SHANGHAI, Feb. 28, 2022 /PRNewswire/ -- Daqo New
Energy Corp. (NYSE: DQ) ("Daqo New Energy", the "Company" or "we"),
a leading manufacturer of high-purity polysilicon for the global
solar PV industry, today announced its unaudited financial results
for the fourth quarter and fiscal year of 2021.
Fourth Quarter 2021 Financial and Operating
Highlights
- Polysilicon production volume was 23,616
MT in Q4 2021, compared to 21,684 MT in Q3 2021
- Polysilicon sales volume was 11,642
MT in Q4 2021, compared to 21,183 MT in Q3 2021
- Polysilicon average total production cost(1) was
$14.11/kg in Q4 2021, compared to
$6.84/kg in Q3 2021
- Polysilicon average cash cost(1) was $13.32/kg in Q4 2021, compared to $5.96/kg in Q3 2021
- Polysilicon average selling price (ASP) was $33.91/kg in Q4 2021, compared to $27.55/kg in Q3 2021
- Revenue was $395.5 million in Q4
2021, compared to $585.8 million in
Q3 2021
- Gross profit was $239.8 million
in Q4 2021, compared to $435.2
million in Q3 2021. Gross margin was 60.6% in Q4 2021,
compared to 74.3% in Q3 2021
- Net income attributable to Daqo New Energy Corp. shareholders
was $148.6 million in Q4 2021,
compared to $292.3 million in Q3
2021
- Earnings per basic American Depositary Share
(ADS)(3) was $2.00 in Q4
2021, compared to $3.95 in Q3
2021
- EBITDA (non-GAAP)(2) was $251.1 million in Q4 2021, compared to
$441.8 million in Q3 2021. EBITDA
margin (non-GAAP)(2) was 63.5% in Q4 2021, compared to
75.4% in Q3 2021
- Adjusted net income (non-GAAP)(2) attributable to
Daqo New Energy Corp. shareholders was $150.9 million in Q4 2021, compared to
$294.7 million in Q3 2021
- Adjusted earnings per basic ADS(3)
(non-GAAP)(2) was $2.03 in
Q4 2021, compared to $3.98 in Q3
2021
|
Three months
ended
|
US$
millions
except as indicated
otherwise
|
Dec 31,
2021
|
Sep 30,
2021
|
Dec 31,
2020
|
Revenues
|
395.5
|
585.8
|
247.7
|
Gross
profit
|
239.8
|
435.2
|
109.5
|
Gross
margin
|
60.6%
|
74.3%
|
44.2%
|
Income from
operations
|
228.1
|
421.7
|
98.0
|
Net income
attributable to Daqo New Energy Corp.
shareholders
|
148.6
|
292.3
|
72.8
|
Earnings per basic
ADS(3) ($ per ADS)
|
2.00
|
3.95
|
1.01
|
Adjusted net income
(non-GAAP)(2) attributable to
Daqo New Energy Corp. shareholders
|
150.9
|
294.7
|
77.3
|
Adjusted earnings per
basic ADS(3) (non-GAAP)(2) ($ per
ADS)
|
2.03
|
3.98
|
1.07
|
EBITDA
(non-GAAP)(2)
|
251.1
|
441.8
|
115.1
|
EBITDA margin
(non-GAAP)(2)
|
63.5%
|
75.4%
|
46.5%
|
Polysilicon sales
volume (MT)
|
11,642
|
21,183
|
23,186
|
Polysilicon average
total production cost ($/kg)(1)
|
14.11
|
6.84
|
5.92
|
Polysilicon average
cash cost (excl. dep'n) ($/kg)(1)
|
13.32
|
5.96
|
5.04
|
Full Year 2021 Financial and Operating Highlights
- Polysilicon production volume was 86,587 MT in 2021, compared
to 77,288 MT in 2020
- Polysilicon sales volume was 75,356
MT in 2021, compared to 74,812
MT in 2020
- Revenue was $1,678.8 million in
2021, compared to $675.6 million in
2020
- Gross profit was $1,097.2 million
in 2021, compared to $234.0 million
in 2020. Gross margin was 65.4% in 2021, compared to 34.6% in
2020
- EBITDA (non-GAAP)(2) was $1,132.8 million in 2021, compared to
$256.5 million in 2020. EBITDA margin
(non-GAAP)(2) was 67.5% in 2021, compared to 38.0% in
2020
- Net income attributable to Daqo New Energy Corp. shareholders
was $756.2 million in 2021, compared
to $129.2 million in 2020. Earnings
per basic ADS was $10.24 in 2021,
compared to $1.82 in 2020
- Adjusted net income (non-GAAP)(2) attributable to
Daqo New Energy Corp. shareholders was $766.3 million in 2021, compared to $147.1 million in 2020
- Adjusted earnings per basic ADS(3)
(non-GAAP)(2) was $10.37
in 2021, compared to $2.07 in
2020
Notes:
(1)
|
Production cost and
cash cost only refer to production in our polysilicon facilities.
