Yingli tumbles on Q4 miss, margin pressure

|About: Yingli Green Energy Holding... (YGE)|By:, SA News Editor

Though Yingli's (YGE -10.5%) module shipments rose 11.4% Q/Q in Q4 (in-line with a revised guidance range of 11%-12%), its gross margin fell to 12.2% from 13.7%. If not for a year-end tax adjustment, GM would've come in at 14.2%; the figure was at -8.5% a year ago.

Yingli is guiding for 4GW-4.2GW of 2014 module shipments, up 29.4%-32.6% from a 2013 level of 3.23GW. The company's own solar system sales are expected to account for 400MW-600MW of those shipments.

Yingli has a 1GW Chinese downstream solar project pipeline, and a 200MW overseas downstream pipeline. The company plans to respectively finish construction of 400MW-600MW and 30MW-50MW of those projects in 2014.

Chinese shipments rose 60% Y/Y in Q4, and Japanese shipments 50%. Slumping Europe only made up 11% of shipments.

Excluding a $79.3M non-cash inventory purchase provision related to polysilicon supply deals, opex fell 1% Q/Q and 36% Y/Y to $93.4M. Yingli ended 2013 with $462.2M in cash, and over $2.4B in debt.

Q4 results, PR