarter of 2021 was mainly due to the dilutive impact of convertible senior notes.
Non-GAAP net income attributable to the Company's ordinary shareholders in the third quarter of 2021 was RMB15.9 million (US$2.5 million), compared with RMB274.7 million in the second quarter of 2021 and RMB321.4 million in the third quarter of 2020.
Non-GAAP basic and diluted earnings per ordinary share were both RMB0.08 (US$0.01) during the third quarter of 2021; both RMB1.44 in the second quarter of 2021 and both RMB1.81 in the third quarter of 2020. This translates into non-GAAP basic and diluted earnings per ADS of RMB0.33 (US$0.05) and RMB0.31 (US$0.05), respectively, in the third quarter of 2021; RMB5.76 and RMB5.75, respectively, in the second quarter of 2021, and both RMB7.22 in the third quarter of 2020.
Because of the dilutive impact of call option arrangement during the third quarter of 2020, potential shares underlying the call option arrangement were removed from weighted average number of ordinary shares outstanding since their issuance date, and changes in income of the assumed exercise of call option, including the change in fair value of the call option, foreign exchange gain/(loss) on the call option, and the issuance costs of the call option were also recorded as the adjustment to the Company’s consolidated net income to arrive at the diluted net income available to the Company’s ordinary shareholders. Under that situation, the Company implemented the same denominator for both non-GAAP basic and dilutive earnings per ordinary share in the third quarter of 2020.
Financial Position
As of September 30, 2021, the Company had RMB7.32 billion (US$1.14 billion) in cash and cash equivalents and restricted cash, compared with RMB6.52 billion as of June 30, 2021.
As of September 30, 2021, the Company’s accounts receivables due from third parties were RMB4.27 billion (US$662.5 million), compared with RMB3.91 billion as of June 30, 2021.
As of September 30, 2021, the Company’s inventories were RMB13.47 billion (US$2.09 billion), compared with RMB9.88 billion as of June 30, 2021.
As of September 30, 2021, the Company's total interest-bearing debts were RMB23.76 billion (US$3.69 billion), of which RMB438.2 million (US$68.0 million) was related to the Company’s overseas downstream solar projects, compared with RMB20.15 billion, of which RMB436.5 million was related to the Company’s overseas downstream solar projects as of June 30, 2021.
Third Quarter 2021 Operational Highlights
Solar Module, Cell and Wafer Shipments
Total shipments in the third quarter of 2021 were 4,993 MW, including 4,671 MW for solar module shipments and 322 MW for cell and wafer shipments.
Solar Products Production Capacity
As of September 30, 2021, the Company's in-house annual mono wafer, solar cell and solar module production capacity was 31 GW, 19 GW (940 MW for N type cells) and 36 GW, respectively.
Operations and Business Outlook Highlights
With JinkoSolar’s industry-leading N-type cell R&D capabilities and over two year’s mass production experience, it is investing in N-type cells, with an expected output of about 10GW in 2022. On the one hand, it helps alleviate challenges related to the Company's insufficient cell production capacity, and on the other hand, the N-type technology greatly improves module performance. The Company recently released a brand new Tiger Neo N-type product with mass production output of up to 620W. The Company’s monocrystalline silicon wafer factory in Vietnam has started construction recently and will commence production in the first quarter of 2022, after which it will have approximately 7GW of overseas integrated production capacity, from mono silicon wafers to high-efficiency cells and modules. JinkoSolar is committed to improving the supply chain worldwide and producing high-quality and efficient products to serve global customers.
Fourth Quarter and Full Year 2021 Guidance
The Company's business outlook is based on management's current views and estimates with respect to market conditions, production capacity, the Company's order book and the global economic environment. This outlook is subject to uncertainty on final customer demand and sale schedules. Management's views and estimates are subject to change without notice.
