晶科能源 (JKS) 2024 Q3 法說會逐字稿

Hello, ladies and gentlemen, and thank you for standing by for JinkoSolar Holding Co. Limited's third-quarter 2024 earnings conference call. (Operator Instructions)

女士們、先生們，大家好，感謝大家出席晶科能源控股有限公司2024年第三季財報電話會議。 （操作員說明）

As a reminder, today's conference call is being recorded. I would now like to turn the meeting over to your host for today's call, Ms. Stella Wang, JinkoSolar's Investor Relations. Please proceed, Stella.

提醒一下，今天的電話會議正在錄音。現在我想將會議轉交給今天電話會議的東道主，晶科能源投資者關係部門的 Stella Wang 女士。請繼續，史黛拉。

Thank you, operator. Thank you, everyone, for joining us today for JinkoSolar's third-quarter 2024 earnings conference call. The company's results were released earlier today and are available on the company's IR website at www.jinkosolar.com as well as on Newswire services. We have also provided a supplemental presentation for today's earnings call, which can also be found on the IR website.

謝謝你，接線生。感謝大家今天參加我們晶科能源 2024 年第三季財報電話會議。該公司的業績於今天稍早發布，可在該公司的投資者關係網站 www.jinkosolar.com 以及 Newswire 服務上查閱。我們也為今天的財報電話會議提供了補充演示文稿，您也可以在 IR 網站上找到該演示文稿。

On the call today from JinkoSolar are: Mr. Li Xiande, Chairman and CEO of JinkoSolar Holding Co., Ltd.; Mr. Gener Miao, CMO of JinkoSolar Co., Ltd.; Mr. Pan Li, CFO of JinkoSolar Holding Co., Ltd.; and Mr. Charlie Cao, CFO of JinkoSolar Co., Ltd.

今天接聽晶科能源電話的有：晶科能源控股有限公司董事長兼執行長李顯德先生；苗根二先生，晶科能源股份有限公司首席行銷長；潘力先生，晶科能源控股有限公司財務長；晶科能源股份有限公司財務長曹查理先生

Mr. Li will discuss JinkoSolar's business operations and company highlights; followed by Mr. Miao, who will talk about the sales and marketing; and then Mr. Pan Li, who will go through the financials. They will all be available to answer your questions during the Q&A session that follows.

李先生將討論晶科能源的業務運作和公司亮點；接下來是苗先生，他會談論銷售和行銷；然後是潘力先生，他將負責財務方面的工作。他們都將在接下來的問答環節回答您的問題。

Please note that today's discussion will contain forward-looking statements made under the Safe Harbor provisions of the US Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, our future results may be materially different from the views expressed today.

請注意，今天的討論將包含根據 1995 年美國私人證券訴訟改革法案的安全港條款做出的前瞻性陳述。因此，我們未來的結果可能與今天表達的觀點大不相同。

Further information regarding this and other risks is included in JinkoSolar's public filings with the Securities and Exchange Commission. JinkoSolar does not assume any obligation to update any forward-looking statements except as required under the applicable law.

有關此風險和其他風險的更多資訊包含在晶科能源向美國證券交易委員會提交的公開文件中。除適用法律要求外，晶科能源不承擔任何更新任何前瞻性聲明的義務。

It's now my pleasure to introduce Mr. Li Xiande, Chairman and CEO of JinkoSolar Holdings. Mr. Li will speak in Mandarin, and I will translate his comments into English. Please go ahead, Mr. Li.

現在我很高興向大家介紹晶科能源董事長兼執行長李顯德先生。李先生會用國語發言，我會將他的評論翻譯成英文。請李先生繼續。

(spoken in foreign language)

（用外語說）

While earnings were under pressure across the industry during the quarter, we achieved relatively outstanding results, leveraging our leading position in N-type TOPCon technology, competitive products as well as global sales and manufacturing network. Imbalance between supply and demand led to continuous price decline in the end market, causing loss to almost the whole industrial chain.

