[年报]阳光电源(300274):2021年年度报告（英文简版）
原标题:阳光电源:2021年年度报告（英文简版） 2021 Annual Report (Concise Version in English) 2021 Annual Report (Concise Version in English) 2021 Annual Report (Concise Version in English)
please refer to “Overview” of IV. Core Business Analysis and “(2) Operating Plan” of XI. Prospects of the Company’s Future Development in Section III Management’s Discussion and Analysis. Contents in this report concerning future plans, performance forecasts, and etc., do not constitute any commitment made by the Company to any investor or related party. Investors and related parties should maintain adequate risk awareness and understand the possible difference between plans, forecasts, and commitments. (1) Policy-related risks Although technologies related to renewable energy power generation are still evolving and grid parity has been achieved in most regions around the world, there are still a few regions where the power generation cost or the on-grid electricity price is higher than that of fossil energy, and the unit electricity cost per kilowatt-hour from wind-solar storage applications maintains relatively high. In addition, considering the various constraints including grid consumption, intermittent fluctuations in new energy availability, as well as land and taxation, policy support and encouragement from governments are still necessary. Since the supportive policies are formulated by the governments of various countries, while the global trend of energy conservation and emission reduction remains unchanged, major changes in the macro economies of major markets or relevant supportive policies will affect the growth pace of the industry and the Company’s profitability to a certain extent. To this end, on the basis of maintaining the leading position in the domestic market, the Company makes market explorations overseas, and strives to achieve a global footprint to minimize the impact of policy fluctuations within a single country. Apart from the PV inverter business and the PV power station investment and development business, the Company makes active attempts in other business growth points, such as energy storage converters, electric vehicle motor controllers and other new energy oriented applications based on power electronics technologies, as well as in new business sections such as energy storage system integration and wind farm development, to dilute the impact of single-industry (such as PV) policies. (2) Risk of gross margin reduction due to intensified competition 2021 Annual Report (Concise Version in English) obvious market advantage. However, the huge potential of domestic and foreign markets has also attracted fierce market competition. If the Company fails to maintain the leading edge in technological innovation, new product development, and cost control, the products will face the risk of gross margin declination. As such, the Company needs to further accelerate new product upgrade and product differentiation through R&D innovation and increasing R&D investment, so as to provide customers with value-added services, constantly introduce new products that create greater values for customers, and consolidate product advantages in the market. (3) Risk of collecting accounts receivables As the domestic market grows rapidly, the Company puts more focus on product sales. In consideration of the PV industry characteristics in China, such as subsidy arrearage, large project amount, and long payment term, the Company's business growth at fast pace will lead to a quick increase of receivables and certain risks in payment collection. In order to prevent credit risks and accelerate capital turnover, the Company formulated strict credit management systems and sale-on-credit policies, and actively reduced the risk of non-performing loans and bad accounts through legal actions. (4) Risk of international trade frictions and the epidemic impact Under the negative impact of intensified international trade frictions and the continuation of the COVID-19 epidemic, the global economy is under huge pressure of inclination, and governments are launching monetary policies and other economic stimulation policies. While boosting the economy, such policies may cause supply chain fluctuation, logistic efficiency reduction, and cost increase. The PV industry where the Company is in also faces short-term pressures due to changes in demand tempo. The Company has formulated a series of defensive measures and lean production plans to actively respond to the global epidemic and expand the global market on the premise of ensuring the safety and health of employees. By strengthening the global supply chain layout, improving supply chain management capabilities, the Company makes every effort to reduce trade frictions and the epidemic impact, ensuring that the annual tasks are completed on time. (5) Risk of exchange rate fluctuation USD, AUD and EUR are the three major currencies used for the Company's overseas revenue settlement. The impact of exchange rate fluctuations is mainly reflected in the following two areas: a. Because of the RMB exchange rate fluctuation, changes in operating income measured in local currency pose a direct impact on the gross margin of main products; b. From the moment sales revenue is confirmed and accounts receivable is generated to the moment of collecting foreign currency, the Company is subject to exchange gains/losses from the fluctuations in the RMB exchange rate, which also directly affects the Company's performance. On the foundation of normal operation and relying on specific businesses, the Company takes various means, including hedging, continuous monitoring, and timely settling foreign currency sales to reduce exchange-related loss and control operating risks. (6) Risks in the supply chain of semiconductor components Semiconductors used in the Company's power electronic devices mainly include power semiconductors and chips that are mostly sourced from overseas since there are limited local supply and the performance of local components are yet to be improved. With the rapid growth of new energy vehicles, renewable energy power generation, 5G use cases, and charging infrastructure, plus the epidemic impact on the production capacity of the above-mentioned manufacturers, semiconductors are facing certain risks of short supply and price 