Apollo Solar recognizes US$390 million revenues for turnkey a-Si equipment in 2010

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email

During 2010, media coverage of a-Si tool suppliers often outweighed that of their own customers who were hard at work seeking new business for sub-10% efficient PV panels. With much of the attention on well-known names such as Applied Materials, Oerlikon, and Ulvac, other equipment suppliers located within the Asia Pacific region moved quietly – but efficiently – into the turnkey a-Si space, clocking up a host of new orders from enthusiastic thin-film entrants. And the two equipment companies receiving most of these new orders were Jusung Engineering and Apollo Solar Energy Technology.

For anyone tracking the overall PV equipment landscape during 2010, Apollo was the company to monitor. Having entered the a-Si turnkey PV manufacturing business through the merger of RBI Holdings with Apollo Precision in November 2009, the renamed Apollo Solar quickly secured one of the largest ever PV equipment orders (contracts) — from Hanergy Holding Group — for US$2.9 billion. In fact, Hanergy was one of four new companies to place orders on Apollo for turnkey a-Si production lines in 2010.

Apollo’s PV equipment revenues recognized during 2010 were equivalent to US$390 million – a figure significantly higher than most well-established tool suppliers to the PV industry. To put this in perspective, Apollo’s 2010 PV revenues were above those of Oerlikon and Roth & Rau, and only marginally below Ulvac’s PV revenues for the year.

Furthermore, utilizing in-house deposition/sputtering tools and sourcing laser scribers locally from Han’s Laser (and Rofin-Sinar), Apollo’s solar segment gross profit margin during 2010 exceeded 69%, with a net income for this segment around US$153 million.

While final counting and full-year reporting is still ongoing, there is little doubt that Apollo’s US$390 million PV revenues will see the company comfortably within any top-10 list for PV equipment suppliers in 2010. In fact, Apollo is one of several PV equipment suppliers across the Asia Pacific region which benefited from the strong investment by tier 2 and tier 3 PV manufacturers within China last year.

Often, these manufacturers purchase equipment locally with significantly reduced tool ASPs. Apollo’s turnkey lines were ordered at between US$0.75/W to US$1/W in 2010, depending on the MW-level ordered by its new customer base.

The short-term outlook for Apollo appears encouraging. A backlog (of tool revenues recognizable within 12 months) at the US$1 billion level, a customer base hungry to match low capital costs with low operating costs, and a manufacturing base close to the a-Si action these days. But some caveats ought to be applied.

Hindsight informs us of previous GW+ a-Si turnkey backlogs within the PV industry that failed to materialize; high-volume tool ramp-up is still in its infancy period; and the prospects of its customers placing several hundred MW of new PV panels during 2011 may prove increasingly problematic at a time when tier 1 c-Si module inventories are starting to rack up.

Ultimately, equipment suppliers gain from fab investment and expansions. While new entrants continue to secure financing, turnkey suppliers like Apollo will continue to benefit – somewhat shielded in the short-term from any delays of their customers in securing downstream project business.

2 December 2021
Intersolar is the world’s leading exhibition & conference series for the solar industry. As part of this event series, Intersolar India in Mumbai is India’s most pioneering exhibition and conference for India’s solar industry. It takes place annually and has a focus on the areas of photovoltaics, PV production and solar thermal technologies. Since 2019, Intersolar India is held under the umbrella of The smarter E India – India’s innovation hub for the new energy world.
9 December 2021
The Smart Energy Council is hosting Australia’s second Virtual Smart Energy Conference and Exhibition on Thursday, 9 December 2021. This event will show that the industry powers on despite COVID-19 and we are standing together undeterred in spirit. Bringing our global community together using the latest technology.
13 January 2022
Intersolar North America and Energy Storage North America “Come Together” for the first time in Long Beach, CA—connecting installers, developers, utilities, technology providers, policy makers, and key stakeholders from around the world to advance the clean energy future. With best-in-class conference programming, integrated exhibits and pavilions, and the live Solar Games installer competition, #isnaesna21 will showcase the industry trends, innovative solutions, and emerging talent transforming the solar, energy storage, and e-mobility markets. Register today to redeem our exclusive offer for PV Tech readers—free expo hall or 20% off full conference pass.
1 February 2022
As Solar Finance & Investment enters its ninth year, we sit on the cusp of a new power market with solar at its heart. The 2022 edition of the event will build on our years of expertise and relationships to bring investors and lenders together with top developers. Connect with leaders in the field and use exclusive insights to drive investment and development decisions for the future. Meet new and existing project partners at the largest gathering of European solar investors and lenders.
23 February 2022
Held annually since 2016, the Energy Storage Summit Europe is the place to be for senior stakeholders in the European storage industry. Designed to accelerate deployment of storage, we examine evolving chemistries, business models, project design, revenue stacks and use cases for storage. The 2022 edition will include exclusive content around longer duration solutions, energy strategies for wide-scale deployment of EVs and "EnTech", the event which sits at the intersection of digitisation, decentralisation and decarbonation of the power system. Come to meet TSOs, DSOs, Utilities, Developers, Investors and Lenders and leave with new contacts, partners and a wealth of information.
7 March 2022
Take your chance to join the most powerful platform in the MENA region. Middle East Energy (MEE), Intersolar, and ees, the leading energy exhibitions are joining hands to co-deliver an outstanding renewables and energy storage event at Middle East Energy 2021. Renewables and energy storage at MEE is the largest gathering of solar and renewable energy industry professionals in the Middle East & Africa, offering the most effective trade focused platform to international manufacturers and distributors looking to meet regional buyers.

Read Next

December 1, 2021
Major US bank Wells Fargo has closed its maiden tax equity investment into a colocated solar-storage project currently under construction in New Mexico, US.
PV Tech Premium
December 1, 2021
The price of shipping containers from Asia to Europe and North America remains high but should start to come down in the new year, although the main price drops won’t occur in earnest until 2023 when new capacity is brought online. That additional capacity, however, may be offset by new International Maritime Organisation (IMO) rules to address the industry’s emissions
December 1, 2021
Enefit Green, the renewables subsidiary of Estonian state-owned utility Eesti Energia, is looking to procure up to 500MW of solar modules in the next three years.
December 1, 2021
Tech major Amazon has added a further 2GW to its committed utility-scale solar PV capacity, adding projects in the US and Europe to its renewables portfolio.
December 1, 2021
Global solar PV deployment is on track to grow by 17% this year in spite of surging commodity prices increasing manufacturing costs, according to the International Energy Agency (IEA).
December 1, 2021
The European Commission (EC) has approved the extension of Poland’s auction scheme for renewable resources that is predicted to support the creation of 9GW of renewables after it passed EU state aid rules

Subscribe to Newsletter

Upcoming Events

Solar Media Events
February 1, 2022
London, UK
Solar Media Events
February 23, 2022
London, UK
Solar Media Events
March 23, 2022
Austin, Texas, USA
Solar Media Events
March 29, 2022
Lisbon, Portugal