在本季全產業獲利面臨壓力的情況下，我們憑藉N型TOPCon技術的領先地位、優勢產品以及全球銷售和製造網絡，取得了較為出色的業績。供需失衡導致終端市場價格持續下跌，幾乎造成全產業鏈損失。

As we work to balance utilization rates, shipments and profitability, prices in the third quarter were stable sequentially and shipments to the US market increased significantly quarter over quarter.

由於我們努力平衡利用率、出貨量和獲利能力，第三季的價格較上季穩定，美國市場的出貨量較上季大幅成長。

We also continued to optimize our integrated costs through technical advancement and supply chain management. Gross margin was 15.7%, and net income was USD3.2 million, significantly improved sequentially.

我們也繼續透過技術進步和供應鏈管理來優化綜合成本。毛利率為15.7%，淨利為320萬美元，較上季顯著改善。

(spoken in foreign language)

（用外語說）

In September, the newly added installation was 20.89 gigawatts in China, up 32.4% year over year and 26.9% sequentially, reversing the sequential declining trend of the previous two months. Due to seasonal demand volatility in some overseas markets, module exports in September decreased sequentially. Demand was slightly weak, while clearing out of supply were accelerated.

9月份，我國新增裝置20.89吉瓦，年增32.4%，季增26.9%，扭轉了前兩個月季減的趨勢。受部分海外市場需求季節性波動影響，9月組件出口量較上季下降。需求略顯疲軟，供應清出加速。

With profitability throughout the whole industrial chain under pressure, some companies with insufficient cash flow and poor risk resistance have gone bankrupt, reorganized or being acquired from time to time.

全產業鏈獲利能力承壓，一些現金流不足、抗風險能力差的企業破產、重組、被收購的情況時有發生。

During this month, the China -- the CPIA held symposiums aimed at encouraging manufacturers to adopt self-discipline in their pricing strategies and production volume management. CPIA also released a report calling on manufacturers to participate in bidding in rational manners, avoid selling or bidding with prices below cost and also bid organizers to formulate reasonable bidding plans, shifting the focus to product and service quality as well as contract performance.

本月，中國CPIA召開了研討會，旨在鼓勵製造商在定價策略和產量管理方面採取自律。 CPIA也發布報告，呼籲生產企業理性參與投標，避免以低於成本的價格出售或投標，並要求投標組織者制定合理的投標方案，將重點轉向產品和服務品質以及合約履行。

We believe these measures may help eliminate some competitive capacity and accelerate the industry consolidation. We believe that with enhanced supervision of related departments, domestic prices will eventually return to reasonable levels.

我們認為這些措施可能有助於消除部分競爭能力，加速產業整合。我們相信，隨著相關部門監管力度的加強，國內物價最終會回歸到合理水準。

(spoken in foreign language)

（用外語說）

In the third quarter, we further consolidated our competitiveness edges. By the end of this quarter, the mass-produced efficiency for our N-type TOPCon sales improved to approximately 26.2% as TOPCon is still in a stage of rapid technology and product upgrades, we have continued to invest in R&D and are gradually adopting certain new technologies into mass production based on market demand, investment payback periods to maintain a leading position in the industry.

三季度，我們的競爭優勢進一步鞏固。截至本季末，我們的N型TOPCon銷售量產效率提升至約26.2%，由於TOPCon仍處於技術和產品快速升級階段，我們持續投入研發並逐步採用某些新技術根據市場需求投入批量生產，投資回收期維持業界領先地位。

(spoken in foreign language)

（用外語說）

We continuously improved our smart production capabilities to lead the industry in digital transformation. Recently, at our Shanxi mega base, we built the single 360 smart platform in cooperation with [TOPCon] technology, and it has been certified by TÜV Rheinland.

我們不斷提升智慧生產能力，引領產業數位轉型。近日，在山西巨型基地，我們與【TOPCon】技術合作打造了單一360智慧平台，並通過了德國萊茵TÜV認證。

By integrating MES and QMS systems with some cutting-edge technologies such as Internet of Things, AI and big data analysis, the platform can improve real-time equipment monitoring in the vast majority of our production process and ensure whole process management from warehousing of raw materials to warehousing of finished products.

