China Ming Yang Wind Power Group saw its gross profit increase to RMB326.1m ($51.3m) in the third quarter of 2015, up from RMB225.6m in the same period last year.
Gross margin in the third quarter of 2015 was 18.8%, compared to 13.1% in the third quarter of 2014.
The increase was mainly due to the combined effect of an approximately 3.6% increase in average turbine selling price in the third quarter of 2015 compared with 2014 and synergy in reduction in cost of electrical components as a result of the acquisition of China Smart Electric Group in May 2015.
The company’s total revenue was RMB1738.8m compared to RMB1716.8m in the third quarter of 2014.
Total turbine sales amounted to 530MW, representing 128 of the 1.5MW units and 169 of 2.0MW units, compared to 524.5MW in the third quarter of 2014.
Ming Yang chairman and chief executive officer Chuanwei Zhang said: “During this quarter, we were glad to see an increase in profitability.
“Looking ahead into the next five years, we see both opportunities as well as challenges in China’s wind industry.
“Currently, government officials indicated that new wind power installations under the 13th Five-year Plan (FYP) will not be lower than that during the 12th FYP period.
“Concurrently, proposals for reductions in the electricity tariffs over the next five years were also recently announced, with the goal of achieving price parity for wind energy at the end of the 13th FYP.”
Image: Ming Yang