Production cost is calculated by the inventoriable costs relating
to production of polysilicon divided by the production volume in
the period indicated. Cash cost is calculated by the inventoriable
costs relating to production of polysilicon excluding depreciation
expense, divided by the production volume in the period
indicated.
|
|
|
(2)
|
Daqo New Energy
provides EBITDA, EBITDA margins, adjusted net income attributable
to Daqo New Energy Corp. shareholders and adjusted earnings per
basic ADS on a non-GAAP basis to provide supplemental information
regarding its financial performance. For more information on these
non-GAAP financial measures, please see the section captioned "Use
of Non-GAAP Financial Measures" and the tables captioned
"Reconciliation of non-GAAP financial measures to comparable US
GAAP measures" set forth at the end of this press
release.
|
|
|
(3)
|
ADS means American
Depositary Share. On November 17, 2020, the Company effected a
change of the ratio of its ADSs to ordinary shares from one (1) ADS
representing twenty-five (25) ordinary shares to one (1) ADS
representing five (5) ordinary shares. The earnings per ADS and
number of ADS information have been retrospectively adjusted to
reflect the change for all periods presented.
|
Management Remarks
Mr. Longgen Zhang, CEO of Daqo New Energy, commented, "We had an
excellent year with great operational and financial performance. We
produced 86,587 MT of polysilicon in 2021, exceeding our guidance
of 83,000 to 85,000 MT and 12% higher
than 77,288 MT produced in 2020. In 2021, approximately 99% of our
production was mono-grade polysilicon, which had the highest
pricing in the market and was the product most sought after by
wafer customers. 2021 saw strong global policies supporting carbon
neutrality and the de-carbonization of the energy sector that led
to strong demand for solar energy products and resulted in higher
polysilicon prices. We delivered a strong financial performance for
the full year, with a gross margin of 65% and net income
attributable to our shareholders of $756 million, representing
a 485.3% increase compared to 2020. Daqo New Energy also achieved
two additional major milestones in 2021. We successfully listed our
subsidiary Xinjiang Daqo on the Shanghai Stock Exchange in
China in July 2021, which will significantly amplify our
future growth with access to a robust capital market in
China. We also successfully
completed the construction of our Phase 4B project and started pilot production in
December 2021 with better than
anticipated results. As such, we believe that we will continue to
be one of the world's best operators in the polysilicon industry,
and a market leader in many aspects including production
throughput, product quality, profit margin, cost structure, capital
structure and balance sheet."
"In the fourth quarter of 2021, we produced 23,616 MT of polysilicon, including 1,111 MT from our newly-built Phase 4B facility and we sold 11,642 MT. End of year seasonality impact combined
with downstream inventory adjustments led to a temporary reduction
in demand, when our customers in the wafer sector reduced their own
raw material and product inventory levels and temporarily lowered
their utilization rate. After extensive analysis of long-term
supply and demand dynamics, we believe that the lower utilization
level in the wafer sector was due to seasonality impact and
temporary in nature. Therefore, we expect conditions to resume to
normal once the solar value chain achieves a new balance when
market demand bounces back. In January
2022, the solar market did see a strong pick-up in end
market orders, and wafer sector utilization and demand quickly
resumed to normal levels. As a result, polysilicon ASP started to
recover meaningfully. Our inventory also quickly returned to a
normal level by the end of January."
"In the fourth quarter, our production cost was $14.11/kg. The increase in production cost as
compared to the third quarter was primarily due to the increase in
the cost of raw material of silicon powder. The average procurement
cost of silicon powder increased from $2.58/kg in the third quarter to $8.68/kg in the fourth quarter. Start-up costs
related to our new Phase 4B facility
also had a temporary impact on our costs in the fourth quarter.