該平台透過將MES和QMS系統與物聯網、人工智慧、大數據分析等前沿技術相結合，可以提高我們絕大多數生產過程中的即時設備監控，保證從原材料入庫的全過程管理。成品入庫。

(spoken in foreign language)

（用外語說）

As one of the leading voices in the fight against the climate change, JinkoSolar has always aligned its operations with global climate goals. Recently, we participated in the 2024 New York Climate Week, where we officially launched the English version of our first climate white paper.

作為應對氣候變遷的領導者之一，晶科能源始終將自身營運與全球氣候目標保持一致。近期，我們參加了2024年紐約氣候週，正式發表了首份氣候白皮書英文版。

We have kept improving ESG management in our supply chain. And so far, we have completed third-party ESG audits for most of our key suppliers and the majority of our suppliers have signed our code of conduct.

我們不斷完善供應鏈的ESG管理。到目前為止，我們已經對大多數主要供應商完成了第三方ESG審核，並且大多數供應商都簽署了我們的行為準則。

(spoken in foreign language)

（用外語說）

As we navigate through cycles, the leading enterprises in our industry will emerge ahead, thanks to their superior cost control, extensive sales network and effective cash flow management. In the long term, they will continue to benefit from continuous investments in R&D and expansion of their global capabilities.

在周期中，行業龍頭企業憑藉著卓越的成本控制、廣泛的銷售網絡和有效的現金流管理，將脫穎而出。從長遠來看，他們將繼續受益於持續的研發投資和全球能力的擴張。

We will focus more on balancing market structure and profits. We expect module shipments to be between 90 gigawatts to 100 gigawatts for full year 2024; and 22.3 gigawatts to 32.3 gigawatts for the fourth quarter. We will also continue to optimize our assets and liability structure as well as turnover efficiency, further strengthening our resilience to risk.

我們將更加重視平衡市場結構和利潤。我們預計2024年全年組件出貨量將在90吉瓦至100吉瓦之間；第四季發電量為 22.3 吉瓦至 32.3 吉瓦。我們也將持續優化資產負債結構和周轉效率，進一步增強抗風險能力。

Thank you, Mr. Li. Our total shipments were 25.9 gigawatts in the third quarter with module shipments accounting for 92%, nearly flat sequentially. We maintained our global leading position in module shipment during both the third quarter and the first three quarters. This achievement is a testament to the trust of our global clients in our reliable high-efficiency products and services.

謝謝李先生。第三季我們的總出貨量為25.9吉瓦，其中組件出貨量佔92%，與上一季幾乎持平。第三季和前三季我們的組件出貨量均保持全球領先地位。這項成就證明了全球客戶對我們可靠、有效率的產品和服務的信任。

In the third quarter, around 60% of modules were shipped overseas with Europe, North America, and emerging markets all healthy. Distribution business accounted for approximately 37% of total shipments compared to approximately 45% in the second quarter. Thanks to continuous improvement in Tiger Neo's product strength, Tiger Neo's shipments accounted for nearly 90% of total shipment, a steady increase from 85% in the second quarter.

第三季度，約60%的組件出口海外，歐洲、北美和新興市場均表現良好。分銷業務約佔總出貨量的 37%，而第二季約為 45%。得益於Tiger Neo產品力的不斷提升，Tiger Neo的出貨量佔總出貨量的比例接近90%，較第二季的85%穩定提升。

In China, the ratio of Tiger Neo has grown over -- to over 90%, while it increased to nearly 70% in North America. We once again topped the PV Tech 2024 Q3 Module Tech Bankability Report with a AAA rating and also received the highest bankability score in this industry. This honor rewards our commitment to quality, innovation and R&D as well as global clients' trust in our product quality, bankability and reliability over the long term.

