JA Solar Profits Up 161%, Beats Raised Q3 Shipment Guidance

Solar products manufacturer JA Solar (Nasdaq:JASO) made net income in the third quarter of 2010 of RMB 513.68 million, or RMB 3.14 per diluted American depository share, the company announced on November 9.

Revenues for the quarter came to RMB 3.62 billion, up 52% sequentially and compared with revenues of RMB 1.3 billion in Q3 2009. Gross margins in Q3 stood at 22.5%, down from 23.1% in the prior quarter, which the company attributed to increases in wafer costs, partially offset by an increase in average selling price. Total shipments in Q3 were 418MW, above recently raised company guidance of 410MW and representing an increase of 34% q-o-q and 136% y-o-y.

The company raised annual cell manufacturing capacity to 1.8GW by the end of September, as previously expected and recently reached 1.9GW of solar cell capacity, ahead of schedule, according to the report.

The company has raised its full year guidance for shipments to over 1.45GW from 1.35GW , with Q4 expected shipments at 450MW.

JA Solar recently announced supply agreements to provide more than 600MW of solar power products for 2011 delivery, bringing its total supply agreements for delivery in 2011 to over 1.2GW.