Form 6-K JinkoSolar Holding Co., For: Dec 07

December 7, 2017 9:04 AM

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

  

FORM 6-K

 

 

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF THE

SECURITIES EXCHANGE ACT OF 1934

 

For the Month of December 2017

 

Commission File Number: 001-34615

 

 JinkoSolar Holding Co., Ltd.

(Translation of registrant’s name into English)

 

1 Jingke Road

Shangrao Economic Development Zone

Jiangxi Province, 334100

People’s Republic of China

(Address of principal executive offices)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F xForm 40-F ¨

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1).

 

Yes ¨No x

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7).

 

Yes ¨No x

 

 

 

 

 

EXHIBIT INDEX

 

Number

 

Description of Document

99.1   Press Release

 

 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

  

  JinkoSolar Holding Co., Ltd.
   
  By: /s/ Haiyun (Charlie) Cao
  Name:   Haiyun (Charlie) Cao
  Title: Chief Financial Officer

 

Date: December 7, 2017

 

 

 

 

Exhibit 99.1

 

JinkoSolar Announces Third Quarter 2017 Financial Results

 

SHANGHAI, China, December 7, 2017 — JinkoSolar Holding Co., Ltd. ("JinkoSolar" or the "Company") (NYSE: JKS), a global leader in the solar PV industry, today announced its unaudited financial results for the third quarter ended September 30, 2017.

 

Third Quarter 2017 Highlights

 

·Total solar module shipments were 2,374 megawatts ("MW"), a decrease of 17.7% from 2,884 MW in the second quarter of 2017 and an increase of 47.8% from 1,606 MW in the third quarter of 2016.

 

·Total revenues were RMB6.42 billion (US$964.8 million), a decrease of 19.0% from the second quarter of 2017 and an increase of 20.4% from the third quarter of 2016.

 

·Gross margin was 12.0%, compared with 10.5% in the second quarter of 2017 and 19.2% in the third quarter of 2016.

 

·Income from operations was RMB91.9 million (US$13.8 million), compared with RMB85.3 million in the second quarter of 2017 and RMB433.3 million in the third quarter of 2016.

 

·Net income attributable to the Company’s ordinary shareholders from continuing operations was RMB11.3 million (US$1.7 million) in the third quarter of 2017, compared with RMB47.4 million in the second quarter of 2017 and RMB233.7 million in the third quarter of 2016.

 

·Diluted earnings per American depositary share ("ADS") from continuing operations were RMB0.32 (US$0.04).

 

·Non-GAAP net income attributable to the Company's ordinary shareholders from continuing operations in the third quarter of 2017 was RMB25.9 million (US$3.9 million), compared with RMB61.2 million in the second quarter of 2017 and RMB271.4 million in the third quarter of 2016.

 

·Non-GAAP basic and diluted earnings per ADS from continuing operations were RMB0.80 (US$0.12) and RMB0.76 (US$0.12), respectively, in the third quarter of 2017.

 

Mr. Kangping Chen, JinkoSolar's Chief Executive Officer commented, “Module shipments during the quarter exceeded the high end of our guidance, reaching to 2,374MW. Total revenues hit $964.8 million, a decrease of 19% sequentially and 20.4% from the same period last year. Our gross margin rebounded to 12.0% from 10.5% last quarter as a direct result of our effective cost cutting measures and reduction in the usage of OEM manufacturers.”

 

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“Demand in China remained strong during the quarter as the distributed generation (“DG”) market there grows rapidly. We have fully evaluated the various remedy recommendations from the US International Trade Commission and are awaiting its final decision on the Section 201 petition. Regardless of what the final outcome is, we strongly believe in the US solar market’s long-term growth trajectory and will adjust our strategy there accordingly. Demand in Europe has shown signs of an improvement as the effects of electricity parity sink in for more countries. The Indian market is growing rapidly and is expected to become the world’s third largest. The sustainable, long-term development of emerging markets such as Australia, Jordan, Egypt, Mexico and Brazil has greatly improved as solar system costs rapidly drop and regulators gain more experience in promoting green energy and organizing electricity auctions. We will continue to strengthen our leading position in various emerging markets by expanding our service teams there and enhancing our brand image.”

 

“The optimization of our mono wafer costs and diamond wire cutting application to our multi wafer production lines remain on track and are expected to be completed next quarter. Our tech team continues to make solid progress in developing half-cell and bifacial n-type cells technologies. We also made progress in developing new technologies such as Hydride Oxide Thin Film. Overall, we will continue to allocate resources towards innovating new and exciting solar technologies to strengthen our leading position in the market.”

