JinkoSolar Holding Co. Ltd. (NYSE: JKS) shares declined 4.6% in pre-market trading after the company reported a wider-than-expected adjusted loss and missed revenue estimates for the second quarter.
The Shangrao, China-based solar manufacturer posted an adjusted loss of RMB13.19 ($1.94) per American Depositary Share, exceeding the analyst consensus of a RMB6.09 loss. Revenue totaled RMB12.36 billion ($1.82 billion), below the estimated RMB15.73 billion. Year-over-year revenue fell 31.3% from RMB17.99 billion in the same period of 2025.
Module shipments declined 34.4% to 15,961 megawatts, reflecting softer demand amid competitive pricing pressures. Gross margin compressed to 4.2%, down from 8.3% in the prior quarter, as average selling prices for solar modules declined and production costs rose during the ramp-up of high-efficiency products.
CEO Dimi Du attributed the margin squeeze to elevated costs tied to scaling high-efficiency production and the fulfillment of certain low-value orders. He noted that these factors weighed on both gross margin and profitability during the quarter.
For the third quarter, JinkoSolar expects module shipments between 15.0 gigawatts and 17.0 gigawatts, while full-year 2026 shipments are projected to range from 60.0 gigawatts to 70.0 gigawatts. The company anticipates high-efficiency products will account for over 60% of total shipments.
The energy storage system business continued to expand, with first-half shipments more than doubling year-over-year and gross margins improving. Full-year 2026 ESS shipments are expected to exceed prior-year levels by more than 100%.
