Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Dec. 31, 2014 | |
Document and Entity Information | |
Entity Registrant Name | JA Solar Holdings Co., Ltd. |
Entity Central Index Key | 1385598 |
Document Type | 20-F |
Document Period End Date | 31-Dec-14 |
Amendment Flag | FALSE |
Current Fiscal Year End Date | -19 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Entity Common Stock, Shares Outstanding | 252,301,917 |
Document Fiscal Year Focus | 2014 |
Document Fiscal Period Focus | FY |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (CNY) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | 2,155,009 | 2,119,740 |
Restricted cash | 833,084 | 588,413 |
Notes receivable | 74,984 | 207,224 |
Accounts receivable from third party customers, net | 2,079,465 | 748,414 |
Accounts receivable from related party customers, net | 382,276 | 295,697 |
Inventories | 1,886,268 | 1,347,094 |
Advances to third party suppliers, net | 277,595 | 288,472 |
Advances to related party suppliers, net | 60,000 | 113,000 |
Amount due from related parties | 47,890 | 43,436 |
Other current assets | 713,763 | 536,134 |
Deferred tax assets | 90,169 | 64,409 |
Total current assets | 8,600,503 | 6,352,033 |
Property, plant and equipment, net | 4,166,747 | 4,158,108 |
Project assets, net | 651,494 | 47,746 |
Intangible asset, net | 12,728 | 14,423 |
Deferred tax assets | 148,522 | 58,050 |
Advances to third party suppliers, net | 441,559 | 753,310 |
Advances to related party suppliers, net | 10,145 | 603 |
Prepaid land use rights | 438,556 | 448,619 |
Investment in joint venture and affiliates | 13,524 | 48,802 |
Total assets | 14,483,778 | 11,881,694 |
Current liabilities: | ||
Short-term borrowings and current portion of long term borrowings | 2,297,533 | 2,058,515 |
Accounts payable to third parties | 2,439,097 | 1,570,850 |
Accounts payable to related parties | 331,202 | 311,781 |
Tax payables | 79,562 | 11,028 |
Advances from third party customers | 243,959 | 191,428 |
Advances from related party customers | 11,295 | |
Other payables to third parties | 693,371 | 482,270 |
Payroll and welfare payables | 234,168 | 202,743 |
Accrued expenses | 147,294 | 166,054 |
Amounts due to related parties | 8,115 | 3,814 |
Derivatives liabilities - warrants | 105,785 | 31,106 |
Total current liabilities | 6,580,086 | 5,040,884 |
Accrued warranty costs | 251,740 | 158,897 |
Other long-term liabilities | 282,684 | 269,575 |
Long-term borrowings | 1,902,400 | 1,554,000 |
Derivatives liabilities - warrants | 154,259 | |
Total liabilities | 9,016,910 | 7,177,615 |
Commitments and Contingencies | ||
Shareholders' equity : | ||
Ordinary shares(US$0.0001 par value; 500,000,000 shares authorized, 227,499,837 and 252,301,917 shares issued and outstanding as of December 31, 2013 and December 31, 2014, respectively) | 186 | 170 |
Additional paid-in capital | 5,638,703 | 5,327,177 |
Statutory reserves | 436,807 | 410,150 |
Accumulated deficit | -726,610 | -1,123,724 |
Accumulated other comprehensive income | 11,086 | 6,489 |
Total shareholders' equity attributable to JA Solar Holdings | 5,360,172 | 4,620,262 |
Noncontrolling interest | 106,696 | 83,817 |
Total shareholders' equity | 5,466,868 | 4,704,079 |
Total liabilities and shareholders' equity | 14,483,778 | 11,881,694 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
CONSOLIDATED BALANCE SHEETS | ||
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 |
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 |
Ordinary shares, shares issued | 252,301,917 | 227,499,837 |
Ordinary shares, shares outstanding | 252,301,917 | 227,499,837 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS)/ INCOME (CNY) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues | |||
Solar modules | 9,291,940 | 4,388,251 | 4,043,609 |
Solar cells and other products | 1,824,813 | 2,385,770 | 2,357,101 |
Engineering, procurement and construction | 22,643 | 27,875 | 135,810 |
Solar products processing | 156,127 | 380,893 | 182,545 |
Total revenues | 11,295,523 | 7,182,789 | 6,719,065 |
Cost of revenues | |||
Solar modules | -7,843,582 | -3,861,178 | -4,029,047 |
Solar cells and other products | -1,594,345 | -2,254,007 | -2,476,893 |
Engineering, procurement and construction | -8,252 | -16,045 | -84,726 |
Solar products processing | -92,849 | -289,270 | -182,757 |
Total cost of revenues | -9,539,028 | -6,420,500 | -6,773,423 |
Gross (loss)/profit | 1,756,495 | 762,289 | -54,358 |
Selling, general and administrative expenses | -954,307 | -765,236 | -901,645 |
Research and development expense | -139,683 | -88,306 | -86,429 |
Impairment loss on property, plant and equipment | -397,789 | ||
Total operating expenses | -1,093,990 | -853,542 | -1,385,863 |
(Loss)/Income from continuing operations | 662,505 | -91,253 | -1,440,221 |
Change in fair value of derivatives | 84,484 | -51,867 | 9,334 |
Convertible notes buyback gain/(loss) | -8,466 | ||
Interest expense | -229,665 | -285,618 | -489,346 |
Interest income | 28,213 | 17,091 | 36,226 |
Foreign exchange loss | -61,822 | -43,828 | -24,519 |
(Loss)/income for equity investment in a joint venture | 3,211 | -2,108 | -43,501 |
Other income, net | 33,114 | 16,064 | 398,861 |
(Loss)/income before income taxes | 520,040 | -441,519 | -1,561,632 |
Income tax (expense)/benefit | -73,390 | 15,027 | -100,625 |
Net (loss)/income | 446,650 | -426,492 | -1,662,257 |
Less: earnings attributable to the noncontrolling interest | -22,879 | -2,788 | |
Net (loss)/income attributable to JA Solar Holdings | 423,771 | -429,280 | -1,662,257 |
Less: fair value of warrants in excess of net proceeds of equity offering | -44,396 | ||
Less: allocation of net income to participating warrant holder | -77,174 | ||
Net (loss)/income attributable to JA Solar's ordinary shareholders | 346,597 | -473,676 | -1,662,257 |
Other comprehensive (loss)/income: | |||
Foreign currency translation adjustments, net of tax | 4,597 | 9,507 | 218 |
Cash flow hedging income/(loss), net of tax | 0 | 0 | -11,755 |
Other comprehensive (loss)/income | 4,597 | 9,507 | -11,537 |
Comprehensive (loss)/income | 451,247 | -416,985 | -1,673,794 |
Less: comprehensive income attributable to the noncontrolling interest | -22,879 | -2,788 | |
Comprehensive (loss)/income attributable to JA Solar Holdings | 428,368 | -419,773 | -1,673,794 |
Less: fair value of warrants in excess of net proceeds of equity offering | -44,396 | ||
Less: allocation of net income to participating warrant holder. | -77,174 | ||
Comprehensive (loss)/income attributable to JA Solar's ordinary shareholders | 351,194 | -464,169 | -1,673,794 |
Net (loss)/income per share: | |||
Basic (in CNY per share) | 1.43 | -2.35 | -8.53 |
Diluted (in CNY per share) | 1.38 | -2.35 | -8.53 |
Weighted average number of shares outstanding : | |||
Basic (in shares) | 242,192,859 | 201,317,884 | 194,788,429 |
Diluted (in shares) | 242,863,084 | 201,317,884 | 194,788,429 |
Net (loss)/income per ADS: | |||
Basic (in dollars per share) | 7.17 | -11.76 | -42.67 |
Diluted (in dollars per share) | 6.88 | -11.76 | -42.67 |
Weighted average number of ADS: | |||
Basic (in shares) | 48,438,572 | 40,263,577 | 38,957,685 |
Diluted (in shares) | 48,572,617 | 40,263,577 | 38,957,685 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY | Total JA Solar Holdings shareholders' equity | Ordinary shares. | Additional paid-in capital | Statutory reserves | Retained earnings/(deficit) | Accumulated other comprehensive Income/(loss) | Non-controlling interest | Total | Total |
In Thousands, except Share data, unless otherwise specified | CNY | CNY | CNY | CNY | CNY | CNY | CNY | CNY | |
Balance at Dec. 31, 2011 | 154 | 5,102,362 | 420,301 | 1,017,333 | 8,519 | 6,548,669 | |||
Balance (in shares) at Dec. 31, 2011 | 202,238,307 | ||||||||
Increase (Decrease) in Shareholders' Equity | |||||||||
Share based compensation | 33,225 | 33,225 | |||||||
Vesting of restricted share units (in shares) | 95,000 | ||||||||
Repurchase and retirement of ADS | -1 | -15,275 | -15,276 | ||||||
Repurchase and retirement of ADS (in shares) | -2,469,700 | ||||||||
Reversal of statutory reserves | -3,654 | 3,654 | |||||||
Net (loss)/income | -1,662,257 | -1,662,257 | |||||||
Other comprehensive income for foreign currency translation adjustment | 218 | 218 | |||||||
Other comprehensive income for forward contract (Note 21) | -11,755 | -11,755 | |||||||
Balance at Dec. 31, 2012 | 4,892,824 | 153 | 5,135,587 | 416,647 | -656,545 | -3,018 | 4,892,824 | ||
Balance (in shares) at Dec. 31, 2012 | 199,863,607 | ||||||||
Increase (Decrease) in Shareholders' Equity | |||||||||
Share based compensation | 9,401 | 9,401 | 9,401 | ||||||
Vesting of restricted share units (in shares) | 1,281,890 | ||||||||
Exercise of stock options | 3,389 | 3,389 | 3,389 | ||||||
Exercise of stock options (in shares) | 401,750 | ||||||||
Reversal of statutory reserves | -6,497 | 6,497 | |||||||
Acquisition of a subsidiary(Note 3) | 81,029 | 81,029 | |||||||
Issuance of ordinary shares, net of warrants issuance (Note 22) | 9 | 9 | 9 | ||||||
Issuance of ordinary shares, net of warrants issuance (Note 22) (in shares) | 15,228,425 | ||||||||
Exercise of warrants (Note 22) | 178,808 | 8 | 178,800 | 178,808 | |||||
Exercise of warrants (Note 22) (in shares) | 10,724,165 | ||||||||
Fair value of warrants in excess of net proceeds of equity offering (Note 22) | -44,396 | -44,396 | -44,396 | ||||||
Net (loss)/income | -429,280 | -429,280 | 2,788 | -426,492 | |||||
Other comprehensive income for foreign currency translation adjustment | 9,507 | 9,507 | 9,507 | ||||||
Other comprehensive income for forward contract (Note 21) | 0 | ||||||||
Balance at Dec. 31, 2013 | 4,620,262 | 170 | 5,327,177 | 410,150 | -1,123,724 | 6,489 | 83,817 | 4,620,262 | |
Balance (in shares) at Dec. 31, 2013 | 227,499,837 | 227,499,837 | |||||||
Increase (Decrease) in Shareholders' Equity | |||||||||
Share based compensation | 16,281 | 16,281 | 16,281 | ||||||
Vesting of restricted share units (in shares) | 85,000 | ||||||||
Exercise of stock options | 2,171 | 2,171 | 2,171 | ||||||
Exercise of stock options (in shares) | 268,750 | ||||||||
Reversal of statutory reserves | 26,657 | -26,657 | |||||||
Exercise of warrants (Note 22) | 293,090 | 16 | 293,074 | 293,090 | |||||
Exercise of warrants (Note 22) (in shares) | 24,448,330 | ||||||||
Fair value of warrants in excess of net proceeds of equity offering (Note 22) | -44,396 | ||||||||
Net (loss)/income | 423,771 | 423,771 | 22,879 | 446,650 | |||||
Other comprehensive income for foreign currency translation adjustment | 4,597 | 4,597 | 4,597 | ||||||
Other comprehensive income for forward contract (Note 21) | 0 | ||||||||
Balance at Dec. 31, 2014 | 5,360,172 | 186 | 5,638,703 | 436,807 | -726,610 | 11,086 | 106,696 | 5,360,172 | |
Balance (in shares) at Dec. 31, 2014 | 252,301,917 | 252,301,917 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | |||
Net (loss)/income | 446,650 | -426,492 | -1,662,257 |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||
Share based compensation | 16,281 | 9,401 | 33,225 |
Depreciation and amortization | 685,345 | 595,792 | 657,082 |
Allowance for doubtful accounts | 15,383 | 91,016 | 187,130 |
Inventory provision | 15,073 | 119,936 | 171,165 |
Allowance for advance to third party suppliers | 56,980 | 10,392 | 64,298 |
Amortization of deferred issuance cost and accretion of convertible notes | 35,030 | 135,725 | |
Change in fair value of derivatives | -84,484 | 51,867 | 11,485 |
Gain on acquisition of a subsidiary | -4,628 | ||
Loss/(income) for equity investment in a joint venture | 441 | 2,108 | 43,501 |
Revaluation gain from acquisition of a subsidiary | -3,652 | ||
Exchange loss/(gain) | -850 | -261 | 13,004 |
Loss/(gain) from disposal of fixed assets | 16,831 | -950 | 1,878 |
Impairment on property, plant and equipment | 397,789 | ||
Deferred income taxes | -116,232 | -28,489 | -1,350 |
Loss from convertible notes buyback | 8,466 | ||
Gain on sale of claim against loaned shares | -369,153 | ||
Changes in operating assets and liabilities: | |||
(Increase)/decrease in notes receivables | 132,240 | -58,263 | 271,254 |
(Increase)/decrease in accounts receivables from third party customers | -1,346,434 | 847,518 | -660,190 |
Decrease /(increase) in accounts receivables from related party customers | -86,579 | -196,481 | -5,126 |
Decrease /(increase) in inventories | -551,171 | -500,761 | -370,667 |
Decrease in advance to third party suppliers | 265,094 | 175,581 | 428,076 |
Decrease /(increase) in advance to related party suppliers | 43,458 | -2,586 | -56,005 |
Decrease /(increase) in other current assets | -167,030 | 256,591 | 34,516 |
Increase in prepaid land use rights | -225,410 | ||
Increase/(decrease) in accounts payable | 887,668 | 598,716 | 608,442 |
(Decrease)/increase in tax payable | 81,723 | -80,819 | 67,277 |
(Decrease)/increase in advance from customers | 41,236 | 125,848 | -243,402 |
Increase in other payables | 105,044 | 90,385 | 59,030 |
(Decrease)/increase in payroll and welfare payables | 31,499 | 7,363 | 8,743 |
Increase/(decrease) in accrued expenses | -18,669 | -60,821 | 73,620 |
Decrease in interest payable | -4,123 | -3,746 | |
Increase/(decrease) in amounts due to related parties | 4,301 | -6,019 | 3,057 |
Increase in accrued warranty costs | 92,843 | 44,671 | 35,475 |
Increase/(decrease) in other long-term liabilities | -32,192 | -6,063 | 66,280 |
Net cash provided by operating activities | 526,169 | 1,464,677 | 8,622 |
Cash flows from investing activities: | |||
Purchase of property, plant and equipment | -649,624 | -381,657 | -526,236 |
Proceeds from disposal of property, plant and equipment | 6,420 | 3,668 | 4,711 |
Purchase of intangible assets | -945 | -5,561 | -2,702 |
Investments in project assets | -473,663 | -8,405 | |
Government grants received | 45,300 | 126,900 | |
Proceeds from disposal of a subsidiary | -3,038 | ||
Cash paid for acquisition of a subsidiary, net of cash acquired | -38,945 | 45,109 | |
Cash paid for purchase of an equity investee | -13,600 | ||
Decrease/(increase) in restricted cash | -244,671 | -394,034 | -105,747 |
Net cash used in investing activities | -1,372,766 | -613,980 | -629,974 |
Cash flows from financing activities: | |||
Proceeds from short-term borrowings | 2,913,292 | 1,534,339 | 1,974,577 |
Proceeds from long-term borrowings | 1,810,400 | 538,000 | |
Repurchase of convertible notes | -617,937 | ||
Repayment of convertible notes | -740,027 | ||
Proceeds from sales of claim against loaned shares | 369,153 | ||
Proceeds from issuance of ordinary shares | 128,529 | ||
Proceeds from issuance of ordinary shares upon exercise of warrants | 286,747 | 143,107 | |
Repurchase of ADS | -15,276 | ||
Repayment of short-term borrowings | -1,758,307 | -1,411,716 | -1,535,478 |
Repayment of long-term borrowings | -2,377,034 | -1,429,547 | -946,000 |
Proceeds from exercise of stock options | 2,171 | 3,389 | |
Net cash provided by/(used in) financing activities | 877,269 | -1,771,926 | -232,961 |
Effect of exchange rate changes on cash and cash equivalents | 4,597 | 9,507 | -3,317 |
Net increase/(decrease) in cash and cash equivalents | 35,269 | -911,722 | -857,630 |
Cash and cash equivalents at the beginning of the year | 2,119,740 | 3,031,462 | 3,889,092 |
Cash and cash equivalents at the end of the year | 2,155,009 | 2,119,740 | 3,031,462 |
Supplemental disclosure of cash flow information: | |||
Cash paid for interest (net of amounts capitalized) | 290,026 | 300,282 | 243,332 |
Cash paid for income tax | 121,088 | 84,377 | 40,007 |
Supplemental schedule of non-cash investing and financing activities: | |||
Purchases of property, plant and equipment included in other payables | 195,069 | 221,232 | 357,543 |
Purchases of project assets included in other payables | 134,667 | ||
Project assets transferred from inventories | 39,341 |
ORGANIZATION_AND_PRINCIPAL_ACT
ORGANIZATION AND PRINCIPAL ACTIVITIES | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
ORGANIZATION AND PRINCIPAL ACTIVITIES | ||||||||
ORGANIZATION AND PRINCIPAL ACTIVITIES | 1.ORGANIZATION AND PRINCIPAL ACTIVITIES | |||||||
The accompanying consolidated financial statements include the financial statements of JA Solar Holdings Co., Ltd. (the “Company”), and its subsidiaries, collectively referred to as the “Group”. | ||||||||
JA Solar Holdings Co., Ltd. was incorporated in the Cayman Islands on July 6, 2006. In February 2007, the Company’s ADS became listed on the NASDAQ Global Market in the United States. The Group is primarily engaged in the development, production and marketing of high-performance photovoltaic (“PV”) solar cells and solar power products, which convert sunlight into electricity, in the PRC. | ||||||||
In November 2011, the Company completed the acquisition of 100% equity interest of Silver Age Holdings Limited (“Silver Age”), of which Full Shine Holdings Limited (“Full Shine”) and Solar Silicon Valley Electronic Science and Technology Co., Ltd. (“Solar Silicon Valley”) are 100% owned subsidiaries. Thereafter, Silver Age, Full Shine and Solar Silicon Valley became wholly owned subsidiaries of the Company. | ||||||||
In January 2013, the Company completed the acquisition of 65% equity interest of Hebei Ningjin Songgong Semiconductor Co., Ltd. (“Ningjin Songgong”). | ||||||||
March 2011, the Company entered into a joint venture agreement with MEMC Singapore to form a jointly-owned company named JA MEMC (Yangzhou) Solar Technology Company Ltd. (“JA MEMC”). In June 2014, the Company completed the acquisition of 50% of JA MEMC’s total equity interests held by MEMC Singapore. Thereafter, JA MEMC became wholly owned subsidiary of the Company. Subsequently, JA MEMC’s assets were transferred to JA Yangzhou and JA MEMC was dissolved in December 2014. | ||||||||
Majority of the Group’s business is conducted through the operating subsidiaries established in the PRC, JingAo Solar Co., Ltd. (“JA Hebei”), JA Solar Technology Yangzhou Co., Ltd. (“JA Yangzhou”), Shanghai JA Solar Technology Co., Ltd. (“JA Fengxian”), Hefei JA Solar Technology Co., Ltd. (“JA Hefei Technology”), Solar Silicon Valley and Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. (“JA Lianyungang”), in which the Company indirectly holds a 100% interest. | ||||||||
As of December 31, 2014, the Company’s principal subsidiaries include the following entities: | ||||||||
Date of Incorporation/Acquisition | Place of | Percentage | ||||||
Incorporation | of Ownership | |||||||
JingAo Solar Co., Ltd. (“JA Hebei”) | May 18, 2005 | PRC | 100 | % | ||||
JA Development Co., Ltd. (“JA BVI”) | July 6, 2006 | BVI | 100 | % | ||||
Shanghai JA Solar Technology Co., Ltd. (“JA Fengxian”) | November 16, 2006 | PRC | 100 | % | ||||
JA Solar USA Inc. (“JA USA”) | April 13, 2007 | USA | 100 | % | ||||
Shanghai JA Solar PV Technology Co., Ltd. (“JA Zhabei”) | June 22, 2007 | PRC | 100 | % | ||||
JA Solar Technology Yangzhou Co., Ltd. (“JA Yangzhou”) | November 19, 2007 | PRC | 100 | % | ||||
JA Solar Hong Kong Limited (“JA Hong Kong”) | December 10, 2007 | Hong Kong | 100 | % | ||||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. (“JA Lianyungang”) | October 11, 2008 | PRC | 100 | % | ||||
JA Yangzhou PV Technology Co., Ltd. (“JA Yangzhou PV”) | November 23, 2009 | PRC | 100 | % | ||||
JA Solar GmbH (“JA GmbH”) | February 17, 2010 | Germany | 100 | % | ||||
Shanghai Jinglong Solar Technology Co., Ltd. (“JA Jinglong”) | July 5, 2010 | PRC | 100 | % | ||||
Donghai JA Solar Technology Co., Ltd. (“JA Wafer R&D”) | November 4, 2010 | PRC | 100 | % | ||||
JA (Hefei) Renewable Energy Co., Ltd. (“JA Hefei Renewable Energy”) | March 30, 2011 | PRC | 100 | % | ||||
Hefei JA Solar Technology Co., Ltd. (“JA Hefei Technology”) | July 8, 2011 | PRC | 100 | % | ||||
JA Solar Investment China Co., Ltd (“JA Investment”) | October 31, 2011 | PRC | 100 | % | ||||
Silver Age Holdings Limited (“Siliver Age”) | November 30, 2011 | BVI | 100 | % | ||||
Full Shine Holdings Limited (“Full Shine”) | November 30, 2011 | Hong Kong | 100 | % | ||||
Solar Silicon Valley Electronic Science and Technology Co., Ltd. (“Solar Silicon Valley”) | November 30, 2011 | PRC | 100 | % | ||||
JA Solar Japan Limited (“JA Japan”) | July 12, 2012 | Japan | 100 | % | ||||
Dunhuang JA Solar Power Development Co., Ltd (“JA Dunhuang”) | July 23, 2012 | PRC | 100 | % | ||||
Hebei Ningjin Songgong Semiconductor Co., Ltd. (“Ningjin Songgong”) | January 29, 2013 | PRC | 65 | % | ||||
JA Solar Investment (Hong Kong) Limited | May 16, 2013 | Hong Kong | 100 | % | ||||
JA Solar Australia PTY Limited | June 12, 2013 | Australia | 100 | % | ||||
JA Solar PV Technology Co., LTD | January 13, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Shexian) Co,. Ltd | March 10, 2014 | PRC | 100 | % | ||||
Aiyouen Power Electric (Yinchuan) Co,. Ltd | March 25, 2014 | PRC | 65 | % | ||||
JA Solar PV Electric (Baotou) Co,. Ltd | March 26, 2014 | PRC | 100 | % | ||||
JA Solar Iriki Power Plant Limited | April 10, 2014 | Japan | 100 | % | ||||
Beijing JA Solar PV Technology Co., Ltd. | April 14, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Huanghua) Co,. Ltd | July 1, 2014 | PRC | 100 | % | ||||
JA Powerway South Africa Proprietary Limited | July 5, 2014 | South Africa | 65 | % | ||||
JA Solar PV Electric (Yanchi) Co,. Ltd | July 17, 2014 | PRC | 100 | % | ||||
JA New Energy Development (Hebei) Co., Ltd. | August 25, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Juxian) Co,. Ltd | August 26, 2014 | PRC | 100 | % | ||||
2432243 Ontario Corp | September 1, 2014 | Canada | 100 | % | ||||
JA Solar PV Electric (Chifeng) Co,. Ltd | October 20, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Wulanchabu) Co,. Ltd | November 12, 2014 | PRC | 100 | % | ||||
JA New Energy (Xilinhaote) Co,. Ltd . | December 4, 2014 | PRC | 100 | % | ||||
JA Solar Malaysia Sdn. Bhd. | December 10, 2014 | Malaysia | 100 | % | ||||
JA Solar PV Electric (LaiWu) Co,. Ltd | December 30, 2014 | PRC | 100 | % | ||||
Summary_of_significant_account
Summary of significant accounting policies | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Summary of significant accounting policies | ||||||
Summary of significant accounting policies | 2.Summary of significant accounting policies | |||||
a)Basis of presentation and consolidation | ||||||
The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The consolidated financial statements include the financial statements of the Company and its subsidiaries. For consolidated subsidiaries where the Company’s ownership in the subsidiary is less than 100%, the equity interest not held by the Company is presented as noncontrolling interest. All inter-company transactions and balances among the Company and its subsidiaries have been eliminated upon consolidation. | ||||||
b)Use of estimates | ||||||
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. The Company bases its estimates on historical experience and various other factors believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Significant accounting estimates reflected in the Company’s consolidated financial statements include allowance for doubtful accounts and advances to suppliers, valuation of inventories, derivative and other financial instruments, useful lives of long-lived assets, assumptions used to measure impairment of long-lived assets and equity method investment, determination of fair value of identifiable assets and liabilities acquired through business combination, accrual for warranty and other liabilities, provision for uncertain tax positions and deferred tax valuation allowances, loss contingency, provision for inventory purchase commitment and assumptions used in the computation of share-based compensation, including the associated forfeiture rates. | ||||||
c)Fair value of financial instruments | ||||||
The Company estimated the fair value of its financial assets and liabilities in accordance with ASC 820, Fair Value Measurements and Disclosure. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (also referred to as an exit price). ASC 820 establishes a hierarchy for inputs used in measuring fair value that gives the highest priority to observable inputs and the lowest priority to unobservable inputs. Valuation techniques used to measure fair value shall maximize the use of observable inputs. | ||||||
When available, the Company measures the fair value of financial instruments based on quoted market prices in active markets, valuation techniques that use observable market-based inputs or unobservable inputs that are corroborated by market data. Pricing information the Company obtains from third parties is internally validated for reasonableness prior to use in the consolidated financial statements. When observable market prices are not readily available, the Company generally estimates the fair value using valuation techniques that rely on alternate market data or inputs that are generally less readily observable from objective sources and are estimated based on pertinent information available at the time of the applicable reporting periods. In certain cases, fair values are not subject to precise quantification or verification and may fluctuate as economic and market factors vary and the Company’s evaluation of those factors changes. Although the Company uses its best judgment in estimating the fair value of these financial instruments, there are inherent limitations in any estimation technique. In these cases, a minor change in an assumption could result in a significant change in its estimate of fair value, thereby increasing or decreasing the amounts of the Company’s consolidated assets, liabilities, shareholders’ equity and net income or loss. | ||||||
d)Cash, cash equivalents and restricted cash | ||||||
The Group considers all cash on hand and demand deposits as cash and considers all highly liquid investments with an original maturity of three months or less as cash equivalents. Restricted cash as of December 31, 2013 and 2014 represents amounts held by banks, which are not available for the Group’s use, as collateral for issuance of letters of credit, letters of guarantee, bank acceptance notes as well as certain borrowings. | ||||||
e)Investments | ||||||
Investments in entities where the Group does not have a controlling financial interest, but have the ability to exercise significant influence over the operating and financial policies of the investee, are accounted for using the equity method of accounting. Investment in a joint venture or an affiliate is accounted for by the equity method of accounting as the Group has the ability to exercise significant influence but does not own a majority equity interest. Under the equity method of accounting, the Group’s share of the investee’s results of operations is included in equity gain/(loss) for the investee in the Group’s Consolidated Statements of Operations and Comprehensive (Loss)/Income. Unrealized gains on transactions between the Company and the joint venture or affiliate are eliminated to the extent of the Group’s interest in the joint venture or affiliate, if any; unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. When the Group’s share of losses in the joint venture or affiliate equals or exceeds its interest in the joint venture or affiliate, the Group does not recognize further losses, unless the Group has incurred obligations or made payments on behalf of the joint venture or affiliate. | ||||||
f)Account receivables and allowance for doubtful accounts | ||||||
Provisions are made against accounts receivable for estimated losses resulting from the inability of the Group’s customers to make payments. The Group periodically assesses accounts receivable balances to determine whether an allowance for doubtful accounts should be made based upon historical bad debts, specific customer creditworthiness and current economic trends. Accounts receivables in the balance sheets are stated net of such provision. | ||||||
The Group assesses the credit line and credit term for each customer, taking into consideration the credit worthiness of such customer, the payment history of such customer and macro-economic conditions of the regional market. The Group signs the sales contract and executes the transaction with the customer after sufficient credit assessment. After the sales are made, the Group closely monitors the collectability of receivables on an on-going basis for any subsequent changes in the customers’ financial position and credit rating, and any relevant circumstances which may impact collectability of the receivables. The Group generally will not enter into further transactions with any customers with significant overdue balances. | ||||||
g)Inventories | ||||||
Inventories are stated at the lower of cost or market value. Cost of inventories is determined by the weighted-average method. Cost of work-in-progress and finished goods are comprised of direct materials, direct labor and related manufacturing overhead based on normal operating capacity. Adjustments are recorded to write down the carrying amount of any obsolete and excess inventory to its estimated net realizable value. Certain factors could impact the realizable value of inventory, so the Group continually evaluates the recoverability based on assumptions about customer demand and market conditions. The evaluation may take into consideration historical usage, expected demand, anticipated sales price, new product development schedules, the effect new products might have on the sale of existing products, product obsolescence, customer concentrations, and other factors. The write-down is equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. If actual market conditions are less favorable than those projected by management, additional inventory write-downs may be required that could negatively impact the Group’s gross margin and operating results. If actual market conditions are more favorable, the Group may have higher gross margin when products that have been previously written down are eventually sold. | ||||||
The Company assesses whether losses should be accrued on long-term inventory purchase commitments in accordance with ASC 330-10-35-17 to 18, which requires that losses that are expected to arise from those firm, non-cancellable, and unhedged commitments for the future purchase of inventory items, measured in the same way as inventory losses, should be recognized unless recoverable through firm sales contacts or when there are other circumstances that reasonably assure continuing sales without price decline. | ||||||
Under the long-term supply contracts (“LTAs”) between the Company and certain suppliers, polysilicon and silicon wafer purchase would be made pursuant to the purchase prices and quantities set forth in the relevant LTAs. As a result of the significant declines in the market prices of polysilicon and silicon wafer due to the significant downturn in the solar industry in recent years, the purchase prices set forth in certain LTAs exceeded market prices. | ||||||
At the end of each reporting period, the Company separately assesses the potential losses on those firm inventory purchases for each supplier. When making the assessment, the Company considers whether it is able to renegotiate with its suppliers and get positive outcome by taking into account various considerations, such as stated contract price, purchase price reduction, overall amendment to LTA to eliminate fixed price arrangement, its ability to obtain concessions (i.e., reduced purchase prices and/or additional quantities at no cost) so that the actual purchase prices are less than the stated contract prices or close to the market price at the time of purchase, historical outcome of the renegotiation with the same supplier, contract period, the minimum purchase quantity, tax costs involved in the import or export of raw materials and products, status of a particular LTA at the time of assessment, and other circumstances and uncertainties that may impact such assessment. | ||||||
If it is determined that a loss provision calculation is necessary considering the status of a LTA and all facts and circumstances impacting the evaluation, the Company follows the guidance of ASC 330-10-35-17 and assesses whether there should be loss on the firm purchase commitments by applying a methodology similar to that used in the lower of cost or market evaluation with respect to inventory. In assessing the potential loss provision, the Company uses the stated contract price and volume under the relevant LTA as the major assumptions. Loss provision will be provided if the net realizable value after considering estimated costs to convert those polysilicon into saleable finished goods is higher than market selling price of finished goods as of the end of a reporting period | ||||||
There was no loss provision recorded related to these long-term contracts in the years ended December 31, 2012, 2013 and 2014. (Refer to Note 7 Inventories) | ||||||
h)Short-term and long-term advances to suppliers | ||||||
The Group provides short-term and long-term advances to secure its raw material needs, which are then offset against future purchases. The Group does not require collateral or other security against its advances to related or third party suppliers. The Group continually assesses the credit quality of its suppliers and the factors that affect the credit risk. If there is deterioration in the creditworthiness of its suppliers, the Group will seek to recover its advances from the suppliers and provide for losses on advances which are akin to receivables in selling, general and administrative expenses because of their inability to return its advances. Recoveries of the allowance for advances to supplier are recognized when they are received. The Group classified short-term and long-term advances to suppliers based on management’s best estimate of the expected purchase in the next twelve-months as of the balance sheet date and the Group’s ability to make requisite purchases under existing supply contracts. The balances expected to be utilized outside of the twelve months are recorded in long-term advances to suppliers. | ||||||
i)Prepaid land use rights | ||||||
Land use rights are carried at cost less accumulated amortization and impairment losses, if any. Amortization is provided on a straight-line basis over the lease period of 40 or 50 years. | ||||||
j)Property, plant and equipment, net | ||||||
Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is provided on a straight-line basis over the following estimated useful lives: | ||||||
Buildings | 20 years | |||||
Leasehold improvements | Shorter of the lease term or their estimated useful lives | |||||
Machinery and equipment | 5-15 years | |||||
Furniture and fixtures | 5 years | |||||
Motor vehicles | 5 years | |||||
Construction in progress primarily represents the construction of new production lines. Costs incurred in the construction are capitalized and transferred to property, plant and equipment when an asset is ready for its intended use, at which time depreciation commences. Interest expense incurred for qualifying assets are capitalized in accordance with ASC 835-20, Capitalization of Interest. | ||||||
Expenditures for repairs and maintenance are expensed as incurred. The gain or loss on disposal of property, plant and equipment, if any, is the difference between the net sales proceeds and the carrying amount of the disposed assets, and is recognized in the Consolidated Statements of Operations and Comprehensive Loss upon disposal. | ||||||
k)Operating leases | ||||||
Leases where substantially all the rewards and risks of ownership of assets remain with the leasing company are accounted for as operating leases. Payments made under operating leases are charged to the Consolidated Statements of Operations and Comprehensive Loss on a straight-line basis over the lease periods. | ||||||
l)Business combination | ||||||
Business combinations are accounted for under the acquisition method in accordance with ASC 805, Business Combinations. The consideration transferred is measured as the aggregate of the fair values at the date of exchange of the assets given, liabilities incurred, and equity instruments issued. The costs directly attributable to the acquisition are expensed as incurred. Identifiable assets, liabilities and contingent liabilities acquired or assumed are measured separately at their fair value as of the acquisition date, irrespective of the extent of any non-controlling interests. The excess of the (i) the fair value of consideration transferred , fair value of the non controlling interests and acquisition date fair value of any previously held equity interest in the acquiree over (ii) the fair value of the identifiable net assets of the acquiree is recorded as goodwill. If the fair value of consideration transferred, fair value of the non-controlling interests and acquisition date fair value of any previously held equity interest in the acquire is less than the fair value of the net assets of the entity acquired, the difference, a bargain purchase, is recognized as a gain directly in the Statements of Operations and Comprehensive Loss upon obtaining control. In a business combination achieved in stages, the acquirer shall remeasure its previously held equity interest in the acquiree at its acquisition-date fair value and recognize the resulting gain or loss, if any, in earnings. | ||||||
The determination and allocation of fair values to the identifiable assets acquired and liabilities assumed, including non-controlling interests if applicable, is based on various assumptions and valuation methodologies requiring considerable management judgment. The most significant variables in these valuations are discount rates, terminal values, the number of years on which to base the cash flow projections, as well as the assumptions and estimates used to determine the cash inflows and outflows. Management determines discount rates to be used based on the risk inherent in the related activity’s current business model and industry comparisons. Terminal values are based on the expected life of assets and forecasted life cycle and forecasted cash flows over that period. Although management believes that the assumptions applied in the determination are reasonable based on information available at the date of acquisition, actual results may differ from the forecasted amounts and the difference could be material. | ||||||
m)Intangible asset, net | ||||||
Intangible assets primarily represent technical know-how, purchased accounting and operational software, and customer relationships acquired through business combinations. | ||||||
Technical know-how, contributed by one of the Group’s shareholders upon formation of JA Hebei, is carried at cost, less accumulated amortization. The technical know-how consists of one component relating to the commercial production process of photovoltaic solar cells. Amortization is calculated on a straight-line basis over the estimated useful life of eight years. | ||||||
Intangible assets acquired through business combinations are recognized as assets separate from goodwill if they satisfy either the “contractual-legal” or “separability” criterion. Customer relationship is recorded at fair value at the acquisition date less accumulated amortization. Amortization is calculated on a straight-line basis over the estimated useful life of five years. | ||||||
Purchased software and others with a finite useful life is being amortized on a straight line basis over its estimated useful life of three to ten years. | ||||||
n)Impairment of long-lived assets | ||||||
The Group evaluates its long-lived assets and finite-lived intangible asset for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Factors considered important that could result in an impairment review include significant underperformance relative to expected historical or projected future operating results, significant changes in the manner of use of acquired assets and significant negative industry or economic trends. Impairments are recognized based on the difference between the fair value of the asset and its carrying value in the event that the carrying amount exceeds the estimated future undiscounted cash flow attributed to such assets. Fair value is generally measured based on either quoted market prices, if available, or discounted cash flow analyses. Additionally, determining fair values requires probability weighting the cash flows to reflect expectations about possible variations in their amounts or timing and the selection of an appropriate discount rate. Although cash flow estimates are based on relevant information available at the time the estimates are made, estimates of future cash flows are, by nature, highly uncertain and may vary significantly from actual results. Any write-downs would be treated as permanent reductions in the carrying amounts of the assets and an operating loss would be recognized. | ||||||
o)Income taxes | ||||||
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax assets bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is provided to reduce the carrying amount of deferred tax assets if it is considered more likely than not that some portion, or all, of the deferred tax assets will not be realized. | ||||||
Uncertain tax position is accounted for in accordance with ASC 740-10-25, which clarifies the accounting for uncertain tax positions and requires that the Company recognizes in the consolidated financial statements the impact of an uncertain tax position, if that position is more likely than not of being sustained upon examination, based on the technical merits of the position. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company’s accounting policy is to accrue interest and penalties related to uncertain tax positions, if and when required, as interest expense and a component of general and administrative expenses, respectively, in the Consolidated Statements of Operations and Comprehensive Loss. In the years ended December 31, 2012, 2013 and 2014, the Group did not record any interest and penalties associated with uncertain tax positions as there were no uncertain tax positions. | ||||||
p)Revenue recognition | ||||||
(i)Revenue recognition for solar modules, solar cells and other products (hereafter “solar products”) | ||||||
The Group recognizes revenue from the sale of solar products when the goods are delivered and title and risk of loss transfer is passed to the customers. The Group sells its solar products at agreed upon prices to its customers, which reflect prevailing market prices. | ||||||
The Group’s considerations for recognizing revenue are based on the following: | ||||||
· | Persuasive evidence that an arrangement (sales contract) exists between a willing customer and the Group that outlines the terms of the sale (including customer information, product specification, quantity of goods, purchase price and payment terms). Customers do not have a right of return. The Group does provide a warranty on its solar module products. | |||||
· | For EX Works (“EXW”) terms, which mean that a seller has the goods ready for collection at its premises (works, factory, warehouse, plant), the contract specifies that the risks are assumed by the customer when the customer picks up the goods from the Company’s warehouse, at which time revenue is recognized. For FOB shipping point terms, the contract specifies that the customer takes title to the goods and is responsible for all risks and rewards of ownership once products are over shipping rail at the named loading port from the Company’s premises, at which time revenue is recognized. For CIF terms, the Company pays the costs of insurance and freight necessary to bring the goods to the named port of destination, but the title to and risk/rewards of ownership of the goods is passed to the buyer according to each of the contract term, which is defined in each contract. For Delivered Duty Paid (“DDP”) terms, the Company pays the costs of insurance and freight necessary to bring the goods to the named port of destination as well as the import duty, and the title to and risk/rewards of ownership of the goods is passed to the buyer once the goods are delivered and the import duty is paid. The point of delivery could be at the port of shipping, or it could also be when the goods arrive at the named port of destination. When title to the goods transfers at the port of shipping, the beneficiary of the insurance is the buyer and the Company has no obligations to the buyer if goods are damaged during shipping. Revenue is therefore, recognized when the title to and risk/rewards of ownership of the goods is passed to the buyer which is at port of shipping or port of destination, depending on the terms of the contract. | |||||
· | The Group’s price to the customer is fixed and determinable as specifically outlined in the sales contract. | |||||
· | For customers to whom credit terms are extended, the Group assesses a number of factors to determine whether collection from the customers is reasonably assured, including past transaction history with these customers and their credit-worthiness. All credit extended to customers is pre-approved by management. If the Group determines that collection is not reasonably assured, including cases where the customers retain a portion of the full contract price as retainage after a specific period, it defers the recognition of revenue until such criterion is met, which is generally upon receipt of payment. | |||||
(ii)Revenue recognition for solar products processing | ||||||
The Group provides solar products processing services to customers with their own wafer/polysilicon supplies. Under certain of these solar products processing service arrangements, the Group purchases raw materials from a customer and agrees to sell a specified quantity of solar products produced from such materials back to the same customer. The Group records revenue from these processing transactions on a net basis, recording revenue based on the amount received for solar products sold less the amount paid for the raw materials purchased from the customer. | ||||||
(iii)Revenue recognition for engineering, procurement and construction services | ||||||
The Group recognizes revenue using the percentage of completion method for systems integration projects for which the Group provides engineering, procurement and construction (“EPC”) services under the EPC contracts. The Group estimates its revenues by using the cost-to-cost method, whereby it derives a ratio by comparing the costs incurred to date to the total costs expected to be incurred on the project. The Group applies the ratio computed in the cost-to-cost analysis to the contract price to determine the estimated revenues earned in each period. The Group uses this method because management considers costs incurred to be the best available measure of progress on these contracts and management believes it has the ability to reasonably estimate and track costs. When the Group determines that total estimated costs will exceed total revenues under a contract, it records a loss accordingly. No contract losses were recorded in the years ended December 31, 2012, 2013 and 2014. In the situation where payments under the EPC contracts to be received from the customer depend on the customer’s financing from other parties, revenue is recognized only when payments are received and other revenue recognition criteria are met. When EPC revenue is deferred as a result of not meeting all the revenue recognition criteria, the Group assesses whether related costs incurred can be deferred by considering recoverability of costs taken into consideration of contract terms and other relevant factors. | ||||||
q)Cost of revenue | ||||||
Cost of revenue — solar products | ||||||
Cost of revenue for solar products includes production related direct labor, direct material cost , depreciation and amortization, indirect costs, shipping (freight in) and handling costs for products sold, inventory obsolescence and lower of cost or market charge, capacity underutilization charges and warranty cost. . | ||||||
Cost of revenue - solar products processing | ||||||
Cost of revenue for solar products processing includes direct labor, depreciation and amortization, indirect costs, and shipping and handling costs. | ||||||
Cost of revenue - engineering, procurement and construction services | ||||||
Costs of revenue for engineering, procurement and construction services include all direct material, labor, subcontractor cost, and those indirect costs related to contract performance, such as indirect labor, supplies and tools. The Group recognizes job material costs as incurred costs when the job materials have been installed. The Group considers job materials to be installed materials when they are permanently attached or fitted to the solar power systems as required by the engineering design. | ||||||
r)Project assets | ||||||
Project assets consist primarily of direct costs relating to solar power projects in various stages of development. A project asset is initially recorded at the actual cost. For a self-developed project asset that is initially obtained by application of feed-in-tariff (“FIT”) contract and other required permits, consents, the actual cost capitalized is the amount of the expenditure incurred for the application of those contracts, permits, consents, material and labor costs, capitalized interest and other similar direct costs. For a project asset acquired from external parties, the initial cost is the acquisition cost which includes the consideration transferred and certain direct acquisition cost. Modules cost, equipment cost and development and others incurred in the project development process will build up the cost of project assets. | ||||||
As of December 31, | As of December 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Project assets-Modules cost | 39,341 | 325,640 | ||||
