ReneSola Turns To Profit In Q1, Revenues Down; Backs FY16 Revenue Outlook

(RTTNews) - ReneSola Ltd (SOL), a Chinese solar project developer, reported Monday that its first-quarter net income was $5.73 million, compared to a net loss of $18.03 million last year. Earnings per ADS were $0.06, compared to loss of $0.18 last year.

Gross profit of $44.5 million was up 21.4% from last year. Gross margin increased to 17.1% from 10.5% in 2015.

Net revenues, meanwhile, declined 25.3 percent to $260.7 million from $349 million last year, and was in-line with management guidance range of $260-$270 million.

The revenue decline reflected lower module ASP and lower module shipments to external customers as the Company continues to scale back its OEM business and shift towards downstream project development.

Total external module shipments were 350.7 MW while module shipments to the Company's downstream projects were 20.1 MW.

The company now has a solar power project pipeline of 785.3 MW at different development stages.

Looking ahead, for the second quarter, the company expects revenue in the range of $280 million to $290 million and gross margin to be approximately 18%.

For full year 2016, the company continues to expect revenue in the range of $1.0 billion to $1.2 billion.