2021 Annual Report (Concise Version in English) partnerships with suppliers, and locked orders in advance, so as to get hold of the industry supply dynamics and secure the supply chain to the maximum extent. (7) Risks in construction management of PV power station investment and development projects PV power station projects feature large amount of investment and short lead time. These projects not only involve ground resources but also commercial roofs. For these projects, the investment decision-making is quite challenging, and a lot of uncertainties exist in project engineering and implementation, which may lead to project delays and jeopardize timely grid connection for power generation. While challenging the Company's project management, the projects also require a huge amount of working capital. In response to such risks, the Company makes cautious considerations when selecting new energy power generation projects to prioritize those with better grid connection conditions, clearly communicated subsidy policies, controllable installed cost and higher gross profit. Meanwhile, the Company further enhances engineering management and improves project management level. After entering into sales contracts with customers, the Company reinforces project construction management in a timely manner, adequately communicates with customers on the progress, and adjusts the work schedule according to the result of communication, so that the impact of project delay on the Company's production and operation is eliminated or alleviated to the most extent. By providing project owners with safe, efficient and intelligent PV power stations that meet their needs, the Company's reputation in PV power station investment and development is improved. (8) Risk of module price increase Module price increase may lead to a certain degree of delay in the installation of PV power stations the Company invested and developed, thereby affecting the revenue and gross profit of the Company’s power station investment and development business. In view of the overall supply and demand of the industry, as the upstream production capacity is gradually released, the supply shortage will be further alleviated, the module price will gradually fall back to a reasonable level, and the increase in global installed capacity will be resumed. The board meeting has deliberated and approved the following profit distribution proposal: Based on a base quantity of 1,485,215,984 shares, a cash dividend of RMB 1.10 per 10 shares (tax inclusive) will be distributed to all shareholders, no bonus share (tax inclusive) will be distributed, and no share distribution from capital reserve. 2021 Annual Report (Concise Version in English) Contents Section I Important Notes, Contents and Definitions ..............................................................................................................................2 Section II Company Profile & Key Financial Indicators .........................................................................................................................9 Section III Management’s Discussion and Analysis .............................................................................................................................. 14 Section IV Corporate Governance ......................................................................................................................................................... 46 Section V Environment and Social Responsibilities .............................................................................................................................. 76 Section VI Significant Events ................................................................................................................................................................ 78 Section VII Changes in Shares and Information about Shareholders .................................................................................................. 107 Section VIII Preference shares ............................................................................................................................................................ 120 Section IX Bonds ................................................................................................................................................................................. 121 Section X Financial Reports ................................................................................................................................................................ 122 2021 Annual Report (Concise Version in English) Documents for Future Reference 1. Accounting statements signed and stamped by the Legal Respective, the Chief Accountant, and the head of the accounting department (accounting supervisor) of the Company. 2. The original Audit Report signed and stamped by the certified public accountant and stamped by the accounting firm. 3. The originals of company documents and announcements publicly disclosed on websites designated by China Securities Regulatory Commission during the reporting period. 4. Other relevant documents. 2021 Annual Report (Concise Version in English) 2021 Annual Report (Concise Version in English)
2021 Annual Report (Concise Version in English)
2021 Annual Report (Concise Version in English)
2021 Annual Report (Concise Version in English)
Accounting firm engaged by the Company
V. Key Accounting Data and Financial Indicators Whether the Company performed a retroactive adjustment or restatement of previous accounting data □ Yes √ No
2021 Annual Report (Concise Version in English)
fiscal years, and the audit report for the last year shows that uncertainties exist in the Company's business continuity □ Yes √ No The lower of net profit including extraordinary and net profit excluding extraordinary is negative □ Yes √ No VI. Key Financial Indicators by Quarter (in RMB)
