In the third quarter of 2013, the company had an income of 243 million people, a gross profit of 1730 million people, and a gross profit margin of 7.1%. It declined in the first half of the year, and its profit fell sharply in the third quarter, to 763.5 yuan in 2013. compared with a profit of 1481.6 million yuan in the same period in 2012, after the company's performance improved slightly in the first half of the year, the stock market also fell sharply.

At present, polysilicon wafers have been on the rise, with a difference of 25% compared with single silicon wafers, compared with 34% at the beginning of 2013. In the process of low customer gap, the performance of polysilicon wafers is weaker than that of monocrystalline silicon wafers, and the sale of single crystal silicon wafers will also benefit.

Polysilicon raw materials have risen from 17.45 US dollars / kg to the current 18.79 / kg in the most recent month, with an increase of 7.7%, while single-crystal silicon wafers have not improved, so the rise in raw material costs may not be able to move downstream in the short term, which will further affect the company's profit margin.

On December 27, 2013, the company signed a three-year supply agreement with Mission Solar Energy, a manufacturer of solar energy batteries in the United States, for N-type single crystal silicon wafers with a total supply of 500MW from June 2014 to July 2017. The company's total single crystal silicon wafer sales in the first half of 2013 was 180 megawatts, so the annual increase in this proposal is basically commensurate with the current half-year volume.

The company's current production capacity is 600MW. The Laixi single crystal silicon project completed at the end of 2013 will provide the company with new 300MW production capacity this year. Due to the government's 10-year concession-free policy and low labor costs, it is expected that the recent project will increase the company's non-profit rate and help the company improve its operating capacity.

This year will be a big year for China's decentralized photovoltaic, and the Energy Administration has previously designated this year's new photovoltaic equipment as 12GW, including distributed 8GW. At the end of the national energy work conference, the Energy Bureau raised this goal to 14GW, including decentralized 8.4GW. The state provides 0.42 yuan per kilowatt-hour of decentralized photovoltaic assistance, and at the same time, various localities have also adopted policies to encourage decentralized development. by the end of 2013, six provinces and cities had implemented local policies.

We expect that the profit rate of the company will increase step by step in the past few years, and the future Western projects will enhance the competitiveness and market competitiveness of the company. The company has been granted HK $1.64 for 12 months in the future, which is equivalent to the forward price-to-earnings ratio of 16.6 times expected earnings in 2014, which is 18.8% higher than that in 2015.