On September 30, Jinko Solar (688223) released a record of investor relations activities. Jinko stated that at the company level, the Q4 production schedule remains stable quarter-on-quarter, and the full-year shipment target remains unchanged. The company’s current module pricing remains stable, and with the gradual phase-out of outdated industry capacity, overall industry chain prices are expected to further stabilize and recover. Currently, the company’s energy storage order intake is strong, with continued efforts throughout the year focused on high-margin overseas markets, contributing to the marginal improvement in the company’s operating profit.
1. The company’s energy storage business has developed rapidly this year. What is the outlook for the energy storage industry’s growth? What are the company’s standout advantages in energy storage? How are order intake and profitability?
Against the backdrop of domestic power market liberalization and grid parity for solar-plus-storage in Europe and the U.S., the integration of solar and storage has become a future trend. After the removal of mandatory storage allocation in the domestic market, peak-valley arbitrage opportunities are expected to widen. Coupled with capacity tariffs and discharge compensation, the returns on standalone energy storage projects are attractive. In markets like the U.S., AI computing centers are driving electricity demand, making integrated solar-plus-storage solutions mainstream. In the European market, after PPA prices hit bottom in the short to medium term, project development activity has increased, with promising growth expectations ahead. Emerging markets are experiencing rotational surges, strongly driven by policies. The company fully leverages its leading global sales and channel network from its photovoltaic business to provide customers with localized, one-stop solar-plus-storage solutions. Supported by local operational teams and high customer loyalty for its modules, the company facilitates cross-selling of energy storage products. Its product design allows for customized solutions, giving it a relative advantage in overseas PV channels and customer relationships. Currently, the company’s energy storage order intake is strong, with continued efforts throughout the year focused on high-margin overseas markets, contributing to the marginal improvement in the company’s operating profit.
2. What is the recent demand situation in the PV market? How is the company’s production schedule and latest module pricing?
Due to demand pull-forward during the policy window in H1, the overall domestic installation expectation for H2 is significantly lower than H1. Uncertainty regarding end-project returns has led to the postponement of some projects. After the announcement of bidding results for provincial mechanism-based electricity prices, year-end demand may be stimulated. In overseas markets, emerging markets such as India, the Middle East, and Africa maintain high demand growth. The European market, affected by policies, shows relatively stable but slower-growing demand. At the company level, the Q4 production schedule remains stable quarter-on-quarter, and the full-year shipment target remains unchanged. The company’s current module pricing remains stable, and with the gradual phase-out of outdated industry capacity, overall industry chain prices are expected to further stabilize and recover.
3. What was the consideration behind the company’s announcement of selling its subsidiary Zhejiang Jinko New Materials equity?
The transaction involves a wholly-owned subsidiary primarily engaged in photovoltaic paste. Recently, the company has been focusing on innovative alternative solutions for non-precious metalization, having achieved critical breakthroughs in technology and cost, maintaining industry leadership through priority cooperation. This transaction allows the company to focus on its core business, enhance operational efficiency, and reduce management costs. It further consolidates and strengthens strategic cooperation with leading suppliers, widens the technology moat, and maintains a leading edge. The transaction scale is relatively small, with a clear payment schedule, and will not significantly impact either party’s operations. The premium acquisition reflects confidence in the future development of the related business.
4. Reasons for the global patent litigation settlement with LONGi? Has the company’s future patent strategy changed?
Currently, the PV industry is gradually transitioning from price competition to a high-quality development stage driven by technological innovation. As leading enterprises in the PV industry, both Jinko Solar and LONGi Green Energy consistently place technology and product innovation at the core of their strategies, continuously invest in R&D, and actively deploy global intellectual property, demonstrating strong recognition and long-term commitment to the value of innovation and IP protection. Patents are among the company’s most core assets, and the company始终坚持捍卫自主创新成果 (persistently defends its independent innovation achievements) and actively promotes synergistic development within the industry chain.
5. How does the company view the industry chain consolidation plan, and what are the expectations for its subsequent implementation?
If the upstream capacity consolidation plan is successfully implemented, it could balance silicon supply and demand by phasing out outdated capacity and controlling industry supply, thereby guiding industry chain prices back to a reasonable range. The specific details of the plan are not yet fully finalized, and its smooth progression also depends on policy implementation and downstream market acceptance. The downstream segment is also undergoing market-driven consolidation. Long-term prices are expected to gradually recover as technology advances and the supply-demand structure improves.
