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Hanwha Solutions (A009830) investor relations material
Hanwha Solutions Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Addressed cell quality issues at Korean and Malaysian plants, with normalization expected by August and September respectively.
Revenue for 2Q25 increased 0.7% sequentially to 31,172억원, with operating income surging 237% to 1,021억원, marking a return to profitability year-over-year.
Adjusted annual module shipment guidance from 9 GW to 7.5 GW due to operational delays, quality issues, and project delays in Europe.
Growth driven by improved module spreads and higher sales in renewable energy, while chemical segment losses narrowed due to maintenance effects.
Market uncertainty heightened by regulatory changes, including the OBBA Act and AMPC revisions, impacting demand and guidance disclosure.
Financial highlights
Q2 module sales volume increased 10% quarter-over-quarter; Q3 sales volume expected to remain flat.
EBITDA for 2Q25 reached 2,918억원, up 31% sequentially, with EBITDA margin at 9.4%.
Third quarter renewable energy segment expected to post a loss of approximately KRW 100 billion, mainly due to quality issues and reduced ANPC amount.
Generation asset sales and EPC revenue guidance for Q3 is KRW 80–90 billion, with full-year target maintained at KRW 4 trillion.
Net debt increased to 113,793억원, with net debt-to-equity ratio rising to 105%.
Outlook and guidance
No detailed guidance for TPO or residential business due to market uncertainties and pending executive orders.
Module ASP expected to decline slightly in Q3 after a one-time increase in Q2; market in wait-and-see mode.
Renewable energy market expected to grow, with U.S. and Europe projected at 40GW+ and 70GW+ respectively, despite ongoing price competition.
Mass production at Cartersville facility to begin Q4 2025, with sales ramping up in Q1 2026.
Chemical segment anticipates gradual demand recovery in China, but oversupply may limit improvement.
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