在中國，Tiger Neo的比例已增長至90%以上，而在北美則增長至近70%。我們再次在《PV Tech 2024 年第三季組件技術可融資性報告》中獲得 AAA 評級，並獲得了業界最高的可融資性評分。這項榮譽表彰了我們對品質、創新和研發的承諾，以及全球客戶對我們產品品質、可融資性和可靠性的長期信任。

Recently, we launched the next-generation TOPCon technology solar panel named Tiger Neo 3.0. The Tiger Neo 3.0 product will be manufactured on the production line of zero carbon factory certified by TÜV Rheinland, catering to the clients' demand for the high efficient, reliable, and clean products.

最近，我們推出了下一代TOPCon技術太陽能板，名為Tiger Neo 3.0。 Tiger Neo 3.0產品將在萊茵TÜV認證的零碳工廠生產線上生產，滿足客戶對高效、可靠、清潔產品的需求。

Also in the large -- latest BNEF Energy Storage Tier 1 list in Q4 2024 ranking, Jinko Energy has once again been recognized as a Tier 1 manufacturer by Bloomberg for its outstanding performance in the Energy Storage sector. By the end of the third quarter, our accumulative global shipment exceeds 280 gigawatts, we helped our global clients achieve the grid parity with green and economic renewable energy solution.

同樣在BNEF最新發布的2024年第四季儲能Tier 1排行榜中，晶科能源憑藉其在儲能領域的出色表現，再次被彭博社評為Tier 1製造商。截至第三季末，我們的全球累計出貨量超過280吉瓦，以綠色、經濟的再生能源解決方案幫助全球客戶實現平價上網。

Short-term [cyclo-volatility] in this industry, shift in the macro environment and the disturbance from international trade policy bring PV companies not only challenges but also opportunities. We always proactively seek opportunities from challenges in the market demand, balance market risk and lead the industry development with more high efficiency and reliable products and services while maintaining a reasonable market share. Pan?

產業的短期波動、宏觀環境的轉變以及國際貿易政策的干擾，對光伏企業帶來的既是挑戰，也是機會。我們始終在市場需求挑戰中主動尋找機遇，平衡市場風險，在維持合理市場份額的同時，以更有效率、可靠的產品和服務引領產業發展。平底鍋？

Thank you, Gener. We are pleased to have achieved steadily improving financial results with our leading position in N-type TOPCon technology competitive products, global marketing and manufacturing network as well as our efforts to control costs and expenses. Key financial metrics such as total revenue, gross margin, operating income and net income all increased sequentially. We'll continue to improve the efficiency of our working capital, achieving sustainable growth in operating cash flow and enhance our resilience to risks. Let me go into more details now.

謝謝你，將軍。我們很高興憑藉在N型TOPCon技術競爭力產品方面的領先地位、全球營銷和製造網絡以及控製成本和費用的努力，取得了穩步提升的財務業績。總收入、毛利率、營業收入和淨利潤等關鍵財務指標均較上季成長。我們將持續提高營運資金效率，實現經營現金流的可持續成長，增強抗風險能力。現在讓我詳細介紹一下。

Total revenue was about $3.5 billion, up 2% sequentially and down 23% year over year. The sequential increase was mainly due to the increase in module shipments. The year-over-year decrease was mainly due to the -- a decrease in average selling price of solar modules.

總營收約 35 億美元，季增 2%，年減 23%。環比增長主要是由於組件出貨量的增加。年比下降的主要原因是太陽能模組的平均售價下降。

Gross margin was 15.7% compared with 11.1% in the second quarter and 19.3% in the third quarter last year. The sequential increase was mainly due to the increase in the average selling price of modules and the year-over-year decrease was mainly due to the decrease in ASP of modules.

毛利率為15.7%，去年第二季為11.1%，第三季為19.3%。環比成長主要由於組件平均售價上漲，年減主要由於組件平均售價下降。

Total operating expenses were $539 million, down about 1% sequentially and up 20% year over year. The year-over-year increase was mainly due to the increase in shipping costs as the shipments of solar modules increased, and an increase in impairment of long-lived assets. The operating expenses accounted for 15.4% of total revenues in the third quarter compared to 15.9% in the second quarter this year and about 10% in the third quarter last year.

