Two consecutive years of major “blood loss”! Junda Co., Ltd. posted a loss of 1.416 billion yuan in 2025, a 139.51% year-on-year decline｜Financial Report Anomaly Insight

Ask AI · How does the clearing of capacity in the photovoltaic industry affect Junda Shares’ continuous losses?

Our newspaper (chinatimes.net.cn) reporter Li Jiajia Li Weilai Beijing reports

Recently, the leading photovoltaic cell manufacturer Hainan Junda New Energy Technology Co., Ltd. (hereinafter referred to as “Junda Shares”, 002865.SZ) released its 2025 annual report. According to the financial report, the company’s annual operating revenue was 7.63B yuan, down 23.36% year-on-year; net profit attributable to parent was -1.98B yuan, a decrease of 139.51% year-on-year, with obvious performance pressure.

The financial report also revealed that the company’s domestic revenue fell by more than 50% year-on-year. Regarding issues such as domestic startup rates, the “Huaxia Times” reporter sent interview outlines to the company, but as of press time, Junda Shares had not responded. In addition, the company continued the approach of 2024, and in 2025 will continue not to pay dividends, plan not to distribute cash dividends, not to send bonus shares, and not to convert reserves into share capital.

Two years of huge losses

It is understood that the photovoltaic industry chain covers core links such as silicon materials, ingots (pulling rods), wafers, cells, modules, and application systems. Photovoltaic cells are the core technological link in the photovoltaic industry chain; their photoelectric conversion efficiency directly determines the power generation efficiency of photovoltaic modules, thereby affecting the power generation and investment returns of terminal power stations.

Junda Shares is a leading enterprise in the photovoltaic cell industry, mainly engaged in the research and development, production, and sales of photovoltaic cells. The company purchases silicon wafers from upstream suppliers, processes them into cells, and sells them to downstream module companies; downstream module companies splice and encapsulate the cells into photovoltaic power generation modules for end customers.

SMM Silicon Photovoltaic Business Unit analyst Chen Jiahui told reporters that in 2025, domestic cell prices experienced a surge, then a pullback, and oscillated to bottom out, culminating in a breakout rally at the end of the year, with a “V-shaped” reversal pattern throughout the year, and the year-end prices hitting a new high. Taking monocrystalline TOPCon 183 cells as an example, influenced by the surge in silver prices at the end of the year, the average transaction price reached 0.39 yuan/W, an increase of 37.8% for the year.

From a profit perspective, Chen Jiahui further explained that, based on SMM’s photovoltaic index cost model, monocrystalline TOPCon 183 cells showed a fluctuating trend of “deep loss - recovery - deeper loss - rebound,” with an average profit of -0.051 yuan/W for the year. Looking at the profit trend, two key turning points occurred in mid-July and late December.

Affected by industry cycles, Junda Shares’ operations have continued to deteriorate over the past two years. The financial report shows that from 2023 to 2025, the company’s net profit attributable to parent was approximately 816 million yuan, -591 million yuan, and -4.71B yuan, respectively, with losses expanding after turning from profit. During the same period, the company’s net cash flow from operating activities also declined year by year, approximately 106M yuan, 654 million yuan, and -486 million yuan. The net assets attributable to shareholders of listed companies also shrank significantly, from 158M yuan at the end of 2023 to 3.66 billion yuan at the end of 2025.

Junda Shares stated that in 2025, the global photovoltaic market maintained growth, especially in overseas markets, but the industry remains in a capacity clearing and product price decline cycle, with overall profitability facing pressure, and the company’s operating performance also faced phased pressure.

Quarterly, in 2025, Junda Shares’ revenue was relatively stable each quarter, but net profit attributable to parent showed significant changes, approximately -1.06 billion yuan, -1.58 billion yuan, -1.55 billion yuan, and -155M yuan from Q1 to Q4. The fourth quarter’s loss increased sharply compared to the previous quarter, becoming the main drag on the year’s performance.

During the same period, the company’s sales expenses and R&D expenses decreased, by 19.82% and 44.35%, respectively. The company pointed out that the decline in sales expenses was due to reductions in marketing expenses and sales staff salaries. The decrease in R&D expenses was mainly due to tightening R&D projects during this period. By the end of 2025, the number of employees further decreased to 2,712.

Overseas revenue accounts for more than half

In 2025, Junda Shares’ domestic and overseas revenue changes were stark. The company openly stated, “Overseas market expansion has achieved breakthrough progress, with overseas sales revenue accounting for 50.66%, up sharply from 23.85% in 2024, with leading market shares in key regions such as India, Turkey, and Europe.”

Data shows that the company’s overseas revenue increased from 2.37B yuan in 2024 to 3.86B yuan in 2025, a growth of 62.83%. In contrast, domestic revenue was poor, dropping from 7.58B yuan in 2024 to 3.76B yuan in 2025, a decline of 50.35%.

In terms of gross profit margin, broken down by region, both domestic and foreign business gross margins declined, to -3.46% and 0.75%, respectively, down 2.42% and 5.62% year-on-year. Overall, in 2025, the gross profit margin of the company’s photovoltaic cell business was -1.65%, a decrease of 2.13% year-on-year.

In terms of capacity layout, the annual report disclosed that the company’s domestic Chuzhou and Huai’an production bases have a combined capacity of over 40GW, fully capable of ensuring rapid delivery to global customers; meanwhile, the company is planning overseas high-efficiency cell capacity, with projects in Turkey and other regions steadily advancing, aiming to achieve “local production, local delivery,” which helps avoid international trade barriers, reduce logistics costs, and further improve global supply efficiency.

It should be noted that affected by international trade situations, complex and changing tariff policies, and the rising instability of geopolitical factors such as the Middle East situation, the company’s planned Oman 5GW high-efficiency cell production base project has been somewhat delayed.

On the financial structure, as of the end of 2025, the company’s asset-liability ratio remained high at 77.69%. However, it is worth noting that on May 8, 2025, Junda Shares successfully listed in Hong Kong, becoming the first photovoltaic industry company to be listed on both A-share and H-share platforms. Currently, the photovoltaic industry faces serious debt issues, which is indeed a positive for the company’s global financing, overseas capacity building, and technological R&D investments.

Looking ahead, Chen Jiahui analyzed that, based on current supply-demand patterns and policy outlooks, cell prices may see a phased rebound this year, with a bright performance in the third quarter. He stated that overall industry profitability is closely related to the prices of bulk metals and auxiliary materials, and that 2026 will see the formal start of capacity integration in the photovoltaic industry.

Editor: Li Weilai Chief Editor: Zhang Yuning