For the fourth quarter of 2021, the Company expects total shipments to be in the range of 7.3 GW to 8.8 GW (solar module shipments to be in the range of 7 GW to 8.5 GW). Total revenue for the fourth quarter is expected to be in the range of US$1.8 billion to US$2.2 billion. Gross margin for the fourth quarter is expected to be between 13% and 16%.
For full year 2021, the Company estimates total shipments (including solar modules, cells and wafers) to be in the range of 22.8 GW to 24.3 GW.
Solar Products Production Capacity
JinkoSolar expects its annual mono wafer, solar cell and solar module production capacity to reach 32.5 GW, 24 GW (including 940 MW N-type cells) and 45 GW, respectively, by the end of 2021.
Recent Business Developments
l | In August 2021, JinkoSolar’s principal operating subsidiary, Jinko Solar Co., Ltd. signed a long-term polysilicon supply agreement with Wacker Chemie AG. |
l | In September 2021, JinkoSolar’s principal operating subsidiary, Jinko Solar Co., Ltd. signed a strategic cooperation framework agreement with Contemporary Amperex Technology Co., Ltd. |
l | In September 2021, JinkoSolar announced that it is investing $500 million to build a monocrystalline ingot and wafer manufacturing facility in Quảng Ninh Province, Vietnam. |
l | In September 2021, JinkoSolar was awarded the 'Top Brand PV USA' seal by EUPD Research. |
l | In September 2021, the stock listing committee of Shanghai Stock Exchange's Sci-Tech innovation board reviewed application of Jinko Solar Co., Ltd., the principal operating subsidiary of JinkoSolar, and considered that it had met the offering, listing and disclosure requirements related to its proposed IPO. |
l | In October 2021, JinkoSolar achieved a major technical breakthrough on its N-type monocrystalline silicon solar cell, setting a new world record for the fourth time in a year with the maximum solar conversion efficiency of 25.4% for its large-size passivating contact solar cell. |
l | In October 2021, JinkoSolar won the prestigious Green World Awards for Environmental Best Practice named by the Green Organization in the global campaign to find the world's greenest countries, companies, and communities. |
l | In October 2021, JinkoSolar’s Tiger and Tiger Pro module series met the carbon footprint verification standards of TÜV Rheinland Group, a leading global services provider in the testing of PV modules and components. |
l | In October 2021, JinkoSolar worked with Catholic Charities Jacksonville to provide refugees living in Jacksonville access to devices and internet in order to facilitate their English classes and better acclimate to life in America. |
l | In November 2021, JinkoSolar launched a new series of ultra-efficient 2021 Flagship Tiger Neo modules. |
l | In November 2021, JinkoSolar announced that its principal operating subsidiary, Jinko Solar Co., Ltd. plans to invest RMB450 million for equity in Sichuan Yongxiang Energy Technology Co., Ltd., a subsidiary of Tongwei Co., Ltd. (Shanghai Stock Exchange: 600438). |
Conference Call Information
JinkoSolar's management will host an earnings conference call on Tuesday, November 30, 2021 at 7:30 a.m. U.S. Eastern Time (8:30 p.m. Beijing / Hong Kong the same day).
Dial-in details for the earnings conference call are as follows:
Hong Kong / International: | +852 3027 6500 | |
U.S. Toll Free: | +1 855-824-5644 | |
Passcode: | 71417350# |
Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call.
A telephone replay of the call will be available 2 hours after the conclusion of the conference call through 23:59 U.S. Eastern Time, December 7, 2021. The dial-in details for the replay are as follows:
International: | +61 2 8325 2405 | |
U.S.: | +1 646 982 0473 | |
Passcode: | 520000271# |
Additionally, a live and archived webcast of the conference call will be available on the Investor Relations section of JinkoSolar's website at www.jinkosolar.com.
About JinkoSolar Holding Co., Ltd.