總營運費用為 5.39 億美元，季減約 1%，年增 20%。年比成長主要是由於太陽能組件出貨量增加導致運輸成本增加以及長期資產減損增加。第三季營運費用佔總營收的15.4%，而今年第二季為15.9%，去年第三季約為10%。

Net income attributed to our ordinary shareholders was $3.2 million in the third quarter, excluding impact of the change in fair value of the convertible notes and long-term investments in solar supply chain companies, share-based compensation expenses and impairment of the capacity utilization, which was strategically adjusted by the company. The adjusted net income attributed to our ordinary shareholders was $14.8 million.

第三季歸屬於普通股股東的淨利為320萬美元，不包括可轉換票據公允價值變動和對太陽能供應鏈公司的長期投資、股權激勵費用和產能利用率減損的影響，這是公司策略調整的結果。調整後歸屬於普通股股東的淨利為 1,480 萬美元。

Moving to the balance sheet. At the end of the third quarter, our cash and cash equivalents were about $3.2 billion compared with about $2 billion in the second quarter. AR turnover days were 90 days compared with 89 days in the second quarter this year, and inventory turnover days was 66 days compared with 82 days in the second quarter this year as a result of improved operating efficiency.

轉向資產負債表。第三季末，我們的現金和現金等價物約為 32 億美元，而第二季約為 20 億美元。 AR週轉天數為90天，而今年第二季為89天；由於營運效率提高，庫存週轉天數為66天，而今年第二季為82天。

At the end of the third quarter, total debt was $5.23 billion compared to $3.86 billion in the second quarter this year. Net debt was $2.05 billion compared with $1.95 billion in the second quarter this year.

截至第三季末，債務總額為 52.3 億美元，而今年第二季為 38.6 億美元。淨債務為 20.5 億美元，而今年第二季為 19.5 億美元。

This concludes our prepared remarks. We're now happy to take your questions. Operator, please proceed.

我們準備好的演講到此結束。我們現在很樂意回答您的問題。接線員，請繼續。

(Operator Instructions) Philip Shen, ROTH Capital Partners.

（操作員指令）Philip Shen，羅仕資本合夥人。

First one is on the volume of modules shipped into the US. in Q3. Can you confirm what it was? And then -- sorry if I missed it. And then, can you also provide the megawatts you expect to ship into the US in Q4?

第一個是運往美國的模組數量。在第三季。你能確認那是什麼嗎？然後——如果我錯過了，抱歉。然後，您還能提供預計第四季運往美國的兆瓦電量嗎？

So yes, our Q3 shipment to US is roughly 15% to 18% of total shipment. So I think you can figure out the detailed numbers. Q4, we forecast that the number will be lower because of seasonality issues and the market turbulence. So -- but however, when we look into the whole year, it should fit in or fall into our expectations, which is roughly 5% to 10% of the total shipment. So the total number should be within the expectation.

所以，是的，我們第三季對美國的出貨量大約佔總出貨量的 15% 到 18%。所以我想你可以算出詳細的數字。第四季度，由於季節性問題和市場動盪，我們預計該數字將會較低。但是，當我們展望全年時，它應該符合或落入我們的預期，約佔總出貨量的 5% 到 10%。所以總數應該在預期之內。

Great. Yes. Can you share what it might be for '25 as well? And then with the risk of -- with this volume in the US and the AD/CVD decision coming, how -- like what's your confidence level in whether or not it will be retroactive and also won't be a high number? How are you guys managing that risk?

偉大的。是的。您能分享一下 25 年可能會發生什麼嗎？然後，伴隨著美國的這一數量和 AD/CVD 決定即將到來的風險，您對是否具有追溯力且不會很高的信心水平如何？你們如何管理這種風險？

Yes. So from our perspective, we still take the US market as a long-term market. So no matter how the policy or tariff changes, we're always trying to figure out the solutions to survive and compete in the US market.

