Hairun PV lost 255 million in the first half of the year

Today, domestic photovoltaic manufacturer Hairun Solar reported a loss of 255 million yuan in its first half year performance.

Halon Solar announced that the company's board of directors had received written resignations from the company's director Ms. Chen Lifen, director Mr. Jiang Qingtang and independent director Mr. Wang Hongliang on August 13, 2013. Among them, Chen Lifen and Wang Hongliang both resigned for personal reasons and applied for resignation from the company’s board of directors. At the same time, Wang Hongliang resigned as a member of the Board of Auditors and the nomination committee. After the two resign, they will not hold any position in the company.

The company stated that the director, Jiang Qingtang, resigned from the position of the director due to job changes. After resigning, Mr. Jiang Qingtang still serves as vice president in the company.

Hairun Solar did not explain the detailed reasons for the resignation of the three directors. According to the company’s first-half results released on August 10, the company’s operating income for the first half of the year was RMB 2.06 billion, a year-on-year decrease of 18.93%; the net profit attributable to shareholders of the listed company was a loss of RMB 255 million, compared to a loss of RMB 135 million for the same period of last year. Basic earnings per share - 0.2459 yuan.

The company said that the negative growth was mainly due to the continued rapid decline in the company's main business product prices, the declining gross profit level, the company’s investment in photovoltaic power stations and the company’s rising financial costs, and the company’s rising R&D expenditures resulting in higher management costs.

On July 5 this year, Hareon Solar announced that the company has signed a 499MW photovoltaic power station construction contract and a project transfer contract with Shunfeng Optoelectronics, involving a projected amount of 4.19 billion yuan. In the background of the PV industry as a whole suffering from difficulties, the super-large Hareon PV has been questioned by the market.