 

“I remain confident in the long-term sustainability of our business as we continue to devote resources towards developing new technologies and supporting the expansion of our market share in exciting and rapidly growing markets.”

 

Third Quarter 2017 Financial Results

 

Total Revenues

 

Total revenues in the third quarter of 2017 were RMB6.42 billion (US$964.8 million), a decrease of 19.0% from RMB7.92 billion in the second quarter of 2017 and an increase of 20.4% from RMB5.33 billion in the third quarter of 2016. The sequential decrease was mainly attributable to a decrease in solar module shipments. The year-over-year increase was mainly attributable to an increase in solar module shipments which was partially offset by a decline in average selling price (“ASP”) of solar modules in the third quarter of 2017.

 

Gross Profit and Gross Margin

 

Gross profit in the third quarter of 2017 was RMB772.4 million (US$116.1 million), compared with RMB834.8 million in the second quarter of 2017 and RMB1.03 billion in the third quarter of 2016. The sequential decrease was mainly attributable to a decrease in solar module shipments. The year-over-year decrease was mainly attributable to a decline in ASPs of solar modules in the third quarter of 2017.

 

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Gross margin was 12.0% in the third quarter of 2017, compared with 10.5% in the second quarter of 2017 and 19.2% in the third quarter of 2016. The sequential increase was mainly attributable to the Company’s effective cost control measures and reduction in the usage of OEM manufacturers. The year-over-year decrease was mainly attributable to a decline in ASPs of solar modules in the third quarter of 2017.

 

Income from Operations and Operating Margin

 

Income from operations in the third quarter of 2017 was RMB91.9 million (US$13.8 million), compared with RMB85.3 million in the second quarter of 2017 and RMB433.3 million in the third quarter of 2016. Operating margin in the third quarter of 2017 was 1.4%, compared with 1.1% in the second quarter of 2017 and 8.1% in the third quarter of 2016.

 

Total operating expenses in the third quarter of 2017 were RMB680.5 million (US$102.3 million), a decrease of 9.2% from RMB749.5 million in the second quarter of 2017 and an increase of 14.8% from RMB592.8 million in the third quarter of 2016. The sequential decease was mainly due to a decrease in shipping costs which was in line with the decline in solar module shipments. The year-over-year increase was primarily due to an increase in shipping costs, which was in line with the increase in solar module shipments, and partially offset by a decrease in bad debt expenses due to the reversal of allowance for doubtful accounts upon subsequent collections.

 

Total operating expenses accounted for 10.6% of total revenues in the third quarter of 2017, compared to 9.5% in the second quarter of 2017 and 11.1% in the third quarter of 2016.

 

Interest Expense, Net

 

Net interest expense in the third quarter of 2017 was RMB52.3 million (US$7.9 million), a decrease of 35.1% from RMB80.6 million in the second quarter of 2017 and a decrease of 60.6% from RMB132.9 million in the third quarter of 2016. The sequential and year-over–year decreases were due to a decrease in interest expenses associated with the discounted notes receivable.

 

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Exchange Gain / (Loss), Net

 

The Company recorded a net exchange loss (including change in fair value of forward contracts) of RMB49.3 million (US$7.4 million) in the third quarter of 2017, compared to a net exchange loss of RMB34.2 million in the second quarter of 2017 and a net exchange loss of RMB7.2 million in the third quarter of 2016. The Company recorded a net exchange loss of RMB49.3 million(US$7.4 million) in the third quarter of 2017 due to the depreciation of US dollars against RMB.

 

Income Tax Expense / (Benefit), Net

 

The Company recorded an income tax expense of RMB4.5 million (US$0.7 million) in the third quarter of 2017, compared with an income tax benefit of RMB32.5 million in the second quarter of 2017 and an income tax expense of RMB116.0 million in the third quarter of 2016.

 

Net Income and Earnings per Share

 

Net income attributable to the Company’s ordinary shareholders from continuing operations in the third quarter of 2017 was RMB11.3 million (US$1.7 million), compared with RMB47.4 million in the second quarter of 2017 and RMB233.7 million in the third quarter of 2016.

