November 18, 2009 / 12:20 PM / 9 years ago

UPDATE 2-China Sunergy sees higher Q4 shipments, shares rise

* Q3 adj shr loss $0.03 vs EPS of $0.05 last yr

* Q3 ASPs down 62 pct YoY, 8 pct sequentially

* Q3 shipments up 60 pct YoY, 31 pct sequentially

* Sees sequentially higher shipments, lower ASPs in Q4

* Shares up 10 pct pre-market (Recasts; adds conf call details, background, share movement)

Nov 18 (Reuters) - China Sunergy Co Ltd CSUN.O swung to an adjusted quarterly loss, as a dip in average selling prices offset higher shipments, but the company forecast strong demand and sequentially higher shipments in the fourth quarter, sending its shares up 10 percent in pre-market trade.

“We expect to end a challenging 2009 on a positive note and see strong demand in 2010 for our products... we see strong growth in 2010,” a company executive said on a conference call with analysts.

China Sunergy’s comments follow a spate of similar bright announcements by Chinese solar companies.

Photovoltaic cell maker Solarfun Power Holdings Co Ltd SOLF.O reported a better-than-expected third quarter profit, as shipments rose, and said it expects continuing good demand in the first quarter of 2010. [ID:nBNG371996]

On Tuesday, solar-cell maker Canadian Solar Inc (CSIQ.O) had also signalled an uptick in demand and said it expects to more than double shipments in 2010. [ID:nBNG92935]

Given strengthening demand, China Sunergy said it expects fourth-quarter shipments between 70 megawatt (MW) and 80 MW.

Third-quarter shipments at the Solar cell products maker came in at 54.4 MW, up 60 percent from last year, but average selling prices fell 62 percent to $1.32.

On the call, the company indicated that pricing pressure would persist, and said it expects fourth-quarter prices to drop 4 percent to 5 percent sequentially. [ID:nWNAB7509]

For the first quarter, the company said pricing will be down but not as much as experienced in previous years.

For the latest third quarter, China Sunergy earned 19 cents per American depositary share (ADS), compared with 4 cents per ADS, last year.

Excluding items, however, the company reported a loss of 3 cents per ADS, compared with earnings of 5 cents per ADS, last year.

Sales fell nearly 33 percent to $80.1 million, but comfortably beat estimates of $70.6 million. [ID:nWNAB7467]

Shares of the company were up 10 percent at $4.65 in pre-market trade Wednesday.

The stock, which has so far tripled from a November 2008 year-low, closed at $4.23 Tuesday on Nasdaq. (Reporting by Adveith Nair in Bangalore; Editing by Jarshad Kakkrakandy)

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