Despite the strong increase in raw material cost during the fourth
quarter, most of this cost increase was passed to our downstream
customers, as ASPs for the fourth quarter increased to $33.91/kg, compared to $27.55/kg in the third quarter. Moreover, the
price of silicon powder started to decline quickly in January 2022 and the current market price of
silicon powder is approximately $3.5/kg to $3.6/kg.
We expect our production cost to decrease meaningfully in the first
quarter of 2022 as a result of lower silicon powder prices and
better operational efficiency in our Phase 4B facility."
"In terms of our new Phase 4B
facility, we completed the project ahead of schedule despite
significant difficulties and challenges resulting from the
resurgence of COVID-19. We commenced the construction of Phase
4B in 2021 and harvested the first
batch of polysilicon from the brand-new CVD furnaces in early
December 2021, within the same year.
This has been a new milestone in our company's history in terms of
building new capacity and has also set a new benchmark for the
industry. We produced approximately 1,111
MT and 2,825 MT of polysilicon
from our Phase 4B facility in
December 2021 and January 2022, respectively. We expect to reach
more optimized output in February and March
2022 and to produce approximately 9,500 MT from our Phase 4B facility in the first quarter of 2022.
Polysilicon production from this new facility has already been
delivered to our mono wafer customers and met their quality
standards."
"Our Inner Mongolia polysilicon projects, consisting
of a 100,000 MT polysilicon for the solar industry and a
1,000 MT polysilicon for the
semiconductor industry, are expected to commence in March 2022 and to be completed by the end of the
second quarter of 2023. We have already obtained the energy
consumption approval and plan to partially use renewable energy to
power these projects in the future. We also plan to expand to
silicon powder production in Inner Mongolia in the future, which
will allow us to further enhance our cost structure and improve our
supply chain stability."
"Global solar PV installations were approximately 160GW in 2021,
representing a 23% increase compared to approximately 130 GW in
2020. The 2021 global PV market size was limited by the
availability of polysilicon. In addition, solar module pricing
increased by more than 20% during 2021. The increases both in
volume and price in 2021 demonstrated a very strong market demand
as solar broadly achieved grid parity in major power markets
around the world, and the development and use of renewable
energy has become a global consensus to meet the urgency of
global climate challenges. We believe the strong momentum in the
solar PV industry will continue to provide a huge market with
significant growth potential in the future. In the solar PV
industry, polysilicon production has the highest entry barrier,
requiring substantial capital, complex and difficult-to-manage
process and equipment, stringent product quality requirements, and
long-lead times. We are confident that our advantages and
competitive positioning, with first-class quality and competitive
cost structure, will enable us to continuously increase our market
share and enhance our global leadership in the polysilicon
industry."
Outlook and guidance
The Company expects to produce approximately 31,000MT to 32,000MT
of polysilicon during the first quarter of 2022. The Company
expects to produce approximately 120,000MT to 125,000MT
of polysilicon for the full year of 2022, inclusive of the impact
of the Company's annual facility maintenance.
This outlook reflects Daqo New Energy's current and preliminary
view as of the date of this press release and may be subject to
changes. The Company's ability to achieve these projections is
subject to risks and uncertainties. See "Safe Harbor Statement" at
the end of this press release.
Fourth Quarter 2021 Results
Revenues
Revenues were $395.5 million,
compared to $585.8 million in the
third quarter of 2021 and $247.7
million in the fourth quarter of 2020. The decrease in
revenues as compared to the third quarter of 2021 was primarily due
to lower polysilicon sales volume.
Gross profit and margin
Gross profit was $239.8 million,
compared to $435.2 million in the
third quarter of 2021 and $109.5
million in the fourth quarter of 2020. Gross margin was
60.6%, compared to 74.3% in the third quarter of 2021 and 44.2% in
the fourth quarter of 2020. The decrease in gross profit as
compared to the third quarter of 2021 was primarily due to lower
sales volume. The decrease in gross margin as compared to the third
quarter of 2021 was primarily due to the impact of higher cost of
raw materials.