 

Basic and diluted earnings per ordinary share from continuing operations were RMB0.09 (US$0.01) and RMB0.08 (US$0.01), respectively, during the third quarter of 2017. This translates into basic and diluted earnings per ADS from continuing operations of RMB0.36 (US$0.04) and RMB0.32 (US$0.04), respectively.

 

Non-GAAP net income in the third quarter of 2017 was RMB25.9 million (US$3.9 million), compared with RMB61.2 million in the second quarter of 2017 and RMB271.4 million in the third quarter of 2016.

 

Non-GAAP basic and diluted earnings per ordinary share from continuing operations were RMB0.20 (US$0.03) and RMB0.19 (US$0.03), respectively, during the third quarter of 2017. This translates into non-GAAP basic and diluted earnings per ADS from continuing operations of RMB0.80 (US$0.12) and RMB0.76 (US$0.12), respectively.

 

Financial Position

 

As of September 30, 2017, the Company had RMB2.47 billion (US$371.1 million) in cash and cash equivalents and restricted cash, compared with RMB1.90 billion as of June 30, 2017.

 

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As of September 30, 2017, the Company’s accounts receivables due from third parties were RMB5.82 billion (US$875.1 million), compared with RMB6.47 billion as of June 30, 2017.

 

As of September 30, 2017, the Company’s inventories were RMB5.24 billion (US$787.9 million), compared with RMB5.20 billion as of June 30, 2017.

 

As of September 30, 2017, the Company's total interest-bearing debts were RMB8.26 billion (US$1.24 billion), compared with RMB7.41 billion as of June 30, 2017. On July 17, 2017, the Company issued three-year medium term notes (“MTN”) at a principal of RMB300 million (US$45.1 million). At the end of the second year in the life of the MTN, the Company has an option to adjust the interest rate while the bondholders have a right to require the Company to repurchase all or part of its outstanding MTN.

 

Third Quarter 2017 Operational Highlights

 

Solar Module Shipments

 

Total solar module shipments in the third quarter of 2017 were 2,374 MW.

 

Solar Products Production Capacity

 

As of September 30, 2017, the Company's in-house annual silicon wafer, solar cell and solar module production capacity was 7.0 GW, 4.5 GW and 8.0 GW, respectively.

 

Recent Business Developments

 

·In November 2017, JinkoSolar announced that it has broken its own world record by achieving P-type monocrystalline PERC solar cell efficiency of 23.45%

 

·In October 2017, JinkoSolar announced that its practical sized (245.83cm2) P-type multi-crystalline silicon solar cells reached the world's highest conversion efficiency of 22.04%.

 

·In September 2017, JinkoSolar announced that it filed a prospectus supplement to sell up to an aggregate of US$100 million of its ADSs through an at-the-market equity offering program.

 

·In September 2017, JinkoSolar supplied 28.2 MW dc of its solar PV modules to Swinerton Renewable Energy, for the construction of the Jacumba Solar Project.

 

·In September 2017, JinkoSolar ranked as top solar brand used in debt-financed projects and most "bankable" PV manufacturer by Bloomberg New Energy Finance.

 

·In September 2017, JinkoSolar was invited to attend the 9th BRICS Summit hosted in Xiamen, China.

 

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Operations and Business Outlook

 

Fourth Quarter and Full Year 2017 Guidance

 

For the fourth quarter of 2017, the Company estimates total solar module shipments to be in the range of 2.3 GW to 2.5 GW.

 

For the full year 2017, the Company estimates total solar module shipments to be in the range of 9.6 GW and 9.8 GW.

 

Conference Call Information

 

JinkoSolar's management will host an earnings conference call on Wednesday, December 7, 2017 at 7:30 a.m. U.S. Eastern Time (8:30 p.m. Beijing / Hong Kong the same day).

 

Dial-in details for the earnings conference call are as follows:

 

Hong Kong / International: +852 3008 1527  
U.S. Toll Free: +1 800-281-7973  
Passcode: 7881926  

 

Please dial in 10 minutes before the call is scheduled to begin and provide the passcode to join the call.

 

A telephone replay of the call will be available 2 hours after the conclusion of the conference call through 23:59 U.S. Eastern Time, December 14, 2017. The dial-in details for the replay are as follows:

 

International: +61 (0) 2 9101 1954  
U.S. Toll Free: +1-888-203-1112  
Passcode: 7881926  

 

Additionally, a live and archived webcast of the conference call will be available on the Investor Relations section of JinkoSolar's website at www.jinkosolar.com.

 

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About JinkoSolar Holding Co., Ltd.