JinkoSolar (NYSE: JKS) is one of the largest and most innovative solar module manufacturers in the world. JinkoSolar distributes its solar products and sells its solutions and services to a diversified international utility, commercial and residential customer base in China, the United States, Japan, Germany, the United Kingdom, Chile, South Africa, India, Mexico, Brazil, the United Arab Emirates, Italy, Spain, France, Belgium, and other countries and regions. JinkoSolar has built a vertically integrated solar product value chain, with an integrated annual capacity of 31 GW for mono wafers, 19 GW for solar cells, and 36 GW for solar modules, as of September 30, 2021.
JinkoSolar has 9 productions facilities globally, 22 overseas subsidiaries in Japan, South Korea, Vietnam, India, Turkey, Germany, Italy, Switzerland, United States, Mexico, Brazil, Chile, Australia, Portugal, Canada, Malaysia, UAE, Hong Kong, Denmark, and global sales teams in China, United Kingdom, France, Spain, Bulgaria, Greece, Ukraine, Jordan, Saudi Arabia, Tunisia, Morocco, South Africa, Costa Rica, Colombia, Panama, Kazakhstan, Malaysia, Myanmar, Sri Lanka, Thailand, Vietnam, Poland and Argentina, as of September 30, 2021.
To find out more, please see: www.jinkosolar.com
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), JinkoSolar uses certain non-GAAP financial measures including, non-GAAP net income, non-GAAP earnings per Share, and non-GAAP earnings per ADS, which are adjusted from the comparable GAAP results to exclude certain expenses or incremental ordinary shares relating to share-based compensation, convertible senior notes and call option:
l | Non-GAAP net income is adjusted to exclude the expenses relating to issuance cost of convertible senior notes, change in fair value of convertible senior notes and call option, interest expenses of convertible senior notes and call option, exchange (gain)/loss on the convertible senior notes and call option, and stock-based compensation (benefit)/expense; given these Non-GAAP net income adjustments above are either related to the Company or its subsidiaries incorporated in Cayman Islands, which are not subject to tax exposures, or related to those subsidiaries with tax loss positions which result in no tax impacts, therefore no tax adjustment is needed in conjunction with these Non-GAAP net income adjustments; and |
l | Non-GAAP earnings per share and non-GAAP earnings per ADS are adjusted to exclude the expenses relating to issuance cost of convertible senior notes, change in fair value of convertible senior notes and call option, interest expenses of convertible senior notes and call option, exchange gain on the convertible senior notes and call option, and stock-based compensation. As the Non-GAAP net income is adjusted to exclude the change in fair value of call option, the dilutive impact of call option, if any, is also excluded from the denominator for the calculation of Non-GAAP earnings per share and non-GAAP earnings per ADS. |
The Company believes that the use of non-GAAP information is useful for analysts and investors to evaluate JinkoSolar's current and future performances based on a more meaningful comparison of net income and diluted net income per ADS when compared with its peers and historical results from prior periods. These measures are not intended to represent or substitute numbers as measured under GAAP. The submission of non-GAAP numbers is voluntary and should be reviewed together with GAAP results.
Currency Convenience Translation
The conversion of Renminbi into U.S. dollars in this release, made solely for the convenience of the readers, is based on the noon buying rate in the city of New York for cable transfers of Renminbi as certified for customs purposes by the Federal Reserve Bank of New York as of September 30, 2021, which was RMB6.4434 to US$1.00. No representation is intended to imply that the Renminbi amounts could have been, or could be, converted, realized, or settled into U.S. dollars at that rate or any other rate. The percentages stated in this press release are calculated based on Renminbi.
Safe-Harbor Statement
This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends, "plans," "believes," "estimates" and similar statements. Among other things, the quotations from management in this press release and the Company's operations and business outlook, contain forward-looking statements. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Further information regarding these and other risks is included in JinkoSolar's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F. Except as required by law, the Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
For investor and media inquiries, please contact:
In China:
Ms. Stella Wang
JinkoSolar Holding Co., Ltd.