Selling, general and administrative expenses
Selling, general and administrative expenses were $10.2 million, compared to $11.4 million in the third quarter of 2021 and
$11.2 million in the fourth quarter
of 2020. SG&A expenses during the quarter included $2.0 million in non-cash share-based compensation
costs related to the Company's share incentive plan.
Research and development expenses
Research and development (R&D) expenses were $1.3 million, compared to $1.9 million in the third quarter of 2021 and
$1.5 million in the fourth quarter of
2020. Research and development expenses can vary from period to
period and reflect R&D activities that take place during the
quarter.
Income from operations and operating margin
As a result of the foregoing, income from operations was
$228.1 million, compared to
$421.7 million in the third quarter
of 2021 and $98.0 million in the
fourth quarter of 2020.
Operating margin was 57.7%, compared to 72.0% in the third
quarter of 2021 and 39.6% in the fourth quarter of 2020.
Interest expense, net
Interest expense, net was $2.0
million, compared to $4.5
million in the third quarter of 2021 and $8.1 million in the fourth quarter of 2020. The
decrease was primarily due to lower balance of bank loans.
EBITDA (non-GAAP)
EBITDA (non-GAAP) was $251.1
million, compared to $441.8
million in the third quarter of 2021 and $115.1 million in the fourth quarter of 2020.
EBITDA margin (non-GAAP) was 63.5%, compared to 75.4% in the third
quarter of 2021 and 46.5% in the fourth quarter of 2020.
Net income attributable to Daqo New Energy Corp.
shareholders and earnings per ADS
As a result of the aforementioned, net income attributable to
Daqo New Energy Corp. shareholders was $148.6 million, compared to $292.3 million in the third quarter of 2021 and
$72.8 million in the fourth quarter
of 2020.
Earnings per basic American Depository Share (ADS) was
$2.00, compared to $3.95 in the third quarter of 2021, and
$1.01 in the fourth quarter of
2020.
Full Year 2021 Results
Revenues
Revenues were $1,678.8 million,
compared to $675.6 million in 2020.
The increase was primarily due to higher polysilicon ASPs and
higher sales volume.
Gross profit and margin
Gross profit was $1,097.2 million,
compared to $234.0 million in 2020.
Gross margin was 65.4%, compared to 34.6% in 2020. The increase was
primarily due to higher ASPs.
Selling, general and administrative expenses
Selling, general and administrative expenses were $39.9 million, compared to $39.5 million in 2020.
Research and development expenses
Research and development (R&D) expenses were $6.5 million, compared to $6.9 million in 2020. Research and development
expenses can vary from period to period and reflect R&D
activities that took place during the period.
Income from operations and operating margin
As a result of the foregoing, income from operations was
$1,051.4 million, compared to
$187.9 million in 2020. Operating
margin was 62.6%, compared to 27.8% in 2020.
Interest expense, net
Interest expense, net was $20.5
million, compared to $25.7
million in 2020. The decrease was primarily due to lower
balance of bank loans.
Income tax expense
Income tax expense was $162.8
million, compared to $28.2
million in 2020. The increase was primarily due to higher
income before income taxes.
Net income attributable to Daqo New Energy Corp.
shareholders and earnings per ADS
Net income attributable to Daqo New Energy Corp. shareholders
was $756.2 million, compared to
$129.2 million in 2020. Earnings per
basic ADS was $10.24, compared to
$1.82 in 2020.
Adjusted net income (non-GAAP) attributable to Daqo New Energy
Corp. shareholders was $766.3
million, compared to $147.1
million in 2020. Adjusted earnings per basic ADS (non-GAAP)
was $10.37, compared to $2.07 in 2020.
Financial Condition
As of December 31, 2021, the
Company had $724.0 million in cash,
cash equivalents and restricted cash, compared to $660.9 million as of September 30, 2021 and $118.4 million as of December 31, 2020. As of December 31, 2021, the notes receivable balance
was $365.9 million, compared to
$353.3 million as of September 30, 2021 and $0.2 million as of December 31, 2020. The increase in notes
receivables compared to December 31,
2020 was due to higher revenues and gross margin. As of
December 31, 2021, total borrowings
were nil, compared to nil as of September
30, 2021 and total borrowings of $193.7 million, including $123.2 million long-term borrowings, as of
December 31, 2020.
Cash Flows
For the twelve months ended December 31,
2021, net cash provided by operating activities was
$639.1 million, compared to
$209.7 million in the same period of
2020. The increase was primarily due to higher revenues and gross
margin.