Project assets-Equipment cost | — | 128,805 | ||||
Project assets-Development and Others | 8,405 | 197,049 | ||||
Total Project assets | 47,746 | 651,494 | ||||
The Company reviews project assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. In determining whether or not the project assets are recoverable, the Company considers a number of factors, including changes in environmental, ecological, permitting, marketing price or regulatory conditions that affect the project. Such changes may cause the cost of the project to increase or the selling price of the project to decrease. No impairment of the project assets was recorded in the years ended December 31, 2013 and 2014. | ||||||
Costs capitalized in the construction of solar power plants under development will be transferred to solar power plants upon completion and when they are ready for its intended use, which is at the point when the solar power plant is connected to grids and begins to generate electricity. Depreciation of the completed solar power plant commences once the solar power plant is ready for its intended use. Depreciation will be computed using the straight-line method over the expected life. As of December 31, 2014, no solar power plant of the Company is ready for its intended use. | ||||||
As of December 31, 2014, project assets with net book value of RMB 310,029 were pledged as collateral for the Group’s borrowings of RMB 200,000 from Industrial and Commercial Bank of China. | ||||||
s)Share based compensation | ||||||
In accordance with ASC 718, Compensation-Stock Compensation, the Group measures the cost of employee services received in exchange for share-based compensation at the grant date fair value of the award. | ||||||
The Group recognizes the share-based compensation costs, net of a forfeiture rate, on a straight-line basis over the requisite service period for each separately vesting portion of the award as if the award was, in-substance, multiple awards. | ||||||
ASC 718 requires forfeitures to be estimated at the time of grant and revised in subsequent periods if actual forfeitures differ from those estimates. | ||||||
t)Research and development | ||||||
Research and development costs are expensed when incurred. | ||||||
u)Advertising expenses | ||||||
Advertising expenses are expensed when incurred. Advertising expenses are not significant during any of the periods covered by these consolidated financial statements. | ||||||
v)Warranty cost | ||||||
Solar modules produced by the Group are typically sold with a 10-year guarantee for defects in materials and workmanship and a 10-year and 25-year warranty against declines of more than 10.0% and 20.0%, respectively, of the initial minimum power generation capacity at the time of delivery. The Group therefore maintains warranty reserves (recorded as accrued warranty costs) to cover potential liabilities that could arise from these guarantees and warranties. The potential liability is generally in the form of product replacement or repair. The Group accrues 1.0% of its net revenues attributable to module sales as warranty costs at the time revenues are recognized and include that amount in its cost of revenues. Due to limited warranty claim history, the Group accrues the estimated costs of warranties based on its own history, industry data and an assessment of its competitors’ accrual history. Through the Group’s relationships with, and its management’s experience working at, other solar power companies and on the basis of publicly available information regarding other solar power companies’ accrued warranty costs, the Group believes that accruing 1.0% of its net revenues attributable to module sales as warranty costs is within the range of industry practice and is consistent with industry-standard accelerated testing, which assists the Group in estimating the long-term reliability of solar modules, estimates of failure rates from its quality review and other assumptions that it believes to be reasonable under the circumstances. However, although the Group conducts quality testing and inspection of its solar module products, these products have not been and cannot be tested in an environment simulating the up to 25-year warranty periods. Actual warranty costs are accumulated and charged against the accrued warranty liability. To the extent that the actual warranty costs differ from the estimates, the Group will prospectively revise its accrual rate. | ||||||
w)Foreign currencies translation | ||||||
The functional and reporting currency of the Company and the majority of its subsidiaries is Renminbi (“RMB”). Transactions denominated in other currencies are translated into RMB at the exchange rates quoted by the People’s Bank of China (the “PBOC”) prevailing when the transactions occur. Monetary assets and liabilities denominated in other currencies are translated into RMB at rates of exchange in effect at the balance sheet dates. All exchange gains and losses are included in the Consolidated Statements of Operations and Comprehensive (Loss)/Income as a separate line item after income/(loss) from operations. | ||||||
For the Company’s subsidiaries whose functional currency is not RMB, the asset and liability accounts are translated into RMB, its reporting currency, using exchange rates in effect at the balance sheet dates, equity accounts are translated at historical exchange rates, and income and expense items are translated using average exchange rates. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of accumulative other comprehensive income, net of tax, in the Consolidated Statements of Operations and Comprehensive (Loss)/Income. | ||||||
x)Segment reporting | ||||||
The Group has adopted ASC 280, Segment Reporting, for its segment reporting. The Group operates and manages its business as a single segment. The Group’s chief decision-maker (“CODM”), which is identified as the Chief Executive Officer, reviews operating results to make decision about allocating resources and assessing performance for the entire company. | ||||||
y)Commitments and Contingencies | ||||||
Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. | ||||||
z)Earnings/(loss) per share | ||||||
In accordance with ASC 260, Earnings Per Share, basic earnings/(loss) per share is computed by dividing net income/(loss) attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding during the year. Under the two-class method, net income is allocated between ordinary shares and other participating securities (i.e. warrants) based on their participating rights. Diluted earnings/(loss) per share is calculated by dividing net income/(loss) attributable to ordinary shareholders, as adjusted for the change in income or loss resulting from the assumed conversion of those participating securities, if any, by the weighted average number of ordinary shares and dilutive ordinary share equivalents outstanding during the year. Ordinary share equivalents consist of the ordinary shares issuable upon the conversion of the senior convertible notes (using the if-converted method) and ordinary shares issuable upon the exercise of outstanding share options and RSUs (using the treasury stock method). Potential dilutive securities are not included in the calculation of dilutive earnings per share if the effect is anti-dilutive. | ||||||
aa)Other Comprehensive income/(loss) | ||||||
The Group has adopted ASC 220, Comprehensive Income. ASC 220 defines other comprehensive income/(loss) to include all changes in equity, including adjustments to minimum pension liabilities, accumulated foreign currency translation, unrealized gains or losses on available-for-sale marketable securities, and unrealized hedging gain/(loss) to the extent effective, except those resulting from investments by owners and distributions to owners. | ||||||
ab)Accounting for share lending arrangement | ||||||
The Company accounts for share lending arrangement in accordance with ASU 2009-15, Accounting for Own-Share Lending Arrangements in Contemplation of Convertible Debt Issuance or Other Financing, which requires an entity that enters into an equity-classified share lending agreement, utilizing its own shares, in contemplation of a convertible debt issuance or other financing to initially measure the share lending arrangement at fair value and treat it as a cost of the financing. In addition, if it becomes probable that the counterparty to the arrangement will default, the issuer shall recognize an expense for the fair value of the unreturned shares, net of probable recoveries. | ||||||
ac)Share repurchase | ||||||
When the shares are repurchased for retirement, the excess of cost over par value is charged entirely to retain earnings. | ||||||
ad)Recent accounting pronouncements | ||||||
In April 2014, the FASB issued Accounting Standards Update No. 2014-08 ‘‘Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity’’. The new guidance changes the criteria for reporting discontinued operations while enhancing disclosures in this area. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. Those strategic shifts should have a major effect on the organization’s operations and financial results. Additionally, ASU 2014-08 requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. The new guidance also requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. ASU 2014-08 is effective for the Company in the first quarter of fiscal 2015. Early adoption is permitted, but only for disposals (or classifications as held for sale) that have not been reported in financial statements previously issued or available for issuance. The Group is in the process of evaluating the impact of the standard on its consolidated financial statements. | ||||||
In May 2014, the FASB issued Accounting Standards Update No. 2014-09 (‘‘ASU 2014-09’’), ‘‘Revenue from Contracts with Customers (Topic 606)’’. ASU 2014-09 will eliminate transaction-specific and industry-specific revenue recognition guidance under current U.S. GAAP and replace it with a principle-based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulative effect adjustment as of the date of adoption. The Group is in the process of evaluating the impact of the standard on its consolidated financial statements. | ||||||
Acquisition
Acquisition | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Acquisition | ||||||
Acquisition | 3.Acquisition | |||||
a)Acquisition of Ningjin Songgong | ||||||
M.SETEK Co., Ltd (“M.SETEK”), one of the largest suppliers located in Japan, failed to make majority of scheduled delivery since March 2011 after a magnitude-9 earthquake struck Japan and triggered a tsunami affecting vast areas in Japan. Although the production capacity of M.SETEK has returned to normal since November 2011, the Group elected to claim the outstanding prepayment from M.SETEK pursuant to the contract. In order to settle the prepayments, the Group reached a settlement agreement with M.SETEK on March 8, 2012 that M.SETEK used its dividend distribution from Ningjing Songgong, its 65%-owned subsidiary located in PRC, to repay part of the prepayments amounting to RMB 69,500, and also transfer its 65% equity interests in Ningjin Songgong at fair value amount of RMB 247,000 (“equity interest transfer price”) to the Group. For the remaining portion of the prepayment of RMB 128,687, M.SETEK will deliver polysilicon at market price to the Group until the prepayment is fully utilized. Ningjin Songgong is a private company which is 65% owned by M. SETEK and 32.7% owned Mr. Baofang Jin, the Group’s Chairman, and 2.3% owned by a few third party individuals. Ningjin Songgong is primarily engaged in production of solar-grade monocrystalline silicon ingot. | ||||||
The share transfer agreement was formally signed on July 23, 2012 and the transaction was subject to approval by relevant government. Considering a continued decrease in selling price of solar products and recession of solar industry, the Group determined an impairment analysis is required in the year ended December 31, 2012. The Group estimated the fair value of the to be received equity interest of Ningjing Songgong as of December 31, 2012, based on discounted cash flow analysis using market participants’ assumptions, such as forecasts of future operating results, discount rates commensurate with the risk involved, and expected future growth rates. As a result, in the year ended December 31, 2012, an impairment provision of RMB 96,517 was provided against prepayment made to M. SETEK, as the fair value of the equity interest in Ningjin Songgong based on discounted future cash flows analysis exceeds the equity interest transfer price, which was based on the fair value of equity interest in Ningjing Songgong at the time of settlement in March 2012. | ||||||
On January 29, 2013, M.SETEK transferred its 65% equity interest in Ningjin Songgong to the Group upon obtaining relevant government approval for a total consideration of RMB 150,483. The group started consolidating Ningjing Songgong effective February 1, 2013 and recognized the non-controlling interest related to the transaction. | ||||||
Purchase price allocation | ||||||
The total purchase price was allocated to Ningjin Songgong’s tangible assets, identifiable intangible assets, and assumed liabilities based on their estimated fair values as set forth below. The Group makes estimates and judgments in determining the fair value of the acquired assets and assumed liabilities, based on its experience with similar assets and liabilities in similar industries. In performing the purchase price allocation, the Group considered the analyses of historical financial performance and estimates of future performance of Ningjin Songgong’s business. | ||||||
As of January 31, 2013(1) | ||||||
RMB | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | 45,109 | |||||
Accounts receivable | 138,516 | |||||
Short term prepayment | 18,221 | |||||
Inventory | 75,473 | |||||
Other current assets | 34,702 | |||||
Long term prepayment | 18,826 | |||||
Property, plant and equipment, net (2) | 69,785 | |||||
Total assets acquired | 400,632 | |||||
Liabilities | ||||||
Short-term borrowings | 24,100 | |||||
Accounts payable | 45,822 | |||||
Other payables | 57,376 | |||||
Payroll and welfare payable | 41,244 | |||||
Accrued expenses | 578 | |||||
Total liabilities assumed | 169,120 | |||||
Total fair value of net assets | 231,512 | |||||
Less: Non-controlling interest | 81,029 | |||||
Fair value of purchase consideration | 150,483 | |||||
(1) The acquisition was completed on January 29, 2013. Considering the nominal financial impact of the two days from January 30 to January 31, 2013, we used January 31, 2013 as the acquisition date and the fair value assessment was made based on the financial information as of January 31, 2013. | ||||||
(2) The fair value of property, plant and equipment was recognized and measured at fair value using discounted future cash flow method. Accumulated depreciation was not carried forward. | ||||||
Ningjin Songgong contributed net revenues of RMB 158,179 and net loss of RMB 5,178 from February 1, through December 31, 2013. The following table summarizes unaudited pro forma results of operations for the years ended December 31, 2012 and 2013, as if the acquisition of Ningjin Songgong had occurred on January 1, 2012, and after giving effect to acquisition accounting adjustments. | ||||||
Year ended | Year ended | |||||
December 31, | December 31, | |||||
2012 | 2013 | |||||
RMB | RMB | |||||
(Unaudited) | (Unaudited) | |||||
Pro forma revenue | 6,845,610 | 7,197,985 | ||||
Pro forma net loss | (1,727,001 | ) | (425,155 | ) | ||
Pro forma loss attributable to holders of common shares | (1,687,720 | ) | (428,005 | ) | ||
Pro forma loss per share: | ||||||
Basic | (8.66 | ) | (2.13 | ) | ||
Diluted | (8.66 | ) | (2.13 | ) | ||
Weighted average number of shares used in computation: | ||||||
Basic | 194,788,429 | 201,317,884 | ||||
Diluted | 194,788,429 | 201,317,884 | ||||
The unaudited pro forma consolidated results of operations is for illustrative purpose only and do not purport to be indicative of the results that would have been achieved if the above acquisition had actually taken place on January 1, 2012, and may not be indicative of future operating results. The unaudited pro forma net loss includes RMB 17,236 and RMB 17,236 for the reduction of depreciation expenses of property, plant and equipment the years ended December 31, 2012 and 2013, respectively. | ||||||
b)Acquisition of JA MEMC | ||||||
In June 2014, the Group acquired additional 50% equity interests in JA MEMC (Yangzhou) Technology Co., Ltd. (“JA MEMC”) held by a joint venture partner for a consideration of RMB 47.4 million (USD 7.7 million) in cash. The Group previously owned 50% equity interest in JA MEMC and accounted for its investment in JA MEMC using equity method of accounting since 2011. (refer to Note 4). The transaction is assessed as business combination and was completed on June 18, 2014, the date on which JA obtained control of JA MEMC. | ||||||
Upon completion, JA MEMC became a wholly-owned subsidiary of the Group. As a result of the acquisition, revaluation gain of RMB 3,652 was recognized in other income, representing the difference of the fair value of previously held 50% equity and the then carrying amount of that investment. In addition, a negative goodwill of RMB 4,628 was recognized and recorded as other income, reflecting the excess of the fair value of the identified net assets of the acquiree and the consideration transferred. Immediately after the acquisition, JA MEMC transferred all of its assets and liabilities to JA Yangzhou and was dissolved in December, 2014. The Group fully consolidated JA MEMC after the completion of the equity transfer until its dissolution. | ||||||
Purchase price allocation | ||||||
The total purchase price was allocated to JA MEMC’s tangible assets, identifiable intangible assets, and assumed liabilities based on their estimated fair values as set forth below. The Group makes estimates and judgments in determining the fair value of the acquired assets and assumed liabilities, based on its experience with similar assets and liabilities in similar industries. In performing the purchase price allocation, the Group considered the analyses of historical financial performance and estimates of future performance of JA MEMC’s business. | ||||||
As of June 24, 2014 | ||||||
RMB | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | 8,426 | |||||
Other current assets | 13,260 | |||||
Property, plant and equipment, net (1) | 83,025 | |||||
Total assets acquired | 104,711 | |||||
Liabilities | ||||||
Accounts payable | 697 | |||||
Other liabilities | 2 | |||||
Total liabilities assumed | 699 | |||||
Total fair value of net assets | 104,012 | |||||
-1 | The fair value of property, plant and equipment was recognized and measured at fair value using discounted future cash flow method. Accumulated depreciation was not carried forward. | |||||
JA MEMC contributed revenues of RMB 40,996 or 0.4% of total revenue from June 24, 2014 through December 31, 2014. | ||||||
Investments_in_joint_venture_a
Investments in joint venture and affiliates | 12 Months Ended |
Dec. 31, 2014 | |
Investments in joint venture and affiliates | |
Investments in joint venture and affiliates | 4.Investments in joint venture and affiliates |
a)Investment in JA MEMC | |
In March 2011, the Group entered into a joint venture agreement with SunEdison Products Singapore Pte.Ltd. (“SunEdison”), (formerly known as MEMC Singapore Pte.Ltd.,) to form a jointly-owned company JA MEMC, to build and operate a solar cell production facility in China. Pursuant to the joint venture agreement, JA Yangzhou and SunEdison each contributed a capital investment of RMB 96,211 in cash, which represents 50% of the share capital of JA MEMC. The Group accounts for its investment in the joint venture using the equity method and the Group’s share of JA MEMC’s results of operations is included in equity gain/(loss) for a joint venture in the Group’s Consolidated Statements of Operations and Comprehensive (Loss)/Income. The Group’s equity in net loss of JA MEMC amounted to RMB 5,501, RMB 2,108 and RMB 441 for the year ended December 31, 2012, 2013 and 2014. | |
The Group reviews its investment in JA MEMC to determine whether a decline in fair value below the carrying value, if any, is other- than-temporary. The assets held by JA MEMC consist primarily of long-lived assets and as of December 31, 2012, JA MEMC was still in the process of pre-operation. Based on all available information, such as industry-specific condition and investee-specific reasons, the Group determined that an other-than-temporary loss in the carrying value of the investment occurred and an impairment charge of RMB 38,000 should be recorded against the investment in JA MEMC in the year ended December 31, 2012. No impairment loss occurred in 2013 and 2014. Although assumptions used in estimates of fair value of the investment in JA MEMC are management best estimates, such assumptions are, by nature, highly judgmental and may vary significantly from actual results. | |
As disclosed in Note 3, the Group acquired additional 50% equity interests in JA MEMC in June 2014, and started to consolidate JA MEMC since then. | |
b)Investment in Lincheng | |
JA Solar PV Electric (Lincheng) Co., Ltd. (“Lincheng”), a company 100% owned by JA, was set up in 2013, for the purpose of construction of power plants. Lincheng was undertaking early stage of development of a power plant with 100 MW capacity. | |
In July 2014, JA entered into sales agreement with China Rich Energy Cooperation Ltd (“Rich Energy”). Under the agreement, Rich Energy contributed cash as the capital injection to Lincheng to acquire 80% equity interest of Lincheng. JA deconsolidated Lincheng and starts to account for its investment of 20% in Lincheng as equity method of accounting because JA has significant influence, but does not have voting control over Lincheng since July 2014. By the end of 2014, Rich Energy has paid total cash of RMB 66.4 million in full as capital injection and all necessary legal procedures related to the share ownership were finished. JA has paid total cash of RMB 16.6 million in full as capital injection. | |
From Oct 2014 to Dec 2014, the Group sold modules to Lincheng with the revenue of Rmb 115.4 million and cost of Rmb 100.0 million. Since JA hold 20% share of Lincheng, the 20% of the unrealized profit with an amount of Rmb 3.1 million reversed the long term investment balance. The balance of long-term investment in Lincheng was Rmb 13.5 million after the deduction of unrealized profit. | |
Notes_Receivable
Notes Receivable | 12 Months Ended |
Dec. 31, 2014 | |
Notes Receivable | |
Notes Receivable | 5.Notes Receivable |
Notes receivable represents bank drafts that are non-interest bearing and due within six months. Such bank drafts have been arranged with third-party financial institutions by certain customers to settle their purchases from the Group. The carrying amount of notes receivable approximate its fair values. There is no allowance against notes receivable as of December 31, 2013 and 2014. | |
Accounts_Receivable_net
Accounts Receivable, net | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Accounts Receivable, net | ||||||||
Accounts Receivable, net | 6.Accounts Receivable, net | |||||||
Accounts receivable, net, consists of accounts receivables less allowance for doubtful accounts. The following table presents the movement of the allowance for doubtful accounts: | ||||||||
As of December 31, | As of December 31, | As of December 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Balance at beginning of the year | 32,591 | 189,971 | 280,987 | |||||
Allowance made during the year | 200,446 | 125,691 | 71,104 | |||||
Recoveries | (13,316 | ) | (34,675 | ) | (55,721 | ) | ||
Amount written off against the allowance | (29,750 | ) | — | (20,844 | ) | |||
Balance at end of the year | 189,971 | 280,987 | 275,526 | |||||
The Group assesses creditworthiness of customers before granting any credit terms. This assessment is primarily based on reviewing of customer’s financial statements and historical collection records, discussion with customers’ senior management, and reviewing of information provided by third parties, such as Dun & Bradstreet and the insurance company that ultimately insures the Group against customer credit default. During the year ended December 31, 2014, for sales of solar cells, the Group provided credit terms of up to 90 days to customers with good credit-worthiness as determined by the Group’s credit assessment. For sales of solar modules, which generally require a longer credit terms according to industry practice, credit terms of up to 180 days were granted to customers with good credit-worthiness. For the year ended December 31, 2012, 2013 and 2014, provisions, net of recoveries, of RMB 187,130, RMB 91,016 and RMB 15,383, respectively, were made against accounts receivable for estimated losses resulting from the inability of the customers to make payments as well as a few customers that had financial and operational difficulties. | ||||||||
Inventories
Inventories | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Inventories | ||||||
Inventories | 7.Inventories | |||||
Inventories consisted of the following: | ||||||
As of December 31, | As of December 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Raw materials | 522,302 | 603,110 | ||||
Work-in-progress | 71,676 | 130,055 | ||||
Finished goods | 753,116 | 1,153,103 | ||||
Total | 1,347,094 | 1,886,268 | ||||
For the year ended December 31, 2012, 2013 and 2014, inventories were written down by RMB 171,165, RMB 119,936 and RMB 15,073, respectively, to reflect the lower of cost or market or obsolescence. | ||||||
In the periods presented, the Company renegotiated with certain suppliers on shipment quantities and pricing terms of long-term purchase arrangements and got positive outcome on a periodic basis, as described follows: Although the quantities under the purchase commitments of the LTAs are fixed, the Company negotiated and executed amendments for current purchases on a quarterly or monthly basis with those suppliers. As a result of such monthly or quarterly negotiations, suppliers either (i) agreed to lower the purchase price for the relevant month or quarter to a level that is close to the market price and significantly lower than the stated contract price, or (ii) agreed to deliver additional quantities to the Company for free during the relevant month or quarter in exchange for the Company’s agreement to purchase the stated quantity at the stated price under the LTAs for such month or quarter, which cumulatively resulted in the Company purchasing quantities larger than stated under the LTAs but at an average purchase price that was close to market price during such month or quarter. | ||||||
At the end of the reporting period, the Company separately assesses the potential losses, if any, on the aforementioned LTAs taking into consideration of the factors as mentioned above, as well as additional factors, such as the renegotiation outcome in current period, contract period, historical outcome of the renegotiation with the same supplier, status of a particular LTA at the time of assessment, and other circumstances and uncertainties that may impact such assessment. | ||||||
There was no loss provision recorded related to these LTAs after considering all the factors and circumstances for the applicable LTAs in the years ended December 31, 2012, 2013 and 2014. | ||||||
When preparing the Company’s consolidated financial statements, the Company separately assessed, in accordance with ASC 330-10-35-17 and -18, the potential losses on the firm purchase commitments to one supplier (“Supplier D”), to whom the Company failed to make a full advance payment and to perform under its purchase obligations in 2013 and 2014 under the supply contract. The Company entered into a LTA with Supplier D in March 2011. While the contract provides for purchases at fixed price and fixed quantities starting from 2013 to 2020, the Company did not make a full advance payment according to the contract and accept any delivery in 2013 and 2014 due to the significant decrease of silicon price in the market and the uncertainty brought by anti-dumping and anti-subsidy investigation (the “Investigation”) against polysilicon imported from the U.S. and South Korea initiated by the Chinese Ministry of Commerce (“MOFCOM”) in recent years and MOFCOM’s ruling in 2014 that investigated products from South Korea and the United States are subject to import tariffs at different rates with the highest rate being 57%. As of the date of this report, the Company is still in the process of renegotiating with Supplier D on various terms, such as the unit price, quantities and delivery schedule. | ||||||
When preparing the consolidated financial statements for the year ended and as of December 31, 2013 and 2014, the Company considered the following factors in assessing whether it should accrue losses on long-term inventory purchase commitments to Supplier D: | ||||||
· | Although currently the Company is still in the process of renegotiating with Supplier D and such process has been slowed down due to uncertainties related to anti-dumping and anti-subsidy investigation and ruling, both parties continues to constructively dialogue to find a mutually satisfactory solution. | |||||
· | The Company has been able to renegotiate with other suppliers with similar terms to get positive outcome; and the Company has history of renegotiating similar contacts with the same suppliers, and | |||||
The Company assessed whether there would be loss on firm purchase commitments by applying a methodology similar to that used in the lower of cost or market evaluation with respect to inventory. In assessing the potential loss provision, the Company used the stated contract price, volume under the LTA with Supplier D as the major assumption to perform the analysis. A comprehensive analysis for estimated net realizable value of the saleable finished goods, after considered all estimated costs which include conversion costs, shipping costs, costs for build-up, fees for breakage, and third party processing costs, is lower than market selling price of finish goods as of December 31, 2014. Even though the purchase price as stated in the LTA is higher than market price of polysilicon (i.e. raw material), in applying the lower of cost or market principle, the net realizable value after considering estimated costs to convert those polysilicon into saleable finished goods is lower than market selling price (after deducting selling costs) of finish goods as of December 31, 2013 and 2014. | ||||||
Based on all the aforementioned factors, the Company concluded that no loss provision under the LTA with Supplier D should be provided as of December 31, 2013 and 2014. On March 31st, 2015, the Company received a termination notice from supplier D. (Refer to Note 26 Contingencies and Commitments) | ||||||
Advances_to_suppliers
Advances to suppliers | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Advances to suppliers | ||||||||
Advances to suppliers | 8.Advances to suppliers | |||||||
In order to better manage the Group’s unit costs and to secure adequate and timely supply of polysilicon and silicon wafers during the periods of shortages of polysilicon and silicon wafer supplies, the Group entered into a number of multi-year supply agreements in amounts that were expected to meet the Group’s anticipated production needs. As a condition to the Group receiving the raw materials under those agreements, and in line with industry practice, the Group was required to, and had made advances for all, or a portion, of the total contract price to the Group’s suppliers, which are then offset against future purchases. Typically, the supply agreements are subject to price negotiations with the suppliers based on market prices. The Group has made advances to suppliers where the Group has committed to purchase minimum quantities under some of the supply agreements. | ||||||||
Advances to suppliers to be offset against future purchases of which the Group expects to take delivery of the inventory after the next twelve months are classified as non-current assets in the Group’s Consolidated Balance Sheet as at year end dates. | ||||||||
The Group does not require collateral or other security against its advances to related or third party suppliers. As a result, the Group’s claims for such prepayments would rank only as an unsecured claim, which exposes the Group to the credit risks of the suppliers. Also, the Group may not be able to recover all unutilized advances to suppliers if the Group does not purchase the minimum quantities or is unable to negotiate or renegotiate acceptable prepayment, quantities, prices and delivery terms with these suppliers, or unforeseen events impair the ability of suppliers to deliver raw materials, for example the recent earthquake in Japan. | ||||||||
As of December 31, 2013 and 2014, outstanding prepayments, net of any allowance, made to individual suppliers in excess of 10% of total prepayments to suppliers are as follows: | ||||||||
As of December | As of December | |||||||
31, | 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Supplier A (third party) | 602,109 | 440,342 | ||||||
Supplier B (third party) | 174,278 | 134,035 | ||||||
No other individual supplier has advance payment balances that accounted for more than 10% of the total balance as of December 31, 2014. | ||||||||
The following table presents the movement of the allowance for advances to supplier: | ||||||||
As of December | As of December | As of December | ||||||
31, | 31, | 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Balance at beginning of the year | 94,154 | 158,452 | 72,327 | |||||
Allowance made during the year* | 103,139 | 10,392 | 63,331 | |||||
Recoveries | (38,841 | ) | — | (6,351 | ) | |||
Written off | — | (96,517 | ) | — | ||||
Balance at end of the year | 158,452 | 72,327 | 129,307 | |||||
The Group continually assesses the credit quality of its suppliers and the factors that affect the credit risk. Given all circumstance and available evidence as of December 31, 2014, management assesses the risk that the Company is not able to fully utilize the remaining advance payment balance is remote and therefore no further provision was made against remaining advance payment balance as the balance was considered recoverable. Recoveries represent cash received or product delivered subsequently. | ||||||||
* Although currently the Company is still in the process of renegotiating with Supplier D, such process has been slowed down due to uncertainties related to anti-dumping and anti-subsidy investigation and ruling. As of December 31, 2014, full provision of RMB 63,331 was provided against the prepayment made to Supplier D under the long-term supply contract, as management could not conclude that such amount is recoverable. On March 31st, 2015, the Company received a termination notice from supplier D. (Refer to Note 26 Contingencies and Commitments) | ||||||||
Other_current_assets
Other current assets | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Other current assets | ||||||
Other current assets | 9.Other current assets | |||||
Other current assets consisted of the following: | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Input value-added tax recoverable | 330,482 | 434,209 | ||||
Income tax recoverable | 47,819 | — | ||||
Value-added tax refund from export sales | 31,670 | 150,911 | ||||
Prepaid input VAT & customs duty for import machinery and materials | 14,226 | 21,700 | ||||
Prepaid expenses | 12,311 | 12,184 | ||||
Foreign exchange forward contract instruments | 237 | 5,540 | ||||
Accounts receivable recovery from insurance companies | 15,059 | — | ||||
Deposit receivable | 51,798 | 49,303 | ||||
Current portion of land use rights | 10,063 | 10,063 | ||||
Others | 22,469 | 29,853 | ||||
536,134 | 713,763 | |||||
Property_plant_and_equipment_n
Property, plant and equipment, net | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Property, plant and equipment, net | ||||||
Property, plant and equipment, net | 10.Property, plant and equipment, net | |||||
Property, plant and equipment, net, consisted of the following: | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Buildings | 1,255,743 | 1,482,046 | ||||
Furniture, fixtures and office equipment | 83,745 | 92,175 | ||||
Motor vehicles | 26,318 | 29,550 | ||||
Machinery and equipment | 4,220,860 | 4,705,592 | ||||
Leasehold improvements | 141,289 | 151,959 | ||||
Total | 5,727,955 | 6,461,322 | ||||
Less: accumulated depreciation | (2,209,955 | ) | (2,759,096 | ) | ||
Subtotal | 3,518,000 | 3,702,226 | ||||
Construction-in-progress | 640,108 | 464,521 | ||||
Property, plant and equipment, net | 4,158,108 | 4,166,747 | ||||
As of December 31, 2014, the Group pledged its buildings with the net book value of RMB 218,603 to secure a long-term bank borrowing of RMB 85,400 from Agricultural Bank of China. As of December 31, 2014, the Group pledged another building with the net book value of RMB 91,653 to secure a short-term bank borrowing of RMB 140,000 from Industrial Bank Co., Ltd. As of December 31, 2014, the Group pledged another buildings, machineries and equipment and construction in progress with the net book value of RMB 834,341 to secure a long-term entrusted loan of RMB 1,440,000 from Hefei High-Tech Industrial Development Zone Management Co., Ltd. As of December 31, 2014, the Group pledged the building with the net book value of RMB 116,192 to secure a short-term entrusted loan of RMB 39,980 from Shanghai Pudong Development Bank. | ||||||
For the years ended December 31, 2012, 2013 and 2014, total interest capitalized was RMB 51,783, RMB 39,902 and RMB 38,053, respectively. | ||||||
Depreciation expense was RMB 646,955, RMB 580,157 and RMB 672,855 for the years ended December 31, 2012, 2013 and 2014, respectively, and is recorded in manufacturing overhead, selling, general and administrative expenses, research and development expenses. | ||||||
The Group evaluates long-lived assets for impairment if events or changes in circumstances indicated that the carrying value of such assets may not be recoverable. Considering a rapid and continued decrease in selling price of multi-crystalline wafers and inadequate utilization of machines, the Group determined a two step impairment analysis is required in the year ended December 31, 2012. In step one impairment analysis, the estimated future undiscounted net cash flows expected to be generated by the assets over their remaining estimated useful lives were based on certain assumptions, such as forecasts of future operating results, gross margin and expected future growth rates. The estimated undiscounted future cash flows generated by the equipment used to produce multi-crystalline wafers were less than their carrying value, which required the step two impairment test. In the step two impairment analysis, the Group estimated the fair value based on discounted cash flow analysis using market participants’ assumptions, such as forecasts of future operating results, discount rates commensurate with the risk involved, and expected future growth rates. The carrying value of the equipment was reduced to fair value based on the discounted cash flow analysis. This resulted in a pre-tax charge of RMB 250,697 recorded in the impairment loss on property, plant and equipment in the Consolidated Statements of Operations and Comprehensive Loss in 2012. No impairment loss occurred in the year ended December 31, 2013 and 2014. Although assumptions used in estimates of future cash flows are management best estimates, such assumptions are, by nature, highly judgmental and may vary significantly from actual results. | ||||||
Additionally, in the year ended December 31, 2012, the Group recorded long-lived asset impairment of RMB 147,092 related to the retirement of each 300MW outdated solar cells and solar modules facilities at JA Hebei and JA Fengxian facilities, respectively. No impairment loss related to retirement of long-lived assets occurred in the years ended December 31, 2013 and 2014. | ||||||
Intangible_assets_net
Intangible assets, net | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Intangible assets, net | ||||||||
Intangible assets, net | 11.Intangible assets, net | |||||||
Intangible assets, net, consisted of the following: | ||||||||
Gross | Accumulated | Net | ||||||
Amortization | ||||||||
RMB | RMB | RMB | ||||||
As of December 31, 2013 | ||||||||
Technical know-how | 9,000 | (9,000 | ) | — | ||||
Customer relationship | 3,191 | (1,329 | ) | 1,862 | ||||
Purchased software and others | 23,941 | (11,380 | ) | 12,561 | ||||
36,132 | (21,709 | ) | 14,423 | |||||
As of December 31, 2014 | ||||||||
Technical know-how | 9,000 | (9,000 | ) | — | ||||
Customer relationship | 3,191 | (1,968 | ) | 1,223 | ||||
Purchased software and others | 24,673 | (13,168 | ) | 11,505 | ||||
36,864 | (24,136 | ) | 12,728 | |||||
Amortization expense was RMB 4,572, RMB 3,018 and RMB 2,427 for the years ended December 31, 2012, 2013 and 2014, respectively, and is recorded in manufacturing overhead, selling, general and administrative expenses, research and development expenses. | ||||||||
Amortization expense of the existing technical know-how, customer relationship and purchased software for each of the next five years will be approximately RMB 2,046. | ||||||||
Income_taxes
Income taxes | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Income taxes | ||||||||
Income taxes | 12.Income taxes | |||||||
Cayman Islands and British virgin Islands | ||||||||
The Company is a tax exempt company incorporated in the Cayman Islands. Under the laws of Cayman Islands, the Company is not subject to tax on income or capital gain. The Company’s subsidiary established in the British Virgin Islands is tax exempt under the laws of British Virgin Islands, and accordingly, is not subject to tax on income or capital gain. | ||||||||
People’s Republic of China | ||||||||
Pursuant to PRC Foreign Enterprise Income Tax (“FEIT”) Law, foreign-invested enterprise (“FIEs”) are subject to FEIT at a state tax rate of 30% plus a local tax rate of 3% on PRC taxable income. FIEs are also entitled to be exempted from FEIT for a 2-year period starting from their first profit-making year followed by a 50% reduction of FEIT payable for the subsequent three years (“2+3 holiday”), if they fall into the category of production-oriented enterprises with an operational period of more than 10 years in China. | ||||||||
On March 16, 2007, the National People’s Congress of China enacted a new Corporate Income Tax (“CIT”) Law, under which FIEs and domestic companies would be subject to CIT at a uniform rate of 25%. The new CIT Law has become effective on January 1, 2008. The grandfathering treatments for unutilized tax holiday are provided for certain qualified FIEs. For those FIEs which have already commenced their qualified tax holidays before 2008, they can continue to enjoy the remaining unutilized tax holidays until expiry. For those qualified old FIEs which have not commenced their tax holidays before 2008 due to cumulative losses, their tax holidays will be deemed to commence in 2008 and can be utilized until expiry. | ||||||||
JA Hebei, JA Fengxian, JA Zhabei and JA Yangzhou were established before the effective date of the new CIT Law and subject to FEIT Law before January 1, 2008. | ||||||||
Pursuant to the FEIT, JA Hebei received approval to enjoy a 2-year corporate income tax exemption for 2006 and 2007, as well as a 50% corporate income tax reduction from 2008 to 2010. After the new Corporate Income Tax law became effective on January 1, 2008, JA Hebei was entitled to enjoy grandfathering treatments for the unutilized tax holiday until expiration. The Company believes that the income generated by assets newly acquired by JA Hebei through a capital injection made in 2008 were also subject to the above mentioned grandfathered tax holiday and has been in compliance with the tax filing requirements. | ||||||||
JA Fengxian and JA Yangzhou all had cumulative losses as of December 31, 2008 and their tax holidays were deemed to commence in 2008 and can be utilized until expiry pursuant to the new CIT Law. | ||||||||
JA Zhabei, which is not a production-oriented enterprise, not entitled to the tax holiday. | ||||||||
JA Lianyungang, which was established in 2008, JA Yangzhou R&D and JA Yangzhou PV, which were established in 2009, JA Wafer R&D and JA Jinglong, which were established/acquired in 2010, JA Hefei Renewable Energy, JA Hefei Technology and JA Investment, which were established in 2011, Solar Silicon Valley, which was acquired in 2011, are not entitled to the tax holiday. | ||||||||
In accordance with the new CIT Law, a company is entitled to a preferential income tax of 15% if qualifying as an Advanced and New Technology Enterprise (“ANTE”). The preferential tax rate, once being approved by the relevant government authorities, is subject to renewal every three years. However, a company that enjoys the preferential income tax rate should perform self-assessment to ensure it maintains the required qualification during those three years. In November 2010, JA Hebei was recognized as an ANTE under the CIT Law and is entitled to the preferential income tax of 15% from 2010 to 2012. In March 2014, JA Hebei was again recognized as an ANTE under the new CIT Law and is entitled to the preferential income tax of 15% from 2013 to 2015. In August 2011, JA Yangzhou was recognized by the Chinese government as an ANTE and is entitled to the preferential income tax of 15% from 2011 to 2013. JA Yangzhou has chosen to complete the above mentioned 2+3 holiday for the overlapping period of 2011 and 2012. In August 2014, JA Yangzhou was again recognized as an ANTE under the new CIT Law and is entitled to the preferential income tax of 15% from 2014 to 2016. In November 2011, JA Lianyungang was recognized by the Chinese government as an ANTE and is entitled to the preferential income tax of 15% from 2011 to 2013. In October 2014, JA Lianyungang was again recognized as an ANTE under the new CIT Law and is entitled to the preferential income tax of 15% from 2014 to 2016.JA Fengxian was recognized as an ANTE and is entitled to the preferential income tax of 15% from 2011 to 2013. JA Fengxian has chosen to complete the above mentioned 2+3 holiday for the overlapping period of 2011 and 2012. In September 2014, JA Fengxian was again recognized as an ANTE under the new CIT Law and is entitled to the preferential income tax of 15% from 2014 to 2016. JA Wafer R&D was recognized by the Chinese government as an ANTE and is entitled to the preferential income tax of 15% from 2012 to 2014. | ||||||||
On February 22, 2008, the Ministry of Finance (“MOF”) and the State Administration of Taxation (“SAT”) jointly issued Cai Shui [2008] Circular 1 (“Circular 1”). According to Article 4 of Circular 1, distributions of accumulated profits earned by a FIE prior to January 1, 2008 to foreign investor(s) in 2008 or after will be exempt from withholding tax (“WHT”) while distribution of the profit earned by an FIE after January 1, 2008 to its foreign investor(s) shall be subject to WHT at a rate up to 10% (lower rate is available under the protection of tax treaties). As a result, if any dividends are declared out of the cumulative retained earnings as of December 31, 2007, they should be exempt from WHT. In 2012, JA Hebei declared dividends of RMB 107,804 out of the cumulative retained earnings as of December 31, 2007 to JA BVI, which is exempt for WHT. JA Yangzhou, as requested by the local tax bureau, declared dividends of RMB 210,637 out of the earnings after January 1, 2008 to JA BVI in order to meet the capital injection requirement for JA Yangzhou. Pursuit to Circular 1, the appropriation of dividend for reinvestment purpose is subject to 10% WHT, amounting to RMB 21,064, which was paid and recorded as income tax expenses for the year ended December 31, 2012. Excluding JA Yangzhou’s dividend appropriation requested by the local tax bureau, the Group intends to indefinitely reinvest its earnings to further expand its businesses in mainland China, its foreign invested enterprises do not intend to declare dividends to their immediate foreign holding companies in the foreseeable future. Undistributed earnings as of December 31, 2013 and 2014 are considered to be indefinitely reinvested, and therefore, no deferred tax liability was recognized. Cumulative undistributed earnings of the Company’s PRC subsidiaries intended to be permanently reinvested totaled RMB 2,478,536 and RMB 3,092,616 and the amount of the unrecognized deferred tax liability on the permanently reinvested earnings was RMB 247,854 and RMB 309,262 as of December 31, 2013 and 2014. | ||||||||
Hong Kong SAR | ||||||||
No income tax provision has been made for JA Hong Kong and JA International in any period, as the entities did not have assessable profits subject to Hong Kong Profit Tax at the rate of 16.5% for the years presented. | ||||||||
United States | ||||||||
JA USA is subject to US federal statutory tax rate of 35% and also subject to the state of California income tax rate of 8.84%. The state income tax paid is deductible for US federal income tax. | ||||||||
European Countries | ||||||||
JA Lux is incorporated in Luxemburg and is subject to a 29.22% corporate tax rate. | ||||||||
JA GmbH is incorporated in Germany and is subject to effective income tax rate of 29.55% which consists of 15% corporate income tax plus a solidarity surcharge of 5.5% on corporate income tax and a trade income tax rate of 13.72%. | ||||||||