Tel: +86 21-5180-8777 ext.7806
Email: ir@jinkosolar.com
Rene Vanguestaine
Christensen
Tel: +86 178 1749 0483
Email: rvanguestaine@ChristensenIR.com
In the U.S.:
Ms. Linda Bergkamp
Christensen
Tel: +1-480-614-3004
Email: lbergkamp@ChristensenIR.com
JINKOSOLAR HOLDING CO., LTD.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except ADS and Share data)
For the quarter ended | For the nine months ended | ||||||||||||||
Sep 30, 2020 | Jun 30, 2021 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2021 | |||||||||||
RMB’000 | RMB’000 | RMB’000 | USD’000 | RMB’000 | RMB’000 | USD’000 | |||||||||
Revenues from third parties | 8,768,376 | 7,925,417 | 8,568,057 | 1,329,742 | 25,648,308 | 24,433,522 | 3,792,023 | ||||||||
Revenues from related parties | 1,919 | 2,799 | 1,948 | 302 | 56,573 | 5,291 | 821 | ||||||||
Total revenues | 8,770,295 | 7,928,216 | 8,570,005 | 1,330,044 | 25,704,881 | 24,438,813 | 3,792,844 | ||||||||
Cost of revenues | (7,275,366 | ) | (6,569,088 | ) | (7,273,962 | ) | (1,128,901 | ) | (21,040,132 | ) | (20,425,271 | ) | (3,169,952 | ) | |
Gross profit | 1,494,929 | 1,359,128 | 1,296,043 | 201,143 | 4,664,749 | 4,013,542 | 622,892 | ||||||||
Operating expenses: | |||||||||||||||
Selling and marketing | (498,221 | ) | (509,440 | ) | (614,694 | ) | (95,399 | ) | (1,821,234 | ) | (1,738,992 | ) | (269,887 | ) | |
General and administrative | (345,228 | ) | (378,503 | ) | (445,050 | ) | (69,071 | ) | (878,274 | ) | (1,187,425 | ) | (184,285 | ) | |
Research and development | (105,445 | ) | (114,806 | ) | (125,091 | ) | (19,414 | ) | (251,872 | ) | (347,041 | ) | (53,860 | ) | |
Impairment of long-lived assets | - | - | - | - | - | (123,405 | ) | (19,152 | ) | ||||||
Total operating expenses | (948,894 | ) | (1,002,749 | ) | (1,184,835 | ) | (183,884 | ) | (2,951,380 | ) | (3,396,863 | ) | (527,184 | ) | |
Income from operations | 546,035 | 356,379 | 111,208 | 17,259 | 1,713,369 | 616,679 | 95,708 | ||||||||
Interest expenses, net | (129,221 | ) | (157,523 | ) | (165,553 | ) | (25,693 | ) | (344,073 | ) | (479,610 | ) | (74,434 | ) | |
Subsidy income | 62,839 | 162,216 | 63,518 | 9,858 | 82,279 | 356,049 | 55,258 | ||||||||
Exchange loss | (175,650 | ) | (110,256 | ) | (46,217 | ) | (7,173 | ) | (113,084 | ) | (228,016 | ) | (35,388 | ) | |
Change in fair value of interest rate swap | - | - | - | - | (78,878 | ) | - | - | |||||||
Change in fair value of foreign exchange derivatives | 111,710 | 105,812 | 39,979 | 6,205 | 12,057 | 190,696 | 29,596 | ||||||||
Change in fair value of convertible senior notes and call option | (312,992 | ) | (197,733 | ) | 200,730 | 31,153 | (298,167 | ) | 182,101 | 28,262 | |||||
Other income/(expense), net | (1,409 | ) | 1,366 | 172 | 27 | (1,469 | ) | 4,776 | 741 | ||||||
Income before income taxes | 101,312 | 160,261 | 203,837 | 31,636 | 972,034 | 642,675 | 99,743 | ||||||||
Income tax (expenses)/benefit | (69,226 | ) | 6,900 | (21,958 | ) | (3,408 | ) | (201,499 | ) | (67,268 | ) | (10,440 | ) | ||
Equity in earnings/(loss) of affiliated companies | 24,704 | (268 | ) | 13,158 | 2,042 | (72,612 | ) | 56,338 | 8,744 | ||||||
