Welcome!

.NET Authors: ChandraShekar Dattatreya, Trevor Parsons, Peter Silva, Yeshim Deniz, Pat Romanski

News Feed Item

LDK Solar Reports Financial Results for Third Quarter of Fiscal 2012

XINYU CITY, China and SUNNYVALE, Calif., Dec. 3, 2012 /PRNewswire/ -- LDK Solar Co., Ltd. ("LDK Solar"; NYSE: LDK), a leading vertically integrated manufacturer of photovoltaic products, today reported its unaudited financial results for the third quarter ended September 30, 2012.

All financial results are reported in U.S. dollars on a U.S. GAAP basis.

Third Quarter Highlights:

  • Net sales of $291.5 million; and
  • Shipped 230.2 megawatts (MW) of wafers and 161.9 MW of cells and modules in the third quarter.

Net sales for the third quarter of fiscal 2012 were $291.5 million, compared to $235.4 million for the second quarter of fiscal 2012, and $471.9 million for the third quarter of fiscal 2011.

Gross loss for the third quarter of fiscal 2012 was $32.5 million, compared to gross loss of $92.0 million in the second quarter of fiscal 2012, and gross loss of $17.0 million for the third quarter of fiscal 2011.

Gross margin for the third quarter of fiscal 2012 was negative 11.2%, compared to negative 39.1% in the second quarter of fiscal 2012, and negative 3.6% in the third quarter of fiscal 2011.

During the preparation of its third quarter 2012 financial results, LDK Solar's management determined that an inventory write-down of $37.8 million was required as a result of a continuous drop in the market price for polysilicon, wafers, cells and modules.  As a result, gross margin and results from operations were negatively impacted in the third quarter of fiscal 2012.

Loss from operations for the third quarter of fiscal 2012 was $75.7 million, compared to loss from operations of $172.7 million for the second quarter of fiscal 2012, and loss from operations of $77.1 million for the third quarter of fiscal 2011.

Operating margin for the third quarter of fiscal 2012 was negative 26.0% compared to negative 73.4% in the second quarter of fiscal 2012, and negative 16.3% in the third quarter of fiscal 2011.

Income tax benefit for the third quarter of fiscal 2012 was $25.4 million, compared to income tax benefit of $23.7 million in the second quarter of fiscal 2012 and income tax benefit of $1.7 million in the third quarter of fiscal 2011.

Net loss available to LDK Solar's shareholders for the third quarter of fiscal 2012 was $136.9 million, or a loss of $1.08 per diluted ADS, compared to net loss of $254.3 million, or a loss of $2.00 per diluted ADS for the second quarter of fiscal 2012 and net loss of $114.5 million, or a loss of $0.87 per diluted ADS for the third quarter of fiscal 2011. The number of shares for calculating diluted ADS was approximately 127.2 million for the third quarter of fiscal 2012.

LDK Solar ended the third quarter of fiscal 2012 with $111.9 million in cash and cash equivalents and $340.7 million in short-term pledged bank deposits.

"We were pleased to deliver third quarter results that were in line with expectations," stated Xingxue Tong, President and CEO of LDK Solar.  "While we saw improvement to our top and bottom line in the third quarter, our results continue to reflect the industry-wide pricing pressure and demand weakness that is negatively impacting the entire solar supply chain."

"Over the past several weeks, we have taken a number of steps to increase operating efficiencies and improve our liquidity, including realigning the management team and the share purchase agreement with Heng Rui Xin Energy.  We are making progress on our strategy to streamline operations, prudently manage expenses and diversify our business.  We plan to continue to actively manage our business to adapt to market developments and position the company for future growth," concluded Mr. Tong.

Business Outlook

The following statements are based upon management's current expectations. These statements are forward-looking in nature, and the actual results may differ materially. You should read the "Safe Harbor Statement" below with respect to the risks and uncertainties relating to these forward-looking statements.

For the fourth quarter of fiscal 2012, LDK Solar estimates its revenue to be in the range of $230 million to $290 million, wafer shipments between 200 MW and 250 MW, cells and module shipments between 50 MW and 80 MW.

For fiscal 2012, LDK Solar estimates its revenue to be in the range of $950 million to $1 billion, wafer shipments between 910 MW and 960 MW, cell and module shipments between 500 MW and 530 MW and inverter shipments between 150 MW to 200 MW.  LDK Solar expects PV system project construction to be in the range of 200 MW to 300 MW and to recognize between 50 MW and 100 MW through project sales and EPC services for third party customers.