 

JinkoSolar (NYSE: JKS) is a global leader in the solar industry. JinkoSolar distributes its solar products and sells its solutions and services to a diversified international utility, commercial and residential customer base in China, the United States, Japan, Germany, the United Kingdom, Chile, South Africa, India, Mexico, Brazil, the United Arab Emirates, Italy, Spain, France, Belgium, and other countries and regions. JinkoSolar has built a vertically integrated solar product value chain, with an integrated annual capacity of 7 GW for silicon ingots and wafers, 4.5 GW for solar cells, and 8 GW for solar modules, as of September 30, 2017.

 

JinkoSolar has over 15,000 employees across its 8 productions facilities globally, 16 oversea subsidiaries in Japan (2), Singapore, India, Turkey, Germany, Italy, Switzerland, United States, Canada, Mexico, Brazil, Chile, Australia, South Africa and United Arab Emirates, and 15 global sales offices in China (2), United Kingdom, Bulgaria, Greece, Romania, Jordan, Saudi Arabia, Kuwait, Egypt, Morocco, Ghana, Kenya, Costa Rica, Colombia.

 

To find out more, please see: www.jinkosolar.com

 

Use of Non-GAAP Financial Measures

 

To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), JinkoSolar uses certain non-GAAP financial measures including, non-GAAP net income , non-GAAP earnings per Share, non-GAAP earnings per ADS, and non-GAAP diluted weighted average ordinary shares outstanding, which are adjusted from the comparable GAAP results to exclude certain expenses or incremental ordinary shares relating to share-based compensation, convertible senior notes and capped call options:

 

·Non-GAAP net income is adjusted to exclude the expenses relating to changes in fair value of convertible senior notes and capped call options, interest expenses of convertible senior notes, exchange gain on the convertible senior notes and capped call options, stock-based compensation, allocation of net income to redeemable non-controlling interests, and accretion to redemption value of redeemable non-controlling interests; given these Non-GAAP net income adjustments above are either related to the Company or its subsidiaries incorporated in Cayman Islands, which are not subject to tax exposures, or related to those subsidiaries with tax loss positions which result in no tax impacts, therefore no tax adjustment is needed in conjunction with these Non-GAAP net income adjustments; and

 

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·Non-GAAP earnings per Share and non-GAAP earnings per ADS are adjusted to exclude the expenses relating to the issuance costs of convertible senior notes, changes in fair value of convertible senior notes and capped call options, interest expenses of convertible senior notes and exchange gain on the convertible senior notes and capped call options, stock-based compensation, and accretion to redemption value of redeemable non-controlling interests.

 

The Company believes that the use of non-GAAP information is useful for analysts and investors to evaluate JinkoSolar's current and future performances based on a more meaningful comparison of net income and diluted net income per ADS when compared with its peers and historical results from prior periods. These measures are not intended to represent or substitute numbers as measured under GAAP. The submission of non-GAAP numbers is voluntary and should be reviewed together with GAAP results.

 

Currency Convenience Translation

 

The conversion of Renminbi into U.S. dollars in this release, made solely for the convenience of the readers, is based on the noon buying rate in the city of New York for cable transfers of Renminbi as certified for customs purposes by the Federal Reserve Bank of New York as of September 29, 2017, which was RMB6.6533 to US$1.00. No representation is intended to imply that the Renminbi amounts could have been, or could be, converted, realized, or settled into U.S. dollars at that rate or any other rate. The percentages stated in this press release are calculated based on Renminbi.

 

Safe-Harbor Statement

 

This press release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends, "plans," "believes," "estimates" and similar statements. Among other things, the quotations from management in this press release and the Company's operations and business outlook, contain forward-looking statements. Such statements involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Further information regarding these and other risks is included in JinkoSolar's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F. Except as required by law, the Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

 

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For investor and media inquiries, please contact:

 

In China:
Sebastian Liu
JinkoSolar Holding Co., Ltd.
Tel: +86 21-5183-3056
Email: ir@jinkosolar.com

 

Christian Arnell
Christensen
Tel: +86-10-5900-2940
Email: carnell@christensenir.com

 

In the U.S.:
Ms. Linda Bergkamp

Christensen

Tel: +1-480-614-3004

Email: lbergkamp@ChristensenIR.com

 

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JINKOSOLAR HOLDING CO., LTD.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except ADS and Share data)

 