是的。所以從我們的角度來看，我們仍然把美國市場當作一個長期市場。因此，無論政策或關稅如何變化，我們總是試圖找出在美國市場生存和競爭的解決方案。

So regarding 2025, we still have not decided the final number yet because of the upcoming election and also there will be the numbers of AD/CVD announced pretty soon. So we think we will figure out the numbers after that when we see more certainties. So we will talk maybe soon to -- regarding that topic.

因此，關於 2025 年，由於選舉即將到來，我們還沒有決定最終數字，而且 AD/CVD 的數字很快就會公佈。因此，我們認為，當我們看到更多確定性時，我們會計算出之後的數字。所以我們可能很快就會討論這個主題。

Regarding the retroactive risks, we still believe we heard about the petitioner's request on this I think it's CVDs. So we are still evaluating the risk and waiting for the final decision.

關於追溯風險，我們仍然相信我們聽說過申請人對此的要求，我認為是CVD。所以我們還在評估風險並等待最終決定。

Regarding the ADs, since we are in the sample list, we are cooperating with our lawyers to try to not trigger the retroactive risk. So we are doing our best to avoid the unnecessary risk.

關於廣告，由於我們在樣本名單中，我們正在與我們的律師合作，盡量不觸發追溯風險。所以我們會盡力避免不必要的風險。

Rajiv Chaudhri, Sunsara Capital.

Rajiv Chaudhri，Sunsara Capital。

Congratulations on a good quarter. I have a few questions. The first question is on your average selling prices in the third quarter were obviously higher than they were in the second quarter, and the reason was the increased shipment to the United States. If the shipments to the US nare going to go down in Q4 as a percentage, should we expect a pretty significant decline in ASPs quarter over quarter in the double-digit range?

恭喜您度過了一個美好的季度。我有幾個問題。第一個問題，你們第三季度的平均售價明顯高於第二季度，原因是對美國的出貨量增加。如果第四季對美國的出貨量百分比不會下降，我們是否應該預期平均售價會出現兩位數的季度將比去年同期大幅下降？

Rajiv, in the third quarter, the ASP quarter-by-quarter is quite flat given we have more shipments in the US. And looking to the fourth quarter and the market price in recent 3 months is in a downward trend. And so we think it's kind of moderate and downward in terms of the pricing in the fourth quarter versus the third quarter.

Rajiv，鑑於我們在美國的出貨量增加，第三季的平均售價相當持平。而展望第四季以及近3個月市場價格均呈現下降趨勢。因此，我們認為第四季的定價與第三季相比是溫和且下降的。

So I guess another way of asking this question is, what is your expectation for ASPs in China in the fourth quarter relative to the third quarter? And also in Europe, again, Q4 versus Q3?

所以我想問這個問題的另一種方式是，相對於第三季度，您對中國第四季的平均售價有何預期？同樣在歐洲，第四季與第三季？

Yes. If you look at the index in [Infra Bank] a lot of independent [target] published the price, the trend is quite similar. But now the CPIA, the China Photovoltaic Industry Association is leading the policy studies and try to, I think, to mitigate the oversupply versus pricing problems in the industries. And we think the price has already reached to the bottom. And hopefully, we think the price will be stabilized and help the industry to be -- go to the relatively disciplined approach.

是的。如果你看[Infra Bank]很多獨立[目標]公佈的價格指數，趨勢是相當相似的。但現在中國光電產業協會（CPIA）正在主導進行政策研究，我認為，試圖緩解該產業的供過於求和定價問題。我們認為價格已經觸底。希望我們認為價格將會穩定，並幫助該行業採取相對規範的方法。

So I guess the question is, if prices stay stable from here in China and Europe for the rest of the year, are they still down relative to the third quarter?

所以我想問題是，如果中國和歐洲的價格在今年剩餘時間內保持穩定，相對於第三季是否仍然下跌？

I get the question because of the mix of different regions, right? We have lower shipments in the US, versus other regions in the fourth quarter. So the blended ASP should be a little bit lower in Q4.