Japan | ||||||||
JA Japan is subject to Japanese corporate income tax rate of 35.64%. | ||||||||
Australia | ||||||||
JA Australia is subject to Australia corporate income tax rate of 30%. | ||||||||
The tax benefit/(expense) comprises: | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
Current tax | (101,975 | ) | (13,462 | ) | (189,622 | ) | ||
Deferred tax | 1,350 | 28,489 | 116,232 | |||||
(100,625 | ) | 15,027 | (73,390 | ) | ||||
Components of deferred tax assets consisted of the following: | ||||||||
As of December | As of December | |||||||
31, | 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Deferred tax assets: | ||||||||
Temporary differences: | ||||||||
Pre-operating expenses | 92 | — | ||||||
Amortization of intangible assets | 1,232 | 1,135 | ||||||
Accrued warranty costs | 28,510 | 49,309 | ||||||
Accrued expenses | 23,746 | 25,438 | ||||||
Net loss carried forward | 395,477 | 229,859 | ||||||
Depreciation of property, plant and equipment | 86,997 | 103,758 | ||||||
Inventory write-down and idle capacity charges | 13,322 | 9,813 | ||||||
Allowance for doubtful accounts | 69,199 | 66,991 | ||||||
Allowance for advance to suppliers | 10,397 | 18,665 | ||||||
Impairment loss on property, plant and equipment | 156,483 | 103,195 | ||||||
Loss for equity investment in a joint venture | 4,967 | — | ||||||
Accrued interest | 13,209 | 27,279 | ||||||
Government grant for the acquisition of land use rights and property, plant and equipment | 8,379 | 44,057 | ||||||
Timing difference for revenue recognition of retainage contract | 21,726 | 32,746 | ||||||
Others | 4,047 | 18,704 | ||||||
Deferred tax assets | 837,783 | 730,949 | ||||||
Deferred tax liabilities: | ||||||||
Temporary differences: | ||||||||
Capitalized interest | (31,983 | ) | (35,333 | ) | ||||
Deferred tax liabilities | (31,983 | ) | (35,333 | ) | ||||
Less: valuation allowance | (683,341 | ) | (456,925 | ) | ||||
Deferred tax assets-net | 122,459 | 238,691 | ||||||
Deferred tax assets are analyzed as: | ||||||||
As of December | As of December | |||||||
31, | 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Current | 64,409 | 90,169 | ||||||
Non-Current | 90,033 | 183,855 | ||||||
154,442 | 274,024 | |||||||
Deferred tax liability are analyzed as: | ||||||||
Current | — | — | ||||||
Non-Current | -31,983 | (35,333 | ) | |||||
-31,983 | (35,333 | ) | ||||||
122,459 | 238,691 | |||||||
The following table presents the movement of the valuation allowance for deferred tax assets: | ||||||||
As of December | As of December 31, | As of December | ||||||
31, | 31, | |||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Balance at beginning of the year | 202,235 | 576,541 | 683,341 | |||||
Business combination | — | 63,873 | — | |||||
Allowance made during the year | 374,306 | 158,904 | 40,619 | |||||
Reversals and utilization | — | (115,977 | ) | (267,035 | ) | |||
Balance at end of the year | 576,541 | 683,341 | 456,925 | |||||
The Group has made some portion of valuation allowance against its net deferred tax assets. The Group evaluates a variety of factors in determining the amount of the valuation allowance, including its earnings history, the tax holiday period, the existence of taxable temporary differences, and near-term earnings expectations. Future reversal of the valuation allowance will be recognized upon the earlier of when the benefit is realized or when it has been determined that it is more likely than not that the benefit will be realized through future earnings. Certain valuation allowance was reversed and utilized in 2013 and 2014 when certain subsidiaries generated sufficient taxable income to utilize the deferred tax assets in the current year. Furthermore, a portion of valuation allowance was reversed in 2013 and 2014 due to the expected utilization of deferred tax assets in the future. | ||||||||
Reconciliation between the provision for income tax computed by applying the statutory CIT and the Group’s effective tax rate: | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
PRC enterprise income tax | (25 | )% | (25 | )% | 25 | % | ||
Effect of permanent differences: | ||||||||
Share based compensation and other permanent difference | 5.62 | % | 4.03 | % | 4.50 | % | ||
Effect of tax holiday and tax differential of certain subsidiaries (1) | (2.10 | )% | 8.17 | % | (8.43 | )% | ||
Effect of tax rate change (2) | (2.69 | )% | (0.32 | )% | 24.30 | % | ||
Additional tax for previously approved tax holiday | 5.29 | % | — | % | — | % | ||
Withholding tax for dividend distribution | 1.35 | % | — | % | — | % | ||
Intra-group investment disposal income subject to tax | — | — | 12.28 | % | ||||
Valuation allowance | 23.97 | % | 9.72 | % | (43.54 | )% | ||
6.44 | % | (3.40 | )% | 14.11 | % | |||
-1 | Effect of tax holiday and tax differential of certain subsidiaries increased from 8.17% to 8.43%, mainly due to fair value gain generated in 2014 by JA Cayman related to warrants, which are not subject to tax on income or capital gain. | |||||||
-2 | Change of tax rate increased from (0.32%) in 2013 to 24.30% in 2014 is due to the different enacted tax rate used in the calculation of deferred tax assets in 2014 for one subsidiary to reflect the decrease of tax rate, which resulted in the reduction of previously disclosed deferred tax asset benefit (gross amount). Deferred tax assets for this subsidiary have been fully provided for valuation allowance in both 2014 and 2013. The corresponding reversal of valuation allowance has been included in the line of valuation allowance. | |||||||
Aggregate amount and per share effect of the tax holiday are as follows: | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
The aggregate dollar effect | — | 10,540 | 43,405 | |||||
Per share effect-basic | — | 0.05 | 0.18 | |||||
Per share effect-diluted | — | 0.05 | 0.18 | |||||
Government_grant
Government grant | 12 Months Ended |
Dec. 31, 2014 | |
Government grant | |
Government grant | 13.Government grant |
Government grants are recognized where there is reasonable assurance that the grant will be received and all attached conditions will be complied with. | |
Grant relating to cash subsidies received by the Group’s entity in the PRC from various level of government authorities. The government subsidies are granted from time to time at the discretion of the relevant government authorities. Cash subsidies have no defined rules and regulations to govern the criteria necessary for companies to enjoy the benefits and are recognized as other income when received and when all conditions for their receipt have been satisfied. | |
Grants for the acquisition of land use right and property, plant and equipment are recorded as long-term liabilities and amortized to other income over the amortization period, which represents the depreciable life of the related PP&E. Government grants received related to property, plant and equipment are classified as investing cash inflows on the Group’s consolidated cash flow statements. Government grants received related to land use right are classified as operating cash inflows on the Group’s consolidated cash flow statements just as company expenditures for land use rights are classified as operating cash outflows. The Group received government grant related to property, plant and equipment and land use rights of RMB 78,020, RMB 126,900 and RMB 45,300 during the years ended December 31, 2012, 2013 and 2014, respectively. As of December 31, 2013 and 2014, long-term liability balance of RMB 262,348 and RMB 278,272 was related to government grant for the acquisition of land use rights and property, plant and equipment, respectively. | |
The Group recorded RMB 18,672, RMB 14,471 and RMB 32,078 as other income for the years ended December 31, 2012, 2013 and 2014, respectively, among which RMB 9,002, RMB 13,290, and RMB 27,376 are related to the amortization of government grant. | |
Prepaid_land_use_rights
Prepaid land use rights | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Prepaid land use rights | ||||||
Prepaid land use rights | 14.Prepaid land use rights | |||||
The prepaid land use rights of the Group represented prepaid operating lease payments in obtaining land use rights in the PRC for a period of 40 or 50 years. | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Cost | 491,638 | 491,638 | ||||
Less: accumulated amortization | (32,956 | ) | (43,019 | ) | ||
Net book value | 458,682 | 448,619 | ||||
Current portion of prepaid land use rights (recorded in other current assets) | 10,063 | 10,063 | ||||
Non-current portion of prepaid land use rights | 448,619 | 438,556 | ||||
Total | 458,682 | 448,619 | ||||
As of December 31, 2014, the Group pledged its land use right with the net book value of RMB 74,211 to secure a long-term bank borrowing of RMB 28,600 from Agricultural Bank of China. As of December 31, 2014, the Group pledged another land use right with the net book value of RMB 213,840 to secure a long-term entrusted loan of RMB 1,440,000 from Hefei High-Tech Industrial Development Zone Management Co., Ltd. As of December 31, 2014, the Group pledged the land use right with the net book value of RMB 26,086 to secure a short-term entrusted loan of RMB 39,980 from Shanghai Pudong Development Bank. | ||||||
Borrowings
Borrowings (Loans Payable) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Loans Payable | |||||||||
Borrowings | |||||||||
Borrowings | 15. Borrowings | ||||||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of December 31, 2013 | |||||||||
Short-term loan: | |||||||||
Bank of China | September 2013 | September 2014 | 200,000 | Quarterly | |||||
Agriculture Bank of China | September 2013 | September 2014 | 80,000 | Monthly | |||||
Agriculture Bank of China | September 2013 | January 2014 | 34,379 | Together with principal | |||||
Agriculture Bank of China | September 2013 | February 2014 | 79,248 | Together with principal | |||||
Agriculture Bank of China | November 2013 | April 2014 | 539 | Together with principal | |||||
Agriculture Bank of China | December 2013 | May 2014 | 3,073 | Together with principal | |||||
Agriculture Bank of China | December 2013 | April 2014 | 95,721 | Monthly | |||||
Agriculture Bank of China | December 2013 | May 2014 | 2,038 | Together with principal | |||||
Agriculture Bank of China | December 2013 | May 2014 | 1,996 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | December 2013 | June 2014 | 30,000 | Together with principal | |||||
Huaxia Bank | May 2013 | February 2014 | 40,000 | Together with principal | |||||
Huaxia Bank | February 2013 | February 2014 | 10,000 | Together with principal | |||||
Bank of Communication | August 2013 | February 2014 | 42,000 | Monthly | |||||
Hefei S & T Rural Commercial Bank | March 2013 | March 2014 | 150,000 | Quarterly | |||||
Hefei S & T Rural Commercial Bank | April 2013 | March 2014 | 50,000 | Quarterly | |||||
Rural Credit Cooperative of Hebei | March 2013 | March 2014 | 28,000 | Monthly | |||||
Bank of Xingtai | June 2013 | June 2014 | 20,000 | Monthly | |||||
Bank of Xingtai | July 2013 | June 2014 | 40,000 | Monthly | |||||
OCBC Bank | March 2013 | April 2014 | 30,485 | Monthly | |||||
OCBC Bank | May 2013 | May 2014 | 54,873 | Monthly | |||||
Other loan * | April 2013 | March 2014 | 30,000 | Quarterly | |||||
Other loan* | November 2013 | November 2014 | 50,000 | Quarterly | |||||
Subtotal | 1,122,352 | ||||||||
*Local government provided short-term loan to one subsidiary located in Jiangsu Province with market interest rate bearing. | |||||||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment | |||||
RMB) | Periods | ||||||||
Long-term loan due in one year: | |||||||||
China Construction Bank | May 2012 | April 2014 | 157,000 | Monthly | |||||
China Construction Bank | June 2012 | May 2014 | 34,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2011 | November 2014 | 150,000 | Monthly | |||||
Bank of Xingtai | September 2012 | September 2014 | 100,000 | Monthly | |||||
Industrial and Commercial Bank of China | March 2011 | March 2014 | 140,000 | Monthly | |||||
Industrial and Commercial Bank of China | April 2011 | March 2014 | 40,000 | Monthly | |||||
Industrial and Commercial Bank of China | May 2011 | March 2014 | 20,000 | Monthly | |||||
Industrial and Commercial Bank of China | June 2011 | June 2014 | 15,917 | Monthly | |||||
Industrial and Commercial Bank of China | December 2011 | June 2014 | 57,246 | Monthly | |||||
China Everbright Bank | June 2011 | June 2014 | 200,000 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2014 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2014 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2014 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2014 | 8,150 | Quarterly | |||||
Subtotal | 936,163 | ||||||||
Short-term borrowings and current portion of long term borrowings | 2,058,515 | ||||||||
Long-term loan: | |||||||||
Industrial and Commercial Bank of China | June 2011 | January 2019 | 720,000 | Annually | |||||
Industrial and Commercial Bank of China | June 2011 | January 2018 | 432,000 | Annually | |||||
Industrial and Commercial Bank of China | June 2011 | January 2017 | 288,000 | Annually | |||||
Agriculture Bank of China | September 2012 | February 2015 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2015 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2019 | 10,100 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2019 | 10,100 | Quarterly | |||||
Subtotal | 1,554,000 | ||||||||
Total borrowings | 3,612,515 | ||||||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of December 31, 2014 | |||||||||
Short-term loan: | |||||||||
Industrial and Commercial Bank of China | April 2014 | March 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | October 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | June 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | May 2014 | April 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | June 2015 | 58,131 | Monthly | |||||
Bank of Communication | January 2014 | January 2015 | 50,000 | Monthly | |||||
Bank of Communication | August 2014 | February 2015 | 97,904 | Together with principal | |||||
Huaxia Bank | March 2014 | March 2015 | 30,000 | Monthly | |||||
Huaxia Bank | April 2014 | April 2015 | 20,000 | Monthly | |||||
Huaxia Bank | May 2014 | March 2015 | 30,000 | Monthly | |||||
China Merchant Bank | October 2014 | April 2015 | 62,000 | Together with principal | |||||
China Merchant Bank | November 2014 | May 2015 | 28,759 | Together with principal | |||||
China Merchant Bank | September 2014 | March 2015 | 48,952 | Together with principal | |||||
China Merchant Bank | December 2014 | June 2015 | 30,000 | Together with principal | |||||
China Merchant Bank | December 2014 | June 2015 | 32,400 | Together with principal | |||||
China Construction Bank | April 2014 | April 2015 | 48,500 | Monthly | |||||
China Construction Bank | April 2014 | April 2015 | 100,000 | Monthly | |||||
China Construction Bank | April 2014 | April 2015 | 11,500 | Monthly | |||||
China Construction Bank | May 2014 | May 2015 | 34,000 | Monthly | |||||
China Construction Bank | November 2014 | May 2015 | 48,789 | Monthly | |||||
China Construction Bank | November 2014 | May 2015 | 22,171 | Monthly | |||||
Bank of China | June 2014 | June 2015 | 200,000 | Quarterly | |||||
Bank of China | September 2014 | March 2015 | 34,849 | Monthly | |||||
Bank of China | October 2014 | April 2015 | 35,490 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2015 | 150,000 | Monthly | |||||
Agriculture Bank of China | May 2014 | May 2015 | 20,000 | Monthly | |||||
Agriculture Bank of China | March 2014 | March 2015 | 76,363 | Monthly | |||||
Agriculture Bank of China | January 2014 | January 2015 | 50,000 | Monthly | |||||
Agriculture Bank of China | February 2014 | February 2015 | 30,000 | Monthly | |||||
Agriculture Bank of China | August 2014 | January 2015 | 3,139 | Together with principal | |||||
Agriculture Bank of China | August 2014 | February 2015 | 66,746 | Together with principal | |||||
Agriculture Bank of China | August 2014 | January 2015 | 3,625 | Together with principal | |||||
Agriculture Bank of China | August 2014 | February 2015 | 38,418 | Together with principal | |||||
Agriculture Bank of China | August 2014 | January 2015 | 2,889 | Together with principal | |||||
Agriculture Bank of China | September 2014 | January 2015 | 3,429 | Together with principal | |||||
Agriculture Bank of China | September 2014 | March 2015 | 12,116 | Together with principal | |||||
Agriculture Bank of China | September 2014 | February 2015 | 3,483 | Together with principal | |||||
Agriculture Bank of China | September 2014 | March 2015 | 14,935 | Together with principal | |||||
Agriculture Bank of China | September 2014 | February 2015 | 74,040 | Together with principal | |||||
Agriculture Bank of China | September 2014 | February 2015 | 3,299 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 2,288 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 1,212 | Together with principal | |||||
Agriculture Bank of China | November 2014 | April 2015 | 1,966 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 2,472 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 3,209 | Together with principal | |||||
Agriculture Bank of China | November 2014 | April 2015 | 1,439 | Together with principal | |||||
Agriculture Bank of China | November 2014 | April 2015 | 1,955 | Together with principal | |||||
Agriculture Bank of China | December 2014 | April 2015 | 2,956 | Together with principal | |||||
Agriculture Bank of China | December 2014 | May 2015 | 1,457 | Together with principal | |||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of December 31, 2014 | |||||||||
Short-term loan(continued): | |||||||||
Agriculture Bank of China | December 2014 | May 2015 | 2,988 | Together with principal | |||||
Agriculture Bank of China | December 2014 | May 2015 | 2,084 | Together with principal | |||||
Bank of Xingtai | September 2014 | September 2015 | 2,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2015 | 1,000 | Monthly | |||||
Industrial Bank Co., Ltd. | April 2014 | April 2015 | 140,000 | Quarterly | |||||
Bank of Xingtai | June 2014 | June 2015 | 60,000 | Monthly | |||||
Hefei S & T Rural Commercial Bank | June 2014 | May 2015 | 100,000 | Quarterly | |||||
Hefei S & T Rural Commercial Bank | June 2014 | May 2015 | 100,000 | Quarterly | |||||
Rural Credit Cooperative of Hebei | March 2014 | March 2015 | 28,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2015 | 100 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2015 | 200 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2015 | 100 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2015 | 200 | Monthly | |||||
Shanghai Pudong Development Bank | August 2014 | August 2015 | 39,980 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2015 | 2,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2015 | 2,000 | Quarterly | |||||
Subtotal | 2,275,533 | ||||||||
Long-term loan due in one year: | |||||||||
Agriculture Bank of China | August 2012 | February 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2015 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2015 | 8,150 | Quarterly | |||||
Subtotal | 22,000 | ||||||||
Short-term borrowings and current portion of long term borrowings | 2,297,533 | ||||||||
Long-term loan: | |||||||||
Agriculture Bank of China | June 2014 | June 2016 | 80,000 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2016 | 74,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2016 | 3,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2016 | 300 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2016 | 8,400 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2016 | 300 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2016 | 8,400 | Monthly | |||||
Industrial and Commercial Bank of China | July 2014 | January 2017 | 288,000 | Annually | |||||
Industrial and Commercial Bank of China | July 2014 | January 2018 | 300,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2019 | 168,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2019 | 300,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2018 | 132,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2019 | 252,000 | Annually | |||||
Industrial and Commercial Bank of China | December 2014 | May 2016 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2016 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2017 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2017 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2018 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2018 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2019 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2019 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2020 | 7,000 | Quarterly | |||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of Decemberember 31, 2014 | |||||||||
Long term loan(continued): | |||||||||
Industrial and Commercial Bank of China | December 2014 | November 2020 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2021 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2021 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2022 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2022 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2023 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2023 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2024 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2024 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2025 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2025 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2026 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2026 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2027 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2027 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2028 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2028 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2029 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | December 2029 | 7,000 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2019 | 10,100 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2019 | 10,100 | Quarterly | |||||
Subtotal | 1,902,400 | ||||||||
Total borrowings | 4,199,933 | ||||||||
As of December | As of December | ||||||||
31, | 31, | ||||||||
2013 | 2014 | ||||||||
RMB | RMB | ||||||||
Short-term | 1,122,352 | 2,275,533 | |||||||
Long-term, current portion | 936,163 | 22,000 | |||||||
Subtotal | 2,058,515 | 2,297,533 | |||||||
Long-term | 1,554,000 | 1,902,400 | |||||||
Total | 3,612,515 | 4,199,933 | |||||||
These loans are borrowed from various financial and non-financial institutions and all of them are for working capital and capital expenditure purpose. The borrowings outstanding as of December 31, 2013 and 2014 bore a weighted average interest rate of 6.42% and 6.07% per annum, respectively. The interest rates of unsecured short-term bank borrowings with principal amounts of RMB 956,994 and RMB 2,090,953 as of December 31, 2013 and 2014, respectively, ranged from 2.67% to 7.80% with a weighted average interest rate of 6.04% for 2013 and from 1.35% to 7.82% with a weighted average interest rate of 5.66% for 2014. The interest rate of short-term bank borrowings secured by restricted cash with principal amounts of RMB 85,358 and RMB 600 as of December 31, 2013 and 2014, respectively, ranged from 1.66% to 1.67% with a weighted average interest rate of 1.67% for 2013 and at the interest rate of 6.15% for 2014. The interest rate of short-term bank borrowings secured by land use right, buildings and project assets with principal amount of RMB 183,980 as of December 31, 2014, ranged from 6.15% to 6.90% with a weighted average interest rate of 6.53% for 2014. There was no short-term borrowing secured by land use right, buildings and project assets for 2013. There was no short-term borrowing from the non-financial institution as of December 31, 2014. The interest rate of short-term borrowing from one non-financial institution with principal amount of RMB 80,000 as of December 31, 2013 was 9.0%. The interest rate of unsecured long-term bank borrowings with principal amounts of RMB 914,163 and RMB 157,000 as of December 31, 2013 and 2014, respectively, ranged from 6.15% to 7.07% with a weighted average interest rate of 6.48% for 2013 and from 6.52% to 6.77% with a weighted average interest rate of 6.64% for 2014. The interest rate of long-term bank borrowings secured by buildings, machineries and equipment, construction in progress and project assets with principal amount of RMB 1,576,000 and RMB 1,767,400 as of December 31, 2013 and 2014, respectively, ranged from 6.72% to 7.01% with a weighted average interest rate of 6.74% for 2013 and from 6.15% to 7.01% with a weighted average interest rate of 6.46% for 2014. The borrowings have 5-month to 179-month terms and expire at various times. The unused lines of credit were RMB 690,710, which were available as of December 31, 2014. Among the unused lines of credit, RMB 100,000 was secured by project assets. | |||||||||
Interest incurred for borrowings for the years ended December 31, 2012, 2013 and 2014 amounted to RMB 348,510, RMB 278,190 and RMB 267,718, respectively, of which RMB 45,059, RMB 37,495 and RMB 38,053 was capitalized in the cost of property, plant and equipment. | |||||||||
As of December 31, 2014, the borrowings of RMB 600 and RMB 17,400 for short-term and long-term respectively in Bank of Xingtai were secured by the restricted cash balance with amount of RMB 20,000 in JA Hebei. The short term entrusted loan of RMB 39,980 with Shanghai Pudong Development Bank was secured by the land use right with the net book value of RMB 26,086 and the buildings with the net book value of RMB 116,192. The short-term borrowings of RMB 140,000 in Industrial Bank Co., Ltd was secured by the building with the net book value of RMB 91,653. The long-term borrowings of RMB 85,400 and RMB 28,600 in Agricultural Bank of China were secured by the buildings with the net book value of RMB 218,603 and land use right with the net book value of RMB 74,211 in Shanghai Jinglong Solar Technology Co., Ltd., respectively. The borrowings of RMB 4,000 and RMB 196,000 for short-term and long-term respectively in Industrial and Commercial Bank of China were secured by the project assets with the net book value of RMB 310,029. In January 2014, the Group renewed a long-term entrusted loan of RMB 1,440,000 with Hefei High-Tech Industrial Development Zone Management Co., Ltd., which is secured by buildings, machineries and equipment and construction in progress with the net book value of RMB 834,341 and land use rights with net book value of RMB 213,840 owned by JA Hefei Technology and all of the equity interests in and JA Hefei Technology. | |||||||||
JA Solar and China Development Bank Shanghai Branch (“CDB”) entered into a financial partnership agreement in September 2010, pursuant to the agreement, CDB agrees to provide up to RMB 30 billion of credit facilities to JA Solar from 2010 to 2015 to support JA Solar’s capital needs under its long-term growth and corporate development plans. As a result of the Financial Partnership Agreement, the Company is qualified to have an expedited approval process for individual credit agreements. Detailed terms including interest rate and covenants of each such credit facility will be determined by CDB in accordance with its risk management and operational guidelines, and set forth in individual credit agreements between CDB and the Company. As of December 31, 2013 and 2014, the Group had drawn down RMB nil and RMB nil of the credit facility, respectively. | |||||||||
There are two subsidiaries whose borrowing agreements include the restrictive financial covenants. For JA Hebei, the borrowing of RMB 194,000 from China Construction Bank should meet the criteria: 1) the gearing ratio should be no more than 55%; 2) the current ratio should be no less than 1.6; 3) the quick ratio should be no less than 1.5; 4) the long-term investment should no more than 30% of net asset; 5) the external guarantee should be no more than 55% of net asset. For JA Yangzhou, the borrowing of RMB 80,000 from Huaxia Bank should meet the criteria: the gearing ratio should be no more than 70%. As of December 31, 2014, those two subsidiaries meet the criteria. | |||||||||
Future principal repayments on the long-term borrowings are as follows: | |||||||||
Year ending December 31, | RMB | ||||||||
2015 | 22,000 | ||||||||
2016 | 210,400 | ||||||||
2017 | 324,000 | ||||||||
2018 | 468,000 | ||||||||
Thereafter | 900,000 | ||||||||
Total | 1,924,400 | ||||||||
Senior_Convertible_Notes
Senior Convertible Notes (4.5% Senior Convertible Notes due 2013) | 12 Months Ended |
Dec. 31, 2014 | |
4.5% Senior Convertible Notes due 2013 | |
Senior Convertible Notes | |
Senior Convertible Notes | 16.Senior Convertible Notes |
On May 13, 2008, the Company entered into an underwriting agreement for the sale by the Company to the public of $350,000 aggregate principal amount of 4.5% Senior Convertible Notes due 2013 (the “Senior Notes”). The Company granted to the underwriters a 30-day option to purchase up to an additional $50,000 aggregate principal amount of Senior Notes. On May 19, 2008, the Company completed its public offering of $400,000 aggregate principal amount of its Senior Notes which includes the underwriter’s exercise of their option. Net proceeds to the Company from the offering were approximately RMB 2,709,538. The Company’s financing costs of RMB 80,010 associated with the Senior Notes are amortized through interest expense over the life of the Senior Notes from May 2008 to the first put date, or May 2013 using the effective interest rate method. The amount amortized to interest expense for the year ended December 31, 2012 and 2013 was RMB 9,656 and RMB 2,606, respectively. This change in the balance of deferred issuance cost includes the pro-rata reduction of deferred issuance cost that is a component of the extinguished gain from the Senior Notes bought back by the Group. | |
The Senior Notes bear interest at the rate of 4.5% per annum, payable semi-annually in arrears on May 15 and November 15 of each year, beginning on November 15, 2008. The Senior Notes will mature on May 15, 2013 unless previously repurchased by the Company or converted in accordance with their terms prior to such date. On or after May 15, 2011, the Company has the option to redeem for cash all or part of the Senior Notes at principal if the closing sale price of the Company’s ADS exceeds 130% of the then effective conversion price for at least 20 trading days during the period of the 30 consecutive trading days ending on the last trading day on which notice of redemption is provided. If certain fundamental changes occur at any time prior to maturity, holders of the Senior Notes may require the Company to repurchase their Senior Notes in whole or in part for cash equal to 100% of the principal amount of the Senior Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the date of repurchase. The interest expense recognized for interest payable to the Senior Notes holders was RMB 56,893 and RMB 12,300 for the years ended December 31, 2012 and 2013 respectively. | |
Each $1,000 principal amount of the Senior Notes will initially be convertible into 6.5628 American Depository Shares, or ADSs, par value $.0001 per share at a conversion price of $152.375, subject to adjustment. The Senior Notes are convertible at maturity and upon certain other events, including when the trading price of the Company’s ADS exceeds 130% of the then effective conversion price for at least 20 trading days during the period of the 30 consecutive trading days ending on the last trading day of the previous fiscal quarter. | |
The Company used the proceeds from the issuance of the Senior Notes for the purchase and construction of manufacturing equipment and facilities, the purchase and prepayment of raw materials, working capital and other general corporate purposes. | |
The Company’s functional currency is different from the denomination of the Senior Notes and the Company’s early redemption option is contingent upon its ADS price. Therefore, in accordance with ASC 815, Derivatives and Hedging, the Company accounted for the conversion feature, early redemption option and conversion rate adjustment feature (together, “Embedded Derivatives”) as a freestanding instrument separately in the balance sheet. The Senior Notes were recorded with a discount equal to the value of the Embedded Derivatives at the transaction date and will be accreted to the redemption value of the Senior Notes over the life of the Senior Notes. The change in fair value of the Embedded Derivatives of RMB 32 and RMB nil was recorded in Consolidated Statements of Operations and Comprehensive Loss for the years ended December 31, 2012 and 2013, respectively. This change in fair value excludes the pro-rata reduction of the Embedded Derivatives that are a component of the extinguishment gain from the Senior Notes bought back by the Group. The interest expense recognized for accretion to the redemption value of the Senior Notes was RMB 96,532 and RMB 24,216 for the years ended December 31, 2012 and 2013, respectively. | |
During the years ended December 31, 2012 and 2013, the Company bought back US$ 105,427and US$ nil (par value) of the Senior Notes, respectively, at prices ranging from 72.48% to 95.35% of face value. The gain/(loss) from the Senior Notes buyback was RMB (8,466) and RMB nil respectively, for the years ended December 31, 2012 and 2013. In May 2013, the Company repaid the remaining principal amount of RMB 723,742 and accrued interest of the Senior Notes. | |
ADS Lending Agreement | |
Concurrent with the offering and sale of the Senior Notes on May 12, 2008, the Company entered into a share lending agreement (the “ADS Lending Agreement”) with certain financial institutions (the “ADS Borrower (s)”), pursuant to which the Company loaned 2,625,104 ADSs (the “Loaned ADSs”) to the ADS Borrowers. The ADS Borrowers will receive all of the proceeds from the sale of the borrowed ADSs. The Company will not receive any proceeds from the sale of the borrowed ADSs pursuant to the ADS Lending Agreement, but the Company will receive from the ADS Borrowers a nominal lending fee of $0.0005 per ADS for each ADS that the Company loaned pursuant to the ADS Lending Agreements. The nominal lending fee is reported as increases to additional paid in capital. These Loaned ADSs must be returned to the Company no later than May 15, 2013, or sooner if certain conditions are met. In the event of default, the ADS Borrower is required to return the loaned shares to the Company. If unable to do so, at the Company’s request, the ADS Borrower shall pay cash equal to the market value of unreturned shares. The purpose of the share lending arrangement was to facilitate the investors of the Senior Convertible Notes to hedge the conversion option in such Notes. | |
These shares were considered issued and outstanding for corporate law purposes at the time they were loaned; however, at the time of the loan they were not considered outstanding for the purpose of computing and reporting earnings per share because these shares were to be returned to the Company no later than May 15, 2013, the maturity date of the Senior Notes. On September 15, 2008, one of the ADS borrowers, who the Company had loaned 1,312,552 ADSs, filed for protection under Chapter 11 of the federal Bankruptcy Code and was placed into administration proceeding in the United Kingdom. | |
As a result of the bankruptcy filing and the administration proceeding, the ADS Lending Agreement automatically terminated and the ADS Borrower was contractually required to return the Loaned ADSs to the Company. The Company has since demanded the immediate return of all outstanding borrowed shares, however, the shares have not yet been returned. Also under the agreement, the ADS borrower was supposed to transfer collateral to an affiliate equal to the fair value of the shares loaned after it received a credit downgrade on September 15, 2008. Such collateral was to be held in a collateral account for the Company. No collateral transfer was made and the Company is not aware of any collateral account existing. While the Company believes it is exercising all of its legal remedies, it has included these shares in its per share calculation on a weighted average basis due to the uncertainty regarding the recovery of the borrowed shares. | |
The Company accounts for the share lending arrangement in accordance with ASU 2009-15, Accounting for Own-Share Lending Arrangements in Contemplation of Convertible Debt Issuance or Other Financing, which requires an entity that enters into an equity-classified share lending agreement, utilizing its own shares, in contemplation of a convertible debt issuance or other financing to initially measure the share lending arrangement at fair value and treat it as a cost of the financing. The Company estimated that the fair value of the share lending arrangement at issuance was RMB 230,729, which was recognized as an issuance cost of the Senior Convertible Notes, with an offset to additional paid-in capital. Issuance costs were deferred on the balance sheet and amortized over the life of the Senior Convertible Notes. In the year ended December 31, 2008, due to the bankruptcy of one of the ADS borrowers, the Company assessed it became probable that the borrower would default. As result, the Company recognized an expense of RMB 469,042, which equaled to the then fair value of the 1,312,552 ADSs lent to the borrower, net of the fair value of probable recoveries, with an offset to additional paid-in capital. Probable recoveries were estimated as nil at the time in 2008. The fair value of the outstanding loaned shares was RMB 35,230 (US$ 5,605) as of December 31, 2012. The unamortized amount of the issuance costs associated with the share-lending arrangement included in the deferred issuance cost in the balance sheet were RMB 8,253 as of December 31, 2012. The amount of interest cost recognized relating to the amortization of the issuance cost associated with the share-lending arrangement were RMB 29,537 and RMB 8,208 for the years ended December 31, 2012 and 2013, respectively. | |
In June 2012, a Claims Determination Deed was entered into between the Company and One ADS Borrower (the “Claims Determination Deed”), admitting the Claim (the “Claim”) against the Borrower as a general unsecured claim which qualifies for dividends from the Borrower for an amount of GBP 38.2 million (RMB 380,075). On June 29, 2012, the Company entered into an agreement through private negotiation with a carefully selected group of claims purchasers to sell certain rights pertaining to the claim against the Borrower and all rights to receive distribution payments from the Borrower in exchange for cash consideration of GBP 37.1 million (RMB 369,153). As required under the claim transfer procedures, the joint administrators of the Borrower have acknowledged the sale of the Claim to the purchaser on August 9, 2012. There is no recourse from the purchaser to the Company if the claim is not satisfied in full by the Borrower. A gain of RMB 369,153 was recorded as other income in the Consolidated Statements of Operations and Comprehensive Loss. | |
After the Company repaid the principal amount and accrued interest of the Senior Notes, the other ADS Borrower returned the Loaned ADS to the Company in full in May 2013. | |
Other_payables_to_third_partie
Other payables to third parties | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Other payables to third parties | ||||||
Other payables to third parties | 17.Other payables to third parties | |||||
Other payables consisted of the following: | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Payables for purchase of property, plant and equipment | 221,232 | 195,069 | ||||
Payables for project assets | — | 134,667 | ||||
Payables for land use rights | 35,000 | 33,000 | ||||
Miscellaneous tax payables | 18,253 | 34,033 | ||||
Deposits | 5,433 | 21,679 | ||||
Labor services payables | 11,959 | 8,634 | ||||
Logistic charges | 28,422 | 48,132 | ||||
Payable to staff * | 52,732 | — | ||||
Interest | 88,060 | 181,857 | ||||
Others | 21,179 | 36,300 | ||||
Total other payables | 482,270 | 693,371 | ||||
*Amount due to employees related to short term borrowings from employees at an average interest rate of 9%. | ||||||
Accrued_expenses
Accrued expenses | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Accrued expenses | ||||||
Accrued expenses | 18.Accrued expenses | |||||
Accrued expenses consisted of the following: | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Professional service fees | 10,659 | 19,885 | ||||
Interest | 107,611 | 47,250 | ||||
Utilities | 2,685 | 2,109 | ||||
Logistic charges | 11,153 | 23,738 | ||||
Tax | 12,740 | 16,159 | ||||
Others | 21,206 | 38,153 | ||||
Total accrued expenses | 166,054 | 147,294 | ||||
Accrued_warranty_cost
Accrued warranty cost | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Accrued warranty cost | ||||||||
Accrued warranty cost | 19.Accrued warranty cost | |||||||
The movement of Group’s accrued warranty costs for solar module is summarized below: | ||||||||
As of December | As of December | As of December | ||||||
31, | 31, | 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Beginning balance | 78,751 | 114,226 | 158,897 | |||||
Warranty provision | 42,167 | 44,671 | 92,843 | |||||
Warranty utilization | (6,692 | ) | — | — | ||||
Ending balance | 114,226 | 158,897 | 251,740 | |||||
Sharebased_compensation
Share-based compensation | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Share-based compensation | ||||||||||
Share-based compensation | 20.Share-based compensation | |||||||||
As of December 31, 2014, the Company had two share-based compensation plans, which is described below. | ||||||||||
On August 18, 2006, the shareholders of the Company approved the 2006 Stock Incentive Plan (the “2006 Plan”), which permits the grant of share options and shares to its eligible recipients for up to 8,656,000 ordinary shares plus a number of ordinary shares equal to 10% of any additional share capital of the Company issued following the effective date of the 2006 Plan. The Group believes that such awards better align the interests of its employees with those of its shareholders. | ||||||||||
On June 30, 2014, the shareholders of the Company approved the 2014 Stock Incentive Plan (the “2014 Plan”). Under the 2014 Plan, the Company may grant options to purchase 10% of its total issued and outstanding shares as of the date when the board approves the 2014 Plan; provided that, the shares reserved in the award pool shall be increased automatically if and whenever the unissued shares reserved in the award pool accounts for less than 1% of the total then issued and outstanding shares, as a result of which increase the shares unissued and reserved in the award pool immediately after each such increase shall equal to 10% of the then issued and outstanding shares. The Group believes that such awards better align the interests of its employees with those of its shareholders. In general, the plan administrator determines or the evidence of the award specifies, the vesting schedule for each option grant. | ||||||||||
a)Options | ||||||||||
During the year ended December 31, 2014, the Company granted 3,660,000 ordinary share options to certain of its employees. The exercise price of the options ranges from US$ 1.76 to US$ 1.89. | ||||||||||
The Group recognized a pre-tax charge of RMB 12,980, RMB 3,558 and RMB 14,544 (included in selling, general, and administrative expenses and manufacturing overhead, of which RMB 1,256, RMB 372 and RMB 3 was capitalized in the cost of inventory as of December 31, 2012, 2013 and 2014, respectively), for the years ended December 31, 2012, 2013 and 2014 associated with the expensing of stock options, respectively. | ||||||||||
The weighted-average grant-date fair value of options granted during the year ended December 31, 2012 was US$ 1.4. No option grants were made in 2013. The weighted-average grant-date fair value of options granted during the year ended December 31, 2014 was US$ 1.88. The compensation that has been charged for the option, net of the amounts reversed for options forfeited in excess of amounts estimated at the grant date was RMB 11,724, RMB 3,186 and RMB 14,541 for the years ended December 31, 2012, 2013 and 2014, respectively. The amounts reversed associated with options forfeited were RMB 1,616, RMB 577 and RMB 774 for the years ended December 31, 2012, 2013 and 2014, respectively. The total income tax benefit recognized in the income statement for share-based compensation arrangements was nil for the periods. | ||||||||||
The Group used the forfeiture rate of 9.82%, 10.92% and 10.05% respectively for the years ended 2012, 2013 and 2014. | ||||||||||
As of December 31, 2012, 2013 and 2014, there was RMB 3,788, RMB 92 and RMB 13,781 of total unrecognized compensation cost related to non-vested share-based employees arrangements granted under the Plan, respectively. The cost is expected to be recognized over a remaining weighted-average period of 25 months. | ||||||||||
The Company expects to issue new shares to satisfy share option exercises. | ||||||||||
These options will become fully vested upon a change in control or on any date at the discretion of the plan administrator. The fair value of option grant is estimated on the date of grant using the Black-Scholes-Merton model with the following assumptions for options granted to employees during the years ended December 31, 2012, 2013 and 2014 respectively: | ||||||||||
For the year ended | For the year ended | For the year ended | ||||||||
December 31, 2012 | December 31, 2013 | December 31, 2014 | ||||||||
Average risk-free rate | 1.09%~1.27% | — | 1.80%~2.01% | |||||||
Weighted average expected option life | 5.75 years | — | 6 years | |||||||
Volatility rate | 80.5 | % | — | 56.22%~100.06% | ||||||
Dividend | — | — | — | |||||||
-1 | The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected life of the awards in effect at the time of grant. | |||||||||
-2 | The average expected option life is based on the contractual term of the option and expected employee exercise and post-vesting employment termination behavior. Currently, it is based on the simplified approach. | |||||||||
-3 | The Company has no history or expectation of paying dividends on its ordinary shares. | |||||||||
-4 | The Company chose to use the historical volatility and implied volatility of a basket of comparable publicly-traded companies for a period equal to the expected term preceding the grant date. | |||||||||
The following table summarizes information with respect to share options outstanding on December 31, 2014: | ||||||||||
Shares | Weighted | Weighted | Intrinsic | |||||||
Average | Average | Value (US$, | ||||||||
Exercise | Remaining | in thousands) | ||||||||
Price (US$) | Contractual Life | |||||||||
(Year) | ||||||||||
Outstanding at December 31, 2011 | 2,690,650 | 6.71 | 7.17 | — | ||||||
Granted | 2,207,000 | 1.4 | ||||||||
Forfeited | (540,600 | ) | 4.6 | |||||||
Exercised | — | — | ||||||||
Outstanding at December 31, 2012 | 4,357,050 | 4.28 | 7.62 | — | ||||||
Granted | — | |||||||||
Forfeited | (1,373,750 | ) | 1.37 | |||||||
Exercised | (401,750 | ) | 1.37 | |||||||
Outstanding at December 31, 2013 | 2,581,550 | 4.79 | 6.4 | 612 | ||||||
Granted | 3,660,000 | 1.88 | ||||||||
Forfeited | (296,500 | ) | 2.21 | |||||||
Exercised | (268,750 | ) | 1.37 | |||||||
Outstanding at December 31, 2014 | 5,676,300 | 3.21 | 7.59 | 279 | ||||||
Exercisable at December 31, 2014 | 2,261,300 | 5.23 | 5.19 | 273 | ||||||
The total intrinsic value of options exercised during the years ended December 31, 2012, 2013 and 2014 was $0, $134 and $186, respectively. | ||||||||||
b)Restricted share units (“RSU”) | ||||||||||
RSUs are commitments made to issue ordinary shares at the time that each underlying RSU vests. The RSUs are not legally issued ordinary shares nor do they comprise outstanding ordinary shares and therefore, do not give their holders voting or dividend rights. | ||||||||||
Upon vesting, the shares will be issued by the Company. | ||||||||||
The following table summarizes information with respect to RSUs outstanding on December 31, 2014: | ||||||||||
Shares | Weighted Average | |||||||||
Fair Value (US$) | ||||||||||
Nonvested at December 31, 2011 | 2,493,000 | 5.17 | ||||||||
Granted | 90,000 | 0.79 | ||||||||
Vested | (95,000 | ) | 5.92 | |||||||
Forfeited | (50,000 | ) | 5.85 | |||||||
Nonvested at December 31, 2012 | 2,438,000 | 4.97 | ||||||||
Granted | — | — | ||||||||
Vested | (1,281,890 | ) | 5.04 | |||||||
Forfeited | (140,000 | ) | 4.28 | |||||||
Nonvested at December 31, 2013 | 1,016,110 | 4.95 | ||||||||
Granted | 90,000 | 1.99 | ||||||||
Vested | (85,000 | ) | 5.11 | |||||||
Forfeited | (62,500 | ) | 5.52 | |||||||
Nonvested at December 31, 2014 | 958,610 | 4.62 | ||||||||
For RSUs, the Company recognized a pre-tax charge of RMB 20,249, RMB 5,843 and RMB 1,737 (included in selling, general, and administrative expenses) for the years ended December 31, 2012, 2013 and 2014, respectively. Unrecognized compensation expense related to the RSUs as of December 31, 2013 and 2014 were RMB 2,437 and RMB 536, respectively. The cost is expected to be recognized over a remaining weighted average period of 5 months. The fair value of shares vested during the years ended December 31, 2012, 2013 and 2014 was RMB 997, RMB 2,182 and RMB 1,000, respectively. | ||||||||||
Foreign_currency_forward_contr
