ReneSola (SOL) reported a narrower than expected Q2 loss of $0.03,beating estimates by .03/share but came up short on the revenue side,posting $82.6 million vs. the consensus of $90.23 million (and morethan a 50% plunge over the year ago quarter). On the bright side, itappears the company is doing a good job of cutting costs and increasingefficiencies.
“The second quarter of 2009 marked an historic quarter inReneSola’s evolution as a solar company,” commented Mr. Xianshou Li,ReneSola’s chief executive officer. “During the quarter, we completedour transformation from one of the world’s largest manufacturers ofsolar wafers into a low-cost, fully integrated producer of solarproducts following the commencement of production at our 3,000 MTSichuan polysilicon manufacturing facility and the successfulacquisition of JC Solar. We have demonstrated our resilience andability to achieve strategic and operational milestones despite thecontinuing difficult operating environment. We expect that as industryfundamentals continue to improve, the benefits brought forward by ourfully integrated operations will further enhance our competitiveposition in the global solar industry.”
Looking ahead to next quarter, the company expects revenues toincrease 60 -70% over this quarter, which would get them back to wherethey were in Q4 08. They are maintaining their full year productshipment outlook of 450 MW to 500 MW and the full year revenue outlookof $500 – $550 million.
Shares of SOL are currently trading down about 3%.