L R AS Published on Sunday 15 April 2018 - n° 229 - Categories:company results
Hanwha Q-Cells in 2017: discontinuation of the wafer business
The fourth quarter was marked by the impairment of assets related to the discontinuation of the wafer business. Excluding this impairment, gross margin for the fourth quarter would have been
14.8% (compared to 8.5% reported). This compares with 7.8% in 2016. The operating loss incurred an exceptional expense of $30 million, which would have resulted in an operating balance of zero (compared with a negative net margin of 3.8% at the end of 2016).
Over 2017, operating expenses fell more (-13.7%) than revenue (-10%). This is due in part to the decrease in R&D, which fell by $25 million to 1.1% of sales. Capital expenditures for the year totalled $66 million, or 3.0% of sales. At the end of 2017, the company had a production capacity of 1.6 GW of ingots, 4.3 GW of cells and 4.3 GW of panels plus 3.7 GW of panel production from its Korean sister company.
For 2018, the company plans to deliver between 6 GW and 6.2 GW and to invest $90 million in production technology and R&D. In addition, $37 million will be used to finance the construction of the Turkish plant.
| CA 4th quarter 2017 | variatio / 2016 | gross margin 2017 | gross margin 2016 | res operat 2017 | operating margin 2017 | operating margin 2016 | net income 2017 | net margin 2017 | net margin 2016 |
| 625 M$ | 11% | 8,5% | 7,0% | - 30 M$ | - 4,8 % | - 3,8 % | - 50 M$ | - 8,1 % | -3,3% |
| Turnover 2017 12 months | variatio / 2016 | gross margin 2017 | gross margin 2016 | res operat 2017 | operating margin 2017 | operating margin 2016 | net income 2017 | net margin 2017 | net margin 2016 | delivery 2017 | variatio / 2016 |
| 2177 M$ | -10% | 11,2% | 18,1% | 29 M$ | 1,3% | 7,9% | - 9 M$ | - 0,4 % | 5,3% | 5438 MW | 18% |
Hanwha Q-Cells of 11 April