   For the quarter ended   For the nine months ended 
   September 30, 2016   June 30, 2017   September 30, 2017   September 30, 2016   September 30, 2017 
Continuing operations  RMB   RMB   RMB   USD             
Revenues from third parties   5,331,232    7,908,533    5,958,121    895,514    16,176,175    19,619,733    2,948,872 
                                    
Revenues from related parties        15,555    461,292    69,333    102,960    500,571    75,237 
                                    
Total revenues   5,331,232    7,924,088    6,419,413    964,847    16,279,135    20,120,304    3,024,109 
                                    
Cost of revenues   (4,305,166)   (7,089,255)   (5,647,016)   (848,754)   (13,139,781)   (17,864,049)   (2,684,991)
                                    
Gross profit   1,026,066    834,833    772,397    116,093    3,139,354    2,256,255    339,118 
                                    
Operating expenses:                                   
Selling and marketing   (371,669)   (550,823)   (489,767)   (73,613)   (1,083,377)   (1,454,402)   (218,599)
General and administrative   (175,414)   (125,029)   (116,121)   (17,453)   (557,757)   (357,100)   (53,673)
Research and development   (41,864)   (73,694)   (74,652)   (11,219)   (123,876)   (210,832)   (31,688)
Impairment of long-lived assets   (3,819)   -    -    -    (103,147)   -    - 
Total operating expenses   (592,766)   (749,546)   (680,540)   (102,285)   (1,868,157)   (2,022,334)   (303,960)
                                    
Income from operations   433,300    85,287    91,857    13,808    1,271,197    233,921    35,158 
Interest expenses, net   (132,859)   (80,572)   (52,286)   (7,859)   (284,758)   (189,979)   (28,554)
Change in fair value of derivative liability   36,048    (16,394)   (3,437)   (517)   34,937    (19,455)   (2,924)
Subsidy income   12,809    49,038    14,154    2,127    87,424    118,384    17,794 
Exchange gain/(loss)   2,602    (29,810)   (46,368)   (6,969)   191,138    (82,518)   (12,403)
Change in fair value of forward contracts   (9,752)   (4,341)   (2,946)   (443)   (52,581)   (6,181)   (929)
Change in fair value of convertible senior  notes and capped call options   (15,684)   -    -    -    (95,531)   -    - 
Other income/(expense), net   (291)   11,773    15,109    2,271    (668)   38,824    5,835 
Investment loss   1,731    (194)   (438)   (66)   92    (632)   (95)
Income from continuing operations before income taxes   327,904    14,787    15,645    2,352    1,151,250    92,364    13,882 
Income tax (expense)/benefit   (115,973)   32,460    (4,466)   (671)   (306,687)   26,467    3,978 
Income from continuing operations, net of tax   211,931    47,247    11,179    1,681    844,563    118,831    17,860 
Discontinued operations                                   
Income from discontinued operations before income taxes   83,083    -    -    -    145,542    -    - 
Income tax expense, net   (830)   -    -    -    (1,446)   -    - 
Income from discontinued operations, net of tax   82,253    -    -    -    144,096    -    - 
                                    
Net income   294,184    47,247    11,179    1,681    988,659    118,831    17,860 
Less: Net loss attributable to non-controlling interests from continuing operations   (221)   (121)   (113)   (17)   (310)   (403)   (61)
Less: Net income attributable to non-controlling interests from discontinued operations   1,561    -    -    -    5,284    -    - 
Less: Allocation of net income to participating preferred shares issued by discontinued operations   10,247    -    -    -    13,895    -    - 
Less: Accretion to redemption value of redeemable non-controlling  interests of discontinued operations   48,922    -    -    -    142,702    -    - 
Net income attributable to JinkoSolar  Holding Co., Ltd.'s ordinary shareholders   233,675    47,368    11,292    1,698    827,088    119,234    17,921 
                                    
Earnings/(loss) per share for ordinary shareholders, basic                                   
Continuing operations   1.68    0.37    0.09    0.01    6.72    0.93    0.14 
Discontinued operations   0.17    -    -    -    (0.14)   -    - 
Total earnings/(loss) per share for ordinary shareholders, basic   1.85    0.37    0.09    0.01    6.58    0.93    0.14 
                                    
Earnings/(loss) per share for ordinary shareholders, diluted                                   
Continuing operations   1.35    0.37    0.08    0.01    6.09    0.91    0.14 
Discontinued operations   0.16    -    -    -    (0.14)   -    - 
Total earnings/(loss) per share for ordinary shareholders, diluted   1.51    0.37    0.08    0.01    5.95    0.91    0.14 
                                    
