We sincerely thank you for finding time to join the 2010 annual shareholders’ meeting.
Global recession caused by financial crisis since the 4th quarter 2008 has forced governments worldwide to scale up loose monetary policies to stimulate economic growth. The solar power industry has had companies with poor health eliminated through this period and a reordering of whole industry, demanded has rebounded from the 2nd half of last year as the economic situation gradually comes out the storm and stimulation plans come into effect.
Our annual revenue in 2009 was around 15.71 billion NTD which declined slightly from 2008. The first half had a substantial net income loss of 1.44 billion NTD; however our management team and every employee spent every effort re-negotiating long-term supplying contracts with support from both upstream and downstream supply chains, strictly control of inventory levels and securing 2 rounds of funding with 4.6 billion NTD made available from funds that strengthen our financial structures and decrease debt ratio. We turn around the loss in the 1st half to create 70 million NTD annual net income and 0.27 NTD earnings per share (EPS). During the severe economical environment we expanded our customer base continuously and successfully launched our business in the two high growth Japanese and the US markets. We scored a remarkable 106% growth compared to 2008 with 368MW annual output, this amount has outpaced the average global solar power industry growth rate hugely. Our global ranking jumped from 13th in 2008 to 10th in 2009, and will enter TOP 7 in 2010 according to the well known research firm Photon International.
As the worries of financial crisis fade away and the demand of solar power market grows, we forecast the production capacity will expand from 600MW in 2009 to 900MW and above by the end of this year. To meet the upcoming stronger demand of the end market, we are advancing the new construction of Jhunan plant B within 3 to 4 years based on the market situation along with the existing manufacturing facilities at Jhunan plant A and Guanyin plant. In addition to securing our cost competitive advantage, plus supports from high quality and advanced technologies, the 4th quarter of last year and 1st quarter of this year maintained highly profitable performances; while Gintech never stops research and innovation to improve conversion efficiency and yield rate of our products, cut down purchasing and manufacturing costs and keep current core competitiveness.
Our management team and every employee feels the expectations from shareholders and public, we will enhance business performance, intensify corporate governance and investor relations to return our shareholders the greatest profit. Here, I would like to emphasize my thanks to the long-term support and encouragement from every shareholder.
Wishing you and your family health and prosperity.
General Manager PAN, WEN-HUI