quarterly and half-year reports disclosed by the Company □ Yes √ No VII. Differences in Accounting Data between Chinese and Overseas Accounting Standards 1. Differences in the net profits and net assets disclosed in the financial statements as per the international accounting standards and China accounting standards □ Applicable √ Not Applicable There is no difference in the net profits and net assets disclosed in the financial statements as per the international accounting standards and China accounting standards. 2. Differences in the net profits and net assets disclosed in the financial statements as per the local (overseas) accounting standards and China accounting standards □ Applicable √ Not Applicable There is no difference in the net profits and net assets disclosed in the financial statements as per the local (overseas) accounting standards and China accounting standards. 2021 Annual Report (Concise Version in English) 2021 Annual Report (Concise Version in English)
There are no other gains or losses in the Company that fit in the definition of extraordinary items. Explanation on defining the extraordinary items listed in the Explanatory Announcement No. 1 on Information Disclosure for 2021 Annual Report (Concise Version in English) 2021 Annual Report (Concise Version in English)
Section III Management’s Discussion and Analysis I. Discussion and analysis of business situation In the reporting period, due to unbalanced supply and demand in the upstream and downstream of the industrial chain, the long lead-time of upstream capacity expansion, and the high installed capacity expected in the PV industry, the price of silicon materials rose sharply, causing different price increases across the entire PV industry chain, including silicon wafers, cells, and modules. According to data from the China Photovoltaic Industry Association, China's initial investment cost of PV systems in 2021 increased by 4% year-on-year, marked the first increase in many years. Due to the price increase, installation schedules were postponed. The National Energy Administration’s data shows that, in 2021, China’s newly installed PV capacity was 54.88 GW, a year-on-year increase of 13.9%. According to the data of the International Renewable Energy Agency (IRENA), the global PV installed capacity in 2021 was 133 GW, a very small year-on-year increase of 5.5% only. In the context of global warming, green and low carbon has become a global consensus. Governments around the world have actively released policies to promote the development and utilization of renewable energy. More than 170 countries around the world have put forth Zero Carbon or Carbon Neutrality targets, and the development of renewable energy such as PV and wind power has been globally acknowledged. In 2022, as the silicon material production capacity is gradually released, the supply shortage will be alleviated, the market price of silicon material is expected to drop, and PV power generation will become the most competitive power supply in more and more countries. Driven by the carbon neutrality goals, the clean energy transformation and green resurrection across many countries, a rapid growth is expected in the average annual installed capacity of global PV during China’s 14th Five-Year Plan period. II. Business Scope in the Reporting Period Sungrow Power Supply Co., Ltd. is a national key high-tech enterprise specializing in R&D, manufacturing, sales and service of solar energy, wind energy, energy storage, electric vehicles, and other new energy power supply equipment. With a wide range of products including PV inverters, wind energy converters, energy storage systems, electric drive system for new energy vehicles, floating PV systems, and smart energy operation and maintenance service, the Company is committed to providing world-class solutions for the full life cycle of clean energy. 1. PV inverters Since the establishment in 1997, the Company has been concentrating on the R&D and manufacturing of PV system equipment, with PV inverters being the core product. Adhering to the mission of “Clean power for all”, the Company provides cutting-edge PV system solutions to users around the globe. Connecting PV arrays to the grid, PV inverter is one of the main components in a PV power generation system, and plays a critical role in ensuring the long-term and reliable operation of PV power stations and improving the project investment return. The Company abides by the principle of “design and adjust to the local condition”, and makes rational select of inverter types according to the scale, the terrain and building attachments of PV power stations, in order to maximize the value of PV power stations in the full life cycle. String PV inverters feature high power density and simple installation and maintenance, can meet the requirements of different applications indoor and outdoor, and are hence widely used in small and medium PV power generation systems in parking lots, on commercial roofs or farms, as well as large-scale ground power stations on complex terrains. Centralized PV inverters feature high conversion efficiency, safety and reliability, are highly grid-friendly and cost effective. They can cope with various environments such as extremely low temperature and high altitude, and are widely used in large and 2021 Annual Report (Concise Version in English) medium-sized PV power generation systems in deserts, plateaus, and on commercial roofs. Household PV inverters feature high power density, appealing exterior design, and simple installation and maintenance, can automatically adapt to complicated grid environment, prolong power generation, and effectively improve power generation revenue. With built-in lightning protection and high-precision leakage current protection, as well as energy storage interfaces and various communication modes, they can meet various application requirements indoor and outdoor, and are widely used in residential PV power generation systems on residential roofs or in courtyards. Inverter integration solutions consist of PV inverters, AC/DC power distribution modules (optional), medium voltage transformers, ring main units, system monitoring modules, fire alarm modules, environmental monitoring modules (optional) and other functional modules, as well as AC cables integrated in advance, thereby reducing the loss and work intensity in the field, realizing fast installation, and creating higher economic benefits for customers. These solutions can cope with extremely low temperature and high altitude, and are widely used in large and medium PV power generation systems in deserts, plateaus, and on commercial roofs. Smart energy management platform leverages the Internet of Things, artificial intelligence, and big data analysis technologies to help group customers achieve centralized operation and maintenance management of PV, energy storage and other energies, and build a smart energy brain. The platform can meet customers’ management needs at different stages in the full life cycle of multiple energies, and realize four core values including steadily increasing investment return, ensuring asset security, standardizing operation management, and assisting group decision-making. Sungrow's PV inverters cover the power range of 3 to 8800 kW, which consist of household inverters, medium-power string inverters, and large-scale centralized inverters. Being exported to more than 150 countries around the world, they topped the list of global shipments for four consecutive years, and scored 100% in BloombergNEF’s inverter bankability surveys for three consecutive years. As of December 2021, Sungrow has cumulatively installed over 224 GW of inverter equipment in the global market. 