Foreign currency forward contracts | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Foreign currency forward contracts | ||||||||||
Foreign currency forward contracts | 21.Foreign currency forward contracts | |||||||||
The Group, as a result of its global operating and financing activities, is exposed to changes in foreign currency exchange rates which may adversely affect its results of operations and financial position. The Group uses foreign currency forward exchange contracts to hedge the exposure to foreign currency risk, primarily the EUR, GBP, USD and JPY. The purpose of the Group’s foreign currency derivative activities is to protect the Group from the risk that the RMB net cash flows resulting from forecasted foreign currency-denominated transactions will be negatively affected by changes in exchange rates. The Group uses foreign currency forward exchange contracts to offset changes in the amount of future cash flows associated with certain third-party sales expected to occur within the next 12 months. | ||||||||||
The Group accounts for derivative instruments pursuant to ASC 815, Derivatives and Hedging, as amended and interpreted, and recognizes all derivative instruments as either assets or liabilities at fair value in other assets or other liabilities in the Consolidated Balance Sheets. The recognition of gains or losses resulting from changes in the values of those derivative instruments is based on the use of each derivative instrument. The Group has evaluated various factors and determined whether there is effectiveness with respect to certain foreign-currency forward contracts and whether these foreign currency forward exchange contracts qualified for foreign currency cash flow hedge accounting. When the company formally designates a contract as a hedge and the hedging relationships are highly effective, the effective portion of the gain or loss on the derivative cash flow hedges is recorded in accumulated other comprehensive income, net of tax, until the underlying hedged transaction is recognized in the consolidated income statements. The ineffective portion of cash flow hedges, if any, is recognized in income immediately. The effectiveness of designated hedging relationships is tested and documented on quarterly basis. Gains or losses on those foreign currency forward exchange contracts which do not qualify for hedge accounting are recognized in change in fair value of derivatives in the Consolidated Statements of Operations and Comprehensive (Loss)/Income. During the year ended December 31, 2012, the Group entered into foreign exchange forward contracts with a notional amount of Euro 158,463, GBP 4,153 and US Dollar 87,119. During the year ended December 31, 2013, the Group entered into foreign exchange forward contracts with a notional amount of EUR 64,254, GBP 11,453, USD 20,683 and JPY 94,500. During the year ended December 31, 2014, the Group entered into foreign exchange forward contracts with a notional amount of EUR 75,164, GBP 171, USD 25,917 and JPY 922,031. As of December 31, 2013, the Group had outstanding foreign currency forward exchange contracts with notional amounts of EUR 11,082. As of December 31, 2014, the Group had outstanding foreign currency forward exchange contracts with notional amounts of EUR 22,284 and JPY 384,584. | ||||||||||
The gain/(loss) from the change in the fair value on the effective portion of derivative cash flow hedges, which is recorded in accumulated other comprehensive income, net of tax, was RMB (11,755), RMB nil and RMB nil for the years ended December 31, 2012, 2013 and 2014, respectively. The gain/(loss) from the change in the fair value on those foreign currency forward exchange contracts not qualifying for hedge accounting, which is recorded in change in fair value of derivatives, was RMB 9,303, RMB (793) and RMB 10,470 for the years ended December 31, 2012, 2013 and 2014, respectively. | ||||||||||
The following table displays the outstanding notional balances and the estimated fair value of the Group’s foreign-currency forward exchange contracts as of December 31, 2013 and 2014 | ||||||||||
As of December 31, | As of December 31, | As of December 31, | As of December 31, | |||||||
2013 | 2013 | 2014 | 2014 | |||||||
RMB | RMB | RMB | RMB | |||||||
Notional Amount | Estimate fair value | Notional Amount | Estimate fair value | |||||||
Foreign exchange forward contracts not designated as hedging instruments, recorded in other current assets | 93,295 | 237 | 192,201 | 5,541 | ||||||
Issuance_of_ordinary_shares_an
Issuance of ordinary shares and warrants | 12 Months Ended |
Dec. 31, 2014 | |
Issuance of ordinary shares and warrants | |
Issuance of ordinary shares and warrants | 22.Issuance of ordinary shares and warrants |
On August 14, 2013, the Company entered into a Securities Purchase Agreement (the “Purchase Agreement”) with a single institutional investor, Capital Ventures International (the “Investor”), to issue in a registered direct offering an aggregate of US$ 24 million (RMB equivalent 147,998) for 15,228,425 ordinary shares, US$0.0001 par value per share, of the Company (“Ordinary Shares”), represented by 3,045,685 American Depositary Shares (each, an “ADS”) at a price of US$7.88 per ADS. The offering price is 94% of the volume-weighted average price of the Company’s ADSs on August 13, 2013 (i.e. US$ 8.383 per ADS per Bloomberg on August 13, 2013). The offering resulted in net proceeds of RMB128,529, after deducting the placement fees and offering expenses. | |
Series A and B Warrants | |
In conjunction with the ordinary share offering, the Company also issued to the Investor Series A-1 Warrant, Series A-2 Warrant, Series A-3 Warrant, and Series B Warrant (“Warrants”) to acquire up to 12,724,164 ordinary shares (or 2,544,833 ADSs), 12,724,164 ordinary shares (or 2,544,833 ADSs), 12,724,164 ordinary shares (or 2,544,833 ADSs), and 50,896,656 ordinary shares (or 10,179,332 ADSs), respectively. | |
The Series A-1 warrant to purchase ordinary shares can be exercised on or prior to the date that is three months after the date it is issued at an initial exercise price of US$1.886 per ordinary share (equivalent to an exercise price of US$9.43 per ADS), subject to anti-dilution adjustments with respect to issuances of ordinary shares, options or convertible securities, or the modification of issued options or convertible securities. The Series A-2 warrant to purchase ordinary shares can be exercised on or prior to the date that is six months after the date it is issued at an initial exercise price of US$1.886 per ordinary share (equivalent to an exercise price of US$9.43 per ADS), subject to anti-dilution adjustments with respect to issuances of ordinary shares, options or convertible securities, or the modification of issued options or convertible securities. The Series A-3 warrant to purchase ordinary shares can be exercised on or prior to the date that is nine months after the date it is issued at an initial exercise price of US$1.886 per ordinary share (equivalent to an exercise price of US$9.43 per ADS), subject to anti-dilution adjustments with respect to issuances of ordinary shares, options or convertible securities, or the modification of issued options or convertible securities. | |
The Series B warrant to purchase up ordinary shares represented by ADSs at an initial exercise price of US$2.18 per ordinary share (equivalent to an exercise price of US$10.90 per ADS), subject to anti-dilution adjustments with respect to issuances of ordinary shares, options or convertible securities, or the modification of issued options or convertible securities, and subject to reset on the date that is nine months after the date it is issued. The Series B Warrant being offered is exercisable on the date that is one day after the one-year anniversary of the date on which it is issued and expires on the date that is two years after the date on which the Series B Warrant is first exercisable. | |
At any time after the issuance of warrants, the holders of the warrants shall be entitled to participate in such distribution to the same extent that the Holder would have participated therein if the Holder had held the number of Ordinary Shares and/or ADSs, as applicable, acquirable upon complete exercise of this Warrant (without regard to any limitations on exercise hereof, including without limitation). The holders of the warrants are entitled to receive any dividends paid or distributions made, except with respect to share dividends covered by the anti-dilution adjustment provision of the warrant, to the holders of our ordinary shares to the extent the holders of each warrant would have participated if such holders held a number of shares, acquirable upon exercise of such warrant. | |
In November 2013, February 2014, and May 2014, the Series A-1 Warrant, Series A-2 Warrant and Series A-3, respectively, Warrant were exercised in full at the price of US$ 9.43 per ADS. The fair value of warrant liability for Series A-1 Warrant, Series A-2 Warrant and Series A-3 Warrant on respective warrant exercise date was RMB35,693, RMB2,797 and RMB 3,530, respectively, which was reclassified to additional paid-in- capital upon exercises. | |
Accordance with ASC subtopic 815-10, the warrants are deemed legally detachable and separately exercisable from the ordinary shares and thus accounted for as a freestanding instrument. As the warrants are denominated in US Dollar, yet the Company’s functional currency is RMB, warrants are not considered indexed to the Company’s own stock. Accordingly, the warrants are liability derivatives which need to be fair valued on day one and mark to market subsequently at each reporting period end, with the fair value gain or loss arising from the re-measurement recognized in the Consolidated Statements of Operations and Comprehensive (Loss)/Income. | |
On the transaction date, the sales proceeds are first allocated to the warrant based on the warrants’ full fair value of RMB 172,916 and the residual amount of the sales proceeds is allocated to the ordinary shares. The fair value of the warrants in excess of net proceeds of the equity offering of RMB 44,396, was charged to retained earnings as a deemed dividend due to this portion is a benefit transferred from existing shareholders to the new investor. Such amount charged as deemed dividend on the transaction date and is an adjustment to net loss available to attributable to JA Solar Holdings for basic and diluted EPS calculation, as an effective dividend from existing ordinary shareholders. For the year ended December 31, 2013 and 2014, RMB 51,074 of loss and RMB 74,014 of gain, respectively, was recognized based on a subsequent change in fair value of the warrants in the Company’s Consolidated statements of Operations and Comprehensive (Loss) /Income.(Note 27) | |
The series A-1, A-2, A-3 and B warrants are participating securities because they had contractual rights to share in the profits but not losses of the Company. For the year ended December 31, 2013, the computation of basic loss per share using the two-class method was not applicable as the Company was in a net loss position. For the year ended December 31, 2014, the computation of basic loss per share using the two-class method was applicable as the Company was making profit in year 2014 | |
Mainland_China_contribution_pl
Mainland China contribution plan and profit appropriation | 12 Months Ended | ||
Dec. 31, 2014 | |||
Mainland China contribution plan and profit appropriation | |||
Mainland China contribution plan and profit appropriation | 23.Mainland China contribution plan and profit appropriation | ||
a)China contribution plan | |||
Full-time employees of the Group in the PRC participate in a government-mandated multi-employer defined contribution plan pursuant to which certain pension benefits, medical care, unemployment insurance, employee housing fund and other welfare benefits are provided to employees. PRC labor regulations require the Group to accrue for these benefits based on certain percentage of the employees’ salaries. However, the Group is not responsible for meeting any obligations under the plan. The total contribution for such employee benefits was RMB 95,929, RMB 96,062 and RMB 104,719 for the years ended December 31, 2012, 2013 and 2014, respectively. | |||
b)Statutory reserves | |||
Pursuant to laws applicable to entities incorporated in the PRC, the subsidiaries in the PRC should make appropriations from after-tax profit to non-distributable reserve funds. These reserve funds include the following: (i) a general reserve, (ii) an enterprise expansion fund and (iii) a staff bonus and welfare fund. The subsidiaries in the PRC are required to transfer at least 10% of their profit after taxation (as determined under accounting principles generally accepted in the PRC (“PRC GAAP”) at each year-end) to the general reserve fund until the reserve balance reaches 50% of their respective registered capital. The appropriations to other funds are at the PRC subsidiaries’ discretion. These reserve funds can only be used for specific purposes of enterprises expansion, staff bonus, and welfare and not distributable as cash dividends. | |||
The general reserves made by the Group’s PRC subsidiaries in 2012, 2013 and 2014 were RMB nil, RMB 1,760 and 26,657, respectively. During the year ended December 31, 2013, the Group made a reversal of RMB 8,257, from the common statutory reserve fund to retained earnings due to an adjustment related to income tax filing difference was made in its local PRC GAAP accounts. | |||
c)Restricted capital | |||
The following paid-in-capital amounts are unavailable for distribution as nominal dividends to the Company: | |||
Legal Entity | Paid-in Capital | ||
restricted | |||
JingAo Solar Co., Ltd. | RMB 1,000,000 | ||
Shanghai JA Solar Technology Co., Ltd. | USD 80,000 | ||
Shanghai JA Solar PV Technology Co., Ltd. | USD 20,000 | ||
JA Solar Technology Yangzhou Co., Ltd. | USD 260,000 | ||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. | USD 98,000 | ||
JA Yangzhou PV Technology Co., Ltd. | USD 10,000 | ||
Shanghai Jinglong Solar Technology Co., Ltd. | RMB 180,000 | ||
Donghai JA Solar Technology Co., Ltd. | RMB 50,000 | ||
JA (Hefei) Renewable Energy Co., Ltd. | USD 15,000 | ||
Hefei JA Solar Technology Co., Ltd. | RMB 1,440,000 | ||
Solar Silicon Valley Electronic Science and Technology Co., Ltd. | USD 36,986 | ||
JA Solar Investment (China) Co., Ltd. | USD 40,000 | ||
Dunhuang JA Solar Power Development Co., Ltd | RMB 254,000 | ||
Hebei Ningjin Songgong Semiconductor Co., Ltd. | RMB 275,000 | ||
JA Solar PV Technology Co., LTD | USD 10,000 | ||
JA Solar PV Electric (Shexian) Co,. Ltd | RMB 3,000 | ||
Aiyouen Power Electric (Yinchuan) Co,. Ltd | RMB 26,000 | ||
JA Solar PV Electric (Baotou) Co,. Ltd | RMB 2,000 | ||
Beijing JA Solar PV Technology Co., Ltd. | RMB 20,000 | ||
JA Solar PV Electric (Huanghua) Co,. Ltd | RMB 1,000 | ||
JA Solar PV Electric (Yanchi) Co,. Ltd | RMB 4,000 | ||
JA New Energy Development (Hebei) Co., Ltd. | RMB 1,000 | ||
Earnings_loss_per_share
Earnings (loss) per share | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Earnings (loss) per share | ||||||||
Earnings (loss) per share | 24.Earnings (loss) per share | |||||||
Basic and diluted net (loss)/ earnings per share for the years ended December 31, 2012, 2013 and 2014 are calculated as follows: | ||||||||
Year ended | Year ended | Year ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Numerator: | ||||||||
Net (loss)/income attributable to JA Solar Holdings | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Fair value of warrants in excess of net proceeds of equity offering | — | (44,396 | ) | — | ||||
Allocation of net income to participating warrant holder | — | — | (77,174 | ) | ||||
Numerator for basic (loss)/earnings per share | (1,662,257 | ) | (473,676 | ) | 346,597 | |||
Dilutive effect of: | ||||||||
Add back allocation to participating warrant holder (1) | 4,336 | |||||||
Excluding portion of fair value gain (2) | (16,716 | ) | ||||||
Numerator for diluted earnings per share | (1,662,257 | ) | (473,676 | ) | 334,217 | |||
Denominator: | ||||||||
Denominator for basic loss per share - weighted average ordinary shares outstanding | 194,788,429 | 201,317,884 | 242,192,859 | |||||
Dilutive effect of share options and RSUs* | — | — | 363,633 | |||||
Dilutive effect of warrants* | — | — | 306,592 | |||||
Denominator for diluted loss per share | 194,788,429 | 201,317,884 | 242,863,084 | |||||
Basic (loss)/earnings per share | (8.53 | ) | (2.35 | ) | 1.43 | |||
Diluted (loss)/earnings per share | (8.53 | ) | (2.35 | ) | 1.38 | |||
-1 | Net income has been adjusted to participating Series A-3 Warrant and Series B Warrant holder based on their respective rights to share in dividends in 2014. | |||||||
-2 | The fair value gain represents the change in fair value of Series A-3 Warrant, which is deducted from income (numerator) in calculating diluted earnings per share. Series A-3 Warrant has dilutive effect as its exercise price of US$ 9.43 per ADS is less than average stock price during the period it was outstanding. | |||||||
*. These potentially dilutive share options, RSUs and convertible notes totaling 5,628,371 in 2012 were not included in the calculation of dilutive earnings per share in 2012 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive share options and RSUs totaling 3,433,109 in 2013 were not included in the calculation of dilutive earnings per share in 2013 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive warrants 30,806,670 in 2013 were not included in the calculation of dilutive earnings per share in 2013 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive share options and RSUs totaling 2,856,278 in 2014 were not included in the calculation of dilutive earnings per share in 2014 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive warrants 52,569,971 in 2014 were not included in the calculation of dilutive earnings per share in 2014 because of their anti-dilutive effect. Series B Warrant is anti-dilutive as the exercise price of US$ 10. 90 per ADS is higher than average stock price during the year. | ||||||||
Related_party_transactions
Related party transactions | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Related party transactions | ||||||||
Related party transactions | 25Related party transactions | |||||||
a)Amounts due to related parties consisted of the following: | ||||||||
As of December 31, | As of December 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Short-term: | ||||||||
Payables to Hebei Jinglong Industry and Commerce Group Co., Ltd. (“Hebei Jinglong”) | 13,462 | 8,040 | ||||||
Payables to Jing Wei Electronics Co., Ltd.(“Jing Wei”) | 97,648 | 84,020 | ||||||
Payables to Xingtai Jinglong Electronics and Materials Co., Ltd.(“Xingtai Jinglong”) | 60,807 | 63,633 | ||||||
Payables to Heibei Ningjin Songgong Electronics Co., Ltd. (“Songgong Electronics”) | 37,456 | 17,302 | ||||||
Payables to Yangguang Guifeng Electronics Co., Ltd.(“Yangguang Guifeng”) | 55,965 | 88,757 | ||||||
Payables to Ningjin Saimei Ganglong Electronics Co., Ltd. (“Saimei Ganglong”) | — | 34,821 | ||||||
Payables to Hebei Jinglong Fine Chemical Co., Ltd. (“Fine Chemical”) | — | 24,827 | ||||||
Others | 61,552 | 17,917 | ||||||
Total amounts due to related parties | 326,890 | 339,317 | ||||||
b)Amounts due from related parties consisted of the following: | ||||||||
As of December 31, | As of December 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Short-term: | ||||||||
Advance to related party suppliers, net | ||||||||
Advances to Hebei Jinglong | 113,000 | 60,000 | ||||||
Accounts receivable from related party customers, net | ||||||||
Receivables from JA Solar PV Electric (Lincheng) Co,. Ltd. (“Lin Cheng”) | — | 109,407 | ||||||
Receivables from Hebei Jinglong | 65,567 | 106,194 | ||||||
Receivables from Jing Wei | 72,510 | 28,194 | ||||||
Receivables from Xingtai Jinglong | 58,750 | 19,694 | ||||||
Receivables from Songgong Electronics | 38,598 | 67,243 | ||||||
Receivables from Yangguang Guifeng | 44,266 | 40,726 | ||||||
Receivables from others-short term | 16,006 | 10,818 | ||||||
Amount due from related parties: | ||||||||
Loan to Yangzhou JA Property Co., Ltd. (“Yangzhou Property”) | 40,000 | 40,000 | ||||||
Amount due from others-short term | 3,436 | 7,890 | ||||||
Long-term: | ||||||||
Advances to Hebei Jinglong-long term | 603 | 10,145 | ||||||
Total amounts due from related parties | 452,736 | 500,311 | ||||||
c)Transactions with Hebei Jinglong | ||||||||
Wafer supply | ||||||||
In July 2006, the Group entered into a master long-term supply contract (the “Jinglong Long-term Supply Contract”) with Hebei Jinglong for the supply of silicon wafers. Hebei Jinglong is owned by the shareholders of the largest shareholder of the Company, Jinglong Group Co., Ltd. (“Jinglong BVI”), and thus, is a related party of the Company. Mr. Baofang Jin, our executive chairman, owns 32.96% equity interests in each of Hebei Jinglong and Jinglong BVI. The Jinglong Long-term Supply Contract had an initial term of four and half years, from July 2006 to December 2010, which automatically extended for another three years until the end of 2013. The Group has also entered into various short-term supply contracts with Hebei Jinglong for the supply of silicon wafers (together with the Jinglong Long-term Supply Contract the “Jinglong Supply Contracts”). Under the Jinglong Supply Contracts, Jinglong Group has agreed to supply the Group with silicon wafers at prevailing market prices with a reasonable discount and under prepayment arrangements. The Group has entered into various supplemental agreements to the Jinglong Supply Contracts to specify certain performance terms, including amendment of prepayment amounts and their utilization. The prepayment and delivery terms under the existing Jinglong Long-term Supply Contract had been revised subsequently in August 2007, September 2008, and February 2009. | ||||||||
The Group reviewed the contracts under ASC 815, Derivatives and Hedging, and ASC 810, Consolidation, and determined that they don’t contain an embedded derivative nor would the supplier contracts cause the supplier to be a variable interest entity. | ||||||||
For the years ended 31 December 2012, 2013 and 2014, the Group purchased RMB 191,339, RMB 205,047 and RMB 0 respectively, of silicon wafers from Jinglong Group under the Jinglong Supply Contracts. | ||||||||
Unused prepayments were RMB 113,603 and RMB 70,145 at December 31, 2013 and 2014, respectively, and were recorded in advances to related party supplier in the consolidated balance sheet. | ||||||||
Outsourcing service | ||||||||
The Group outsourced wafer processing services to Hebei Jinglong, who helped the Group turn polysilicon into wafers. The outsourcing service fee was RMB17,899, RMB 1,024 and RMB 320 for Hebei Jinglong for the years ended December 31, 2012, 2013 and 2014 respectively. | ||||||||
Management fees and leasing | ||||||||
The Group leases properties from Hebei Jinglong and another related party under operating lease agreements. The Group incurred rental expenses under operating lease agreements to Hebei Jinglong in the amounts of RMB 12,000, RMB 42,089 and RMB 47,352 for the years ended December 31, 2012, 2013 and 2014, respectively. | ||||||||
d)Transactions with other related parties | ||||||||
For the year ended | For the year ended | For the year ended | ||||||
December 31, 2012 | December 31, 2013 | December 31, 2014 | ||||||
RMB | RMB | RMB | ||||||
Sales of products | ||||||||
Subsidiaries of Hebei Jinglong | 172,623 | 394,974 | 73,215 | |||||
Ningjin Songgong | 67,393 | 1,531 | — | |||||
Others | 3,204 | — | 115,382 | |||||
Total | 243,220 | 396,505 | 188,597 | |||||
Purchase of products | ||||||||
Subsidiaries of Hebei Jinglong | 464,511 | 609,635 | 1,079,882 | |||||
Ningjin Songgong | 350,685 | 35,504 | — | |||||
Others | 12,515 | — | — | |||||
Total | 827,711 | 645,139 | 1,079,882 | |||||
Processing service | ||||||||
Subsidiaries of Hebei Jinglong | 19,086 | 7,124 | 14,735 | |||||
Others | 7,618 | — | — | |||||
Total | 26,704 | 7,124 | 14,735 | |||||
Purchase of equipment and building | ||||||||
Subsidiaries of Hebei Jinglong | 2,481 | 1,967 | 2,543 | |||||
Yangzhou Property | — | — | 77,398 | |||||
Total | 2,481 | 1,967 | 79,941 | |||||
Sales of equipment | ||||||||
Subsidiaries of Hebei Jinglong | — | 5,000 | — | |||||
Total | — | 5,000 | — | |||||
Provide entrusted loan | ||||||||
Yangzhou Property | — | 40,000 | 40,000 | |||||
Total | — | 40,000 | 40,000 | |||||
Provide Guarantee | ||||||||
Yangzhou Property | — | 20,000 | — | |||||
Total | — | 20,000 | — | |||||
Receive Guarantee | ||||||||
Hebei Jinglong | — | 228,000 | 672,047 | |||||
Yangzhou Property | — | 50,000 | 80,000 | |||||
Total | — | 278,000 | 752,047 | |||||
As of December 31, 2014, the Group provided no guarantees to related parties while as of December 31, 2013, the Group provided guarantees to Yangzhou Property for a short-term borrowing with a principal of RMB 20,000. Meanwhile, the Group received guarantees from Yangzhou Property for a short-term borrowing with a principal of RMB 50,000 and RMB 80,000 in 2013 and 2014, respectively. No amounts have been accrued as a loss contingency related to this guarantee because payment by the Group is not probable. The fair value of the guarantee as of December 31, 2014 was not material. In addition, in June 2013, the Company provided an entrustment loan to Yangzhou Property with a principal of RMB 40,000, with an annual interest rate of 6.6% and will be due for repayment in one year. In 2014, the repayment date for the entrustment loan is extended to June 8, 2015. In 2014, the Group purchased a block of building from Yangzhou Property for a consideration of RMB 77,398, which was based on the fair value of the building. | ||||||||
The Group considers that these transactions were carried out at arm’s length with prices comparable to other similar transactions with unrelated third parties. | ||||||||
Contingencies_and_Commitments
Contingencies and Commitments | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Contingencies and Commitments | ||||||||
Contingencies and Commitments | 26.Contingencies and Commitments | |||||||
a)Supplier contract | ||||||||
In order to better manage the Group’s unit costs and to secure adequate and timely supply of polysilicon and silicon wafers during the periods of shortages of polysilicon and silicon wafer supplies, the Group entered into a number of multi-year supply agreements in amounts that were expected to meet the Group’s anticipated production needs. As a condition to its receiving the raw materials under those agreements, and in line with industry practice, the Group was required to, and has made prepayments for all, or a portion, of the total contract price to the suppliers, which are then offset against future purchases. The Group has completed re-negotiating certain of its supplier arrangements and is currently in the process of re-negotiating the remaining prepayment obligations with its suppliers. | ||||||||
Set out below are the Group’s fixed obligations under these multi-year contracts including “take or pay” arrangements. | ||||||||
Obligations under Multi-year Supply Agreements, including “Take or Pay” Supply Agreements | ||||||||
The Group’s multi-year supply agreements with some suppliers are structured as fixed price and quantity “take or pay” arrangements which allow the supplier to invoice the Group for the full stated purchase price of polysilicon or silicon wafers the Group is obligated to purchase each year, whether or not the Group actually purchases the contractual volume. In the years ended December 31, 2013 and 2014, the Company failed to perform purchase obligations of RMB 259 million and 507 million, respectively, under a take-or-pay supply agreement with Supplier D, as it is currently renegotiating with Supplier D. While its take-or-pay arrangements pursuant to certain LTAs are characterized as unconditional purchase commitments which require disclosure under ASC 440-10-50-2 and 4, a separate assessment is performed to determine whether losses should be accrued on those inventory purchase commitments in accordance with ASC 330-10-35-17 to 18. (Refer to Note 2(g) and Note 7 Inventories). | ||||||||
In addition to the “take or pay” supply agreements, the Group has also entered into other multi-year supply agreements to purchase fixed volumes of polysilicon or silicon wafers from certain suppliers. Under these agreements, the purchase price is to be periodically adjusted based on prevailing market price or relevant energy price index. Purchases made under “take or pay” agreements amounted to RMB 1,098,601, RMB 957,358 and RMB 1,581,048 for the years ended December 31, 2012, 2013 and 2014, respectively. The Group’s future obligations under multi-year supply agreements, including “take or pay” supply agreements are as follows: | ||||||||
“Take or pay” | Other | Total | ||||||
supply | Multi-year | |||||||
agreements | supply | |||||||
agreements * | ||||||||
(in RMB) | (in RMB) | (in RMB) | ||||||
Twelve Months Ending December 31 | ||||||||
2015 | 2,674,655 | 299,788 | 2,974,443 | |||||
2016 | 1,634,874 | 382,227 | 2,017,101 | |||||
2017 | 1,598,344 | — | 1,598,344 | |||||
2018 | 1,561,813 | — | 1,561,813 | |||||
2019 | 1,525,283 | — | 1,525,283 | |||||
Thereafter | 761,816 | — | 761,816 | |||||
Total | 9,756,785 | 682,015 | 10,438,800 | |||||
* includes only purchase commitments with fixed or minimum price provisions. | ||||||||
In addition, the Group has also entered into other supply agreements with variable price provisions, under which the purchase price is based on market prices with price adjustment terms. The Group has committed to purchase polysilicon and silicon wafers with the quantity of 0 metric tons and 720 million pieces respectively during 2015 to 2017, which are with variable price provisions and not included in the above table. | ||||||||
Outstanding supplier advances made to suppliers with whom the Group has entered into “take or pay” arrangements amounted to RMB 732,394 and RMB 561,363 as of December 31, 2013 and 2014, respectively. | ||||||||
If the Group fails to meet the obligations, including purchase quantity commitments, under the amended agreements and are unable to further renegotiate the terms of these multi-year supply agreements, the Group may be forced to forfeit certain prepayment amounts and be subject to claims or other disputes which could materially and adversely affect the Group’s results of operations, and financial position. | ||||||||
b)Long-term supply contract with Supplier D | ||||||||
The Group entered into a long-term polysilicon supply contract with supplier D in March 2011 and the agreement is structured as fixed price and quantity “take or pay” arrangement from 2013 to 2020. Under the long-term supply contract, the Group is required to make the advance payments and purchase a contracted minimum volume of polysilicon at predetermined fixed prices and in accordance with a pre-determined schedule, commencing January 1, 2013. Due to significant decrease of silicon price in the market and uncertainties brought by anti-dumping and anti-subsidy tariff imposed after the supply contract was signed, the Group believes the performance of the contract is commercially unreasonable and therefore, the Group did not make the full advance payment and accept any delivery in 2013 and 2014. On March 31, 2015, such supplier gave notice to the Group to terminate the longer-term polysilicon supply contract with immediate effect. Supplier D stated that the reason for the termination was an alleged breach of the supply contract by the Group and demanded that the Group pay US$921 million, which are comprised of the remaining advance prepayments, take-or-pay for the period from 2013 to 2020 and the financial penalty for the late payments till March 31, 2015. The Group is still in the process of renegotiating with such supplier on various terms. The Group also assessed whether there would be loss on firm purchase commitments by applying a methodology similar to that used in the lower of cost or market evaluation with respect to inventory, and concluded that no loss provision under the LTA with Supplier D should be provided as of December 31, 2013 and 2014 (Refer to Note 7 Inventories). However, the Group’s efforts to renegotiate with such supplier may not be successful. As of December 31, 2014, the Group has made a full provision against the balance of advance payment of RMB63.3 million (US$10.2 million) made to such supplier under the long-term supply contract. The Group may also be subject to lawsuit or other forms of dispute resolutions and be exposed to potential judgment of damages if the Group’s renegotiation efforts are unsuccessful, which may have a material and adverse effect on the Group’s business, financial condition, results of operations and prospects. At this point, the Group assessed the loss is probable. However, it cannot reasonably estimate the amount of probable loss and low end of range is zero. | ||||||||
c)Operating lease commitments | ||||||||
As of December 31, 2014, the Group has several operating lease agreements to lease certain assets, including offices, dormitory and land. These non-cancelable operating leases expire from July 2010 to May 2017, with rental fees that approximates market rents. | ||||||||
Future minimum obligations for operating leases are as follows: | ||||||||
(in RMB) | ||||||||
2015 | 65,387 | |||||||
2016 | 41,751 | |||||||
2017 | 1,790 | |||||||
2018 | — | |||||||
Thereafter | — | |||||||
Total | 108,928 | |||||||
Rent expense under all operating leases was RMB 23,357, RMB 53,422 and RMB 61,950, for the years ended December 31, 2012, 2013 and 2014, respectively. | ||||||||
d)Capital expenditure | ||||||||
As of December 31, 2014, the Group had contracted for capital expenditure on machinery and equipment of RMB 427,420. | ||||||||
Fair_value_measurements
Fair value measurements | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Fair value measurements | ||||||||||||
Fair value measurements | 27.Fair value measurements | |||||||||||
ASC 820 establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Group. Unobservable inputs are inputs that reflect the Group’s assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. As such, fair value is a market-based measure considered from the perspective of a market participant who holds the asset or owes the liability rather than an entity-specific measure. The hierarchy is broken down into three levels based on the reliability of inputs as follows: | ||||||||||||
· | Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities that the Group has the ability to access. | |||||||||||
· | Level 2—Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, directly or indirectly. | |||||||||||
· | Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement. | |||||||||||
When available, the Group uses quoted market prices to determine the fair value of an asset or liability. If quoted market prices are not available, the Group will measure fair value using valuation techniques that use, when possible, current market-based or independently sourced market parameters, such as interest rates and currency rates. Following is a description of the valuation techniques that the Group uses to measure the fair value of assets and liabilities that the Group measures and reports on its balance sheet at fair value on a recurring basis. | ||||||||||||
Short-term financial instruments: The Group’s short-term financial instruments consist of cash and cash equivalents, restricted cash, accounts receivable and payable, notes receivable, short-term borrowings, and accrued expenses. The cost approximates the fair value because of the short maturity period. | ||||||||||||
Long-term borrowings: The fair value is based on the amount of future cash flows associated with each debt instrument discounted at the Group’s current borrowing rate for similar debt instruments of comparable terms. The carrying values of the long-term borrowings approximate their fair values as all the long-term borrowings carries variable interest rates which approximate rates currently offered by the Group’s bankers for similar debt instruments of comparable maturities. | ||||||||||||
Derivative assets and liabilities. The Group’s derivative assets and liabilities consist of embedded foreign currency derivatives in the Group’s sales and purchase contracts denominated in currencies other than Renminbi or the functional currency of the counterparty, the capped call transactions denominated in USD, embedded derivatives underlying convertible notes, foreign currency forward contract instruments and warrants derivatives . Since its capped call transactions, embedded derivatives underlying convertible notes and warrants derivatives are not traded on an exchange, they are valued using valuation models. Management is responsible for determining these fair values and considered a number of factors including valuations. The capped call transactions are valued using the Black Scholes Option Pricing Model. The embedded derivatives underlying convertible notes and warrants derivatives are bifurcated using the “with or without” approach. As there are interrelationships among the embedded derivatives, they are valued using a Monte Carlo simulation. Interest rate yield curves, foreign exchange rates, stock price, volatility, expected term, risk-free rate and fundamental change event probabilities are the significant inputs into these valuation models. The inputs used in the valuation of the capped call transactions are observable in active markets over the terms of the instruments the Group holds, and accordingly, the Group classifies these valuation techniques as Level 2 in the hierarchy. In regards to the embedded derivatives underlying convertible notes and warrants derivatives, fair value was determined using a “with and without” approach which was based on both Level 2 and Level 3 inputs. The Group determined that the Level 3 input, that is the fundamental change event probabilities, is significant to the overall fair value measurement. The Group considered the effect of its own credit standing and that of its counterparties in its valuations of its derivative financial instruments. The Group entered into foreign currency forward contracts that are designated as cash flow hedges of exchange rate risk related to forecasted foreign currency denominated sales. The Group’s financial instrument counterparties are high-quality commercial banks with significant experience with such instruments. Fair values of the Group’s forward contracts are determined using significant other observable inputs (Level 2 fair value measurements), and are based on the present value of expected future cash flows considering the risks involved and using discount rates appropriate for the duration of the contracts. | ||||||||||||
Recurring change in fair value | ||||||||||||
As of December 31, 2013, information about inputs into the fair value measurements of the Group’s assets and liabilities that are measured at fair value on a recurring basis in periods subsequent to their initial recognition is as follows: | ||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||
Description | Balance as of | Quoted Prices in | Significant Other | Significant | ||||||||
31 December | Active Markets | Observable Inputs | Unobservable | |||||||||
2013 | for Identical | (Level 2) | Inputs | |||||||||
Assets (Level 1) | (Level 3) | |||||||||||
Assets: | ||||||||||||
Foreign exchange forward contract instruments | 237 | — | 237 | — | ||||||||
Liabilities: | ||||||||||||
Derivatives liabilities - warrants | (185,365 | ) | (185,365 | ) | ||||||||
As of December 31, 2014, information about inputs into the fair value measurements of the Group’s assets and liabilities that are measured at fair value on a recurring basis in periods subsequent to their initial recognition is as follows: | ||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||
Description | Balance as of | Quoted Prices in | Significant Other | Significant | ||||||||
31 December | Active Markets | Observable Inputs | Unobservable | |||||||||
2014 | for Identical | (Level 2) | Inputs | |||||||||
Assets (Level 1) | (Level 3) | |||||||||||
Assets: | ||||||||||||
Foreign exchange forward contract instruments | 5,541 | — | 5,541 | — | ||||||||
Liabilities: | ||||||||||||
Derivatives liabilities - warrants | (105,785 | ) | (105,785 | ) | ||||||||
Assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3 valuation) | ||||||||||||
A summary of changes in Level 3 warrant derivatives for the year ended December 31, 2013 was as follows: | ||||||||||||
Balance at December 31, 2012 | — | |||||||||||
Fair value balance as of Aug. 13, 2013 | (172,916 | ) | ||||||||||
Unrealized gain included in change in fair value of warrant derivatives | (51,074 | ) | ||||||||||
Exercise of warrants reclassified to additional paid –in capital | 35,701 | |||||||||||
Exchange gain | 2,924 | |||||||||||
Balance at December 31, 2013 | (185,365 | ) | ||||||||||
A summary of changes in Level 3 warrant derivatives for the year ended December 31, 2014 was as follows: | ||||||||||||
Balance at December 31, 2013 | (185,365 | ) | ||||||||||
Unrealized gain included in change in fair value of warrant derivatives | 74,014 | |||||||||||
Exercise of warrants reclassified to additional paid –in capital | 6,343 | |||||||||||
Exchange gain | (777 | ) | ||||||||||
Balance at December 31, 2014 | (105,785 | ) | ||||||||||
Assets valued at Fair Value on a Non-recurring basis | ||||||||||||
As of December 31, 2012 | ||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||
Description | Balance as of | Quoted Prices in | Significant Other | Significant | Total | |||||||
31 December | Active Markets | Observable Inputs | Unobservable | (losses) | ||||||||
2012 | for Identical | (Level 2) | Inputs | |||||||||
Assets (Level 1) | (Level 3) | |||||||||||
Assets: | ||||||||||||
Long-lived assets | 515,854 | — | — | 515,854 | (397,789 | ) | ||||||
Investment in a joint venture | 50,910 | — | — | 50,910 | (38,000 | ) | ||||||
The long-lived assets represent property, plant and equipment for production of multi-crystalline wafers and certain machines which cannot be used for production due to poor physical condition or outdated facilities. | ||||||||||||
In accordance with the provisions of the Impairment or Disposal of Long-Lived Assets Subsections of FASB Codification Subtopic 360—10, long-lived assets held and used with a carrying amount of RMB 913,643 were written down to their fair value of RMB 515,854, resulting in an impairment charge of RMB 397,789, which was calculated based on Level 3 Inputs and included in earnings for the period. | ||||||||||||
Investment in a joint venture represents investment in JA MEMC with a carrying amount of RMB 50,910. An other-than-temporary impairment charge of RMB 38,000 was recorded against the investment in JA MEMC in the year ended December 31, 2012. | ||||||||||||
Change in fair value of derivatives | ||||||||||||
The Change in fair value of derivatives recognized in earnings, excluding embedded derivatives underlying convertible notes repurchased which are recognized in buyback gain, was as follows: | ||||||||||||
For the year ended | For the year ended | For the year ended | ||||||||||
December 31, 2012 | December 31, 2013 | December 31, 2014 | ||||||||||
Embedded derivatives underlying convertible notes | 32 | — | — | |||||||||
Derivatives liabilities - warrants | — | (51,074 | ) | 74,014 | ||||||||
Foreign exchange forward contracts not designated as hedging instruments | 9,302 | (793 | ) | 10,470 | ||||||||
9,334 | (51,867 | ) | 84,484 | |||||||||
Segment_information
Segment information | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Segment information | ||||||||
Segment information | 28.Segment information | |||||||
The Group operates in a single business segment that includes the design, development, and manufacture of PV products. The following table summarizes the Group’s net revenues generated from different geographic locations: | ||||||||
Year Ended December 31, | ||||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
China | 3,086,589 | 3,001,498 | 3,741,732 | |||||
Outside China: | ||||||||
Germany | 1,265,827 | 660,589 | 202,315 | |||||
Japan | 436,443 | 1,596,703 | 3,852,572 | |||||
Rest of the world | 1,930,206 | 1,923,999 | 3,498,904 | |||||
Total outside China | 3,632,476 | 4,181,291 | 7,553,791 | |||||
Total net revenue | 6,719,065 | 7,182,789 | 11,295,523 | |||||
The Group’s long-lived fixed assets are all located in China. | ||||||||
Certain_risks_and_uncertaintie
Certain risks and uncertainties | 12 Months Ended |
Dec. 31, 2014 | |
Certain risks and uncertainties | |
Certain risks and uncertainties | 29.Certain risks and uncertainties |
a)Major customers | |
There is no individual customer accounting for 10% or more of total revenues for the years ended December 31, 2012. For the year ended December 31, 2013 and 2014, there is one customer located in Japan accounting for 18.6% and 28.8% of total revenue. | |
Accounts receivable from the 3 customers with the largest receivable balances represents 17% and 17% of the balance of accounts receivable at December 31, 2013 and 2014, respectively. The Group performs ongoing credit evaluations of its customers’ financial condition whenever deemed necessary and generally does not require collateral. The Group maintains an allowance for doubtful accounts based upon the expected collectability of all accounts receivable, which takes into consideration an analysis of historical bad debts, specific customer creditworthiness and current economic trends. | |
b)Concentrations of credit risk | |
Financial instruments that potentially subject the Group to significant concentrations of credit risk consist principally of cash and cash equivalent, accounts receivables and advances to suppliers. | |
The Group places its cash and cash equivalents with high quality financial institutions in the PRC, US, Hong Kong and Singapore and limits the amount of credit risk from any single institution. China does not have an official deposit insurance program, nor does it have an agency similar to The Federal Deposit Insurance Corporation (FDIC) in the United States. However, the Group believes that the risk of failure of any of these PRC banks is remote. Bank failure is extremely uncommon in China and the Group believes that those Chinese banks that hold the Company’s cash, cash equivalents and long term time deposit are financially sound based on public available information. | |
The Group is also exposed to the credit and financial risks of its suppliers to which the Group made advances. The Group’s financial condition and results of operations may be materially affected if the suppliers fail to meet their obligations of supplying silicon materials according to the contractually agreed schedules. | |
c)Foreign currency risk | |
The RMB is not a freely convertible currency. The PRC State Administration for Foreign Exchange, under the authority of the People’s Bank of China, controls the conversion of RMB into foreign currencies. The value of the RMB is subject to changes in central government policies and to international economic and political developments affecting supply and demand in the PRC foreign exchange trading system market. The Group’s aggregate amount of cash and cash equivalents denominated in RMB amounted to RMB 1,180,356 and RMB 1,121,695 as of December 31, 2013 and 2014, respectively. | |
Ordinary_shares
Ordinary shares | 12 Months Ended |
Dec. 31, 2014 | |
Ordinary shares | |
Ordinary shares | 30Ordinary shares |
The holders of ordinary shares in the Company are entitled to one vote per share and to receive ratably such dividends, if any, as may be declared by the board of directors of the Company. In the event of liquidation, the holders of ordinary shares are entitled to share ratably in all assets remaining after payment of liabilities. The ordinary shares have no preemptive, conversion, or other subscription rights. | |
Subsequent_events
Subsequent events | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent events | |
Subsequent events | 31.Subsequent events |
The Group has performed an evaluation of subsequent events through the date the consolidated financial statements were issued. | |
Restricted_net_assets
Restricted net assets | 12 Months Ended |
Dec. 31, 2014 | |
Restricted net assets | |
Restricted net assets | 32. Restricted net assets |
Relevant PRC laws and regulations permit PRC companies to pay dividends only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations. Additionally, the Company’s subsidiaries can only distribute dividends upon approval of the shareholders after they have met the PRC requirements for appropriation to statutory reserve. The statutory general reserve fund requires annual appropriations of 10% of net after-tax income should be set aside prior to payment of any dividends. As a result of these and other restrictions under PRC laws and regulations, the PRC subsidiaries and affiliates are restricted in their ability to transfer a portion of their net assets to the Company either in the form of dividends, loans or advances, which restricted portion amounted to approximately RMB 7,174,059 or 133.8% of the Company total consolidated net assets as of December 31, 2014. Even though the Company currently does not require any such dividends, loans or advances from the PRC subsidiaries and affiliates for working capital and other funding purposes, the Company may in the future require additional cash resources from its PRC subsidiaries and affiliates due to changes in business conditions, to fund future acquisitions and developments, or merely declare and pay dividends to or distributions to the Company’s shareholders, and if applicable, to the noncontrolling interest. | |