For the twelve months ended December 31,
2021, net cash used in investing activities was $782.0 million, compared to $118.5 million in the same period of 2020. The
net cash used in investing activities in 2021 and 2020 was
primarily related to the capital expenditures on the Company's
Phase 4B and 4A polysilicon
projects.
For the twelve months ended December 31,
2021, net cash provided by financing activities was
$736.2 million, compared to net cash
used in financing activities of $95.5
million in the same period of 2020. The net cash provided by
financing activities in 2021 was primarily related to the net
proceeds of $935.0 million
contributed by Xinjiang Daqo's IPO in China.
Use of Non-GAAP Financial Measures
To supplement Daqo New Energy's consolidated financial results
presented in accordance with United States Generally Accepted
Accounting Principles ("US GAAP"), the Company uses certain
non-GAAP financial measures that are adjusted for certain items
from the most directly comparable GAAP measures including earnings
before interest, taxes, depreciation and amortization ("EBITDA")
and EBITDA margin; adjusted net income attributable to Daqo New
Energy Corp. shareholders and adjusted earnings per basic and
diluted ADS. Our management believes that each of these non-GAAP
measures is useful to investors, enabling them to better assess
changes in key element of the Company's results of operations
across different reporting periods on a consistent basis,
independent of certain items as described below. Thus, our
management believes that, used in conjunction with US GAAP
financial measures, these non-GAAP financial measures provide
investors with meaningful supplemental information to assess the
Company's operating results in a manner that is focused on its
ongoing, core operating performance. Our management uses these
non-GAAP measures internally to assess the business, its financial
performance, current and historical results, as well as for
strategic decision-making and forecasting future results. Given our
management's use of these non-GAAP measures, the Company believes
these measures are important to investors in understanding the
Company's operating results as seen through the eyes of our
management. These non-GAAP measures are not prepared in accordance
with US GAAP or intended to be considered in isolation or as a
substitute for the financial information prepared and presented in
accordance with US GAAP; the non-GAAP measures should be reviewed
together with the US GAAP measures, and may be different from
non-GAAP measures used by other companies.
The Company uses EBITDA, which represents earnings before
interest, taxes, depreciation and amortization, and EBITDA margin,
which represents the proportion of EBITDA in revenues. Adjusted net
income attributable to Daqo New Energy Corp. shareholders and
adjusted earnings per basic and diluted ADS exclude costs related
to share-based compensation. Share-based compensation is a non-cash
expense that varies from period to period. As a result, our
management excludes this item from our internal operating forecasts
and models. Our management believes that this adjustment for
share-based compensation provides investors with a basis to measure
the Company's core performance, including compared with the
performance of other companies, without the period-to-period
variability created by share-based compensation.
A reconciliation of non-GAAP financial measures to comparable US
GAAP measures is presented later in this document.
Conference Call
The Company has scheduled a conference call to discuss the
results at 8:00 AM Eastern Time on
February 28, 2022. (9:00 PM Beijing / Hong
Kong time on the same day).
The dial-in details for the live conference call are as
follows:
Participant dial in
(toll free):
|
+1-888-346-8982
|
Participant
international dial in:
|
+1-412-902-4272
|
China mainland toll
free:
|
4001-201203
|
Hong Kong toll
free:
|
800-905945
|
Hong Kong-local
toll:
|
+852-301-84992
|
Participants please
dial in 10 minutes before the call is scheduled to begin and ask to
be joined into the Daqo New Energy Corp. call.
|
|
|
|
|
You can also listen to the conference call via Webcast through
the URL:
https://services.choruscall.com/links/dq220228.html
A replay of the call will be available 1 hour after the end of
the conference through March 7,
2022.
The conference call replay numbers are as follows:
US Toll
Free:
|
+1-877-344-7529
|
International
Toll:
|
+1-412-317-0088
|
Canada Toll
Free:
|
855-669-9568
|
Replay access
code:
|
4295711
|
To access the replay using an international dial-in number,
please select the link below.
https://services.choruscall.com/ccforms/replay.html
Participants will be required to state their name and company upon
entering the call.
About Daqo New Energy Corp.