Earnings/(loss) per ADS for ordinary shareholders, basic                                   
Continuing operations   6.72    1.48    0.36    0.04    26.88    3.72    0.56 
Discontinued operations   0.68    -    -    -    (0.56)   -    - 
Total earnings/(loss) per ADS for ordinary shareholders, basic   7.40    1.48    0.36    0.04    26.32    3.72    0.56 
                                    
Earnings/(loss) per ADS for ordinary shareholders, diluted                                   
Continuing operations   5.40    1.48    0.32    0.04    24.36    3.64    0.56 
Discontinued operations   0.64    -    -    -    (0.56)   -    - 
Total earnings/(loss) per ADS for ordinary shareholders, diluted   6.04    1.48    0.32    0.04    23.80    3.64    0.56 

 

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Weighted average ordinary shares outstanding:                                   
Basic   126,056,129    128,247,292    130,186,074    130,186,074    125,680,215    128,442,966    128,442,966 
Diluted   130,613,442    129,493,716    134,413,564    134,413,564    134,070,821    130,720,283    130,720,283 
                                    
Weighted average ADS outstanding:                                   
Basic   31,514,032    32,061,823    32,546,519    32,546,519    31,420,054    32,110,742    32,110,742 
Diluted   32,653,360    32,373,429    33,603,391    33,603,391    33,517,705    32,680,071    32,680,071 
                                    
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
                                    
Net income   294,184    47,247    11,179    1,681    988,659    118,831    17,860 
Other comprehensive income:                                   
  -Foreign currency translation adjustments   (3,409)   (22,391)   (25,226)   (3,792)   (15,876)   (65,180)   (9,797)
Comprehensive income   290,775    24,856    (14,047)   (2,111)   972,783    53,651    8,063 
Less: Comprehensive income attributable to non-controlling interests   1,340    (121)   (113)   (17)   4,974    (403)   (61)
Less:Allocation of net income to participating preferred shares issued by discontinued operations   10,247    -    -    -    13,895    -    - 
Comprehensive income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders   279,188    24,977    (13,934)   (2,094)   953,914    54,054    8,124 
                                    
Reconciliation of GAAP and non-GAAP Results(Excluding discontinued operations)                                   
                                    
1. Non-GAAP earnings per share and non-GAAP earnings per ADS                                   
                                    
GAAP net income attributable to ordinary shareholders from continuing operations   212,152    47,368    11,292    1,698    844,873    119,234    17,921 
                                    
Change in fair value of convertible senior notes and capped call options   15,684    -    -    -    95,531    -    - 
                                    
4% of interest expense of convertible senior notes   8,007    1    1    -    31,998    1,557    234 
                                    
Exchange loss/(gain) on convertible senior notes and capped call options   5,958    (1)   (1)   -    24,176    841    126 
                                    
Stock-based compensation expense   29,558    13,822    14,645    2,201    55,580    45,868    6,894 
                                    
Non-GAAP net income attributable to ordinary shareholders from continuing operations   271,359    61,190    25,937    3,899    1,052,158    167,500    25,175 
                                    
Non-GAAP earnings per share attributable to ordinary shareholders from continuing operations -                                   
Basic   2.15    0.48    0.20    0.03    8.37    1.30    0.20 
Diluted   2.08    0.47    0.19    0.03    7.85    1.28    0.19 
                                    
Non-GAAP earnings per ADS attributable to ordinary shareholders from continuing operations -                                   
Basic   8.60    1.92    0.80    0.12    33.48    5.20    0.80 
Diluted   8.32    1.88    0.76    0.12    31.40    5.12    0.76 
                                    
Non-GAAP weighted average ordinary shares outstanding                                   
Basic   126,056,129    128,247,292    130,186,074    130,186,074    125,680,215    128,442,966    128,442,966 
Diluted   130,613,442    129,493,716    134,413,564    134,413,564    134,070,821    130,720,283    130,720,283 
                                    
Non-GAAP weighted average ADS outstanding                                   
Basic   31,514,032    32,061,823    32,546,519    32,546,519    31,420,054    32,110,742    32,110,742 
Diluted   32,653,360    32,373,429    33,603,391    33,603,391    33,517,705    32,680,071    32,680,071 

 

Results presented herein exclude Jinko Power-related discontinued operations, unless specified otherwise

 

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JINKOSOLAR HOLDING CO., LTD.

