Increased losses posted only a few weeks ago has forced Trina Solar to streamline its business operations to reduce operating costs that include job losses, according to a statement posted on its website. The restructuring comes after reporting a catalogue of woes in its second quarter financial results as well as a management reshuffle and the exit of its CCO. Management said that the key action was to separate its PV module operations from its PV systems business operations.
“In order to overcome the challenges of an increasingly competitive landscape in today's solar PV industry and achieve sustainable development, we are taking company-wide initiatives to streamline our organization. These initiatives include separating our PV module and systems business units and adopting an operating expense reduction program, which will involve some headcount reductions,” said Jifan Gao, chairman and CEO of Trina Solar, “These measures will enhance the Company's agility in responding to the needs of different customers and commercial opportunities. The Company also hopes that these initiatives will allow us to improve our competitiveness and elevate our standing as an industry leader in measures beyond cost leadership.”
Terry Wang, CFO of Trina Solar added in the statement that, “In bringing down our operating expenses, we will become a more competitive organization.”
The company had reported operating expenses of US$107 million in the second quarter and a US$78.6 million operating loss with a negative operating margin of 22.7%.