Net income | 56,790 | 166,893 | 195,037 | 30,270 | 697,923 | 631,745 | 98,047 | ||||||||
Less: Net income attributable to non-controlling interests | 49,937 | 100,657 | 813 | 126 | 90,588 | 150,195 | 23,310 | ||||||||
Net income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders | 6,853 | 66,236 | 194,224 | 30,144 | 607,335 | 481,550 | 74,737 | ||||||||
Net income/(loss) attributable to JinkoSolar Holding Co., Ltd.’s ordinary shareholders per share: | |||||||||||||||
Basic | 0.04 | 0.35 | 1.02 | 0.16 | 3.41 | 2.53 | 0.39 | ||||||||
Diluted | (1.55 | ) | 0.35 | (0.12 | ) | (0.02 | ) | 2.28 | 0.97 | 0.15 | |||||
Net income/(loss) attributable to JinkoSolar Holding Co., Ltd.’s ordinary shareholders per ADS: | |||||||||||||||
Basic | 0.16 | 1.39 | 4.07 | 0.63 | 13.64 | 10.10 | 1.57 | ||||||||
Diluted | (6.20 | ) | 1.38 | (0.49 | ) | (0.08 | ) | 9.14 | 3.86 | 0.60 | |||||
Weighted average ordinary shares outstanding: | |||||||||||||||
Basic | 177,992,073 | 190,716,434 | 190,768,148 | 190,768,148 | 178,150,798 | 190,639,480 | 190,639,480 | ||||||||
Diluted | 170,492,073 | 191,192,954 | 205,195,236 | 205,195,236 | 172,045,324 | 205,669,439 | 205,669,439 | ||||||||
Weighted average ADS outstanding: | |||||||||||||||
Basic | 44,498,018 | 47,679,108 | 47,692,037 | 47,692,037 | 44,537,699 | 47,659,870 | 47,659,870 | ||||||||
Diluted | 42,623,018 | 47,798,239 | 51,298,809 | 51,298,809 | 43,011,331 | 51,417,360 | 51,417,360 |
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Net income | 56,790 | 166,893 | 195,037 | 30,270 | 697,923 | 631,745 | 98,047 | ||||||||
Other comprehensive income/(loss): | |||||||||||||||
-Foreign currency translation adjustments | (100,718 | ) | (64,338 | ) | 15,258 | 2,368 | (64,438 | ) | 39,922 | 6,196 | |||||
-Change in the instrument-specific credit risk | (36,727 | ) | 22,772 | 12,510 | 1,942 | (11,004 | ) | 57,920 | 8,989 | ||||||
Comprehensive income/(loss) | (80,655 | ) | 125,327 | 222,805 | 34,580 | 622,481 | 729,587 | 113,232 | |||||||
Less: Comprehensive income attributable to non-controlling interests | 49,937 | 100,657 | 813 | 126 | 90,588 | 150,195 | 23,310 | ||||||||
Comprehensive income/(loss) attributable to JinkoSolar Holding Co., Ltd.’s ordinary shareholders | (130,592 | ) | 24,670 | 221,992 | 34,454 | 531,893 | 579,392 | 89,922 | |||||||
Reconciliation of GAAP and non-GAAP Results | |||||||||||||||
1. Non-GAAP earnings per share and non-GAAP earnings per ADS | |||||||||||||||
GAAP net income attributable to ordinary shareholders | 6,853 | 66,236 | 194,224 | 30,144 | 607,335 | 481,550 | 74,737 | ||||||||
Change in fair value of convertible senior notes and call option | 312,992 | 197,733 | (200,730 | ) | (31,153 | ) | 298,167 | (182,101 | ) | (28,262 | ) | ||||
Net interest expenses of convertible senior notes and call option | 7,217 | 5,714 | 5,431 | 843 | 20,078 | 16,568 | 2,571 | ||||||||
Exchange loss/(gain) on convertible senior notes and call option | (5,904 | ) | 4,906 | 11,883 | 1,844 | (1,531 | ) | 18,574 | 2,883 | ||||||
Stock-based compensation expense | 194 | 84 | 5,046 | 783 | 866 | 5,213 | 809 | ||||||||