Additional_information_condens
Additional information - condensed financial statements of the Company | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Additional information - condensed financial statements of the Company | ||||||||
Additional information - condensed financial statements of the Company | 33.Additional information — condensed financial statements of the Company | |||||||
The separate condensed financial statements of JA Solar Holdings Co., Ltd. as presented below have been prepared in accordance with Securities and Exchange Commission Regulation S-X Rule 5-04 and Rule 12-04 and present the Company’s investments in its subsidiaries under the equity method of accounting as prescribed in ASC 323. Such investment is presented on the separate condensed balance sheets of the Company as “Investments in subsidiaries.” The condensed financial information of JA Solar Holdings Co., Ltd. has been presented for the period from January 1, 2012 to December 31, 2014. | ||||||||
The subsidiaries did not pay dividend to the Company for the period presented. | ||||||||
Except as disclosed in the consolidated financial statements as presented above, the Company did not have any significant contingency, commitment, long term obligation, or guarantee as of December 31, 2014. | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Revenues | — | — | — | |||||
Total operating expenses | (22,576 | ) | (24,368 | ) | (38,940 | ) | ||
Loss from operations | (22,576 | ) | (24,368 | ) | (38,940 | ) | ||
Interest expense | (192,618 | ) | (47,330 | ) | — | |||
Change in fair value of derivatives | 32 | (51,074 | ) | 74,014 | ||||
Share of (loss)/income from subsidiaries | (1,809,926 | ) | (246,909 | ) | 380,263 | |||
Convertible bond buyback loss | (8,466 | ) | — | — | ||||
Other income/(loss) | 371,297 | (59,599 | ) | 8,434 | ||||
Income/(loss) before income taxes | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Net (loss)/income | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Less: fair value of warrants in excess of net proceeds of equity offering | — | 44,396 | — | |||||
Net (loss)/income attributable to JA Solar Holdings | (1,662,257 | ) | (473,676 | ) | 423,771 | |||
December 31, | December 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | 34,293 | 29,223 | ||||||
Other receivable from subsidiaries | 244,772 | — | ||||||
Other current assets | 3,631 | 2,257 | ||||||
Total current assets | 282,696 | 31,480 | ||||||
Investments in subsidiaries | 2,579,236 | 2,978,282 | ||||||
Amount due from subsidiaries | 2,557,138 | 2,566,506 | ||||||
Total assets | 5,419,070 | 5,576,268 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Other payables to subsidiaries and employees | 7,788 | 6,364 | ||||||
Accrued and other liabilities | 3,611 | 11,454 | ||||||
Derivatives liabilities - warrants | 31,106 | 105,785 | ||||||
Total current liabilities | 42,505 | 123,603 | ||||||
Long-term amount due to subsidiaries | 602,044 | 92,493 | ||||||
Derivatives liabilities - warrants | 154,259 | — | ||||||
Total liabilities | 798,808 | 216,096 | ||||||
Commitments and Contingencies | ||||||||
Shareholders’ equity : | ||||||||
Ordinary shares (US$0.0001 par value; 500,000,000 shares authorized, 227,499,837 and 252,301,917 shares issued and outstanding as of December 31, 2013 and December 31, 2014) | 170 | 186 | ||||||
Additional paid-in capital | 5,327,177 | 5,638,703 | ||||||
Accumulated deficit | (713,574 | ) | (289,803 | ) | ||||
Accumulated other comprehensive income | 6,489 | 11,086 | ||||||
Total shareholders’ equity | 4,620,262 | 5,360,172 | ||||||
Total liabilities and shareholders’ equity | 5,419,070 | 5,576,268 | ||||||
For the year | For the year | For the year | ||||||
ended December | ended December | ended December | ||||||
31, 2012 | 31, 2013 | 31, 2014 | ||||||
RMB | RMB | RMB | ||||||
Cash flows from operating activities: | ||||||||
Net (loss)/Income | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Share-based compensation expense | 2,055 | 1,960 | 4,985 | |||||
Share of (loss)/income from subsidiaries | 1,809,926 | 246,909 | (380,263 | ) | ||||
Amortization of deferred issuance cost and increase in accretion of convertible notes | 135,725 | 35,030 | — | |||||
Change in the fair value of derivatives | (32 | ) | 51,074 | (74,014 | ) | |||
Exchange loss/(income) | 4,422 | 85,032 | (11,636 | ) | ||||
Loss from senior convertible notes buyback | 8,466 | — | — | |||||
Gain from sales of claim against loaned shares | (369,153 | ) | — | — | ||||
Changes in operating assets and liabilities: | ||||||||
Decrease/(increase) in other current assets | (3,227 | ) | 1,651 | 1,374 | ||||
Increase/(decrease) in other payables to subsidiaries and employees | — | 1,216 | (1,424 | ) | ||||
(Decrease)/increase in accrued and other liabilities | (33,728 | ) | (10,978 | ) | 7,843 | |||
Decrease in interest payable | (3,746 | ) | (4,123 | ) | — | |||
Net cash used in operating activities | (111,549 | ) | (21,509 | ) | (29,364 | ) | ||
Cash flows from investing activities: | ||||||||
Loans granted to subsidiaries | (12,349 | ) | — | — | ||||
Loans repayment by subsidiaries | 125,710 | 133,458 | 244,772 | |||||
Net cash provided by investing activities | 113,361 | 133,458 | 244,772 | |||||
Cash flows from financing activities: | ||||||||
Proceeds from long-term loan from subsidiaries | 211,193 | 623,759 | — | |||||
Repurchase of senior convertible notes | (617,937 | ) | (740,027 | ) | — | |||
Proceeds from sales of claim against loaned shares | 369,153 | — | — | |||||
Proceeds from issuance of ordinary shares | — | 128,529 | — | |||||
Proceeds from issuance of ordinary shares upon exercise of warrants | — | 143,107 | 286,747 | |||||
Repurchase of ADS | (15,276 | ) | — | — | ||||
Repayment of long-term loan from subsidiaries | (12,571 | ) | (253,629 | ) | (509,571 | ) | ||
Proceeds from exercise of stock options | — | 3,389 | 2,171 | |||||
Net cash provided by/(used in) financing activities | (65,438 | ) | (94,872 | ) | (220,653 | ) | ||
Effect of exchange rate changes on cash and cash equivalents | 3,628 | 205 | 175 | |||||
Net (decrease)/increase in cash and cash equivalents | (59,998 | ) | 17,282 | (5,070 | ) | |||
Cash and cash equivalents at the beginning of the year | 77,009 | 17,011 | 34,293 | |||||
Cash and cash equivalents at the end of the year | 17,011 | 34,293 | 29,223 | |||||
Summary_of_significant_account1
Summary of significant accounting policies (Policies) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Summary of significant accounting policies | ||||||
Basis of presentation and consolidation | a)Basis of presentation and consolidation | |||||
The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The consolidated financial statements include the financial statements of the Company and its subsidiaries. For consolidated subsidiaries where the Company’s ownership in the subsidiary is less than 100%, the equity interest not held by the Company is presented as noncontrolling interest. All inter-company transactions and balances among the Company and its subsidiaries have been eliminated upon consolidation. | ||||||
Use of estimates | b)Use of estimates | |||||
The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. The Company bases its estimates on historical experience and various other factors believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Significant accounting estimates reflected in the Company’s consolidated financial statements include allowance for doubtful accounts and advances to suppliers, valuation of inventories, derivative and other financial instruments, useful lives of long-lived assets, assumptions used to measure impairment of long-lived assets and equity method investment, determination of fair value of identifiable assets and liabilities acquired through business combination, accrual for warranty and other liabilities, provision for uncertain tax positions and deferred tax valuation allowances, loss contingency, provision for inventory purchase commitment and assumptions used in the computation of share-based compensation, including the associated forfeiture rates. | ||||||
Fair value of financial instruments | c)Fair value of financial instruments | |||||
The Company estimated the fair value of its financial assets and liabilities in accordance with ASC 820, Fair Value Measurements and Disclosure. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (also referred to as an exit price). ASC 820 establishes a hierarchy for inputs used in measuring fair value that gives the highest priority to observable inputs and the lowest priority to unobservable inputs. Valuation techniques used to measure fair value shall maximize the use of observable inputs. | ||||||
When available, the Company measures the fair value of financial instruments based on quoted market prices in active markets, valuation techniques that use observable market-based inputs or unobservable inputs that are corroborated by market data. Pricing information the Company obtains from third parties is internally validated for reasonableness prior to use in the consolidated financial statements. When observable market prices are not readily available, the Company generally estimates the fair value using valuation techniques that rely on alternate market data or inputs that are generally less readily observable from objective sources and are estimated based on pertinent information available at the time of the applicable reporting periods. In certain cases, fair values are not subject to precise quantification or verification and may fluctuate as economic and market factors vary and the Company’s evaluation of those factors changes. Although the Company uses its best judgment in estimating the fair value of these financial instruments, there are inherent limitations in any estimation technique. In these cases, a minor change in an assumption could result in a significant change in its estimate of fair value, thereby increasing or decreasing the amounts of the Company’s consolidated assets, liabilities, shareholders’ equity and net income or loss. | ||||||
Cash, cash equivalents and restricted cash | d)Cash, cash equivalents and restricted cash | |||||
The Group considers all cash on hand and demand deposits as cash and considers all highly liquid investments with an original maturity of three months or less as cash equivalents. Restricted cash as of December 31, 2013 and 2014 represents amounts held by banks, which are not available for the Group’s use, as collateral for issuance of letters of credit, letters of guarantee, bank acceptance notes as well as certain borrowings. | ||||||
Investments | e)Investments | |||||
Investments in entities where the Group does not have a controlling financial interest, but have the ability to exercise significant influence over the operating and financial policies of the investee, are accounted for using the equity method of accounting. Investment in a joint venture or an affiliate is accounted for by the equity method of accounting as the Group has the ability to exercise significant influence but does not own a majority equity interest. Under the equity method of accounting, the Group’s share of the investee’s results of operations is included in equity gain/(loss) for the investee in the Group’s Consolidated Statements of Operations and Comprehensive (Loss)/Income. Unrealized gains on transactions between the Company and the joint venture or affiliate are eliminated to the extent of the Group’s interest in the joint venture or affiliate, if any; unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. When the Group’s share of losses in the joint venture or affiliate equals or exceeds its interest in the joint venture or affiliate, the Group does not recognize further losses, unless the Group has incurred obligations or made payments on behalf of the joint venture or affiliate. | ||||||
Account receivables and allowance for doubtful accounts | f)Account receivables and allowance for doubtful accounts | |||||
Provisions are made against accounts receivable for estimated losses resulting from the inability of the Group’s customers to make payments. The Group periodically assesses accounts receivable balances to determine whether an allowance for doubtful accounts should be made based upon historical bad debts, specific customer creditworthiness and current economic trends. Accounts receivables in the balance sheets are stated net of such provision. | ||||||
The Group assesses the credit line and credit term for each customer, taking into consideration the credit worthiness of such customer, the payment history of such customer and macro-economic conditions of the regional market. The Group signs the sales contract and executes the transaction with the customer after sufficient credit assessment. After the sales are made, the Group closely monitors the collectability of receivables on an on-going basis for any subsequent changes in the customers’ financial position and credit rating, and any relevant circumstances which may impact collectability of the receivables. The Group generally will not enter into further transactions with any customers with significant overdue balances. | ||||||
Inventories | g)Inventories | |||||
Inventories are stated at the lower of cost or market value. Cost of inventories is determined by the weighted-average method. Cost of work-in-progress and finished goods are comprised of direct materials, direct labor and related manufacturing overhead based on normal operating capacity. Adjustments are recorded to write down the carrying amount of any obsolete and excess inventory to its estimated net realizable value. Certain factors could impact the realizable value of inventory, so the Group continually evaluates the recoverability based on assumptions about customer demand and market conditions. The evaluation may take into consideration historical usage, expected demand, anticipated sales price, new product development schedules, the effect new products might have on the sale of existing products, product obsolescence, customer concentrations, and other factors. The write-down is equal to the difference between the cost of inventory and the estimated market value based upon assumptions about future demand and market conditions. If actual market conditions are less favorable than those projected by management, additional inventory write-downs may be required that could negatively impact the Group’s gross margin and operating results. If actual market conditions are more favorable, the Group may have higher gross margin when products that have been previously written down are eventually sold. | ||||||
The Company assesses whether losses should be accrued on long-term inventory purchase commitments in accordance with ASC 330-10-35-17 to 18, which requires that losses that are expected to arise from those firm, non-cancellable, and unhedged commitments for the future purchase of inventory items, measured in the same way as inventory losses, should be recognized unless recoverable through firm sales contacts or when there are other circumstances that reasonably assure continuing sales without price decline. | ||||||
Under the long-term supply contracts (“LTAs”) between the Company and certain suppliers, polysilicon and silicon wafer purchase would be made pursuant to the purchase prices and quantities set forth in the relevant LTAs. As a result of the significant declines in the market prices of polysilicon and silicon wafer due to the significant downturn in the solar industry in recent years, the purchase prices set forth in certain LTAs exceeded market prices. | ||||||
At the end of each reporting period, the Company separately assesses the potential losses on those firm inventory purchases for each supplier. When making the assessment, the Company considers whether it is able to renegotiate with its suppliers and get positive outcome by taking into account various considerations, such as stated contract price, purchase price reduction, overall amendment to LTA to eliminate fixed price arrangement, its ability to obtain concessions (i.e., reduced purchase prices and/or additional quantities at no cost) so that the actual purchase prices are less than the stated contract prices or close to the market price at the time of purchase, historical outcome of the renegotiation with the same supplier, contract period, the minimum purchase quantity, tax costs involved in the import or export of raw materials and products, status of a particular LTA at the time of assessment, and other circumstances and uncertainties that may impact such assessment. | ||||||
If it is determined that a loss provision calculation is necessary considering the status of a LTA and all facts and circumstances impacting the evaluation, the Company follows the guidance of ASC 330-10-35-17 and assesses whether there should be loss on the firm purchase commitments by applying a methodology similar to that used in the lower of cost or market evaluation with respect to inventory. In assessing the potential loss provision, the Company uses the stated contract price and volume under the relevant LTA as the major assumptions. Loss provision will be provided if the net realizable value after considering estimated costs to convert those polysilicon into saleable finished goods is higher than market selling price of finished goods as of the end of a reporting period | ||||||
There was no loss provision recorded related to these long-term contracts in the years ended December 31, 2012, 2013 and 2014. (Refer to Note 7 Inventories) | ||||||
Short-term and long-term advances to suppliers | h)Short-term and long-term advances to suppliers | |||||
The Group provides short-term and long-term advances to secure its raw material needs, which are then offset against future purchases. The Group does not require collateral or other security against its advances to related or third party suppliers. The Group continually assesses the credit quality of its suppliers and the factors that affect the credit risk. If there is deterioration in the creditworthiness of its suppliers, the Group will seek to recover its advances from the suppliers and provide for losses on advances which are akin to receivables in selling, general and administrative expenses because of their inability to return its advances. Recoveries of the allowance for advances to supplier are recognized when they are received. The Group classified short-term and long-term advances to suppliers based on management’s best estimate of the expected purchase in the next twelve-months as of the balance sheet date and the Group’s ability to make requisite purchases under existing supply contracts. The balances expected to be utilized outside of the twelve months are recorded in long-term advances to suppliers. | ||||||
Prepaid land use rights | i)Prepaid land use rights | |||||
Land use rights are carried at cost less accumulated amortization and impairment losses, if any. Amortization is provided on a straight-line basis over the lease period of 40 or 50 years. | ||||||
Property, plant and equipment, net | j)Property, plant and equipment, net | |||||
Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is provided on a straight-line basis over the following estimated useful lives: | ||||||
Buildings | 20 years | |||||
Leasehold improvements | Shorter of the lease term or their estimated useful lives | |||||
Machinery and equipment | 5-15 years | |||||
Furniture and fixtures | 5 years | |||||
Motor vehicles | 5 years | |||||
Construction in progress primarily represents the construction of new production lines. Costs incurred in the construction are capitalized and transferred to property, plant and equipment when an asset is ready for its intended use, at which time depreciation commences. Interest expense incurred for qualifying assets are capitalized in accordance with ASC 835-20, Capitalization of Interest. | ||||||
Expenditures for repairs and maintenance are expensed as incurred. The gain or loss on disposal of property, plant and equipment, if any, is the difference between the net sales proceeds and the carrying amount of the disposed assets, and is recognized in the Consolidated Statements of Operations and Comprehensive Loss upon disposal. | ||||||
Operating leases | k)Operating leases | |||||
Leases where substantially all the rewards and risks of ownership of assets remain with the leasing company are accounted for as operating leases. Payments made under operating leases are charged to the Consolidated Statements of Operations and Comprehensive Loss on a straight-line basis over the lease periods. | ||||||
Business combination | l)Business combination | |||||
Business combinations are accounted for under the acquisition method in accordance with ASC 805, Business Combinations. The consideration transferred is measured as the aggregate of the fair values at the date of exchange of the assets given, liabilities incurred, and equity instruments issued. The costs directly attributable to the acquisition are expensed as incurred. Identifiable assets, liabilities and contingent liabilities acquired or assumed are measured separately at their fair value as of the acquisition date, irrespective of the extent of any non-controlling interests. The excess of the (i) the fair value of consideration transferred , fair value of the non controlling interests and acquisition date fair value of any previously held equity interest in the acquiree over (ii) the fair value of the identifiable net assets of the acquiree is recorded as goodwill. If the fair value of consideration transferred, fair value of the non-controlling interests and acquisition date fair value of any previously held equity interest in the acquire is less than the fair value of the net assets of the entity acquired, the difference, a bargain purchase, is recognized as a gain directly in the Statements of Operations and Comprehensive Loss upon obtaining control. In a business combination achieved in stages, the acquirer shall remeasure its previously held equity interest in the acquiree at its acquisition-date fair value and recognize the resulting gain or loss, if any, in earnings. | ||||||
The determination and allocation of fair values to the identifiable assets acquired and liabilities assumed, including non-controlling interests if applicable, is based on various assumptions and valuation methodologies requiring considerable management judgment. The most significant variables in these valuations are discount rates, terminal values, the number of years on which to base the cash flow projections, as well as the assumptions and estimates used to determine the cash inflows and outflows. Management determines discount rates to be used based on the risk inherent in the related activity’s current business model and industry comparisons. Terminal values are based on the expected life of assets and forecasted life cycle and forecasted cash flows over that period. Although management believes that the assumptions applied in the determination are reasonable based on information available at the date of acquisition, actual results may differ from the forecasted amounts and the difference could be material. | ||||||
Intangible asset, net | m)Intangible asset, net | |||||
Intangible assets primarily represent technical know-how, purchased accounting and operational software, and customer relationships acquired through business combinations. | ||||||
Technical know-how, contributed by one of the Group’s shareholders upon formation of JA Hebei, is carried at cost, less accumulated amortization. The technical know-how consists of one component relating to the commercial production process of photovoltaic solar cells. Amortization is calculated on a straight-line basis over the estimated useful life of eight years. | ||||||
Intangible assets acquired through business combinations are recognized as assets separate from goodwill if they satisfy either the “contractual-legal” or “separability” criterion. Customer relationship is recorded at fair value at the acquisition date less accumulated amortization. Amortization is calculated on a straight-line basis over the estimated useful life of five years. | ||||||
Purchased software and others with a finite useful life is being amortized on a straight line basis over its estimated useful life of three to ten years. | ||||||
Impairment of long-lived assets | n)Impairment of long-lived assets | |||||
The Group evaluates its long-lived assets and finite-lived intangible asset for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Factors considered important that could result in an impairment review include significant underperformance relative to expected historical or projected future operating results, significant changes in the manner of use of acquired assets and significant negative industry or economic trends. Impairments are recognized based on the difference between the fair value of the asset and its carrying value in the event that the carrying amount exceeds the estimated future undiscounted cash flow attributed to such assets. Fair value is generally measured based on either quoted market prices, if available, or discounted cash flow analyses. Additionally, determining fair values requires probability weighting the cash flows to reflect expectations about possible variations in their amounts or timing and the selection of an appropriate discount rate. Although cash flow estimates are based on relevant information available at the time the estimates are made, estimates of future cash flows are, by nature, highly uncertain and may vary significantly from actual results. Any write-downs would be treated as permanent reductions in the carrying amounts of the assets and an operating loss would be recognized. | ||||||
Income taxes | o)Income taxes | |||||
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax assets bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is provided to reduce the carrying amount of deferred tax assets if it is considered more likely than not that some portion, or all, of the deferred tax assets will not be realized. | ||||||
Uncertain tax position is accounted for in accordance with ASC 740-10-25, which clarifies the accounting for uncertain tax positions and requires that the Company recognizes in the consolidated financial statements the impact of an uncertain tax position, if that position is more likely than not of being sustained upon examination, based on the technical merits of the position. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company’s accounting policy is to accrue interest and penalties related to uncertain tax positions, if and when required, as interest expense and a component of general and administrative expenses, respectively, in the Consolidated Statements of Operations and Comprehensive Loss. In the years ended December 31, 2012, 2013 and 2014, the Group did not record any interest and penalties associated with uncertain tax positions as there were no uncertain tax positions. | ||||||
Revenue recognition | p)Revenue recognition | |||||
(i) | Revenue recognition for solar modules, solar cells and other products (hereafter “solar products”) | |||||
The Group recognizes revenue from the sale of solar products when the goods are delivered and title and risk of loss transfer is passed to the customers. The Group sells its solar products at agreed upon prices to its customers, which reflect prevailing market prices. | ||||||
The Group’s considerations for recognizing revenue are based on the following: | ||||||
· | Persuasive evidence that an arrangement (sales contract) exists between a willing customer and the Group that outlines the terms of the sale (including customer information, product specification, quantity of goods, purchase price and payment terms). Customers do not have a right of return. The Group does provide a warranty on its solar module products. | |||||
· | For EX Works (“EXW”) terms, which mean that a seller has the goods ready for collection at its premises (works, factory, warehouse, plant), the contract specifies that the risks are assumed by the customer when the customer picks up the goods from the Company’s warehouse, at which time revenue is recognized. For FOB shipping point terms, the contract specifies that the customer takes title to the goods and is responsible for all risks and rewards of ownership once products are over shipping rail at the named loading port from the Company’s premises, at which time revenue is recognized. For CIF terms, the Company pays the costs of insurance and freight necessary to bring the goods to the named port of destination, but the title to and risk/rewards of ownership of the goods is passed to the buyer according to each of the contract term, which is defined in each contract. For Delivered Duty Paid (“DDP”) terms, the Company pays the costs of insurance and freight necessary to bring the goods to the named port of destination as well as the import duty, and the title to and risk/rewards of ownership of the goods is passed to the buyer once the goods are delivered and the import duty is paid. The point of delivery could be at the port of shipping, or it could also be when the goods arrive at the named port of destination. When title to the goods transfers at the port of shipping, the beneficiary of the insurance is the buyer and the Company has no obligations to the buyer if goods are damaged during shipping. Revenue is therefore, recognized when the title to and risk/rewards of ownership of the goods is passed to the buyer which is at port of shipping or port of destination, depending on the terms of the contract. | |||||
· | The Group’s price to the customer is fixed and determinable as specifically outlined in the sales contract. | |||||
· | For customers to whom credit terms are extended, the Group assesses a number of factors to determine whether collection from the customers is reasonably assured, including past transaction history with these customers and their credit-worthiness. All credit extended to customers is pre-approved by management. If the Group determines that collection is not reasonably assured, including cases where the customers retain a portion of the full contract price as retainage after a specific period, it defers the recognition of revenue until such criterion is met, which is generally upon receipt of payment. | |||||
(ii) | Revenue recognition for solar products processing | |||||
The Group provides solar products processing services to customers with their own wafer/polysilicon supplies. Under certain of these solar products processing service arrangements, the Group purchases raw materials from a customer and agrees to sell a specified quantity of solar products produced from such materials back to the same customer. The Group records revenue from these processing transactions on a net basis, recording revenue based on the amount received for solar products sold less the amount paid for the raw materials purchased from the customer. | ||||||
(iii) | Revenue recognition for engineering, procurement and construction services | |||||
The Group recognizes revenue using the percentage of completion method for systems integration projects for which the Group provides engineering, procurement and construction (“EPC”) services under the EPC contracts. The Group estimates its revenues by using the cost-to-cost method, whereby it derives a ratio by comparing the costs incurred to date to the total costs expected to be incurred on the project. The Group applies the ratio computed in the cost-to-cost analysis to the contract price to determine the estimated revenues earned in each period. The Group uses this method because management considers costs incurred to be the best available measure of progress on these contracts and management believes it has the ability to reasonably estimate and track costs. When the Group determines that total estimated costs will exceed total revenues under a contract, it records a loss accordingly. No contract losses were recorded in the years ended December 31, 2012, 2013 and 2014. In the situation where payments under the EPC contracts to be received from the customer depend on the customer’s financing from other parties, revenue is recognized only when payments are received and other revenue recognition criteria are met. When EPC revenue is deferred as a result of not meeting all the revenue recognition criteria, the Group assesses whether related costs incurred can be deferred by considering recoverability of costs taken into consideration of contract terms and other relevant factors. | ||||||
Cost of revenue | q)Cost of revenue | |||||
Cost of revenue — solar products | ||||||
Cost of revenue for solar products includes production related direct labor, direct material cost , depreciation and amortization, indirect costs, shipping (freight in) and handling costs for products sold, inventory obsolescence and lower of cost or market charge, capacity underutilization charges and warranty cost. . | ||||||
Cost of revenue - solar products processing | ||||||
Cost of revenue for solar products processing includes direct labor, depreciation and amortization, indirect costs, and shipping and handling costs. | ||||||
Cost of revenue - engineering, procurement and construction services | ||||||
Costs of revenue for engineering, procurement and construction services include all direct material, labor, subcontractor cost, and those indirect costs related to contract performance, such as indirect labor, supplies and tools. The Group recognizes job material costs as incurred costs when the job materials have been installed. The Group considers job materials to be installed materials when they are permanently attached or fitted to the solar power systems as required by the engineering design. | ||||||
Project assets | r)Project assets | |||||
Project assets consist primarily of direct costs relating to solar power projects in various stages of development. A project asset is initially recorded at the actual cost. For a self-developed project asset that is initially obtained by application of feed-in-tariff (“FIT”) contract and other required permits, consents, the actual cost capitalized is the amount of the expenditure incurred for the application of those contracts, permits, consents, material and labor costs, capitalized interest and other similar direct costs. For a project asset acquired from external parties, the initial cost is the acquisition cost which includes the consideration transferred and certain direct acquisition cost. Modules cost, equipment cost and development and others incurred in the project development process will build up the cost of project assets. | ||||||
As of December 31, | As of December 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Project assets-Modules cost | 39,341 | 325,640 | ||||
Project assets-Equipment cost | — | 128,805 | ||||
Project assets-Development and Others | 8,405 | 197,049 | ||||
Total Project assets | 47,746 | 651,494 | ||||
The Company reviews project assets for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. In determining whether or not the project assets are recoverable, the Company considers a number of factors, including changes in environmental, ecological, permitting, marketing price or regulatory conditions that affect the project. Such changes may cause the cost of the project to increase or the selling price of the project to decrease. No impairment of the project assets was recorded in the years ended December 31, 2013 and 2014. | ||||||
Costs capitalized in the construction of solar power plants under development will be transferred to solar power plants upon completion and when they are ready for its intended use, which is at the point when the solar power plant is connected to grids and begins to generate electricity. Depreciation of the completed solar power plant commences once the solar power plant is ready for its intended use. Depreciation will be computed using the straight-line method over the expected life. As of December 31, 2014, no solar power plant of the Company is ready for its intended use. | ||||||
As of December 31, 2014, project assets with net book value of RMB 310,029 were pledged as collateral for the Group’s borrowings of RMB 200,000 from Industrial and Commercial Bank of China. | ||||||
Share based compensation | s)Share based compensation | |||||
In accordance with ASC 718, Compensation-Stock Compensation, the Group measures the cost of employee services received in exchange for share-based compensation at the grant date fair value of the award. | ||||||
The Group recognizes the share-based compensation costs, net of a forfeiture rate, on a straight-line basis over the requisite service period for each separately vesting portion of the award as if the award was, in-substance, multiple awards. | ||||||
ASC 718 requires forfeitures to be estimated at the time of grant and revised in subsequent periods if actual forfeitures differ from those estimates. | ||||||
Research and development | t)Research and development | |||||
Research and development costs are expensed when incurred. | ||||||
Advertising expenses | u)Advertising expenses | |||||
Advertising expenses are expensed when incurred. Advertising expenses are not significant during any of the periods covered by these consolidated financial statements. | ||||||
Warranty cost | v)Warranty cost | |||||
Solar modules produced by the Group are typically sold with a 10-year guarantee for defects in materials and workmanship and a 10-year and 25-year warranty against declines of more than 10.0% and 20.0%, respectively, of the initial minimum power generation capacity at the time of delivery. The Group therefore maintains warranty reserves (recorded as accrued warranty costs) to cover potential liabilities that could arise from these guarantees and warranties. The potential liability is generally in the form of product replacement or repair. The Group accrues 1.0% of its net revenues attributable to module sales as warranty costs at the time revenues are recognized and include that amount in its cost of revenues. Due to limited warranty claim history, the Group accrues the estimated costs of warranties based on its own history, industry data and an assessment of its competitors’ accrual history. Through the Group’s relationships with, and its management’s experience working at, other solar power companies and on the basis of publicly available information regarding other solar power companies’ accrued warranty costs, the Group believes that accruing 1.0% of its net revenues attributable to module sales as warranty costs is within the range of industry practice and is consistent with industry-standard accelerated testing, which assists the Group in estimating the long-term reliability of solar modules, estimates of failure rates from its quality review and other assumptions that it believes to be reasonable under the circumstances. However, although the Group conducts quality testing and inspection of its solar module products, these products have not been and cannot be tested in an environment simulating the up to 25-year warranty periods. Actual warranty costs are accumulated and charged against the accrued warranty liability. To the extent that the actual warranty costs differ from the estimates, the Group will prospectively revise its accrual rate. | ||||||
Foreign currencies translation | w)Foreign currencies translation | |||||
The functional and reporting currency of the Company and the majority of its subsidiaries is Renminbi (“RMB”). Transactions denominated in other currencies are translated into RMB at the exchange rates quoted by the People’s Bank of China (the “PBOC”) prevailing when the transactions occur. Monetary assets and liabilities denominated in other currencies are translated into RMB at rates of exchange in effect at the balance sheet dates. All exchange gains and losses are included in the Consolidated Statements of Operations and Comprehensive (Loss)/Income as a separate line item after income/(loss) from operations. | ||||||
For the Company’s subsidiaries whose functional currency is not RMB, the asset and liability accounts are translated into RMB, its reporting currency, using exchange rates in effect at the balance sheet dates, equity accounts are translated at historical exchange rates, and income and expense items are translated using average exchange rates. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of accumulative other comprehensive income, net of tax, in the Consolidated Statements of Operations and Comprehensive (Loss)/Income. | ||||||
Segment reporting | x)Segment reporting | |||||
The Group has adopted ASC 280, Segment Reporting, for its segment reporting. The Group operates and manages its business as a single segment. The Group’s chief decision-maker (“CODM”), which is identified as the Chief Executive Officer, reviews operating results to make decision about allocating resources and assessing performance for the entire company. | ||||||
Commitments and Contingencies | y)Commitments and Contingencies | |||||
Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. | ||||||
Earnings/(loss) per share | z)Earnings/(loss) per share | |||||
In accordance with ASC 260, Earnings Per Share, basic earnings/(loss) per share is computed by dividing net income/(loss) attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding during the year. Under the two-class method, net income is allocated between ordinary shares and other participating securities (i.e. warrants) based on their participating rights. Diluted earnings/(loss) per share is calculated by dividing net income/(loss) attributable to ordinary shareholders, as adjusted for the change in income or loss resulting from the assumed conversion of those participating securities, if any, by the weighted average number of ordinary shares and dilutive ordinary share equivalents outstanding during the year. Ordinary share equivalents consist of the ordinary shares issuable upon the conversion of the senior convertible notes (using the if-converted method) and ordinary shares issuable upon the exercise of outstanding share options and RSUs (using the treasury stock method). Potential dilutive securities are not included in the calculation of dilutive earnings per share if the effect is anti-dilutive. | ||||||
Other Comprehensive income/ (loss) | aa)Other Comprehensive income/(loss) | |||||
The Group has adopted ASC 220, Comprehensive Income. ASC 220 defines other comprehensive income/(loss) to include all changes in equity, including adjustments to minimum pension liabilities, accumulated foreign currency translation, unrealized gains or losses on available-for-sale marketable securities, and unrealized hedging gain/(loss) to the extent effective, except those resulting from investments by owners and distributions to owners. | ||||||
Accounting for share lending arrangement | ab)Accounting for share lending arrangement | |||||
The Company accounts for share lending arrangement in accordance with ASU 2009-15, Accounting for Own-Share Lending Arrangements in Contemplation of Convertible Debt Issuance or Other Financing, which requires an entity that enters into an equity-classified share lending agreement, utilizing its own shares, in contemplation of a convertible debt issuance or other financing to initially measure the share lending arrangement at fair value and treat it as a cost of the financing. In addition, if it becomes probable that the counterparty to the arrangement will default, the issuer shall recognize an expense for the fair value of the unreturned shares, net of probable recoveries. | ||||||
Share repurchase | ac)Share repurchase | |||||
When the shares are repurchased for retirement, the excess of cost over par value is charged entirely to retain earnings. | ||||||
Recent accounting pronouncements | ad)Recent accounting pronouncements | |||||
In April 2014, the FASB issued Accounting Standards Update No. 2014-08 ‘‘Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity’’. The new guidance changes the criteria for reporting discontinued operations while enhancing disclosures in this area. Under the new guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. Those strategic shifts should have a major effect on the organization’s operations and financial results. Additionally, ASU 2014-08 requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. The new guidance also requires disclosure of the pre-tax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting. ASU 2014-08 is effective for the Company in the first quarter of fiscal 2015. Early adoption is permitted, but only for disposals (or classifications as held for sale) that have not been reported in financial statements previously issued or available for issuance. The Group is in the process of evaluating the impact of the standard on its consolidated financial statements. | ||||||
In May 2014, the FASB issued Accounting Standards Update No. 2014-09 (‘‘ASU 2014-09’’), ‘‘Revenue from Contracts with Customers (Topic 606)’’. ASU 2014-09 will eliminate transaction-specific and industry-specific revenue recognition guidance under current U.S. GAAP and replace it with a principle-based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulative effect adjustment as of the date of adoption. The Group is in the process of evaluating the impact of the standard on its consolidated financial statements. | ||||||
ORGANIZATION_AND_PRINCIPAL_ACT1
ORGANIZATION AND PRINCIPAL ACTIVITIES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
ORGANIZATION AND PRINCIPAL ACTIVITIES | ||||||||
Schedule of percentage ownership in subsidiaries | As of December 31, 2014, the Company’s principal subsidiaries include the following entities: | |||||||
Date of Incorporation/Acquisition | Place of | Percentage | ||||||
Incorporation | of Ownership | |||||||
JingAo Solar Co., Ltd. (“JA Hebei”) | May 18, 2005 | PRC | 100 | % | ||||
JA Development Co., Ltd. (“JA BVI”) | July 6, 2006 | BVI | 100 | % | ||||
Shanghai JA Solar Technology Co., Ltd. (“JA Fengxian”) | November 16, 2006 | PRC | 100 | % | ||||
JA Solar USA Inc. (“JA USA”) | April 13, 2007 | USA | 100 | % | ||||
Shanghai JA Solar PV Technology Co., Ltd. (“JA Zhabei”) | June 22, 2007 | PRC | 100 | % | ||||
JA Solar Technology Yangzhou Co., Ltd. (“JA Yangzhou”) | November 19, 2007 | PRC | 100 | % | ||||
JA Solar Hong Kong Limited (“JA Hong Kong”) | December 10, 2007 | Hong Kong | 100 | % | ||||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. (“JA Lianyungang”) | October 11, 2008 | PRC | 100 | % | ||||
JA Yangzhou PV Technology Co., Ltd. (“JA Yangzhou PV”) | November 23, 2009 | PRC | 100 | % | ||||
JA Solar GmbH (“JA GmbH”) | February 17, 2010 | Germany | 100 | % | ||||
Shanghai Jinglong Solar Technology Co., Ltd. (“JA Jinglong”) | July 5, 2010 | PRC | 100 | % | ||||
Donghai JA Solar Technology Co., Ltd. (“JA Wafer R&D”) | November 4, 2010 | PRC | 100 | % | ||||
JA (Hefei) Renewable Energy Co., Ltd. (“JA Hefei Renewable Energy”) | March 30, 2011 | PRC | 100 | % | ||||
Hefei JA Solar Technology Co., Ltd. (“JA Hefei Technology”) | July 8, 2011 | PRC | 100 | % | ||||
JA Solar Investment China Co., Ltd (“JA Investment”) | October 31, 2011 | PRC | 100 | % | ||||
Silver Age Holdings Limited (“Siliver Age”) | November 30, 2011 | BVI | 100 | % | ||||
Full Shine Holdings Limited (“Full Shine”) | November 30, 2011 | Hong Kong | 100 | % | ||||
Solar Silicon Valley Electronic Science and Technology Co., Ltd. (“Solar Silicon Valley”) | November 30, 2011 | PRC | 100 | % | ||||
JA Solar Japan Limited (“JA Japan”) | July 12, 2012 | Japan | 100 | % | ||||
Dunhuang JA Solar Power Development Co., Ltd (“JA Dunhuang”) | July 23, 2012 | PRC | 100 | % | ||||
Hebei Ningjin Songgong Semiconductor Co., Ltd. (“Ningjin Songgong”) | January 29, 2013 | PRC | 65 | % | ||||
JA Solar Investment (Hong Kong) Limited | May 16, 2013 | Hong Kong | 100 | % | ||||
JA Solar Australia PTY Limited | June 12, 2013 | Australia | 100 | % | ||||
JA Solar PV Technology Co., LTD | January 13, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Shexian) Co,. Ltd | March 10, 2014 | PRC | 100 | % | ||||
Aiyouen Power Electric (Yinchuan) Co,. Ltd | March 25, 2014 | PRC | 65 | % | ||||
JA Solar PV Electric (Baotou) Co,. Ltd | March 26, 2014 | PRC | 100 | % | ||||
JA Solar Iriki Power Plant Limited | April 10, 2014 | Japan | 100 | % | ||||
Beijing JA Solar PV Technology Co., Ltd. | April 14, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Huanghua) Co,. Ltd | July 1, 2014 | PRC | 100 | % | ||||
JA Powerway South Africa Proprietary Limited | July 5, 2014 | South Africa | 65 | % | ||||
JA Solar PV Electric (Yanchi) Co,. Ltd | July 17, 2014 | PRC | 100 | % | ||||
JA New Energy Development (Hebei) Co., Ltd. | August 25, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Juxian) Co,. Ltd | August 26, 2014 | PRC | 100 | % | ||||
2432243 Ontario Corp | September 1, 2014 | Canada | 100 | % | ||||
JA Solar PV Electric (Chifeng) Co,. Ltd | October 20, 2014 | PRC | 100 | % | ||||
JA Solar PV Electric (Wulanchabu) Co,. Ltd | November 12, 2014 | PRC | 100 | % | ||||
JA New Energy (Xilinhaote) Co,. Ltd . | December 4, 2014 | PRC | 100 | % | ||||
JA Solar Malaysia Sdn. Bhd. | December 10, 2014 | Malaysia | 100 | % | ||||
JA Solar PV Electric (LaiWu) Co,. Ltd | December 30, 2014 | PRC | 100 | % | ||||
Summary_of_significant_account2
Summary of significant accounting policies (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Summary of significant accounting policies | ||||||
Schedule of estimated useful lives of assets | ||||||
Buildings | 20 years | |||||
Leasehold improvements | Shorter of the lease term or their estimated useful lives | |||||
Machinery and equipment | 5-15 years | |||||
Furniture and fixtures | 5 years | |||||
Motor vehicles | 5 years | |||||
Schedule of projects asset | ||||||
As of December 31, | As of December 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Project assets-Modules cost | 39,341 | 325,640 | ||||
Project assets-Equipment cost | — | 128,805 | ||||
Project assets-Development and Others | 8,405 | 197,049 | ||||
Total Project assets | 47,746 | 651,494 | ||||
Acquisition_Tables
Acquisition (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Summary of unaudited pro forma results of operations | ||||||
Year ended | Year ended | |||||
December 31, | December 31, | |||||
2012 | 2013 | |||||
RMB | RMB | |||||
(Unaudited) | (Unaudited) | |||||
Pro forma revenue | 6,845,610 | 7,197,985 | ||||
Pro forma net loss | (1,727,001 | ) | (425,155 | ) | ||
Pro forma loss attributable to holders of common shares | (1,687,720 | ) | (428,005 | ) | ||
Pro forma loss per share: | ||||||
Basic | (8.66 | ) | (2.13 | ) | ||
Diluted | (8.66 | ) | (2.13 | ) | ||
Weighted average number of shares used in computation: | ||||||
Basic | 194,788,429 | 201,317,884 | ||||
Diluted | 194,788,429 | 201,317,884 | ||||
Ningjin Songgong | ||||||
Schedule of acquired assets and liabilities based on their estimated fair values at acquisition date | ||||||
As of January 31, 2013(1) | ||||||
RMB | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | 45,109 | |||||
Accounts receivable | 138,516 | |||||
Short term prepayment | 18,221 | |||||
Inventory | 75,473 | |||||
Other current assets | 34,702 | |||||
Long term prepayment | 18,826 | |||||
Property, plant and equipment, net (2) | 69,785 | |||||
Total assets acquired | 400,632 | |||||
Liabilities | ||||||
Short-term borrowings | 24,100 | |||||
Accounts payable | 45,822 | |||||
Other payables | 57,376 | |||||
Payroll and welfare payable | 41,244 | |||||
Accrued expenses | 578 | |||||
Total liabilities assumed | 169,120 | |||||
Total fair value of net assets | 231,512 | |||||
Less: Non-controlling interest | 81,029 | |||||
Fair value of purchase consideration | 150,483 | |||||
-1 | The acquisition was completed on January 29, 2013. Considering the nominal financial impact of the two days from January 30 to January 31, 2013, we used January 31, 2013 as the acquisition date and the fair value assessment was made based on the financial information as of January 31, 2013. | |||||
-2 | The fair value of property, plant and equipment was recognized and measured at fair value using discounted future cash flow method. Accumulated depreciation was not carried forward. | |||||
JA MEMC | ||||||
Schedule of acquired assets and liabilities based on their estimated fair values at acquisition date | ||||||
As of June 24, 2014 | ||||||
RMB | ||||||
Assets acquired: | ||||||
Cash and cash equivalents | 8,426 | |||||
Other current assets | 13,260 | |||||
Property, plant and equipment, net (1) | 83,025 | |||||
Total assets acquired | 104,711 | |||||
Liabilities | ||||||
Accounts payable | 697 | |||||
Other liabilities | 2 | |||||
Total liabilities assumed | 699 | |||||
Total fair value of net assets | 104,012 | |||||
-1 | The fair value of property, plant and equipment was recognized and measured at fair value using discounted future cash flow method. Accumulated depreciation was not carried forward. | |||||
Accounts_Receivable_net_Tables
Accounts Receivable, net (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Accounts Receivable, net | ||||||||
Schedule of allowance for doubtful accounts | ||||||||
As of December 31, | As of December 31, | As of December 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Balance at beginning of the year | 32,591 | 189,971 | 280,987 | |||||
Allowance made during the year | 200,446 | 125,691 | 71,104 | |||||
Recoveries | (13,316 | ) | (34,675 | ) | (55,721 | ) | ||
Amount written off against the allowance | (29,750 | ) | — | (20,844 | ) | |||
Balance at end of the year | 189,971 | 280,987 | 275,526 | |||||
Inventories_Tables
Inventories (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Inventories | ||||||
Schedule of inventory | ||||||
As of December 31, | As of December 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Raw materials | 522,302 | 603,110 | ||||
Work-in-progress | 71,676 | 130,055 | ||||
Finished goods | 753,116 | 1,153,103 | ||||
Total | 1,347,094 | 1,886,268 | ||||
Advances_to_suppliers_Tables
Advances to suppliers (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Advances to suppliers | ||||||||
Schedule of outstanding prepayments, net of any allowance to individual suppliers in excess of 10% of total prepayments to suppliers | ||||||||
As of December | As of December | |||||||
31, | 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Supplier A (third party) | 602,109 | 440,342 | ||||||
Supplier B (third party) | 174,278 | 134,035 | ||||||
Schedule of allowance for advances to supplier | ||||||||
As of December | As of December | As of December | ||||||
31, | 31, | 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Balance at beginning of the year | 94,154 | 158,452 | 72,327 | |||||
Allowance made during the year* | 103,139 | 10,392 | 63,331 | |||||
Recoveries | (38,841 | ) | — | (6,351 | ) | |||
Written off | — | (96,517 | ) | — | ||||
Balance at end of the year | 158,452 | 72,327 | 129,307 | |||||
* Although currently the Company is still in the process of renegotiating with Supplier D, such process has been slowed down due to uncertainties related to anti-dumping and anti-subsidy investigation and ruling. As of December 31, 2014, full provision of RMB 63,331 was provided against the prepayment made to Supplier D under the long-term supply contract, as management could not conclude that such amount is recoverable. On March 31st, 2015, the Company received a termination notice from supplier D. (Refer to Note 26 Contingencies and Commitments) | ||||||||
Other_current_assets_Tables
Other current assets (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Other current assets | ||||||
Schedule of other current assets | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Input value-added tax recoverable | 330,482 | 434,209 | ||||
Income tax recoverable | 47,819 | — | ||||
Value-added tax refund from export sales | 31,670 | 150,911 | ||||
Prepaid input VAT & customs duty for import machinery and materials | 14,226 | 21,700 | ||||
Prepaid expenses | 12,311 | 12,184 | ||||
Foreign exchange forward contract instruments | 237 | 5,540 | ||||
Accounts receivable recovery from insurance companies | 15,059 | — | ||||
Deposit receivable | 51,798 | 49,303 | ||||
Current portion of land use rights | 10,063 | 10,063 | ||||
Others | 22,469 | 29,853 | ||||
536,134 | 713,763 | |||||
Property_plant_and_equipment_n1
Property, plant and equipment, net (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Property, plant and equipment, net | ||||||
Schedule of property, plant and equipment | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Buildings | 1,255,743 | 1,482,046 | ||||
Furniture, fixtures and office equipment | 83,745 | 92,175 | ||||
Motor vehicles | 26,318 | 29,550 | ||||
Machinery and equipment | 4,220,860 | 4,705,592 | ||||
Leasehold improvements | 141,289 | 151,959 | ||||
Total | 5,727,955 | 6,461,322 | ||||
Less: accumulated depreciation | (2,209,955 | ) | (2,759,096 | ) | ||
Subtotal | 3,518,000 | 3,702,226 | ||||
Construction-in-progress | 640,108 | 464,521 | ||||
Property, plant and equipment, net | 4,158,108 | 4,166,747 | ||||
Intangible_assets_net_Tables
Intangible assets, net (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Intangible assets, net | ||||||||
Summary of intangible assets | ||||||||
Gross | Accumulated | Net | ||||||
Amortization | ||||||||
RMB | RMB | RMB | ||||||
As of December 31, 2013 | ||||||||
Technical know-how | 9,000 | (9,000 | ) | — | ||||
Customer relationship | 3,191 | (1,329 | ) | 1,862 | ||||
Purchased software and others | 23,941 | (11,380 | ) | 12,561 | ||||
36,132 | (21,709 | ) | 14,423 | |||||
As of December 31, 2014 | ||||||||
Technical know-how | 9,000 | (9,000 | ) | — | ||||
Customer relationship | 3,191 | (1,968 | ) | 1,223 | ||||
Purchased software and others | 24,673 | (13,168 | ) | 11,505 | ||||
36,864 | (24,136 | ) | 12,728 | |||||
Income_taxes_Tables
Income taxes (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Income taxes | ||||||||
Schedule of tax benefit/(expense) | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
Current tax | (101,975 | ) | (13,462 | ) | (189,622 | ) | ||
Deferred tax | 1,350 | 28,489 | 116,232 | |||||
(100,625 | ) | 15,027 | (73,390 | ) | ||||
Schedule of components of deferred tax assets | ||||||||
As of December | As of December | |||||||
31, | 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Deferred tax assets: | ||||||||
Temporary differences: | ||||||||
Pre-operating expenses | 92 | — | ||||||
Amortization of intangible assets | 1,232 | 1,135 | ||||||
Accrued warranty costs | 28,510 | 49,309 | ||||||
Accrued expenses | 23,746 | 25,438 | ||||||
Net loss carried forward | 395,477 | 229,859 | ||||||
Depreciation of property, plant and equipment | 86,997 | 103,758 | ||||||
Inventory write-down and idle capacity charges | 13,322 | 9,813 | ||||||
Allowance for doubtful accounts | 69,199 | 66,991 | ||||||
Allowance for advance to suppliers | 10,397 | 18,665 | ||||||
Impairment loss on property, plant and equipment | 156,483 | 103,195 | ||||||
Loss for equity investment in a joint venture | 4,967 | — | ||||||
Accrued interest | 13,209 | 27,279 | ||||||
Government grant for the acquisition of land use rights and property, plant and equipment | 8,379 | 44,057 | ||||||
Timing difference for revenue recognition of retainage contract | 21,726 | 32,746 | ||||||
Others | 4,047 | 18,704 | ||||||
Deferred tax assets | 837,783 | 730,949 | ||||||
Deferred tax liabilities: | ||||||||
Temporary differences: | ||||||||
Capitalized interest | (31,983 | ) | (35,333 | ) | ||||
Deferred tax liabilities | (31,983 | ) | (35,333 | ) | ||||
Less: valuation allowance | (683,341 | ) | (456,925 | ) | ||||
Deferred tax assets-net | 122,459 | 238,691 | ||||||
Deferred tax assets are analyzed as: | ||||||||
As of December | As of December | |||||||
31, | 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Current | 64,409 | 90,169 | ||||||
Non-Current | 90,033 | 183,855 | ||||||
154,442 | 274,024 | |||||||
Deferred tax liability are analyzed as: | ||||||||
Current | — | — | ||||||
Non-Current | -31,983 | (35,333 | ) | |||||
-31,983 | (35,333 | ) | ||||||
122,459 | 238,691 | |||||||
Schedule of movement of the valuation allowance for deferred tax assets | ||||||||
As of December | As of December 31, | As of December | ||||||
31, | 31, | |||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Balance at beginning of the year | 202,235 | 576,541 | 683,341 | |||||
Business combination | — | 63,873 | — | |||||
Allowance made during the year | 374,306 | 158,904 | 40,619 | |||||
Reversals and utilization | — | (115,977 | ) | (267,035 | ) | |||
Balance at end of the year | 576,541 | 683,341 | 456,925 | |||||
Schedule of reconciliation between provision for income tax | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
PRC enterprise income tax | (25 | )% | (25 | )% | 25 | % | ||
Effect of permanent differences: | ||||||||
Share based compensation and other permanent difference | 5.62 | % | 4.03 | % | 4.50 | % | ||
Effect of tax holiday and tax differential of certain subsidiaries (1) | (2.10 | )% | 8.17 | % | (8.43 | )% | ||
Effect of tax rate change (2) | (2.69 | )% | (0.32 | )% | 24.30 | % | ||
Additional tax for previously approved tax holiday | 5.29 | % | — | % | — | % | ||
Withholding tax for dividend distribution | 1.35 | % | — | % | — | % | ||
Intra-group investment disposal income subject to tax | — | — | 12.28 | % | ||||
Valuation allowance | 23.97 | % | 9.72 | % | (43.54 | )% | ||
6.44 | % | (3.40 | )% | 14.11 | % | |||
-1 | Effect of tax holiday and tax differential of certain subsidiaries increased from 8.17% to 8.43%, mainly due to fair value gain generated in 2014 by JA Cayman related to warrants, which are not subject to tax on income or capital gain. | |||||||
-2 | Change of tax rate increased from (0.32%) in 2013 to 24.30% in 2014 is due to the different enacted tax rate used in the calculation of deferred tax assets in 2014 for one subsidiary to reflect the decrease of tax rate, which resulted in the reduction of previously disclosed deferred tax asset benefit (gross amount). Deferred tax assets for this subsidiary have been fully provided for valuation allowance in both 2014 and 2013. The corresponding reversal of valuation allowance has been included in the line of valuation allowance. | |||||||
Schedule of aggregate amount and per share effect of tax holiday | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
The aggregate dollar effect | — | 10,540 | 43,405 | |||||
Per share effect-basic | — | 0.05 | 0.18 | |||||
Per share effect-diluted | — | 0.05 | 0.18 | |||||
Prepaid_land_use_rights_Tables
Prepaid land use rights (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Prepaid land use rights | ||||||
Schedule of prepayment for land use rights | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Cost | 491,638 | 491,638 | ||||
Less: accumulated amortization | (32,956 | ) | (43,019 | ) | ||
Net book value | 458,682 | 448,619 | ||||
Current portion of prepaid land use rights (recorded in other current assets) | 10,063 | 10,063 | ||||
Non-current portion of prepaid land use rights | 448,619 | 438,556 | ||||
Total | 458,682 | 448,619 | ||||
Borrowings_Tables
Borrowings (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Borrowings | |||||||||
Schedule of borrowings | |||||||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of December 31, 2013 | |||||||||
Short-term loan: | |||||||||
Bank of China | September 2013 | September 2014 | 200,000 | Quarterly | |||||
Agriculture Bank of China | September 2013 | September 2014 | 80,000 | Monthly | |||||
Agriculture Bank of China | September 2013 | January 2014 | 34,379 | Together with principal | |||||
Agriculture Bank of China | September 2013 | February 2014 | 79,248 | Together with principal | |||||
Agriculture Bank of China | November 2013 | April 2014 | 539 | Together with principal | |||||
Agriculture Bank of China | December 2013 | May 2014 | 3,073 | Together with principal | |||||
Agriculture Bank of China | December 2013 | April 2014 | 95,721 | Monthly | |||||
Agriculture Bank of China | December 2013 | May 2014 | 2,038 | Together with principal | |||||
Agriculture Bank of China | December 2013 | May 2014 | 1,996 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | September 2013 | March 2014 | 10,000 | Together with principal | |||||
China Merchant Bank | December 2013 | June 2014 | 30,000 | Together with principal | |||||
Huaxia Bank | May 2013 | February 2014 | 40,000 | Together with principal | |||||
Huaxia Bank | February 2013 | February 2014 | 10,000 | Together with principal | |||||
Bank of Communication | August 2013 | February 2014 | 42,000 | Monthly | |||||
Hefei S & T Rural Commercial Bank | March 2013 | March 2014 | 150,000 | Quarterly | |||||
Hefei S & T Rural Commercial Bank | April 2013 | March 2014 | 50,000 | Quarterly | |||||
Rural Credit Cooperative of Hebei | March 2013 | March 2014 | 28,000 | Monthly | |||||
Bank of Xingtai | June 2013 | June 2014 | 20,000 | Monthly | |||||
Bank of Xingtai | July 2013 | June 2014 | 40,000 | Monthly | |||||
OCBC Bank | March 2013 | April 2014 | 30,485 | Monthly | |||||
OCBC Bank | May 2013 | May 2014 | 54,873 | Monthly | |||||
Other loan * | April 2013 | March 2014 | 30,000 | Quarterly | |||||
Other loan* | November 2013 | November 2014 | 50,000 | Quarterly | |||||
Subtotal | 1,122,352 | ||||||||
*Local government provided short-term loan to one subsidiary located in Jiangsu Province with market interest rate bearing. | |||||||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment | |||||
RMB) | Periods | ||||||||
Long-term loan due in one year: | |||||||||
China Construction Bank | May 2012 | April 2014 | 157,000 | Monthly | |||||
China Construction Bank | June 2012 | May 2014 | 34,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2011 | November 2014 | 150,000 | Monthly | |||||
Bank of Xingtai | September 2012 | September 2014 | 100,000 | Monthly | |||||
Industrial and Commercial Bank of China | March 2011 | March 2014 | 140,000 | Monthly | |||||
Industrial and Commercial Bank of China | April 2011 | March 2014 | 40,000 | Monthly | |||||
Industrial and Commercial Bank of China | May 2011 | March 2014 | 20,000 | Monthly | |||||
Industrial and Commercial Bank of China | June 2011 | June 2014 | 15,917 | Monthly | |||||
Industrial and Commercial Bank of China | December 2011 | June 2014 | 57,246 | Monthly | |||||
China Everbright Bank | June 2011 | June 2014 | 200,000 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2014 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2014 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2014 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2014 | 8,150 | Quarterly | |||||
Subtotal | 936,163 | ||||||||
Short-term borrowings and current portion of long term borrowings | 2,058,515 | ||||||||
Long-term loan: | |||||||||
Industrial and Commercial Bank of China | June 2011 | January 2019 | 720,000 | Annually | |||||
Industrial and Commercial Bank of China | June 2011 | January 2018 | 432,000 | Annually | |||||
Industrial and Commercial Bank of China | June 2011 | January 2017 | 288,000 | Annually | |||||
Agriculture Bank of China | September 2012 | February 2015 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2015 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2019 | 10,100 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2019 | 10,100 | Quarterly | |||||
Subtotal | 1,554,000 | ||||||||
Total borrowings | 3,612,515 | ||||||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of December 31, 2014 | |||||||||
Short-term loan: | |||||||||
Industrial and Commercial Bank of China | April 2014 | March 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | October 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | June 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | May 2014 | April 2015 | 50,000 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | June 2015 | 58,131 | Monthly | |||||
Bank of Communication | January 2014 | January 2015 | 50,000 | Monthly | |||||
Bank of Communication | August 2014 | February 2015 | 97,904 | Together with principal | |||||
Huaxia Bank | March 2014 | March 2015 | 30,000 | Monthly | |||||
Huaxia Bank | April 2014 | April 2015 | 20,000 | Monthly | |||||
Huaxia Bank | May 2014 | March 2015 | 30,000 | Monthly | |||||
China Merchant Bank | October 2014 | April 2015 | 62,000 | Together with principal | |||||
China Merchant Bank | November 2014 | May 2015 | 28,759 | Together with principal | |||||
China Merchant Bank | September 2014 | March 2015 | 48,952 | Together with principal | |||||
China Merchant Bank | December 2014 | June 2015 | 30,000 | Together with principal | |||||
China Merchant Bank | December 2014 | June 2015 | 32,400 | Together with principal | |||||
China Construction Bank | April 2014 | April 2015 | 48,500 | Monthly | |||||
China Construction Bank | April 2014 | April 2015 | 100,000 | Monthly | |||||
China Construction Bank | April 2014 | April 2015 | 11,500 | Monthly | |||||
China Construction Bank | May 2014 | May 2015 | 34,000 | Monthly | |||||
China Construction Bank | November 2014 | May 2015 | 48,789 | Monthly | |||||
China Construction Bank | November 2014 | May 2015 | 22,171 | Monthly | |||||
Bank of China | June 2014 | June 2015 | 200,000 | Quarterly | |||||
Bank of China | September 2014 | March 2015 | 34,849 | Monthly | |||||
Bank of China | October 2014 | April 2015 | 35,490 | Monthly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2015 | 150,000 | Monthly | |||||
Agriculture Bank of China | May 2014 | May 2015 | 20,000 | Monthly | |||||
Agriculture Bank of China | March 2014 | March 2015 | 76,363 | Monthly | |||||
Agriculture Bank of China | January 2014 | January 2015 | 50,000 | Monthly | |||||
Agriculture Bank of China | February 2014 | February 2015 | 30,000 | Monthly | |||||
Agriculture Bank of China | August 2014 | January 2015 | 3,139 | Together with principal | |||||
Agriculture Bank of China | August 2014 | February 2015 | 66,746 | Together with principal | |||||
Agriculture Bank of China | August 2014 | January 2015 | 3,625 | Together with principal | |||||
Agriculture Bank of China | August 2014 | February 2015 | 38,418 | Together with principal | |||||
Agriculture Bank of China | August 2014 | January 2015 | 2,889 | Together with principal | |||||
Agriculture Bank of China | September 2014 | January 2015 | 3,429 | Together with principal | |||||
Agriculture Bank of China | September 2014 | March 2015 | 12,116 | Together with principal | |||||
Agriculture Bank of China | September 2014 | February 2015 | 3,483 | Together with principal | |||||
Agriculture Bank of China | September 2014 | March 2015 | 14,935 | Together with principal | |||||
Agriculture Bank of China | September 2014 | February 2015 | 74,040 | Together with principal | |||||
Agriculture Bank of China | September 2014 | February 2015 | 3,299 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 2,288 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 1,212 | Together with principal | |||||
Agriculture Bank of China | November 2014 | April 2015 | 1,966 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 2,472 | Together with principal | |||||
Agriculture Bank of China | October 2014 | March 2015 | 3,209 | Together with principal | |||||
Agriculture Bank of China | November 2014 | April 2015 | 1,439 | Together with principal | |||||
Agriculture Bank of China | November 2014 | April 2015 | 1,955 | Together with principal | |||||
Agriculture Bank of China | December 2014 | April 2015 | 2,956 | Together with principal | |||||
Agriculture Bank of China | December 2014 | May 2015 | 1,457 | Together with principal | |||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of December 31, 2014 | |||||||||
Short-term loan(continued): | |||||||||
Agriculture Bank of China | December 2014 | May 2015 | 2,988 | Together with principal | |||||
Agriculture Bank of China | December 2014 | May 2015 | 2,084 | Together with principal | |||||
Bank of Xingtai | September 2014 | September 2015 | 2,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2015 | 1,000 | Monthly | |||||
Industrial Bank Co., Ltd. | April 2014 | April 2015 | 140,000 | Quarterly | |||||
Bank of Xingtai | June 2014 | June 2015 | 60,000 | Monthly | |||||
Hefei S & T Rural Commercial Bank | June 2014 | May 2015 | 100,000 | Quarterly | |||||
Hefei S & T Rural Commercial Bank | June 2014 | May 2015 | 100,000 | Quarterly | |||||
Rural Credit Cooperative of Hebei | March 2014 | March 2015 | 28,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2015 | 100 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2015 | 200 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2015 | 100 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2015 | 200 | Monthly | |||||
Shanghai Pudong Development Bank | August 2014 | August 2015 | 39,980 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2015 | 2,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2015 | 2,000 | Quarterly | |||||
Subtotal | 2,275,533 | ||||||||
Long-term loan due in one year: | |||||||||
Agriculture Bank of China | August 2012 | February 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2015 | 2,850 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2015 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2015 | 8,150 | Quarterly | |||||
Subtotal | 22,000 | ||||||||
Short-term borrowings and current portion of long term borrowings | 2,297,533 | ||||||||
Long-term loan: | |||||||||
Agriculture Bank of China | June 2014 | June 2016 | 80,000 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2016 | 74,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2016 | 3,000 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2016 | 300 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2016 | 8,400 | Monthly | |||||
Bank of Xingtai | September 2014 | March 2016 | 300 | Monthly | |||||
Bank of Xingtai | September 2014 | September 2016 | 8,400 | Monthly | |||||
Industrial and Commercial Bank of China | July 2014 | January 2017 | 288,000 | Annually | |||||
Industrial and Commercial Bank of China | July 2014 | January 2018 | 300,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2019 | 168,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2019 | 300,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2018 | 132,000 | Annually | |||||
Industrial and Commercial Bank of China | August 2014 | January 2019 | 252,000 | Annually | |||||
Industrial and Commercial Bank of China | December 2014 | May 2016 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2016 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2017 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2017 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2018 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2018 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2019 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2019 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2020 | 7,000 | Quarterly | |||||
Lender | Date of Borrowing | Due Date | Principal Amount ( in | Interest Payment Periods | |||||
RMB) | |||||||||
As of Decemberember 31, 2014 | |||||||||
Long term loan(continued): | |||||||||
Industrial and Commercial Bank of China | December 2014 | November 2020 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2021 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2021 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2022 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2022 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2023 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2023 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2024 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2024 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2025 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2025 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2026 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2026 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2027 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2027 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2028 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | November 2028 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | May 2029 | 7,000 | Quarterly | |||||
Industrial and Commercial Bank of China | December 2014 | December 2029 | 7,000 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2016 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | August 2017 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2018 | 2,850 | Quarterly | |||||
Agriculture Bank of China | August 2012 | February 2019 | 2,900 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2016 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2017 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2018 | 8,150 | Quarterly | |||||
Agriculture Bank of China | September 2012 | February 2019 | 10,100 | Quarterly | |||||
Agriculture Bank of China | September 2012 | August 2019 | 10,100 | Quarterly | |||||
Subtotal | 1,902,400 | ||||||||
Total borrowings | 4,199,933 | ||||||||
Schedule of borrowings by current and noncurrent classification | |||||||||
As of December | As of December | ||||||||
31, | 31, | ||||||||
2013 | 2014 | ||||||||
RMB | RMB | ||||||||
Short-term | 1,122,352 | 2,275,533 | |||||||
Long-term, current portion | 936,163 | 22,000 | |||||||
Subtotal | 2,058,515 | 2,297,533 | |||||||
Long-term | 1,554,000 | 1,902,400 | |||||||
Total | 3,612,515 | 4,199,933 | |||||||
Schedule of future principal repayments on the long-term borrowings | |||||||||
Year ending December 31, | RMB | ||||||||
2015 | 22,000 | ||||||||
2016 | 210,400 | ||||||||
2017 | 324,000 | ||||||||
2018 | 468,000 | ||||||||
Thereafter | 900,000 | ||||||||
Total | 1,924,400 | ||||||||
Other_payables_to_third_partie1
Other payables to third parties (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Other payables to third parties | ||||||
Schedule of other payables to third parties | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Payables for purchase of property, plant and equipment | 221,232 | 195,069 | ||||
Payables for project assets | — | 134,667 | ||||
Payables for land use rights | 35,000 | 33,000 | ||||
Miscellaneous tax payables | 18,253 | 34,033 | ||||
Deposits | 5,433 | 21,679 | ||||
Labor services payables | 11,959 | 8,634 | ||||
Logistic charges | 28,422 | 48,132 | ||||
Payable to staff * | 52,732 | — | ||||
Interest | 88,060 | 181,857 | ||||
Others | 21,179 | 36,300 | ||||
Total other payables | 482,270 | 693,371 | ||||
*Amount due to employees related to short term borrowings from employees at an average interest rate of 9%. | ||||||
Accrued_expenses_Tables
Accrued expenses (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Accrued expenses | ||||||
Schedule of accrued expenses | ||||||
As of December | As of December | |||||
31, | 31, | |||||
2013 | 2014 | |||||
RMB | RMB | |||||
Professional service fees | 10,659 | 19,885 | ||||
Interest | 107,611 | 47,250 | ||||
Utilities | 2,685 | 2,109 | ||||
Logistic charges | 11,153 | 23,738 | ||||
Tax | 12,740 | 16,159 | ||||
Others | 21,206 | 38,153 | ||||
Total accrued expenses | 166,054 | 147,294 | ||||
Accrued_warranty_cost_Tables
Accrued warranty cost (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Accrued warranty cost | ||||||||
Summary of movement of Group's accrued warranty costs for solar module | ||||||||
As of December | As of December | As of December | ||||||
31, | 31, | 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Beginning balance | 78,751 | 114,226 | 158,897 | |||||
Warranty provision | 42,167 | 44,671 | 92,843 | |||||
Warranty utilization | (6,692 | ) | — | — | ||||
Ending balance | 114,226 | 158,897 | 251,740 | |||||
Sharebased_compensation_Tables
Share-based compensation (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Share-based compensation | ||||||||||
Schedule of fair value assumptions for options granted to employees | ||||||||||
For the year ended | For the year ended | For the year ended | ||||||||
December 31, 2012 | December 31, 2013 | December 31, 2014 | ||||||||
Average risk-free rate | 1.09%~1.27% | — | 1.80%~2.01% | |||||||
Weighted average expected option life | 5.75 years | — | 6 years | |||||||
Volatility rate | 80.5 | % | — | 56.22%~100.06% | ||||||
Dividend | — | — | — | |||||||
-1 | The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected life of the awards in effect at the time of grant. | |||||||||
-2 | The average expected option life is based on the contractual term of the option and expected employee exercise and post-vesting employment termination behavior. Currently, it is based on the simplified approach. | |||||||||
-3 | The Company has no history or expectation of paying dividends on its ordinary shares. | |||||||||
-4 | The Company chose to use the historical volatility and implied volatility of a basket of comparable publicly-traded companies for a period equal to the expected term preceding the grant date. | |||||||||
Schedule of information with respect to share options outstanding | ||||||||||
Shares | Weighted | Weighted | Intrinsic | |||||||
Average | Average | Value (US$, | ||||||||
Exercise | Remaining | in thousands) | ||||||||
Price (US$) | Contractual Life | |||||||||
(Year) | ||||||||||
Outstanding at December 31, 2011 | 2,690,650 | 6.71 | 7.17 | — | ||||||
Granted | 2,207,000 | 1.4 | ||||||||
Forfeited | (540,600 | ) | 4.6 | |||||||
Exercised | — | — | ||||||||
Outstanding at December 31, 2012 | 4,357,050 | 4.28 | 7.62 | — | ||||||
Granted | — | |||||||||
Forfeited | (1,373,750 | ) | 1.37 | |||||||
Exercised | (401,750 | ) | 1.37 | |||||||
Outstanding at December 31, 2013 | 2,581,550 | 4.79 | 6.4 | 612 | ||||||
Granted | 3,660,000 | 1.88 | ||||||||
Forfeited | (296,500 | ) | 2.21 | |||||||
Exercised | (268,750 | ) | 1.37 | |||||||
Outstanding at December 31, 2014 | 5,676,300 | 3.21 | 7.59 | 279 | ||||||
Exercisable at December 31, 2014 | 2,261,300 | 5.23 | 5.19 | 273 | ||||||
Schedule of information with respect to RSUs outstanding | ||||||||||
Shares | Weighted Average | |||||||||
Fair Value (US$) | ||||||||||
Nonvested at December 31, 2011 | 2,493,000 | 5.17 | ||||||||
Granted | 90,000 | 0.79 | ||||||||
Vested | (95,000 | ) | 5.92 | |||||||
Forfeited | (50,000 | ) | 5.85 | |||||||
Nonvested at December 31, 2012 | 2,438,000 | 4.97 | ||||||||
Granted | — | — | ||||||||
Vested | (1,281,890 | ) | 5.04 | |||||||
Forfeited | (140,000 | ) | 4.28 | |||||||
Nonvested at December 31, 2013 | 1,016,110 | 4.95 | ||||||||
Granted | 90,000 | 1.99 | ||||||||
Vested | (85,000 | ) | 5.11 | |||||||
Forfeited | (62,500 | ) | 5.52 | |||||||
Nonvested at December 31, 2014 | 958,610 | 4.62 | ||||||||
Foreign_currency_forward_contr1
Foreign currency forward contracts (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Foreign currency forward contracts | ||||||||||
Schedule of outstanding notional balances and the estimated fair value of the Group's foreign-currency forward exchange contracts | ||||||||||
As of December 31, | As of December 31, | As of December 31, | As of December 31, | |||||||
2013 | 2013 | 2014 | 2014 | |||||||
RMB | RMB | RMB | RMB | |||||||
Notional Amount | Estimate fair value | Notional Amount | Estimate fair value | |||||||
Foreign exchange forward contracts not designated as hedging instruments, recorded in other current assets | 93,295 | 237 | 192,201 | 5,541 | ||||||
Mainland_China_contribution_pl1
Mainland China contribution plan and profit appropriation (Tables) | 12 Months Ended | ||
Dec. 31, 2014 | |||
Mainland China contribution plan and profit appropriation | |||
Schedule of paid-in capital amounts unavailable for distribution as nominal dividends | |||
Legal Entity | Paid-in Capital | ||
restricted | |||
JingAo Solar Co., Ltd. | RMB 1,000,000 | ||
Shanghai JA Solar Technology Co., Ltd. | USD 80,000 | ||
Shanghai JA Solar PV Technology Co., Ltd. | USD 20,000 | ||
JA Solar Technology Yangzhou Co., Ltd. | USD 260,000 | ||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. | USD 98,000 | ||
JA Yangzhou PV Technology Co., Ltd. | USD 10,000 | ||
Shanghai Jinglong Solar Technology Co., Ltd. | RMB 180,000 | ||
Donghai JA Solar Technology Co., Ltd. | RMB 50,000 | ||
JA (Hefei) Renewable Energy Co., Ltd. | USD 15,000 | ||
Hefei JA Solar Technology Co., Ltd. | RMB 1,440,000 | ||
Solar Silicon Valley Electronic Science and Technology Co., Ltd. | USD 36,986 | ||
JA Solar Investment (China) Co., Ltd. | USD 40,000 | ||
Dunhuang JA Solar Power Development Co., Ltd | RMB 254,000 | ||
Hebei Ningjin Songgong Semiconductor Co., Ltd. | RMB 275,000 | ||
JA Solar PV Technology Co., LTD | USD 10,000 | ||
JA Solar PV Electric (Shexian) Co,. Ltd | RMB 3,000 | ||
Aiyouen Power Electric (Yinchuan) Co,. Ltd | RMB 26,000 | ||
JA Solar PV Electric (Baotou) Co,. Ltd | RMB 2,000 | ||
Beijing JA Solar PV Technology Co., Ltd. | RMB 20,000 | ||
JA Solar PV Electric (Huanghua) Co,. Ltd | RMB 1,000 | ||
JA Solar PV Electric (Yanchi) Co,. Ltd | RMB 4,000 | ||
JA New Energy Development (Hebei) Co., Ltd. | RMB 1,000 | ||
Earnings_loss_per_share_Tables
Earnings (loss) per share (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Earnings (loss) per share | ||||||||
Schedule of basic and diluted net (loss)/earnings per share | ||||||||
Year ended | Year ended | Year ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Numerator: | ||||||||
Net (loss)/income attributable to JA Solar Holdings | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Fair value of warrants in excess of net proceeds of equity offering | — | (44,396 | ) | — | ||||
Allocation of net income to participating warrant holder | — | — | (77,174 | ) | ||||
Numerator for basic (loss)/earnings per share | (1,662,257 | ) | (473,676 | ) | 346,597 | |||
Dilutive effect of: | ||||||||
Add back allocation to participating warrant holder (1) | 4,336 | |||||||
Excluding portion of fair value gain (2) | (16,716 | ) | ||||||
Numerator for diluted earnings per share | (1,662,257 | ) | (473,676 | ) | 334,217 | |||
Denominator: | ||||||||
Denominator for basic loss per share - weighted average ordinary shares outstanding | 194,788,429 | 201,317,884 | 242,192,859 | |||||
Dilutive effect of share options and RSUs* | — | — | 363,633 | |||||
Dilutive effect of warrants* | — | — | 306,592 | |||||
Denominator for diluted loss per share | 194,788,429 | 201,317,884 | 242,863,084 | |||||
Basic (loss)/earnings per share | (8.53 | ) | (2.35 | ) | 1.43 | |||
Diluted (loss)/earnings per share | (8.53 | ) | (2.35 | ) | 1.38 | |||
-1 | Net income has been adjusted to participating Series A-3 Warrant and Series B Warrant holder based on their respective rights to share in dividends in 2014. | |||||||
-2 | The fair value gain represents the change in fair value of Series A-3 Warrant, which is deducted from income (numerator) in calculating diluted earnings per share. Series A-3 Warrant has dilutive effect as its exercise price of US$ 9.43 per ADS is less than average stock price during the period it was outstanding. | |||||||
*. These potentially dilutive share options, RSUs and convertible notes totaling 5,628,371 in 2012 were not included in the calculation of dilutive earnings per share in 2012 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive share options and RSUs totaling 3,433,109 in 2013 were not included in the calculation of dilutive earnings per share in 2013 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive warrants 30,806,670 in 2013 were not included in the calculation of dilutive earnings per share in 2013 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive share options and RSUs totaling 2,856,278 in 2014 were not included in the calculation of dilutive earnings per share in 2014 because of their anti-dilutive effect. | ||||||||
* These potentially dilutive warrants 52,569,971 in 2014 were not included in the calculation of dilutive earnings per share in 2014 because of their anti-dilutive effect. Series B Warrant is anti-dilutive as the exercise price of US$ 10. 90 per ADS is higher than average stock price during the year. | ||||||||
Related_party_transactions_Tab
Related party transactions (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Related party transactions | ||||||||
Schedule of balances due to related parties | ||||||||
As of December 31, | As of December 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Short-term: | ||||||||
Payables to Hebei Jinglong Industry and Commerce Group Co., Ltd. (“Hebei Jinglong”) | 13,462 | 8,040 | ||||||
Payables to Jing Wei Electronics Co., Ltd.(“Jing Wei”) | 97,648 | 84,020 | ||||||
Payables to Xingtai Jinglong Electronics and Materials Co., Ltd.(“Xingtai Jinglong”) | 60,807 | 63,633 | ||||||
Payables to Heibei Ningjin Songgong Electronics Co., Ltd. (“Songgong Electronics”) | 37,456 | 17,302 | ||||||
Payables to Yangguang Guifeng Electronics Co., Ltd.(“Yangguang Guifeng”) | 55,965 | 88,757 | ||||||
Payables to Ningjin Saimei Ganglong Electronics Co., Ltd. (“Saimei Ganglong”) | — | 34,821 | ||||||
Payables to Hebei Jinglong Fine Chemical Co., Ltd. (“Fine Chemical”) | — | 24,827 | ||||||
Others | 61,552 | 17,917 | ||||||
Total amounts due to related parties | 326,890 | 339,317 | ||||||
Schedule of balances due from related parties | ||||||||
As of December 31, | As of December 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
Short-term: | ||||||||
Advance to related party suppliers, net | ||||||||
Advances to Hebei Jinglong | 113,000 | 60,000 | ||||||
Accounts receivable from related party customers, net | ||||||||
Receivables from JA Solar PV Electric (Lincheng) Co,. Ltd. (“Lin Cheng”) | — | 109,407 | ||||||
Receivables from Hebei Jinglong | 65,567 | 106,194 | ||||||
Receivables from Jing Wei | 72,510 | 28,194 | ||||||
Receivables from Xingtai Jinglong | 58,750 | 19,694 | ||||||
Receivables from Songgong Electronics | 38,598 | 67,243 | ||||||
Receivables from Yangguang Guifeng | 44,266 | 40,726 | ||||||
Receivables from others-short term | 16,006 | 10,818 | ||||||
Amount due from related parties: | ||||||||
Loan to Yangzhou JA Property Co., Ltd. (“Yangzhou Property”) | 40,000 | 40,000 | ||||||
Amount due from others-short term | 3,436 | 7,890 | ||||||
Long-term: | ||||||||
Advances to Hebei Jinglong-long term | 603 | 10,145 | ||||||
Total amounts due from related parties | 452,736 | 500,311 | ||||||
Schedule of sales of products to related parties | ||||||||
For the year ended | For the year ended | For the year ended | ||||||
December 31, 2012 | December 31, 2013 | December 31, 2014 | ||||||
RMB | RMB | RMB | ||||||
Sales of products | ||||||||
Subsidiaries of Hebei Jinglong | 172,623 | 394,974 | 73,215 | |||||
Ningjin Songgong | 67,393 | 1,531 | — | |||||
Others | 3,204 | — | 115,382 | |||||
Total | 243,220 | 396,505 | 188,597 | |||||
Purchase of products | ||||||||
Subsidiaries of Hebei Jinglong | 464,511 | 609,635 | 1,079,882 | |||||
Ningjin Songgong | 350,685 | 35,504 | — | |||||
Others | 12,515 | — | — | |||||
Total | 827,711 | 645,139 | 1,079,882 | |||||
Processing service | ||||||||
Subsidiaries of Hebei Jinglong | 19,086 | 7,124 | 14,735 | |||||
Others | 7,618 | — | — | |||||
Total | 26,704 | 7,124 | 14,735 | |||||
Purchase of equipment and building | ||||||||
Subsidiaries of Hebei Jinglong | 2,481 | 1,967 | 2,543 | |||||
Yangzhou Property | — | — | 77,398 | |||||
Total | 2,481 | 1,967 | 79,941 | |||||
Sales of equipment | ||||||||
Subsidiaries of Hebei Jinglong | — | 5,000 | — | |||||
Total | — | 5,000 | — | |||||
Provide entrusted loan | ||||||||
Yangzhou Property | — | 40,000 | 40,000 | |||||
Total | — | 40,000 | 40,000 | |||||
Provide Guarantee | ||||||||
Yangzhou Property | — | 20,000 | — | |||||
Total | — | 20,000 | — | |||||
Receive Guarantee | ||||||||
Hebei Jinglong | — | 228,000 | 672,047 | |||||
Yangzhou Property | — | 50,000 | 80,000 | |||||
Total | — | 278,000 | 752,047 | |||||
Contingencies_and_Commitments_
Contingencies and Commitments (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Contingencies and Commitments | ||||||||
Schedule of future obligations | ||||||||
“Take or pay” | Other | Total | ||||||
supply | Multi-year | |||||||
agreements | supply | |||||||
agreements * | ||||||||
(in RMB) | (in RMB) | (in RMB) | ||||||
Twelve Months Ending December 31 | ||||||||
2015 | 2,674,655 | 299,788 | 2,974,443 | |||||
2016 | 1,634,874 | 382,227 | 2,017,101 | |||||
2017 | 1,598,344 | — | 1,598,344 | |||||
2018 | 1,561,813 | — | 1,561,813 | |||||
2019 | 1,525,283 | — | 1,525,283 | |||||
Thereafter | 761,816 | — | 761,816 | |||||
Total | 9,756,785 | 682,015 | 10,438,800 | |||||
* includes only purchase commitments with fixed or minimum price provisions. | ||||||||
Schedule of future minimum obligations for operating leases | ||||||||
(in RMB) | ||||||||
2015 | 65,387 | |||||||
2016 | 41,751 | |||||||
2017 | 1,790 | |||||||
2018 | — | |||||||
Thereafter | — | |||||||
Total | 108,928 | |||||||
Fair_value_measurements_Tables
Fair value measurements (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Fair value measurements | ||||||||||||
Schedule of information about inputs into the fair value measurements of the Group's assets and liabilities that are measured at fair value on a recurring basis in periods subsequent to their initial recognition | ||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||
Description | Balance as of | Quoted Prices in | Significant Other | Significant | ||||||||
31 December | Active Markets | Observable Inputs | Unobservable | |||||||||
2013 | for Identical | (Level 2) | Inputs | |||||||||
Assets (Level 1) | (Level 3) | |||||||||||
Assets: | ||||||||||||
Foreign exchange forward contract instruments | 237 | — | 237 | — | ||||||||
Liabilities: | ||||||||||||
Derivatives liabilities - warrants | (185,365 | ) | (185,365 | ) | ||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||
Description | Balance as of | Quoted Prices in | Significant Other | Significant | ||||||||
31 December | Active Markets | Observable Inputs | Unobservable | |||||||||
2014 | for Identical | (Level 2) | Inputs | |||||||||
Assets (Level 1) | (Level 3) | |||||||||||
Assets: | ||||||||||||
Foreign exchange forward contract instruments | 5,541 | — | 5,541 | — | ||||||||
Liabilities: | ||||||||||||
Derivatives liabilities - warrants | (105,785 | ) | (105,785 | ) | ||||||||
Summary of changes in fair value of assets and liabilities using significant unobservable inputs (Level 3 valuation) | ||||||||||||
Balance at December 31, 2012 | — | |||||||||||
Fair value balance as of Aug. 13, 2013 | (172,916 | ) | ||||||||||
Unrealized gain included in change in fair value of warrant derivatives | (51,074 | ) | ||||||||||
Exercise of warrants reclassified to additional paid –in capital | 35,701 | |||||||||||
Exchange gain | 2,924 | |||||||||||
Balance at December 31, 2013 | (185,365 | ) | ||||||||||
Balance at December 31, 2013 | (185,365 | ) | ||||||||||
Unrealized gain included in change in fair value of warrant derivatives | 74,014 | |||||||||||
Exercise of warrants reclassified to additional paid –in capital | 6,343 | |||||||||||
Exchange gain | (777 | ) | ||||||||||
Balance at December 31, 2014 | (105,785 | ) | ||||||||||
Schedule of information about inputs into the fair value measurements of the Group's assets that are measured at fair value on a non-recurring basis in periods subsequent to their initial recognition | ||||||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||
Description | Balance as of | Quoted Prices in | Significant Other | Significant | Total | |||||||
31 December | Active Markets | Observable Inputs | Unobservable | (losses) | ||||||||
2012 | for Identical | (Level 2) | Inputs | |||||||||
Assets (Level 1) | (Level 3) | |||||||||||
Assets: | ||||||||||||
Long-lived assets | 515,854 | — | — | 515,854 | (397,789 | ) | ||||||
Investment in a joint venture | 50,910 | — | — | 50,910 | (38,000 | ) | ||||||
Schedule of changes in fair value of derivatives | ||||||||||||
For the year ended | For the year ended | For the year ended | ||||||||||
December 31, 2012 | December 31, 2013 | December 31, 2014 | ||||||||||
Embedded derivatives underlying convertible notes | 32 | — | — | |||||||||
Derivatives liabilities - warrants | — | (51,074 | ) | 74,014 | ||||||||
Foreign exchange forward contracts not designated as hedging instruments | 9,302 | (793 | ) | 10,470 | ||||||||
9,334 | (51,867 | ) | 84,484 | |||||||||
Segment_information_Tables
Segment information (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Segment information | ||||||||
Schedule of Group's net revenue generated from different geographic locations | ||||||||
Year Ended December 31, | ||||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
China | 3,086,589 | 3,001,498 | 3,741,732 | |||||
Outside China: | ||||||||
Germany | 1,265,827 | 660,589 | 202,315 | |||||
Japan | 436,443 | 1,596,703 | 3,852,572 | |||||
Rest of the world | 1,930,206 | 1,923,999 | 3,498,904 | |||||
Total outside China | 3,632,476 | 4,181,291 | 7,553,791 | |||||
Total net revenue | 6,719,065 | 7,182,789 | 11,295,523 | |||||
Additional_information_condens1
Additional information - condensed financial statements of the Company (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Additional information - condensed financial statements of the Company | ||||||||
Condensed Statement of Operations | ||||||||
For the year | For the year | For the year | ||||||
ended | ended | ended | ||||||
December 31, | December 31, | December 31, | ||||||
2012 | 2013 | 2014 | ||||||
RMB | RMB | RMB | ||||||
Revenues | — | — | — | |||||
Total operating expenses | (22,576 | ) | (24,368 | ) | (38,940 | ) | ||
Loss from operations | (22,576 | ) | (24,368 | ) | (38,940 | ) | ||
Interest expense | (192,618 | ) | (47,330 | ) | — | |||
Change in fair value of derivatives | 32 | (51,074 | ) | 74,014 | ||||
Share of (loss)/income from subsidiaries | (1,809,926 | ) | (246,909 | ) | 380,263 | |||
Convertible bond buyback loss | (8,466 | ) | — | — | ||||
Other income/(loss) | 371,297 | (59,599 | ) | 8,434 | ||||
Income/(loss) before income taxes | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Net (loss)/income | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Less: fair value of warrants in excess of net proceeds of equity offering | — | 44,396 | — | |||||
Net (loss)/income attributable to JA Solar Holdings | (1,662,257 | ) | (473,676 | ) | 423,771 | |||
Condensed Statement of Financial Position | ||||||||
December 31, | December 31, | |||||||
2013 | 2014 | |||||||
RMB | RMB | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | 34,293 | 29,223 | ||||||
Other receivable from subsidiaries | 244,772 | — | ||||||
Other current assets | 3,631 | 2,257 | ||||||
Total current assets | 282,696 | 31,480 | ||||||
Investments in subsidiaries | 2,579,236 | 2,978,282 | ||||||
Amount due from subsidiaries | 2,557,138 | 2,566,506 | ||||||
Total assets | 5,419,070 | 5,576,268 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Other payables to subsidiaries and employees | 7,788 | 6,364 | ||||||
Accrued and other liabilities | 3,611 | 11,454 | ||||||
Derivatives liabilities - warrants | 31,106 | 105,785 | ||||||
Total current liabilities | 42,505 | 123,603 | ||||||
Long-term amount due to subsidiaries | 602,044 | 92,493 | ||||||
Derivatives liabilities - warrants | 154,259 | — | ||||||
Total liabilities | 798,808 | 216,096 | ||||||
Commitments and Contingencies | ||||||||
Shareholders’ equity : | ||||||||
Ordinary shares (US$0.0001 par value; 500,000,000 shares authorized, 227,499,837 and 252,301,917 shares issued and outstanding as of December 31, 2013 and December 31, 2014) | 170 | 186 | ||||||