Daqo New Energy Corp. (NYSE: DQ) ("Daqo" or the "Company") is a
leading manufacturer of high-purity polysilicon for the global
solar PV industry. Founded in 2007, the Company manufactures and
sells high-purity polysilicon to photovoltaic product manufactures,
who further process the polysilicon into ingots, wafers, cells and
modules for solar power solutions. The Company has a total
polysilicon nameplate capacity of 105,000 metric tons and is one of
the world's lowest cost producers of high-purity polysilicon.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements. Among other things,
the outlook for the first quarter and the full year of 2022 and
quotations from management in these announcements well as Daqo New
Energy's strategic and operational plans, contain forward-looking
statements. The Company may also make written or oral
forward-looking statements in its reports filed or furnished to the
U.S. Securities and Exchange Commission, in its annual reports to
shareholders, in press releases and other written materials and in
oral statements made by its officers, directors or employees to
third parties. Statements that are not historical facts, including
statements about the Company's beliefs and expectations, are
forward-looking statements. Forward-looking statements involve
inherent risks and uncertainties. A number of factors could cause
actual results to differ materially from those contained in any
forward-looking statement, including but not limited to the
following: the demand for photovoltaic products and the development
of photovoltaic technologies; global supply and demand for
polysilicon; alternative technologies in cell manufacturing; the
Company's ability to significantly expand its polysilicon
production capacity and output; the reduction in or elimination of
government subsidies and economic incentives for solar energy
applications; the Company's ability to lower its production costs;
and the duration of COVID-19 outbreaks in China and many other countries and the impact
of the outbreaks and the quarantines and travel restrictions
instituted by relevant governments on economic and market
conditions, including potentially weaker global demand for solar PV
installations that could adversely affect the Company's business
and financial performance. Further information regarding these and
other risks is included in the reports or documents the Company has
filed with, or furnished to, the U.S. Securities and Exchange
Commission. All information provided in this press release is as of
the date hereof, and the Company undertakes no duty to update such
information or any forward-looking statement, except as required
under applicable law.
Daqo New Energy
Corp.
|
Unaudited
Condensed Consolidated Statement of Operations
|
(US dollars in
thousands, except ADS and per ADS data)
|
|
|
Three months
Ended
|
Year Ended Dec
31,
|
|
|
Dec 31,
2021
|
|
Sep 30,
2021
|
|
Dec 31,
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
$395,547
|
|
$585,782
|
|
$247,725
|
|
$1,678,793
|
|
$675,602
|
Cost of
revenues
|
|
(155,719)
|
|
(150,583)
|
|
(138,238)
|
|
(581,585)
|
|
(441,610)
|
Gross
profit
|
|
239,828
|
|
435,199
|
|
109,487
|
|
1,097,208
|
|
233,992
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
Selling, general
and
administrative expenses
|
|
(10,249)
|
|
(11,353)
|
|
(11,236)
|
|
(39,904)
|
|
(39,472)
|
Research and
development
expenses
|
|
(1,269)
|
|
(1,927)
|
|
(1,498)
|
|
(6,495)
|
|
(6,856)
|
Other operating income
/
(expenses)
|
|
(217)
|
|
(203)
|
|
1,226
|
|
609
|
|
191
|
Total operating
expenses
|
|
(11,735)
|
|
(13,483)
|
|
(11,508)
|
|
(45,790)
|
|
(46,137)
|
Income from
operations
|
|
228,093
|
|
421,716
|
|
97,979
|
|
1,051,418
|
|
187,855
|
Interest expense,
net
|
|
(2,002)
|
|
(4,506)
|
|
(8,067)
|
|
(20,482)
|
|
(25,725)
|
Investment
income
|
|
3,317
|
|
695
|
|
-
|
|
4,012
|
|
-
|
Income before income
taxes
|
|
229,408
|
|
417,905
|
|
89,912
|
|
1,034,948
|
|
162,130
|
Income tax
expense
|
|
(43,099)
|
|
(62,137)
|
|
(13,606)
|
|
(162,806)
|
|
(28,182)
|
Net income from
continuing
operations
|
|
186,309
|
|
355,768
|
|
76,306
|
|
872,142
|
|
133,948
|
Net loss from
discontinued
operations
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(141)
|
Net income
|
|
186,309
|
|
355,768
|
|
76,306
|
|
872,142
|
|
133,807
|
Net income
attributable to non-
controlling interest
|
|
37,738
|
|
63,439
|
|
3,480
|
|
115,923
|
|
4,612
|
Net income
attributable to Daqo
New Energy Corp.