Non-GAAP net income attributable to ordinary shareholders | 321,352 | 274,673 | 15,854 | 2,461 | 924,915 | 339,804 | 52,738 | ||||||||
Non-GAAP earnings per share attributable to ordinary shareholders - | |||||||||||||||
Basic | 1.81 | 1.44 | 0.08 | 0.01 | 5.19 | 1.78 | 0.28 | ||||||||
Diluted | 1.81 | 1.44 | 0.08 | 0.01 | 5.19 | 1.65 | 0.26 | ||||||||
Non-GAAP earnings per ADS attributable to ordinary shareholders - | |||||||||||||||
Basic | 7.22 | 5.76 | 0.33 | 0.05 | 20.77 | 7.13 | 1.11 | ||||||||
Diluted | 7.22 | 5.75 | 0.31 | 0.05 | 20.77 | 6.61 | 1.02 | ||||||||
Non-GAAP weighted average ordinary shares outstanding | |||||||||||||||
Basic | 177,992,073 | 190,716,434 | 190,768,148 | 190,768,148 | 178,150,798 | 190,639,480 | 190,639,480 | ||||||||
Diluted | 177,992,073 | 191,192,954 | 205,195,236 | 205,195,236 | 178,150,798 | 205,669,439 | 205,669,439 | ||||||||
Non-GAAP weighted average ADS outstanding | |||||||||||||||
Basic | 44,498,018 | 47,679,108 | 47,692,037 | 47,692,037 | 44,537,700 | 47,659,870 | 47,659,870 | ||||||||
Diluted | 44,498,018 | 47,798,239 | 51,298,809 | 51,298,809 | 44,537,700 | 51,417,360 | 51,417,360 |
JINKOSOLAR
HOLDING CO., LTD.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
Dec 31, 2020 | Sep 30, 2021 | ||||||
RMB’000 | RMB’000 | USD’000 | |||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | 7,481,678 | 6,622,930 | 1,027,863 | ||||
Restricted cash | 593,094 | 698,052 | 108,336 | ||||
Restricted short-term investments | 6,400,637 | 7,377,498 | 1,144,970 | ||||
Short-term investments | 570,000 | 420,000 | 65,183 | ||||
Accounts receivable, net - related parties | 410,358 | 3,027 | 470 | ||||
Accounts receivable, net - third parties | 4,534,758 | 4,268,519 | 662,464 | ||||
Notes receivable, net - related parties | 33,001 | 10,425 | 1,618 | ||||
Notes receivable, net - third parties | 1,051,561 | 1,611,857 | 250,156 | ||||
Advances to suppliers, net - third parties | 1,002,613 | 2,330,402 | 361,673 | ||||
Inventories, net | 8,376,936 | 13,473,320 | 2,091,026 | ||||
Forward contract receivables | 183,146 | 41,781 | 6,484 | ||||
Prepayments and other current assets, net - related parties | 23,756 | 18,254 | 2,833 | ||||
Prepayments and other current assets, net | 3,020,592 | 2,792,086 | 433,325 | ||||
Total current assets | 33,682,130 | 39,668,151 | 6,156,401 | ||||
Non-current assets: | |||||||
Restricted cash | 1,389,194 | 1,314,073 | 203,941 | ||||
Accounts receivable, net - third parties | 26,405 | 27,759 | 4,308 | ||||
Project Assets | 645,355 | 509,328 | 79,046 | ||||
Long-term investments | 194,258 | 355,295 | 55,141 | ||||
Property, plant and equipment, net | 12,455,444 | 17,542,382 | 2,722,535 | ||||
Land use rights, net | 760,962 | 838,903 | 130,196 | ||||
Intangible assets, net | 35,838 | 38,462 | 5,969 | ||||
Financing lease right-of-use assets, net | 829,122 | 647,722 | 100,525 | ||||
Operating lease right-of-use assets, net | 316,512 | 441,587 | 68,533 | ||||
Deferred tax assets | 255,107 | 255,107 | 39,592 | ||||
Call Option - concurrent with issuance of convertible senior notes | 756,929 | - | - | ||||
Advances to suppliers to be utilised beyond one year | - | 177,825 | 27,598 | ||||
