* Sees 2nd-qtr shipments 870-950 MW
* Sees gross margin 14-16 pct
* 1st-qtr gross margin 15.7 pct vs 4.1 pct last year
* Shares up as much as 11.4 pct
(Adds outlook from conference call, updates share movement)
June 17 Chinese solar panel maker Yingli Green
Energy Holding Co Ltd said it expects higher module
shipments in the second quarter led by increased demand in its
The company's first-quarter net loss nearly halved as a
marginal rise in panel prices and a tight lid on costs helped
Yingli shares jumped as much as 11.4 percent to become one
of the top percentage gainers on the New York Stock Exchange on
The company, whose panels will power the Maracana stadium in
Brazil during the 2014 FIFA World Cup final, said it expects to
ship about 870-950 megawatt (MW) modules in the second quarter
ending June 30.
Yingli shipped 630.8 MW modules in the first quarter ended
"Beginning second quarter, we have seen a significant upbeat
in the demand from China as well as emerging markets... and
expect this trend to continue through 2014," Chief Financial
Officer Yiyu Wang said on a post-earnings conference call.
Rival Trina Solar Ltd had also forecast higher
shipments for the second quarter, helped by improving demand
Investors have feared that China will miss its target of
installing 14.5 gigawatt of solar capacity this year due to a
lack of funds to build smaller projects.
Yingli is confident that the Chinese market will be larger
and more reliable, and expects the government to announce new
incentives to support the solar distribution market, Wang said.
The company expects overall gross margin of 14-16 percent in
the second quarter.
Margins rose to 15.7 percent in the first quarter from 12.2
percent a in the fourth quarter to offset a 33 percent fall in
shipments from fourth-quarter levels.
"The increase ... was mainly due to the change of geographic
mix of (panel) sales with the portion of sales to higher price
markets up as well as our continuously enhanced cost control,"
Net loss narrowed to $55 million, or 35 cents per American
Depositary Share (ADS), from $98.5 million, or 63 cents per ADS,
a year earlier.
Revenue was nearly unchanged at $432.2 million.
Yingli shares were up 8.5 percent at $3.82 on the New York
Stock Exchange in heavy trading on Tuesday after touching a
two-month high of $3.92.
Shares of other Chinese solar companies Trina Solar Ltd
, JA Solar Holdings Co Ltd, ReneSola Ltd
were also up about 6 percent.
(Reporting By Sneha Banerjee and Kanika Sikka in Bangalore;
Editing by Saumyadeb Chakrabarty and Joyjeet Das)