shareholders
|
|
$148,571
|
|
$292,329
|
|
$72,826
|
|
$756,219
|
|
$129,195
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
ADS
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
2.00
|
|
3.95
|
|
1.01
|
|
10.24
|
|
1.82
|
Diluted
|
|
1.94
|
|
3.81
|
|
0.96
|
|
9.85
|
|
1.72
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
ADS
outstanding
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
74,377,874
|
|
74,045,141
|
|
72,147,808
|
|
73,868,221
|
|
71,017,403
|
Diluted
|
|
76,717,325
|
|
76,681,604
|
|
76,065,033
|
|
76,750,363
|
|
75,003,430
|
Daqo New Energy
Corp.
|
Unaudited
Consolidated Balance Sheets
|
(US dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
Dec 31,
2021
|
|
Sep 30,
2021
|
|
Dec 31,
2020
|
|
|
|
|
|
|
|
ASSETS:
|
|
|
|
|
|
|
Current
Assets:
|
|
|
|
|
|
|
Cash, cash equivalents
and
restricted cash
|
|
723,966
|
|
660,913
|
|
118,404
|
Short-term
investments
|
|
280,251
|
|
414,201
|
|
-
|
Notes
receivable
|
|
365,911
|
|
353,299
|
|
153
|
Inventories
|
|
327,771
|
|
46,231
|
|
42,159
|
Other current
assets
|
|
45,081
|
|
34,153
|
|
19,555
|
Total current
assets
|
|
1,742,980
|
|
1,508,797
|
|
180,271
|
Property, plant and
equipment, net
|
|
1,559,110
|
|
1,442,505
|
|
1,027,086
|
Prepaid land use
right
|
|
40,741
|
|
36,882
|
|
30,829
|
Other non-current
assets
|
|
820
|
|
1,718
|
|
957
|
TOTAL
ASSETS
|
|
3,343,651
|
|
2,989,902
|
|
1,239,143
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
Short-term
borrowings, including
current portion of long-term
borrowings
|
|
-
|
|
-
|
|
70,431
|
Accounts payable and
notes
payable
|
|
81,469
|
|
22,226
|
|
68,308
|
Advances from
customers-short
term portion
|
|
202,958
|
|
179,986
|
|
37,783
|
Payables for purchases
of property,
plant and equipment
|
|
142,937
|
|
81,892
|
|
49,555
|
Other current
liabilities
|
|
123,135
|
|
144,701
|
|
58,058
|
Total current
liabilities
|
|
550,499
|
|
428,805
|
|
284,135
|
Long-term
borrowings
|
|
-
|
|
-
|
|
123,222
|
Advance from customers
– long
term portion
|
|
90,661
|
|
90,247
|
|
3,265
|
Other non-current
liabilities
|
|
31,366
|
|
24,408
|
|
29,606
|
TOTAL
LIABILITIES
|
|
672,526
|
|
543,460
|
|
440,228
|
EQUITY:
|
|
|
|
|
|
|
Total Daqo New Energy
Corp.'s
shareholders' equity
|
|
2,169,254
|
|
1,990,298
|
|
767,123
|
Non-controlling
interest
|
|
501,871
|
|
456,144
|
|
31,792
|
Total
equity
|
|
2,671,125
|
|
2,446,442
|
|
798,915
|
TOTAL LIABILITIES
& EQUITY
|
|
3,343,651
|
|
2,989,902
|
|
1,239,143
|
Daqo New Energy
Corp.
