This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Daqo New Energy Announces Third Quarter 2011 Results

Conference Call

Daqo New Energy will host a conference call at 7:00 am, Eastern Standard Time on November 14, 2011, which is 8:00 pm, Beijing Time on November 14, 2011, to discuss the results for the quarter. Joining the call will be Dr. Gongda Yao, the Company’s Chief Executive Officer and Mr. Jimmy Lai, the Chief Financial Officer.

The dial-in details for the live conference call are as follows:
U.S. Toll Free Number: 18665194004
International dial-in number: + 6567239381
Hong Kong Toll Free: 800930346
Conference ID # 22969909

A replay will be available shortly after the call until December 14, 2011 on the Company website or by dialing:
U.S. dial-in number: 18662145335
International dial-in number: +61 2 8235 5000
Conference ID # 22969909

This conference call will be broadcast live over the Internet and can be accessed on Daqo New Energy's website at To listen to the live webcast, please go to Daqo New Energy's website at least fifteen minutes prior to the start of the call to register, download and install any necessary audio software.

About Daqo New Energy Corp.

Daqo New Energy Corp. (NYSE: DQ) is a leading polysilicon manufacturer based in China that aims to become a vertically integrated photovoltaic product manufacturer. Daqo New Energy primarily manufactures and sells high-quality polysilicon to photovoltaic product manufacturers. It also manufactures and sells photovoltaic wafers and modules. For more information about Daqo New Energy, please visit

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,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Among other things, the outlook for the fourth quarter of 2011 and quotations from management in this announcement, as well as Daqo New Energy’s strategic and operational plans, contain forward-looking statements. The Company may also make written or oral for-ward-looking statements in its reports filed or furnished to the U.S. Securities and Exchange Commission, in its annual reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the demand for photovoltaic products and the development of photovoltaic technologies; global supply and demand for polysilicon; alternative technologies in cell manufacturing; our ability to significantly expand our polysilicon production capacity and output; the reduction in or elimination of government subsidies and economic incentives for solar energy applications; and our ability to successfully implement our vertical integration strategy. Further information regarding these and other risks is included in the reports or documents we have filed with, or furnished to, the Securities and Exchange Commission. Daqo New Energy does not undertake any obligation to update any forward-looking statement, except as required under applicable law. All information provided in this press release and in the attachments is as of the date of this press release, and Daqo New Energy undertakes no duty to update such information, except as required under applicable law.

Daqo New Energy Corp. Unaudited Condensed Consolidated Statement of Operations(US dollars in thousands, except ADS and per ADS data)
Three months Ended
Sep 30,2011     June 30,2011   Sep 30,2010  
Revenues $59,564 $70,721 $63,212
Cost of revenues (39,712 ) (37,765 ) (36,321 )
Gross profit 19,852   32,956   26,891  
Operating expenses
Selling, general and administrative expenses




(2,677 )

Research and development expenses






Other operating income 1,765   3,758   131  
Total operating expenses (2,714 ) (313 ) (2,864 )
Income from operations 17,138 32,643 24,027
Interest expense (2,777 ) (2,193 ) (2,484 )
Interest income 924 450 136
Foreign exchange gain (loss) (27 ) 42   (709 )
Income before income taxes 15,258 30,942 20,970
Income tax expense (2,878 ) (4,513 ) (3,016 )
Net income 12,380 26,429


Net income attributable to noncontrolling interest




Net income attributable to Daqo New Energy Corp. shareholders





Deemed dividend on Series A convertible redeemable preferred shares





Net income attributable to Daqo New Energy Corp. ordinary shareholders




Earnings per ADS
Basic and diluted $0.34 $0.73 $0.65
Weighted average ADS outstanding
Basic 35,142,821 35,142,821 20,000,000
Diluted 35,142,821 35,142,821 25,942,821

Daqo New Energy Corp. Unaudited Condensed Consolidated Balance Sheet(US dollars in thousands)

Sep 30, 2011

June 30, 2011

Sep 30, 2010
Current Assets:
Cash and cash equivalents






Restricted cash 7,514 21,432 1,656
Accounts receivable, net 29,086 31,826 31,344
Prepaid expenses and other current assets



Advances to suppliers 3,057 2,625 4,248
Inventories 28,506 15,016 11,711
Amount due from related party
-Advance to related party supplier 5,578 5,590 -
- others 2,268 440 22,651
Deferred tax assets-current 1,174   1,243   -  
Total current assets 145,401 211,186 148,861
Property, plant and equipment, net 599,842 501,787 377,207
Prepaid land use right 8,774 8,714 6,493
Deferred tax assets 1,445 1,062 1,640
Other non-current assets 165   162   157  
TOTAL ASSETS 755,627   722,911   534,358  
Current liabilities:
Short-term borrowings, including current portion of long-term borrowings


Accounts payable 12,632 13,181 6,719
Advances from customers 37,664 24,808 36,426
Payables for purchases of property, plant and equipment



Accrued expenses and other current liabilities


Income tax payable 10,428   9,756   7,333  
Total current liabilities 193,305 168,185 148,004
Long-term borrowings 63,124 67,766 106,915
Accrued warranty cost 362 302 -
Long Term Liability 9,093 14,646 -
Amount due to related party 2,935   4,005   492  
Total liabilities 268,819   254,904   255,411  
Mezzanine equity - - 58,903

Daqo New Energy Corp. shareholders’ equity:
Ordinary shares 18 18 10
Additional paid-in capital 141,993 141,455 1,422
Retained earnings 189,627 177,561 84,055
Accumulated other comprehensive income


Total Daqo New Energy Corp.’s shareholders’ equity


Noncontrolling interest 138,853   136,807   130,959  
Total equity 486,808   468,007   220,044  
TOTAL LIABILITIES & EQUITY $755,627   $722,911   $534,358  

5 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 16,776.43 +304.06 1.85%
S&P 500 1,987.05 +35.69 1.83%
NASDAQ 4,781.2640 +73.4890 1.56%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs