ReneSola Climbs on Higher Forecast for Shipments and Revenue
ReneSola Ltd. (SOL), the Chinese solar manufacturer that resumed production at a shuttered plant this month, advanced the most in seven months after boosting its forecast for sales and shipments on increased international sales.
ReneSola’s American depositary receipts rose 19 percent to $3.44 at the close in New York, the most since Dec. 12. Each ADR is worth two ordinary shares.
Revenue for the second quarter will be $365 million to $375 million, compared with a May forecast of $310 million to $330 million, the Jiashan, China-based company said today in a statement. Shipments will be 760 megawatts to 770 megawatts, up from earlier expectations of 700 megawatts to 720 megawatts.
ReneSola hasn’t reported a profit since the second quarter of 2011, as a global oversupply of solar panels drove down prices. China announced plans yesterday to boost installation fivefold by 2015, a move aimed at spurring demand and boosting prices.
The company is also pursuing sales in other regions, and has “substantially expanded our solar module business in several key international markets,” Chief Executive Officer Li Xianshou said in the statement.
Shipments for the year will be 2.8 gigawatts to 3 gigawatts, compared with the earlier forecast of 2.7 gigawatts to 2.9 gigawatts. The company reopened a polysilicon plant in Sichuan province July 1 after completing upgrades. Polysilicon is the main raw material in solar cells.
To contact the editor responsible for this story: Reed Landberg at email@example.com