Additional paid-in capital | 5,327,177 | 5,638,703 | ||||||
Accumulated deficit | (713,574 | ) | (289,803 | ) | ||||
Accumulated other comprehensive income | 6,489 | 11,086 | ||||||
Total shareholders’ equity | 4,620,262 | 5,360,172 | ||||||
Total liabilities and shareholders’ equity | 5,419,070 | 5,576,268 | ||||||
Condensed Statement of Cash Flows | ||||||||
For the year | For the year | For the year | ||||||
ended December | ended December | ended December | ||||||
31, 2012 | 31, 2013 | 31, 2014 | ||||||
RMB | RMB | RMB | ||||||
Cash flows from operating activities: | ||||||||
Net (loss)/Income | (1,662,257 | ) | (429,280 | ) | 423,771 | |||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Share-based compensation expense | 2,055 | 1,960 | 4,985 | |||||
Share of (loss)/income from subsidiaries | 1,809,926 | 246,909 | (380,263 | ) | ||||
Amortization of deferred issuance cost and increase in accretion of convertible notes | 135,725 | 35,030 | — | |||||
Change in the fair value of derivatives | (32 | ) | 51,074 | (74,014 | ) | |||
Exchange loss/(income) | 4,422 | 85,032 | (11,636 | ) | ||||
Loss from senior convertible notes buyback | 8,466 | — | — | |||||
Gain from sales of claim against loaned shares | (369,153 | ) | — | — | ||||
Changes in operating assets and liabilities: | ||||||||
Decrease/(increase) in other current assets | (3,227 | ) | 1,651 | 1,374 | ||||
Increase/(decrease) in other payables to subsidiaries and employees | — | 1,216 | (1,424 | ) | ||||
(Decrease)/increase in accrued and other liabilities | (33,728 | ) | (10,978 | ) | 7,843 | |||
Decrease in interest payable | (3,746 | ) | (4,123 | ) | — | |||
Net cash used in operating activities | (111,549 | ) | (21,509 | ) | (29,364 | ) | ||
Cash flows from investing activities: | ||||||||
Loans granted to subsidiaries | (12,349 | ) | — | — | ||||
Loans repayment by subsidiaries | 125,710 | 133,458 | 244,772 | |||||
Net cash provided by investing activities | 113,361 | 133,458 | 244,772 | |||||
Cash flows from financing activities: | ||||||||
Proceeds from long-term loan from subsidiaries | 211,193 | 623,759 | — | |||||
Repurchase of senior convertible notes | (617,937 | ) | (740,027 | ) | — | |||
Proceeds from sales of claim against loaned shares | 369,153 | — | — | |||||
Proceeds from issuance of ordinary shares | — | 128,529 | — | |||||
Proceeds from issuance of ordinary shares upon exercise of warrants | — | 143,107 | 286,747 | |||||
Repurchase of ADS | (15,276 | ) | — | — | ||||
Repayment of long-term loan from subsidiaries | (12,571 | ) | (253,629 | ) | (509,571 | ) | ||
Proceeds from exercise of stock options | — | 3,389 | 2,171 | |||||
Net cash provided by/(used in) financing activities | (65,438 | ) | (94,872 | ) | (220,653 | ) | ||
Effect of exchange rate changes on cash and cash equivalents | 3,628 | 205 | 175 | |||||
Net (decrease)/increase in cash and cash equivalents | (59,998 | ) | 17,282 | (5,070 | ) | |||
Cash and cash equivalents at the beginning of the year | 77,009 | 17,011 | 34,293 | |||||
Cash and cash equivalents at the end of the year | 17,011 | 34,293 | 29,223 | |||||
ORGANIZATION_AND_PRINCIPAL_ACT2
ORGANIZATION AND PRINCIPAL ACTIVITIES (Details) | 1 Months Ended | |||
Jan. 31, 2013 | Dec. 31, 2014 | Nov. 30, 2011 | Jun. 30, 2014 | |
JA Hebei | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA BVI | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Shanghai JA Solar Technology Co., Ltd. ("JA Fengxian") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA USA | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Shanghai JA Solar PV Technology Co., Ltd. ("JA Zhabei") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Yangzhou | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Hong Kong | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. ("JA Lianyungang") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Yangzhou PV Technology Co., Ltd. ("JA Yangzhou PV") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA GmbH | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Shanghai Jinglong Solar Technology Co., Ltd. ("JA Jinglong") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Donghai JA Solar Technology Co., Ltd. ("JA Wafer R&D") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA (Hefei) Renewable Energy Co., Ltd. ("JA Hefei Renewable Energy") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Hebei | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar Investment China Co., Ltd ("JA Investment") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Silver Age | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Full Shine | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Solar Silicon Valley Electronic Science and Technology Co., Ltd. ("Solar Silicon Valley") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Japan | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Dunhuang JA Solar Power Development Co., Ltd ("JA Dunhuang") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 65.00% | |||
Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | M.SETEK | ||||
Organizational and principal activities | ||||
Equity interest acquired (as a percent) | 65.00% | |||
JA Solar Investment (Hong Kong) Limited | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar Australia PTY Limited | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Technology Co., LTD | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Electric (Shexian) Co,. Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Aiyouen Power Electric (Yinchuan) Company Limited | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 65.00% | |||
JA Solar PV Electric (Baotou) Company Limited | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar Iriki Power Plant Limited | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Beijing JA Solar PV Technology Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Electric (Huanghua) Co,. Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Powerway South Africa Proprietary Limited | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 65.00% | |||
JA Solar PV Electric (Yanchi) Co,. Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA New Energy Development (Hebei) Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Electric (Juxian) Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
2432243 Ontario Corp | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Electric (Chifeng) Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Electric (Wulanchabu) Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA New Energy (Xilinhaote) Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar Malaysia Sdn. Bhd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
JA Solar PV Electric (LaiWu) Co., Ltd | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Lincheng JA PV Power Generation Co., Ltd. | ||||
Organizational and principal activities | ||||
Percentage of Ownership | 100.00% | |||
Silver Age | ||||
Organizational and principal activities | ||||
Percentage of equity interest acquired | 100.00% | |||
Full Shine | ||||
Organizational and principal activities | ||||
Percentage of equity interest acquired | 100.00% | |||
Solar Silicon Valley Electronic Science and Technology Co., Ltd. ("Solar Silicon Valley") | ||||
Organizational and principal activities | ||||
Percentage of equity interest acquired | 100.00% | |||
JA MEMC | ||||
Organizational and principal activities | ||||
Percentage of interest acquired | 50.00% |
Summary_of_significant_account3
Summary of significant accounting policies (Details) | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 |
USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | Buildings | Machinery and equipment | Machinery and equipment | Furniture and fixtures | Motor vehicles | |
Minimum | Maximum | ||||||||||
Cash, cash equivalents and restricted cash | |||||||||||
Maximum original maturity period of all highly liquid investments to be considered as cash equivalents | 3 months | 3 months | |||||||||
Inventories | |||||||||||
Loss provision recorded related to fixed price polysilicon purchase agreements | $0 | 0 | $0 | 0 | $0 | 0 | |||||
Short-term and long-term advances to suppliers | |||||||||||
Period of expected purchases used to determine classification of advances to suppliers | 12 months | 12 months | |||||||||
Property and equipment, net | |||||||||||
Estimated useful lives | 20 years | 5 years | 15 years | 5 years | 5 years |
Summary_of_significant_account4
Summary of significant accounting policies (Details 2) | 12 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 |
USD ($) | CNY | USD ($) | CNY | USD ($) | Industrial and Commercial Bank of China | Minimum | Maximum | Technical know-how | Customer relationship | Purchased software and others | Purchased software and others | |
CNY | component | Minimum | Maximum | |||||||||
shareholder | ||||||||||||
Intangible assets, net | ||||||||||||
Number of shareholders contributing technical know-how related to the commercial production process of photovoltaic solar cells | 1 | |||||||||||
Number of components of technical know-how related to the commercial production process of photovoltaic solar cells | 1 | |||||||||||
Useful life | 8 years | 5 years | 3 years | 10 years | ||||||||
Prepaid land use rights | ||||||||||||
Land use rights, lease term | 40 years | 50 years | ||||||||||
Income taxes | ||||||||||||
Percentage of likelihood of realization of recognized tax benefit | 50.00% | 50.00% | ||||||||||
Uncertain tax positions | $0 | $0 | $0 | |||||||||
Revenue recognition | ||||||||||||
Contract loss related to engineering, procurement and construction services | 0 | 0 | 0 | |||||||||
Project assets | ||||||||||||
Project assets - Modules cost | 325,640 | 39,341 | ||||||||||
Project assets - Equipment cost | 128,805 | |||||||||||
Project assets - Development and Others | 197,049 | 8,405 | ||||||||||
Total Project assets | 651,494 | 47,746 | ||||||||||
Impairment of project assets | 0 | 0 | ||||||||||
Net book value of project assets pledged as collateral | 310,029 | |||||||||||
Bank loans secured by pledge of project assets | 200,000 |
Summary_of_significant_account5
Summary of significant accounting policies (Details 3) | 12 Months Ended |
Dec. 31, 2014 | |
Warranty cost | |
Guarantee for defects in materials and workmanship | 10 years |
Warranty period of solar modules against decline of more than 10% of initial power generation capacity | 10 years |
Warranty period of solar modules against decline of more than 20% of initial power generation capacity | 25 years |
Minimum percentage of decline in initial minimum power generation capacity for 10 years | 10.00% |
Minimum percentage of decline in initial minimum power generation capacity for 25 years | 20.00% |
Warranty accrual rate as a percent of solar module revenue | 1.00% |
Acquisition_Details
Acquisition (Details) (CNY) | 0 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 29, 2013 | Dec. 31, 2013 | Mar. 08, 2012 |
Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | |||
Acquisition of Hebei Ningjin Songgong | |||
Fair value amount of equity interest in subsidiary to be transferred by supplier | 247,000 | ||
Third party individuals | Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | |||
Acquisition of Hebei Ningjin Songgong | |||
Ownership percentage held | 2.30% | ||
Mr. Baofang Jin | Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | |||
Acquisition of Hebei Ningjin Songgong | |||
Ownership percentage held | 32.70% | ||
M.SETEK | |||
Acquisition of Hebei Ningjin Songgong | |||
Portion of prepayment to be repaid by supplier in supply of inventory | 128,687 | ||
M.SETEK | Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | |||
Acquisition of Hebei Ningjin Songgong | |||
Ownership percentage held | 65.00% | ||
Portion of prepayment to be repaid by supplier in cash | 69,500 | ||
Impairment of allowance for advance to third party suppliers | 96,517 | ||
Ownership percentage transferred | 65.00% | ||
Total consideration received by supplier on transfer of equity interest | 150,483 |
Acquisition_Details_2
Acquisition (Details 2) (CNY) | 12 Months Ended | 0 Months Ended | 11 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 31, 2013 | Dec. 31, 2013 |
Liabilities | |||||
Net revenues | 11,295,523 | 7,182,789 | 6,719,065 | ||
Net loss | 346,597 | -473,676 | -1,662,257 | ||
Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | |||||
Assets acquired: | |||||
Cash and cash equivalents | 45,109 | ||||
Accounts receivable | 138,516 | ||||
Short term prepayment | 18,221 | ||||
Inventory | 75,473 | ||||
Other current assets | 34,702 | ||||
Property, plant and equipment, net | 69,785 | ||||
Long term prepayment | 18,826 | ||||
Total assets acquired | 400,632 | ||||
Liabilities | |||||
Short-term borrowings | 24,100 | ||||
Accounts payable | 45,822 | ||||
Other payables | 57,376 | ||||
Payroll and welfare payable | 41,244 | ||||
Accrued expenses | 578 | ||||
Total liabilities assumed | 169,120 | ||||
Total fair value of net assets | 231,512 | ||||
Less: Non-controlling interest | 81,029 | ||||
Fair value of purchase consideration | 150,483 | ||||
Net revenues | 158,179 | ||||
Net loss | 5,178 |
Acquisition_Details_3
Acquisition (Details 3) (Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong"), CNY) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | ||
Acquisition of Hebei Ningjin Songgong | ||
Pro forma revenue | 7,197,985 | 6,845,610 |
Pro forma net loss | -425,155 | -1,727,001 |
Pro forma loss attributable to holders of common shares | -428,005 | -1,687,720 |
Pro forma loss per share: | ||
Basic (in dollars per share) | -2.13 | -8.66 |
Diluted (in dollars per share) | -2.13 | -8.66 |
Weighted average number of shares used in computation: | ||
Basic (in shares) | 201,317,884 | 194,788,429 |
Diluted (in shares) | 201,317,884 | 194,788,429 |
Amount included in unaudited pro forma net loss for the reduction of depreciation expenses of property, plant and equipment | 17,236 | 17,236 |
Acquisition_Details_4
Acquisition (Details 4) | 12 Months Ended | 1 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2014 | Jun. 24, 2014 |
CNY | CNY | CNY | JA MEMC | JA MEMC | JA MEMC | JA MEMC | |
USD ($) | CNY | CNY | CNY | ||||
Acquisition of JA MEMC | |||||||
Equity interest acquired (as a percent) | 50.00% | 50.00% | |||||
Cash consideration | $7,700 | 47,400 | |||||
Equity interest previously owned (in percent) | 50.00% | 50.00% | |||||
Revaluation gain | 3,652 | ||||||
Negative goodwill | 4,628 | 4,628 | |||||
Assets acquired: | |||||||
Cash and cash equivalents | 8,426 | ||||||
Other current assets | 13,260 | ||||||
Property, plant and equipment, net | 83,025 | ||||||
Total assets acquired | 104,711 | ||||||
Liabilities | |||||||
Accounts payable | 697 | ||||||
Other liabilities | 2 | ||||||
Total liabilities assumed | 699 | ||||||
Total fair value of net assets | 104,012 | ||||||
Net revenues | 11,295,523 | 7,182,789 | 6,719,065 | 40,996 | |||
Total revenue percentage | 0.40% | ||||||
Net loss | 346,597 | -473,676 | -1,662,257 |
Investments_in_joint_venture_a1
Investments in joint venture and affiliates (Details) (CNY) | 12 Months Ended | 1 Months Ended | 3 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2011 | Dec. 31, 2014 | Mar. 31, 2014 | Jul. 31, 2014 | |
Investment in a joint venture | |||||||
Loss/(income) for equity investment in a joint venture | 441,000 | 2,108,000 | 43,501,000 | ||||
Investments in subsidiaries | 13,524,000 | 48,802,000 | 13,524,000 | ||||
Share of loss/(income) from subsidiaries | -441,000 | -2,108,000 | -43,501,000 | ||||
JA MEMC | |||||||
Investment in a joint venture | |||||||
Loss/(income) for equity investment in a joint venture | 441,000 | 2,108,000 | 5,501,000 | ||||
Other-than-temporary impairment charge | 0 | 0 | 38,000,000 | ||||
Percentage of interest acquired | 50.00% | ||||||
Share of loss/(income) from subsidiaries | -441,000 | -2,108,000 | -5,501,000 | ||||
JA MEMC | JA Yangzhou | |||||||
Investment in a joint venture | |||||||
Capital contribution to joint venture | 96,211,000 | ||||||
Ownership in joint venture (as a percent) | 50.00% | ||||||
Lincheng | |||||||
Investment in a joint venture | |||||||
Ownership in joint venture (as a percent) | 100.00% | 20.00% | |||||
Contribution to capital injection | 16,600,000 | ||||||
Investments in subsidiaries | 13,500,000 | 13,500,000 | |||||
Modules sold | 115,400,000 | ||||||
Cost of modules sold | 100,000,000 | ||||||
Share of unrealized profit (in percent) | 20.00% | ||||||
Share of unrealized profit | 3,100,000 | ||||||
Lincheng | Rich Energy | |||||||
Investment in a joint venture | |||||||
Ownership in joint venture (as a percent) | 80.00% | ||||||
Contribution to capital injection | 66,400,000 |
Notes_Receivable_Details
Notes Receivable (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Notes Receivable | ||
Maximum maturity period of notes receivable | 6 months | |
Allowance for notes receivable | $0 | $0 |
Accounts_Receivable_net_Detail
Accounts Receivable, net (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Movement of allowances | |||
Provision, net of recoveries | 15,383 | 91,016 | 187,130 |
Allowance for doubtful accounts | |||
Movement of allowances | |||
Balance at beginning of the year | 280,987 | 189,971 | 32,591 |
Allowance made during the year | 71,104 | 125,691 | 200,446 |
Recoveries | -55,721 | -34,675 | -13,316 |
Amount written off against the allowance | -20,844 | -29,750 | |
Balance at end of the year | 275,526 | 280,987 | 189,971 |
Accounts_Receivable_net_Detail1
Accounts Receivable, net (Details 2) | 12 Months Ended |
Dec. 31, 2014 | |
Solar cells | |
Creditworthiness of customers | |
Maximum term of credit for customers with good credit-worthiness | 90 days |
Solar modules | |
Creditworthiness of customers | |
Maximum term of credit for customers with good credit-worthiness | 180 days |
Inventories_Details
Inventories (Details) | 12 Months Ended | |||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 |
USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | Vendor D | Vendor D | |
CNY | CNY | |||||||
Raw materials | 603,110 | 522,302 | ||||||
Work-in-progress | 130,055 | 71,676 | ||||||
Finished goods | 1,153,103 | 753,116 | ||||||
Total | 1,886,268 | 1,347,094 | ||||||
Inventory written down expense | 15,073 | 119,936 | 171,165 | |||||
Loss provision recorded related to fixed price polysilicon purchase agreements | $0 | 0 | $0 | 0 | $0 | 0 | 0 | 0 |
Maximum import tariffs (as a percent) | 57.00% | 57.00% |
Advances_to_suppliers_Details
Advances to suppliers (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2013 |
Advances to suppliers | |||
Minimum period of advances to suppliers to classify them as non-current assets | 12 months | ||
Outstanding prepayments, net of any allowance to individual suppliers | |||
Disclosure threshold (as a percent) | 10.00% | ||
Advances to suppliers | Supplier concentration risk | |||
Outstanding prepayments, net of any allowance to individual suppliers | |||
Disclosure threshold (as a percent) | 10.00% | 10.00% | |
Advances to suppliers | Supplier concentration risk | Supplier A (third party) | |||
Outstanding prepayments, net of any allowance to individual suppliers | |||
Outstanding prepayments | 440,342 | 602,109 | |
Advances to suppliers | Supplier concentration risk | Supplier C (third party) | |||
Outstanding prepayments, net of any allowance to individual suppliers | |||
Outstanding prepayments | 134,035 | 174,278 |
Advances_to_suppliers_Details_
Advances to suppliers (Details 2) (Allowance for advances to supplier, CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Allowance for advances to supplier | |||
Movement of allowances | |||
Balance at beginning of the year | 72,327 | 158,452 | 94,154 |
Allowance made during the year | 63,331 | 10,392 | 103,139 |
Recoveries | -6,351 | -38,841 | |
Written off | 96,517 | ||
Balance at end of the year | 129,307 | 72,327 | 158,452 |
Other_current_assets_Details
Other current assets (Details) (CNY) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other current assets | ||
Input value-added tax recoverable | 434,209 | 330,482 |
Income tax recoverable | 47,819 | |
Value-added tax refund from export sales | 150,911 | 31,670 |
Prepaid input VAT & customs duty for import machinery and materials | 21,700 | 14,226 |
Prepaid expenses | 12,184 | 12,311 |
Foreign exchange forward contract instruments | 5,540 | 237 |
Accounts receivable recovery from insurance companies | 15,059 | |
Deposit receivable | 49,303 | 51,798 |
Current portion of land use rights | 10,063 | 10,063 |
Others | 29,853 | 22,469 |
Other current assets | 713,763 | 536,134 |
Property_plant_and_equipment_n2
Property, plant and equipment, net (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property, plant and equipment, net | |||
Total | 6,461,322 | 5,727,955 | |
Less: accumulated depreciation | -2,759,096 | -2,209,955 | |
Subtotal | 3,702,226 | 3,518,000 | |
Construction-in-progress | 464,521 | 640,108 | |
Property and equipment, net | 4,166,747 | 4,158,108 | |
Interest capitalized | 38,053 | 39,902 | 51,783 |
Impairment loss | 397,789 | ||
Depreciation expense | 672,855 | 580,157 | 646,955 |
Impairment loss related to retirement of long-lived assets | 0 | 0 | |
JA Hebei and JA Fengxian facilities | |||
Property, plant and equipment, net | |||
Impairment loss | 147,092 | ||
Capacity of outdated solar cells and solar modules facilities (in mega watts) | 300 | ||
Buildings | |||
Property, plant and equipment, net | |||
Total | 1,482,046 | 1,255,743 | |
Buildings | Agriculture Bank of China | Long-term loan | |||
Property, plant and equipment, net | |||
Net book value of assets pledged | 218,603 | ||
Bank borrowing loan against asset | 85,400 | ||
Buildings | Agriculture Bank of China | Short-term loans | |||
Property, plant and equipment, net | |||
Net book value of assets pledged | 91,653 | ||
Bank borrowing loan against asset | 140,000 | ||
Buildings | Shanghai Pudong Development Bank | Short-term loans | |||
Property, plant and equipment, net | |||
Net book value of assets pledged | 116,192 | ||
Bank borrowing loan against asset | 39,980 | ||
Furniture, fixtures and office equipment | |||
Property, plant and equipment, net | |||
Total | 92,175 | 83,745 | |
Motor vehicles | |||
Property, plant and equipment, net | |||
Total | 29,550 | 26,318 | |
Machinery and equipment | |||
Property, plant and equipment, net | |||
Total | 4,705,592 | 4,220,860 | |
Impairment loss | 0 | 0 | 250,697 |
Leasehold improvements | |||
Property, plant and equipment, net | |||
Total | 151,959 | 141,289 | |
Buildings, machineries, equipment and construction in progress | Hefei High-Tech Industrial Development Zone Management Co., Ltd | Long-term loan | |||
Property, plant and equipment, net | |||
Net book value of assets pledged | 834,341 | ||
Bank borrowing loan against asset | 1,440,000 |
Intangible_assets_net_Details
Intangible assets, net (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Intangible assets, net | |||
Gross | 36,864 | 36,132 | |
Accumulated Amortization | -24,136 | -21,709 | |
Net | 12,728 | 14,423 | |
Amortization of acquired intangible assets | 2,427 | 3,018 | 4,572 |
Future amortization expense | |||
2015 | 2,046 | ||
2016 | 2,046 | ||
2017 | 2,046 | ||
2018 | 2,046 | ||
2019 | 2,046 | ||
Technical know-how | |||
Intangible assets, net | |||
Gross | 9,000 | 9,000 | |
Accumulated Amortization | -9,000 | -9,000 | |
Customer relationship | |||
Intangible assets, net | |||
Gross | 3,191 | 3,191 | |
Accumulated Amortization | -1,968 | -1,329 | |
Net | 1,223 | 1,862 | |
Purchased software and others | |||
Intangible assets, net | |||
Gross | 24,673 | 23,941 | |
Accumulated Amortization | -13,168 | -11,380 | |
Net | 11,505 | 12,561 |
Income_taxes_Details
Income taxes (Details) (CNY) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 36 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Mar. 16, 2007 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2012 | Dec. 31, 2015 | Dec. 31, 2013 | Dec. 31, 2016 | Dec. 31, 2014 |
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | 15.00% | 15.00% | ||||||||||||
Preferential income tax rate, renewal period | 3 years | ||||||||||||||
Withholding tax rate maximum on distribution of profits of FIEs (as a percent) | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |||||||||
Withholding tax on appropriation of dividend for reinvestment purpose (as a percent) | 10.00% | ||||||||||||||
Withholding tax paid and recorded as income tax expenses | 21,064 | ||||||||||||||
Cumulative undistributed earnings of the Company's PRC subsidiaries intended to be permanently reinvested | 3,092,616 | 2,478,536 | 2,478,536 | 3,092,616 | |||||||||||
Amount of the unrecognized deferred tax liability on the permanently reinvested earnings | 309,262 | 247,854 | 247,854 | 309,262 | |||||||||||
Uniform tax rate (as a percent) | 25.00% | -25.00% | -25.00% | ||||||||||||
Tax benefit/(expense): | |||||||||||||||
Current tax | -189,622 | -13,462 | -101,975 | ||||||||||||
Deferred tax | 116,232 | 28,489 | 1,350 | ||||||||||||
Total | -73,390 | 15,027 | -100,625 | ||||||||||||
Temporary differences: | |||||||||||||||
Pre-operating expenses | 92 | 92 | |||||||||||||
Amortization of intangible assets | 1,135 | 1,232 | 1,232 | 1,135 | |||||||||||
Accrued warranty costs | 49,309 | 28,510 | 28,510 | 49,309 | |||||||||||
Accrued expenses | 25,438 | 23,746 | 23,746 | 25,438 | |||||||||||
Net loss carried forward | 229,859 | 395,477 | 395,477 | 229,859 | |||||||||||
Depreciation of property, plant and equipment | 103,758 | 86,997 | 86,997 | 103,758 | |||||||||||
Inventory write-down and idle capacity charges | 9,813 | 13,322 | 13,322 | 9,813 | |||||||||||
Allowance for doubtful accounts | 66,991 | 69,199 | 69,199 | 66,991 | |||||||||||
Allowance for advance to suppliers | 18,665 | 10,397 | 10,397 | 18,665 | |||||||||||
Impairment loss on property, plant and equipment | 103,195 | 156,483 | 156,483 | 103,195 | |||||||||||
Loss for equity investment in a joint venture | 4,967 | 4,967 | |||||||||||||
Accrued interest | 27,279 | 13,209 | 13,209 | 27,279 | |||||||||||
Government grant for the acquisition of land use rights and property, plant and equipment | 44,057 | 8,379 | 8,379 | 44,057 | |||||||||||
Timing difference for revenue recognition of retainage contract | 32,746 | 21,726 | 21,726 | 32,746 | |||||||||||
Others | 18,704 | 4,047 | 4,047 | 18,704 | |||||||||||
Deferred tax assets | 730,949 | 837,783 | 837,783 | 730,949 | |||||||||||
Temporary differences: | |||||||||||||||
Capitalized interest | -35,333 | -31,983 | -31,983 | -35,333 | |||||||||||
Deferred tax liabilities | -35,333 | -31,983 | -31,983 | -35,333 | |||||||||||
Less: valuation allowance | -456,925 | -683,341 | -683,341 | -456,925 | |||||||||||
Deferred tax assets-net | 238,691 | 122,459 | 122,459 | 238,691 | |||||||||||
Deferred tax assets are analyzed as: | |||||||||||||||
Current | 90,169 | 64,409 | 64,409 | 90,169 | |||||||||||
Non-Current | 183,855 | 90,033 | 90,033 | 183,855 | |||||||||||
Total | 274,024 | 154,442 | 154,442 | 274,024 | |||||||||||
Deferred tax liability are analyzed as: | |||||||||||||||
Current | 0 | 0 | |||||||||||||
Non-Current | -35,333 | -31,983 | -31,983 | -35,333 | |||||||||||
Deferred tax liabilities | -35,333 | -31,983 | -31,983 | -35,333 | |||||||||||
Deferred tax assets-net | 238,691 | 122,459 | 122,459 | 238,691 | |||||||||||
Hong Kong SAR | |||||||||||||||
Income taxes | |||||||||||||||
Uniform tax rate (as a percent) | 16.50% | ||||||||||||||
Tax benefit/(expense): | |||||||||||||||
Total | 0 | ||||||||||||||
United States | |||||||||||||||
Income taxes | |||||||||||||||
Uniform tax rate (as a percent) | 35.00% | ||||||||||||||
United States | California | |||||||||||||||
Income taxes | |||||||||||||||
State income tax rate (as a percent) | 8.84% | ||||||||||||||
Luxemburg | |||||||||||||||
Income taxes | |||||||||||||||
Uniform tax rate (as a percent) | 29.22% | ||||||||||||||
Germany | |||||||||||||||
Income taxes | |||||||||||||||
Uniform tax rate (as a percent) | 15.00% | ||||||||||||||
Effective income tax rate (as a percent) | 29.55% | ||||||||||||||
Solidarity surcharge tax rate (as a percent) | 5.50% | ||||||||||||||
Trade income tax rate (as a percent) | 13.72% | ||||||||||||||
Japan | |||||||||||||||
Income taxes | |||||||||||||||
Uniform tax rate (as a percent) | 35.64% | ||||||||||||||
Australia | |||||||||||||||
Income taxes | |||||||||||||||
Uniform tax rate (as a percent) | 30.00% | ||||||||||||||
Foreign-owned operating subsidiaries | China | |||||||||||||||
Income taxes | |||||||||||||||
Foreign state income tax rate (as a percent) | 30.00% | ||||||||||||||
Foreign local income tax rate (as a percent) | 3.00% | ||||||||||||||
Tax exemption period following first profit-making year | 2 years | ||||||||||||||
Reduction of FEIT for 3 years following exemption period (as a percent) | 50.00% | ||||||||||||||
Reduction of FEIT by 50% following exemption period | 3 years | ||||||||||||||
Tax reduction, required operational period more than | 10 years | ||||||||||||||
Uniform tax rate (as a percent) | 25.00% | ||||||||||||||
JA Hebei | |||||||||||||||
Income taxes | |||||||||||||||
Dividend declared | 107,804 | 107,804 | |||||||||||||
JA Hebei | China | |||||||||||||||
Income taxes | |||||||||||||||
Tax exemption period following first profit-making year | 2 years | 2 years | |||||||||||||
Reduction of FEIT for 3 years following exemption period (as a percent) | 50.00% | 50.00% | 50.00% | ||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
JA Hebei | China | Subsequent tax period | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
JA Yangzhou | China | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
Dividend declared | 210,637 | 210,637 | |||||||||||||
JA Yangzhou | China | Subsequent tax period | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. ("JA Lianyungang") | China | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. ("JA Lianyungang") | China | Subsequent tax period | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
Shanghai JA Solar Technology Co., Ltd. ("JA Fengxian") | China | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
Shanghai JA Solar Technology Co., Ltd. ("JA Fengxian") | China | Subsequent tax period | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% | ||||||||||||||
Donghai JA Solar Technology Co., Ltd. ("JA Wafer R&D") | China | Subsequent tax period | |||||||||||||||
Income taxes | |||||||||||||||
Preferential income tax rate as an ANTE | 15.00% |
Income_taxes_Details_2
Income taxes (Details 2) | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
USD ($) | USD ($) | Deferred tax assets | Deferred tax assets | Deferred tax assets | ||
item | CNY | CNY | CNY | |||
Movement in valuation allowance | ||||||
Balance at beginning of the year | 683,341 | 576,541 | 202,235 | |||
Business combination | 63,873 | |||||
Allowance made during the year | 40,619 | 158,904 | 374,306 | |||
Reversals and utilization | -267,035 | -115,977 | ||||
Balance at end of the year | 456,925 | 683,341 | 576,541 | |||
PRC enterprise income tax (as a percent) | 25.00% | -25.00% | -25.00% | |||
Effect of permanent differences: | ||||||
Share based compensation and other permanent difference (as a percent) | 4.50% | 4.03% | 5.62% | |||
Effect of tax holiday and tax differential of certain subsidiaries | -8.43% | 8.17% | -2.10% | |||
Effect of tax rate change (as a percent) | 24.30% | -0.32% | -2.69% | |||
Additional tax for previously approved tax holiday (as a percent) | 5.29% | |||||
Withholding tax for dividend distribution (as a percent) | 1.35% | |||||
Intra-group investment disposal income subject to tax | 12.28% | |||||
Valuation allowance (as a percent) | -43.54% | 9.72% | 23.97% | |||
Total (as a percent) | 14.11% | -3.40% | 6.44% | |||
Number of subsidiaries resulted in decrease of tax rate | 1 | |||||
Aggregate amount and per share effect of tax holidays | ||||||
The aggregate dollar effect | $43,405 | $10,540 | ||||
Per share effect-basic (in dollars per share) | $0.18 | $0.05 | ||||
Per share effect-diluted (in dollars per share) | $0.18 | $0.05 |
Government_grant_Details
Government grant (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Government grant | |||
Receipt of government grants related to property, plant and equipment and land use rights | 45,300 | 126,900 | 78,020 |
Long-term liability balance related to government grants | 278,272 | 262,348 | |
Recognition of government grants | 32,078 | 14,471 | 18,672 |
Amortization of government grants | 27,376 | 13,290 | 9,002 |
Prepaid_land_use_rights_Detail
Prepaid land use rights (Details) (CNY) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ||
Land use rights, minimum lease term | 40 years | |
Land use rights, maximum lease term | 50 years | |
Cost | 491,638 | 491,638 |
Less: accumulated amortization | -43,019 | -32,956 |
Current portion of prepaid land use rights (recorded in other current assets) | 10,063 | 10,063 |
Non-current portion of prepaid land use rights | 438,556 | 448,619 |
Net | 448,619 | 458,682 |
Agriculture Bank of China | ||
Debt Instrument [Line Items] | ||
Bank loan secured by pledge of prepaid land use rights | 28,600 | |
Agriculture Bank of China | Long-term loan | ||
Debt Instrument [Line Items] | ||
Net book value of prepaid land use rights pledged as collateral | 74,211 | |
Bank loan secured by pledge of prepaid land use rights | 28,600 | |
Hefei High-Tech Industrial Development Zone Management Co., Ltd | Long-term loan | ||
Debt Instrument [Line Items] | ||
Net book value of prepaid land use rights pledged as collateral | 213,840 | |
Bank loan secured by pledge of prepaid land use rights | 1,440,000 | |
Shanghai Pudong Development Bank | Long-term loan | ||
Debt Instrument [Line Items] | ||
Net book value of prepaid land use rights pledged as collateral | 26,086 | |
Bank loan secured by pledge of prepaid land use rights | 39,980 |
Borrowings_Details
Borrowings (Details) (CNY) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Short-term loan: | ||
Short-term loan | 2,275,533 | 1,122,352 |
Long-term loan due in one year: | ||
Long-term loan due in one year | 22,000 | 936,163 |
Short-term borrowings and current portion of long term borrowings | 2,297,533 | 2,058,515 |
Long-term loan | ||
Long-term loan | 1,902,400 | 1,554,000 |
Long-term loan | 1,902,400 | 1,554,000 |
Total borrowings | 4,199,933 | 3,612,515 |
Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 140,000 | |
Bank of China | Bank Borrowings one due September 2014 | ||
Short-term loan: | ||
Short-term loan | 200,000 | |
Bank of China | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 34,849 | |
Bank of China | Bank Borrowings one due June 2015 | ||
Short-term loan: | ||
Short-term loan | 200,000 | |
Bank of China | Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 35,490 | |
Agriculture Bank of China | Bank Borrowings one due September 2014 | ||
Short-term loan: | ||
Short-term loan | 80,000 | |
Agriculture Bank of China | Bank Borrowings one due January 2014 | ||
Short-term loan: | ||
Short-term loan | 34,379 | |
Agriculture Bank of China | Bank Borrowings one due February 2014 | ||
Short-term loan: | ||
Short-term loan | 79,248 | |
Long-term loan due in one year: | ||
Long-term loan due in one year | 2,850 | |
Agriculture Bank of China | Bank Borrowings one due April 2014 | ||
Short-term loan: | ||
Short-term loan | 539 | |
Agriculture Bank of China | Bank Borrowings one due May 2014 | ||
Short-term loan: | ||
Short-term loan | 3,073 | |
Agriculture Bank of China | Bank Borrowings two due April 2014 | ||
Short-term loan: | ||
Short-term loan | 95,721 | |
Agriculture Bank of China | Bank Borrowings two due May 2014 | ||
Short-term loan: | ||
Short-term loan | 2,038 | |
Agriculture Bank of China | Bank Borrowings three due May 2014 | ||
Short-term loan: | ||
Short-term loan | 1,996 | |
Agriculture Bank of China | Bank Borrowings two due February 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 8,150 | |
Agriculture Bank of China | Bank Borrowings one due August 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 2,850 | |
Agriculture Bank of China | Bank Borrowings two due August 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 8,150 | |
Agriculture Bank of China | Bank Borrowings one due August 2015 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 2,850 | |
Long-term loan | ||
Long-term loan | 2,850 | |
Agriculture Bank of China | Bank Borrowings two due August 2015 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 8,150 | |
Long-term loan | ||
Long-term loan | 8,150 | |
Agriculture Bank of China | Bank Borrowings one due February 2016 | ||
Long-term loan | ||
Long-term loan | 2,850 | 2,850 |
Agriculture Bank of China | Bank Borrowings two due February 2016 | ||
Long-term loan | ||
Long-term loan | 8,150 | 8,150 |
Agriculture Bank of China | Bank Borrowings one due August 2016 | ||
Long-term loan | ||
Long-term loan | 2,850 | 2,850 |
Agriculture Bank of China | Bank Borrowings two due August 2016 | ||
Long-term loan | ||
Long-term loan | 8,150 | 8,150 |
Agriculture Bank of China | Bank Borrowings one due February 2015 | ||
Short-term loan: | ||
Short-term loan | 30,000 | |
Long-term loan due in one year: | ||
Long-term loan due in one year | 2,850 | |
Long-term loan | ||
Long-term loan | 8,150 | |
Agriculture Bank of China | Bank Borrowings one due February 2017 | ||
Long-term loan | ||
Long-term loan | 2,850 | 2,850 |
Agriculture Bank of China | Bank Borrowings two due February 2017 | ||
Long-term loan | ||
Long-term loan | 8,150 | 8,150 |
Agriculture Bank of China | Bank Borrowings one due August 2017 | ||
Long-term loan | ||
Long-term loan | 2,850 | 2,850 |
Agriculture Bank of China | Bank Borrowings two due August 2017 | ||
Long-term loan | ||
Long-term loan | 8,150 | 8,150 |
Agriculture Bank of China | Bank Borrowings one due February 2018 | ||
Long-term loan | ||
Long-term loan | 2,850 | 2,850 |
Agriculture Bank of China | Bank Borrowings two due February 2018 | ||
Long-term loan | ||
Long-term loan | 8,150 | 8,150 |
Agriculture Bank of China | Bank Borrowings one due August 2018 | ||
Long-term loan | ||
Long-term loan | 2,850 | 2,850 |
Agriculture Bank of China | Bank Borrowings two due August 2018 | ||
Long-term loan | ||
Long-term loan | 8,150 | 8,150 |
Agriculture Bank of China | Bank Borrowings one due February 2019 | ||
Long-term loan | ||
Long-term loan | 2,900 | 10,100 |
Agriculture Bank of China | Bank Borrowings two due February 2019 | ||
Long-term loan | ||
Long-term loan | 10,100 | 2,900 |
Agriculture Bank of China | Bank Borrowings one due August 2019 | ||
Long-term loan | ||
Long-term loan | 2,900 | 2,900 |
Agriculture Bank of China | Bank Borrowings two due August 2019 | ||
Long-term loan | ||
Long-term loan | 10,100 | 10,100 |
Agriculture Bank of China | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 76,363 | |
Agriculture Bank of China | Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 1,966 | |
Agriculture Bank of China | Bank Borrowings one due January 2015 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Agriculture Bank of China | Bank Borrowings two due March 2015 | ||
Short-term loan: | ||
Short-term loan | 12,116 | |
Agriculture Bank of China | Bank Borrowings one due May 2015 | ||
Short-term loan: | ||
Short-term loan | 20,000 | |
Agriculture Bank of China | Bank Borrowings two due April 2015 | ||
Short-term loan: | ||
Short-term loan | 1,439 | |
Agriculture Bank of China | Bank Borrowings three due April 2015 | ||
Short-term loan: | ||
Short-term loan | 1,955 | |
Agriculture Bank of China | Bank Borrowings two due May 2015 | ||
Short-term loan: | ||
Short-term loan | 1,457 | |
Agriculture Bank of China | Bank Borrowings three due May 2015 | ||
Short-term loan: | ||
Short-term loan | 2,988 | |
Agriculture Bank of China | Bank Borrowings two due January 2015 | ||
Short-term loan: | ||
Short-term loan | 3,139 | |
Agriculture Bank of China | Bank Borrowings two due February 2015 | ||
Short-term loan: | ||
Short-term loan | 66,746 | |
Long-term loan due in one year: | ||
Long-term loan due in one year | 8,150 | |
Long-term loan | ||
Long-term loan | 2,850 | |
Agriculture Bank of China | Bank Borrowings three due January 2015 | ||
Short-term loan: | ||
Short-term loan | 3,625 | |
Agriculture Bank of China | Bank Borrowings five due January 2015 | ||
Short-term loan: | ||
Short-term loan | 3,429 | |
Agriculture Bank of China | Bank Borrowings three due February 2015 | ||
Short-term loan: | ||
Short-term loan | 38,418 | |
Agriculture Bank of China | Bank Borrowings four due January 2015 | ||
Short-term loan: | ||
Short-term loan | 2,889 | |
Agriculture Bank of China | Bank Borrowings four due February 2015 | ||
Short-term loan: | ||
Short-term loan | 3,483 | |
Agriculture Bank of China | Bank Borrowings three due March 2015 | ||
Short-term loan: | ||
Short-term loan | 14,935 | |
Agriculture Bank of China | Bank Borrowings Five Due February 2015 | ||
Short-term loan: | ||
Short-term loan | 74,040 | |
Agriculture Bank of China | Bank Borrowings six due February 2015 | ||
Short-term loan: | ||
Short-term loan | 3,299 | |
Agriculture Bank of China | Bank Borrowings four due March 2015 | ||
Short-term loan: | ||
Short-term loan | 2,288 | |
Agriculture Bank of China | Bank Borrowings five due March 2015 | ||
Short-term loan: | ||
Short-term loan | 1,212 | |
Agriculture Bank of China | Bank Borrowings six due March 2015 | ||
Short-term loan: | ||
Short-term loan | 2,472 | |
Agriculture Bank of China | Bank Borrowings seven due March 2015 | ||
Short-term loan: | ||
Short-term loan | 3,209 | |
Agriculture Bank of China | Bank Borrowings four due April 2015 | ||
Short-term loan: | ||
Short-term loan | 2,956 | |
Agriculture Bank of China | Bank Borrowings four due May 2015 | ||
Short-term loan: | ||
Short-term loan | 2,084 | |
Agriculture Bank of China | Bank Borrowings one due June 2016 | ||
Long-term loan | ||
Long-term loan | 80,000 | |
China Merchants Bank | Bank Borrowings one due March 2014 | ||
Short-term loan: | ||
Short-term loan | 10,000 | |
China Merchants Bank | Bank Borrowings two due March 2014 | ||
Short-term loan: | ||
Short-term loan | 10,000 | |
China Merchants Bank | Bank Borrowings three due March 2014 | ||
Short-term loan: | ||
Short-term loan | 10,000 | |
China Merchants Bank | Bank Borrowings four due March 2014 | ||
Short-term loan: | ||
Short-term loan | 10,000 | |
China Merchants Bank | Bank Borrowings five due March 2014 | ||
Short-term loan: | ||
Short-term loan | 10,000 | |
China Merchants Bank | Bank Borrowings one due June 2014 | ||
Short-term loan: | ||
Short-term loan | 30,000 | |
China Merchants Bank | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 48,952 | |
China Merchants Bank | Bank Borrowings one due June 2015 | ||
Short-term loan: | ||
Short-term loan | 30,000 | |
China Merchants Bank | Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 62,000 | |
China Merchants Bank | Bank Borrowings one due May 2015 | ||
Short-term loan: | ||
Short-term loan | 28,759 | |
China Merchants Bank | Bank Borrowings two due June 2015 | ||
Short-term loan: | ||
Short-term loan | 32,400 | |
Huaxia Bank | Bank Borrowings two due February 2014 | ||
Short-term loan: | ||
Short-term loan | 40,000 | |
Huaxia Bank | Bank Borrowings three due February 2014 | ||
Short-term loan: | ||
Short-term loan | 10,000 | |
Huaxia Bank | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 30,000 | |
Huaxia Bank | Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 20,000 | |
Bank of Communications | Bank Borrowings one due February 2014 | ||
Short-term loan: | ||
Short-term loan | 42,000 | |
Bank of Communications | Bank Borrowings one due February 2015 | ||
Short-term loan: | ||
Short-term loan | 97,904 | |
Bank of Communications | Bank Borrowings one due January 2015 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Hefei S & T Rural Commercial Bank | Bank Borrowings one due March 2014 | ||
Short-term loan: | ||
Short-term loan | 150,000 | |
Hefei S & T Rural Commercial Bank | Bank Borrowings two due March 2014 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Hefei S & T Rural Commercial Bank | Bank Borrowings one due May 2015 | ||
Short-term loan: | ||
Short-term loan | 100,000 | |
Hefei S & T Rural Commercial Bank | Bank Borrowings two due May 2015 | ||
Short-term loan: | ||
Short-term loan | 100,000 | |
Rural Credit Cooperative of Hebei | Bank Borrowings one due March 2014 | ||
Short-term loan: | ||
Short-term loan | 28,000 | |
Rural Credit Cooperative of Hebei | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 28,000 | |
Bank of Xingtai | Bank Borrowings one due September 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 100,000 | |
Bank of Xingtai | Bank Borrowings one due June 2014 | ||
Short-term loan: | ||
Short-term loan | 20,000 | |
Bank of Xingtai | Bank Borrowings two due June 2014 | ||
Short-term loan: | ||
Short-term loan | 40,000 | |
Bank of Xingtai | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 1,000 | |
Bank of Xingtai | Bank Borrowings one due June 2015 | ||
Short-term loan: | ||
Short-term loan | 60,000 | |
Bank of Xingtai | Bank Borrowings two due March 2015 | ||
Short-term loan: | ||
Short-term loan | 100 | |
Bank of Xingtai | Bank Borrowings three due March 2015 | ||
Short-term loan: | ||
Short-term loan | 100 | |
Bank of Xingtai | Bank Borrowings one due September 2015 | ||
Short-term loan: | ||
Short-term loan | 2,000 | |
Bank of Xingtai | Bank Borrowings two due September 2015 | ||
Short-term loan: | ||
Short-term loan | 200 | |
Bank of Xingtai | Bank Borrowings three due September 2015 | ||
Short-term loan: | ||
Short-term loan | 200 | |
Bank of Xingtai | Bank Borrowings one due September 2016 | ||
Long-term loan | ||
Long-term loan | 74,000 | |
Bank of Xingtai | Bank Borrowings one due March 2016 | ||
Long-term loan | ||
Long-term loan | 3,000 | |
Bank of Xingtai | Bank Borrowings two due March 2016 | ||
Long-term loan | ||
Long-term loan | 300 | |
Bank of Xingtai | Bank Borrowings two due September 2016 | ||
Long-term loan | ||
Long-term loan | 8,400 | |
Bank of Xingtai | Bank Borrowings three due March 2016 | ||
Long-term loan | ||
Long-term loan | 300 | |
Bank of Xingtai | Bank Borrowings three due September 2016 | ||
Long-term loan | ||
Long-term loan | 8,400 | |
OCBC Bank | Bank Borrowings one due April 2014 | ||
Short-term loan: | ||
Short-term loan | 30,485 | |
OCBC Bank | Bank Borrowings one due May 2014 | ||
Short-term loan: | ||
Short-term loan | 54,873 | |
Other loan | Bank Borrowings one due March 2014 | ||
Short-term loan: | ||
Short-term loan | 30,000 | |
Other loan | Bank Borrowings one due November 2014 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
China Construction Bank | Bank Borrowings one due April 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 157,000 | |
China Construction Bank | Bank Borrowings one due May 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 34,000 | |
China Construction Bank | Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 48,500 | |
China Construction Bank | Bank Borrowings one due May 2015 | ||
Short-term loan: | ||
Short-term loan | 34,000 | |
China Construction Bank | Bank Borrowings two due April 2015 | ||
Short-term loan: | ||
Short-term loan | 100,000 | |
China Construction Bank | Bank Borrowings three due April 2015 | ||
Short-term loan: | ||
Short-term loan | 11,500 | |
China Construction Bank | Bank Borrowings two due May 2015 | ||
Short-term loan: | ||
Short-term loan | 48,789 | |
China Construction Bank | Bank Borrowings three due May 2015 | ||
Short-term loan: | ||
Short-term loan | 22,171 | |
Industrial and Commercial Bank of China | Bank Borrowings one due March 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 140,000 | |
Industrial and Commercial Bank of China | Bank Borrowings two due March 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 40,000 | |
Industrial and Commercial Bank of China | Bank Borrowings three due March 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 20,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due June 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 15,917 | |
Industrial and Commercial Bank of China | Bank Borrowings two due June 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 57,246 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 150,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due January 2019 | ||
Long-term loan | ||
Long-term loan | 168,000 | 720,000 |
Industrial and Commercial Bank of China | Bank Borrowings one due January 2018 | ||
Long-term loan | ||
Long-term loan | 300,000 | 432,000 |
Industrial and Commercial Bank of China | Bank Borrowings one due January 2017 | ||
Long-term loan | ||
Long-term loan | 288,000 | 288,000 |
Industrial and Commercial Bank of China | Bank Borrowings one due March 2015 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due October 2015 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due June 2015 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due April 2015 | ||
Short-term loan: | ||
Short-term loan | 50,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due January 2015 | ||
Short-term loan: | ||
Short-term loan | 58,131 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2015 | ||
Short-term loan: | ||
Short-term loan | 2,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2015 | ||
Short-term loan: | ||
Short-term loan | 150,000 | |
Industrial and Commercial Bank of China | Bank Borrowings two due November 2015 | ||
Short-term loan: | ||
Short-term loan | 2,000 | |
Industrial and Commercial Bank of China | Bank Borrowings two due January 2019 | ||
Long-term loan | ||
Long-term loan | 300,000 | |
Industrial and Commercial Bank of China | Bank Borrowings three due January 2019 | ||
Long-term loan | ||
Long-term loan | 252,000 | |
Industrial and Commercial Bank of China | Bank Borrowings two due January 2018 | ||
