NSP Reports 2015 Q3 financial results, Gross Margin has increased significantly

Neo Solar Power Corporation (“NSP”, or “the Company”, publicly listed on Taiwan Stock Exchange, Ticker: 3576 TT), a world-class leading manufacturer of high quality solar cells and modules in Hsinchu, Taiwan, today announced its 2015 Q3 financial report. According to NSP’s 2015 Q3 financial report, the company delivered NT$5,586 million in Net Revenues with a QoQ rate of 12.00%. Realized Gross Profit was NT$279 million and Gross Margin was 5.00%, which has increased significantly comparing with -3.32% of last quarter. The improvement was resulted from the increasing trend of ASP since beginning of third quarter. However, due to recognizing South East Asia capacity relocation expenses, impairment loss of financial assets and other allowances, Net Loss was recorded as NT$371 million with EPS of NT$-0.42. It is believed that once relocation be completed in January 2016, the company can start to expand shipment volume to the United States, and it will be a positive benefit for future sales revenue.

The company has NT$9,231 million cash on hand as of 2015 Q3 representing an increase of 2.69% compared to last quarter. In addition, Debt to Asset ratio was maintained atlow level of 47%. As a whole, the Company has solid financial structure.

Current market demand remains strong, and ASP for solar cell is expected to increase steadily. The outlook is optimistic, and the company’s operation performance will be improved in fourth quarter. Looking into the future, NSP Group will continue to operate based on the strategies toward solar system business expansion to provide a steady profit source and increase sales pipelines for NSP’s solar cells and modules. This will be able to maintain NSP’s growth momentum.