Daqo New Energy Corp · NYSE:DQ
Daqo New Energy — Q4 2021 Earnings Presentation
16 slides from Daqo New Energy's earnings presentation, Feb 28, 2022
Slide 1: Q4 and Fiscal Year 2021 Financial Results Presentation
February 28, 2022 Q4 and Fiscal Year 2021 Financial Results Presentation
Slide 2: Safe Harbor Statement
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,” “antici
Slide 3: A leading manufacturer of high-purity polysilicon for the global solar PV industry
“A leading manufacturer of high-purity polysilicon for the global solar PV industry” 2
Slide 4: Management remarks I
Management remarks I 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,
Slide 5: Management remarks II
Management remarks II “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
Slide 6: Management remarks III
Management remarks III “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 alrea
Slide 7: Operational and financial highlights in Q4 2021
Operational and financial highlights in Q4 2021 • 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, co
Slide 8: Xinjiang polysilicon facilities update
Xinjiang polysilicon facilities update Q4 2021 key facts Outlook ▪ Quarterly production volume: 23,616 MT ▪ Expected production volume in Q1 2022: ▪ External sales volume: 11,642 MT 31,000 ~ 32,000 MT ▪ Average total production cost : $14.11/kg ▪ Expected production volume in the full year of 2022:
Slide 9: Polysilicon manufacturing overview
Polysilicon manufacturing overview Production Volume (MT) 23,616 21,684 21,008 21,102 20,185 19,777 18,406 18,097 16,204 8,764 9,437 7,301 7,150 5,659 5,657 4,734 4,927 4,993 4,940 5,339 3,636 2,689 3,547 3,405 3,570 2,456 1,801 1,734 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
Slide 10: Quarterly polysilicon sales volume and ASPs
Quarterly polysilicon sales volume and ASPs Polysilicon external sales volume and ASPs Polysilicon external sales volume (MT) ASP ($/kg) 30,000 $33.91 25,000 $27.55 20,000 $20.81 $19.09 23,186 21,471 21,183 $17.68 21,060 $16.66 15,000 $16.19 $16.22 19,101 18,881 $13.58 13,291 $11.90 $10.79 13,643 $1
Slide 11: Income statement summary
Income statement summary ($ in millions, unless otherwise Q4 2021 Q3 2021 Q4 2020 FY 2021 FY 2020 stated) Revenues 395.5 585.8 247.7 1,678.8 675.6 Cost of revenues (155.7) (150.6) （138.2） (581.6) (441.6) Gross profit 239.8 435.2 109.5 1,097.2 234.0 Gross margin 60.6% 74.3% 44.2% 65.4% 34.6% SG&A (10
Slide 12: Balance sheet summary
Balance sheet summary As of As of As of ($ in millions) 12/31/2021 9/30/2021 12/31/2020 Cash, cash equivalent and restricted cash 724.0 660.9 118.4 Note receivables 365.9 353.3 0.2 Short-term investments 280.3 414.2 - Inventories 327.8 46.2 42.2 Prepaid land use rights 40.7 36.9 30.8 Property, plant
Slide 13: Cash flow summary
Cash flow summary 12 months ended 12 months ended ($ in millions) 12/31/ 2021 12/31/ 2020 Net cash provided by operating activities – continuing operations 639.1 209.8 Net cash provided by operating activities – discontinued operations - (0.05) Net cash provided by operating activities 639.1 209.7 N
Slide 14: Non-GAAP reconciliation
Non-GAAP reconciliation US$ in millions Q4 2021 Q3 2021 Q4 2020 FY 2021 FY 2020 Net income from continuing operations 186.3 355.8 76.3 872.1 133.9 Income tax expenses 43.1 62.1 13.6 162.8 28.2 Interest expense, net 2.0 4.5 8.1 20.5 25.7 Depreciation & amortization 19.7 19.4 17.1 77.4 68.7 EBITDA (1)
Slide 15: Use of Non-GAAP financial measures
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 di
Slide 16: Thank you
@ DAQO NEW ENERGY Ht Ht | Thank you