Conference Call Details

The LDK Solar Third Quarter 2012 teleconference and webcast is scheduled to begin at 8:00 a.m. Eastern Time (ET), on December 3, 2012.  To listen to the live conference call, please dial 877-941-1427 (within U.S.) or 480-629-9664 (outside U.S.) at 8:00 a.m. ET on December 3, 2012.  An audio replay of the call will be available through December 13, 2012, by dialing 800-406-7325 (within U.S.) or 303-590-3030 (outside U.S.) and entering the pass code 4574985#.

A live webcast of the call will be available on the company's investor relations website at http://investor.ldksolar.com.

 

LDK Solar Co., Ltd.

Unaudited Condensed Consolidated Balance Sheet Information

(In US$'000)






09/30/2012


06/30/2012

Assets




Current assets




    Cash and cash equivalents

111,859


296,193

    Pledged bank deposits

340,651


523,383

    Trade accounts and bills receivable, net

290,211


342,174

    Inventories

324,512


467,148

    Prepayments to suppliers, net

27,085


37,035

    Other current assets

346,972


350,320

Total current assets

1,441,290


2,016,253

Property, plant and equipment, net

3,658,189


3,728,797

Deposits for purchases of property, plant and equipment
  and land use rights

159,898


169,442

Land use rights

282,978


285,214

Prepayments to suppliers expected to be utilized beyond
  one year, net

8,701


9,519

Pledged bank deposits – non-current

30,820


30,713

Investments in associates

11,035


11,893

Other non-current assets

170,438


149,407

Total assets                                                               

5,763,349


6,401,238





Liabilities and equity




Current liabilities




    Short-term borrowings and current installments of
       long-term borrowings and short-term PRC notes

2,206,374


2,430,973

    Trade accounts and bills payable

1,043,623


1,032,861

    Advance payments from customers, current

       installments                                                         

 

129,838


 

181,823

    Accrued expenses and other payables

782,124


783,859

    Convertible senior notes, less debt discount - current

23,766


23,755

    Other financial liabilities

64,220


65,221

Total current liabilities

4,249,945


4,518,492





Long-term borrowings, excluding current installments
  and long-term PRC notes

645,367


854,172

RMB-denominated US$-settled senior notes, less debt
  discount and Convertible senior notes – non-current

 

257,228


 

257,870

Advance payments from customers – non-current

50,219


101,033

Other liabilities


215,655


223,055

Total liabilities


5,418,414


5,954,622





Redeemable non-controlling interests


299,025


254,444





Equity








Total LDK Solar Co., Ltd. shareholders' equity

29,697


171,917

Non-controlling interests


16,213


20,255





Total equity


45,910


192,172





Total liabilities and equity


5,763,349


6,401,238






 

LDK Solar Co., Ltd.

Unaudited Condensed Consolidated Statements of Operations Information

(In US$'000, except per ADS data)




For the 3 Months Ended


09/30/2012


06/30/2012





Net sales

291,520


235,361

Cost of goods sold

(324,048)


(327,356)

Gross loss

(32,528)


(91,995)

Selling expenses

(10,373)


(11,043)

General and administrative expenses

(29,518)


(34,410)

Research and development expenses

(3,300)


(4,707)

Impairment loss for property, plant and 
 equipment

-


(30,504)

Total operating expenses

(43,191)


(80,664)

Loss from operations

(75,719)


(172,659)

Other income (expenses):




   Interest income

4,477


3,414

   Interest expense and amortization of debt 
    issuance costs and debt discount

(61,045)


(75,547)

   Foreign currency exchange gain (loss), net

1,339


(6,913)

   Others, net

9,619


(435)

Loss before income tax

(121,329)


(252,140)

Income tax benefit

25,396


23,707

Net loss

(95,933)


(228,433)

Loss attributable to non-controlling
  interests

3,925


1,037

Loss attributable to redeemable non-
  controlling interests

6,222


6,082

Net loss attributable to LDK Solar Co., Ltd. 

  shareholders

(85,786)


(221,314)





Accretion to redemption value of
  redeemable non-controlling interests

(51,157)


(33,027)

Net loss available to LDK Solar Co., Ltd. 
  shareholders

(136,943)


(254,341)





Net loss per ADS, Diluted

$     (1.08)


$     (2.00)





 

