Jetion Solar Share Discussion Threads

[chrismez] 06/10/2010 16:57

Re the HKx Listing:

"... the board considers that the prevailing volatile economic conditions and weak stock market sentiment do not provide the right conditions for such a move."

What exactly did our somewhat odd board of directors mean when they said this?

Seems to me that both West China Cement (HKx) and Eros (Bombay) have done rather well in the last few weeks by moving abroad. The economic conditions seemed OK for them, and I dont see any "weak market sentiment" in India or Hong Kong. I could understand if JHL were proposing a move to the S&P but they're not.

Perhaps its time for the BoD to reconsider.

[chrismez] 06/10/2010 16:46

Zandook - I'm reading the last two RNS's - 5th October and 1st October 2010 (see above).

6% on 1st October 2010

down to 5% on 5 October 2010

Still a notifiable interest cos its above 3% hence RNS's.

Seems to me unless I've got this completely a over t that CS still have 5%. Correct me if I'm wrong.

[zangdook] 06/10/2010 14:07

Chris

CS no longer have a notifiable holding, ie they have under 3% (AIM rules here, not main market).

[chrismez] 05/10/2010 22:20

Yep I see CS offloaded another per cent today - now down from 6% to 5%.

However I wouldn't say they are nearly gone and that we are coming to the end of the overhang. They still have 5% of JHL to clear and its looking like it might be getting a little harder for them.

Re Sun Times - note your views but the article remains worth a read, if only to keep abreast of whats going on over at SOLA.

[mattjos] 05/10/2010 11:47

Coming to the end of the overhang, imo. CS nearly gone now. Normal supply/demand should prevail shortly and the value here will slowly be seen by others

[mattjos] 04/10/2010 18:35

Chris, no, I didn't. I added some more here today as i believe they are rather undervalued at the current price. Not always right to tar the whole sector with the same brush
(Personally regard the Sunday Times as rather too sensationalistic & not much higher up the chain than The Sun so tend not to read it).

[chrismez] 04/10/2010 17:53

Terrible article in the Sun Times yesterday about the pollution Renesola is causing around its production plants in China and about sending out the goons to pummel any citizen who even dares to think about reporting it.

Although it didn't mention JHL by name the trouble with the article is that it seemed to imply that all solar panel and module producers in China were causing massive pollution and poisoning the water sources around their production plants.

Anybody else see it?

[mattjos] 01/10/2010 14:37

business looks brisk in Germany:

[mattjos] 29/9/2010 16:45

quite pleased with the results & added ... but, i suspect it's a question of time now to rebuild investor confidence in the company after the HK disappointment coming so closely on the back of the Euro weakness affects being aired.

Since it is most likely China buying the Euro & dumping the US$, on a long term basis, I hope Jetion have the foresight not to hedge all of their Euro earnings as i believe longer term it will work in their favour. However, they are a solar manufacturer and not a currency speculator :-)

[loafingchard] 29/9/2010 15:06

Remarkable lack of interest . The results are better than i had feared , only a few negatives such as predicting margin erosion in H2 .

[pomp circumstance] 29/9/2010 08:12

results and management change... penny for anyones thoughts?

[mattjos] 28/9/2010 23:14

8.14 CNY : 1 EUR early June this year .. shortly after Jetion's last update. That proved the low.

Since then Euro has strengthened and is now 9.09 CNY : 1 EUR .. roughly 12% up

With USA & UK threatening QE2 on the back of weak domestic figures but Germany now upgrading its growth figures, the Euro is now looking the stronger currency.

If the trend continues, as i believe it will during H2, then Jetion's performance may be markedly different.
Will have to await their outlook statement

[mattjos] 24/9/2010 09:57

chris .. hadn't noticed that. Thanks for pointing it out. I had concluded that they were linking the HK move with equity raise. No HK move = no equity raise & they just don't look like they need it right now anyway ... aka, why even try for HK at this stage unless there is a requirement for the equity raise at a decent multiple?
See what next week brings in the Outlook statement

[chrisbrown71] 24/9/2010 08:27

"The potential downside is that Jetion had advised they would raise equity funds at the time they list on the HK stock exchange"

Mattjos, yes, they did say they would raise equity in the preliminary report. But if you compare the annual report to the prelims, this sentence had been quietly removed. My reading of this is that they were having second thoughts about the need to raise extra equity and wanted to give themselves a bit of wriggle room instead of repeating the statement in the AR.

[mattjos] 24/9/2010 01:44

Cordwainer, i doubt it. there is a change of hands in the stock in progress, hence the RNS's. This has been done at an artificially depressed price, imo & EVO & WINS have been mucking it about while it's been taking place.
Stock is now freeing up and retuning to a more realistic level, imo.

Jetion reported 2009 was 'satisfactory' in trading terms but that the weakness of the euro meant it had affected their profitability:

"However, although we have a growing order book and will have the production capacity to satisfy those orders our profitability in 2010 will be largely determined by the performance of the Euro during the remainder of the year ..... In consequence, the results for the half year to 30 June 2010 are likely to show a profit which is less than for the same period last year, albeit that sales volumes are expected to be some 130% higher. "

As i tried to post here a while back since June this year the Euro/$ and Euro/RMB trend has reversed & there has been a constant strengthening of the Euro relative to both the US$ and the RMB - about 10% from the low point in June.

The mix of revenue streams (the majority into Europe & then USA & China) mean this is company is a geared play on exchange rates in many ways.

So this is worth bearing in mind.

now, in H2 this year we have "... plan to increase our solar cell capacity to 200 MW during the second half of 2010. Our full year average solar cell production utilisation ratio was 97% (2008: 92%)."

If 2010 sales growth continues at the same rate, if margin growth also continues at the same rate & if the Euro continues on this strengthening trend ..... Jetion's H2 of 2010 could see significantly increased profitability against an already well signalled weak H1 - hence why the share price is all the way down here at present. Chinese company performances are usually biased towards a much stronger H2

Interims next week i believe & i feel the slight increase in the share price may be in expectation of the planned capacity growth being confirmed & the possibility of an Outlook statement hiliting the more favourable exchange rate trend.


The potential downside is that Jetion had advised they would raise equity funds at the time they list on the HK stock exchange ... . the listing is now called off. At the 09 Year end they had $25m cash reported which was $3m up on the H1 09 position & seems daft to me to try and raise funds in london at this price unless they have a 'no-brainer' acquisition lined up.

Much will hinge on the mgmnt commentary in the outlook statement but the shares look a little too cheap to me at this level on a trailing p/e of less than 4 .... forward p/e is a total unknown though. Chart looks a dream to me

[cordwainer] 24/9/2010 00:40

maybe the start of a takeover

[cool_hand] 23/9/2010 18:30

something is cooking, what I may ask?

[25babies] 23/9/2010 18:07

Yep - three 500,000 buys.

A lot of smoke - where are the trees?

[mattjos] 23/9/2010 09:57

someone wants in here

[mattjos] 22/9/2010 10:46

maybe wanted in for the hk listing and now decided to clear off?

[cordwainer] 22/9/2010 10:43

I have an idea that someone at CS hasn't got a clue?

[25babies] 22/9/2010 10:06

So Credit Suisse acquire a load of shares at beginning of September and then sell them 3 weeks later.

Any ideas?

[mattjos] 21/9/2010 13:37

mmm .. that wasn't supposed to happen on just 3k

[mattjos] 20/9/2010 12:54

still a stock swap going on here at present