GCL-SI targeting 80% of solar module shipments outside China in 2019

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
GCL System Integration Technology (GCL-SI) doubled overseas PV module shipments in 2018, while seeking a target of shipments outside of China of 80% in 2019, according to its recently published 2018 annual financial report. Image: GCLNE

‘Solar Module Super League’ (SMSL) member, GCL System Integration Technology (GCL-SI) doubled overseas PV module shipments in 2018, while seeking a target of shipments outside of China of 80% in 2019, according to its recently published 2018 annual financial report. 

GCL-SI reported overseas PV module shipments of 2.3GW in 2018, a 52.9% increase over the previous year and accounting for a 4% global market share, according to global PV module installations topping 105GW in 2018, reported by BNEF. 

The company highlighted that it was operating in around 40 countries and regions in 2018. GCL-SI said that important low-risk high installation regions of attention in 2019, would be Western Europe, Japan and South Korea, while making further investments in a growing number of countries to meet its overseas shipment targets. 

Production of high-efficiency p-Type cast mono and multicrystalline solar cells would be steadily increased at facilities in Vietnam and at its China subsidiary, Xuzhou Xinyu Photovoltaic Technology Co in 2019. 

Financials

Despite the increase in overseas module shipments, GCL-SI was not immune to the impact of the China 531 New Deal, which effectively limited utility-scale and Distributed Generation installations in the country as well as new US tariffs. 

GCL-SI reported 2018 revenue down 22.5% in 2018 to approximately RMB 11.1 billion (US$1.65 billion), down 23% from RMB 14.44 billion in the previous year.

GCL-SI reported 2018 revenue down 22.5% in 2018 to approximately RMB 11.1 billion (US$1.65 billion), down 23% from RMB 14.44 billion in the previous year.

The weaker end-market demand in China led to product ASP declines globally, lowering overall revenue.

GCL-SI reported a small net profit of RMB 34.9 million (US$5.2 million) in 2018, a 89.16% increase from the previous year. The turning of a small profit was primarily due to financial management control strategies, such as accounts receivable, inventory turnover and overall production cost management. R&D spending was also capped at around the previous year spending rate of US$14.05 million.

GCL-SI reported a small net profit of RMB 34.9 million (US$5.2 million) in 2018, a 89.16% increase from the previous year.

On a quarterly basis, GCL-SI rode a rollercoaster of revenue generation in 2018. Peak revenue was in the second quarter, notably as major utility-scale projects in China were completed. Increased overseas shipments and sales, coupled to efforts on accounts receivables, provided the second revenue peak in the fourth quarter. 

On a quarterly basis, GCL-SI rode a rollercoaster of revenue generation in 2018.

The company was only profitable in these two peak revenue quarters. Greater focus on overseas sales could positively impact quarterly revenue and operating profits in 2019 as less dependence place on the China market, which is still without a new support mechanism in place for utility-scale and DG markets. 

The company was only profitable in these two peak revenue quarters.
6 October 2021
The future is bright for a new era of US solar and storage, and the 8th annual Solar & Storage Finance Summit will provide opportunities to discuss solutions to the industry’s challenges and provide a networking platform designed to bring together the top minds in the industry to do business. With a mix of high-level, informative presentations and panels, a stellar cast of speakers and audience members with deal-making capacity, the 2021 edition of the event will be a sell-out success.

Read Next

July 29, 2021
Tracker and racking provider Arctech has delivered SkySmart II tracking system to a 575MW agriculture-sharing solar project located in Nangong City, Hebei Province, China.
July 29, 2021
US residential solar installer Sunnova said it was investing in its end-to-end solar services to cater for customers demanding more from their rooftop installations.
July 27, 2021
Canadian Solar has closed a BRL500 million (US$100 million) financing facility to develop a Brazilian solar portfolio claimed to be the country’s largest, while also giving it the option to hold built solar assets for longer.
July 27, 2021
A round-up of the latest news from the US solar market, featuring Vision Solar’s commitment to hire “hundreds” of sales staff as part of a two-state expansion, Recurrent Energy’s sale of two major assets in Texas and news of 8minute Solar Energy strengthening its legal team.
July 26, 2021
The pace of climate action in the US is “wholly unacceptable”, according to the director of the US Department of Energy’s (DOE) Loan Programme Office
July 26, 2021
Meyer Burger is considering its legal options after long-time heterojunction tandem solar cell manufacturing partner Oxford PV ended its collaboration agreement unexpectedly.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
BRISTOL, UK