Tongwei expects 2021 profit to more than double as supplier benefits from pricing trends

• Upstream solar significant Tongwei has actually anticipated for profits to more-than-double in its 2021 financial year on the back of increased product and cell prices experienced last year.

In a declaration provided to the Shanghai Stock Exchange on Friday (7 January 2022), Tongwei claimed it was forecasting for profit for 2021 to fall in the area of RMB8-8.5 billion (US$ 1.25-1.33 billion), a rise of in between 122% and also 136% compared to figures recorded in 2020.

Tongwei additionally said it expected net revenues to increase at a similar rate-- 122-136%-- to in between RMB43.92-48.92 billion (US$ 6.88-7.67 billion).

It connected the dramatic rise in efficiency to last year's trend for rise material and element prices, driven greatly by a rising polysilicon price. Tongwei claimed its high-purity polysilicon production facilities operated at complete capability while manufacturing and also sales volume increased year-on-year.

The forecast complies with Tongwei's report of its H1 2021 lead to August last year, where it noted that operating revenue for the half was up nearly 42% year-on-year while net profit virtually trebled to RMB3 billion on the back of a gross margin of almost 70%.