我之所以問這個問題是因為不同地區的混合，對吧？第四季我們在美國的出貨量低於其他地區。因此，第四季的混合平均售價應該會稍微低一些。

Right. Okay. Moving on to the EBITDA number for the third quarter. Can you tell me what the depreciation number was in Q3? And also, can you confirm if the EBITDA in Q3 was in excess of $400 million?

正確的。好的。接下來是第三季的 EBITDA 數據。您能告訴我第三季的折舊數字是多少嗎？另外，您能否確認第三季的 EBITDA 是否超過 4 億美元？

No. EBITDA, we have disclosed the detailed numbers and depreciation per quarter, roughly USD70 million. So you can do the calculations.

沒有。所以你可以進行計算。

Sorry, Charlie, can you repeat the depreciation in the third quarter?

抱歉，查理，你能重複第三季的貶值嗎？

It's around USD70 million a quarter.

每季約 7000 萬美元。

USD78 million?

7800萬美元？

USD70 million.

7000萬美元。

USD70 million?

7000萬美元？

Yes.

是的。

Okay. And next question is on storage. Can you give us an update on the Storage business? And are you likely to hit $100 million in revenues this year? Or is it still smaller than that?

好的。下一個問題是關於儲存的。您能為我們介紹一下儲存業務的最新情況嗎？今年您的收入有可能達到 1 億美元嗎？還是還是比這個小？

Rajiv, I don't think it's the right timing to disclose the detailed numbers. We are still trying our best to grow the Storage business into an ambitious goal. So we think we will share the positive or good news with all the investors once it's ready. But for us, it's still an early-stage business. We don't -- we think it's not the right timing to disclose the numbers.

拉吉夫，我認為現在不是披露詳細數字的正確時機。我們仍在盡最大努力將儲存業務發展成為一個雄心勃勃的目標。因此，我們認為一旦準備就緒，我們將與所有投資者分享積極或好消息。但對我們來說，這仍然是一項早期業務。我們不知道——我們認為現在不是披露這些數字的正確時機。

Okay. And finally, on shipping costs, can you give us an idea of what the trend line in shipping cost was in the third quarter and what you expect in Q4 and beyond? I'm talking about shipping cost per unit, per watt.

好的。最後，關於運輸成本，您能否告訴我們第三季運輸成本的趨勢線是什麼以及您對第四季及以後的預期？我說的是每單位每瓦的運輸成本。

Yes, yes. And -- the first half year, the logistic cost is relatively higher, particularly the political tensions in Middle East and the impact all regions, including US logistic costs. And now we are expecting the logistics costs will be relatively lower starting in fourth quarter. And from the supply side, the containers, there's sufficient containers to supply the demand. So we are expecting the logistics costs will be relatively lower quarter by quarter.

是的，是的。而且──上半年，物流成本相對較高，尤其是中東政治緊張局勢，影響到所有地區，包括美國的物流成本。現在我們預計從第四季開始物流成本將會相對較低。從供應方面來看，貨櫃，有足夠的貨櫃來滿足需求。因此我們預計物流成本將逐季相對較低。

Also, a final question is on G&A expenses. Last year, in the fourth quarter, the G&A expenses were over $200 million. Should we expect -- and which was a sharp increase from the third quarter. Should we expect a similar trend in the fourth quarter this year?

另外，最後一個問題是關於一般管理費用。去年第四季度，G&A 費用超過 2 億美元。我們是否應該預期——這比第三季大幅成長。我們是否應該預期今年第四季會出現類似的趨勢？

Well, it's -- throughout this year we continue to trim the operating expenses, including the G&A expenses. So looking into Q4 versus Q3, we are expecting the operating expenses will be lower Q4 versus Q3.

嗯，今年我們繼續削減營運費用，包括一般管理費用。因此，從第四季與第三季相比，我們預計第四季的營運費用將低於第三季。

(Operator Instructions) Brian Lee, Goldman Sachs & Co.

（操作員指示）Brian Lee，高盛公司

Just a couple of housekeeping ones. Did you give us the free cash flow number in the quarter and also the CapEx number in the quarter? And I had a follow-up.