2. Power station investment and development In recent years, Sungrow Renewables, as the Company's new energy project development and investment platform, has been pioneering the exploration of a new pattern of green and ecological development featuring multiple-energy complement and industrial collaboration. In the areas of agriculture-PV complementary development, fishery-PV complementary development, floating power station, solar-wind-storage complementary development and comprehensive utilization of land, the Company has established an innovative "New Energy +" value chain and delivered a number of industry-leading demonstration projects, achieving breakthroughs in industrial and commercial PV, household PV, energy storage, hydrogen production from renewable energy, and comprehensive energy services. Under the dual action of technology and market, Sungrow Renewables makes active attempts in domestic and international markets, and has built a diversified and collaborative industrial layout with China as the base and the overseas market as the growth point. As of December 2021, the Company has developed and built PV and wind power projects with a cumulative capacity of more than 25 million kilowatts. Large-scale ground PV power station solutions: Sungrow's large-scale ground PV power station projects cover various application scenarios, which rely on the Company’s technical research and development capabilities, abundant system integration experience and the well-established smart operation and maintenance system to greatly improve the return on investment of PV power stations and create greater values for customers. In addition, a number of comprehensive utilization forms such as comprehensive land reclamation, agriculture-PV complementary development, floating power station, and forest-PV complementary development have created more opportunities for comprehensive environmental governance and new energy industry applications. Distributed energy solutions: In response to the diversified and personalized energy needs, the Company leverages the world-leading system integration technology strength and comprehensive energy service system to provide enterprises with distributed PV and energy storage system consultancy, development, investment, delivery, operation and maintenance, as well as other full life cycle solutions for clean energy, thereby enabling enterprises to achieve independent management of energy consumption, maintain and increase the value of diversified assets, and push enterprises into the era of zero emission. Household PV solutions: Sungrow’s household PV takes “generating more power" as its core value, and is a uniquely designed and integrated end-to-end smart household PV system on the foundation of intelligence and digitization. The full range of smart products 2021 Annual Report (Concise Version in English) are exclusively customized and intelligently connected to a cloud platform. Thanks to the fine-granular smart operation and maintenance, it has become the world’s first household-oriented brand with a TüV certification. Wind power station solutions: The companies wind farms cover different operating environments such as high and low temperatures, high altitude, low wind speed, and coastal areas. With a benign ecosystem and a development pattern including wind power on plains, wind power on mountains, offshore wind power, and wind-solar complement, the Company provides solutions that meet the diverse needs of customers and maximize customers’ value. 3. Wind power converters The Company's wind power converter products are transmission frequency conversion devices that integrate power electronics, modern transmission control theory and new energy application technologies. Covering a power range from 2 MW to 15 MW and a voltage range of 690V, 900V, 1140V, and 3300V, the portfolio consists of full-power wind power converters and double-fed wind power converters that are fully compatible with mainstream wind turbine models in China, and can be used in various wind farm environments such as salt haze, extremely low temperature, plateaus, coastal areas, and high humidity. As wind power generation goes into the era of parity, the industry needs to work together to further innovate and optimize the component performance as well as achieve cost reduction and efficiency improvement across the entire industry chain. Dedicated in the power electronics industry for more than 20 years, Sungrow has recently developed high-power double-fed air-cooled main control integrated converters, 3 MW to 15 MW three-level converters and other new products to supply mainstream wind turbine manufactures in China. In the future, Sungrow will stick to the low-cost innovation and development strategy, accelerate the system cost reduction of wind turbines, and contribute added values to customers. 4. Energy storage system (ESS) Sungrow's energy storage business relies on the world-leading new energy power conversion technology and the cutting-edge ESS integration technology. With a focus on the R&D, production, sales, and service of lithium battery ESS, the Company can provide energy storage converters, lithium batteries, energy storage management system and other core equipment for energy, deliver a range of energy storage system solutions for auxiliary new energy grid connection, power frequency and peak regulation, demand side （未完）  |