BRIEF: Daqo’s revenue plunges, loss widens in first quarter
Polysilicon maker Daqo New Energy Corp. (DQ.US; 688303.SH) on Wednesday reported its sales plunged in the first quarter, as the Chinese government takes steps to try to revive the industry struggling with huge overcapacity resulting in weak prices.
Daqo reported revenue of just $26.7 million in the first quarter, down 78% from $123.9 million a year earlier. Its polysilicon sales volume for the quarter dropped to 4,482 MT from 28,008 MT a year earlier. Its average polysilicon selling price during the quarter stood at $5.96 per kilogram, roughly the same as its average total production cost of $5.95 per kilogram.
The company reported a loss of $88.4 million for the quarter, widening from a $71.8 million loss a year earlier.
Daqo’s New York-listed shares fell nearly 12% in Wednesday trading after the release of its latest results. The stock is down about 35% this year.
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