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

 

   December 31, 2016   September 30, 2017 
   RMB   RMB   USD 
ASSETS            
Current assets:               
Cash and cash equivalents   2,501,417    2,117,949    318,331 
Restricted cash   318,785    350,893    52,740 
Restricted short-term investments   3,333,450    4,042,325    607,567 
Short-term investments   71,301    67,888    10,204 
Accounts receivable, net - related parties   1,414,084    1,025,297    154,104 
Accounts receivable, net - third parties   4,753,715    5,822,194    875,084 
Notes receivable, net - related parties   610,200    240,000    36,072 
Notes receivable, net - third parties   915,315    396,056    59,528 
Advances to suppliers, net - related parties   662    -    - 
Advances to suppliers, net - third parties   325,766    607,694    91,337 
Inventories, net   4,473,515    5,242,139    787,901 
Forward contract receivables   641    349    52 
Deferred tax assets   130,676    -    - 
Other receivables - related parties   79,125    98,963    14,874 
Prepayments and other current assets   766,645    1,426,456    214,397 
Total current assets   19,695,297    21,438,203    3,222,191 
                
Non-current assets:               
Restricted cash   197,214    176,344    26,505 
Project Assets   55,063    219,181    32,943 
Long-term investments   7,200    23,521    3,535 
Property, plant and equipment, net   4,738,681    6,028,169    906,042 
Land use rights, net   450,941    447,616    67,277 
Intangible assets, net   20,297    26,466    3,978 
Deferred tax assets   134,791    265,467    39,900 
Other assets - related parties   173,376    135,382    20,348 
Other assets - third parties   617,780    884,292    132,910 
Total non-current assets   6,395,343    8,206,438    1,233,438 
                
Total assets   26,090,640    29,644,641    4,455,629 

 

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LIABILITIES               
Current liabilities:               
Accounts payable - related parties   -    2,256    339 
Accounts payable - third parties   4,290,071    4,593,518    690,412 
Notes payable - third parties   4,796,766    6,072,200    912,660 
Accrued payroll and welfare expenses   582,276    669,024    100,555 
Advances from related parties   60,541    54,593    8,205 
Advances from third parties   1,376,920    877,068    131,825 
Income tax payable   168,112    62,419    9,382 
Other payables and accruals   1,019,419    1,579,261    237,366 
Other payables due to related parties   76,034    11,555    1,737 
Forward contract payables   -    6,410    963 
Convertible senior notes - current   423,740    -    - 
Deferred tax liabilities   17,074    -    - 
Derivative liability - current   10,364    29,819    4,482 
Bond payable and accrued interests   -    4,606    692 
Short-term borrowings from third parties, including current portion of long-term bank borrowings   5,488,629    6,923,327    1,040,585 
  Guarantee liabilities to related parties   52,711    33,928    5,099 
Total current liabilities   18,362,657    20,919,984    3,144,302 
                
Non-current liabilities:               
Long-term borrowings   488,520    462,049    69,447 
Long-term payables   44,014    567,777    85,338 
Bond payables   -    298,075    44,801 
Accrued warranty costs - non current   511,209    577,257    86,763 
Convertible senior notes   -    66    10 
Deferred tax liability   50,651    67,725    10,179 
 Guarantee liabilities to related parties - non current   173,376    128,183    19,266 
Total non-current liabilities   1,267,770    2,101,132    315,804 
                
Total liabilities   19,630,427    23,021,116    3,460,106 
                
SHAREHOLDERS' EQUITY               
Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 126,733,266 and 130,186,074 shares issued and outstanding as of December 31, 2016 and September 30, 2017, respectively)   18    18    3 
Additional paid-in capital   3,145,262    3,254,923    489,219 
Statutory reserves   466,253    466,253    70,078 
Accumulated other comprehensive income   104,784    39,604    5,952 
Treasury stock, at cost; 1,723,200 shares of ordinary shares as of December 31, 2016 and September 30, 2017, respectively   (13,876)   (13,876)   (2,086)
Accumulated retained earnings   2,758,268    2,877,502    432,492 
                
Total JinkoSolar Holding Co., Ltd. shareholders' equity   6,460,709    6,624,424    995,658 
                
Non-controlling interests   (496)   (899)   (135)
                
Total liabilities and shareholders' equity   26,090,640    29,644,641    4,455,629 

 

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