Other assets, net - related parties | 107,319 | 3,937 | 611 | ||||
Other assets, net - third parties | 1,777,799 | 2,176,279 | 337,753 | ||||
Total non-current assets | 19,550,244 | 24,328,659 | 3,775,748 | ||||
Total assets | 53,232,374 | 63,996,810 | 9,932,149 | ||||
LIABILITIES | |||||||
Current liabilities: | |||||||
Accounts payable - related parties | 14,114 | 15,816 | 2,455 | ||||
Accounts payable - third parties | 4,436,495 | 4,988,698 | 774,234 | ||||
Notes payable - third parties | 9,334,876 | 9,509,365 | 1,475,830 | ||||
Accrued payroll and welfare expenses | 995,054 | 1,086,629 | 168,642 | ||||
Advances from third parties | 2,451,495 | 4,523,737 | 702,073 | ||||
Income tax payable | 73,720 | 118,292 | 18,359 | ||||
Other payables and accruals | 3,408,391 | 4,347,184 | 674,674 | ||||
Other payables due to related parties | 71,515 | 2,400 | 372 | ||||
Forward contract payables | 17,895 | 3,118 | 484 | ||||
Convertible senior notes - current | 1,831,612 | - | - | ||||
Financing lease liabilities - current | 272,330 | 196,332 | 30,470 | ||||
Operating lease liabilities - current | 48,244 | 61,430 | 9,534 | ||||
Short-term borrowings from third parties, including current portion of long-term bank borrowings | 8,238,531 | 12,032,305 | 1,867,384 | ||||
Guarantee liabilities to related parties | 22,519 | 5,124 | 795 | ||||
Total current liabilities | 31,216,791 | 36,890,430 | 5,725,306 | ||||
Non-current liabilities: | |||||||
Long-term borrowings | 7,301,536 | 9,661,276 | 1,499,407 | ||||
Convertible senior notes | - | 1,121,151 | 174,000 | ||||
Accrued warranty costs - non current | 769,332 | 791,109 | 122,778 | ||||
Financing lease liabilities | 313,088 | 299,497 | 46,481 | ||||
Operating lease liabilities | 277,239 | 392,859 | 60,971 | ||||
Deferred tax liability | 328,713 | 328,713 | 51,015 | ||||
Long-term Payables | 97 | 422,899 | 65,633 | ||||
Guarantee liabilities to related parties - non current | 34,812 | 7,686 | 1,193 | ||||
Total non-current liabilities | 9,024,817 | 13,025,190 | 2,021,478 | ||||
Total liabilities | 40,241,608 | 49,915,620 | 7,746,784 | ||||
SHAREHOLDERS' EQUITY | |||||||
Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 190,380,309 and 193,714,753 shares issued as of December 31, 2020 and September 30, 2021, respectively) | 26 | 26 | 4 | ||||
Additional paid-in capital | 5,251,245 | 5,612,082 | 870,981 | ||||
Statutory reserves | 692,009 | 692,009 | 107,398 | ||||
Accumulated other comprehensive income | (128,615 | ) | (30,773 | ) | (4,776 | ) | |
Treasury stock, at cost; 2,945,840 ordinary shares as of December 31, 2020 and September 30, 2021 | (43,170 | ) | (43,170 | ) | (6,700 | ) | |
Accumulated retained earnings | 4,216,353 | 4,697,903 | 729,103 | ||||
Total JinkoSolar Holding Co., Ltd. shareholders' equity | 9,987,848 | 10,928,077 | 1,696,010 | ||||
Non-controlling interests | 3,002,918 | 3,153,113 | 489,355 | ||||
Total liabilities and shareholders' equity | 53,232,374 | 63,996,810 | 9,932,149 |
Exhibit 99.2
JinkoSolar Announces Results of 2021 Annual General Meeting