只有幾個家務人員。您是否向我們提供了本季的自由現金流數據以及本季的資本支出數據？我有一個後續行動。

For the full year, we estimate -- I don't have the exact numbers for the third quarter, but the full year 2024, the CapEx will be around RMB9 billion. Operating cash flow is roughly RMB5 billion. So net operating cash flow -- the free cash flow is negative RMB4 billion.

對於全年，我們估計——我沒有第三季的確切數字，但 2024 年全年，資本支出將在 90 億元人民幣左右。經營現金流約人民幣50億元。因此淨經營現金流－自由現金流為負40億元人民幣。

Okay. That's helpful. And then, just -- can you give us an update on the latest status of your Frankfurt listing efforts? And also maybe a little bit of color around net proceeds expected? And what we should be sort of modeling in terms of cash impact on the balance sheet plus the dilution?

好的。這很有幫助。然後，您能為我們介紹一下您在法蘭克福上市工作的最新情況嗎？或許還有一些關於預期淨收益的色彩？就現金對資產負債表的影響加上稀釋而言，我們應該建立什麼樣的模型？

The GDR, we just announced is roughly -- the total is RMB4.5 billion. And roughly the dilution will be 5% or 6%, depending on the issuance price. The timetable is still in the early stage in the preparations, and we expect the GDR -- and will be roughly completed in the second quarter next year.

我們剛剛宣布的東德大約是──總額為45億人民幣。稀釋程度大致為5%或6%，視發行價格而定。該時間表仍處於早期準備階段，我們預計東德將在明年第二季大致完成。

And the use of proceeds and we have disclosed is -- the majority is for the existing the Shanxi Super factory, the second phase, we have roughly the construction to be completed by the end of this year. And the remaining part will be used for the working capital purposes as well as small numbers and for the US existing module capacity further expansions.

而募款的用途，我們已經透露的是──大部分是用於現有的山西超級工廠，第二期工程，我們大概會在今年年底完成建設。剩餘部分將用於營運資金以及小批量生產以及美國現有組件產能的進一步擴張。

Muhammad Ahmad, Emirates Development Bank.

穆罕默德·艾哈邁德，阿聯酋開發銀行。

Yes. So my question is how much of your business is from the Utility segment and from the Rooftop Solar segment? And another question is that your diluted EPS is USD0.57 per ADS, how it is calculated? Because the number of shares is 53.4 million and basic shares are 52 million, but the difference in basic and diluted EPS is huge, USD1.45 versus USD0.57?

是的。所以我的問題是，你們的業務有多少來自公用事業部門和屋頂太陽能部門？還有一個問題是，你們的稀釋後每股美國存託憑證為0.57美元，它是如何計算的？因為股票數量是5340萬股，基本股是5200萬股，但基本每股收益和稀釋每股收益相差很大，1.45美元對0.57美元？

For the detailed EPS, we can share the detailed calculation. And I think it's very simple, so after the call, we can share the detailed calculation with you. And in terms of the percentage of utility versus --

對於詳細的EPS，我們可以分享詳細的計算。而且我認為這很簡單，所以在通話之後，我們可以與您分享詳細的計算。就效用百分比而言—

Yeah. DG, we -- I think, we talked about it during the prepared remarks, the DG ratio is roughly high 30% range. So if you want to know the detailed numbers, we can share with you. Hold on a second, it's roughly 37% that's DG. It means 63% is utility.

是的。 DG，我想，我們在準備好的發言中談到了這一點，DG 比例大致在 30% 的高範圍內。因此，如果您想了解詳細數字，我們可以與您分享。等一下，大約 37% 是 DG。這意味著 63% 是實用的。

(Operator Instructions) There are no further questions at this time. That does conclude our conference for today. Thank you for participating. You may now disconnect.

（操作員說明） 目前沒有其他問題。我們今天的會議到此結束。感謝您的參與。您現在可以斷開連線。

Statements in English on this transcript were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.

本筆錄中的英語陳述是由現場通話中的口譯員說出的。口譯員由贊助本次活動的公司提供。