Daqo New Energy Corp · NYSE:DQ
Daqo New Energy — Q3 2022 Earnings Presentation
15 slides from Daqo New Energy's earnings presentation, Oct 27, 2022
Slide 1: Q3 2022 Financial Results Presentation
October 27, 2022 Q3 2022 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 are pleased to announce that the Company continued to deliver an excellent performance in the third quarter of 2022. Revenue reached $1.22 billion for the quarter, with gross profit of $979 million, net income attributabl
Slide 5: Management remarks II
Management remarks II “Despite a more than 50% volume increase in polysilicon supply in the first three quarters of this year compared to the same period of last year, the profitability of polysilicon continued to improve, which was driven by stronger-than-expected solar PV demand and relatively fas
Slide 6: Operational and financial highlights in Q3 2022
Operational and financial highlights in Q3 2022 l Polysilicon production volume was 33,401 MT in Q3 2022, compared to 35,326 MT in Q2 2022 l Polysilicon sales volume was 33,126 MT in Q3 2022, compared to 37,545 MT in Q2 2022 l Polysilicon average total production cost(1) was $6.82/kg in Q3 2022, com
Slide 7: Polysilicon facilities update
Polysilicon facilities update Q3 2022 key facts Outlook § Quarterly production volume: 33,401 MT § Expected production volume in Q4 2022: § Sales volume: 33,126 MT 30,000 ~ 32,000 MT § Average total production cost : $6.82/kg § Expected production volume in the full year of 2022: § Average cash cost
Slide 8: Polysilicon manufacturing overview
Polysilicon manufacturing overview Production Volume (MT) 35,326 33,401 31,383 23,616 21,684 21,008 21,102 19,777 20,185 18,406 18,097 16,204 8,764 9,437 7,301 7,150 4,927 4,993 4,940 5,339 5,657 5,659 4,734 3,405 3,570 3,636 2,456 Q1 2016 Q3 Q1 2017 Q3 Q1 2018 Q3 Q1 2019 Q3 Q1 2020 Q3 Q1 2021 Q3 Q1
Slide 9: Quarterly polysilicon sales volume and ASPs
Quarterly polysilicon sales volume and ASPs Polysilicon external sales volume and ASPs Polysilicon external sales volume (MT) ASP ($/kg) $36.44 45,000 $33.91 $33.08 $32.76 40,000 38,839 37,545 $27.55 35,000 33,126 30,000 $20.81 $19.09 25,000 $17.68 23,186 21,471 21,183 $16.66 $16.19 $16.22 21,060 19
Slide 10: Income statement summary
Income statement summary Q3 2022 Q2 2022 Q3 2021 ($ in millions, unless otherwise stated) Revenues 1,217.9 1,244.1 585.8 Gross profit 978.6 946.9 435.2 Gross margin 80.2% 76.1% 74.3% SG&A (280.2) (14.4) (11.4) R&D expense (2.5) (2.7) (1.9) Income from operations 693.0 927.6 421.7 Net income attribut
Slide 11: Balance sheet summary
Balance sheet summary As of As of As of ($ in millions) 9/30/2022 6/30/2022 9/30/2021 Cash, cash equivalent and restricted cash 3,051.1 3,284.3 660.9 Note receivables 1,571.7 1,269.3 353.3 Short-term investments 31.7 11.4 414.2 Inventories 73.3 52.3 46.2 Prepaid land use rights 77.6 38.2 36.9 Proper
Slide 12: Cash flow summary
Cash flow summary 9 months ended 9 months ended ($ in millions) 9/30/ 2022 9/30/ 2021 Net income 1,993.3 685.8 Adjustments to reconcile net income to net cash provided by operating 370.2 65.3 activities Changes in operating assets and liabilities (666.5) (98.0) Net cash provided by operating activit
Slide 13: Non-GAAP reconciliation
Non-GAAP reconciliation $ in thousands Three months Ended Nine months Ended Sep 30, Jun 30, Sep 30, Sep 30, Sep 30, 2022 2022 2021 2022 2021 Net income 545,820 780,479 355,768 1,993,349 685,833 Income tax expense 155,204 143,460 62,137 428,572 119,707 Interest income(expense), net (7,589) 3,677 4,50
Slide 14: 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 15: Thank you
@ DAQO NEW ENERGY Hit Ht | Thank you