Long-term loan | ||
Long-term loan | 132,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2016 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2016 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2017 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2017 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2018 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2018 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2019 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2019 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2020 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2020 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2021 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2021 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2022 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2022 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2023 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2023 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2024 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2024 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2025 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2025 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2026 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2026 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2027 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due Novemebr 2027 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2028 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due November 2028 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due May 2029 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
Industrial and Commercial Bank of China | Bank Borrowings one due December 2029 | ||
Long-term loan | ||
Long-term loan | 7,000 | |
China Everbright Bank | Bank Borrowings one due June 2014 | ||
Long-term loan due in one year: | ||
Long-term loan due in one year | 200,000 | |
Shanghai Pudong Development Bank | Bank Borrowings one due August 2015 | ||
Short-term loan: | ||
Short-term loan | 39,980 |
Borrowings_Details_2
Borrowings (Details 2) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Borrowings | |||
Short-term | 2,275,533 | 1,122,352 | |
Long-term, current portion | 22,000 | 936,163 | |
Subtotal | 2,297,533 | 2,058,515 | |
Long-term | 1,902,400 | 1,554,000 | |
Total borrowings | 4,199,933 | 3,612,515 | |
Borrowings | |||
Weighted average interest rate (as a percent) | 6.07% | 6.42% | |
Interest rate (as a percent) | 9.00% | ||
Principal amount of short-term borrowings | 2,275,533 | 1,122,352 | |
Short-term | 2,275,533 | 1,122,352 | |
Principal amount of long-term borrowings | 1,902,400 | 1,554,000 | |
Unused lines of credit | 690,710 | ||
Unused line of credit secured by project assets | 100,000 | ||
Interest incurred | 267,718 | 278,190 | 348,510 |
Interest capitalized in the cost of property, plant and equipment and project assets | 38,053 | 37,495 | 45,059 |
Maximum gearing ratio | 55.00% | ||
Future principal repayments on the long-term borrowings | |||
2015 | 22,000 | ||
2016 | 210,400 | ||
2017 | 324,000 | ||
2018 | 468,000 | ||
Thereafter | 900,000 | ||
Total | 1,924,400 | ||
Bank of Xingtai | |||
Borrowings | |||
Restricted cash collateral amount | 20,000 | ||
Agriculture Bank of China | |||
Borrowings | |||
Long-term bank loan secured by pledge of buildings | 85,400 | ||
Bank loan secured by pledge of prepaid land use rights | 28,600 | ||
Net book value of buildings pledged as collateral | 218,603 | ||
Donghai Jingtian Construction Corp | |||
Borrowings | |||
Bank loan secured by pledge of prepaid land use rights | 39,980 | ||
Industrial and Commercial Bank of China | |||
Borrowings | |||
Short-term bank loans secured by pledge of project assets | 4,000 | ||
Long-term bank loans secured by pledge of project assets | 196,000 | ||
Net book value of project assets pledged as collateral | 310,029 | ||
Hefei High-Tech Industrial Development Zone Management Co., Ltd | |||
Borrowings | |||
Long-term entrustment loan secured by pledge of property, plant and equipment and land use rights | 1,440,000 | ||
Net book value of buildings, machineries and equipment and construction in progress pledged as collateral | 834,341 | ||
China Construction Bank | JA Hebei | |||
Borrowings | |||
Maximum borrowing capacity | 194,000 | ||
Minimum current ratio | 1.6 | ||
Minimum quick ratio | 1.5 | ||
Maximum ratio of long-term investment to net asset | 30.00% | ||
Maximum ratio of external quarantee to net asset | 55 | ||
Huaxia Bank | JA Yangzhou | |||
Borrowings | |||
Maximum borrowing capacity | 80,000 | ||
Maximum gearing ratio | 70.00% | ||
Lines of credit | China Development Bank Shanghai Branch | |||
Borrowings | |||
Maximum borrowing capacity | 30,000,000 | ||
Short-term loans | Bank of Xingtai | |||
Borrowings | |||
Loan secured by restricted cash balance | 600 | ||
Short-term loans | Donghai Jingtian Construction Corp | |||
Borrowings | |||
Net book value of prepaid land use rights pledged as collateral | 26,086 | ||
Unsecured short-term bank borrowings | |||
Borrowings | |||
Short-term | 2,090,953 | 956,994 | |
Borrowings | |||
Weighted average interest rate (as a percent) | 5.66% | 6.04% | |
Interest rate, minimum (as a percent) | 1.35% | 2.67% | |
Interest rate, maximum (as a percent) | 7.82% | 7.80% | |
Principal amount of short-term borrowings | 2,090,953 | 956,994 | |
Short-term | 2,090,953 | 956,994 | |
Short-term borrowings secured by restricted cash | |||
Borrowings | |||
Short-term | 600 | 85,358 | |
Borrowings | |||
Weighted average interest rate (as a percent) | 6.53% | 1.67% | |
Interest rate (as a percent) | 6.15% | ||
Interest rate, minimum (as a percent) | 6.15% | 1.66% | |
Interest rate, maximum (as a percent) | 6.90% | 1.67% | |
Principal amount of short-term borrowings | 600 | 85,358 | |
Short-term | 600 | 85,358 | |
Short term bank borrowings secured by assets | |||
Borrowings | |||
Short-term | 183,980 | ||
Borrowings | |||
Principal amount of short-term borrowings | 183,980 | ||
Short-term | 183,980 | ||
Short-term bank borrowings from non-financial institution | |||
Borrowings | |||
Short-term | 80,000 | ||
Borrowings | |||
Interest rate (as a percent) | 9.00% | ||
Principal amount of short-term borrowings | 80,000 | ||
Short-term | 80,000 | ||
Number of non-financial institutions | 1 | ||
Long-term loan | Bank of Xingtai | |||
Borrowings | |||
Loan secured by restricted cash balance | 17,400 | ||
Long-term loan | Agriculture Bank of China | |||
Borrowings | |||
Bank loan secured by pledge of prepaid land use rights | 28,600 | ||
Net book value of prepaid land use rights pledged as collateral | 74,211 | ||
Long-term loan | Hefei High-Tech Industrial Development Zone Management Co., Ltd | |||
Borrowings | |||
Bank loan secured by pledge of prepaid land use rights | 1,440,000 | ||
Net book value of prepaid land use rights pledged as collateral | 213,840 | ||
Unsecured long-term bank borrowings | |||
Borrowings | |||
Long-term | 157,000 | 914,163 | |
Borrowings | |||
Weighted average interest rate (as a percent) | 6.64% | 6.48% | |
Interest rate, minimum (as a percent) | 6.52% | 6.15% | |
Interest rate, maximum (as a percent) | 6.77% | 7.07% | |
Principal amount of long-term borrowings | 157,000 | 914,163 | |
Long-term bank borrowings secured by buildings, machineries and equipment and construction in progress | |||
Borrowings | |||
Long-term | 1,767,400 | 1,576,000 | |
Borrowings | |||
Weighted average interest rate (as a percent) | 6.46% | 6.74% | |
Interest rate, minimum (as a percent) | 6.15% | 6.72% | |
Interest rate, maximum (as a percent) | 7.01% | 7.01% | |
Principal amount of long-term borrowings | 1,767,400 | 1,576,000 | |
Minimum | |||
Borrowings | |||
Maturity period | 5 months | ||
Maximum | |||
Borrowings | |||
Maturity period | 179 months |
Senior_Convertible_Notes_Detai
Senior Convertible Notes (Details) | 1 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||||
31-May-13 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | 13-May-08 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | 19-May-08 | 13-May-08 | Dec. 31, 2012 | Dec. 31, 2012 | 13-May-08 | |
CNY | CNY | CNY | CNY | Warrant derivatives | Warrant derivatives | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | 4.5% Senior Convertible Notes due 2013 | |
CNY | CNY | CNY | USD ($) | USD ($) | CNY | USD ($) | CNY | USD ($) | USD ($) | Minimum | Maximum | Maximum | |||||
USD ($) | |||||||||||||||||
Senior Convertible Notes | |||||||||||||||||
Aggregate principal amount | $350,000,000 | ||||||||||||||||
Interest rate (as a percent) | 9.00% | 4.50% | |||||||||||||||
Number of days granted to underwriters for the option to purchase additional Senior Notes | 30 days | ||||||||||||||||
Option granted to underwriters to purchase additional aggregate principal amount of Senior Notes | 50,000,000 | ||||||||||||||||
Completed public offering including underwriter's option to purchase additional Senior Notes | 400,000,000 | ||||||||||||||||
Net proceeds from the offering | 2,709,538,000 | ||||||||||||||||
Amount of unamortized financing costs | 80,010,000 | ||||||||||||||||
Amount of financing costs amortized through interest expense | 2,606,000 | 9,656,000 | |||||||||||||||
Percentage of the effective conversion price as a condition for conversion or redemption of Senior Notes | 130.00% | ||||||||||||||||
Minimum number of trading days triggering conversion or redemption feature | 20 days | ||||||||||||||||
The maximum period of consecutive trading days that the closing price of the Company's ADS exceeds a specified percentage of the conversion price to trigger conversion or redemption feature of notes | 30 days | ||||||||||||||||
Redemption price as percentage of principal amount of notes plus accrued and unpaid interest | 100.00% | ||||||||||||||||
Interest expenses recognized | 12,300,000 | 56,893,000 | |||||||||||||||
Principal amount used for debt instrument conversion ratio | 1,000 | ||||||||||||||||
Conversion rate per $1000 principal amount of the Senior Notes (in ADS) | 6.5628 | ||||||||||||||||
Par value per share (in dollars per share) | $0.00 | ||||||||||||||||
Conversion price (in dollars per ADS) | $152.38 | ||||||||||||||||
Change in fair value of the Embedded Derivatives | 84,484,000 | -51,867,000 | 9,334,000 | 0 | 32,000 | ||||||||||||
Interest expense recognized for accretion to the redemption value | 24,216,000 | 96,532,000 | |||||||||||||||
Principal amount of debt bought back | 0 | 105,427,000 | |||||||||||||||
Buyback price as a percentage of principal amounts | 72.48% | 95.35% | |||||||||||||||
Gain/(loss) from convertible notes buyback | -8,466,000 | 0 | -8,466,000 | ||||||||||||||
Repayment of remaining principal amount | 723,742,000 | 740,027,000 |
Senior_Convertible_Notes_Detai1
Senior Convertible Notes (Details 2) (4.5% Senior Convertible Notes due 2013) | 1 Months Ended | 12 Months Ended | |||||||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2008 | Sep. 15, 2008 | 12-May-08 |
CNY | GBP (£) | CNY | CNY | USD ($) | CNY | CNY | CNY | ||
ADS Lending Agreement | |||||||||
Shares loaned to the ADS Borrowers | 2,625,104 | ||||||||
Nominal lending fees to be received from the ADS Borrowers (in dollars per ADS) | $0.00 | ||||||||
Number of shares loaned to ADS borrower that filed for bankruptcy | 1,312,552 | ||||||||
Fair value of the outstanding loaned shares | $5,605 | 35,230 | 230,729 | ||||||
Interest cost recognized relating to the amortization of the issuance cost | 8,208 | 29,537 | |||||||
Expense recognized due to bankruptcy of one of the ADS borrowers | 469,042 | ||||||||
Unamortized amount of issuance costs | 8,253 | ||||||||
Amount of unsecured claim admitted under Claims Determination Deed | 380,075 | 38,200 | |||||||
Cash consideration for sale of certain rights pertaining to the claim and all rights to receive distribution payments | 369,153 | 37,100 | |||||||
Gain recorded on settlement of claim | 369,153 |
Other_payables_to_third_partie2
Other payables to third parties (Details) (CNY) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other payables to third parties | ||
Purchases of property, plant and equipment | 195,069 | 221,232 |
Payables for project assets | 134,667 | |
Payable for land use rights | 33,000 | 35,000 |
Miscellaneous tax payables | 34,033 | 18,253 |
Deposits | 21,679 | 5,433 |
Labor services payables | 8,634 | 11,959 |
Logistic charges | 48,132 | 28,422 |
Payable to staff | 52,732 | |
Interest | 181,857 | 88,060 |
Others | 36,300 | 21,179 |
Total other payables | 693,371 | 482,270 |
Weighted average interest rate at which short term borrowings are borrowed from employees (as a percent) | 9.00% |
Accrued_expenses_Details
Accrued expenses (Details) (CNY) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued expenses | ||
Professional service fees | 19,885 | 10,659 |
Interest | 47,250 | 107,611 |
Utilities | 2,109 | 2,685 |
Logistic charges | 23,738 | 11,153 |
Tax | 16,159 | 12,740 |
Others | 38,153 | 21,206 |
Total accrued expenses | 147,294 | 166,054 |
Accrued_warranty_cost_Details
Accrued warranty cost (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accrued warranty cost | |||
Beginning balance | 158,897 | 114,226 | 78,751 |
Warranty provision | 92,843 | 44,671 | 42,167 |
Warranty utilization | -6,692 | ||
Ending balance | 251,740 | 158,897 | 114,226 |
Sharebased_compensation_Detail
Share-based compensation (Details) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Aug. 18, 2006 | Aug. 18, 2006 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2012 | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | |
USD ($) | USD ($) | USD ($) | 2006 Stock Incentive Plan (the "Plan") | 2006 Stock Incentive Plan (the "Plan") | Options | Options | Options | Options | Options | Options | Options | Options | Options | Options | Options | Options | Restricted share units ("RSU") | Restricted share units ("RSU") | Restricted share units ("RSU") | Restricted share units ("RSU") | Restricted share units ("RSU") | Restricted share units ("RSU") | |
plan | USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | USD ($) | Minimum | Minimum | Maximum | Maximum | 2014 Plan | USD ($) | CNY | USD ($) | CNY | USD ($) | CNY | |||||
Share-based compensation | |||||||||||||||||||||||
Number of share-based compensation plans | 2 | ||||||||||||||||||||||
Shares approved for issuance | 8,656,000 | ||||||||||||||||||||||
Lower range limit of the exercise price of the options | $1.76 | ||||||||||||||||||||||
Upper range limit of the exercise price of the options | $1.89 | ||||||||||||||||||||||
Share-based compensation, authorized percentage of additional share capital issued following effective date of plan | 10.00% | ||||||||||||||||||||||
Share-based compensation, authorized percentage of share capital issued and outstanding following effective date of plan | 10.00% | ||||||||||||||||||||||
Award pool as maximum percentage of issued and outstanding shares requiring automatic increase to award pool | 1.00% | ||||||||||||||||||||||
Award pool as percentage of issued and outstanding shares after required automatic increase to award pool | 10.00% | ||||||||||||||||||||||
Recognized pre-tax charge included in selling, general, and administrative expenses and manufacturing overhead | 14,544,000 | 3,558,000 | 12,980,000 | 1,737,000 | 5,843,000 | 20,249,000 | |||||||||||||||||
Recognized pre-tax charge capitalized in cost of inventory | 3,000 | 372,000 | 1,256,000 | ||||||||||||||||||||
Weighted-average grant-date fair value of options granted (in dollars per share) | $1.88 | $0 | $1.40 | ||||||||||||||||||||
Compensation measured at grant date, net of forfeitures | 14,541,000 | 3,186,000 | 11,724,000 | ||||||||||||||||||||
Forfeitures, measured at grant date fair value | 774,000 | 577,000 | 1,616,000 | ||||||||||||||||||||
Forfeiture rate (as a percent) | 10.05% | 10.05% | 10.92% | 10.92% | 9.82% | 9.82% | |||||||||||||||||
Total unrecognized compensation cost | 13,781,000 | 92,000 | 3,788,000 | 536,000 | 2,437,000 | ||||||||||||||||||
Weighted-average period for recognition of unrecognized compensation cost | 25 months | 25 months | 5 months | 5 months | |||||||||||||||||||
Fair value assumptions for options granted to employees | |||||||||||||||||||||||
Average risk-free rate (as a percent) | 1.80% | 1.09% | 2.01% | 1.27% | |||||||||||||||||||
Weighted average expected option life | 6 years | 6 years | 5 years 9 months | 5 years 9 months | |||||||||||||||||||
Volatility rate (as a percent) | 80.50% | 80.50% | 56.22% | 100.06% | |||||||||||||||||||
Shares | |||||||||||||||||||||||
Outstanding at the beginning of the period (in shares) | 2,581,550 | 2,581,550 | 4,357,050 | 4,357,050 | 2,690,650 | 2,690,650 | |||||||||||||||||
Granted (in shares) | 3,660,000 | 3,660,000 | 2,207,000 | 2,207,000 | |||||||||||||||||||
Forfeited (in shares) | -296,500 | -296,500 | -1,373,750 | -1,373,750 | -540,600 | -540,600 | |||||||||||||||||
Exercised (in shares) | -268,750 | -268,750 | -401,750 | -401,750 | |||||||||||||||||||
Outstanding at the end of the period (in shares) | 5,676,300 | 5,676,300 | 2,581,550 | 2,581,550 | 4,357,050 | 4,357,050 | 2,690,650 | ||||||||||||||||
Exercisable at the end of the period (in shares) | 2,261,300 | 2,261,300 | |||||||||||||||||||||
Weighted Average Exercise Price | |||||||||||||||||||||||
Outstanding at the beginning of the period (in dollars per share) | $4.79 | $4.28 | $6.71 | ||||||||||||||||||||
Granted (in dollars per share) | $1.88 | $1.40 | |||||||||||||||||||||
Forfeited (in dollars per share) | $2.21 | $1.37 | $4.60 | ||||||||||||||||||||
Exercised (in dollars per share) | $1.37 | $1.37 | |||||||||||||||||||||
Outstanding at the end of the period (in dollars per share) | $3.21 | $4.79 | $4.28 | $6.71 | |||||||||||||||||||
Exercisable at end of the period (in dollars per share) | $5.23 | ||||||||||||||||||||||
Weighted Average Remaining Contractual Life (Year) | |||||||||||||||||||||||
Outstanding at the beginning of the period | 7 years 7 months 2 days | 7 years 7 months 2 days | 6 years 4 months 24 days | 6 years 4 months 24 days | 7 years 7 months 13 days | 7 years 7 months 13 days | 7 years 2 months 1 day | ||||||||||||||||
Outstanding at the end of the period | 7 years 7 months 2 days | 7 years 7 months 2 days | 6 years 4 months 24 days | 6 years 4 months 24 days | 7 years 7 months 13 days | 7 years 7 months 13 days | 7 years 2 months 1 day | ||||||||||||||||
Exercisable at the end of the period | 5 years 2 months 9 days | 5 years 2 months 9 days | |||||||||||||||||||||
Intrinsic Value | |||||||||||||||||||||||
Outstanding at the beginning of the period | 612,000 | ||||||||||||||||||||||
Outstanding at the end of the period | 279,000 | 612,000 | |||||||||||||||||||||
Exercisable at the end of the period | 273,000 | ||||||||||||||||||||||
Total intrinsic value of options exercised | 186,000 | 134,000 | 0 | ||||||||||||||||||||
Shares | |||||||||||||||||||||||
Nonvested at the beginning of the period (in shares) | 1,016,110 | 1,016,110 | 2,438,000 | 2,438,000 | 2,493,000 | 2,493,000 | |||||||||||||||||
Granted (in shares) | 90,000 | 90,000 | 90,000 | 90,000 | |||||||||||||||||||
Vested (in shares) | -85,000 | -85,000 | -1,281,890 | -1,281,890 | -95,000 | -95,000 | |||||||||||||||||
Forfeited (in shares) | -62,500 | -62,500 | -140,000 | -140,000 | -50,000 | -50,000 | |||||||||||||||||
Nonvested at the end of the period (in shares) | 958,610 | 958,610 | 1,016,110 | 1,016,110 | 2,438,000 | 2,438,000 | |||||||||||||||||
Weighted Average Fair Value | |||||||||||||||||||||||
Nonvested at the beginning of the period (in dollars per share) | $4.95 | $4.97 | $5.17 | ||||||||||||||||||||
Granted (in dollars per share) | $1.99 | $0.79 | |||||||||||||||||||||
Vested (in dollars per share) | $5.11 | $5.04 | $5.92 | ||||||||||||||||||||
Forfeited (in dollars per share) | $5.52 | $4.28 | $5.85 | ||||||||||||||||||||
Nonvested at the end of the period (in dollars per share) | $4.62 | $4.95 | $4.97 | ||||||||||||||||||||
Fair value of shares vested | 1,000,000 | 2,182,000 | 997,000 | ||||||||||||||||||||
Share-based compensation, income tax benefit | $0 | $0 | $0 |
Foreign_currency_forward_contr2
Foreign currency forward contracts (Details) | 12 Months Ended | 12 Months Ended | ||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 |
CNY | CNY | CNY | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | Foreign exchange forward contracts | |
USD ($) | CNY | EUR (€) | GBP (£) | JPY (¥) | USD ($) | CNY | EUR (€) | GBP (£) | JPY (¥) | USD ($) | CNY | EUR (€) | GBP (£) | Not designated as hedging instruments | Not designated as hedging instruments | Cash Flow Hedge | ||||
CNY | CNY | |||||||||||||||||||
Foreign currency forward contracts | ||||||||||||||||||||
Hedging period, cash flows associated with third-party sales | 12 months | |||||||||||||||||||
Notional amount of derivative contracts entered | $25,917 | € 75,164 | £ 171 | ¥ 922,031 | $20,683 | € 64,254 | £ 11,453 | ¥ 94,500 | $87,119 | € 158,463 | £ 4,153 | |||||||||
Gain /(loss) from the change in the fair value on the effective portion of derivative contract | 0 | 0 | -11,755 | |||||||||||||||||
Gain/(loss) from the change in the fair value on the ineffective portion of derivative contract | 10,470 | -793 | 9,303 | |||||||||||||||||
Outstanding notional balances and the estimated fair value of derivative contracts | ||||||||||||||||||||
Notional amount | 22,284 | 384,584 | 11,082 | 192,201 | 93,295 | |||||||||||||||
Estimate fair value | 5,541 | 237 |
Issuance_of_ordinary_shares_an1
Issuance of ordinary shares and warrants (Details) | 0 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | ||||||||||||||||||||||
In Thousands, except Share data, unless otherwise specified | Aug. 14, 2013 | Aug. 14, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Nov. 30, 2013 | Dec. 31, 2014 | Feb. 28, 2014 | Dec. 31, 2014 | 31-May-14 | Dec. 31, 2014 | Aug. 14, 2013 | Aug. 14, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Aug. 14, 2013 | Aug. 13, 2013 | Aug. 14, 2013 | Aug. 13, 2013 | Dec. 31, 2014 | Nov. 30, 2013 | Dec. 31, 2014 | Feb. 28, 2014 | Dec. 31, 2014 | 31-May-14 | Dec. 31, 2014 |
USD ($) | CNY | CNY | CNY | USD ($) | USD ($) | Series A-1 Warrant | Series A-1 Warrant | Series A-2 Warrant | Series A-2 Warrant | Series A-3 Warrant | Series A-3 Warrant | Series B Warrant | Ordinary shares. | Ordinary shares. | Ordinary shares. | Ordinary shares. | Ordinary shares. | Ordinary shares. | ADS | ADS | ADS | ADS | ADS | ADS | ADS | ADS | ADS | ADS | ADS | |
CNY | CNY | CNY | USD ($) | Series A-1 Warrant | Series A-2 Warrant | Series A-3 Warrant | Series B Warrant | USD ($) | USD ($) | Series A-1 Warrant | Series A-1 Warrant | Series A-2 Warrant | Series A-2 Warrant | Series A-3 Warrant | Series A-3 Warrant | Series B Warrant | ||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||||||||||||||||||
Issuance of ordinary shares and warrants | ||||||||||||||||||||||||||||||
Value of shares issued | $24,000 | 147,998 | 9 | |||||||||||||||||||||||||||
Number of shares issued | 15,228,425 | 15,228,425 | 3,045,685 | 3,045,685 | ||||||||||||||||||||||||||
Par value (in dollars per share) | $0.00 | $0.00 | $0.00 | |||||||||||||||||||||||||||
Issue price (in dollars per share) | $7.88 | |||||||||||||||||||||||||||||
Offering price as a percentage of volume-weighted average price of ADSs | 94.00% | |||||||||||||||||||||||||||||
Share price (in dollars per share) | $8.38 | |||||||||||||||||||||||||||||
Proceeds from issuance of offering | 128,529 | 128,529 | ||||||||||||||||||||||||||||
Warrants issued (in shares) | 12,724,164 | 12,724,164 | 12,724,164 | 50,896,656 | 2,544,833 | 2,544,833 | 2,544,833 | 10,179,332 | ||||||||||||||||||||||
Exercisable period | 3 months | 6 months | 9 months | |||||||||||||||||||||||||||
Initial exercise price (in dollars per share) | $1.89 | $1.89 | $1.89 | $2.18 | $9.43 | $9.43 | $9.43 | $10.90 | ||||||||||||||||||||||
Exercisable period after the one-year anniversary | 1 day | |||||||||||||||||||||||||||||
Expiration period | 2 years | |||||||||||||||||||||||||||||
Fair value of warrants | 172,916 | 35,693 | 2,797 | 3,530 | ||||||||||||||||||||||||||
Fair value of warrants in excess of net proceeds of equity offering | 44,396 | 44,396 | ||||||||||||||||||||||||||||
Loss recognized based on a subsequent change in fair value of the warrants | 74,014 | 51,074 | ||||||||||||||||||||||||||||
Exercise price (in dollars per share) | $9.43 | $9.43 | $9.43 |
Mainland_China_contribution_pl2
Mainland China contribution plan and profit appropriation (Details) | 12 Months Ended | |||||||||||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 |
CNY | CNY | CNY | PRC subsidiaries | PRC subsidiaries | PRC subsidiaries | JA Hebei | Shanghai JA Solar Technology Co., Ltd. ("JA Fengxian") | Shanghai JA Solar PV Technology Co., Ltd. ("JA Zhabei") | JA Yangzhou | Jing Hai Yang Semiconductor Materials (Donghai) Co., Ltd. ("JA Lianyungang") | JA Yangzhou PV Technology Co., Ltd. ("JA Yangzhou PV") | Shanghai Jinglong Solar Technology Co., Ltd. ("JA Jinglong") | Donghai JA Solar Technology Co., Ltd. ("JA Wafer R&D") | JA (Hefei) Renewable Energy Co., Ltd. ("JA Hefei Renewable Energy") | JA Hebei | Solar Silicon Valley Electronic Science and Technology Co., Ltd. ("Solar Silicon Valley") | JA Solar Investment China Co., Ltd ("JA Investment") | Dunhuang JA Solar Power Development Co., Ltd ("JA Dunhuang") | Hebei Ningjin Songgong Semiconductor Co., Ltd. | JA Solar PV Technology Co., LTD | JA Solar PV Electric (Shexian) Co,. Ltd | Aiyouen Power Electric (Yinchuan) Company Limited | JA Solar PV Electric (Baotou) Company Limited | Beijing JA Solar PV Technology Co., Ltd | JA Solar PV Electric (Huanghua) Co,. Ltd | JA Solar PV Electric (Yanchi) Co,. Ltd | JA New Energy Development (Hebei) Co., Ltd | |
CNY | CNY | CNY | CNY | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | CNY | CNY | USD ($) | CNY | USD ($) | USD ($) | CNY | CNY | USD ($) | CNY | CNY | CNY | CNY | CNY | CNY | CNY | ||||
China Contribution Plan | ||||||||||||||||||||||||||||
Total contribution for employee benefit plan under China contribution plan | 104,719 | 96,062 | 95,929 | |||||||||||||||||||||||||
Statutory Reserves | ||||||||||||||||||||||||||||
Percentage appropriation to general reserve fund required | 10.00% | |||||||||||||||||||||||||||
Reserve level threshold for mandatory transfer requirement (as a percent) | 50.00% | |||||||||||||||||||||||||||
Mainland China contribution plan and profit appropriation | ||||||||||||||||||||||||||||
Restricted net assets | 7,174,059 | 26,657 | 1,760 | 0 | ||||||||||||||||||||||||
Reversal of common statutory reserve fund due to an adjustment related to income tax filing difference | 8,257 | |||||||||||||||||||||||||||
Paid-in-capital amounts unavailable for distribution as nominal dividend | 1,000,000 | $80,000 | $20,000 | $260,000 | $98,000 | $10,000 | 180,000 | 50,000 | $15,000 | 1,440,000 | $36,986 | $40,000 | 254,000 | 275,000 | $10,000 | 3,000 | 26,000 | 2,000 | 20,000 | 1,000 | 4,000 | 1,000 |
Earnings_loss_per_share_Detail
Earnings (loss) per share (Details) | 12 Months Ended | 12 Months Ended | |||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CNY | CNY | CNY | Options, RSUs, and Convertible Notes | Options and RSUs | Options and RSUs | Warrants | Series B warrant | ADS | ADS | JA Solar Holdings Co., Ltd. | JA Solar Holdings Co., Ltd. | JA Solar Holdings Co., Ltd. | |
Series B warrant | Series A-3 Warrant | CNY | CNY | CNY | |||||||||
USD ($) | USD ($) | ||||||||||||
Numerator : | |||||||||||||
Net (loss)/income | 446,650 | -426,492 | -1,662,257 | 423,771 | -429,280 | -1,662,257 | |||||||
Less: fair value of warrants in excess of net proceeds of equity offering | -44,396 | ||||||||||||
Less: allocation of net income to participating warrant holder. | -77,174 | ||||||||||||
Income (Loss) Attributable to Parent, Total | 346,597 | -473,676 | -1,662,257 | ||||||||||
Dilutive effect of: | |||||||||||||
Add back allocation to participating warrant holder | 4,336 | ||||||||||||
Excluding fair value gain | -16,716 | ||||||||||||
Numerator for diluted earnings per share | 334,217 | -473,676 | -1,662,257 | ||||||||||
Denominator: | |||||||||||||
Denominator for basic loss per share - weighted average ordinary shares outstanding | 242,192,859 | 201,317,884 | 194,788,429 | ||||||||||
Dilutive effect of share options and RSUs | 363,633 | ||||||||||||
Dilutive effect of convertible notes and warrants | 306,592 | ||||||||||||
Denominator for diluted loss per share (in shares) | 242,863,084 | 201,317,884 | 194,788,429 | ||||||||||
Basic (loss)/ earnings per share | 1.43 | -2.35 | -8.53 | ||||||||||
Diluted (loss)/ earnings per share | 1.38 | -2.35 | -8.53 | ||||||||||
Initial exercise price (in dollars per share) | $10.90 | $9.43 | |||||||||||
Options not included in calculation because of anti-dilutive effect | 5,628,371 | 2,856,278 | 3,433,109 | 30,806,670 | 52,569,971 |
Related_party_transactions_Det
Related party transactions (Details) (CNY) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 31, 2006 | Dec. 31, 2010 | Jun. 30, 2013 |
Related party transactions | ||||||
Amounts due to related parties-short term | 339,317 | 326,890 | ||||
Amounts due from related parties-short term | 47,890 | 43,436 | ||||
Total amounts due from related parties | 500,311 | 452,736 | ||||
Outsourcing processing service provided | 14,735 | 7,124 | 26,704 | |||
Rental expenses under operating lease agreements | 61,950 | 53,422 | 23,357 | |||
Guarantees received by entity | 752,047 | 278,000 | ||||
Sales of products | 188,597 | 396,505 | 243,220 | |||
Purchase of products | 1,079,882 | 645,139 | 827,711 | |||
Purchase of equipment | 79,941 | 1,967 | 2,481 | |||
Sales of equipment | 5,000 | |||||
Guarantees provided by entity | 0 | 20,000 | ||||
Entrustment loan provided | 40,000 | 40,000 | ||||
Hebei Jinglong | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 8,040 | 13,462 | ||||
Amounts due from related parties-short term | 60,000 | 113,000 | ||||
Receivables from related parties-short term | 106,194 | 65,567 | ||||
Amounts due from related parties-long term | 10,145 | 603 | ||||
Initial term of long-term supply contract | 4 years 6 months | |||||
Extended term of long-term supply contract | 3 years | |||||
Purchase of silicon wafer supplies | 0 | 205,047 | 191,339 | |||
Unused prepayment | 70,145 | 113,603 | ||||
Outsourcing processing service provided | 320 | 1,024 | 17,899 | |||
Rental expenses under operating lease agreements | 47,352 | 42,089 | 12,000 | |||
Guarantees received by entity | 672,047 | 228,000 | ||||
Jing Wei | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 84,020 | 97,648 | ||||
Receivables from related parties-short term | 28,194 | 72,510 | ||||
Xingtai Jinglong | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 63,633 | 60,807 | ||||
Receivables from related parties-short term | 19,694 | 58,750 | ||||
Songgong Electronics | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 17,302 | 37,456 | ||||
Receivables from related parties-short term | 67,243 | 38,598 | ||||
Yangguang Guifeng | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 88,757 | 55,965 | ||||
Receivables from related parties-short term | 40,726 | 44,266 | ||||
Saimei Ganglong | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 34,821 | |||||
Fine Chemical | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 24,827 | |||||
Other related parties | ||||||
Related party transactions | ||||||
Amounts due to related parties-short term | 17,917 | 61,552 | ||||
Amounts due from related parties-short term | 7,890 | 3,436 | ||||
Receivables from related parties-short term | 10,818 | 16,006 | ||||
Outsourcing processing service provided | 7,618 | |||||
Sales of products | 115,382 | 3,204 | ||||
Purchase of products | 12,515 | |||||
Hebei Ningjin Songgong Semiconductor Co., Ltd. ("Ningjin Songgong") | ||||||
Related party transactions | ||||||
Sales of products | 1,531 | 67,393 | ||||
Purchase of products | 35,504 | 350,685 | ||||
Lin Cheng | ||||||
Related party transactions | ||||||
Amounts due from related parties-short term | 109,407 | |||||
Yangzhou Property | ||||||
Related party transactions | ||||||
Amounts due from related parties-short term | 40,000 | 40,000 | ||||
Guarantees received by entity | 80,000 | 50,000 | ||||
Purchase of equipment | 77,398 | |||||
Guarantees provided by entity | 20,000 | |||||
Entrustment loan provided | 40,000 | 40,000 | ||||
Consideration for acquisition | 77,398 | |||||
Annual interest rate | 6.60% | |||||
Repayment term (in years) | 1 year | |||||
Subsidiaries of Hebei Jinglong | ||||||
Related party transactions | ||||||
Outsourcing processing service provided | 14,735 | 7,124 | 19,086 | |||
Sales of products | 73,215 | 394,974 | 172,623 | |||
Purchase of products | 1,079,882 | 609,635 | 464,511 | |||
Purchase of equipment | 2,543 | 1,967 | 2,481 | |||
Sales of equipment | 5,000 | |||||
Mr. Baofang Jin | Hebei Jinglong | ||||||
Related party transactions | ||||||
Percentage of ownership interest held by related party | 32.96% | |||||
Mr. Baofang Jin | Jinglong BVI | ||||||
Related party transactions | ||||||
Percentage of ownership interest held by related party | 32.96% |
Contingencies_and_Commitments_1
Contingencies and Commitments (Details) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 |
CNY | CNY | Vendor D | Vendor D | "Take or pay" supply agreements | "Take or pay" supply agreements | "Take or pay" supply agreements | "Take or pay" supply agreements | "Take or pay" supply agreements | Other Multi-year supply agreements | Polysilicon | Silicon wafers | |
Long-term supply contract | Long-term supply contract | CNY | CNY | CNY | Vendor D | Vendor D | CNY | item | item | |||
USD ($) | CNY | CNY | CNY | |||||||||
Supplier contract | ||||||||||||
Purchase obligations not performed | 507,000,000 | 259,000,000 | ||||||||||
Purchases made under "take or pay" agreements | 1,581,048,000 | 957,358,000 | 1,098,601,000 | |||||||||
2015 | 2,974,443,000 | 2,674,655,000 | 299,788,000 | |||||||||
2016 | 2,017,101,000 | 1,634,874,000 | 382,227,000 | |||||||||
2017 | 1,598,344,000 | 1,598,344,000 | ||||||||||
2018 | 1,561,813,000 | 1,561,813,000 | ||||||||||
2019 | 1,525,283,000 | 1,525,283,000 | ||||||||||
Thereafter | 761,816,000 | 761,816,000 | ||||||||||
Total | 10,438,800,000 | 9,756,785,000 | 682,015,000 | |||||||||
Other supply agreement with variable price provisions | ||||||||||||
Supply agreements with variable price provisions 2015-2017 | 0 | 720,000,000 | ||||||||||
Outstanding supplier advances | 441,559,000 | 753,310,000 | 561,363,000 | 732,394,000 | ||||||||
Damages sought by supplier | 921,000,000 | |||||||||||
Provision for balance of advance payment made to supplier | $10,200,000 | 63,300,000 |
Contingencies_and_Commitments_2
Contingencies and Commitments (Details 2) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Future minimum obligations for operating leases | |||
2015 | 65,387 | ||
2016 | 41,751 | ||
2017 | 1,790 | ||
Total | 108,928 | ||
Rent expense | 61,950 | 53,422 | 23,357 |
Capital expenditure | |||
Amount contracted for capital expenditure on machinery and equipment | 427,420 |
Fair_value_measurements_Detail
Fair value measurements (Details) (Fair value, measurements, recurring, CNY) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Balance at the end of the period | Foreign exchange forward contracts | ||
Assets: | ||
Derivative assets | 5,541 | 237 |
Balance at the end of the period | Derivatives liabilities - warrants | ||
Liabilities: | ||
Derivatives liabilities - warrants | -105,785 | -185,365 |
Significant Other Observable Inputs (Level 2) | Foreign exchange forward contracts | ||
Assets: | ||
Derivative assets | 5,541 | 237 |
Significant Unobservable Inputs (Level 3) | Derivatives liabilities - warrants | ||
Liabilities: | ||
Derivatives liabilities - warrants | -105,785 | -185,365 |
Fair_value_measurements_Detail1
Fair value measurements (Details 2) (Warrant derivatives, Significant Unobservable Inputs (Level 3), CNY) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Warrant derivatives | Significant Unobservable Inputs (Level 3) | ||
Changes in fair value of liabilities measured on recurring basis using unobservable input | ||
Balance at the beginning of the period | -185,365 | |
Fair value balance as of Aug. 13, 2013 | -172,916 | |
Unrealized gain included in change in fair value of warrant derivatives | 74,014 | -51,074 |
Exercise of warrants reclassified to additional paid-in capital | 6,343 | 35,701 |
Exchange gain | -777 | 2,924 |
Balance at the end of the period | -105,785 | -185,365 |
Fair_value_measurements_Detail2
Fair value measurements (Details 3) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Assets: | |||
Total (losses) | 397,789 | ||
Change in fair value of derivatives | 84,484 | -51,867 | 9,334 |
Derivatives liabilities - warrants | |||
Assets: | |||
Change in fair value of derivatives | 74,014 | -51,074 | |
Foreign exchange forward contracts | Not designated as hedging instruments | |||
Assets: | |||
Change in fair value of derivatives | 10,470 | -793 | 9,302 |
JA MEMC | |||
Assets: | |||
Other-than-temporary impairment charge | 0 | 0 | 38,000 |
Carrying amount | JA MEMC | |||
Assets: | |||
Investment in a joint venture | 50,910 | ||
Fair value, measurements, non-recurring | |||
Assets: | |||
Total (losses) | 397,789 | ||
Other-than-temporary impairment charge | -38,000 | ||
Fair value, measurements, non-recurring | Balance at the end of the period | |||
Assets: | |||
Long-lived assets | 515,854 | ||
Investment in a joint venture | 50,910 | ||
Fair value, measurements, non-recurring | Significant Unobservable Inputs (Level 3) | |||
Assets: | |||
Long-lived assets | 515,854 | ||
Investment in a joint venture | 50,910 | ||
Fair value, measurements, non-recurring | Significant Unobservable Inputs (Level 3) | Carrying amount | |||
Assets: | |||
Long-lived assets | 913,643 |
Segment_information_Details
Segment information (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment information | |||
Total net revenue | 11,295,523 | 7,182,789 | 6,719,065 |
China | |||
Segment information | |||
Total net revenue | 3,741,732 | 3,001,498 | 3,086,589 |
Outside china: | |||
Segment information | |||
Total net revenue | 7,553,791 | 4,181,291 | 3,632,476 |
Germany | |||
Segment information | |||
Total net revenue | 202,315 | 660,589 | 1,265,827 |
Japan | |||
Segment information | |||
Total net revenue | 3,852,572 | 1,596,703 | 436,443 |
Rest of the world | |||
Segment information | |||
Total net revenue | 3,498,904 | 1,923,999 | 1,930,206 |
Certain_risks_and_uncertaintie1
Certain risks and uncertainties (Details) (CNY) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
customer | ||||
Certain risks and uncertainties | ||||
Percentage required for qualifying as major customer | 10.00% | |||
Aggregate amount of cash and cash equivalents | 2,155,009 | 2,119,740 | 3,031,462 | 3,889,092 |
Foreign currency risk | Denominated in RMB | ||||
Certain risks and uncertainties | ||||
Aggregate amount of cash and cash equivalents | 1,121,695 | 1,180,356 | ||
Accounts receivable | Accounts receivable balances | 3 largest customers | ||||
Certain risks and uncertainties | ||||
Revenue and accounts receivable by major customer (as a percent) | 17.00% | 17.00% | ||
Revenues | Customer concentration risk | ||||
Certain risks and uncertainties | ||||
Number of individual customers accounting for 10% or more of total revenues | 0 | |||
Revenues | Geographic concentration risk | Japan | ||||
Certain risks and uncertainties | ||||
Number of individual customers accounting for 10% or more of total revenues | 1 | 1 | ||
Revenue and accounts receivable by major customer (as a percent) | 28.80% | 18.60% |
Ordinary_shares_Details
Ordinary shares (Details) | 12 Months Ended |
Dec. 31, 2010 | |
Ordinary shares | |
Number of votes per share | 1 |
Restricted_net_assets_Details
Restricted net assets (Details) (CNY) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2014 |
Restricted net assets | |
Annual appropriations as a percentage of net after-tax income to be set aside prior to payment of any dividends | 10.00% |
Restricted net assets | 7,174,059 |
Restricted portion of net assets as a percentage of total consolidated net assets | 133.80% |
Additional_information_condens2
Additional information - condensed financial statements of the Company (Details) (CNY) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Consolidated Statement Of Operations | |||
Total operating expenses | -1,093,990 | -853,542 | -1,385,863 |
(Loss)/Income from continuing operations | 662,505 | -91,253 | -1,440,221 |
Interest expense | -229,665 | -285,618 | -489,346 |
Change in fair value of derivatives | 84,484 | -51,867 | 9,334 |
Share of loss/(income) from subsidiaries | -441 | -2,108 | -43,501 |
Convertible bond buyback loss | -8,466 | ||
Other income/(loss) | 33,114 | 16,064 | 398,861 |
(Loss)/income before income taxes | 520,040 | -441,519 | -1,561,632 |
Net (loss)/income | 446,650 | -426,492 | -1,662,257 |
Net (loss)/income attributable to JA Solar's ordinary shareholders | 346,597 | -473,676 | -1,662,257 |
JA Solar Holdings Co., Ltd. | |||
Consolidated Statement Of Operations | |||
Total operating expenses | -38,940 | -24,368 | -22,576 |
(Loss)/Income from continuing operations | -38,940 | -24,368 | -22,576 |
Interest expense | -47,330 | -192,618 | |
Change in fair value of derivatives | 74,014 | -51,074 | 32 |
Share of loss/(income) from subsidiaries | 380,263 | -246,909 | -1,809,926 |
Convertible bond buyback loss | -8,466 | ||
Other income/(loss) | 8,434 | -59,599 | 371,297 |
(Loss)/income before income taxes | 423,771 | -429,280 | -1,662,257 |
Net (loss)/income | 423,771 | -429,280 | -1,662,257 |
Less: fair value of warrants in excess of net proceeds of equity offering | 44,396 | ||
Net (loss)/income attributable to JA Solar's ordinary shareholders | 423,771 | -473,676 | -1,662,257 |
Additional_information_condens3
Additional information - condensed financial statements of the Company (Details 2) (CNY) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Current assets: | ||||
Cash and cash equivalents | 2,155,009 | 2,119,740 | 3,031,462 | 3,889,092 |
Other current assets | 713,763 | 536,134 | ||
Total current assets | 8,600,503 | 6,352,033 | ||
Investments in subsidiaries | 13,524 | 48,802 | ||
Total assets | 14,483,778 | 11,881,694 | ||
Current liabilities: | ||||
Derivatives liabilities - warrants | 105,785 | 31,106 | ||
Total current liabilities | 6,580,086 | 5,040,884 | ||
Derivatives liabilities - warrants | 154,259 | |||
Total liabilities | 9,016,910 | 7,177,615 | ||
Shareholders' equity : | ||||
Ordinary shares (US$0.0001 par value; 500,000,000 shares authorized, 227,499,837 and 252,301,917 shares issued and outstanding as of December 31, 2013 and December 31, 2014) | 186 | 170 | ||
Additional paid-in capital | 5,638,703 | 5,327,177 | ||
Accumulated deficit | -726,610 | -1,123,724 | ||
Accumulated other comprehensive income | 11,086 | 6,489 | ||
Total shareholders' equity attributable to JA Solar Holdings | 5,360,172 | 4,620,262 | 4,892,824 | 6,548,669 |
Total liabilities and shareholders' equity | 14,483,778 | 11,881,694 | ||
JA Solar Holdings Co., Ltd. | ||||
Current assets: | ||||
Cash and cash equivalents | 29,223 | 34,293 | 17,011 | 77,009 |
Other receivable from subsidiaries | 244,772 | |||
Other current assets | 2,257 | 3,631 | ||
Total current assets | 31,480 | 282,696 | ||
Investments in subsidiaries | 2,978,282 | 2,579,236 | ||
Amount due from subsidiaries | 2,566,506 | 2,557,138 | ||
Total assets | 5,576,268 | 5,419,070 | ||
Current liabilities: | ||||
Other payables to subsidiaries and employees | 6,364 | 7,788 | ||
Accrued and other liabilities | 11,454 | 3,611 | ||
Derivatives liabilities - warrants | 105,785 | 31,106 | ||
Total current liabilities | 123,603 | 42,505 | ||
Long-term amount due to subsidiaries | 92,493 | 602,044 | ||
Derivatives liabilities - warrants | 154,259 | |||
Total liabilities | 216,096 | 798,808 | ||
Shareholders' equity : | ||||
Ordinary shares (US$0.0001 par value; 500,000,000 shares authorized, 227,499,837 and 252,301,917 shares issued and outstanding as of December 31, 2013 and December 31, 2014) | 186 | 170 | ||
Additional paid-in capital | 5,638,703 | 5,327,177 | ||
Accumulated deficit | -289,803 | -713,574 | ||
Accumulated other comprehensive income | 11,086 | 6,489 | ||
Total shareholders' equity attributable to JA Solar Holdings | 5,360,172 | 4,620,262 | ||
Total liabilities and shareholders' equity | 5,576,268 | 5,419,070 |
Additional_information_condens4
Additional information - condensed financial statements of the Company (Details 3) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Condensed Balance Sheet | ||
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 |
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 |
Ordinary shares, shares issued | 252,301,917 | 227,499,837 |
Ordinary shares, shares outstanding | 252,301,917 | 227,499,837 |
JA Solar Holdings Co., Ltd. | ||
Condensed Balance Sheet | ||
Ordinary shares, par value (in dollars per share) | $0.00 | $0.00 |
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 |
Ordinary shares, shares issued | 252,301,917 | 227,499,837 |
Ordinary shares, shares outstanding | 252,301,917 | 227,499,837 |
Additional_information_condens5
Additional information - condensed financial statements of the Company (Details 4) (CNY) | 0 Months Ended | 1 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 14, 2013 | 31-May-13 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | |||||
Net (loss)/income | 446,650 | -426,492 | -1,662,257 | ||
Adjustments to reconcile net loss to net cash used in operating activities: | |||||
Share-based compensation expense | 16,281 | 9,401 | 33,225 | ||
Share of loss/(income) from subsidiaries | 441 | 2,108 | 43,501 | ||
Amortization of deferred issuance cost and accretion of convertible notes | 35,030 | 135,725 | |||
Change in fair value of derivatives | -84,484 | 51,867 | 11,485 | ||
Exchange loss/(income) | -850 | -261 | 13,004 | ||
Loss from senior convertible notes buyback | 8,466 | ||||
Gain on sale of claim against loaned shares | -369,153 | ||||
Changes in operating assets and liabilities: | |||||
Decrease /(increase) in other current assets | -167,030 | 256,591 | 34,516 | ||
(Decrease)/increase in interest payable | -4,123 | -3,746 | |||
Net cash provided by operating activities | 526,169 | 1,464,677 | 8,622 | ||
Cash flows from investing activities: | |||||
Loans granted to subsidiaries | 40,000 | 40,000 | |||
Net cash used in investing activities | -1,372,766 | -613,980 | -629,974 | ||
Cash flows from financing activities: | |||||
Repayment of convertible notes | -723,742 | -740,027 | |||
Proceeds from sales of claim against loaned shares | 369,153 | ||||
Proceeds from issuance of ordinary shares | 128,529 | 128,529 | |||
Proceeds from issuance of ordinary shares upon exercise of warrants | 286,747 | 143,107 | |||
Repurchase of ADS | -15,276 | ||||
Proceeds from exercise of stock options | 2,171 | 3,389 | |||
Net cash provided by/(used in) financing activities | 877,269 | -1,771,926 | -232,961 | ||
Effect of exchange rate changes on cash and cash equivalents | 4,597 | 9,507 | -3,317 | ||
Net increase/(decrease) in cash and cash equivalents | 35,269 | -911,722 | -857,630 | ||
Cash and cash equivalents at the beginning of the year | 2,119,740 | 3,031,462 | 3,889,092 | ||
Cash and cash equivalents at the end of the year | 2,155,009 | 2,119,740 | 3,031,462 | ||
JA Solar Holdings Co., Ltd. | |||||
Cash flows from operating activities: | |||||
Net (loss)/income | 423,771 | -429,280 | -1,662,257 | ||
Adjustments to reconcile net loss to net cash used in operating activities: | |||||
Share-based compensation expense | 4,985 | 1,960 | 2,055 | ||
Share of loss/(income) from subsidiaries | -380,263 | 246,909 | 1,809,926 | ||
Amortization of deferred issuance cost and accretion of convertible notes | 35,030 | 135,725 | |||
Change in fair value of derivatives | -74,014 | 51,074 | -32 | ||
Exchange loss/(income) | -11,636 | 85,032 | 4,422 | ||
Loss from senior convertible notes buyback | 8,466 | ||||
Gain on sale of claim against loaned shares | -369,153 | ||||
Changes in operating assets and liabilities: | |||||
Decrease /(increase) in other current assets | 1,374 | 1,651 | -3,227 | ||
Increase/ (decrease) in other payables to subsidiaries and employees | -1,424 | 1,216 | |||
(Decrease)/increase in accrued and other liabilities | 7,843 | -10,978 | -33,728 | ||
(Decrease)/increase in interest payable | -4,123 | -3,746 | |||
Net cash provided by operating activities | -29,364 | -21,509 | -111,549 | ||
Cash flows from investing activities: | |||||
Loans granted to subsidiaries | -12,349 | ||||
Loans repayment by subsidiaries | 244,772 | 133,458 | 125,710 | ||
Net cash used in investing activities | 244,772 | 133,458 | 113,361 | ||
Cash flows from financing activities: | |||||
Proceeds from long-term loan from subsidiaries | 623,759 | 211,193 | |||
Repayment of convertible notes | -740,027 | -617,937 | |||
Proceeds from sales of claim against loaned shares | 369,153 | ||||
Proceeds from issuance of ordinary shares | 128,529 | ||||
Proceeds from issuance of ordinary shares upon exercise of warrants | 286,747 | 143,107 | |||
Repurchase of ADS | -15,276 | ||||
Repayment of long-term loan from subsidiaries | -509,571 | -253,629 | -12,571 | ||
Proceeds from exercise of stock options | 2,171 | 3,389 | |||
Net cash provided by/(used in) financing activities | -220,653 | -94,872 | -65,438 | ||
Effect of exchange rate changes on cash and cash equivalents | 175 | 205 | 3,628 | ||
Net increase/(decrease) in cash and cash equivalents | -5,070 | 17,282 | -59,998 | ||
Cash and cash equivalents at the beginning of the year | 34,293 | 17,011 | 77,009 | ||
Cash and cash equivalents at the end of the year | 29,223 | 34,293 | 17,011 |