SHANGRAO, China, Dec. 9, 2021 /PRNewswire/ -- JinkoSolar Holding Co., Ltd. ("JinkoSolar" or the "Company") (NYSE: JKS), one of the largest and most innovative solar module manufacturers in the world, today announced that all shareholders resolutions proposed at the Company's 2021 annual general meeting held today were duly passed. Specifically, the shareholders passed the following resolutions approving:
1. | The re-election of Mr. Xianhua Li as a director of the Company; | |
2. | The re-election of Mr. Steven Markscheid as a director of the Company; | |
3. | The ratification of the appointment of PricewaterhouseCoopers Zhong Tian LLP as auditors of the Company for the fiscal year of 2021; | |
4. | The authorization of the directors of the Company to determine the remuneration of the auditors; and | |
5. | The authorization of each of the directors of the Company to take any and all action that might be necessary to effect the forgoing resolutions 1 to 4 as such director, in his or her absolute discretion, thinks fit. |
About JinkoSolar Holding Co., Ltd.
JinkoSolar (NYSE: JKS) is one of the largest and most innovative solar module manufacturers in the world. JinkoSolar distributes its solar products and sells its solutions and services to a diversified international utility, commercial and residential customer base in China, the United States, Japan, Germany, the United Kingdom, Chile, South Africa, India, Mexico, Brazil, the United Arab Emirates, Italy, Spain, France, Belgium, and other countries and regions. JinkoSolar has built a vertically integrated solar product value chain, with an integrated annual capacity of 31 GW for mono wafers, 19 GW for solar cells, and 36 GW for solar modules, as of September 30, 2021.
JinkoSolar has 9 productions facilities globally, 22 overseas subsidiaries in Japan, South Korea, Vietnam, India, Turkey, Germany, Italy, Switzerland, United States, Mexico, Brazil, Chile, Australia, Portugal, Canada, Malaysia, UAE, Hong Kong, Denmark, and global sales teams in China, United Kingdom, France, Spain, Bulgaria, Greece, Ukraine, Jordan, Saudi Arabia, Tunisia, Morocco, South Africa, Costa Rica, Colombia, Panama, Kazakhstan, Malaysia, Myanmar, Sri Lanka, Thailand, Vietnam, Poland and Argentina, as of September 30, 2021.
To find out more, please see: www.jinkosolar.com
Safe-Harbor Statement
This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends, "plans," "believes," "estimates" and similar statements. Among other things, the quotations from management in this press release and the Company's operations and business outlook, contain forward-looking statements. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Further information regarding these and other risks is included in JinkoSolar's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F. Except as required by law, the Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
For investor and media inquiries, please contact:
In China:
Ms. Stella Wang
JinkoSolar Holding Co., Ltd.
Tel: +86 21-5180-8777 ext.7806
Email: ir@jinkosolar.com
Rene Vanguestaine
Christensen
Tel: +86 178 1749 0483
Email: rvanguestaine@ChristensenIR.com
In the U.S.:
Ms. Linda Bergkamp
Christensen
Tel: +1-480-614-3004
Email: lbergkamp@ChristensenIR.com