ReneSola Results

Earlier today ReneSola announced its third quarter results (for the period ending 30th September 2009) and the future is looking pretty rosy for our vertically integrated Chinese manufacturer of solar power products.

Highlights included:

• Third quarter net revenues exceeded guidance coming in at US$140.9 million, an increase of 70.6% over second quarter net revenue figures of US$82.6 million.
• Total solar product shipments in the third quarter were a record 146.9 megawatts (MW), an increase of 71% from 85.9 MW in the second quarter of this year.

Mr. Charles Bai, ReneSola’s Chief Financial Officer had this to say:

“We were pleased to see strong improvements in revenues and shipment volumes during the third quarter as we continue to witness strong customer demand and continue to gain market share globally. We are one quarter away from completely working through our high cost inventories. As such, we expect substantial margin improvements and a return to profitabilityin Q1 2010.”

Check out the results in full at the Renesola web site.

On the back of these results, ReneSola’s price is north to the tune of 10.34% as I type, with the New York Stock Exchange (NYSE) due to open any minute. It’ll be interesting to gauge US opinion and the effect it has on price in the two and a half hours to London’s close, and of course, in the coming days.

After the downhill ride SOLA holders have endured for the past couple of months it’s nice to see a little optimism returning. I’m certainly feeling justified in topping up our holding at £1.23 a couple of weeks back now. Let’s just hope that the sun is shining on ReneSola and 2 quid is soon again bobbing up on the horizon.