Unaudited Condensed Consolidated Statement

of Comprehensive Income Information

 





 

Net loss

(95,933)


(228,433)

Other comprehensive loss




Foreign currency exchange translation
  adjustment, net of nil tax

(7,033)


(6,486)

Fair value changes in available-for-sale equity
  security, net of tax effect

(930)


(2,693)

Comprehensive loss

(103,896)


(237,612)

Less: comprehensive loss attributable to
  noncontrolling interests

(3,663)


(1,368)

Less: comprehensive loss attributable to
  redeemable noncontrolling interests

(6,576)


(6,801)





Comprehensive loss attributable to LDK
  Solar Co., Ltd. shareholders

(93,657)


(229,443)










About LDK Solar (NYSE: LDK)

LDK Solar Co., Ltd. (NYSE: LDK) is a leading vertically integrated manufacturer of photovoltaic (PV) products. LDK Solar manufactures polysilicon, mono and multicrystalline ingots, wafers, cells, modules, systems, power projects and solutions. LDK Solar's headquarters and principal manufacturing facilities are located in Hi-Tech Industrial Park, Xinyu City, Jiangxi Province in the People's Republic of China. LDK Solar's office in the United States is located in Sunnyvale, California. For more information about LDK Solar and its products, please visit www.ldksolar.com.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this press release are forward-looking statements, including but not limited to, LDK Solar's ability to raise additional capital to finance its operating activities, the effectiveness, profitability and marketability of its products, the future trading of its securities, the ability of LDK Solar to operate as a public company, the period of time during which its current liquidity will enable LDK Solar to fund its operations, its ability to protect its proprietary information, the general economic and business environment and conditions, the volatility of LDK Solar's operating results and financial condition, its ability to attract and retain qualified senior management personnel and research and development staff, its ability to timely and efficiently complete its ongoing projects, and other risks and uncertainties disclosed in LDK Solar's filings with the Securities and Exchange Commission. These forward-looking statements involve known and unknown risks and uncertainties and are based on information available to LDK Solar's management as of the date hereof and on its current expectations, assumptions, estimates and projections about LDK Solar and the PV industry. Actual results may differ materially from the anticipated results because of such and other risks and uncertainties. LDK Solar undertakes no obligation to update forward-looking statements to reflect subsequent events or circumstances, or changes in its expectations, assumptions, estimates and projections except as may be required by law.

SOURCE LDK Solar Co., Ltd.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Scott Jenson leads a project called The Physical Web within the Chrome team at Google. Project members are working to take the scalability and openness of the web and use it to talk to the exponentially exploding range of smart devices. Nearly every company today working on the IoT comes up with the same basic solution: use my server and you'll be fine. But if we really believe there will be trillions of these devices, that just can't scale. We need a system that is open a scalable and by using the URL as a basic building block, we open this up and get the same resilience that the web enjoys.
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, discussed single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example t...
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at @ThingsExpo, Robin Raymond, Chief Architect at Hookflash, will walk through the shifting landscape of traditional telephone and voice services ...
The Domain Name Service (DNS) is one of the most important components in networking infrastructure, enabling users and services to access applications by translating URLs (names) into IP addresses (numbers). Because every icon and URL and all embedded content on a website requires a DNS lookup loading complex sites necessitates hundreds of DNS queries. In addition, as more internet-enabled ‘Things' get connected, people will rely on DNS to name and find their fridges, toasters and toilets. According to a recent IDG Research Services Survey this rate of traffic will only grow. What's driving t...
Enthusiasm for the Internet of Things has reached an all-time high. In 2013 alone, venture capitalists spent more than $1 billion dollars investing in the IoT space. With "smart" appliances and devices, IoT covers wearable smart devices, cloud services to hardware companies. Nest, a Google company, detects temperatures inside homes and automatically adjusts it by tracking its user's habit. These technologies are quickly developing and with it come challenges such as bridging infrastructure gaps, abiding by privacy concerns and making the concept a reality. These challenges can't be addressed w...
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at Internet of @ThingsExpo, James Kirkland, Chief Architect for the Internet of Things and Intelligent Systems at Red Hat, described how to revolutioniz...
Bit6 today issued a challenge to the technology community implementing Web Real Time Communication (WebRTC). To leap beyond WebRTC’s significant limitations and fully leverage its underlying value to accelerate innovation, application developers need to consider the entire communications ecosystem.
The definition of IoT is not new, in fact it’s been around for over a decade. What has changed is the public's awareness that the technology we use on a daily basis has caught up on the vision of an always on, always connected world. If you look into the details of what comprises the IoT, you’ll see that it includes everything from cloud computing, Big Data analytics, “Things,” Web communication, applications, network, storage, etc. It is essentially including everything connected online from hardware to software, or as we like to say, it’s an Internet of many different things. The difference ...
Cloud Expo 2014 TV commercials will feature @ThingsExpo, which was launched in June, 2014 at New York City's Javits Center as the largest 'Internet of Things' event in the world.
SYS-CON Events announced today that Windstream, a leading provider of advanced network and cloud communications, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Windstream (Nasdaq: WIN), a FORTUNE 500 and S&P 500 company, is a leading provider of advanced network communications, including cloud computing and managed services, to businesses nationwide. The company also offers broadband, phone and digital TV services to consumers primarily in rural areas.
"There is a natural synchronization between the business models, the IoT is there to support ,” explained Brendan O'Brien, Co-founder and Chief Architect of Aria Systems, in this SYS-CON.tv interview at the 15th International Cloud Expo®, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
The major cloud platforms defy a simple, side-by-side analysis. Each of the major IaaS public-cloud platforms offers their own unique strengths and functionality. Options for on-site private cloud are diverse as well, and must be designed and deployed while taking existing legacy architecture and infrastructure into account. Then the reality is that most enterprises are embarking on a hybrid cloud strategy and programs. In this Power Panel at 15th Cloud Expo (http://www.CloudComputingExpo.com), moderated by Ashar Baig, Research Director, Cloud, at Gigaom Research, Nate Gordon, Director of T...
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and assessments, including a decade of leading incident response and digital forensics. He is co-author of t...