|
Unaudited
Consolidated Statements of Cash Flows
|
(US dollars in
thousands)
|
|
|
|
For the year ended
December 31,
|
|
|
2021
|
|
2020
|
Operating
Activities:
|
|
|
|
|
Net income
|
|
$ 872,142
|
|
$ 133,807
|
Less: loss from
discontinued operations, net of tax
|
|
-
|
|
(141)
|
Net income from
continuing operations
|
|
872,142
|
|
133,948
|
Adjustments to
reconcile net income to net cash provided by
operating activities
|
|
92,984
|
|
90,269
|
Changes in operating
assets and liabilities
|
|
(326,027)
|
|
(14,464)
|
Net cash provided by
operating activities-continuing operations
|
|
639,099
|
|
209,753
|
Net cash used in
operating activities-discontinued operations
|
|
-
|
|
(50)
|
Net cash provided by
operating activities
|
|
639,099
|
|
209,703
|
|
|
|
|
|
Investing
activities:
|
|
|
|
|
Net cash used in
investing activities-continuing operations
|
|
(782,004)
|
|
(118,292)
|
Net cash used in
investing activities-discontinuing operations
|
|
-
|
|
(195)
|
Net cash used in
investing activities
|
|
(782,004)
|
|
(118,487)
|
|
|
|
|
|
Financing
activities:
|
|
|
|
|
Net cash provided
by/(used in) financing activities-continuing
operations
|
|
736,225
|
|
(95,470)
|
Net cash provided
by/(used in) financing activities
|
|
736,225
|
|
(95,470)
|
Non-cash
transactions
|
|
|
|
|
Effect of exchange
rate changes
|
|
12,242
|
|
7,364
|
Net increase in cash,
cash equivalents and restricted cash
|
|
605,562
|
|
3,110
|
Cash, cash
equivalents and restricted cash at the beginning of the
year
|
|
118,404
|
|
115,294
|
Cash, cash
equivalents and restricted cash at the end of the year
|
|
723,966
|
|
118,404
|
Daqo New Energy
Corp.
|
Reconciliation of
non-GAAP financial measures to comparable US GAAP
measures
|
(US dollars in
thousands)
|
|
|
|
|
Three months
Ended
|
Year
ended
|
|
|
Dec. 31,
2021
|
|
Sep. 30,
2021
|
|
Dec. 31,
2020
|
|
Dec. 31,
2021
|
|
Dec. 31,
2020
|
Net income from
continuing
operations
|
|
186,309
|
|
355,768
|
|
76,306
|
|
872,142
|
|
133,948
|
Income tax
expense
|
|
43,099
|
|
62,137
|
|
13,606
|
|
162,806
|
|
28,182
|
Interest expense,
net
|
|
2,002
|
|
4,506
|
|
8,067
|
|
20,482
|
|
25,725
|
Depreciation &
amortization
|
|
19,739
|
|
19,391
|
|
17,118
|
|
77,366
|
|
68,686
|
EBITDA
(non-GAAP)
|
|
251,149
|
|
441,802
|
|
115,097
|
|
1,132,796
|
|
256,541
|
EBIDTA margin
(non-GAAP)
|
|
63.5%
|
|
75.4%
|
|
46.5%
|
|
67.5%
|
|
38.0%
|
|
Three months
Ended
|
Year
ended
|
|
|
Dec. 31,
2021
|
|
Sep. 30,
2021
|
|
Dec. 31,
2020
|
|
Dec. 31,
2021
|
|
Dec. 31,
2020
|
Net income
attributable to
Daqo New Energy Corp.
shareholders
|
|
148,571
|
|
292,329
|
|
72,826
|
|
756,219
|
|
129,195
|
Share-based
compensation
|
|
2,359
|
|
2,359
|
|
4,478
|
|
10,077
|
|
17,908
|
Adjusted net
income (non-
GAAP) attributable to Daqo
New Energy Corp.
shareholders
|
|
150,930
|
|
294,688
|
|
77,304
|
|
766,296
|
|
147,103
|
Adjusted earnings
per basic
ADS (non-GAAP)
|
|
$2.03
|
|
$3.98
|
|
$1.07
|
|
$10.37
|
|
$2.07
|
Adjusted earnings
per diluted
ADS (non-GAAP)
|
|
$1.97
|
|
$3.84
|
|
$1.02
|
|
$9.98
|
|
$1.96
|
For more information, please visit www.dqsolar.com
Daqo New Energy Corp.
Investor Relations
Email: dqir@daqo.com
Christensen
In China
Mr. Rene Vanguestaine
Phone: +86 178 1749 0483
rvanguestaine@christensenir.com
In the U.S.
Ms. Linda Bergkamp
Phone: +1-480-614-3004
Email: lbergkamp@Christensenir.com
View original
content:https://www.prnewswire.com/news-releases/daqo-new-energy-announces-unaudited-fourth-quarter-and-fiscal-year-2021-results-301491272.html
SOURCE Daqo New Energy Corp.