As a standard polysilicon-based solar player, Trina Solar
But let's start with the good news. Trina shipped about 29.5 megawatts of modules in the first quarter, representing a 23% sequential increase. Cost per watt of $1.76 for silicon and $1.17 for everything else resulted in a gross margin of 25.8%, exceeding guidance of 23%-25%. By the end of the year, Trina aims to reduce its non-silicon cost per watt to $1.05, representing a 10% decline. The firm also expects to slash its per-watt polysilicon usage.
Still, even with these all these incremental cost improvements, Trina stuck to the same 23%-25% gross margin guidance for next quarter. This is the only reason that I can see for the stock's drubbing today. Trina is setting the bar low, and I can't blame it. Even those optimistic on polysilicon supply, such as Suntech Power
Aside from silicon, the conference call touched upon other noteworthy topics. Trina is now certified to sell into the U.S. market, which puts the firm in competition with the likes of SunPower
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