ARMONK, N.Y., Nov. 20, 2014 /PRNewswire/ --  IBM (NYSE: IBM) today announced that it is bringing a greater level of control, security and flexibility to cloud-based application development and delivery with a single-tenant version of Bluemix, IBM's platform-as-a-service. The new platform enables developers to build ap...

Technology is enabling a new approach to collecting and using data. This approach, commonly referred to as the "Internet of Things" (IoT), enables businesses to use real-time data from all sorts of things including machines, devices and sensors to make better decisions, improve customer service, and lower the risk in the creation of new revenue opportunities. In his General Session at Internet of @ThingsExpo, Dave Wagstaff, Vice President and Chief Architect at BSQUARE Corporation, discuss the real benefits to focus on, how to understand the requirements of a successful solution, the flow of ...
The security devil is always in the details of the attack: the ones you've endured, the ones you prepare yourself to fend off, and the ones that, you fear, will catch you completely unaware and defenseless. The Internet of Things (IoT) is nothing if not an endless proliferation of details. It's the vision of a world in which continuous Internet connectivity and addressability is embedded into a growing range of human artifacts, into the natural world, and even into our smartphones, appliances, and physical persons. In the IoT vision, every new "thing" - sensor, actuator, data source, data con...
"BSQUARE is in the business of selling software solutions for smart connected devices. It's obvious that IoT has moved from being a technology to being a fundamental part of business, and in the last 18 months people have said let's figure out how to do it and let's put some focus on it, " explained Dave Wagstaff, VP & Chief Architect, at BSQUARE Corporation, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Focused on this fast-growing market’s needs, Vitesse Semiconductor Corporation (Nasdaq: VTSS), a leading provider of IC solutions to advance "Ethernet Everywhere" in Carrier, Enterprise and Internet of Things (IoT) networks, introduced its IStaX™ software (VSC6815SDK), a robust protocol stack to simplify deployment and management of Industrial-IoT network applications such as Industrial Ethernet switching, surveillance, video distribution, LCD signage, intelligent sensors, and metering equipment. Leveraging technologies proven in the Carrier and Enterprise markets, IStaX is designed to work ac...
C-Labs LLC, a leading provider of remote and mobile access for the Internet of Things (IoT), announced the appointment of John Traynor to the position of chief operating officer. Previously a strategic advisor to the firm, Mr. Traynor will now oversee sales, marketing, finance, and operations. Mr. Traynor is based out of the C-Labs office in Redmond, Washington. He reports to Chris Muench, Chief Executive Officer. Mr. Traynor brings valuable business leadership and technology industry expertise to C-Labs. With over 30 years' experience in the high-tech sector, John Traynor has held numerous...
The 3rd International @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades.