Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2019shares | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2019 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-34615 |
Entity Registrant Name | JinkoSolar Holding Co., Ltd. |
Entity Incorporation, State or Country Code | KY |
Entity Address, Address Line One | 1 Jingke Road |
Entity Address, Address Line Two | Shangrao Economic Development Zone |
Entity Address, City or Town | Jiangxi Province |
Entity Address, Postal Zip Code | 334100 |
Entity Address, Country | CN |
Entity Common Stock, Shares Outstanding | 178,930,297 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Emerging Growth Company | false |
Document Accounting Standard | U.S. GAAP |
Entity Shell Company | false |
Entity Central Index Key | 0001481513 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | FY |
Amendment Flag | false |
American Depositary Shares | |
Title of 12(b) Security | American Depositary Shares, each representing fourordinary shares, par value US$0.00002 per share |
Trading Symbol | JKS |
Ordinary shares [Member] | |
Title of 12(b) Security | Ordinary shares, par value US$0.00002 per share* |
Trading Symbol | JKS |
Business Contact [Member] | |
Contact Personnel Name | Haiyun (Charlie) Cao |
Entity Address, Address Line One | 1 Jingke Road |
Entity Address, Address Line Two | Shangrao Economic Development Zone |
Entity Address, City or Town | Jiangxi Province |
Entity Address, Postal Zip Code | 334100 |
Entity Address, Country | CN |
City Area Code | 86-793 |
Local Phone Number | 846-9699 |
Contact Personnel Email Address | charlie.cao@jinkosolar.com |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS | 12 Months Ended | |||
Dec. 31, 2019CNY (¥)¥ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018CNY (¥)¥ / sharesshares | Dec. 31, 2017CNY (¥)¥ / sharesshares | |
Total revenues | ¥ 29,746,287,759 | $ 4,272,786,888 | ¥ 25,042,613,341 | ¥ 26,472,943,454 |
Cost of revenues | (24,314,602,138) | (3,492,574,067) | (21,528,868,419) | (23,481,375,053) |
Gross profit | 5,431,685,621 | 780,212,821 | 3,513,744,922 | 2,991,568,401 |
Selling and marketing | (2,250,335,913) | (323,240,529) | (1,708,270,457) | (1,901,358,676) |
General and administrative | (1,059,026,633) | (152,119,658) | (779,423,027) | (470,844,706) |
Impairment of long-lived assets | (68,262,038) | (9,805,228) | (14,548,043) | 0 |
Research and development | (324,434,526) | (46,602,104) | (366,576,571) | (294,102,790) |
Total operating expenses | (3,702,059,110) | (531,767,519) | (2,868,818,098) | (2,666,306,172) |
Income/(loss) from operations | 1,729,626,511 | 248,445,302 | 644,926,824 | 325,262,229 |
Interest expenses, net | (391,582,064) | (56,247,244) | (295,692,041) | (245,529,598) |
Subsidy income | 63,016,966 | 9,051,821 | 52,176,462 | 147,916,764 |
Exchange gain/(loss) , net | 8,808,559 | 1,265,270 | 33,681,095 | (114,344,622) |
Other income, net | 17,873,433 | 2,567,358 | 25,817,059 | 59,646,911 |
Gain/(loss) on disposal of subsidiaries | 19,935,109 | 2,863,499 | (9,425,365) | 257,070 |
Convertible senior notes issuance costs | (18,646,101) | (2,678,345) | 0 | 0 |
Income before income taxes | 1,251,186,211 | 179,721,652 | 407,375,203 | 148,875,037 |
Income tax expenses | (277,979,001) | (39,929,185) | (4,409,523) | (4,628,003) |
Equity in (loss)/income of affiliated companies | (48,854,715) | (7,017,541) | 2,609,853 | (2,055,669) |
Net income | 924,352,495 | 132,774,926 | 405,575,533 | 142,191,365 |
Less: Net income/(loss) attributable to the non-controlling interests | 25,690,269 | 3,690,176 | (903,161) | 485,676 |
Net income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders | ¥ 898,662,226 | $ 129,084,750 | ¥ 406,478,694 | ¥ 141,705,689 |
Net income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders per share | ||||
Basic | (per share) | ¥ 5.31 | $ 0.76 | ¥ 2.64 | ¥ 1.10 |
Diluted | (per share) | 4.85 | 0.70 | 2.63 | 1.08 |
Net income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders per ADS- | ||||
Basic | (per share) | ¥ 21.22 | $ 3.05 | ¥ 10.56 | ¥ 4.40 |
Diluted | 19.40 | 2.79 | 10.52 | 4.32 |
Weighted average ordinary shares outstanding | ||||
Basic | 169,363,306 | 169,363,306 | 153,806,379 | 128,944,330 |
Diluted | 166,567,757 | 166,567,757 | 154,704,166 | 131,687,230 |
Number of ordinary shares per ADS | 4 | 4 | ||
Interest Rate Swap [Member] | ||||
Change in fair value of foreign exchange forward contracts | ¥ (69,974,512) | $ (10,051,210) | ¥ 9,701,051 | ¥ (16,122,313) |
Foreign Exchange Forward Contract [Member] | ||||
Change in fair value of foreign exchange forward contracts | (78,283,526) | (11,244,725) | (44,089,700) | (8,211,404) |
Third Party [Member] | ||||
Total revenues | 29,592,010,063 | 4,250,626,284 | 23,586,834,523 | 24,791,272,869 |
Related Party [Member] | ||||
Total revenues | 154,277,696 | 22,160,604 | 1,455,778,818 | ¥ 1,681,670,585 |
Convertible Senior Notes and Call Options [Member] | ||||
Change in fair value of foreign exchange forward contracts | (29,257,458) | (4,202,571) | ||
Foreign exchange option [Member] | ||||
Change in fair value of foreign exchange forward contracts | ¥ (330,706) | $ (47,503) | ¥ (9,720,182) |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||
Net income | ¥ 924,352,495 | $ 132,774,926 | ¥ 405,575,533 | ¥ 142,191,365 |
Other comprehensive income: | ||||
Change in the instrument-specific credit risk (Note 23) | (21,089,777) | (3,029,357) | ||
Foreign currency translation adjustments | 13,741,077 | 1,973,784 | 47,004,900 | (81,488,175) |
Comprehensive income | 917,003,795 | 131,719,353 | 452,580,433 | 60,703,190 |
Less: comprehensive income/(loss) attributable to non-controlling interests | 25,690,269 | 3,690,176 | (903,161) | 485,676 |
Comprehensive income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders | ¥ 891,313,526 | $ 128,029,177 | ¥ 453,483,594 | ¥ 60,217,514 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
Current assets: | |||
Cash and cash equivalents | ¥ 5,653,853,691 | $ 812,125,268 | ¥ 3,104,916,803 |
Restricted cash | 576,546,098 | 82,815,665 | 377,110,770 |
Restricted short-term investments | 6,930,501,767 | 995,504,290 | 4,058,418,999 |
Accounts receivable, net - related parties | 520,503,579 | 74,765,661 | 675,767,723 |
Accounts receivable, net - third parties | 5,266,350,650 | 756,463,939 | 5,436,370,691 |
Notes receivable - related party | 18,628,574 | 2,675,827 | |
Notes receivable, net - third parties | 1,529,800,657 | 219,742,115 | 1,010,468,502 |
Advances to suppliers - third parties | 2,522,373,453 | 362,316,276 | 665,220,852 |
Inventories, net | 5,818,788,985 | 835,816,741 | 5,743,327,938 |
Foreign exchange forward contract receivables | 52,281,183 | 7,509,722 | 1,192,168 |
Other receivables - related parties | 54,318,280 | 7,802,333 | 67,729,869 |
Derivative assets foreign exchange option | 846,718 | ||
Held-for-sale assets | 1,170,817,846 | 168,177,458 | |
Prepayments and other current assets | 1,573,481,940 | 226,016,539 | 1,712,888,803 |
Total current assets | 31,688,246,703 | 4,551,731,834 | 22,854,259,836 |
Non-current assets: | |||
Restricted long-term investments | 531,157,976 | 76,296,069 | 921,300,096 |
Project assets, net | 798,243,129 | 114,660,451 | 1,770,621,085 |
Investments in affiliates | 278,021,287 | 39,935,259 | 25,531,136 |
Property, plant and equipment, net | 10,208,204,549 | 1,466,316,836 | 8,275,899,684 |
Land use rights, net | 597,922,450 | 85,886,186 | 574,945,186 |
Intangible assets, net | 36,395,056 | 5,227,823 | 35,361,410 |
Deferred tax assets | 271,286,263 | 38,967,833 | 338,069,324 |
Financing lease right-of-use assets, net | 1,259,713,215 | 180,946,482 | |
Operating lease right-of-use assets, net | 317,903,640 | 45,664,001 | |
Call option related to convertible senior notes | 294,177,634 | 42,255,973 | |
Other assets - related parties | 96,753,306 | 13,897,743 | 144,983,745 |
Other assets - third parties | 1,466,692,145 | 210,677,145 | 912,210,407 |
Total non-current assets | 16,156,470,650 | 2,320,731,801 | 12,998,922,073 |
Total assets | 47,844,717,353 | 6,872,463,635 | 35,853,181,909 |
Current liabilities: | |||
Accounts payable - related parties | 36,309,710 | 5,215,564 | 698,043 |
Accounts payable - third parties | 4,952,629,856 | 711,400,766 | 5,327,093,953 |
Notes payable - related parties | 35,000,000 | ||
Notes payable - third parties | 7,518,569,682 | 1,079,974,961 | 6,036,576,707 |
Accrued payroll and welfare expenses | 879,465,292 | 126,327,285 | 810,920,659 |
Advances from related parties | 748,615 | 107,532 | 910,086 |
Advances from third parties | 4,350,380,332 | 624,893,035 | 2,395,228,932 |
Income tax payable | 117,422,380 | 16,866,670 | 70,240,122 |
Foreign exchange forward contract payables | 3,856,561 | 553,960 | 9,463,728 |
Convertible senior notes - current | 68,632 | ||
Derivative liability interest rate swap | 61,271,965 | 12,786,001 | |
Financing lease liabilities - current | 227,613,208 | 32,694,592 | 287,441,586 |
Operating lease liabilities - current | 40,043,113 | 5,751,833 | |
Bond payable and accrued interests | 10,318,000 | ||
Short-term borrowings, including current portion of long-term bank borrowings, and failed sale-leaseback financing | 9,047,249,911 | 1,299,556,136 | 7,103,399,191 |
Other payables and accruals - third parties | 3,055,929,756 | 438,956,841 | 2,281,024,560 |
Other payables - related parties | 13,127,352 | 1,885,626 | 20,818,596 |
Guarantee liabilities - related parties | 25,687,692 | 3,689,806 | 26,639,131 |
Held-for-sale liabilities | 1,008,195,707 | 144,818,252 | |
Total current liabilities | 31,277,229,167 | 4,492,692,859 | 24,141,186,341 |
Non-current liabilities: | |||
Long-term borrowings | 1,586,187,165 | 227,841,530 | 1,954,830,774 |
Finance lease obligations and others | 338,412,288 | ||
Bond payables | 299,475,000 | ||
Accrued warranty costs - non-current | 651,968,415 | 93,649,403 | 573,641,400 |
Financing lease liabilities - non-current | 583,490,228 | 83,813,127 | |
Operating lease liabilities - non-current | 279,534,370 | 40,152,600 | |
Convertible senior notes | 728,215,869 | 104,601,665 | |
Deferred tax liability | 250,733,941 | 36,015,677 | 25,893,228 |
Guarantee liabilities - related parties - non current | 46,331,673 | 6,655,128 | 65,764,938 |
Total non-current liabilities | 4,126,461,661 | 592,729,130 | 3,258,017,628 |
Total liabilities | 35,403,690,828 | 5,085,421,989 | 27,399,203,969 |
Commitment and contingencies | |||
Shareholders' equity: | |||
Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 158,587,937 and 180,653,497 shares issued as of December 31, 2018 and December 31, 2019, respectively, 156,864,737 and 178,930,297 shares outstanding as of December 31, 2018 and December 31, 2019, respectively.) | 24,767 | 3,558 | 21,727 |
Additional paid-in capital | 4,582,849,862 | 658,285,194 | 4,010,739,727 |
Statutory reserves | 689,706,737 | 99,070,174 | 570,176,203 |
Accumulated other comprehensive income | 62,952,198 | 9,042,517 | 70,300,898 |
Treasury stock, at cost; 1,723,200 ordinary shares as of December 31, 2018 and December 31, 2019 | (13,875,553) | (1,993,098) | (13,875,553) |
Retained earnings | 3,981,660,004 | 571,929,674 | 3,202,528,312 |
Total JinkoSolar Holding Co., Ltd. shareholders' equity | 9,303,318,015 | 1,336,338,019 | 7,839,891,314 |
Non-controlling interests | 3,137,708,510 | 450,703,627 | 614,086,626 |
Total shareholders' equity | 12,441,026,525 | 1,787,041,646 | 8,453,977,940 |
Total liabilities, redeemable non-controlling interest and shareholders' equity | ¥ 47,844,717,353 | $ 6,872,463,635 | ¥ 35,853,181,909 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2019 | May 31, 2019 | Dec. 31, 2018 | Feb. 28, 2018 |
CONSOLIDATED BALANCE SHEETS | ||||
Ordinary shares, par value | $ 0.00002 | $ 0.00002 | $ 0.00002 | $ 0.00002 |
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 | ||
Ordinary shares, shares issued | 180,653,497 | 158,587,937 | ||
Ordinary shares, shares outstanding | 178,930,297 | 156,864,737 | ||
Treasury stock at cost, shares | 1,723,200 | 1,723,200 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY | Ordinary shares [Member]CNY (¥)shares | Additional paid in capital [Member]CNY (¥) | Statutory reserves [Member]CNY (¥) | Accumulated other comprehensive (loss)/income [Member]CNY (¥) | Treasury stock [Member]CNY (¥)shares | Retained earnings (Accumulated losses) [Member]CNY (¥) | Non-controlling interests [Member]CNY (¥) | CNY (¥)shares | USD ($)shares |
Beginning Balance at Dec. 31, 2016 | ¥ 17,881 | ¥ 3,145,262,253 | ¥ 466,252,857 | ¥ 104,784,173 | ¥ (13,875,553) | ¥ 2,758,267,275 | ¥ (495,889) | ¥ 6,460,212,997 | |
Beginning Balance (in shares) at Dec. 31, 2016 | shares | 128,456,466 | (1,723,200) | |||||||
Share-based compensation expense | ¥ 0 | 64,867,902 | 0 | 0 | ¥ 0 | 0 | 0 | 64,867,902 | |
Appropriation to statutory reserves | 0 | 0 | 50,632,996 | 0 | 0 | (50,632,996) | 0 | 0 | |
Foreign currency exchange translation adjustment | 0 | 0 | 0 | (81,488,175) | 0 | 0 | 0 | (81,488,175) | |
Exercise of share options | ¥ 723 | 103,478,230 | 0 | 0 | ¥ 0 | 0 | 0 | 103,478,953 | |
Exercise of share option (in shares) | shares | 5,412,808 | 0 | |||||||
Net income | ¥ 0 | 0 | 0 | 0 | ¥ 0 | 141,705,689 | 485,676 | 142,191,365 | |
Ending Balance at Dec. 31, 2017 | ¥ 18,604 | 3,313,608,385 | 516,885,853 | 23,295,998 | ¥ (13,875,553) | 2,849,339,968 | (10,213) | 6,689,263,042 | |
Ending Balance (in shares) at Dec. 31, 2017 | shares | 133,869,274 | (1,723,200) | |||||||
Share-based compensation expense | ¥ 0 | 29,307,903 | 0 | 0 | ¥ 0 | 0 | 0 | 29,307,903 | |
Common stock offering | ¥ 3,061 | 663,232,926 | 0 | 0 | 0 | 0 | 0 | 663,235,987 | |
Common stock offering (in shares) | shares | 24,273,499 | ||||||||
Appropriation to statutory reserves | ¥ 0 | 0 | 53,290,350 | 0 | 0 | (53,290,350) | 0 | 0 | |
Foreign currency exchange translation adjustment | 0 | 0 | 0 | 47,004,900 | 0 | 0 | 0 | 47,004,900 | |
Contribution from non-controlling interest | 0 | 0 | 0 | 0 | 0 | 0 | 615,000,000 | 615,000,000 | |
Exercise of share options | ¥ 62 | 4,590,513 | 0 | 0 | ¥ 0 | 0 | 0 | 4,590,575 | |
Exercise of share option (in shares) | shares | 445,164 | 0 | |||||||
Net income | ¥ 0 | 0 | 0 | 0 | ¥ 0 | 406,478,694 | (903,161) | 405,575,533 | |
Ending Balance at Dec. 31, 2018 | ¥ 21,727 | 4,010,739,727 | 570,176,203 | 70,300,898 | ¥ (13,875,553) | 3,202,528,312 | 614,086,626 | 8,453,977,940 | |
Ending Balance (in shares) at Dec. 31, 2018 | shares | 158,587,937 | (1,723,200) | |||||||
Share-based compensation expense | ¥ 0 | 4,578,315 | ¥ 0 | 0 | 0 | 4,578,315 | |||
Common stock offering | ¥ 2,579 | 488,948,216 | 0 | 0 | ¥ 0 | 0 | 0 | 488,950,795 | |
Common stock offering (in shares) | shares | 18,687,500 | 0 | |||||||
Appropriation to statutory reserves | 119,530,534 | 0 | ¥ 0 | (119,530,534) | 0 | 0 | |||
Foreign currency exchange translation adjustment | ¥ 0 | 0 | 0 | 13,741,077 | 0 | 0 | 0 | 13,741,077 | $ 1,973,784 |
Change in the instrument-specific credit risk (Note 23) | 0 | 0 | 0 | (21,089,777) | 0 | 0 | 0 | (21,089,777) | $ (3,029,357) |
Contribution from non-controlling interest | 0 | 0 | 0 | 0 | 0 | 0 | 2,595,780,000 | 2,595,780,000 | |
Disposition of Poyang Luohong subsidiary | 0 | 0 | 0 | 0 | 0 | 0 | (97,848,385) | (97,848,385) | |
Exercise of share options | ¥ 461 | 78,583,604 | 0 | 0 | ¥ 0 | 0 | 0 | ¥ 78,584,065 | |
Exercise of share option (in shares) | shares | 3,378,060 | 0 | 3,378,060 | 3,378,060 | |||||
Net income | ¥ 0 | 0 | 0 | 0 | ¥ 0 | 898,662,226 | 25,690,269 | ¥ 924,352,495 | $ 132,774,926 |
Ending Balance at Dec. 31, 2019 | ¥ 24,767 | ¥ 4,582,849,862 | ¥ 689,706,737 | ¥ 62,952,198 | ¥ (13,875,553) | ¥ 3,981,660,004 | ¥ 3,137,708,510 | ¥ 12,441,026,525 | $ 1,787,041,646 |
Ending Balance (in shares) at Dec. 31, 2019 | shares | 180,653,497 | (1,723,200) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Cash flows from operating activities: | ||||
Net income | ¥ 924,352,495 | $ 132,774,926 | ¥ 405,575,533 | ¥ 142,191,365 |
Adjustments to reconcile net income to net cash provided by/(used in) operating activities: | ||||
Share-based compensation charge: | 4,578,315 | 657,634 | 29,307,903 | 64,867,902 |
Change in fair value of foreign exchange forward contracts | 114,149,092 | 16,396,491 | 0 | 0 |
Change in fair value of foreign exchange options | 330,706 | 47,503 | 9,720,182 | 0 |
Change in fair value of interest rate swap | 69,974,512 | 10,051,210 | (9,701,051) | 16,122,313 |
Convertible senior notes issuance expense | 18,646,101 | 2,678,345 | 0 | 0 |
Deferred income taxes | 291,623,774 | 41,889,134 | (106,925,932) | (7,507,742) |
Depreciation of property, plant and equipment | 737,584,653 | 105,947,406 | 802,022,200 | 600,541,219 |
Amortization of right-of-use assets | 145,539,290 | 20,905,411 | 0 | 0 |
Depreciation of project assets | 77,028,161 | 11,064,403 | 0 | 3,094,909 |
Amortization of land use rights | 11,974,071 | 1,719,968 | 11,042,735 | 8,935,579 |
Amortization of intangible assets | 6,822,339 | 979,968 | 4,212,569 | 3,481,991 |
Amortization for guarantee liability | (18,574,433) | (2,668,050) | (28,243,063) | (65,935,450) |
Inventory provision | 135,874,384 | 19,517,134 | 220,171,794 | 313,711,534 |
Provision/(reversal of provision) for allowance of doubtful accounts | 61,591,999 | 8,847,137 | (8,051,386) | (111,917,157) |
Loss/(Gain) on disposal of property, plant and equipment | 67,953,732 | 9,760,943 | 48,168,035 | (82,411,232) |
Amortization of deferred losses related to sale-leaseback transactions | 33,560,902 | 4,820,722 | 36,638,880 | 14,714,339 |
Gain on disposal of land use right | 0 | 0 | (315,735) | 0 |
Loss on disposal of intangible assets | 0 | 1,936,959 | ||
Impairment of long-lived assets | 68,262,038 | 9,805,228 | 14,548,043 | 0 |
Equity in (income)/loss of affiliated companies | 48,854,715 | 7,017,541 | (2,609,853) | 2,055,669 |
Loss/(gain) on disposal of investment in subsidiaries | (19,935,109) | (2,863,499) | 9,425,365 | (257,070) |
Exchange (gain)/loss, net | (8,808,559) | (1,265,270) | (33,681,095) | 114,344,622 |
Changes in operating assets and liabilities (net of impact of disposition): | ||||
Decrease/(increase) in accounts receivable - third parties | 168,487,767 | 24,201,753 | (905,161,935) | 226,217,542 |
Decrease/(increase) in accounts receivable - related parties | 155,264,144 | 22,302,299 | 1,437,274,337 | (698,958,001) |
(Increase)/decrease in notes receivable - third parties | (519,332,155) | (74,597,397) | (439,236,676) | 181,406,314 |
Decrease in notes receivable - related parties | (18,628,574) | (2,675,827) | 0 | 0 |
Increase in advances to suppliers - third parties | (1,852,725,829) | (266,127,414) | (258,143,369) | (74,386,502) |
Decrease in advances to suppliers - related party | 0 | 0 | 661,788 | |
Increase in inventories | (209,819,715) | (30,138,716) | (1,690,466,292) | (114,224,770) |
Increase in project assets constructed for sale, net of incremental revenue (note 2(l)) | (397,684,206) | (57,123,762) | (1,257,507,244) | 0 |
Decrease in lease liabilities | (28,151,002) | (4,043,638) | 0 | 0 |
(Increase)/decrease in other receivables - related parties | 13,411,589 | 1,926,454 | (94,349,636) | 54,876,832 |
Increase in prepayments and other current assets | 57,559,179 | 8,267,859 | (294,208,927) | (695,828,766) |
Decrease in other assets - related parties | 48,230,439 | 6,927,869 | 1,042,234 | 27,349,607 |
(Increase)/decrease in other assets - third parties | (797,875,265) | (114,607,612) | 23,458,061 | (28,626,110) |
Increase in accounts payable - third parties | 184,669,751 | 26,526,150 | 651,639,945 | 390,360,108 |
(Decrease)/increase in accounts payable - related parties | 35,611,667 | 5,115,296 | (4,630,853) | 5,328,896 |
Increase in accrued payroll and welfare expenses | 68,544,633 | 9,845,820 | 89,540,563 | 139,104,426 |
Increase/(decrease) in advances from - third parties | 1,676,456,800 | 240,807,952 | 1,637,949,690 | (622,123,401) |
(Decrease)/increase in advances from - related parties | (161,471) | (23,194) | (36,489,858) | (23,141,546) |
Increase/(decrease) in income tax payables | 48,243,071 | 6,929,684 | 42,460,277 | (140,331,831) |
(Decrease)/increase in accrued income tax - non - current | 0 | (6,041,195) | 6,041,195 | |
Decrease in derivative assets_foreign exchange option | 516,012 | 74,120 | 0 | 0 |
Decrease in derivative liability_interest rate swap | (21,488,548) | (3,086,637) | (3,999,336) | 0 |
Increase/(decrease) in other payables and accruals - third parties | 161,448,319 | 23,190,600 | 310,150,424 | 230,391,245 |
Increase/(decrease) in other payables and accruals - related parties | 0 | 8,485,112 | (63,700,089) | |
Net cash provided by/(used in) operating activities | 1,410,642,923 | 202,626,175 | 614,545,806 | (177,092,694) |
Cash flows from investing activities: | ||||
Maturity of restricted short-term investments | 7,876,919,116 | 1,131,448,637 | 6,436,613,343 | 5,901,412,560 |
Maturity of restricted long-term investments | 640,908,642 | 92,060,766 | 26,092,355 | 187,863,160 |
Maturity of short-term investments | 0 | 602,684,530 | 260,263,302 | |
Proceeds from disposal of property, plant and equipment | 201,267,370 | 28,910,249 | 138,135,495 | 49,391,037 |
Proceeds from disposal of land use right | 0 | 0 | 8,600,520 | |
Cash received from, net of cash, disposal of subsidiaries | 198,291,138 | 28,482,740 | 11,760,083 | 15,448,469 |
Purchase of property, plant and equipment | (3,297,539,820) | (473,661,957) | (2,421,517,272) | (2,178,471,031) |
Cash paid for project assets constructed to operate | (376,505,336) | (54,081,608) | (29,889,472) | (386,300,595) |
Cash paid for investment in affiliates | (295,049,363) | (42,381,189) | 0 | (16,879,589) |
Purchase of land use right | (34,951,335) | (5,020,445) | (128,004,864) | (27,264,156) |
Purchase of intangible assets | (7,855,985) | (1,128,442) | (13,840,620) | (10,864,634) |
Purchase of restricted short-term investments | (10,749,001,884) | (1,543,997,513) | (7,257,259,419) | (5,805,735,118) |
Purchase of restricted long-term investments | (181,771,258) | (26,109,808) | (699,599,285) | (239,320,678) |
Purchase of short-term investments | 0 | (600,000,000) | (191,646,751) | |
Net cash used in investing activities | (6,025,288,715) | (865,478,570) | (3,934,825,126) | (2,433,503,504) |
Cash flows from financing activities: | ||||
Cash received from issuance of convertible senior notes | 585,301,500 | 84,073,300 | 0 | 0 |
Cash payment for call option | (206,577,000) | (29,672,929) | 0 | 0 |
Cash payment for deposit of call option | (10,328,850) | (1,483,647) | 0 | 0 |
Cash received from borrowings from sale-leaseback | 0 | 147,985,433 | 600,000,000 | |
Cash payment for finance lease as lessee | (284,089,511) | (40,806,905) | (309,827,275) | (168,267,236) |
Proceeds from exercise of share options | 38,245,122 | 5,493,568 | 44,275,858 | 69,929,453 |
Proceeds from issuance of bonds | 0 | 0 | 297,900,000 | |
Payment of deposit for finance lease as lessee | (89,761,500) | (12,893,433) | (10,600,000) | (64,920,000) |
Proceeds from common stock offering | 488,950,795 | 70,233,387 | 663,235,987 | 0 |
Capital contributions by non-controlling interests holder | 2,595,780,000 | 372,860,467 | 615,000,000 | 0 |
Issuance cost paid for issuance of convertible senior notes | (18,646,101) | (2,678,345) | 0 | 0 |
Proceeds from bank borrowings | 17,877,213,936 | 2,567,901,108 | 14,602,250,496 | 18,288,363,067 |
Repayment of borrowings | (14,945,664,410) | (2,146,810,366) | (12,178,792,295) | (16,851,550,800) |
(Decrease)/Increase in notes payable - related party | (35,000,000) | (5,027,435) | 35,000,000 | 0 |
Increase in notes payable - third party | 1,686,462,664 | 242,245,204 | 364,080,070 | 875,730,374 |
Repurchase of convertible senior notes | (68,632) | (9,858) | 0 | (422,829,295) |
Repayment of bonds payable | 300,000,000 | 43,092,304 | 0 | 0 |
Net cash provided by financing activities | 7,381,818,013 | 1,060,331,812 | 3,972,608,274 | 2,624,355,563 |
Effect of foreign exchange rate changes on cash, cash equivalents, and restricted cash | 24,758,635 | 3,556,357 | 68,323,815 | (72,586,975) |
Net increase/(decrease) in cash, cash equivalents, and restricted cash | 2,791,930,856 | 401,035,774 | 720,652,769 | (58,827,610) |
Cash, cash equivalents, and restricted cash, beginning of the year | 3,482,027,573 | 500,161,966 | 2,761,374,804 | 2,820,202,414 |
Cash, cash equivalents, and restricted cash, end of the year | 6,273,958,429 | 901,197,740 | 3,482,027,573 | 2,761,374,804 |
Supplemental disclosure of cash flow information | ||||
Cash paid for income tax | 13,596,822 | 1,953,061 | 27,336,014 | 189,477,968 |
Cash paid for interest expenses (net of amounts capitalized) | 575,397,291 | 82,650,649 | 370,697,228 | 283,965,214 |
Supplemental disclosure of non-cash investing and financing cash flow information | ||||
Purchases of property, plant and equipment included in other payables | 1,488,570,184 | 213,819,728 | 867,835,949 | 793,515,334 |
Purchases of project assets included in held-for-sale liabilities | 177,729,416 | 25,529,233 | 72,467,231 | 77,809,001 |
Proceeds from exercise of share options received in subsequent period | 40,338,943 | 5,794,327 | 0 | 39,685,283 |
Other receivables related to disposition of subsidiaries - related parties | 0 | 0 | 28,634 | |
Other receivables related to disposition of subsidiaries - third party | 0 | 0 | 169,931,600 | |
Other receivables related to disposal of property, plant and equipment - third party | 0 | 0 | 111,500,000 | |
Change in fair value of derivative forward contracts | ||||
Adjustments to reconcile net income to net cash provided by/(used in) operating activities: | ||||
Change in fair value of foreign exchange forward contracts | (48,425,227) | (6,955,849) | 1,475,360 | 4,520,619 |
Call Options [Member] | ||||
Adjustments to reconcile net income to net cash provided by/(used in) operating activities: | ||||
Change in fair value of interest rate swap | ¥ (84,891,634) | $ (12,193,920) | ¥ 0 | ¥ 0 |
ORGANIZATION AND NATURE OF OPER
ORGANIZATION AND NATURE OF OPERATIONS | 12 Months Ended |
Dec. 31, 2019 | |
ORGANIZATION AND NATURE OF OPERATIONS | |
ORGANIZATION AND NATURE OF OPERATIONS | 1. ORGANIZATION AND NATURE OF OPERATIONS JinkoSolar Holding Co., Ltd. (the "Company" or "JinkoSolar Holding") was incorporated in the Cayman Islands on August 3, 2007. On May 14, 2010, the Company became listed on the New York Stock Exchange (“NYSE”) in the United States. The Company and its subsidiaries (collectively the “Group”) are principally engaged in the design, development, production and marketing of photovoltaic products as well as developing commercial solar power projects. The following table sets forth information concerning the Company’s major subsidiaries as of December 31, 2019: Date of Incorporation Place of Percentage Subsidiaries /Acquisition Incorporation of ownership JinkoSolar Technology Limited. (“Paker”) November 10, 2006 Hong Kong 100 % Jinko Solar Co., Ltd. (“Jiangxi Jinko”) December 13, 2006 PRC 100 % Zhejiang Jinko Solar Co., Ltd.("Zhejiang Jinko") June 30, 2009 PRC 100 % Jinko Solar Import and Export Co., Ltd. ("Jinko Import and Export") December 24, 2009 PRC 100 % JinkoSolar GmbH (“Jinko GmbH”) April 1, 2010 Germany 100 % Zhejiang Jinko Solar Trading Co., Ltd.("Zhejiang Trading") June 13, 2010 PRC 100 % Xinjiang Jinko Solar Co., Ltd. (“Xinjiang Jinko”) May 30, 2016 PRC 100 % Yuhuan Jinko Solar Co., Ltd.("Yuhuan Jinko") July 29, 2016 PRC 100 % JinkoSolar (U.S.) Inc. ("Jinko US") August 19, 2010 USA 100 % Jiangxi Photovoltaic Materials Co., Ltd. ("Jiangxi Materials") December 1, 2010 PRC 100 % JinkoSolar (Switzerland) AG(“Jinko Switzerland”) May 3, 2011 Switzerland 100 % JinkoSolar (US) Holdings Inc.(“Jinko US Holding”) June 7, 2011 USA 100 % JinkoSolar Italy S.R.L. (“Jinko Italy”) July 8, 2011 Italy 100 % JinkoSolar SAS (“Jinko France”) September 12, 2011 France 100 % Jinko Solar Canada Co., Ltd. (“Jinko Canada”) November 18, 2011 Canada 100 % Jinko Solar Australia Holdings Co. Pty Ltd. (“Jinko Australia”) December 7, 2011 Australia 100 % Jinko Solar Japan K.K. (“JinkoSolar Japan”) May 21, 2012 Japan 100 % Date of Incorporation Place of Percentage Subsidiaries /Acquisition Incorporation of ownership JinkoSolar Power Engineering Group Limited. (“JinkoSolar Power”) November 12, 2013 Cayman 100 % JinkoSolar WWG Investment Co., Ltd. (“WWG Investment”) April 8, 2014 Cayman 100 % JinkoSolar Comércio do Brazil Ltd. (“JinkoSolar Brazil”) January 14, 2014 Brazil 100 % Projinko Solar Portugal Unipessoal LDA. (“JinkoSolar Portugal”) February 20, 2014 Portugal 100 % JinkoSolar Mexico S.DE R.L. DE C.V. (“JinkoSolar Mexico”) February 25, 2014 Mexico 100 % Shanghai Jinko Financial Information Service Co., Ltd. November 7, 2014 PRC 100 % Jinko Solar Technology SDN.BHD. (“JinkoSolar Malaysia”) January 21, 2015 Malaysia 100 % Jinko Huineng Technology Services Co., Ltd. July 14, 2015 PRC 100 % Jinko Huineng (Zhejiang) Solar Technology Services Co., Ltd. July 29, 2015 PRC 100 % JinkoSolar Enerji Teknolojileri Anonlm Sirketi April 13, 2017 Turkey 100 % Jinko Solar Sweihan (HK) Limited. October 4, 2016 Hong Kong 100 % Jinko Solar (Shanghai) Management Co., Ltd July 25, 2012 PRC 100 % JinkoSolar Trading Privated Limited. February 6, 2017 India 100 % JinkoSolar LATAM Holding Limited. August 22, 2017 Hong Kong 100 % JinkoSolar Middle East DMCC November 6, 2016 Emirates 100 % Jinko Power International (Hongkong) Limited. July 10, 2015 Hong Kong 100 % JinkoSolar International Development Limited. August 28, 2015 Hong Kong 100 % Jinkosolar Household PV System Ltd. January 12, 2015 BVI 100 % Canton Best Limited(“Canton Best BVI”) September 16, 2013 BVI 100 % Wide Wealth Group Holding Limited.(“Wide Wealth Hong Kong”) June 11, 2012 Hong Kong 100 % Jiaxing Jinko Photovoltaic System Development Co., Ltd. December 26, 2016 PRC 100 % JinkoSolar (U.S.) Industries Inc. November 16, 2017 USA 100 % Poyang Ruilixin Information Technology Co., Ltd. December 19, 2017 PRC 100 % JinkoSolar Technology (Haining) Co., Ltd. ("Haining Jinko") December 15, 2017 PRC 71 % Jinko Solar Korea Co., Ltd. December 3, 2018 PRC Korea 100 % JinkoSolar (Sichuan) Co., Ltd. ("Jinko Sichuan") February 18, 2019 PRC PRC 70 % JinkoSolar (Vietnam) Co., Ltd. September 26, 2019 Vietnam 100 % JinkoSolar (Qinghai) Co., Ltd. April 3, 2019 PRC PRC 55 % Jinko PV Material Supply SDN. BHD September 23, 2019 Malaysia 100 % JinkoSolar (Chuzhou) Co., Ltd. ("Jinko Chuzhou") December 26, 2019 PRC PRC 55 % JinkoSolar (Yiwu) Co., Ltd. ("Jinko Yiwu") September 19, 2019 PRC PRC 55 % (i) In the fourth quarter of 2016, JinkoSolar International Development Limited disposed of Jinko Solar (Thailand) Co. Ltd (“Jinko Thailand”) with the consideration of RMB2.4 million (USD0.4 million). Loss of disposal amounted to RMB0.1 million (USD0.02 million) was recognized. Consideration associated with the transaction was collected in 2017. (ii) In the fourth quarter of 2016, JinkoSolar Technology Limited (formally known as Paker Technology Limited) disposed of Zhejiang Jinko Financial Leasing Co., Ltd for a consideration of RMB183.0 million (USD26.4 million). Loss on the disposal amounted to RMB15.2 million (USD2.2 million) was recognized. Consideration associated with the transaction amounted to RMB128.1 million (USD20.3 million) was collected in 2019. Outstanding consideration of RMB41.8 million (USD6.0 million) was collected in 2020. (iii) In the fourth quarter of 2017, JinkoSolar International Development Limited disposed of Lotapera, S.L., its fully owned solar power plant in Spain, with the consideration of RMB27.3 thousand (USD4.2 thousand). Gain on disposal amounted to RMB102.3 thousand (USD15.7 thousand) was recognized. Consideration associated with the transaction was collected in 2018. (iv) In the fourth quarter of 2017, JinkoSolar International Development Limited disposed of four Mexican power plants, including Energia Solar AHU, S.de R.L. de C.V., Energia Solar CAB, S.de R.L. de C.V., Energia Solar MAZ, S.de R.L. de C.V., and PV Energy SAM, S.de R.L. de C.V., with the consideration of RMB1.3 thousand (USD0.2 thousand). Gain on disposal amounted to RMB154.8 thousand (USD23.8 thousand) was recognized. Consideration associated with the transaction was collected in the year of 2019. (v) In the first quarter of 2018, the Company changed the name of a subsidiary from Zhejiang Jinko Solar Power Sales Co., Ltd to Jinko Huineng (Zhejiang) Solar Technology (Zhejiang) Services Co., Ltd. (vi) In the fourth quarter of 2018, the Group disposed of Jinko Solar Investment (Pty) Ltd and its subsidiary Jinko Solar Pty Ltd. (“JinkoSolar South Africa”) with the consideration of RMB1 to a third party buyer. Loss on the disposal amounted to RMB20.3 thousand was recognized. Consideration associated with the transaction was collected in 2020. (vii) In the third quarter of 2018, the Group and JinkoPower jointly invested in and established an entity named Poyang Luohong Power Co., Ltd. (“Poyang Luohong”), which develops and operates solar power project in Shangrao, Jiangxi Province. Cash capital injection with the amount of RMB98 million have been made by JinkoPower at the end of 2018. The Group held 51% equity interests of Poyang Luohong and consolidated such entity in its financial statements. In the fourth quarter of 2019, the Group disposed of 51% equity interest in Poyang Luohong to an independent third party buyer with the consideration of RMB99.8 million (US$ 14.3 million). Gain on the disposal amounted to RMB19.9 million (US$ 2.9 million) was recognized. The disposal gain was mainly resulted from the recognition of the un-realized profit generated from the module sales transactions between the Group and Poyang Luohong before the disposal with the amount of RMB19.9 million. Consideration associated with the transaction was collected in full in 2019. Upon the disposal, the non-controlling interests related to Poyang Luohong with the carrying amount of RMB 97.8 million was eliminated. (viii) In the first quarter of 2018, the Group disposed of Hirasawa Power East Godo Kaishat (“Hirasawa Power”), its fully own subsidiary who holds the rights to build, implement and operate two solar projects locating at Japan, with the consideration of JPY996,420,932. As these solar projects in Japan were constructed for sale upon completion instead of self-operating by the Group, the Group recorded such disposition under the standard of ASC 606, and recognized revenue and cost of sales with the amount of RMB93,451,309 and RMB69,133,413, respectively. Consideration associated with the transaction was collected in 2018. (ix) In the first quarter of 2018, the Group disposed Tirli 3 and Tirli 5, its fully own solar project companies who hold and operate two solar projects in Italy, with the consideration of EUR2,636,291. As these solar projects have been the Group’s own operating assets which were generating electricity sale revenues, the Group recorded loss of disposal with the amounted of RMB9,425,365. Consideration associated with the transaction was collected in 2018. (x) In the second and third quarter of 2018, government background companies made capital injection with an amount of RMB 517.0 million into Haining Jinko. In the third quarter of 2019, to support development of local enterprise, government background funds of Zhejiang province made investment into Haining Jinko by capital injection through a limited partnership established together with Zhejiang Jinko. The total capital injection received from the government funds in the year of 2019 amounted to RMB 845.8 million. The Group's percentage of ownership in Haining Jinko was 71% as at December 31, 2019. Haining Jinko was founded by the Group in 2017 and is principally engaged in the production of photovoltaic products, such as solar modules and cells, for intercompany sales within the Group. (xi) In the second quarter of 2019, Jiangxi Jinko, together with government background funds, established Jinko Sichuan. Cash capital injections with an aggregate amount of RMB800 million had been made by the non-controlling shareholders as of December 31, 2019. The Group owns 70% equity interest in Jinko Sichuan and consolidated the entity in its financial statements. Jinko Sichuan is principally engaged in the production of silicon ingot for intercompany sales within the Group. (xii) In the fourth quarter of 2019, Jiangxi Jinko, together with government background funds, established Jinko Chuzhou. Cash capital injections with an aggregate amount of RMB550 million had been made by the non-controlling shareholders as of December 31, 2019. The Group owns 55% equity interest in Jinko Chuzhou and consolidated such entity in its financial statements. Jinko Chuzhou is still at a preliminary stage with no actual business as of December 31, 2019. (xiii) In the fourth quarter of 2019, Jiangxi Jinko, together with government background funds, established Jinko Yiwu. Cash capital injections with an aggregate amount of RMB400 million had been made by the non-controlling shareholders as of December 31, 2019. The Group owns 55% equity interest in Jinko Yiwu and consolidated such entity in its financial statements. Jinko Yiwu is still at a preliminary stage with no actual business as at December 31, 2019. |
PRINCIPAL ACCOUNTING POLICIES
PRINCIPAL ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2019 | |
PRINCIPAL ACCOUNTING POLICIES | |
PRINCIPAL ACCOUNTING POLICIES | 2. PRINCIPAL ACCOUNTING POLICIES a. Basis of presentation and use of estimates The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of consolidated financial statements in conformity with U.S. GAAP requires management of the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Group 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 receivables, provision for inventories and advances to suppliers, impairment of long-lived assets, the economic useful lives of property, plant and equipment, project assets and intangible assets, certain accrued liabilities including accruals for warranty costs, guarantees, sale-leaseback, accounting for share-based compensation, legal contingencies, income taxes and related deferred tax valuation allowance, fair value measurements of share-based compensation and financial instruments. b. Consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries. All significant transactions and balances among the Company and its subsidiaries have been eliminated upon consolidation. For the Group’s majority-owned subsidiaries, non-controlling interests is recognized to reflect the portion of their equity interests which are not attributable, directly or indirectly, to the Group. Consolidated net income on the consolidated statement of operation includes the net income attributable to non-controlling interests. The cumulative results of operations attributable to non-controlling interests are recorded as non-controlling interests in the Group’s consolidated balance sheets. Cash flows related to transactions with non-controlling interests are presented under financing activities in the consolidated statements of cash flows. c. Foreign currency translation The Group’s reporting currency is the Renminbi (“RMB”), the official currency in the PRC. The Company and its PRC subsidiaries use RMB as their functional currency, while the functional currency of its subsidiaries incorporated outside of PRC is USD or EUR etc. Transactions denominated in currencies other than the functional currency are translated into the functional currency of the entity at the exchange rates prevailing at the dates of the transactions. Gains and losses resulting from foreign currency transactions are included in the consolidated statements of operations. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency of the entity using the applicable exchange rates at the applicable balance sheet dates. All such exchange gains or losses are included in exchange loss in the consolidated statements of operations. For consolidation purpose, the financial statements of the Company’s subsidiaries whose functional currencies are other than the RMB are translated into RMB using exchange rates quoted by PBOC. Assets and liabilities are translated at the exchange rates at the balance sheet date, equity accounts are translated at historical exchange rates and revenues, expenses and gains and losses are translated using the average exchange rates for the year. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of in accumulated other comprehensive income in the consolidated statement of comprehensive income/ (loss). The RMB is not a freely convertible currency. The PRC State Administration for Foreign Exchange, under the authority of PBOC, 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 China’s foreign exchange trading system market. The Company’s aggregate amount of cash, cash equivalents, restricted short-term investments and restricted cash denominated in RMB amounted to RMB6,161.7 million and RMB10,387.2 million as of December 31, 2018 and 2019, respectively. d. Cash, cash equivalents and restricted cash Cash and cash equivalents represent cash on hand and demand deposits placed with banks or other financial institutions, which have original maturities of three months or less. Restricted cash represents deposits legally held by banks which are not available for the Group’s general use. These deposits are held as collateral for issuance of letters of credit or guarantee, bank acceptance notes to vendors for purchase of machinery and inventories and foreign exchange forward contracts. Cash, cash equivalents and restricted cash as reported in the consolidated statement of cash flows are presented separately on our consolidated balance sheet as follows: As of December 31, 2018 2019 RMB RMB Cash and cash equivalents 3,104,916,803 5,653,853,691 Restricted cash 377,110,770 576,546,098 Cash and cash equivalents included in held-for-sale assets — 43,558,640 Total 3,482,027,573 6,273,958,429 e. Restricted short-term investments Restricted short-term investments represent the time deposits at banks with original maturities longer than three months and less than one year, which are held as collateral for issuance of letters of credit, guarantee, bank acceptance notes or deposits for short-term borrowings. f. Notes receivable and payable Notes receivable represents bank or commercial drafts that 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 their fair values due to the short-term maturity of the notes receivables. The Group also issues bank acceptance notes to its suppliers in China in the normal course of business. The Group classifies the changes in notes payable as financing activities. Notes receivable and payable are typically non-interest bearing and have maturities of less than six months. g. Accounts receivable Specific provisions are made against accounts receivable for estimated losses resulting from the inability of the Group’s customers to make payments. Management applied significant judgment in considering various factors, including historical bad debts, specific customer creditworthiness and current economic trends when evaluating accounts receivable balances to determine whether an allowance for doubtful accounts should be provided and to measure such allowance. Accounts receivable in the balance sheets are stated net of such provision, if any. Before approving sales to each customer, the Group conducts a credit assessment for each customer to evaluate the collectability of such sales. The assessment usually takes into consideration the credit worthiness of such customer and its guarantor, if any, the Group’s historical payment experience with such customer, industry-wide trends with respect to credit terms, including the terms offered by competitors, and the macro-economic conditions of the region to which sales will be made. The Group executes a sales order with a customer and arrange for shipment only if its credit assessment concludes that the collectability with such customer is probable. The Group may also from time to time require security deposits from certain customers to minimize its credit risk. After the sales are made, the Group closely monitors the credit situation of each customer on an on-going basis for any subsequent change in its financial position, business development and credit rating, and evaluates whether any of such adverse change warrants further action to be taken by the Group, including asserting claims and/or initiating legal proceedings against the customer and/or its guarantor, as well as making provisions. It is also the Group’s general practice to suspend further sales to any customer with significant overdue balances. h. 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 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 to suppliers and provide for losses on advances which are akin to receivables in operating expenses because of suppliers’ inability to return its advances. Recoveries of the allowance for advances to supplier are recognized when they are received. The Company 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 12 months are recorded in advances to suppliers to be utilized beyond one year. There was no provision of advance to suppliers recorded for the years ended December 31, 2017, 2018 and 2019. i. Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined using the weighted average method. Provisions are made for excessive, slow moving and obsolete inventories as well as for inventories with carrying values in excess of market. 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 reserve or 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 reserves or 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 reserved or written down are eventually sold. The sale of previously reserved inventory did not have a material impact on our gross margin percentage for any of the years presented. In addition, the Group analyzes its firm purchase commitments, if any, at each period end. Provision is made in the current period if the net realizable value after considering estimated costs to convert 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 for each of the three years ended December 31, 2017, 2018 and 2019. j. Property, plant and equipment, net Property, plant and equipment are stated at cost less accumulated depreciation. Cost includes the prices paid to acquire or construct the assets, interest capitalized during the construction period and any expenditure that substantially extends the useful life of an existing asset. Depreciation is computed using the straight-line method over the following estimated useful lives: Buildings 20 years Machinery and equipment 10 years Furniture, fixture and office equipment 3-5 years Motor vehicles 4-5 years Construction in progress primarily represents the construction of new production line and buildings. Costs incurred in the construction are capitalized and transferred to property, plant and equipment upon completion, at which time depreciation commences. 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 statement of operations upon disposal. k. Project Assets, net Project assets represented the costs of solar power plants held for generation of electricity revenue, held with the intention to sell to third parties and solar power plants under construction. Project assets are stated in the consolidated balance sheets at cost less accumulated depreciation and impairment provision, if any. Costs of project assets consist primarily of costs relating to construction of solar power plants at various stages of development. These costs include costs for procurement of solar module and other equipment (including intercompany purchases), cost of land on which solar power plants are developed and other direct costs for developing and constructing solar power plants, such as costs for obtaining permits required for solar power plants and costs for designing, engineering, interest costs capitalized and installation in the course of construction. Such costs are capitalized starting from the point when it is determined that development of the solar power plant is probable. For a solar power project asset acquired from third parties, the initial cost is the acquisition cost which includes the consideration transferred and certain direct acquisition costs. Costs capitalized in the construction of solar power plants under development will be transferred to completed solar power plants upon completion and when they are ready for intended use, which is at the point of time when the solar power plant is connected to grids and begins to generate electricity. Depreciation of the completed solar power plant held for generation of electricity revenue commences once the solar power plant is ready for intended use. Depreciation is computed using the straight-line method over the expected life of 20 years. The Company does not depreciate project assets when such project assets are constructed for sale upon completion. Any revenue generated from such project assets connected to the grid would be considered incidental revenue and accounted for as a reduction of the capitalized project costs for development. The Group made decision to sell certain of its solar projects to third parties in the year of 2018. All cash flows related to the development and construction of project assets constructed for external sales are a component of cash flows from operating activities. l. Assets held for sale Long-lived assets to be sold are classified as held for sale when the following recognition criteria in ASC 360-10-45-9 are met: ◻ Management, having the authority to approve the action, commits to a plan to sell the asset. ◻ The asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets. ◻ An active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated. ◻ The sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year, ◻ The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value. ◻ Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. The Group entered into an agreement to sell two solar power plants in Mexico to a Mexican renewable energy company in November 2019. Assets and liabilities related to these two solar power plants were reclassified from project assets as assets/liabilities held for sale as of December 31, 2019. m. Interest Capitalization Interest expenses during the years ended December 31, 2017, 2018 and 2019 were RMB322,002,538, RMB429,347,129 and RMB605,882,474, net of with interest income of RMB58,810,160, RMB83,461,323 and 170,984,099 respectively. The interest cost associated with major development and construction projects is capitalized and included in the cost of the property, plant and equipment or project assets. Interest capitalization ceases once a project is substantially completed or no longer undergoing construction activities to prepare it for its intended use. When no debt is specifically identified as being incurred in connection with a construction project, the Group capitalizes interest on amounts expended on the project at the Group’s weighted average cost of borrowings. Interest expense capitalized associated with the construction projects for the years ended December 31, 2017, 2018 and 2019 were RMB17,662,780, RMB51,243,764, and RMB43,841,311, respectively. n. Land use rights and land lease a. Land use rights Land use rights represent acquisition costs to purchase land use rights from the PRC government, which are evidenced by property certificates. The periods of these purchased land use rights are either 50 years or 70 years. The Company classifies land use rights as long term assets on the balance sheet and cash outflows related to acquisition of land use right as investing activities. Land use rights are carried at cost less accumulated amortization and impairment losses, if any. Amortization is computed using the straight-line method over the term specified in the land use right certificate for 50 years or 70 years, as applicable. b. Land lease For certain of the Group’s solar power project, the Group enters into land lease contracts with the owners of the land use rights. Under such lease arrangements, the owners retain the property right of the land use rights. While the Group can only set up the solar panels on these leased lands but does not have the right to sell, lease or dispose the land use rights. Accordingly, land leases are classified as operating leases. o. Intangible assets Intangible assets include purchased software and fees paid to register trademarks and are amortized on a straight-line basis over their estimated useful lives, which are 5 or 10 years, respectively. p. Business combination and assets acquisition U.S. GAAP requires that all business combinations not involving entities or businesses under common control be accounted for under the purchase method. The Group has adopted ASC 805 “Business Combinations,” and the cost of an acquisition 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 transaction 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 total of cost of acquisition, 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 tangible and intangible assets of the acquiree is recorded as goodwill. If the cost of acquisition is less than the fair value of the net assets of the subsidiary acquired, the difference is recognized directly in the consolidated statements of operations and comprehensive income. The determination and allocation of fair values to the identifiable assets acquired and liabilities assumed 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 future 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 products 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. A non-controlling interest is recognized to reflect the portion of a subsidiary’s equity which is not attributable, directly or indirectly, to the Company. Consolidated net income on the consolidated statements of operations and comprehensive income includes the net income (loss) attributable to non-controlling interests when applicable. The cumulative results of operations attributable to non-controlling interests are also recorded as non-controlling interests in the Company’s consolidated balance sheets. Cash flows related to transactions with non-controlling interests are presented under financing activities in the consolidated statements of cash flows when applicable. q. Investments in affiliates and other equity securities On January 1, 2018, the Company adopted ASU No. 2016-01, which requires equity investments to be measured at fair value with subsequent changes recognized in net income, except for those accounted for under the equity method or requiring consolidation. This standard also changed the accounting for investments without a readily determinable fair value and that do not qualify for the practical expedient to be measured at fair value. A policy election can be made for these investments whereby investment will be carried at cost and adjusted in subsequent periods for any impairment or changes in observable prices of identical or similar investments. With the adoption of ASU No. 2016-01, for investments in equity securities lacking of readily determinable fair values, the Company elected to use the measurement alternative defined as cost, less impairments, adjusted by observable price changes. Adoption of the standard had no significant impact on the Group’s consolidated financial statements for the years ended 2018 and 2019. Prior to the fiscal year of 2018, these investments over which the Company does not have the ability to exercise significant influence were accounted for using the cost method of accounting, measured at cost less other-than-temporary impairment. The Group’s investments include equity method investments and equity securities without readily determinable fair values. The Group holds equity investments in affiliates in which it does not have a controlling financial interest, but has the ability to exercise significant influence over the operating and financial policies of the investee. These investments are accounted for under equity method of accounting wherein the Group records its’ proportionate share of the investees’ income or loss in its consolidated financial statements. Investments are evaluated for impairment when facts or circumstances indicate that the fair value of the investment is less than its carrying value. The Group reviews several factors to determine whether an impairment is recognized. These factors include, but are not limited to, the: (1) nature of the investment; (2) cause and duration of the impairment; (3) extent to which fair value is less than cost; (4) financial conditions and near term prospects of the issuers; and (5) ability to hold the security for a period of time sufficient to allow for any anticipated recovery in fair value. r. Impairment of long-lived assets The Group’s long-lived assets include property, plant and equipment, project assets, land use rights and intangible assets with finite lives. The Group’s business requires heavy investment in manufacturing equipment that is technologically advanced, but can quickly become significantly under-utilized or rendered obsolete by rapid changes in demand for solar power products produced with those equipment. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that 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. The Group may recognize impairment of long-lived assets in the event the net book value of such assets exceeds the future undiscounted cash flows attributable to these assets. If the total of the expected undiscounted future net cash flows is less than the carrying amount of the asset, a loss, if any, is recognized for the difference between the fair value of the asset and its carrying value. Fair value is generally measured based on either quoted market prices, if available, or discounted cash flow analyses. s. Leases Prior to the adoption of ASC Topic 842 on January 1, 2019: Leases are classified as capital or operating leases. A lease that transfers to the lessee substantially all the benefits and risks incidental to ownership is classified as a capital lease. At inception, a capital lease is recorded at the present value of minimum lease payments or the fair value of the asset, whichever is less. Assets under capital leases are amortized on a basis consistent with that of similar fixed assets or the lease term, whichever is less. Operating lease costs are recognized on a straight-line basis over the lease term. For a sale-leaseback transaction, when the transaction involves real estate or integral equipment, sale-leaseback accounting shall be used by a seller-lessee only if the transaction includes all of the following a) A normal leaseback; b) Payment terms and provisions that adequately demonstrate the buyer-lessor’s initial and continuing investment in the property; c) Payment terms and provisions that transfer all of the other risks and rewards of ownership as demonstrated by the absence of any other continuing involvement by the seller-lessee. Equipment is determined to be integral when the cost to remove the equipment from its existing location, ship and reinstall at a new site, including any diminution in fair value, exceeds 10% of the fair value of the equipment at the time of original installation. If a sale-leaseback of real estate qualifies for sale-leaseback accounting, an analysis is performed to determine if the Company can record a sale and remove the assets from the balance sheet and recognize the lease; and if so, to determine whether to record the lease as either an operating or capital lease. The Group’s assets under capital lease transactions are derecognized upon sale at the net book value and rebooked at the financed amount. Any profit or loss on the sale are deferred and amortized over the useful life of the assets. If the fair value of the assets at the time of the sale is less than its net book value, a loss is recognized immediately. If a sale-leaseback transaction does not qualify for sale-leaseback accounting because of any form of continuing involvement by the seller-lessee other than a normal leaseback, it is accounted for as a financing under ASC 360. Upon and hereafter the adoption of ASC Topic 842 on January 1, 2019: The Company adopted ASC Topic 842 on January 1, 2019, using the modified retrospective transition method as of the effective date as the date of initial application. Consequently, prior periods have not been recast and the disclosures required under ASC Topic 842 are not provided for dates and periods before January 1, 2019. The Company determines if a contract contains a lease at inception of the arrangement based on whether it has the right to obtain substantially all of the economic benefits from the use of an identified asset and whether it has the right to direct the use of an identified asset in exchange for consideration, which relates to an asset which the Company does not own. Right of use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of lease payments over the lease term. When determining the lease term, the Company includes options to extend or terminate the lease when it is reasonably certain that it will exercise that option, if any. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate, which it calculates based on the credit quality of the Company and by comparing interest rates available in the market for similar borrowings, and adjusting this amount based on the impact of collateral over the term of each lease. The Company does not typically incur variable lease payments related to its leases. For a sale-leaseback transaction, sale-leaseback accounting shall be used by a seller-lessee only if the transaction meet all of the following: a) the transfer of the underlying asset meets the definition of a sale under ASC 606; b) the leaseback transaction does not result in a lease that would be classified as a finance lease; c) the contract does not contain a repurchase option, unless the option is exercisable at the fair value on the exercise date and there are alternative assets substantially the same as the transferred asset available in the market place. If a sale-leaseback transaction does not qualify for sale-leaseback accounting because of the transfer of underlying assets does not meet the definition of sale, it is accounted for as a financing under ASC 360. The Company has elected to adopt the following lease policies in conjunction with the adoption of ASU 2016-02: (i) elect for each lease not to separate non-lease components from lease components and instead to account for each separate lease component and the non-lease components associated with that lease component as a single lease component; (ii) for leases that have lease terms of 12 months or less and does not include a purchase option that is reasonably certain to exercise, the Company elected not to apply ASC Topic 842 recognition requirements; and (iii) the Company elected to apply the package of practical expedients for existing arrangements entered into prior to January 1, 2019 to not reassess (a) whether an arrangement is or contains a lease, (b) the lease classification applied to existing leases, and(c) initial direct costs. t. Guarantees The Group issues debt payment guarantees in favor of JinkoPower, a related party. The guarantees require the Group to make payments to reimburse the holders of the debt subject to these guarantees for losses they incur JinkoPower fails to make repayments to the holders, when its liability to the holders falls due. In addition, the Group also issues redemption guarantees in favor of JinkoPower, a related party. According to the agreement among the Group, JinkoPower and investors of JinkoPower (the original redeemable preferred shareholders of JinkoPower), the investors of JinkoPower will have the right to redeem the common shares of JinkoPower held by them, and, as a result of a guarantee issued by the Company, in the event that JinkoPower fails to perform its redemption obligations, the Company will become liable for JinkoPower’s obligations under the redemption. Such redemption guarantee was removed in the year of 2017 (Note 26). A guarantee liability is initially recognized at the estimated fair value in the Group’s consolidated balance sheets unless it becomes probable that the Group will reimburse the holder of the guarantee for an amount higher than the carrying amount, in which case the guarantee is carried in the Group’s consolidated balance sheets at the expected amount payable to the holder. The fair value of the guarantee liability is measured by the total consideration to be received in connection with the provision of guarantee. The guarantee liability is amortized in straight line during the guarantee period. Receivables have also been recorded for the guarantee payments to be received (note 26). Pursuant t |
REVENUES
REVENUES | 12 Months Ended |
Dec. 31, 2019 | |
REVENUES | |
REVENUES | 3. REVENUES The Group’s revenues for the respective periods are detailed as follows: For the years ended December 31 2017 2018 2019 RMB RMB RMB Sales of solar modules 25,656,934,835 24,090,687,469 28,500,123,425 Sales of silicon wafers 455,695,782 567,241,687 913,702,864 Sales of solar cells 346,069,432 291,232,876 282,407,099 Sales of solar projects — 93,451,309 — Revenue from generated electricity 14,243,405 — 50,054,371 Total 26,472,943,454 25,042,613,341 29,746,287,759 The following table summarizes the Group’s net revenues generated in respective region: For the years ended December 31 2017 2018 2019 RMB RMB RMB Inside China (including Hong Kong and Taiwan) 9,854,855,071 6,610,688,059 5,195,021,423 North America 4,113,448,120 2,746,348,909 7,550,454,941 Europe 2,080,154,303 1,984,476,407 5,201,919,985 Asia Pacific 3,721,851,092 6,575,869,478 7,304,164,060 Rest of the world 6,702,634,868 7,125,230,488 4,494,727,350 Total 26,472,943,454 25,042,613,341 29,746,287,759 |
INTEREST EXPENSES, NET
INTEREST EXPENSES, NET | 12 Months Ended |
Dec. 31, 2019 | |
INTEREST EXPENSES, NET | |
INTEREST EXPENSES, NET | 4. INTEREST EXPENSES, NET For the years ended December 31 2017 2018 2019 RMB RMB RMB Interest expenses 321,477,539 429,347,128 605,882,474 Less: Interest capitalization (17,662,780) (51,243,764) (43,841,311) Less: Interest income (58,810,161) (83,461,323) (170,984,099) Amortisation of bond issuance costs 525,000 1,050,000 525,000 Total 245,529,598 295,692,041 391,582,064 |
OTHER INCOME_(EXPENSES), NET
OTHER INCOME/(EXPENSES), NET | 12 Months Ended |
Dec. 31, 2019 | |
OTHER INCOME/(EXPENSES), NET | |
OTHER INCOME/(EXPENSES), NET | 5. OTHER INCOME/(EXPENSES), NET For the years ended December 31 2017 2018 2019 RMB RMB RMB Guarantee income 65,935,450 26,229,524 18,574,433 Donations (6,288,539) (412,465) (701,000) Total 59,646,911 25,817,059 17,873,433 In 2016, the Group issued debt payment guarantees and redemption guarantees in favor of JinkoPower, a related party (note 26). The guarantee liability which corresponds with the guarantee fees received is being amortized in straight line during the guarantee period from 1 to 16 years based on the life of the outstanding guaranteed bank loans by recognizing a credit to other income. |
TAXATION
TAXATION | 12 Months Ended |
Dec. 31, 2019 | |
TAXATION | |
TAXATION | 6. TAXATION The Company and its subsidiaries file separate income tax returns. Cayman Islands Under the current laws of the Cayman Islands, the Company and its subsidiaries in Cayman Islands are not subject to tax on its income or capital gains. In addition, upon any payment of dividends by the Company, no Cayman Islands withholding tax is imposed. British Virgin Islands Under the current laws of the British Virgin Islands(“BVI”), the Company’s subsidiary in BVI is not subject to tax on its income or capital gains. In addition, upon any payment of dividends by the Company, no British Virgin Islands withholding tax is imposed. People’s Republic of China On March 16, 2007, the National People's Congress approved the Corporate Income Tax Law of the People's Republic of China (the "CIT Law") with effective on January 1, 2008. The CIT Law enacted a statutory income tax rate of 25%. In 2017, three of the major subsidiaries of the Group, Jiangxi Jinko, Zhejiang Jinko and Jinko Materials were recognized by State Administration of Taxation as a “National High and New Technology Enterprise”, entitling them to a preferential tax rate of 15%. In 2018 and 2019, Zhejiang Jinko, Jiangxi Jinko and Jiangxi Material successfully renewed the qualification and continued to enjoy the preferential tax rate of 15% for the next three years, respectively. In 2019, Yuhuan Jinko and Haining Jinko were also recognized by State Administration of Taxation as a “National High and New Technology Enterprise”, entitling them to a preferential tax rate of 15% for the next three years. In April 2018, Xinjiang Jinko obtained the beneficial tax rate registration for encouraging industries located in the western region of China, which entitles Xinjiang Jinko to enjoy the preferential tax rate of 15% in 2017 and 2018. In 2017, Xinjiang Jinko was also recognized by State Administration of Taxation as a “National High and New Technology Enterprise”, entitling it to a preferential tax rate of 15% for the next three years. Under the CIT Law, 10% withholding income tax ("WHT") will be levied on foreign investors for dividend distributions from foreign invested enterprises' profit earned after January 1, 2008. For certain treaty jurisdictions such as Hong Kong which has signed double tax arrangement with the PRC, the applicable WHT rate could be reduced to 5% if foreign investors directly hold at least 25% shares of invested enterprises at any time throughout the 12-month period preceding the entitlement to the dividends and they are also qualified as beneficial owners to enjoy the treaty benefit. Deferred income taxes are not provided on undistributed earnings of the Company's subsidiaries that are intended to be permanently reinvested in China. Cumulative undistributed earnings of the Company's PRC subsidiaries intended to be permanently reinvested totaled RMB3,121,934,696, RMB3,250,957,069 and 3,883,577,293 as of December 31, 2017, 2018, 2019 respectively, and the amount of the unrecognized deferred tax liability, calculated based on the 5% rate, on the permanently reinvested earnings was RMB156,096,735, RMB162,547,853, and RMB194,178,865 as of December 31, 2017, 2018, 2019 respectively. Hong Kong The Company’s subsidiaries established in Hong Kong are subject to Hong Kong profit tax at a rate of 16.5% on its assessable profit. Japan Jinko Japan is incorporated in Japan and is subject to corporate income tax at 38.0%. European Countries Jinko Switzerland is incorporated in Switzerland and according to its current business model where it employs limited staff and generates income exclusively from trading activities conducted outside Switzerland, is subject to a combined federal, cantonal and communal tax rate of 8.5% in 2019. Jinko GMBH is incorporated in Germany and is subject to Germany profit tax rate of approximately 33% on the assessable profit. Jinko Italy is incorporated in Italy and is subject to corporate income tax at 27.9%. Jinko France is incorporated in France and is subject to corporate income tax at 31%. Jinko Portugal is incorporated in Portugal and is subject to corporate income tax at 23%. United States Jinko US, Jinko US holding, and Jinko Solar (U.S.) Industries are Delaware incorporated corporations that are subject to U.S. corporate income tax on taxable incomes at a rate of up to 21% for taxable years beginning after December 31, 2017 and U.S. corporate income tax on taxable incomes of up to 35% for prior tax years. The U.S. Tax Reform signed into law on December 22, 2017 significantly modified the U.S. Internal Revenue Code by, among other things, reducing the statutory U.S. federal corporate income tax rate from 35% to 21% for taxable years beginning after December 31, 2017; limiting and/or eliminating many business deductions; and migrating the U.S. to a territorial tax system. Malaysia The Income Tax Act 1967 of Malaysia, revised in 1971, enacted a statutory income tax rate of 24%. Nevertheless, Malaysia offers a wide range of tax incentives, including tax exemptions, capital allowances, and enhanced tax deductions, to attract foreign direct investment. Incorporated in Malaysia, Jinko Malaysia is entitled to a five year 100% tax exemption, approved in February 2017 and retrospectively effective from August 2015, under the pioneer status (PS) incentive scheme as a company engaged in producing high technology products identified by the Malaysian Investment Development Authority (MIDA). Canada Jinko Canada is incorporated in Canada and is subject to a federal corporate income tax of 15% and provinces and territories income tax of 11.5%. Australia Jinko Australia is incorporated in Australia and is subject to corporate income tax at 30%. Brazil Jinko Brazil is incorporated in Brazil and is subject to corporate income tax at 34%. Mexico Jinko Mexico is incorporated in Mexico and is subject to corporate income tax at 30%. Composition of Income Tax Expense Income/(loss) before income taxes for the years ended December 31, 2017, 2018 and 2019 were taxed within the following jurisdictions: For the year ended December 31 2017 2018 2019 RMB RMB RMB Cayman Islands 8,709,933 57,199,049 (22,036,601) PRC 438,904,245 532,128,623 498,042,536 Other countries (298,739,141) (181,952,469) 775,180,276 Income before income taxes 148,875,037 407,375,203 1,251,186,211 For the year ended December 31, 2019, the loss attributed to Cayman Islands was mainly due to the fair value loss from convertible senior notes and call options. Increase in the income before taxes of other countries was mainly attributable to the higher profit generated by the Group's subsidiaries in U.S. The current and deferred positions of income tax expense included in the consolidated statement of operations for the years ended December 31, 2017, 2018 and 2019 are as follows: For the year ended December 31 2017 2018 2019 Current income tax (expenses)/benefits RMB RMB RMB PRC (39,138,531) (37,136,613) (25,562,374) Other countries 27,002,786 (74,198,842) 39,207,147 Total current income tax expenses (12,135,745) (111,335,455) 13,644,773 Deferred tax (expenses)/benefits 7,507,742 106,925,932 (291,623,774) Income tax expenses, net (4,628,003) (4,409,523) (277,979,001) Reconciliation of the differences between statutory tax rate and the effective tax rate Reconciliation between the statutory CIT rate and the Company’s effective tax rate from continuing operations is as follows: For the year ended December 31 2017 2018 2019 % % % Statutory CIT rate 25.0 25.0 25.0 Effect of permanent differences: —Share-based compensation expenses 6.6 1.1 0.1 —Change in fair value of convertible senior notes and call options 0.0 0.0 0.6 —Accrued payroll and welfare expenses 13.4 4.2 0.5 —Change of enacted tax rate (12.1) (3.2) 0.7 —Other tax preferences (42.3) (19.5) (7.0) Difference in tax rate of subsidiaries outside the PRC 7.5 0.6 4.5 Effect of tax holiday for subsidiaries (8.8) (14.0) (4.6) Change in valuation allowance 13.8 6.9 2.4 Effective tax rate 3.1 1.1 22.2 Other tax preferences in 2017 were mainly due to the reversal of income tax expense amounting of RMB17.3 million of one of the Company’s overseas subsidiaries upon receiving a tax exemption for a five-year period starting from August 2015 to July 2020 in the first quarter of 2017, as well as the additional 2016 income tax deduction amounting of RMB41.8 million for R&D costs approved by local tax bureau in the second quarter of 2017. Other tax preferences in 2018 and 2019 was mainly due to the additional income tax deduction amounting of RMB59.3 million and RMB88.0 million for R&D costs approved by local tax bureau in the second quarter of 2018 and 2019, respectively. Increase in the difference in tax rate of subsidiaries outside the PRC was mainly attributable to the Group's subsidiaries in U.S. subject to higher income tax rate generated higher profits in the year of 2019. The aggregate amount and per share effect of reduction of CIT for certain PRC subsidiaries as a result of tax holidays are as follows: For the year ended December 31 2017 2018 2019 RMB RMB RMB The aggregate amount of effect 36,268,723 57,284,294 57,373,029 Per share effect—basic 0.28 0.37 0.34 Per share effect—diluted * 0.27 0.37 0.34 *Due to the dilutive impact of call option in 2019, potential shares underlying the call option arrangement were removed from weighted average number of ordinary shares outstanding since its issuance date for the dilutive denominator (Note 21). Therefore, the Company used the basic denominator for both of the basic and diluted effect to calculate above per share effect of tax holidays in 2019. Significant components of deferred tax assets/liability As of December 31 2018 2019 RMB RMB Net operating losses 315,472,145 367,045,173 Accrued warranty costs 137,737,283 171,396,603 Provision for inventories, accounts receivable, other receivable 46,850,223 56,512,918 Timing difference for revenue recognition of retainage contract 9,486,524 8,337,383 Other temporary differences 63,601,889 49,723,467 Impairment for property, plant and equipment 5,667,933 18,310,891 Total deferred tax assets 578,815,997 671,326,435 Less: Valuation allowance (114,620,700) (144,316,817) Less: Deferred tax liabilities in the same tax jurisdiction (126,125,973) (255,723,355) Deferred tax assets 338,069,324 271,286,263 Timing difference for project assets, property, plant and equipment (126,125,973) (349,000,757) Timing difference for refund of countervailing duties — (119,355,270) Other temporary differences (25,893,228) (38,101,269) Total deferred tax liabilities (152,019,201) (506,457,296) Less: Deferred tax assets in the same tax jurisdiction 126,125,973 255,723,355 Deferred tax liabilities (25,893,228) (250,733,941) The Group’s U.S. subsidiary is entitled to obtain refund of countervailing duties pursuant to the final results of administrative reviews announced by the United States Department of Commerce in 2018 and 2019 (note 16). Due to the delay of refund liquidation, based on communication with its local tax authority in 2019, related income of the refund will not subject to income taxes until liquidation, therefore, income tax payables with the amount of RMB57,216,307 as at December 31, 2018 was reclassified to deferred tax liabilities as of December 31, 2019, and related current income taxes with the amount of RMB57,216,307 were also reclassified to deferred tax expenses in the year of 2019. Movement of valuation allowance For the year ended December 31 2017 2018 2019 RMB RMB RMB At beginning of year (66,223,501) (86,443,363) (114,620,700) Current year additions (42,043,420) (29,565,816) (62,415,889) Utilization and reversal of valuation allowances 21,823,558 1,388,479 32,719,772 At end of year (86,443,363) (114,620,700) (144,316,817) Valuation allowances were determined by assessing both positive and negative evidence and have been provided on the net deferred tax asset due to the uncertainty surrounding its realization. As of December 31, 2018 and 2019, valuation allowances of RMB114,620,700 and RMB144,316,817 were provided against deferred tax assets because it was more likely than not that such portion of deferred tax will not be realized based on the Group’s estimate of future taxable incomes of all its subsidiaries. If events occur in the future that allow the Group to realize more of its deferred tax assets than the presently recorded amount, an adjustment to the valuation allowances will result in a non-cash income statement benefit when those events occur. Due to the strong financial performance and profitable condition of certain subsidiaries, the Company has determined that the future taxable income of those subsidiaries is sufficient to realize the benefits of such deferred tax assets. As a result, the Company reversed the valuation allowance of RMB21.8 million, RMB1.4 million and RMB32.7 million in 2017, 2018 and 2019. |
ACCOUNTS RECEIVABLE, NET-THIRD
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES | 12 Months Ended |
Dec. 31, 2019 | |
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES | |
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES | 7. ACCOUNTS RECEIVABLE, NET—THIRD PARTIES As of December 31, 2018 2019 RMB RMB Accounts receivables 5,692,976,209 5,584,548,167 Allowance for doubtful accounts (256,605,518) (318,197,517) Accounts receivable, net 5,436,370,691 5,266,350,650 As of December 31, 2018 and 2019, accounts receivable with net book value of RMB385,443,577 and RMB1,200,492,957 were pledged as collateral for the Group’s borrowings (note 19). Movement of allowance of doubtful accounts As of December 31, 2017 2018 2019 RMB RMB RMB At beginning of year 376,574,061 264,656,904 256,605,518 Addition 147,474,390 149,029,546 166,432,303 Reversal (259,391,547) (157,080,932) (104,840,304) At end of year 264,656,904 256,605,518 318,197,517 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. The significant bad debt reversal represents the cash collection of the fully reserved long-term receivables. The Company made bad debt provisions for certain long-term receivables in prior years which were in line with the adverse economic environment in solar industry. With the recovery of solar industry since 2013, the Company made its best effort to improve the cash collection for the long-aged accounts receivables. The cash received was recorded as the reversal of prior year bad debt allowance. |
ADVANCES TO SUPPLIERS, NET - TH
ADVANCES TO SUPPLIERS, NET - THIRD PARTIES | 12 Months Ended |
Dec. 31, 2019 | |
ADVANCES TO SUPPLIERS, NET - THIRD PARTY | |
ADVANCES TO SUPPLIERS, NET - THIRD PARTY | 8. ADVANCES TO SUPPLIERS, NET – THIRD PARTIES As of December 31, 2018 2019 RMB RMB Advances to suppliers - current 672,745,598 2,529,898,199 Provision for advances to suppliers (7,524,746) (7,524,746) Advances to suppliers, net 665,220,852 2,522,373,453 As of December 31, 2018 and 2019, advances to suppliers with term of less than 1 year mainly represent payments for procurement of recoverable silicon materials, virgin polysilicon and solar cells and the Group has delivery plan with the respective suppliers to receive the materials in the next twelve months. There was no provisions recorded against advances to suppliers for the years ended December 31, 2017, 2018 and 2019. Increase of the advances to suppliers was mainly attributable to the Group’s prepayments made by the end of 2019 for its procurement of silicon and solar cells. |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2019 | |
INVENTORIES | |
INVENTORIES | 9. INVENTORIES Inventories consisted of the following: As of December 31, 2018 2019 RMB RMB Raw materials 1,337,270,185 1,350,518,751 Work-in-progress 1,553,346,553 792,495,823 Finished goods 2,852,711,200 3,675,774,411 Total 5,743,327,938 5,818,788,985 Write-down of the carrying amount of inventory to its estimated net realizable value was RMB313,711,534, RMB220,171,794 and RMB135,874,384 for the years ended December 31, 2017, 2018 and 2019, respectively, and were recorded as cost of revenues in the consolidated statements of operations. Inventory write downs were mainly related to the inventories whose market value is lower than its carrying amount due to lower photoelectric conversion efficiencies. As of and December 31, 2018 and December 31, 2019, inventories with net book value of RMB171,665,538 and RMB258,692,099 were pledged as collateral for the Group’s borrowings (note 19). |
PREPAYMENTS AND OTHER CURRENT A
PREPAYMENTS AND OTHER CURRENT ASSETS | 12 Months Ended |
Dec. 31, 2019 | |
PREPAYMENTS AND OTHER CURRENT ASSETS | |
PREPAYMENTS AND OTHER CURRENT ASSETS | 10. PREPAYMENTS AND OTHER CURRENT ASSETS Prepayments and other current assets consisted of the following: As of December 31, 2018 2019 RMB RMB Value-added tax deductible (a) 899,664,288 701,407,085 Deposit for customer duty, bidding and others 132,370,773 257,678,467 Prepayment of electricity and others 67,028,909 181,596,189 Loan receivable (b) — 91,416,575 Prepayment for income tax 46,293,505 72,143,019 Receivable related to disposal of subsidiaries (note 1) 169,931,601 41,793,099 Receivable of option exercised — 40,338,943 Prepaid insurance premium 34,237,367 28,351,182 Receivables related to discount from a supplier 26,497,935 21,492,474 Receivables related to disposal of land use rights (c) 25,326,877 14,571,587 Employee advances (d) 4,721,001 10,134,076 Rental deposit and prepayment 7,854,676 7,953,767 Prepaid professional service fee 413,727 421,502 Refund receivable of U.S. countervailing duties (note 16) 209,450,023 — Prepaid commission 8,705,847 — Others 80,392,274 104,183,975 Total 1,712,888,803 1,573,481,940 (a) Value-added tax deductible represented the balance that the Group can utilize to deduct its value-added tax liability within the next 12 months . (b) In the year of 2019, Jiangxi Jinko provided one-year intercompany loan of RMB20,000,000 and RMB68,331,364 to Poyang Luohong with interest rate of 4.35% and 4.35%, respectively. Due to the disposal of Poyang Luohong in 2019 (note 1), loan receivable including interests with the amount of RMB91,416,575 was recognized as at December 31, 2019. (c) Receivables related to disposal of land use rights represent considerations for the Group’s disposition of land use rights due from the local government of China. Such considerations are expected to be settled within 2020. (d) As of December 31, 2018 and 2019, all of the employee advances were business related, interest-free, not collateralized and will be repaid or settled within one year from the respective balance sheet dates. |
INVESTMENTS IN AFFILIATES AND O
INVESTMENTS IN AFFILIATES AND OTHER EQUITY SECURITIES | 12 Months Ended |
Dec. 31, 2019 | |
INVESTMENTS IN AFFILIATES AND OTHER EQUITY SECURITIES | |
INVESTMENTS IN AFFILIATES AND OTHER EQUITY SECURITIES | 11. INVESTMENTS IN AFFILIATES AND OTHER EQUITY SECURITIES Investments accounted for under the equity method. On February 26, 2017, JinkoSolar signed a shareholder agreement with AxiaPower Holdings B.V. (“Axia”), a subsidiary of Marubeni Corporation, to jointly invest in and establish a company named SweihanSolar Holding Company Limited (“SSHC”) to hold 40 % equity interest of Sweihan PV Power Company P.J.S.C (“the Project Company”), which develops and operates solar power projects in Dubai. In April 2019, JinkoSolar made pro rata additional capital injection to SSHC with the amount of RMB295 million. JinkoSolar holds 50% equity interest in the SSHC and accounts for its investment using the equity method. JinkoSolar’s share of SSHC’s results of operations is included in equity (loss)/income in affiliated companies in the Group’s consolidated statements of operations, with a loss of RMB1,869,496, income of RMB3,501,228 and a loss of RMB47,852,250 for the years ended December 31,2017, 2018 and 2019, respectively. JinkoSolar sold modules of 488.8 MW, 609.4 MW and 64.4 MW and recognized revenue of RMB1,219.8 million,RMB1,416.0 million and RMB144.3 million on sales to the Project Company (note 26) during the years ended December 31, 2017, 2018 and 2019, respectively. Unrealized profit amounted to RMB1,559,058,RMB2,593,322 and RMB5,943,014 in connection with the intercompany transactions with the Project Company was eliminated during the years ended December 31, 2017, 2018 and 2019, respectively. The carrying value of this investment was RMB3,501,228 and RMB250,698,341 at December 31, 2018 and 2019. On March 30, 2017, JinkoSolar signed a shareholder agreement with Yangzhou Tiansheng PV-Tech Co., Ltd., a Chinese PV enterprise, to jointly invest in and establish a company named Jiangsu Jinko-Tiansheng Co., Ltd. (“Jinko-Tiansheng”) to process and assemble PV modules as OEM manufacturer in Jiangsu province, China. JinkoSolar holds 30% equity interest in Jinko-Tiansheng and accounts for its investment using the equity method. JinkoSolar’s share of Jinko-Tiansheng’s results of operations is included in equity (loss)/income in affiliated companies in the Group’s consolidated statements of operations, with a loss of RMB186,173,RMB891,377 and RMB 1,002,465 for the years ended December 31, 2017, 2018 and 2019, respectively. Jinko Tiansheng charged processing fee amounted to RMB8,375,075,RMB19,741,927 and RMB39,565,882 to the Company for its OEM services provided (note 26) during the years ended December 31, 2017, 2018 and 2019, respectively. Unrealized profit amounted to RMB309,036, and RMB696,551 and unrealized loss amounted to RMB1,801,626 due to the intercompany transactions with Jinko Tiansheng was eliminated for the years ended December 31, 2017, 2018 and 2019, respectively. The carrying value of this investment was RMB14,927,037 and RMB12,122,946 at December 31, 2018 and 2019, respectively. Equity securities without readily determinable fair values In May 2012, the Group acquired a 9% stake in Heihe Hydropower Development Co., Ltd, a company in Gansu province, China, for a consideration of RMB7,200,000. Such equity securities without readily determinable fair values are measured and recorded using a measurement alternative that measures the securities at cost as adjusted for observable price changes and impairments with the amount of RMB7,200,000 as of December 31, 2018 and 2019. |
PROPERTY, PLANT AND EQUIPMENT,
PROPERTY, PLANT AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2019 | |
PROPERTY, PLANT AND EQUIPMENT, NET | |
PROPERTY, PLANT AND EQUIPMENT, NET | 12. PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment used in continuing operation and related accumulated depreciation are as follows: As of December 31, 2018 2019 RMB RMB Buildings 2,263,778,746 3,567,558,224 Machinery and equipment 7,402,215,351 8,785,627,088 Motor vehicles 41,488,896 45,116,481 Furniture, fixture and office equipment 409,261,873 501,050,699 10,116,744,866 12,899,352,492 Less: Accumulated depreciation (3,087,018,295) (3,497,199,736) Subtotal 7,029,726,571 9,402,152,756 Construction in progress 1,246,173,113 806,051,793 Property, plant and equipment, net 8,275,899,684 10,208,204,549 Depreciation expenses were RMB600,541,219,RMB802,022,200 and RMB737,584,653 for the years ended December 31, 2017, 2018 and 2019, respectively. During the years ended December 31, 2017, 2018 and 2019, the Group disposed certain equipment with the net book value amounting of RMB1,072,424,435,RMB198,818,135 and RMB269,221,102 and recognized related disposal gain/(loss) amounted to RMB82,411,232 and RMB(48,168,035) and RMB(67,953,732), respectively. Construction in progress primarily represents the construction of new production line. Costs incurred in the construction are capitalized and transferred to property and equipment upon completion, at which time depreciation commences. Significant increase of property, plant and equipment during the year ended December 31, 2019 was attributable to the expansion of manufacturing capacity and automation upgrade of the Group. In the years ended December 31, 2017, 2018 and 2019, the Group recorded impairments of nil, 14,548,043 and 68,262,038 related to the retirement of certain equipment in production lines that had become obsolete. As of December 31, 2018 and 2019, certain property, plant and equipment with net book value amounting of RMB2,306,559,529 and RMB2,158,435,628 are pledged as collateral for the Group’s borrowings (note 19). |
PROJECT ASSETS, NET
PROJECT ASSETS, NET | 12 Months Ended |
Dec. 31, 2019 | |
PROJECT ASSETS, NET | |
PROJECT ASSETS, NET | 13. PROJECT ASSETS, NET As of December 31, 2018 2019 RMB RMB Completed 879,954,662 747,152,262 Under construction 890,666,423 77,241,880 1,770,621,085 824,394,142 Less: Accumulated depreciation — (26,151,013) Project Assets, net 1,770,621,085 798,243,129 Project assets represent the solar projects owned by the Company. In the year ended December 31, 2016, the Company obtained two small solar projects in Italy as the settlement of the accounts receivables. The subsidiaries holding two solar projects in Italy were disposed to third party buyers in the year of 2018 with the consideration of EUR2,636,291. Loss from disposal of subsidiary with the amount of RMB9,425,366 was recognized associated with the disposition. During the year of 2018, the Group also disposed Hirasawa Power in Japan with the consideration of JPY996,420,932 (RMB58,854,599). As these solar projects in Japan were constructed for sale upon completion instead of self-operating by the Group, the Group recorded such disposition under the standard of ASC 606, and recognized revenue and cost of sales with the amount of RMB93,451,309 and RMB69,133,413, respectively, During the year of 2019, the Group disposed its Poyang Luohong subsidiary to a third party buyer with the consideration of RMB99.8 million. A gain from disposal of subsidiary of RMB19.9 million (US$ 2.9 million) was recognized because of the disposition. The disposal gain was mainly resulted from recognition of the un-realized profit generated from the module sales transactions between the Group and Poyang Luohong before the disposal with the amount of RMB19.9 million. In November 2019, the Group entered into an agreement to sell two solar power plants in Mexico to a Mexican renewable energy company. The transaction hasn’t been consummated and assets and liabilities related to these two solar power plants were reclassified as assets/liabilities held for sale as of December 31, 2019. Disposition of the two solar power plants was closed subsequently in March 2020 and the Group recognized revenue for sales of these solar projects with gross profits at a point in time when the buyer obtains control of these solar projects. During the year of 2019 and 2018, electricity revenue generated from certain overseas project assets constructed for sale upon completion, with the amount of RMB62,459,588 and RMB16,524,568,was considered as incidental revenue and accounted for as a reduction of the capitalized project costs for development. Project assets with the carrying amount of RMB1,710,954,613 as at December 31, 2018 and project assets recorded in held-for-sale assets with the carrying amount of RMB1,007,302,819 as at December 31, 2019 were constructed for external sales which are not depreciated. |
LAND USE RIGHTS, NET
LAND USE RIGHTS, NET | 12 Months Ended |
Dec. 31, 2019 | |
LAND USE RIGHTS, NET | |
LAND USE RIGHTS, NET | 14. LAND USE RIGHTS, NET Land use rights represent fees paid to the government to obtain the rights to use certain lands over periods of 50 As of December 31, 2018 2019 RMB RMB Land use rights 639,222,396 674,173,731 Less: accumulated amortization (64,277,210) (76,251,281) Land use rights, net 574,945,186 597,922,450 Amortization expense was RMB8,935,579,RMB11,042,735 and RMB11,974,071 for the years ended December 31, 2017, 2018 and 2019, respectively. As of December 31, 2019, estimated amortization expense in each of the next five years is RMB12,688,472. The Company disposed certain of its land use rights and recognized the gain of nil,RMB315,735 and nil for the year ended 2017, 2018 and 2019, respectively. As of December 31, 2018 and 2019, certain land use rights with net book value of RMB131,554,095 and RMB171,927,583 were pledged as collateral for the Company’s borrowings (note 19). |
INTANGIBLE ASSETS, NET
INTANGIBLE ASSETS, NET | 12 Months Ended |
Dec. 31, 2019 | |
INTANGIBLE ASSETS, NET | |
INTANGIBLE ASSETS, NET | 15. INTANGIBLE ASSETS, NET Intangible assets and their related amortization are as follow: As of December 31, 2018 2019 RMB RMB Trademark 4,653,340 4,653,340 Computer software 46,119,755 53,975,740 Less: accumulated amortization (15,411,685) (22,234,024) Intangible assets, net 35,361,410 36,395,056 Amortization expense was RMB3,481,991,RMB4,212,569 and RMB6,822,339 for the years ended December 31, 2017, 2018 and 2019, respectively. |
OTHER ASSETS - THIRD PARTIES
OTHER ASSETS - THIRD PARTIES | 12 Months Ended |
Dec. 31, 2019 | |
OTHER ASSETS - THIRD PARTIES | |
OTHER ASSETS - THIRD PARTIES | 16. OTHER ASSETS – THIRD PARTIES Other assets consisted of the following: As of December 31, 2018 2019 RMB RMB Prepayments for purchase of property, plant and equipment 467,848,176 560,182,033 Refund receivable of U.S. countervailing duties and anti-dumping duties — 427,796,666 Deferred losses related to sale-leaseback transactions before January 1, 2019 (note 20) 217,127,346 183,566,444 Deposit for rent and others 67,283,761 170,335,718 Prepayment for warranty insurance premium 121,339,137 111,611,828 Value-added tax recoverable for solar power plants 30,217,620 — Prepayment of income tax attributable to intercompany transactions 8,394,367 13,199,456 Total 912,210,407 1,466,692,145 During the year of 2018, the U.S. Department of Commerce (“DOC”) issued the amended final results of its fourth administrative review on the counter-veiling duties (“CVD”) imposed on the crystalline silicon photovoltaic, or CSPV, cells, whether or not incorporated into modules, from China. As a result, the Group's CVD rate was updated to be 10.64% from 20.94%, covering the period from January 1, 2015 to December 31, 2015, and all future exports to the US starting from July 2018 (“CVD AR4”). Pursuant to the final results of fourth administrative review, the Group recorded a reversal of costs of sales and recognized refundable deposits due from the U.S. Customs with the amount of USD30.5 million (RMB209.5 million), representing the difference between the amended rate and the previous rate during the period from January 1, 2015 to December 31, 2015. During the year of 2019, due to the delay of liquidation of the refundable deposits, based on its latest communication from the DOC and best estimation, the Group reclassified the above CVD AR4 receivables from “Prepayments and other current assets” to “Other assets-third parties” which was measured at amortised cost basis. The discount on the balance of the receivable on the re-classification date, with the amount of US$ 2.81 million (RMB19.3 million) was recorded as costs of sales. During the year of 2019, the DOC issued its final results of the fifth administrative review, the Group's CVD rate was finalised to be 12.70% from 20.94%, covering the period from January 1, 2016 to December 31, 2016, and all future exports to the US starting from August 2019 (“CVD AR5”). Pursuant to the final results of fifth administrative review, the Group recorded a reversal of costs of sales and recognized refundable deposits due from the U.S. Customs with the amount of US$32.5 million (RMB230.1 million) on a amortised cost basis based on its best estimation of related liquidation. |
OTHER PAYABLES AND ACCRUALS
OTHER PAYABLES AND ACCRUALS | 12 Months Ended |
Dec. 31, 2019 | |
OTHER PAYABLES AND ACCRUALS | |
OTHER PAYABLES AND ACCRUALS | 17. OTHER PAYABLES AND ACCRUALS Other payables and accruals consisted of the following: As of December 31, 2018 2019 RMB RMB Payables for purchase of property, plant and equipment 1,036,077,418 1,907,043,892 Freight payables 354,320,859 463,924,999 Countervailing and anti-dumping duty 176,534,482 326,735,668 Accrued warranty cost 83,035,845 99,471,928 Accrued utilities, rentals and interest 66,013,084 86,349,122 Contracted labor fee 62,191,471 55,971,430 Value-added tax and other tax payables 54,126,560 43,243,416 Commission payables 92,962,871 30,558,458 Accrued professional service fees 10,432,042 10,881,679 Insurance premium payables 1,024,587 740,908 Finance lease payables (note 2al) 287,441,586 — Accrued income tax associated with intercompany transactions 25,962,700 — Public offering issuance cost 2,328,174 — Government grants related to assets 2,018,720 — Others 26,554,161 31,008,256 Total 2,281,024,560 3,055,929,756 |
BONDS PAYABLE AND ACCRUED INTER
BONDS PAYABLE AND ACCRUED INTEREST | 12 Months Ended |
Dec. 31, 2019 | |
BONDS PAYABLE AND ACCRUED INTEREST | |
BONDS PAYABLE AND ACCRUED INTEREST | 18. BONDS PAYABLE AND ACCRUED INTEREST On July 17, 2017, Jiangxi Jinko issued a three year medium term notes (“MTN”) with an aggregate principal of RMB300,000,000 which bears a fixed annual interest rate of 7.37% and will mature on July 17, 2020. MTN are issued at face value, unsecured from the issuance date. At the end of the second year in the life of the MTN, the Group has the option to adjust the interest rate, and the MTN holders will have the right to require Jiangxi Jinko to repurchase all or part of their MTNs, at such time. As at December 31, 2018, based on Jiangxi Jinko’s communication with the investors, all investors of the MTN agreed to hold the bond till its maturity. The bond is recorded on amortized cost basis with the interest rate of 7.37%. Interest expense related to MTN was RMB10,318,000 and RMB11,792,000 for the year ended December 31, 2018 and 2019.According to ASU 2015-03, the MTN issuance costs amounted to RMB2,100,000 was recorded as direct deduction from the carrying amount of the MTN liability, and amortized over a two-year period, from the issuance date to the date the put option of the MTN holders is first exercisable. The Company early repurchased the MTN with the face value of RMB300,000,000 and settled all the interests in the year ended December 31, 2019. No income/loss related to the repurchase of the MTN incurred during the year ended December 31, 2019. |
BORROWINGS
BORROWINGS | 12 Months Ended |
Dec. 31, 2019 | |
BORROWINGS | |
BORROWINGS | 19. BORROWINGS (a) Short-term borrowings As of December 31, 2018 2019 RMB RMB Short-term borrowings 6,916,827,666 8,517,391,989 Long-term borrowings—current portion 186,571,525 529,857,922 Total short-term borrowings 7,103,399,191 9,047,249,911 The short-term borrowings outstanding as of December 31, 2018 and December 31, 2019 carried a weighted average interest rate of 4.43% and 4.05% per annum, respectively. Included in the balance of short-term bank borrowings as of December 31, 2019 were borrowings of RMB52,200,412, RMB2,417,420,149 and RMB440,948,005 which are denominated and repayable in EUR, USD and JPY, respectively. The Group entered into an agreement to sell two solar power plants in Mexico to a Mexican renewable energy company in November 2019. Short-term borrowings of RMB35,591,498 related to these two solar power plants were reclassified as liabilities held for sale as of December 31, 2019. Details of the Group’s short-term borrowings as of December 31, 2019 are: Type of loan As of December 31, 2019 Guarantee/Collateral Credit loan 351,688,734 a) Letter of credit loan 1,432,899,992 a) 1,657,515,587 Guaranteed by JinkoSolar Holding b) 90,136,520 Guaranteed by JinkoSolar Holding and Zhejiang Jinko b) 80,000,000 Guaranteed by JinkoSolar Holding and Jiangxi Jinko b) 886,235,381 Guaranteed by Jiangxi Jinko b) 779,858,130 Guaranteed by Zhejiang Jinko b) 50,000,000 Collateralized on Jiangxi Jinko's share c) Guaranteed by subsidiaries of the 749,835,112 Collateralized on Jiangxi Jinko's Account receivables d) Group and/or collateralized on the 60,000,000 Collateralized on Zhejiang Jinko's Account receivables d) Group’s assets 100,000,000 Collateralized on bank deposits of Zhejiang Jinko e) 90,969,648 Collateralized on bank deposits of Jiangxi Import & Export Company e) 62,000,000 Collateralized on bank deposits of Jiangxi Jinko e) 10,000,000 Collateralized on bank deposits of Jiangxi Photovoltaic Material e) 4,784,865 Collateralized on bank deposits of Jinko USA e) 7,046,074 Collateralized on the Group's inventory f) 428,138,525 Financings associated with failed sale-leaseback transactions g) 2,206,141,343 Guaranteed and collateralized on buildings, equipment and other assets of the Group h) Total 9,047,249,911 a) As of December 31, 2019, the Group had short-term bank borrowings of RMB 351,688,734 credit loans, RMB 1,432,899,992 letter of credit loan. The remaining short-term bank borrowings of RMB 7,262,661,185 were either guaranteed by other parties and/or collateralized on the Group’s assets, detailed as following: b) Borrowings of RMB 1,657,515,587 guaranteed by JinkoSolar Holding, RMB 90,136,520 guaranteed by JinkoSolar Holding and Zhejiang Jinko, RMB 80,000,000 guaranteed by JinkoSolar Holding and Jiangxi Jinko, RMB 886,235,381 guaranteed by Jiangxi Jinko, RMB 779,858,130 guaranteed by Zhejiang Jinko, respectively. c) Borrowings of RMB 50,000,000 collateralized on the Jiangxi Jinko’s share pledge. d) Borrowings of RMB 749,835,112 collateralized on the account receivables of Jiangxi Jinko, and borrowing of RMB 60,000,000 collateralized on the account receivables of Zhejiang Jinko. e) Borrowings of RMB 100,000,000 collateralized on the bank deposit of Zhejiang Jinko, RMB 90,969,648 collateralized on the bank deposit by JinkoSolar Import & Export Company, RMB 62,000,000 collateralized on the bank deposit of Jiangxi Jinko, RMB 10,000,000 collateralized on the bank deposit of Jiangxi Jinko Photovoltaic Material, RMB 4,784,865 collateralized on the bank deposit of Jinko USA. f) Borrowing of RMB 7,046,074 collateralized on the Group’s certain inventories. g) As of December 31, 2019, the Company recorded financings associated with failed sale-leaseback transactions with the amount of RMB 140,055,814 under short-term borrowings, RMB 725,604,249 under long-term borrowings, including RMB 288,082,711 as current portion (Note 19(b)). h) Borrowings of RMB 2,206,141,343 collateralized on the Group’s certain building and equipment, including RMB 456,180,000 which were also collateralized on the Group’s certain land use rights, and RMB 146,180,000 were also collateralized on the Group’s certain inventory. In addition, included in these borrowings there were borrowings of RMB 290,000,000 guaranteed by JinkoSolar Holding and Zhejiang Jinko, RMB 309,000,000 guaranteed by Jiangxi Jinko, RMB 75,000,000 guaranteed by Jiangxi Jinko and Zhejiang Trading, RMB 1,143,817,971 guaranteed by Zhejiang Jinko and Jiangxi Heji, RMB 50,000,000 guaranteed by shareholders (Xiande Li). The net book value of the total collaterialized accounts receivables, land use right, building, equipment and inventory was RMB1,200,492,957, RMB171,927,583, RMB524,617,724, RMB1,633,817,904, RMB258,692,099, respectively, as of December 31, 2019. (b) Long-term borrowings As of December 31, 2018 2019 RMB RMB Long-term bank borrowings 2,141,402,299 1,390,440,838 Long-term financings associated with failed sale-leaseback transactions — 725,604,249 Less: Current portion of long-term bank borrowings (186,571,525) (241,775,211) Less: Current portion of financings associated with failed sale-leaseback transactions — (288,082,711) Total long-term borrowings 1,954,830,774 1,586,187,165 Future principal repayments on the long-term borrowings are as follows: Year ended December 31, RMB 2020 529,857,922 2021 623,041,126 2022 121,985,440 2023 97,463,105 2024 100,908,790 Thereafter 642,788,704 Total 2,116,045,087 1) Long-term bank borrowings In 2015 and 2016, the Company entered into loan agreements with the Export-Import Bank of China for an aggregate amount of RMB609,283,000, which were repayable from April 2017 to June 2020. As of December 31 2019, balance of these borrowings amounted to RMB69,881,000, which is due in June 2020. The effective interest rate of the borrowings was 3.82% in 2019. The Borrowings were guaranteed by Zhejiang Jinko and JinkoSolar Holding. In 2016, the Company entered into a 10-year loan agreement with China Merchants Bank for a principle amount of RMB87,880,000 with the interest rate of 5.39%, which was repayable from February 2016 to January 2026. As of December 31 2019, the total outstanding balances amounted to RMB59,631,212, including RMB8,378,198 due on December 31, 2020. The borrowing was collateralized on the Group’s certain buildings with the net book value of RMB168,753,985. In 2017, the Company entered into a 3-year loan agreement with Jiangxi Guochuang Investment Co., Ltd. (“Guochuang”) with the principle amount of RMB50,000,000 which was interest free. Guochuang is a government background entity who provided the interest-free loan to the Company to support its daily operations. The borrowing was collateralized on Jiangxi Jinko’s share pledge. In 2017, the Company entered into a 3-year loan agreement with Credit Suisse AG, Singapore Branch with the principle amount of USD 6,000,000 (RMB41,857,200) . The interest rate is the aggregate of 5.62% and LIBOR. The borrowing was guaranteed by JinkoSolar Holding. In 2018, the Company entered into a 3-year loan agreement with Credit Suisse AG, Singapore Branch with the principle amount of USD 40,000,000 (RMB279,048,000). The interest rate is the aggregate of 5.62% and LIBOR. The borrowing was guaranteed by JinkoSolar Holding. In 2018, the Company entered into a 7-year loan agreement with a group of lenders including MUFG Bank Mexico, S.A. and BBVA Bancomer. As of December 31, 2019, The Company has drawn down RMB780,163,451 (USD103,248,381 and MXN162,564,059) which is due and payable in March 2025. The interest rate is the aggregate of 2% and LIBOR. The borrowing was pledged by all the shares and assets with carrying amount of RMB1,043,516,591 as of December 31, 2019 of certain project companies of the Group. As of December 31, 2019, the borrowing was reclassified as held-for-sale liabilities. In 2018, the Company entered into a 14-year loan agreement with Inter-American Development Bank and Nederlandse Financierings-Maatschappij Voor Ontwikkelingslandeen N.V. for an aggregate amount of USD105,185,805(RMB733,797,213). As of December 31, 2019, the Company has drawn down RMB511,273,426 (USD73,288,241), including RMB25,158,813 due on December 31, 2020. The interest rate is the aggregate of 5%~9% and LIBOR.The borrowing was pledged by all of the Group’s rights under the loan agreement and all current and future funds deposited in the designated bank account as well as all of the assets and shares with carrying amount of RMB926,590,039 as of December 31, 2019 of certain project companies of the Group. In 2018, the Company entered into a 7-year loan agreement with MUFG Bank Mexico, S.A and MUFG Bank Ltd. for an aggregate amount of USD 19,596,403(RMB136,708,427). As of December 31, 2019, the Company has drawn down RMB135,019,993 (USD18,967,411 and MXN7,328,535) which is due and payable in October 2025. The interest rate is the aggregate of 2% and LIBOR. The borrowing was pledged by all the shares and assets with carrying amount of RMB240,524,789 as of December 31, 2019 of certain project companies of the Group, As of December 31, 2019, the borrowing was reclassified as liabilities held for sale. In 2019, the Company entered into a 8-year loan agreement with China Everbright Bank for a principle amount of RMB372,000,000 with the interest rate of 6.37%, which was repayable from September 2019 to July 2027. As of December 31, 2019, the total outstanding balances amounted to RMB348,750,000, including RMB46,500,000 due on December 31, 2020. The borrowing was collateralized on the Group’s certain buildings with the net book value of RMB706,173,643. In 2019, the Company entered into a 2-year loan agreement with China CITIC Bank for a principle amount of RMB30,000,000 with the interest rate of 8.50%, which was due and payable in August 2021. 2) Financings associated with failed sale-leaseback transactions During the year of 2019, the Group sold certain machinery and equipment with total carrying amount of RMB1,055.2 million to certain third parties (the “purchaser-lessors”) for a total consideration of RMB927.0 million and simultaneously entered into contracts to lease back these assets from the purchaser-lessors for periods from one to six years . Pursuant to the terms of the contracts, the Group is required to pay to the purchaser-lessors quarterly lease payment over the contract periods and is entitled to obtain the ownership of these equipment at a nominal price upon the expiration of the leases. Through the leaseback, the Group substantially retains all of the benefits and risks incident to the ownership of the equipment sold and the fair value of these equipment upon expiration of leasing period is most likely to be much higher than the repurchase price. Therefore, these lease transactions do not qualify as sale-leaseback transaction. Accordingly, the Company identified the transactions as financing arrangements and recorded as borrowings. As of December 31, 2019, the Company recorded RMB140,055,814 under short-term borrowings and RMB725,604,249 under long-term borrowings, including RMB288,082,711 as current portion. |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2019 | |
LEASES | |
LEASES | 20. LEASES The Group’s operating lease primarily represent offices and overseas manufacturing facilities and warehouses. Most of the operating leases are for terms ranging from 3 to 20 years, although terms and conditions can vary from lease to lease. The Group has assessed the specific terms and conditions of each operating lease to determine the amount of the lease payments and the length of the lease term, which includes the minimum period over which lease payments are required plus any renewal options that are both within the Group's control to exercise and reasonably certain of being exercised upon lease commencement. The Company assesses all relevant factors to determine if sufficient incentives exist as of lease commencement to conclude whether or not renewal is reasonably certain. There are no material residual value guarantees provided by the Company nor any restrictions or covenants imposed by the operating leases to which the Company is a party. In determining the lease liability, the Group utilizes its incremental borrowing rate for debt instruments with terms approximating the term for its operating leases to discount the future lease payments over the lease term to present value. The Company does not incur variable lease payments for its operating leases. The Group’s finance leases primarily represent machinery and equipment utilized in the Group's production facilities. All of the Group’s finance leases meet one or more of the criteria as: a) the lease transfers ownership of the underlying asset to the Group by the end of the lease term; b) the lease grants the Group an option to purchase the underlying asset that the lessee is reasonably certain to exercise; c) the lease term is for the major part of the remaining economic life of the underlying asset; d) the present value of the sum of the lease payments and any residual value guaranteed by the Group that is not already reflected in the lease payments equals or exceeds substantially all of the fair value of the underlying asset; e) the underlying asset is of such a specialized nature that it is expected to have no alternative use to the lessor at the end of the lease term. ROU of capital lease is recorded at the aggregate of future minimum lease payments and estimated residual value of the leased equipment. In determining the lease liability, the Group utilizes its incremental borrowing rate for debt instruments with terms approximating the term for its capital leases to discount the future lease payments over the lease term to present value. (a) The components of lease expenses were as follows: Year ended December 31, 2019 RMB Lease cost: Amortization of right-of-use assets 145,539,290 Interest of lease liabilities 45,811,621 Expenses for short-term lease within 12 months 5,064,442 Total lease cost 196,415,353 (b) Supplemental cash flow information related to leases was as follows: Year ended December 31, 2019 RMB Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows for operating leases 50,758,114 Operating cash outflows for finance leases 23,340,016 Financing cash outflows for finance leases 284,089,511 Total cash paid for amounts included in the measurement of lease liabilities: 358,187,641 Lease obligation assumed in exchange for right-of-use assets: Operating lease liabilities 269,671,708 Finance lease liabilities 937,056,577 Total lease obligation assumed in exchange for right-of-use assets: 1,206,728,285 (c) Supplemental balance sheet information related to leases was as follows: Year ended December 31, 2019 Weighted-average remaining lease term 3.57 years Weighted-average discount rate 5.64 % (d) Maturities of lease liabilities were as follows: Year ending December 31, RMB Year ended December 31, 2020 315,373,609 2021 349,235,068 2022 221,652,540 Thereafter 387,198,829 Total undiscounted lease payments 1,273,460,046 Less: imputed interest (142,779,127) Total lease liabilities 1,130,680,919 (e) Future minimum lease payments for the Company’s leases were as follows: Year ending December 31, RMB Year ended December 31, 2020 319,098,599 2021 349,235,068 2022 221,652,540 Thereafter 387,198,829 Total minimum lease payments 1,277,185,036 The Company had no lease that has not yet commenced as at December 31, 2019. - Finance lease obligations and others prior to the adoption of ASC Topic 842 on January 1, 2019 The Company elected the practical expedients not to reassess arrangements entered into prior to January 1, 2019 for whether an arrangement is or contains a lease, the lease classification applied or to separate initial direct costs. Therefore, the Company remained the lease classification and accounting of its capital lease and sale-leaseback arrangements entered into prior than January 1, 2019. The Company’s capital lease and sale-leaseback arrangements entered into prior than January 1, 2019 were as follows: During the year ended December 31, 2015 and 2016, the Company sold certain module equipment (“leased assets”) to Zhejiang Leasing (the “purchaser-lessor”) and simultaneously entered into one or three-year contracts to lease back the leased assets from the purchaser-lessor. Pursuant to the terms of the contracts, the Company is required to pay to the purchaser-lessor quarterly lease payment over three years and is entitled to obtain the ownership of these equipment at a nominal price upon the expiration of the lease. The accounting was eliminated as intercompany transaction in the consolidated financial statements of the Company in previous periods. Upon the disposition of Zhejiang leasing, the lease is classified as capital lease. In October 2017, the contract was early terminated upon both parties' approval. The Company recognized finance expenses amounted to RMB1.4 million upon the early termination of the contract. In May 2017, the Company sold certain machinery and equipment (“leased assets”) with carrying amount of RMB201.1 million to a third party (the “purchaser-lessor”) for consideration of RMB150.0 million and simultaneously entered into a three-year contract to lease back the leased assets from the purchaser-lessor. Pursuant to the terms of the contract, the Company is required to pay to the purchaser-lessor quarterly lease payment over three years and is entitled to obtain the ownership of these equipment at a nominal price upon the expiration of the lease. The lease is classified as capital lease. In connection with this sale-leaseback transaction, the Company recognized a loss of approximately RMB51.1 million, which is being deferred and amortized into expense over the remaining useful lives of the leased assets. Through the leaseback, the Company substantially retains all of the benefits and risks incident to the ownership of the property sold, therefore, the sale-leaseback transaction is a financing with the underlying assets as collateral. In July 2017, the Company sold certain machinery and equipment (“leased assets”) with carrying amount of RMB815.4 million to a third party (the “purchaser-lessor”) for consideration of RMB600.0 million and simultaneously entered into a four-year contract to lease back the leased assets from the purchaser-lessor. Pursuant to the terms of the contract, the Company is required to pay to the purchaser-lessor quarterly lease payment over four years and is entitled to obtain the ownership of these equipment at RMB0.6 million upon the expiration of the lease. The lease is classified as capital lease. In connection with this sale-leaseback transaction, the Company recognized a loss of approximately RMB215.4 million, which is being deferred and amortized into expense over the remaining useful lives of the leased assets. Through the leaseback, the Company substantially retains all of the benefits and risks incident to the ownership of the property sold, therefore, the sale-leaseback transaction is a financing with the underlying assets as collateral. In November 2017, the Company entered into a two-year finance leasing contract with a third-party lessor to lease certain machinery and equipment with carrying amount of RMB74.9 million. Pursuant to the terms of the contract, the Company is required to pay to the purchaser-lessor quarterly lease payment over two years and is entitled to obtain the ownership of these equipment at a nominal price upon the expiration of the lease. The lease is classified as capital lease. In January 2018, the Company sold certain machinery and equipment (“leased assets”) with carrying amount of RMB52.0 million to a third party (the “purchaser-lessor”) for consideration of RMB50.0 million and simultaneously entered into a three-year contract to lease back the leased assets from the purchaser-lessor. Pursuant to the terms of the contract, the Company is required to pay to the purchaser-lessor quarterly lease payment over three years and is entitled to obtain the ownership of these equipment at RMB1.0 yuan upon the expiration of the lease. The lease is classified as capital lease. In connection with this sale-leaseback transaction, the Company recognized a loss of approximately RMB2.0 million, which is being deferred and amortized into expense over the remaining useful lives of the leased assets. Through the leaseback, the Company substantially retains all of the benefits and risks incident to the ownership of the property sold, therefore, the sale-leaseback transaction is a financing with the underlying assets as collateral. In May 2018, the Company entered into a two-year finance leasing contract with a third-party lessor to lease certain machinery and equipment with carrying amount of RMB72.0 million. Pursuant to the terms of the contract, the Company is required to pay to the purchaser-lessor quarterly lease payment over two years and is entitled to obtain the ownership of these equipment at a nominal price upon the expiration of the lease. The lease is classified as capital lease. As of December 31, 2018 and 2019, the net value of these leased assets are: As of December 31, 2018 2019 RMB RMB Equipment 936,961,787 1,510,944,643 Less: accumulated depreciation (116,935,527) (251,231,428) Net Value 820,026,260 1,259,713,215 The Group amortized deferred losses related to sale-leaseback transactions amounted to RMB14,714,339, RMB36,638,880 and RMB33,560,902 during the years ended December 31, 2017, 2018 and 2019. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2019 | |
EARNINGS PER SHARE | |
EARNINGS PER SHARE | 21. EARNINGS PER SHARE Basic earnings per share and diluted earnings per share have been calculated as follows: For the years ended December 31, 2017 2018 2019 RMB RMB RMB Numerator: Net income 142,191,365 405,575,533 924,352,495 Less: Net (loss)/income attributable to non-controlling interests 485,676 (903,161) 25,690,269 Net income attributable to JinkoSolar’s ordinary shareholders 141,705,689 406,478,694 898,662,226 Dilutive effects of call option — — (91,066,662) Numerator for diluted income per share 141,705,689 406,478,694 807,595,564 Denominator: Denominator for basic earnings per share - weighted average number of ordinary shares outstanding 128,944,330 153,806,379 169,363,306 Dilutive effects of share options 2,742,900 897,786 1,909,930 Dilutive effects of call option — — (4,705,479) Denominator for diluted calculation - weighted average number of ordinary shares outstanding 131,687,230 154,704,166 166,567,757 Basic earnings per share attributable to JinkoSolar’s ordinary shareholders 1.10 2.64 5.31 Diluted earnings per share attributable to JinkoSolar’s ordinary shareholders 1.08 2.63 4.85 For the years ended December 31, 2018 and 2019, convertible senior notes convertible into 873 and 17,708,332 shares were not included in the computation of diluted EPS because of their anti-dilutive effect. Because of the dilutive impact, potential shares underlying the call option arrangement (note 23) were removed from weighted average number of ordinary shares outstanding since its issuance date, and changes in income of the assumed exercise of call option were also recorded as the adjustment to the consolidated net income to arrive at the diluted net income available to the Company’s ordinary shareholders. |
EMPLOYEE BENEFITS
EMPLOYEE BENEFITS | 12 Months Ended |
Dec. 31, 2019 | |
EMPLOYEE BENEFITS | |
EMPLOYEE BENEFITS | 22. EMPLOYEE BENEFITS According to the guidance promulgated by the central government, companies (and employees) are required to contribute, in specified portions, to the social insurance funds (including medical care insurance, work injury insurance, unemployment insurance, maternity insurance and pension benefits) as well as the housing funds (collectively, “employee welfare funds”) on a monthly basis for all of the employees based on such employees’ actual salaries or the applicable capped salary base, whichever is lower. An employee is entitled to request its employer to make the required portion of contributions in the statutory amounts to the employee welfare funds. In line with local customary practices, the Company has made contributions to the social insurance funds which met the requirement of the local minimum wage standard, instead of its employees’ actual salaries as required by the above described guidance, and has not made full contribution to the housing funds. Based on the Company’s observation of local practices and consultation with relevant government authorities, the Company believes its practice has been consistent with the common practice adopted by businesses in Shangrao and Haining, where the Company’s main subsidiaries operate. However, the Company believes it is probable that it will be required to make additional contributions to the employee welfare funds if (i) the government authorities were to strictly enforce the statutory contribution requirements, or (ii) the employees were to request the Company to make full contributions to their employee welfare funds (such request, if made, would most likely be supported by the labor arbitration center or the labor administrative bureau). Therefore, the Company recognizes the difference between the amount of its actual contributions and the statutory contribution requirements under the guidance promulgated by the central government as a liability for employee welfare benefits. The unpaid balance of accrued liability accrued for the welfare benefits were RMB560,243,695 and RMB595,295,007 as of December 31, 2018 and December 31, 2019, respectively. On October 28, 2010, the Standing Committee of the National People’s Congress issued and adopted the Social Insurance Law (the “Social Insurance Law”), which became effective on July 1, 2011. The Social Security Law imposes certain fines for the aggregated amount of any outstanding contributions if such contributions are not made within a prescribed time period. In light of this requirement, the Company had accrued a penalty on the basis of a daily rate of 0.05% of the outstanding contributions as provided under the Social Insurance Law prior to 2014. The unpaid balance of penalty accrued for employee welfare benefits were RMB12,063,712 and RMB25,807,949 as of December 31, 2012 and 2013, respectively. On September 26, 2013, the Ministry of Human Resources and Social Security of the People’s Republic of China announced “Regulations on the Declaration and Payment of Social Welfare” (“New Social Security Regulation”), which took effect on November 1, 2013. The New Social Security Regulation clarifies that the local social security authority should issue a notification to the employers who fail to make appropriate contribution of social security and a late-payment penalty charge will only be imposed to employers who fail to pay the outstanding contribution within five days upon the receipt of the notification. However, there were different interpretations of the New Social Security Regulation as to applicability of the penalty charge by different local authorities in difference cities and provinces in late 2013, therefore, the Company performed investigation and legal assessment as well as communicating with relevant local authorities. Legal assessment was completed in late 2014. In the opinion of the management, the probability that the Company would be required to pay late-payment penalty in connection with the unpaid contribution is remote, given that the Company has received certificates from local social security authorities which confirmed that the Company was in compliance with the local social insurance regulations as of December 31, 2014 and that local social security authorities have not issued any notification for payment of outstanding contribution to the Company. Accordingly, the Company did not accrue for late-payment penalty since then. |
CONVERTIBLE SENIOR NOTES AND CA
CONVERTIBLE SENIOR NOTES AND CALL OPTIONS | 12 Months Ended |
Dec. 31, 2019 | |
CONVERTIBLE SENIOR NOTES AND CALL OPTIONS | |
CONVERTIBLE SENIOR NOTES AND CALL OPTIONS | 23. CONVERTIBLE SENIOR NOTES AND CALL OPTIONS 2019 Convertible Notes The Company issued USD 150 million of convertible senior notes on January 22, 2014, which matured on February 1, 2019 (the “2019 Notes”). The interest rate was 4% per annum payable semi-annually, in arrears. No accrued interest to be paid on the 2019 Notes when they are converted. Holders had the option to convert their 2019 Notes from the earlier of (i) when the registration statement of the 2019 Notes became effective and (ii) the first anniversary of the date on which the 2019 Notes were first issued, through to and including the business day prior to the maturity date into ADSs representing the ordinary shares initially at a conversion rate of 21.8221 ADSs per US$1,000 principal amount of Notes (equivalent to an initial conversion price of approximately US$45.83 per ADS). The conversion rate was subject to change on anti-dilution and upon certain fundamental changes. Fundamental changes were defined as 1) any “person” or “group” beneficially owns (directly or indirectly) 50% or more of the total voting power of all outstanding classes of Company’s shares or has the power to elect a majority of the members of the board of directors; 2) Company consolidates with, or merge with or into, another person or the Company sells, assigns, conveys, transfers, leases or otherwise disposes of all or substantially all of its assets, or any person consolidates with, or merges with or into, the Company; 3) Termination of trading of Company’s ADSs; and 4) adoption of a plan relating to the Company’s liquidation or dissolution. The holders had the option to require the Company to repurchase the 2019 Notes, in whole or in part, in the event of a fundamental change for an amount equal to the 100% of the principal amount and any accrued and unpaid interest in the event of fundamental changes. Management assessed that the likelihood of fundamental change was remote. The holders had the right to require the Company to repurchase for cash all or any portion of their notes on February 1, 2017 at a repurchase price equal to 100% of the principal amount of the notes to be repurchased, plus accrued and unpaid interest to, but excluding, the repurchase date. While the 2019 Notes remained outstanding, the Company or its subsidiaries should not create or permit to subsist any security upon its property, assets or revenues (present or future) to secure any international investment securities or to secure any guarantee of or indemnity of any international investment securities unless the obligations under the Notes and the indenture (a) were secured equally and ratably therewith, or (b) had the benefit of such other security, guarantee, indemnity or other arrangement as shall be approved by holders of a majority in aggregate principal amount of the Notes then outstanding. As a result of the depressed market conditions, the Company repurchased the 2019 Notes with a face value of US$88.9 million or 59.3% of the Notes at approximately 96% of the face value during the year ended December 31, 2016. The Company repurchased 2019 Notes with a face value of US$61.1 million or 40.7% of the 2019 Notes at approximately 100% of the face value during the year ended December 31, 2017. The Company repurchased 2019 Notes with a face value of US$10,200 or 0.0% of the 2019 Notes at approximately 100% of the face value during the year ended December 31, 2019. 2024 Convertible Notes The Company issued US$ 85 million of Convertible Senior Notes on May 17, 2019, which will mature on June 1, 2024 (the “2024 Notes”). The interest rate is 4.5% per annum payable semi-annually, in arrears. Holders have the option to convert their 2024 Notes at any time prior to the close of business on the third business day immediately preceding the maturity date at a conversion rate of 52.0833 ADSs per US$1,000 principal amount of the Notes (equivalent to an initial conversion price of approximately US$19.20 per ADS). The conversion rate is subject to change on anti-dilution and upon certain fundamental changes. Fundamental changes are defined as 1) any “person” or “group” beneficially owns (directly or indirectly) 50% or more of the total voting power of all outstanding classes of Company’s shares or has the power to elect a majority of the members of the board of directors; 2) Company consolidates with, or merge with or into, another person or the Company sells, assigns, conveys, transfers, leases or otherwise disposes of all or substantially all of its assets, or any person consolidates with, or merges with or into, the Company; 3) Termination of trading of Company’s ADSs; and 4) adoption of a plan relating to the Company’s liquidation or dissolution. The holders have the option to require the Company to repurchase the 2024 Notes, in whole or in part, in the event of a fundamental change for an amount equal to the 100% of the principal amount and any accrued and unpaid interest in the event of fundamental changes. Management assessed that the likelihood of fundamental change is remote. The holders will have the right to require the Company to repurchase for cash all or any portion of their notes on June 1, 2021 at a repurchase price equal to 100% of the principal amount of the notes to be repurchased, plus accrued and unpaid interest to, but excluding, the repurchase date. While the 2024 Notes remain outstanding, the Company or its subsidiaries should not create or permit to subsist any security upon its property, assets or revenues (present or future) to secure any international investment securities or to secure any guarantee of or indemnity of any international investment securities unless the obligations under the Notes and the indenture (a) are secured equally and ratably therewith, or (b) have the benefit of such other security, guarantee, indemnity or other arrangement as shall be approved by holders of a majority in aggregate principal amount of the Notes then outstanding. Accounting for 2019 Convertible Notes The Company has RMB as its functional currency, and the 2019 Notes were denominated in USD. As a result, the conversion feature was dual indexed to the Company’s stock as well as the RMB and USD exchange rate, and was considered an embedded derivative which needed to be bifurcated from the host instrument in accordance with ASC 815. ASC 815-15-25 provides that if an entity has a hybrid financial instrument that would require bifurcation of embedded derivatives under ASC 815, the entity may irrevocably elect to initially and subsequently measure a hybrid financial instrument in its entirety at fair value with changes in fair value recognized in earnings. The fair value election can be made instrument by instrument and shall be supported by concurrent documentation or a preexisting documented policy for automatic election. The Company elected to measure the 2019 Notes in their entirety at fair value with changes in fair value recognized as non-operating income or loss at each balance sheet date in accordance with ASC 815-15-25. Further, as the functional currency of the Company is RMB, the fair value of the Notes was translated into RMB at each balance sheet date with the difference being reported as exchange gain or loss. In addition, all issuance costs associated with the 2019 Notes offering were expensed as incurred in accordance with ASC 825-10-25-3, which states that upfront costs and fees related to items for which the fair value option is elected shall be recognized in the consolidated statements of operations and comprehensive as incurred and not deferred. The Company completed its repurchasing of the 2019 Notes in the year of 2019. As of December 31, 2017, 2018 and 2019, the estimated fair value of the 2019 Notes amounted to approximately RMB65,342, RMB68,632 and nil, respectively. The Company recorded foreign exchange loss of RMB845,071, nil and nil for the years ended December 31, 2017, 2018 and 2019, respectively. No income/loss from change in fair value of the 2019 Notes incurred during the years ended December 31, 2017, 2018 and 2019 (note 29). Accounting for 2024 Convertible Notes The Company has RMB as its functional currency, and the 2024 Notes are denominated in USD. As a result, the conversion feature is dual indexed to the Company’s stock as well as the RMB and USD exchange rate, and is considered an embedded derivative which needs to be bifurcated from the host instrument in accordance with ASC 815. ASC 815-15-25 provides that if an entity has a hybrid financial instrument that would require bifurcation of embedded derivatives under ASC 815, the entity may irrevocably elect to initially and subsequently measure a hybrid financial instrument in its entirety at fair value with changes in fair value recognized in earnings. The fair value election can be made instrument by instrument and shall be supported by concurrent documentation or a preexisting documented policy for automatic election. The Company elected to measure the 2024 Notes in their entirety at fair value. According to ASC 825-10-45-5, the Company measures the financial liability at fair value with qualifying changes in fair value recognized in net income. The Company also presents separately in other comprehensive income the portion of the total change in the fair value of the liability that results from a change in the instrument-specific credit risk. Further, as the functional currency of the Company is RMB, the fair value of the 2024 Notes is translated into RMB at each balance sheet date with the difference being reported as exchange gain or loss, except for the exchange rate remeasurement of the component of the change in fair value of the liability resulting from the cumulative changes in instrument-specific credit risk which is presented in other comprehensive income. In addition, all issuance costs associated with the 2024 Notes offering has been expensed as incurred in accordance with ASC 825-10-25-3, which states that upfront costs and fees related to items for which the fair value option is elected shall be recognized in the consolidated statements of operations and comprehensive as incurred and not deferred. As of December 31, 2019, the estimated fair value of the 2024 Notes amounted to approximately RMB728,215,869. The Company recorded loss from foreign exchange remeasurement of RMB7,675,500 in net income and gain from foreign exchange remeasurement of RMB566,617 in other comprehensive income for the year ended December 31, 2019, respectively. The Company recorded loss from change in fair value of 2024 Notes of RMB114,149,092 and RMB21,089,777 in net income and other comprehensive income for the year ended December 2019, respectively (note 29). Call Option Concurrent with the issuance of the 2024 Notes, the Company used approximately US$30 million of the net proceeds from the offering to enter into zero-strike call option transactions (“Call option”), covering 1,875,000ADSs, with an affiliate of a placement agent for the 2024 Notes (“Dealer”). The Call option is intended to facilitate privately negotiated derivative transactions by which investors in the 2024 Notes are able to hedge their investment. The Call option expires on July 28, 2021 or when the Dealer requests early settlement. The Company has the right to elect the settlement method. If cash settlement applies, the Dealer will deliver the amount of cash to the Company calculated based on the price of ADSs based on a valuation period prior to such settlement. If physical settlement applies at expiration or upon any early settlement, the Company will receive the fixed number of ADSs determined at the commencement date of the transaction or the portion thereof being settled early. The economic substance of the Call option is the same as a traditional forward repurchase contract. Because the Call option permitted net cash settlement, it was classified as a derivative instrument measured initially and subsequently at fair value with changes in fair value recorded in earnings. The Company accounted for the Call option as a free-standing derivative asset on its consolidated balance sheet when the Call option was entered into in May 2019. The derivative asset was initially recorded at its fair value of US$30 million on the commencement date which represented the amount of cash transferred to the Dealer. The derivative asset was subsequently recorded at fair value with changes in fair value recorded in earnings. The Company recorded a gain from change in fair value of the call option with the amount of RMB84,891,634 and an exchange gain of the call option with the amount of RMB2,709,000 for the year ended December 31, 2019. |
ISSUANCE OF ORDINARY SHARES
ISSUANCE OF ORDINARY SHARES | 12 Months Ended |
Dec. 31, 2019 | |
ISSUANCE OF ORDINARY SHARES | |
ISSUANCE OF ORDINARY SHARES | 24. ISSUANCE OF ORDINARY SHARES The Company’s authorized share capital is US$10,000 comprising 500,000,000 ordinary shares with a par value of US$0.00002 each. On January 22, 2014, the Company closed an offering of 15,000,000 ordinary shares (3,750,000 ADSs) and received aggregated net proceeds of approximately $126.3million, after deducting discounts and commissions but before offering expenses. In February 2018, the Company closed an offering of 16,560,000 ordinary shares (4,140,000 ADSs), par value US$0.00002 per share, at US$18.15 per ADS (equivalent to US$ 4.54 per share). The net proceeds of the follow-on offering to the Company, after deducting underwriting commissions and fees and estimated offering expenses with the amount of US$4.3 million, was approximately US$71.1 million. In February 2018, the Company also completed the private placement with Tanka International Limited, an exempted company incorporated in the Cayman Islands held by Mr. Xiande Li, chairman of the Company, and Mr. Kangping Chen, chief executive officer of the Company, for the issuance of 7,713,499 ordinary shares for US$35 million at US$ 4.54 per share. In May 2019, the Company closed an offering of 18,687,500 ordinary shares (4,671,875 ADSs), par value US$0.00002 per share, at US$16.00 per ADS (equivalent to US$4.00 per share). The net proceeds of the follow-on offering to the Company, after deducting underwriting commissions and fees and estimated offering expenses with the amount of US$3.9 million, was approximately US$70.9 million (RMB488.95 million). As of December 31, 2018 and 2019 the Company’s issued and outstanding shares were 156,864,737 and 178,930,297, respectively. |
SHARE BASED COMPENSATION
SHARE BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2019 | |
SHARE BASED COMPENSATION | |
SHARE BASED COMPENSATION | 25. SHARE BASED COMPENSATION The Company adopted a long-term incentive plan (the "2009 Plan") in July 2009 which was subsequently amended and restated. The 2009 plan provided for the issuance of options of 9,325,122 ordinary shares. The options have a contractual life of 7 years except for certain options granted to an employee in August 2009 that can be exercised until October 1, 2013. The share options will vest in 5 successive equal annual installments on the last day of each year from the grant date, provided that the personnel’s service with the Company has not terminated prior to each such vesting date. For 953,200 options granted to one employee in August 2009, the share options vested in a series of 36 months , on the last day of each month, commencing from October 1, 2008. The Company adopted a new long-term incentive plan (the "2014 Plan") in August 2014. The 2014 Plan provides for the issuance of options of 12,796,745 ordinary shares. The options have a contractual life of 10 year . The share options will vest in 5 successive equal annual installments on the last day of each year from the grant date, provided that the personnel’s service with the Company has not terminated prior to each such vesting date. A summary of activities under the Company’s share-based compensation plan is as follows: Number of Weighted-average option Weighted-average remaining Aggregate outstanding exercise price contractual term intrinsic value (US$/share) (in years) (RMB) Balance as of January 1, 2019 8,453,372 3.34 — — Granted — — — — Exercise (3,378,060) 3.35 — — Forfeited (520,024) 3.29 — — Balance as of December 31, 2019 4,555,288 3.34 4.73 73,353,508 Vested and expected to vest as of December 31, 2019 4,456,440 3.39 4.59 70,161,689 Vested and exercisable as of December 31, 2019 4,279,300 3.41 4.54 67,601,773 The aggregate intrinsic value is calculated as the difference between the market price of ordinary shares, US$5.62 (RMB39.31) per share as of December 31, 2019 and the exercise prices of the options. Total intrinsic value of options exercised during the year ended December 31, 2017, 2018 and 2019 were RMB110,973,732, RMB3,057,319 and RMB54,032,828 respectively. The total fair value of shares vested for the years ended December 31, 2017, 2018 and 2019 were RMB70,106,939, RMB63,100,120 and RMB65,621,884 respectively. The share-based compensation expense of continuing operations for the year ended December 31, 2017, 2018 and 2019 was recorded in the respective items: As of December 31, 2017 2018 2019 RMB RMB RMB Costs of revenues 2,219,311 967,367 (771,464) Selling expenses 12,722,162 6,415,213 3,424,973 General and administrative expenses 46,017,821 24,066,459 1,140,815 Research and development expenses 3,908,608 (2,141,136) 783,991 Total 64,867,902 29,307,903 4,578,315 As of December 31, 2019, the Company had unrecognized share-based compensation expense RMB1,263,892 related to non-vested share options. That deferred cost is expected to be recognized over a weighted-average period of 1.71 years. For the year ended December 31, 2019, total cash received from the exercise of share options was RMB38,245,122. |
RELATED PARTY TRANSACTIONS AND
RELATED PARTY TRANSACTIONS AND BALANCES | 12 Months Ended |
Dec. 31, 2019 | |
RELATED PARTY TRANSACTIONS AND BALANCES | |
RELATED PARTY TRANSACTIONS AND BALANCES | 26. (a) Related party balances Outstanding amounts due from/to related parties as of December 31, 2018 and 2019 were as follows: 2018 2019 December 31 December 31 RMB RMB Accounts receivable from related parties: Accounts receivable from JinkoPower for sales of solar modules and others 522,619,737 484,317,935 Accounts receivable from Sweihan PV Power Company P.S.J.C ("Sweihan PV", which develops and operates solar power projects in Dubai) 127,779,355 36,185,644 Accounts receivable from Jiangsu Jinko-Tiansheng Co., Ltd. (“Jinko-Tiansheng”, in which JinkoSolar owns 30% equity interests) 25,368,631 — Subtotal 675,767,723 520,503,579 Notes receivables from related parties: Notes receivables from JinkoPower for provision of guarantee — 18,628,574 Other receivables from related parties: Advances of travel and other business expenses to executive directors who are also shareholders — 75,234 Other receivables from JinkoPower for miscellaneous transactions 8,296,133 21,995,622 Prepayments to JinkoPower for outsourcing services 55,514,313 32,247,424 Other receivables from JinkoPower for provision of guarantee 3,919,423 — Subtotal 67,729,869 54,318,280 Other assets from related parties: Guarantee receivables due from JinkoPower 144,983,745 96,753,306 Accounts payable due to a related party: Accounts payable due to subsidiaries of Renesola Zhejiang Ltd. ("ReneSola", controlled by an immediate family member of the principal shareholders and directors of the Company, who are the executive officers of the Company) 698,043 — Accounts payable due to Jinko-Tiansheng — 36,309,710 Advances from related parties: Advances from JinkoPower for sales of solar modules 910,086 748,615 Notes payables due to related parties: Notes payables due to JinkoPower 35,000,000 — Other payables due to a related party: Other payables to Jiangxi Desun Energy Co., Ltd.(“Jiangxi Desun”, an entity in which our founders and substantial shareholders, Xiande Li, Kangping Chen and Xianhua Li, each holds more than 10%, and collectively hold 73%, of the equity interest) for leasing of land and buildings 9,704,152 10,784,038 Other payables due to JinkoPower for payments on behalf of the Company 11,058,987 2,343,314 Other payables of travel and other business expense reimbursement to executive directors who are also shareholders 55,457 — Subtotal 20,818,596 13,127,352 (1) Mr Xianshou Li, chairman and chief executive officer of Renesola is the brother of Mr Xiande Li, chairman of the board of directors of the Company. (2) Advances of travel and other business expenses to executive directors who are also shareholders represent the amounts the Company advanced to them for expected expenses, charges and incidentals relating to their business development activities. (3) Balances due to related parties are interest-free, not collateralized, and have no definitive repayment terms . (b) Related party transactions Transactions related parties for the year ended December 31, 2017, 2018 and 2019 were as follows: For the years ended December 31, 2017 2018 2019 RMB RMB RMB Revenue from sales of products and providing services to related parties Revenue from sales of products to Sweihan PV (an associate entity) 1,219,803,260 1,416,020,214 144,287,938 Revenue from sales of products to JinkoPower 453,251,266 38,895,833 7,812,477 Income of financing guarantees 64,225,858 26,229,524 18,574,433 Rental services provided to JinkoPower 2,142,018 2,177,280 2,177,280 Revenue from sales of products to a subsidiary of ReneSola 6,474,041 47,388 - Purchase of raw materials from related partie Raw materials purchased from a subsidiary of ReneSola 2,866,904 — - Service expenses provided by related parties Processing fee of OEM service charged by Jiangsu Jinko-Tiansheng 8,375,075 19,741,927 39,565,882 Solar project management service provided by JinkoPower 2,735,269 20,842,153 23,266,889 Construction service of solar project provided by JinkoPower — 25,769,137 8,935,653 Rental services provided by Jiangxi Desun 1,100,304 1,100,304 1,100,304 In connection with the Company’s disposal of JinkoSolar Power downstream business in 2016, the Group entered into a master service agreement with JinkoPower under which the Group agreed to provide a guarantee for JinkoPower’s financing obligations under its separate loan agreements. In the event that JinkoPower fails to perform its obligations under the loan agreements or otherwise defaults thereunder, the Company will become liable for JinkoPower’s obligations under the loan agreements, which amounted to RMB2.63 billion (US$377.4 million) as of December 31, 2019. The Company will charge JinkoPower service fees for the debt payment guarantee service according the master service agreement. In addition, according to the agreement signed among the Company, JinkoPower and investors of JinkoPower (the original redeemable preferred shareholders of JinkoSolar Power), the investors of JinkoPower will have the right to require JinkoPower to redeem the common shares of JinkoPower held by them, and, as a result of a guarantee issued by the Company, in the event that JinkoPower fails to perform its redemption obligations, the Company will become liable for JinkoPower’s obligations under the redemption, which amounted to US$297.3 million as of December 31, 2016. The Company will also charge JinkoPower service fees for the redemption guarantee service according to the master service agreement. On June 22, 2017, JinkoPower and all its investors amended its Articles of Association in which terms and clauses related to the Common Share Redemption Guarantee were removed. Hence, management reversed unamortized redemption guarantee liabilities amounted to RMB22,119,127 and the corresponding receivables amounted to RMB20,409,535. Difference between the guarantee liabilities and the corresponding assets amounted to RMB1,709,592 was recognized as other income in the year ended December 31,2017. During the year ended December 31, 2017, JinkoPower repaid certain of its borrowings guaranteed by the Group in advance. The Group thereby reversed unamortized redemption guarantee liabilities amounted to RMB13,609,729 and the corresponding receivables amounted to RMB12,258,412. Difference between the guarantee liabilities and the corresponding assets amounted to RMB1,351,317 was recognized as other income in the year ended December 31,2017. During the year ended December 31, 2018, JinkoPower changed the guarantor of certain of its borrowings from the Group to other parties. The Group thereby reversed unamortized redemption guarantee liabilities amounted to RMB28,965,510 and the corresponding receivables amounted to RMB34,283,915. Difference between the guarantee liabilities and the corresponding assets amounted to RMB5,318,405 was deducted from other income in the year ended December 31,2018. Pursuant to the master service agreement, guarantee service fee is to be settled semi-annually, and the management of the Company believes the guarantee fee charges are at market rates. The guarantee receivables is settled upon the receipt of guarantee fees from JinkoPower. The Company has received RMB52,586,819, RMB29,460,673 and RMB18,628,574 guarantee fees from JinkoPower in 2017, 2018 and 2019, respectively. As of December 31, 2018 and December 31, 2019, the Company recorded the guarantee fee income receivable amounted to RMB 148,903,168 and RMB 115,381,880 and a guarantee liability amounted to RMB 92,404,069 and RMB 72,019,365 . The guarantee liability will be amortized over the expected guarantee period from 1 to 16 years which relates to the life of the outstanding guaranteed bank loans in the subsequent reporting periods. Other income from JinkoPower for the guarantee fee amortized for the period during the year ended December 31,2017, 2018 and 2019 amounted to RMB 64,225,858, RMB 26,229,524 and RMB 18,574,433 , respectively. For the year ended December 31,2017, 2018 and 2019, sales of solar module products to subsidiaries of JinkoPower amounted to RMB453,251,266, RMB38,895,833 and RMB7,812,477, respectively. Payment term offered by the Group to JinkoPower is consistent with the Group’s 3rd party sales arrangement. As of December 31, 2019, outstanding receivables due from JinkoPower were RMB 484 million, among which RMB 418 million was overdue over one year. No interest was charged by the Group to JinkoPower on the overdue receivables. The Group expects most of the outstanding receivables will be collected in full in the year of 2020. After the establishment of SSHC through December 31, 2017 and for the year ended December 31,2018 and 2019, sales of solar module products to Sweihan PV amounted to RMB1,219,803,260, RMB1,416,020,214 and RMB144,287,938, respectively. For the year ended December 31, 2017 and 2018 and 2019, rental services provided to subsidiaries of JinkoPower amounted to RMB2,142,018 and RMB2,177,280 and RMB2,177,280, respectively. Jinko-Tiansheng is an OEM service provider who provided PV module processing and assembling services to the Group. Since the establishment date of the Jinko-Tiansheng through December 31, 2017 and for the year ended December 31,2018 and 2019, Jinko-Tiansheng charged the Group processing fee amounted to RMB8,375,075 and RMB19,741,927 and RMB39,565,882. The Group involved Jinko-Tiansheng for PV module processing in the fourth quarter of 2019, which caused the increase of related party payables due to Jinko-Tiansheng as at December 31, 2019. For the years ended December 31, 2017, 2018 and 2019, revenues from sales of products to subsidiaries of ReneSola amounted to RMB6,474,041, RMB47,388 and RMB nil, respectively. For the years ended December 31, 2017, 2018 and 2019, raw materials purchased from subsidiaries of ReneSola amounted to RMB2,866,904, nil and RMB nil, respectively. In the fourth quarter of 2017, JinkoSolar International Development Limited disposed Lotapera and four Mexico power plants (note 1) to JinkoPower with the consideration of RMB28,634 (USD4,383). Consideration with the amount of RMB28,634 was collected as of December 31, 2018. In November 2017, the Company entered into an agreement with JinkoPower, which entrusted JinkoPower to exercise certain shareholders’ rights (other than right of profit distribution, right of residual property distribution and right of disposition) in five operating entities of overseas power stations wholly-owned by the Company, enabling JinkoPower to monitor the construction and daily operations of these power stations. The Company retains ownership of these power stations and there exists no call or other rights of JinkoPower. The Company agrees to pay service fees calculated based on the actual costs incurred by JinkoPower during the power stations’ construction period and a fixed amount fee during the operation period. The Company paid RMB76,356,466 (USD$11.2 million) in advance and recorded service expenses incurred in the year of 2017, 2018 and 2019 amounted to RMB2,735,269, RMB20,842,153 and RMB23,266,889 as cost of project assets, respectively. On January 1, 2008, Jiangxi Desun and the Group entered into an operating lease agreement pursuant to which Jiangxi Desun leased its buildings and land use rights to the Group for a ten-year period from January 1, 2008 to December 31, 2017. In 2018, the agreement was extended for another 10 years from January 1, 2018 to December 31, 2027. Jiangxi Desun charged the Group RMB1,100,304 in rent for the years ended December 31, 2017, 2018 and 2019, respectively. |
CERTAIN RISKS AND CONCENTRATION
CERTAIN RISKS AND CONCENTRATION | 12 Months Ended |
Dec. 31, 2019 | |
CERTAIN RISKS AND CONCENTRATION | |
CERTAIN RISKS AND CONCENTRATION | 27. CERTAIN RISKS AND CONCENTRATION a) Concentrations of credit risk Financial instruments that potentially subject the Group to significant concentrations of credit risk consist primarily of cash and cash equivalents, restricted cash, restricted short-term investments, accounts receivable, prepayments and other current assets. As of December 31, 2018 and 2019, substantially all of the Group’s cash and cash equivalents, restricted cash and restricted short-term investments were held by major financial institutions located in the PRC. 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. b) Foreign currency risk The Group has contracts for the sales of products, purchases of materials and equipment which are denominated in foreign currencies, including US Dollars, and Euros. For the year ended December 31, 2019, 82.6% of the Group’s revenues are dominated in foreign currencies, including US Dollars, Euros, Yen, Australian Dollars, Canadian Dollars, South African Rand and Pounds. Renminbi, the functional currency of the Group, is not freely convertible into foreign currencies. c) Major customers 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. There is no accounts receivable represented by customers with balances over 10% of accounts receivables as of December 31, 2018 and 2019, respectively. Also, there exists no individual customer to whom sales comprised over 10% of the Group’s total revenue during the year ended December 31, 2018 and 2019, respectively. d) Interest rate The Group’s main interest rate exposure relates to long-term borrowings. The Group does not hedge against interest rate. Any increase in interest rates would increase the Group’s finance expenses relating to our variable rate indebtedness and increase the costs of issuing new debt or refinancing its existing indebtedness. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2019 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | 28. COMMITMENTS AND CONTINGENCIES (a) Capital commitments The Group entered into several purchase agreements and supplementary agreements with certain suppliers to acquire machineries to be used in the manufacturing of its products. The Group’s total future payments under these purchase agreements amounted to RMB1,734,073,402 as of December 31, 2019. Year ending December 31, RMB 2020 1,545,563,682 2021 188,509,720 Total 1,734,073,402 (b) Contingencies In July 2008, Jiangxi Jinko entered into a long term supply agreement with Wuxi Zhongcai, a producer of polysilicon materials. Jiangxi Jinko provided a prepayment of RMB95.6 million pursuant to such contract. Wuxi Zhongcai subsequently halted production as a result of the adverse changes in the polysilicon market. In February 2013, Jiangxi Jinko sued Wuxi Zhongcai in Shangrao City Intermediate People’s Court for the refund of the outstanding balance of our prepayment of RMB93.2 million after deducting delivery made to Jiangxi Jinko by an affiliate of Wuxi Zhongcai. In February 2013, Wuxi Zhongcai sued Jiangxi Jinko in Shanghai Pudong New Area People’s Court for RMB2.7 million for breaching the contract by failing to make allegedly required payments and reject the refund of the prepayment of RMB95.6 million to Jiangxi Jinko. In December 2015, Jiangxi Jinko made an alternation of the claim under which it requested the refund of the prepayment of RMB93.2 million, the interests accrued from such prepayment, and the liquidated damages in the amount of RMB93.2 million. In January, 2016, Wuxi Zhongcai also changed the complaint, in which it claimed for the liquidated damages amounting to RMB102.0 million and the losses suffered from the termination of the agreement in the amount of RMB150.0 million, and rejected the refund of the prepayment of RMB95.6 million to Jiangxi Jinko. Shanghai High People’s Court ruled on both lawsuits in June 2017. In Jiangxi Jinko v. Wuxi Zhongcai, the court sided with Wuxi Zhongcai and denied Jiangxi Jinko’s complaint. In Wuxi Zhongcai v. Jiangxi Jinko, the court decided that Wuxi Zhongcai shall retain the balance of our prepayment in the amount of RMB93.2 million and the remaining claims of Wuxi Zhongcai were denied. Jiangxi Jinko appealed both court decisions. Wuxi Zhongcai appealed the decision on Wuxi Zhongcai v. Jiangxi Jinko. The first court hearing was held on November 22, 2017. The Group provided full provision for the RMB93.2 million of the outstanding balance of prepayments to Wuxi Zhongcai in 2012. On February 1, 2019, The Group has received final judgements for the two lawsuits from the Supreme People’s Court as of the date of this annual report, among which Wuxi Zhongcai shall fully return the Group’s prepayments and the interests accrued thereon. In December 2019, Jiangxi Jinko entered into a settlement agreement with Wuxi Zhongcai and Wuxi Zhongcai agreed to refund JinkoSolar's prepayments in full with the amount of RMB93.2 million and corresponding interest. Subsequently in January 2020, Jiangxi Jinko has received RMB52.5 million in cash in accordance with the settlement agreement and recorded the reversal of previous provision upon actual cash receipt. In November 2018, one of our customers in Singapore (the “Singapore Customer”) filed two Notices of Arbitration (“NoAs”) respectively in two arbitrations with Arbitration No. ARB374/18/PPD (“ARB 374”) and Arbitration No. ARB375/18/PPD against Jinko Solar Import & Export Co., Ltd. (“Jinko IE”) at Singapore International Arbitration Centre. These NoAs were subsequently amended by the Singapore Customer, and Jinko IE received the amended Notices of Arbitration from the Singapore Customer on December 20, 2018. The Singapore Customer claimed respectively in ARB 374 and ARB 375 that the photovoltaic solar modules supplied by Jinko IE to the Singapore Customer under the purchase agreement dated December 25, 2012 (“2012 Contract”) and January 28, 2013 (“2013 Contract”) were defective. The Singapore Customer seeks, inter alia, orders that Jinko IE replace the modules and/or that Jinko IE compensate the Singapore Customer for any and all losses sustained by the Singapore Customer as a result of the supply of allegedly defective modules. In January 2019, Jinko IE issued its responses to the NoAs in ARB 374 and ARB 375, disputing the Singapore Customer’s reliance on the arbitration clauses in the 2012 Contract and the 2013 Contract, denying all claims raised by the Singapore Customer, and disputing that the Singapore Customer is entitled to the reliefs claimed in the arbitrations. The arbitrations are still in the preliminary stage and it is difficult to provide an in-depth assessment of the Singapore Customer’s claims. The Company believes that Jinko IE has reasonable grounds to challenge the Singapore Customer’s claims in the arbitrations on jurisdiction and liability and will vigorously defend against the claims made by the Singapore Customer. Information available prior to issuance of the financial statements did not indicate that it is probable that a liability had been incurred at the date of the financial statements and the Company is also unable to reasonably estimate the range of any liability or reasonably possible loss, if any. In March 2019, Moura Fábrica Solar - Fabrico e Comércio de Painéis Solares, Lda. ("MFS") submitted a request for arbitration at International Chamber of Commerce (Case No. 24344/JPA) against Projinko Solar Portugal Unipessoal LDA. ("Projinko") in connection with dispute arising out of (i) a business unit lease agreement (the "Business Unit Lease Agreement") entered into on August 23, 2013 between MFS and Jinko Solar (Switzerland) AG ("Jinko Switzerland"), (ii) an assignment agreement dated May 26, 2014, whereby Jinko Switzerland assigned and transferred to Projinko all rights, title, interest, liabilities and obligations under the Business Unit Lease Agreement, and (iii) an amendment agreement relating to the Business Unit Lease Agreement dated December 29, 2015 (the Business Unit Lease Agreement, the assignment agreement and the amendment agreement are collectively referred to as "Lease Agreements"). In order to ensure the performance of parties' respective obligations under the Lease Agreements, a guarantee from the parent company of MFS, Acciona Energia, S.A.U. and a bank guarantee was granted in favor of Projinko, and a guarantee from the parent company of Projinko, Jiangxi Jinko, and a bank guarantee was also granted in favor of MFS. The notice of request for arbitration had not been duly and effectively served by MFS to Projinko. In July 2019, MFS submitted a request at International Chamber of Commerce to join Jinko Switzerland and Jiangxi Jinko as two additional parties, alleging they were indispensable to the current dispute and claiming against Projinko, Jiangxi Jinko and Jinko Switzerland recovery of two drawdowns by Projinko under the bank guarantee in the amount of €1,965,170 and €846,604.41, respectively, with the interests thereon as well as economic damages suffered by MFS as a result thereof. In September 2019, Jiangxi Jinko and Jinko Switzerland submitted to the International Chamber of Commerce that they rejected to arbitrate any dispute with MFS and were not bound by valid and effective arbitration agreement with MFS; Jiangxi Jinko and Jinko Switzerland also opposed the constitution of an arbitration tribunal and the jurisdiction of any arbitration tribunal that may be constituted in the present case. As of the date of this annual report, the arbitration tribunal has been constituted and the arbitration is still in the preliminary stage. The Company believes it has reasonable grounds to challenge MFS' claim in the present case, and will vigorously defend against the claim made by MFS. Information available prior to issuance of the financial statements did not indicate that it is probable that a liability had been incurred at the date of the financial statements and the Company is also unable to reasonably estimate the range of any liability or reasonably possible loss, if any. In March 2019, Hanwha Q CELLS (defined below) filed patent infringement lawsuits against the Company and a number of its subsidiaries. (i) On March 4, 2019, Hanwha Q CELLS USA Inc. and Hanwha Q CELLS & Advanced Materials Corporation (collectively, “Plaintiffs A”) filed suit against JinkoSolar Holding Co., Ltd and several of its subsidiary entities, i.e. JinkoSolar (U.S.) Inc, Jinko Solar (U.S.) Industries Inc, Jinko Solar Co., Ltd, Zhejiang Jinko Solar Co., Ltd and Jinko Solar Technology Sdn.Bhd (collectively “Respondents”) at the U.S. International Trade Commission (“ITC”). In the complaint, it was alleged that certain photovoltaic solar cells and modules containing these solar cells supplied by the Respondents infringed U.S. Patent No. 9,893,215 purportedly owned by Hanwha Q CELLS & Advanced Materials Corporation and Plaintiffs A requested a permanent limited exclusion order and a cease and desist order be issued against the Respondents’ allegedly infringing products. On March 5, 2019, Hanwha Q CELLS & Advanced Materials Corporation filed a suit against the Respondents before the U.S. District Court for the District of Delaware (“District Court”) alleging that certain photovoltaic solar cells and modules containing these solar cells supplied by the Respondents infringed U.S. Patent No. 9,893,215 allegedly owned by Hanwha Q CELLS & Advanced Materials Corporation and sought reliefs including compensation for alleged infringement activities, enhanced damages and reasonable attorney fees. On April 9, 2019, the ITC published the Notice of Institution on Federal Register. On April 15, 2019, the District Court granted the Company’s motion to stay the court litigation pending final resolution of the ITC. On May 3, 2019, the Respondents submitted their response to the complaint of Plaintiffs A to the ITC requesting ITC among other things to deny all relief requested by Plaintiffs A. On September 13, 2019, the Respondents filed motion for summary determination of non-infringement with ITC. On April 10, 2020, the administrative law judge issued the initial determination granting the Respondents’ motion for summary determination of non-infringement. The administrative law judge’s initial determination will be reviewed by the ITC within 45 days after its issuance date. (ii) On March 4, 2019, Hanwha Q CELLS GmbH (“Plaintiff B”), filed a patent infringement claim against JinkoSolar GmbH before the Düsseldorf Regional Court in Germany alleging that certain photovoltaic solar cells and modules containing these solar cells supplied by JinkoSolar GmbH infringed EP2 220 689 purportedly owned by Plaintiff B. On April 10, 2019, JinkoSolar GmbH filed the first brief with the court stating JinkoSolar GmbH would defend itself against the complaint. On September 9, 2019, JinkoSolar GmbH filed its statement of defense with the court (the “Statement of Defense”), requesting that the claim be dismissed and that Plaintiff B to bear the costs of the legal dispute. On March 3, 2020, Plaintiff B filed its reply to the Statement of Defense with the court. On April 20, 2020, JinkoSolar GmbH filed its rejoinder with the court commenting on the Plaintiff B’s reply on March 3, 2020. The main hearing of the case was scheduled in May 2020. (iii) On March 12, 2019, Hanwha Q CELLS & Advanced Materials Corporation and Hanwha Q CELLS Australia Pty Ltd (“Plaintiffs C”, together with Plaintiffs A and Plaintiff B, “Hanwha Q CELLS Plaintiffs”) filed suit at Federal Court of Australia (“FCA”) against Jinko Solar Australia Holdings Co. Pty Ltd (“Jinko AUS”). It was alleged that certain photovoltaic solar cells and modules containing these solar cells supplied by Jinko AUS infringed Australian Patent No. 2008323025 purportedly owned by Plaintiffs C. The FCA served Jinko AUS as the Respondent and the first case management hearing was held on April 12, 2019. The FCA heard the application, and made orders for the conduct of the proceeding at the first case management hearing, following which Jinko AUS submitted its defense and cross-claim to Plaintiffs C’s statement of claim on July 22, 2019. Shortly before the second case management hearing which was held on October 2, 2019, Plaintiffs C requested an amendment to Australian Patent No. 2008323025 (“Amendment Application”), following which FCA directed Plaintiffs C to give discovery and produce documents in respect to the Amendment Application. The third case management hearing was held on December 13, 2019, after which Jinko AUS submitted particulars of opposition to the Amendment Application and requested for further and better discovery in respect to the Amendment Application (“Discovery Request”). The Company believes that Hanwha Q CELLS Plaintiffs’ claims in all the above-mentioned cases are lacking legal merit, and will vigorously defend against the claims made by them. The Company is considering all legal avenues including challenging the validity of U.S. Patent No. 9,893,215, EP 2 220 689 and Australian Patent No. 2008323025 (collectively, the “Asserted Patents”), and demonstrating its non infringement of the Asserted Patents. Information available prior to issuance of the financial statements did not indicate that it is probable that a liability had been incurred at the date of the financial statements and the Company is also unable to reasonably estimate the range of any liability or reasonably possible loss, if any. On June 3, 2019, the Company filed a petition for IPR of the 215 Patent with the PTAB. IPR is a trial proceeding conducted at the PTAB to review the patentability of one or more claims in a patent. On December 10, 2019, the PTAB instituted the IPR proceedings of the patentability of claims 12-14 of the 215 patent claims in view of prior art. (c) Guarantees Upon the disposition of JinkoPower, the Company provided the loan guarantee and redemption guarantee to JinkoPower (Note 26). The Company provided a debt payment guarantee in connection with a loan facility granted to Sweihan PV Power Company P.J.S.C (“Sweihan”), equity investee of the Company for developing overseas solar power project, in a maximum aggregate principal amount not exceeding US$42.9 million. At the same time, pursuant to the shareholders agreement, the Company together with another shareholder of Sweihan, shall enable Sweihan to repay the loan facility in full. The Company believes the probability of Sweihan’s default of repayment is remote, and no liability of the guarantee is recognized as of December 31, 2018. The loan was repaid by Sweihan in 2019. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Dec. 31, 2019 | |
FAIR VALUE MEASUREMENTS | |
FAIR VALUE MEASUREMENTS | 29. FAIR VALUE MEASUREMENTS A hierarchy is established 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 Company. Unobservable inputs are inputs that reflect the Company’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) observable inputs such as quoted prices in active markets; (Level 2) inputs other than the quoted price in active markets that are observable either directly or indirectly, or quoted prices in less active markets; and (Level 3) unobservable inputs with respect to which there is little or no market data, which require the Company to develop its own assumptions. Fair value of cash equivalents, restricted cash and restricted short-term investment are categorized as level 1 under the fair value hierarchy, as they based on quoted prices in active markets. Short-term borrowings and long-term borrowing are categorized as level 2 under the fair value hierarchy, as they based on quoted prices in less active markets. Fair value change in forward contracts and foreign exchange options The Company has entered into foreign exchange forward contracts with local banks to reduce the exposure of significant changes in exchange rates between Renminbi and foreign currencies. Authoritative guidance requires companies to recognize all of the derivative financial instruments as either assets or liabilities at fair value in the consolidated balance sheets based upon quoted market prices for comparable instruments. The Company’s forward contracts have not met the criteria for hedge accounting within authoritative guidance. Therefore, the foreign exchange forward contracts have been recorded at fair value, with the gain or loss on these transactions recorded in the consolidated statements of operations within "Change in fair value of foreign exchange forward contracts" in the period in which they occur. The Company does not use derivative financial instruments for trading or speculative purposes. The Company held foreign exchange forward contracts with a total notional value of USD848 million as of December 31, 2019. These foreign exchange forward contracts mature within 12 months. The Company used a discounted cash-flow methodology to measure fair value, which requires inputs such as interest yield curves and foreign exchange rates. The significant inputs used in the aforementioned model can be corroborated with market observable data and therefore the fair value measurements are classified as level 2. Typically, any losses or gains on the forward exchange contracts are offset by re-measurement losses or gains on the underlying balances denominated in non-functional currencies. The Company’s foreign currency exchange contract is an over-the-counter instrument. The Group classified the cash flows related to realized gain or loss on settlement of foreign exchange forward contracts as operating activities, which are based on the nature of the cash flows the derivative is economically hedging. The Company purchased foreign exchange option contracts with a total notional value of nil, US$167.0 million and nil during the years ended December 31, 2017, 2018 and 2019.These foreign exchange options mature within 12 months . The Company adopted the Black-Scholes Option Pricing (“B-S”) Model to value the foreign exchange options. The significant inputs used in the aforementioned model are unobservable inputs which there are little or no market data and therefore the fair value measurements are classified as level 3. The foreign exchange option is asset derivatives which need to be fair valued on day one and marked to market subsequently at each reporting period end. The fair value gain or loss arising from the re-measurement is recognised in the consolidated statements of operations and comprehensive income. The fair value change was a loss of nil, RMB9,720,182 and RMB330,706 for the year ended December 31, 2019. Convertible Senior Notes and Call Option The Company has adopted valuation models to assess the fair value for Call option, the 2024 Notes and the 2019 Notes, as the Call option is not publicly traded and the trading of the 2024 Notes and 2019 Notes is considered inactive. Management is responsible for determining these fair values and assessing a number of factors. The 2024 Notes and 2019 Notes are valued using the Binominal Tree option pricing model. The valuation involves complex and subjective judgments as well as the Company's best estimates on the valuation date. Inputs related to the Binomial models for convertible debt fair value are: spot price, conversion price, expected dividend yield, expected share volatility, risk free interest rate, and yield-to-maturity, of which spot price and expected share volatility are most significant to valuation determination of convertible debt. The Call option is valued using the Black-Scholes Model. The valuation involves complex and subjective judgments as well as the Company's best estimates on the valuation date. Inputs related to the Black-Scholes Models for call option fair value are: call option price, spot price, exercise price, expected dividend yield, risk-free interest rate and time to maturity, of which spot price and exercise price are most significant to valuation determination of call option. Interest Rate Swap The Company’s exposure to the risk of changes in market interest rates primarily relates to its bank borrowings. To finance its overseas power station business operation and expansion, the Company’s operating subsidiaries located in Mexico will obtain long-term bank borrowings from local bank, which carries variable interest rates. With an aim to reduce its interest rate exposure, the Company entered into one long-term interest rate swap contract in 2016 to fix the interest rate as a fixed rate payer. The interest rate swap is a derivative which needs to be fair valued at each reporting period end. The fair value gain or loss arising from the remeasurement is recognized in the consolidated statements of operations and comprehensive income. As of December 31, 2018 and 2019, the fair value of the interest rate swap was RMB12,786,001 and RMB61,271,965, respectively, which was recorded as a derivative liability. The fair value change was a loss of RMB16,122,313, a gain of RMB13,700,387 and a loss of RMB69,974,512 for the years ended December 31, 2017, 2018 and 2019, respectively. Guarantee liability A guarantee liability is initially recognized at the estimated fair value in the Group’s consolidated balance sheets unless it becomes probable that the Group will reimburse the holder of the guarantee for an amount higher than the carrying amount, in which case the guarantee is carried in the Group’s consolidated balance sheets at the expected amount payable to the holder. The fair value of the guarantee liability is measured by the total consideration to be received in connection with the provision of guarantee. The guarantee liability would be amortized in straight line during the guarantee period. Recurring change in fair value As of December 31, 2018 and 2019, information about the hierarchy of the fair value measurements for the Company’s assets and liabilities that are measured at fair value on a recurring basis subsequent to their initial recognition is as follows: Fair Value Measurements at Reporting Date Using Quote prices in Balance as of active market Significant other Significant December 31, for identical observable unobservable Description 2018 assets (Level 1) inputs (Level 2) inputs (Level 3) Assets: Foreign exchange forward contracts- receivable 1,192,168 — 1,192,168 — Foreign exchange options 846,718 — — 846,718 Liabilities: Convertible senior notes 68,632 — — 68,632 Guarantee liabilities 92,404,068 — — 92,404,068 Foreign exchange forward contracts- payable 9,463,728 — 9,463,728 — Derivative liability interest rate swap 12,786,001 — — 12,786,001 Fair Value Measurements at Reporting Date Using Quote prices in Balance as of active market Significant other Significant December 31, for identical observable unobservable Description 2019 assets (Level 1) inputs (Level 2) inputs (Level 3) Assets: Foreign exchange forward contracts- receivable 52,281,183 — 52,281,183 — Call options 294,177,634 — — 294,177,634 Liabilities: Convertible senior notes 728,215,869 — — 728,215,869 Guarantee liabilities 72,019,365 — — 72,019,365 Foreign exchange forward contracts- payable 3,856,561 — 3,856,561 — Derivative liability interest rate swap 61,271,965 — — 61,271,965 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 fair value of convertible senior notes for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, 423,739,708 65,342 68,632 Issuance of convertible senior notes — — 585,301,500 Foreign exchange (gain)/loss (845,071) 3,290 7,675,500 Change in fair value of convertible senior notes — — 114,149,092 Change in the instrument-specific credit risk — — 21,089,777 Repurchase of convertible senior notes (422,829,295) — (68,632) Balance at December 31, 65,342 68,632 728,215,869 A summary of changes in Level 3 fair value of call option for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, — — — Issuance of call options — — 206,577,000 Foreign exchange (gain)/loss — — 2,709,000 Change in fair value of call options — — 84,891,634 Balance at December 31, — — 294,177,634 A summary of changes in Level 3 fair value of foreign exchange options for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, — — 846,718 Purchase of foreign exchange options — 10,566,900 — Cash Settlement — (516,012) Change in fair value of foreign exchange options — (9,720,182) (330,706) Balance at December 31, — 846,718 — A summary of changes in Level 3 fair value of rate swap derivative for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, 10,364,075 26,486,388 12,786,001 Change in fair value of interest rate swap 16,122,313 (9,701,051) 69,974,512 Cash settlement — (3,999,336) (21,488,548) Balance at December 31, 26,486,388 12,786,001 61,271,965 A summary of changes in Level 3 fair value of guarantee liabilities for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, 226,086,556 148,187,615 92,404,068 Additions 5,122,691 1,425,026 2,164,200 Amortization (47,292,776) (28,243,063) (18,574,433) Cancellation (35,728,856) (28,965,510) (3,974,470) Balance at December 31, 148,187,615 92,404,068 72,019,365 Change in fair value of derivatives The Change in fair value of derivatives recognized in earnings was as follows: Foreign exchange forward Type of derivatives For the year ended contracts Convertible Interest Foreign exchange December 31, Realized Unrealized senior notes Rate swap Call option options Total (In RMB) 2017 (3,690,785) (4,520,619) — (16,122,313) — — (24,333,717) 2018 (42,614,340) (1,475,360) — 9,701,051 — (9,720,182) (44,108,831) 2019 (126,708,753) 48,425,227 (114,149,092) (69,974,512) 84,891,634 (330,706) (177,846,202) Non-recurring change in fair value In accordance with the provisions of the Impairment or Disposal of Long-Lived Assets Subsections of ASC 360-10, long-lived assets held and used with a carrying amount of nil, RMB14,548,043 and RMB68,262,038 as of December 31, 2017, 2018 and 2019 were written down to their fair value of zero, resulting in an impairment charge of nil, RMB14,548,043 and RMB68,262,038 for the year ended December 31, 2017, 2018 and 2019, respectively, which was calculated based on Level 3 Inputs and included in earnings for the respective years. |
RESTRICTED NET ASSETS
RESTRICTED NET ASSETS | 12 Months Ended |
Dec. 31, 2019 | |
RESTRICTED NET ASSETS | |
RESTRICTED NET ASSETS | 30. RESTRICTED NET ASSETS Relevant PRC laws and regulations permit payments of dividends by the Company’s PRC subsidiaries only out of their retained earnings, if any, as determined in accordance with PRC GAAP. In addition, the statutory general reserve fund requires annual appropriations of 10% of net after-tax income to be set aside prior to payment of any dividends by the Company’s PRC subsidiaries that are registered as wholly owned foreign investment enterprises or domestic enterprises. As a result of these and other restrictions under PRC laws and regulations, the PRC subsidiaries 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. Even though the Company does not currently require any such dividends, loans or advances from the Company’s PRC subsidiaries for working capital or other funding purposes, it may in the future require additional cash resources from the PRC subsidiaries due to changes in business conditions, to fund future acquisitions and development, or merely declare dividends or make distributions to the Company’s shareholders. Restricted net assets were RMB8,198,518,471 representing 66% of the Company’s total consolidated net assets as of December 31, 2019. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2019 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | 31. SUBSEQUENT EVENTS The coronavirus (“COVID-19”) outbreak was declared a “Public Health Emergency of International Concern” by the World Health Organization on January 30, 2020 and a pandemic on March 10, 2020. Actions taken around the world to help mitigate the spread of the COVID-19 include travel and transportation restrictions, quarantines in certain areas and forced closures of certain types of public places and business. The outbreak of COVID-19 and actions taken to mitigate it have had and are expected to continue to have an adverse impact on the economies and financial markets of many countries, including the geographical areas in which the Company operates. The Company also expects the global demand for solar photovoltaic products to be slightly affected, which will intensify the competition and in turn potentially lower the average selling price of solar modules in 2020. While it is unknown how long these conditions will last and what the complete financial effect will be to the Company, to date, supply of certain raw materials and logistics during the first quarter of 2020 was temporarily affected, causing some module shipments be postponed to the second quarter of 2020. As a result, some of the Company’s customers delayed their payments, which temporarily affected its cash flow. In addition, the Company’s capacity utilization rate of certain overseas manufacturing facility has been temporarily affected as the Company have to limit the number of workers gathering at the facility pursuant to the instructions of the local authorities. In response to the COVID-19 outbreak, the Company implemented a number of initiatives to ensure business continuity, including ensuring the safety and health of its employees and minimizing the impact of the outbreak on production and delivery by stocking up on critical raw materials and optimizing production and logistics. The situation of the COVID-19 outbreak is very fluid and the Company is closely monitoring its impact on the company. There may be further adverse impact on the Company’s operation, liquidity, financial condition and results of operations if the conditions last a sustained period of time and continue to develop globally. |
ADDITIONAL INFORMATION-CONDENSE
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY | 12 Months Ended |
Dec. 31, 2019 | |
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT | |
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY | 33. ADDITIONAL INFORMATION – CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY The separate condensed financial statements of the Company 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. Such investment is presented on separate condensed balance sheets of the Company as "Investments in subsidiaries " and the Company’s shares of the profit or loss of subsidiaries are presented as "Share of (loss) / income from subsidiaries" in the statements of operations. Certain information and footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed and omitted. The footnote disclosures contain supplemental information relating to the operations of the Company, as such, these statements should be read in conjunction with the notes to the consolidated financial statements of the Company. For the year ended December 31 2017 2018 2019 RMB RMB RMB USD (note 2 (ak)) Net revenue — — — — Cost of revenues — — — — Gross profit — — — — Total operating (expenses)/income (3,139,147) (2,267,582) 474,214 68,117 Other income, net 8,825,212 6,249,651 8,922,475 1,281,633 Income/(loss) from operations 5,686,065 3,982,069 9,396,689 1,349,750 Convertible senior notes issuance costs (18,646,101) (2,678,345) Share of income from subsidiaries and affiliates 124,171,093 348,543,952 911,593,940 130,942,276 Interest (expenses)/income, net (1,563,985) (722) 8,421,898 1,209,730 Exchange gain/(loss) 13,412,516 53,953,395 17,153,258 2,463,910 Change in fair value of convertible senior notes and call option — — (29,257,458) (4,202,571) Income before income taxes 141,705,689 406,478,694 898,662,226 129,084,750 Income tax expenses — — — — Net income attributable to JinkoSolar Holding Co., Ltd.’s ordinary shareholders 141,705,689 406,478,694 898,662,226 129,084,750 Condensed balance sheets: December 31, 2018 December 31, 2019 RMB RMB USD (note 2 (ak)) ASSETS Current assets: Cash and cash equivalent 3,509,861 4,556,832 654,548 Due from subsidiaries 2,509,376,092 3,427,985,887 492,399,363 Due from related parties 3,919,423 16,791,784 2,411,989 Other current assets 152,275 40,601,328 5,832,016 Total current assets 2,516,957,651 3,489,935,831 501,297,916 Investments in subsidiaries 6,843,226,906 7,775,688,241 1,116,907,731 Due from related parties - non current 40,402,875 48,471,930 6,962,557 Call Option — 294,177,634 42,255,975 Other non-current assets — 11,961,460 1,718,156 Total assets 9,400,587,432 11,620,235,096 1,669,142,335 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities: Due to subsidiaries 1,531,072,256 1,564,636,609 224,745,986 Due to related parties 3,939,224 3,061,179 439,711 Other current liabilities 4,129,886 6,076,910 872,894 Convertible senior notes-current 68,632 — — Total current liabilities 1,539,209,998 1,573,774,698 226,058,591 Due to related parties – non-current 21,486,120 14,926,514 2,144,060 Convertible senior notes — 728,215,869 104,601,665 Total liabilities 1,560,696,118 2,316,917,081 332,804,316 Shareholders’ equity: Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 133,869,274 and 180,653,497 shares issued as of December 31, 2018 and December 31, 2019, respectively, shares outstanding as of December 31, 2018 and December 31, 2019, respectively.) 21,727 24,767 3,558 Additional paid-in capital 4,010,739,727 4,582,849,862 658,285,194 Accumulated other comprehensive income 70,300,898 62,952,198 9,042,517 Treasury stock, at cost; 1,723,200 ordinary shares as of December 31, 2018 and December 31, 2019 (13,875,553) (13,875,553) (1,993,098) Retained earnings 3,772,704,515 4,671,366,741 670,999,848 Total shareholders’ equity 7,839,891,314 9,303,318,015 1,336,338,019 Total liabilities and shareholders’ equity 9,400,587,432 11,620,235,096 1,669,142,335 The balance due from subsidiaries represented the expenses paid on behalf by the Company for its subsidiaries as well as inter-company loans drawn down by its subsidiaries. Other current assets mainly represented options receivables. Other non-current assets mainly represented deposit of Call options. The balance due to subsidiaries represented the professional service fees paid by its subsidiaries and considerations settled by its subsidiaries on behalf of the Company. Other current liabilities represented accrual for unpaid convertible senior notes interest and professional service fees. Condensed statements of cash flows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB USD (note 2 (ak)) Cash flows from operating activities: Net income 141,705,689 406,478,694 898,662,226 129,084,752 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Issuance cost paid for issuance of convertible senior notes — — 18,646,101 2,678,345 Change in fair value of convertible senior notes — — 114,149,092 16,396,491 Change in fair value of call option — — (84,891,634) (12,193,920) Share of income from subsidiaries (124,171,093) (348,543,952) (911,593,940) (130,942,276) Guarantee income (8,825,212) (6,249,651) (8,922,475) (1,281,633) Exchange (gain)/loss (13,412,516) (53,953,395) (17,153,258) (2,463,910) Changes in operating assets and liabilities: (Increase)/decrease in due from subsidiaries 410,590,040 (1,895,298,545) (871,067,726) (125,121,052) (Increase)/decrease in other current assets 5,742,872 200,153 (110,110) (15,816) Increase/(decrease) in due to subsidiaries (37,268,274) 1,177,359,405 (14,890,886) (2,138,942) Increase/(decrease) in other current liabilities (10,018,710) (166,056) 1,096,958 157,567 Net cash provided by operating activities 364,342,796 (720,173,347) (876,075,652) (125,840,394) Cash flows from investing activities: Cash paid for call option — — (216,905,850) (31,156,576) Net cash used in investing activities — — (216,905,850) (31,156,576) Cash flows from financing activities: Proceeds from exercise of share options 69,929,453 44,278,857 38,245,122 5,493,568 Repurchase of convertible senior notes (422,829,295) — (68,632) (9,858) Proceeds from issuance of convertible senior notes — — 585,301,500 84,073,300 Proceeds from issuance of ordinary shares 663,232,926 488,950,795 70,233,387 Issuance cost paid for issuance of convertible senior notes — — (18,646,101) (2,678,345) Net cash used in financing activities (352,899,842) 707,511,783 1,093,782,684 157,112,052 Effect of foreign exchange rate changes on cash and cash equivalents (551,797) 464,662 245,789 35,306 Net increase/(decrease) in cash and cash equivalents 10,891,157 (12,196,902) 1,046,971 150,388 Cash and cash equivalents, beginning of year 4,815,606 15,706,763 3,509,861 504,160 Cash and cash equivalents, end of year 15,706,763 3,509,861 4,556,832 654,548 Supplemental disclosure of non-cash investing and financing cash flow information Proceeds from exercise of share options received in subsequent period 39,685,283 — 40,338,943 5,794,327 |
PRINCIPAL ACCOUNTING POLICIES (
PRINCIPAL ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
PRINCIPAL ACCOUNTING POLICIES | |
Basis of presentation and use of estimates | a. Basis of presentation and use of estimates The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The preparation of consolidated financial statements in conformity with U.S. GAAP requires management of the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Group 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 receivables, provision for inventories and advances to suppliers, impairment of long-lived assets, the economic useful lives of property, plant and equipment, project assets and intangible assets, certain accrued liabilities including accruals for warranty costs, guarantees, sale-leaseback, accounting for share-based compensation, legal contingencies, income taxes and related deferred tax valuation allowance, fair value measurements of share-based compensation and financial instruments. |
Consolidation | b. Consolidation The consolidated financial statements include the financial statements of the Company and its subsidiaries. All significant transactions and balances among the Company and its subsidiaries have been eliminated upon consolidation. For the Group’s majority-owned subsidiaries, non-controlling interests is recognized to reflect the portion of their equity interests which are not attributable, directly or indirectly, to the Group. Consolidated net income on the consolidated statement of operation includes the net income attributable to non-controlling interests. The cumulative results of operations attributable to non-controlling interests are recorded as non-controlling interests in the Group’s consolidated balance sheets. Cash flows related to transactions with non-controlling interests are presented under financing activities in the consolidated statements of cash flows. |
Foreign currency translation | c. Foreign currency translation The Group’s reporting currency is the Renminbi (“RMB”), the official currency in the PRC. The Company and its PRC subsidiaries use RMB as their functional currency, while the functional currency of its subsidiaries incorporated outside of PRC is USD or EUR etc. Transactions denominated in currencies other than the functional currency are translated into the functional currency of the entity at the exchange rates prevailing at the dates of the transactions. Gains and losses resulting from foreign currency transactions are included in the consolidated statements of operations. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency of the entity using the applicable exchange rates at the applicable balance sheet dates. All such exchange gains or losses are included in exchange loss in the consolidated statements of operations. For consolidation purpose, the financial statements of the Company’s subsidiaries whose functional currencies are other than the RMB are translated into RMB using exchange rates quoted by PBOC. Assets and liabilities are translated at the exchange rates at the balance sheet date, equity accounts are translated at historical exchange rates and revenues, expenses and gains and losses are translated using the average exchange rates for the year. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of in accumulated other comprehensive income in the consolidated statement of comprehensive income/ (loss). The RMB is not a freely convertible currency. The PRC State Administration for Foreign Exchange, under the authority of PBOC, 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 China’s foreign exchange trading system market. The Company’s aggregate amount of cash, cash equivalents, restricted short-term investments and restricted cash denominated in RMB amounted to RMB6,161.7 million and RMB10,387.2 million as of December 31, 2018 and 2019, respectively. |
Cash, cash equivalents and restricted cash | d. Cash, cash equivalents and restricted cash Cash and cash equivalents represent cash on hand and demand deposits placed with banks or other financial institutions, which have original maturities of three months or less. Restricted cash represents deposits legally held by banks which are not available for the Group’s general use. These deposits are held as collateral for issuance of letters of credit or guarantee, bank acceptance notes to vendors for purchase of machinery and inventories and foreign exchange forward contracts. Cash, cash equivalents and restricted cash as reported in the consolidated statement of cash flows are presented separately on our consolidated balance sheet as follows: As of December 31, 2018 2019 RMB RMB Cash and cash equivalents 3,104,916,803 5,653,853,691 Restricted cash 377,110,770 576,546,098 Cash and cash equivalents included in held-for-sale assets — 43,558,640 Total 3,482,027,573 6,273,958,429 |
Restricted short-term investments | e. Restricted short-term investments Restricted short-term investments represent the time deposits at banks with original maturities longer than three months and less than one year, which are held as collateral for issuance of letters of credit, guarantee, bank acceptance notes or deposits for short-term borrowings. |
Notes receivable and payable | f. Notes receivable and payable Notes receivable represents bank or commercial drafts that 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 their fair values due to the short-term maturity of the notes receivables. The Group also issues bank acceptance notes to its suppliers in China in the normal course of business. The Group classifies the changes in notes payable as financing activities. Notes receivable and payable are typically non-interest bearing and have maturities of less than six months. |
Accounts receivable | g. Accounts receivable Specific provisions are made against accounts receivable for estimated losses resulting from the inability of the Group’s customers to make payments. Management applied significant judgment in considering various factors, including historical bad debts, specific customer creditworthiness and current economic trends when evaluating accounts receivable balances to determine whether an allowance for doubtful accounts should be provided and to measure such allowance. Accounts receivable in the balance sheets are stated net of such provision, if any. Before approving sales to each customer, the Group conducts a credit assessment for each customer to evaluate the collectability of such sales. The assessment usually takes into consideration the credit worthiness of such customer and its guarantor, if any, the Group’s historical payment experience with such customer, industry-wide trends with respect to credit terms, including the terms offered by competitors, and the macro-economic conditions of the region to which sales will be made. The Group executes a sales order with a customer and arrange for shipment only if its credit assessment concludes that the collectability with such customer is probable. The Group may also from time to time require security deposits from certain customers to minimize its credit risk. After the sales are made, the Group closely monitors the credit situation of each customer on an on-going basis for any subsequent change in its financial position, business development and credit rating, and evaluates whether any of such adverse change warrants further action to be taken by the Group, including asserting claims and/or initiating legal proceedings against the customer and/or its guarantor, as well as making provisions. It is also the Group’s general practice to suspend further sales to any customer with significant overdue balances. |
Advances to suppliers | h. 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 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 to suppliers and provide for losses on advances which are akin to receivables in operating expenses because of suppliers’ inability to return its advances. Recoveries of the allowance for advances to supplier are recognized when they are received. The Company 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 12 months are recorded in advances to suppliers to be utilized beyond one year. There was no provision of advance to suppliers recorded for the years ended December 31, 2017, 2018 and 2019. |
Inventories | i. Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined using the weighted average method. Provisions are made for excessive, slow moving and obsolete inventories as well as for inventories with carrying values in excess of market. 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 reserve or 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 reserves or 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 reserved or written down are eventually sold. The sale of previously reserved inventory did not have a material impact on our gross margin percentage for any of the years presented. In addition, the Group analyzes its firm purchase commitments, if any, at each period end. Provision is made in the current period if the net realizable value after considering estimated costs to convert 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 for each of the three years ended December 31, 2017, 2018 and 2019. |
Property, plant and equipment, net | j. Property, plant and equipment, net Property, plant and equipment are stated at cost less accumulated depreciation. Cost includes the prices paid to acquire or construct the assets, interest capitalized during the construction period and any expenditure that substantially extends the useful life of an existing asset. Depreciation is computed using the straight-line method over the following estimated useful lives: Buildings 20 years Machinery and equipment 10 years Furniture, fixture and office equipment 3-5 years Motor vehicles 4-5 years Construction in progress primarily represents the construction of new production line and buildings. Costs incurred in the construction are capitalized and transferred to property, plant and equipment upon completion, at which time depreciation commences. 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 statement of operations upon disposal. |
Project Assets, net | k. Project Assets, net Project assets represented the costs of solar power plants held for generation of electricity revenue, held with the intention to sell to third parties and solar power plants under construction. Project assets are stated in the consolidated balance sheets at cost less accumulated depreciation and impairment provision, if any. Costs of project assets consist primarily of costs relating to construction of solar power plants at various stages of development. These costs include costs for procurement of solar module and other equipment (including intercompany purchases), cost of land on which solar power plants are developed and other direct costs for developing and constructing solar power plants, such as costs for obtaining permits required for solar power plants and costs for designing, engineering, interest costs capitalized and installation in the course of construction. Such costs are capitalized starting from the point when it is determined that development of the solar power plant is probable. For a solar power project asset acquired from third parties, the initial cost is the acquisition cost which includes the consideration transferred and certain direct acquisition costs. Costs capitalized in the construction of solar power plants under development will be transferred to completed solar power plants upon completion and when they are ready for intended use, which is at the point of time when the solar power plant is connected to grids and begins to generate electricity. Depreciation of the completed solar power plant held for generation of electricity revenue commences once the solar power plant is ready for intended use. Depreciation is computed using the straight-line method over the expected life of 20 years. The Company does not depreciate project assets when such project assets are constructed for sale upon completion. Any revenue generated from such project assets connected to the grid would be considered incidental revenue and accounted for as a reduction of the capitalized project costs for development. The Group made decision to sell certain of its solar projects to third parties in the year of 2018. All cash flows related to the development and construction of project assets constructed for external sales are a component of cash flows from operating activities. |
Assets held for sale | l. Assets held for sale Long-lived assets to be sold are classified as held for sale when the following recognition criteria in ASC 360-10-45-9 are met: ◻ Management, having the authority to approve the action, commits to a plan to sell the asset. ◻ The asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets. ◻ An active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated. ◻ The sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year, ◻ The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value. ◻ Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. The Group entered into an agreement to sell two solar power plants in Mexico to a Mexican renewable energy company in November 2019. Assets and liabilities related to these two solar power plants were reclassified from project assets as assets/liabilities held for sale as of December 31, 2019. |
Interest Capitalization | m. Interest Capitalization Interest expenses during the years ended December 31, 2017, 2018 and 2019 were RMB322,002,538, RMB429,347,129 and RMB605,882,474, net of with interest income of RMB58,810,160, RMB83,461,323 and 170,984,099 respectively. The interest cost associated with major development and construction projects is capitalized and included in the cost of the property, plant and equipment or project assets. Interest capitalization ceases once a project is substantially completed or no longer undergoing construction activities to prepare it for its intended use. When no debt is specifically identified as being incurred in connection with a construction project, the Group capitalizes interest on amounts expended on the project at the Group’s weighted average cost of borrowings. Interest expense capitalized associated with the construction projects for the years ended December 31, 2017, 2018 and 2019 were RMB17,662,780, RMB51,243,764, and RMB43,841,311, respectively. |
Land use rights and land lease | n. Land use rights and land lease a. Land use rights Land use rights represent acquisition costs to purchase land use rights from the PRC government, which are evidenced by property certificates. The periods of these purchased land use rights are either 50 years or 70 years. The Company classifies land use rights as long term assets on the balance sheet and cash outflows related to acquisition of land use right as investing activities. Land use rights are carried at cost less accumulated amortization and impairment losses, if any. Amortization is computed using the straight-line method over the term specified in the land use right certificate for 50 years or 70 years, as applicable. b. Land lease For certain of the Group’s solar power project, the Group enters into land lease contracts with the owners of the land use rights. Under such lease arrangements, the owners retain the property right of the land use rights. While the Group can only set up the solar panels on these leased lands but does not have the right to sell, lease or dispose the land use rights. Accordingly, land leases are classified as operating leases. |
Intangible assets | o. Intangible assets Intangible assets include purchased software and fees paid to register trademarks and are amortized on a straight-line basis over their estimated useful lives, which are 5 or 10 years, respectively. |
Business combination and assets acquisition | p. Business combination and assets acquisition U.S. GAAP requires that all business combinations not involving entities or businesses under common control be accounted for under the purchase method. The Group has adopted ASC 805 “Business Combinations,” and the cost of an acquisition 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 transaction 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 total of cost of acquisition, 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 tangible and intangible assets of the acquiree is recorded as goodwill. If the cost of acquisition is less than the fair value of the net assets of the subsidiary acquired, the difference is recognized directly in the consolidated statements of operations and comprehensive income. The determination and allocation of fair values to the identifiable assets acquired and liabilities assumed 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 future 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 products 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. A non-controlling interest is recognized to reflect the portion of a subsidiary’s equity which is not attributable, directly or indirectly, to the Company. Consolidated net income on the consolidated statements of operations and comprehensive income includes the net income (loss) attributable to non-controlling interests when applicable. The cumulative results of operations attributable to non-controlling interests are also recorded as non-controlling interests in the Company’s consolidated balance sheets. Cash flows related to transactions with non-controlling interests are presented under financing activities in the consolidated statements of cash flows when applicable. |
Investments in affiliates and other equity securities | q. Investments in affiliates and other equity securities On January 1, 2018, the Company adopted ASU No. 2016-01, which requires equity investments to be measured at fair value with subsequent changes recognized in net income, except for those accounted for under the equity method or requiring consolidation. This standard also changed the accounting for investments without a readily determinable fair value and that do not qualify for the practical expedient to be measured at fair value. A policy election can be made for these investments whereby investment will be carried at cost and adjusted in subsequent periods for any impairment or changes in observable prices of identical or similar investments. With the adoption of ASU No. 2016-01, for investments in equity securities lacking of readily determinable fair values, the Company elected to use the measurement alternative defined as cost, less impairments, adjusted by observable price changes. Adoption of the standard had no significant impact on the Group’s consolidated financial statements for the years ended 2018 and 2019. Prior to the fiscal year of 2018, these investments over which the Company does not have the ability to exercise significant influence were accounted for using the cost method of accounting, measured at cost less other-than-temporary impairment. The Group’s investments include equity method investments and equity securities without readily determinable fair values. The Group holds equity investments in affiliates in which it does not have a controlling financial interest, but has the ability to exercise significant influence over the operating and financial policies of the investee. These investments are accounted for under equity method of accounting wherein the Group records its’ proportionate share of the investees’ income or loss in its consolidated financial statements. Investments are evaluated for impairment when facts or circumstances indicate that the fair value of the investment is less than its carrying value. The Group reviews several factors to determine whether an impairment is recognized. These factors include, but are not limited to, the: (1) nature of the investment; (2) cause and duration of the impairment; (3) extent to which fair value is less than cost; (4) financial conditions and near term prospects of the issuers; and (5) ability to hold the security for a period of time sufficient to allow for any anticipated recovery in fair value. |
Impairment of long-lived assets | r. Impairment of long-lived assets The Group’s long-lived assets include property, plant and equipment, project assets, land use rights and intangible assets with finite lives. The Group’s business requires heavy investment in manufacturing equipment that is technologically advanced, but can quickly become significantly under-utilized or rendered obsolete by rapid changes in demand for solar power products produced with those equipment. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that 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. The Group may recognize impairment of long-lived assets in the event the net book value of such assets exceeds the future undiscounted cash flows attributable to these assets. If the total of the expected undiscounted future net cash flows is less than the carrying amount of the asset, a loss, if any, is recognized for the difference between the fair value of the asset and its carrying value. Fair value is generally measured based on either quoted market prices, if available, or discounted cash flow analyses. |
Leases | s. Leases Prior to the adoption of ASC Topic 842 on January 1, 2019: Leases are classified as capital or operating leases. A lease that transfers to the lessee substantially all the benefits and risks incidental to ownership is classified as a capital lease. At inception, a capital lease is recorded at the present value of minimum lease payments or the fair value of the asset, whichever is less. Assets under capital leases are amortized on a basis consistent with that of similar fixed assets or the lease term, whichever is less. Operating lease costs are recognized on a straight-line basis over the lease term. For a sale-leaseback transaction, when the transaction involves real estate or integral equipment, sale-leaseback accounting shall be used by a seller-lessee only if the transaction includes all of the following a) A normal leaseback; b) Payment terms and provisions that adequately demonstrate the buyer-lessor’s initial and continuing investment in the property; c) Payment terms and provisions that transfer all of the other risks and rewards of ownership as demonstrated by the absence of any other continuing involvement by the seller-lessee. Equipment is determined to be integral when the cost to remove the equipment from its existing location, ship and reinstall at a new site, including any diminution in fair value, exceeds 10% of the fair value of the equipment at the time of original installation. If a sale-leaseback of real estate qualifies for sale-leaseback accounting, an analysis is performed to determine if the Company can record a sale and remove the assets from the balance sheet and recognize the lease; and if so, to determine whether to record the lease as either an operating or capital lease. The Group’s assets under capital lease transactions are derecognized upon sale at the net book value and rebooked at the financed amount. Any profit or loss on the sale are deferred and amortized over the useful life of the assets. If the fair value of the assets at the time of the sale is less than its net book value, a loss is recognized immediately. If a sale-leaseback transaction does not qualify for sale-leaseback accounting because of any form of continuing involvement by the seller-lessee other than a normal leaseback, it is accounted for as a financing under ASC 360. Upon and hereafter the adoption of ASC Topic 842 on January 1, 2019: The Company adopted ASC Topic 842 on January 1, 2019, using the modified retrospective transition method as of the effective date as the date of initial application. Consequently, prior periods have not been recast and the disclosures required under ASC Topic 842 are not provided for dates and periods before January 1, 2019. The Company determines if a contract contains a lease at inception of the arrangement based on whether it has the right to obtain substantially all of the economic benefits from the use of an identified asset and whether it has the right to direct the use of an identified asset in exchange for consideration, which relates to an asset which the Company does not own. Right of use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of lease payments over the lease term. When determining the lease term, the Company includes options to extend or terminate the lease when it is reasonably certain that it will exercise that option, if any. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate, which it calculates based on the credit quality of the Company and by comparing interest rates available in the market for similar borrowings, and adjusting this amount based on the impact of collateral over the term of each lease. The Company does not typically incur variable lease payments related to its leases. For a sale-leaseback transaction, sale-leaseback accounting shall be used by a seller-lessee only if the transaction meet all of the following: a) the transfer of the underlying asset meets the definition of a sale under ASC 606; b) the leaseback transaction does not result in a lease that would be classified as a finance lease; c) the contract does not contain a repurchase option, unless the option is exercisable at the fair value on the exercise date and there are alternative assets substantially the same as the transferred asset available in the market place. If a sale-leaseback transaction does not qualify for sale-leaseback accounting because of the transfer of underlying assets does not meet the definition of sale, it is accounted for as a financing under ASC 360. The Company has elected to adopt the following lease policies in conjunction with the adoption of ASU 2016-02: (i) elect for each lease not to separate non-lease components from lease components and instead to account for each separate lease component and the non-lease components associated with that lease component as a single lease component; (ii) for leases that have lease terms of 12 months or less and does not include a purchase option that is reasonably certain to exercise, the Company elected not to apply ASC Topic 842 recognition requirements; and (iii) the Company elected to apply the package of practical expedients for existing arrangements entered into prior to January 1, 2019 to not reassess (a) whether an arrangement is or contains a lease, (b) the lease classification applied to existing leases, and(c) initial direct costs. |
Guarantees | t. Guarantees The Group issues debt payment guarantees in favor of JinkoPower, a related party. The guarantees require the Group to make payments to reimburse the holders of the debt subject to these guarantees for losses they incur JinkoPower fails to make repayments to the holders, when its liability to the holders falls due. In addition, the Group also issues redemption guarantees in favor of JinkoPower, a related party. According to the agreement among the Group, JinkoPower and investors of JinkoPower (the original redeemable preferred shareholders of JinkoPower), the investors of JinkoPower will have the right to redeem the common shares of JinkoPower held by them, and, as a result of a guarantee issued by the Company, in the event that JinkoPower fails to perform its redemption obligations, the Company will become liable for JinkoPower’s obligations under the redemption. Such redemption guarantee was removed in the year of 2017 (Note 26). A guarantee liability is initially recognized at the estimated fair value in the Group’s consolidated balance sheets unless it becomes probable that the Group will reimburse the holder of the guarantee for an amount higher than the carrying amount, in which case the guarantee is carried in the Group’s consolidated balance sheets at the expected amount payable to the holder. The fair value of the guarantee liability is measured by the total consideration to be received in connection with the provision of guarantee. The guarantee liability is amortized in straight line during the guarantee period. Receivables have also been recorded for the guarantee payments to be received (note 26). Pursuant to the master service agreement signed with JinkoPower, guarantee service fee is settled on a half-year basis. |
Revenue recognition | u. Revenue recognition On January 1, 2018, the Group adopted new revenue guidance ASC Topic 606, “Revenue from Contracts with Customers” (“ASC 606”), by applying the modified retrospective method under which the Company has elected to adopt the standard applied to those contracts that were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with the Company’s historical accounting practices under ASC Topic 605 “Revenue Recognition”. The Company has determined that the impact of the transition to ASC Topic 606 is immaterial to the Company’s revenue recognition model since the vast majority of the Company’s revenue recognition is based on point in time transfer of control. Accordingly, the Company has not made any adjustment to opening retained earnings as of January 1, 2018. The Company negotiated payment terms on a case by case basis and allows most of its overseas’ customers to make full payment within 90 days and our domestic customers to make 90% to 95% of payment within 180 days after delivery and the rest will be paid when the Retainage Period (as defined below) ends. As a result of adopting ASC Topic 606, for the sales contracts with retainage terms, under which customers were allowed to withhold payment of 5% to 10% of the full contract price as retainage for a specified period from one year to two year since normal operation of related customer’s solar project (“Retainage Period”), revenue from retainage is recognized upon the Group satisfied its performance obligation to transfer the goods to its customers instead of deferring recognition until the customers pay it after the Retainage Period expires. Revenue recognition for the Group’s other sales arrangements, including sales of solar modules, wafers, cells and revenue from generated electricity, remained materially consistent with historical practice. For the contracts with retainage terms signed and executed before the adoption date of January 1, 2018, as 90%~95% of the revenue was recognized before the date of initial application, which is considered to be substantial, management concluded that these contracts have been completed before the adoption date, and as the company has elected to apply the modified retrospective adoption method only to contracts that were not completed as of January 1, 2018, no cumulative effect related to these retainages is recognized as an adjustment to the opening balance of retained earnings. The revenue recognized upon collection of these retainage amounts is recognized under ASC 605, the prior revenue recognition standard, with the amount of RMB26,604,993 and RMB7,660,940 in 2018 and 2019. The Group was mainly subject to value added taxes ("VAT") on its sales from products. The Group recognizes revenue net of VAT. Related surcharges, such as urban maintenance and construction tax as well as surtax for education expenses are recorded in cost of revenues. The Company’s accounting practices under ASC Topic 606, “Revenue from Contracts with Customers” are as followings: (a) Revenue recognition on product sales For all product sales, the Group requires a contract or purchase order which quantifies pricing, quantity and product specifications. The Company’s sales arrangements generally do not contain variable considerations and are short-term in nature. The Company recognizes revenue at a point in time based on management’s evaluation of when the customer obtains control of the products. Revenue is recognized as performance obligation under the terms of a contract with the customer are satisfied and control of the product has been transferred to the customer. Sales of goods do not include multiple product and/or service elements. Practical expedients and exemption Upon the election of the practical expedient under ASC 340-40-25-4, the incremental costs of obtaining a contract are expensed when incurred if the amortization period of the asset that the entity otherwise would have recognized is one year or less. For the years ended December 31, 2019 and 2018, no incremental cost was capitalized as assets. The Group also selected to apply the practical expedients allowed under ASC Topic 606 to omit the disclosure of remaining performance obligations for contracts with an original expected duration of one year or less and for contracts where the Company has the right to invoice for performance completed to date. Based on the considerations that there is no difference between the amount of promised consideration and the cash selling price of product sales, in addition the actual length of time between when the Group transfers products to the customer and when the customer pays for those products has been generally within one year, the Group assessed and concluded that there is no significant financing component in place within its products sales as a practical expedient in accordance with ASC 606-10-32-18. As the retainage term is made to secure the future effective operation of solar modules and not to provide customer with significant financing, no significant financing component is considered to exist in the sales contract with retainage terms. (b) Sales of solar projects The Company’s sales arrangements for solar projects do not contain any forms of continuing involvement that may affect the revenue or profit recognition of the transactions, nor any variable considerations for energy performance guarantees, minimum electricity end subscription commitments. The Company therefore determined its single performance obligation to the customer is the sale of a completed solar project. The Group recognizes revenue for sales of solar projects at a point in time after the solar project has been grid connected and the customer obtains control of the solar project. The following table summarizes the impact of adopting ASC 606 on the Company’s Consolidation Statements of Operations For the year ended December 31, 2018 Balances Without Effect of Change As reported Adoption of ASC 606 Higher/(Lower) RMB RMB RMB Total revenues 25,042,613,341 25,015,058,894 27,554,447 Income from continuing operations before income taxes 407,375,203 379,820,756 27,554,447 Income tax expenses (4,409,523) (8,542,690) (4,133,167) Net income 405,575,533 382,154,253 23,421,280 The following table summarizes the impact of adopting ASC 606 on the Company’s Consolidated Balance sheet: As of December 31, 2018 Balances Without Effect of Change As reported Adoption of ASC 606 Higher/(Lower) RMB RMB RMB ASSETS Current assets: Accounts receivable, net - third parties 5,436,370,691 5,408,816,244 27,554,447 Non-current assets: Deferred tax assets 338,069,324 342,202,491 (4,133,167) Shareholders’ equity: Retained earnings 3,202,528,312 3,179,107,032 23,421,280 The Company’s historical accounting practices under ASC Topic 605 “Revenue Recognition” are as followings: (a) Revenue recognition on product sales The Group recognizes revenue for product sales when persuasive evidence of an arrangement exists, delivery of the product has occurred and title and risk of loss has passed to the customer, the sales price is fixed or determinable and the collectability of the resulting receivable is reasonably assured. For all sales, the Group requires a contract or purchase order which quantifies pricing, quantity and product specifications. For sales of photovoltaic products from PRC to foreign customers, delivery of the products generally occurs at the point in time the product is delivered to the named port of shipment or received by the customers, which is when the risks and rewards of ownership are transferred to the customer. For sales of PV products to domestic customers in PRC or by foreign subsidiaries, delivery of the product occurs generally at the point in time the product is received by the customer, which is when the risks and rewards of ownership have been transferred. In the case of sales that are contingent upon customer acceptance, revenue is not recognized until the deliveries are formally accepted by the customers. The Group enters into certain sales contracts with retainage terms beginning in 2012, under which customers were allowed to withhold payment of 5% to 10% of the full contract price as retainage after a specified period which generally range from one year to two years since normal operation of related customer’s solar project (the “Retainage Period”). Given the limited experience the Group has with respect to the collectability of the retainage, the Group defers recognition of the retainage as revenue until the customers pay it after the Retainage Period expires. The total amounts of retainage that were not recognized as revenue were RMB63,243,490 and RMB55,582,550 as of December 31, 2018 and 2019, respectively. Additions of retainages in 2017 was RMB8,821,018. Revenue recognized upon the cash collection of the retainages under ASC 605 in 2017, 2018 and 2019, were RMB63,847,987, RMB26,604,993 and RMB7,660,940, respectively. All of the retainages are within the Retainage Period of the sales contracts ranged from one year to two years. Advance payments received from customers for the future sale of products are recognized as advances from third party customers in the consolidated balance sheets. Advances from customers are recognized as revenues when the conditions for revenue recognition described above have been satisfied. Advances from customers have been recognized as a current liability because the amount at each balance sheet date is expected to be recognized as revenue within twelve months. (b) Revenue on electricity generation The Group recognizes electricity generation revenue on project assets constructed with a plan to operate the plant when persuasive evidence of a power purchase arrangement with the power grid company exists, electricity has been generated and been transmitted to the grid and the electricity generation records are reconciled with the grid companies, the price of electricity is fixed or determinable and the collectability of the resulting receivable is reasonably assured. In the PRC, value added tax (“VAT”) was at a general rate of 16% before April 1, 2019, and has decreased to 13% since April 1,2019. VAT on invoice amount is collected on behalf of tax authorities in respect of the sales of product and is not recorded as revenue. VAT collected from customers, net of VAT paid for purchases, is recorded as a liability until it is paid to the tax authorities. |
Segment report | v. Segment report The Group uses the management approach in determining reportable operating segments. The management approach considers the internal organization and reporting used by the Group’s chief operating decision maker for making operating decisions, allocating resources and assessing performance as the source for determining the Group’s reportable segments. Based on the criteria established by ASC 280 "Segment Reporting", the Group's chief operating decision maker has been identified as the Chairman of the Board of Directors as well as the CEO, who only review consolidated results of the Group when making decisions about allocating resources and assessing performance. Hence, the Group has only one operating segment which is vertically integrated solar power products manufacturing business from silicon ingots, wafers, cells to solar modules. |
Cost of revenue | w. Cost of revenue Cost of revenue for sales of photovoltaic products includes production and indirect costs, as well as shipping and handling costs for raw materials purchase and provision for inventories. Costs of revenues for solar system integration projects 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. Costs of electricity generation revenue include depreciation of solar power project assets and costs associated with operation and maintenance of the project assets. Cost of electricity sales was RMB3.1 million, nil and RMB19.4 million for years ended December 31, 2017, 2018 and 2019, respectively. |
Warranty cost | x. Warranty cost Solar modules produced by the Group are typically sold with either a 5-year or 10-year warranty for product defects, and a 10-year and 25-year warranty against declines of more than 10% and 20%, respectively, from the initial minimum power generation capacity at the time of delivery. Therefore, the Group is exposed to potential liabilities that could arise from these warranties. The potential liability is generally in the form of product replacement or repair. Management applied significant judgements in estimating the expected failure rate of the Company's solar module products and the estimated replacement costs associated with fulfilling its warranty obligations when measuring the warranty costs. Based on the actual claims incurred during the past years which appears to be consistent with the market practice, the Group projected the expected failure rate as 1% for the whole warranty period, which is consistent with prior assumptions. Based on the Group’s actual claims experience in the historical periods as well as management’s current best estimation, the Group believes that the average selling price of solar modules over the past two years more accurately reflects the estimated warranty cost liability in connection with the products sold by the Group, as opposed to the current and past spot prices. According to the updated product replacement cost included in the warranty liability estimation which continued to drop in recent years, the Group reversed previous years’ recorded warranty liability of RMB117,165,077, RMB162,447,593 and RMB123,853,626 in 2017, 2018 and 2019 respectively. The warranty costs were classified as current liabilities under other payables and accruals, and non-current liabilities under accrued warranty costs – non-current, respectively, which reflect the Group’s estimation of the timing of when the warranty expenditures will likely be made. For the years ended December 31, 2017, 2018 and 2019, warranty costs accrued for the modules delivered in the periods before the reversals due to updated product replacement cost were RMB299,331,077, RMB278,417,311 and RMB303,652,391, respectively. The utilization of the warranty accruals for the years ended December 31, 2017, 2018 and 2019 were RMB114,112,651, RMB102,600,327 and RMB85,035,667, respectively. Utilization of warranty accruals in 2017 was mainly due to defects in a specific batch of raw materials provided by a certain former supplier of the Company, while the utilization of warranty accruals in 2018 was mainly related to a specific batch of solar modules shipped in 2017 with welding defects. Utilization of warranty accruals in 2019 was mainly caused by the extreme climatic conditions in Xinjiang, China and India. Considering the defective modules only comprised a small portion of the Group’s module shipments, it is less likely to have a significant impact on the Group’s estimation on the expected failure rate of module production. Movement of accrued warranty cost For the year ended December 31 2017 2018 2019 RMB RMB RMB At beginning of year 575,254,503 643,307,854 656,677,245 Additions 299,331,079 278,417,311 303,652,391 Utilization (114,112,651) (102,600,327) (85,035,667) Reversal to selling and marketing expense (117,165,077) (162,447,593) (123,853,626) At end of year 643,307,854 656,677,245 751,440,343 The Group purchases warranty insurance policy which provides coverage for the product warranty services of solar modules worldwide. Prepayment for warranty insurance premium is initially recorded as other assets and is amortized over the insurance coverage period. Prepayment for warranty insurance premium is not recorded as reduction of estimated warranty liabilities . |
Shipping and handling | y. Shipping and handling Costs to ship products to customers are included in selling and marketing expenses in the consolidated statements of operations. Costs to ship products to customers were RMB1,220,560,478, RMB1,005,186,974 and RMB1,489,639,843 for the years ended December 31, 2017, 2018 and 2019, respectively. |
Research and development | z. Research and development Research and development costs are expensed when incurred. |
Start-up costs | aa. Start-up costs The Group expenses all costs incurred in connection with start-up activities, including pre-production costs associated with new manufacturing facilities (excluding costs that are capitalized as part of property, plant and equipment) and costs incurred with the formation of new subsidiaries such as organization costs. |
Income Taxes | ab. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and any tax loss and tax credit carry forwards. Deferred income 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 income tax assets and liabilities of a change in tax rates or tax laws is recognized in the consolidated statements of operations in the period the change in tax rates or tax laws is enacted. A valuation allowance is provided to reduce the amount of deferred income tax assets if it is considered more likely than not that some portion or all of the deferred income tax assets will not be realized. The accounting for uncertain tax positions 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 Group’s policy is to recognize, if any, tax related interest as interest expenses and penalties as general and administrative expenses. The Group did not have any interest and penalties associated with uncertain tax positions in the year ended December 31, 2017, 2018 and 2019 as there were no uncertain tax positions. |
Commitments and Contingencies | ac. 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. |
Fair value of financial instruments | ad. Fair value of financial instruments The Group does not have any non-financial assets or liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis. Fair value is defined 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). A hierarchy is established 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 Group 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 Group 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 Group 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 Group’s evaluation of those factors changes. Although the Group 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 Group’s consolidated assets, liabilities, equity and net income. The Group’s financial instruments consist principally of cash and cash equivalents, restricted cash, restricted short-term and long-term investments, accounts and notes receivable, foreign exchange forward contract receivables, other receivables, prepayments and other current assets, call option, foreign exchange option, accounts and notes payable, other payables and accruals, foreign exchange forward contract payables, guarantee liabilities, lease liabilities, short-term borrowings, long-term borrowings, convertible senior notes and interest rate swap. The foreign exchange forward contracts receivable and payable, call option, foreign exchange options, interest rate swap and convertible senior notes are measured at fair value (note 29). Except for these financial instruments and long-term borrowing, the carrying values of the Group’s other financial instruments approximated their fair values due to the short-term maturity of these instruments. The carrying amount of long-term borrowing approximates their fair value due to the fact that the related interest rates approximate rates currently offered by financial institutions for similar debt instruments of comparable maturities. When the fair value option is elected for financial liabilities, changes in fair value due to changes in instrument-specific credit risk will be recognized separately in other comprehensive income. As the Company elected to measure its convertible senior notes issued in 2019 in their entirety at fair value, the portion of the total change in the fair value of the convertible senior notes that results from a change in the instrument-specific credit risk is presented separately in other comprehensive income. The gains or losses attributable to changes in instrument-specific credit risk were benchmarked by the portion of the total change in fair value that excluding the amount resulting from a change in a risk-free rate. |
Government grants | ae. Government grants Government grants related to technology upgrades and enterprise development are recognized as subsidy income when received. For the years ended December 31, 2017, 2018 and 2019, the Group received financial subsidies of RMB147,916,764 , RMB52,176,462 and RMB63,016,966 from the local PRC government authorities, respectively. These subsidies were non-recurring, not refundable and with no conditions related to specific use or disposition of the funds, attached. There are no defined rules and regulations to govern the criteria necessary for companies to enjoy such benefits and the amount of financial subsidy is determined at the discretion of the relevant government authorities. Government grants related to assets are initially recorded as other payables and accruals which are then deducted from the carrying amount when the assets are ready for use and approved by related government. The Company received government grant related to assets of RMB26,306,649, RMB8,102,911 and RMB24,889,754 during the years ended December 31, 2017, 2018 and 2019, respectively. |
Repurchase of share | af. Repurchase of share When the Company’s shares are purchased for retirement, the excess of the purchase price over its par value is recorded entirely to additional paid-in capital subject to the limitation of the additional paid in capital when the shares were originally issued. When the Company’s shares are acquired for purposes other than retirement, the purchase price is shown separately as treasury stock. |
Statutory reserves | ag. Statutory reserves Zhejiang Jinko, as sino-foreign owned joint venture incorporated in the PRC, is required to make appropriations of net profits, after recovery of accumulated deficit, to (i) a general reserve fund, (ii) an enterprise expansion fund, and (iii) a staff bonus and welfare fund prior to distribution of dividends to investors. These reserve funds are set at certain percentage of after-tax profit determined in accordance with PRC accounting standards and regulations (the "PRC GAAP"). The percentage of net profit for appropriation to these funds is at the discretion of their board of directors. Jiangxi Jinko, as wholly foreign owned enterprises incorporated in the PRC, is required on an annual basis to make appropriations of net profits, after the recovery of accumulated deficit, to a general reserve fund and a staff bonus and welfare fund. These reserve funds are set at certain percentage of after-tax profit determined in accordance with the PRC GAAP. The percentage of the appropriation for general reserve fund is at least 10%, and the percentage of the appropriation for staff bonus and welfare fund is at the discretion of its boards of directors. Except for the aforementioned subsidiaries, the Company’s other subsidiaries, as domestic enterprises incorporated in the PRC, are required on an annual basis to make an appropriation of net profits, after the recovery of accumulated deficit, to a statutory reserve fund. The statutory reserve fund is set at the percentage of not lower than 10% of the after-tax profit determined in accordance with the PRC GAAP. Once the level of the general reserve fund and the statutory reserve fund reach 50% of the registered capital of the underlying entities, further appropriations to these funds are discretionary. The Group’s statutory reserves can only be used for specific purposes of enterprises expansion and staff bonus and welfare, and are not distributable to the shareholders except in the event of liquidation. Appropriations to these funds are accounted for as transfers from retained earnings to the statutory reserves. During the years ended December 31, 2017, 2018 and 2019, the Group made total appropriations to statutory reserves of RMB50,632,996, RMB53,290,350 and RMB119,530,534, respectively. |
Earnings/(Loss) per share | ah. Earnings/(Loss) 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 period using the two-class method. Under the two-class method, net income is allocated between ordinary shares and other participating securities 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 as result from the assumed conversion of those participating securities, if any, by the weighted average number of ordinary and dilutive ordinary equivalent shares outstanding during the period. Potential diluted securities consist of the ordinary shares issuable upon the conversion of the convertible senior notes (using the if-converted method), the potential shares underlying call option arrangement and ordinary shares issuable upon the exercise of outstanding share options (using the treasury stock method), which are not included in the calculation of dilutive earnings per share if the effect is anti-dilutive. Changes in income or loss of potential dilutive securities as result from the assumed conversion of the convertible senior notes and assumed exercise of call option, if any, are recorded as the adjustment to the consolidated net income (loss) from continuing operations to arrive at the diluted net income (loss) available to the Company’s ordinary shareholders. |
Share-based compensation | ai. Share-based compensation The Company’s share-based payment transactions with employees, including share options, are measured based on the grant-date fair value of the equity instrument issued. The fair value of the award is recognized as compensation expense, net of estimated forfeitures, over the period during which an employee is required to provide service in exchange for the award, which is generally the vesting period. |
Other comprehensive income/(loss) | aj. Other comprehensive income/(loss) Other comprehensive income/(loss) is defined as the change in equity during a period from non-owner sources. The Company’s other comprehensive income/(loss) for each period presented is comprised of foreign currency translation adjustment of the Company’s foreign subsidiaries and unrealized gains and losses on available-for-sale securities. |
Convenience translation | ak. Convenience translation Translations of balances in the consolidated balance sheet, consolidated statement of operation, consolidated statement of comprehensive income and statement of cash flows from RMB into United States dollars ("US$" or "USD") as of and for the year ended December 31, 2019 are solely for the convenience of readers and were calculated at the rate of RMB$6.9618 to US$1.00, representing the exchange rate set forth in the H.10 statistical release of the Federal Reserve Board. No representation is intended to imply that the RMB amounts could have been, or could be, converted, realized or settled into US$ at that rate on December 31, 2019, or at any other rate. |
Recent accounting pronouncements | al. Recent accounting pronouncements New Accounting Standards Adopted In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both parties to a contract (i.e., lessees and lessors). The new standard requires lessees to classify leases as either finance or operating leases based on the principle of whether or not the lease is effectively a financed purchase by the lessee. This classification determines whether lease expense is recognized over the lease term based on an effective interest method for finance leases or on a straight-line basis for operating leases. A lessee is also required to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expenses for such lease generally on a straight-line basis over the lease term. For public entities, the guidance was effective for annual reporting periods beginning after December 15, 2018 and for interim periods within those fiscal years. ASU 2016-02 initially required adoption using a modified retrospective approach, under which all years presented in the financial statements would be prepared under the revised guidance. In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842), which added an optional transition method under which financial statements may be prepared under the revised guidance for the year of adoption, but not for prior years. Under the latter method, entities will recognize a cumulative catch-up adjustment to the opening balance of retained earnings in the period of adoption. The Company adopted ASC Topic 842 using the modified retrospective approach with an effective date of January 1, 2019 for leases that existed on that date. Prior period results continue to be presented under ASC 840 based on the accounting standards originally in effect for such periods. This standard provides a number of optional practical expedients in transition. The Company applied certain practical expedients to leases that commenced prior to the effective date as follows: (i) elect for each lease not to separate non-lease components from lease components and instead to account for each separate lease component and the non-lease components associated with that lease component as a single lease component; (ii) for leases that have lease terms of 12 months or less and does not include a purchase option that is reasonably certain to exercise, the Company elected not to apply ASC Topic 842 recognition requirements; and (iii) the Company elected to apply the package of practical expedients for existing arrangements entered into prior to January 1, 2019 to not reassess (a) whether an arrangement is or contains a lease, (b) the lease classification applied to existing leases, and(c) initial direct costs. In connection with the adoption of ASC Topic 842, on January 1, 2019, the Company recognized right of use assets as well as lease liabilities In May 2017, the FASB issued guidance within ASU 2017-09: Scope of Modification Accounting. The amendments in ASU 2017-09 to Topic 718, Compensation - Stock Compensation, provide guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. An entity should account for the effects of a modification unless all of the following conditions are met: the fair value of the modified award is the same as the fair value of the original award immediately before the original award is modified; the vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the original award is modified; and the classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. The amendments should be applied prospectively to an award modified on or after the adoption date. The amendments are effective for annual periods, and interim periods within those annual periods, beginning after December 31, 2018. The Company adopted this guidance on January 1, 2019 and it did not have a material effect on the Company’s consolidated financial statements. In August 2017, the Financial Accounting Standard Board (“FASB”) issued ASU 2017-12, Derivatives and Hedging (Topic 815) – Targeted Improvements to Accounting for Hedging Activities, to simplify certain aspects of hedge accounting for both non-financial and financial risks and better align the recognition and measurement of hedge results with an entity’s risk management activities. ASU 2017-12 also amends certain presentation and disclosure requirements for hedging activities and changes how an entity assesses hedge effectiveness. ASU 2017-12 is effective for fiscal years and interim periods within those years beginning after December 15, 2018, and early adoption is permitted. The Company adopted this guidance on January 1, 2019 and it did not have a material effect on the Company’s consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, to address specific consequences of the U.S. Tax Reform. The update allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the U.S. Tax Reform. The accounting update is effective January 1, 2019, with early adoption permitted, and is to be applied either in the period of adoption or retrospectively to each period in which the effect of the change in the U.S. federal corporate income tax rate in the U.S. Tax Reform is recognized. The Company adopted this guidance on January 1, 2019 and it did not have a material effect on the Company’s consolidated financial statements. New Accounting Standards Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which eliminates the probable recognition threshold for credit impairments. The new guidance broadens the information that an entity must consider in developing its expected credit loss estimate for assets measured either collectively or individually to include forecasted information, as well as past events and current conditions. There is no specified method for measuring expected credit losses, and an entity is allowed to apply methods that reasonably reflect its expectations of the credit loss estimate. For public business entities that are SEC filers, the amendments are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company adopted this update in the first quarter of 2020 and applied this update on a modified retrospective basis. The adoption did not have a material impact to the company’s consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements. Under the guidance, public companies will be required to disclose the range and weighted average used to develop significant unobservable inputs for Level 3 fair value measurements. The guidance is effective for all entities for fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years, but entities are permitted to early adopt either the entire standard or only the provisions that eliminate or modify the requirements. The Company is currently in the progress of evaluating the impact of the adoption of this guidance on its consolidated financial statements and associated disclosure . |
ORGANIZATION AND NATURE OF OP_2
ORGANIZATION AND NATURE OF OPERATIONS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
ORGANIZATION AND NATURE OF OPERATIONS | |
Schedule of Subsidiaries | Date of Incorporation Place of Percentage Subsidiaries /Acquisition Incorporation of ownership JinkoSolar Technology Limited. (“Paker”) November 10, 2006 Hong Kong 100 % Jinko Solar Co., Ltd. (“Jiangxi Jinko”) December 13, 2006 PRC 100 % Zhejiang Jinko Solar Co., Ltd.("Zhejiang Jinko") June 30, 2009 PRC 100 % Jinko Solar Import and Export Co., Ltd. ("Jinko Import and Export") December 24, 2009 PRC 100 % JinkoSolar GmbH (“Jinko GmbH”) April 1, 2010 Germany 100 % Zhejiang Jinko Solar Trading Co., Ltd.("Zhejiang Trading") June 13, 2010 PRC 100 % Xinjiang Jinko Solar Co., Ltd. (“Xinjiang Jinko”) May 30, 2016 PRC 100 % Yuhuan Jinko Solar Co., Ltd.("Yuhuan Jinko") July 29, 2016 PRC 100 % JinkoSolar (U.S.) Inc. ("Jinko US") August 19, 2010 USA 100 % Jiangxi Photovoltaic Materials Co., Ltd. ("Jiangxi Materials") December 1, 2010 PRC 100 % JinkoSolar (Switzerland) AG(“Jinko Switzerland”) May 3, 2011 Switzerland 100 % JinkoSolar (US) Holdings Inc.(“Jinko US Holding”) June 7, 2011 USA 100 % JinkoSolar Italy S.R.L. (“Jinko Italy”) July 8, 2011 Italy 100 % JinkoSolar SAS (“Jinko France”) September 12, 2011 France 100 % Jinko Solar Canada Co., Ltd. (“Jinko Canada”) November 18, 2011 Canada 100 % Jinko Solar Australia Holdings Co. Pty Ltd. (“Jinko Australia”) December 7, 2011 Australia 100 % Jinko Solar Japan K.K. (“JinkoSolar Japan”) May 21, 2012 Japan 100 % Date of Incorporation Place of Percentage Subsidiaries /Acquisition Incorporation of ownership JinkoSolar Power Engineering Group Limited. (“JinkoSolar Power”) November 12, 2013 Cayman 100 % JinkoSolar WWG Investment Co., Ltd. (“WWG Investment”) April 8, 2014 Cayman 100 % JinkoSolar Comércio do Brazil Ltd. (“JinkoSolar Brazil”) January 14, 2014 Brazil 100 % Projinko Solar Portugal Unipessoal LDA. (“JinkoSolar Portugal”) February 20, 2014 Portugal 100 % JinkoSolar Mexico S.DE R.L. DE C.V. (“JinkoSolar Mexico”) February 25, 2014 Mexico 100 % Shanghai Jinko Financial Information Service Co., Ltd. November 7, 2014 PRC 100 % Jinko Solar Technology SDN.BHD. (“JinkoSolar Malaysia”) January 21, 2015 Malaysia 100 % Jinko Huineng Technology Services Co., Ltd. July 14, 2015 PRC 100 % Jinko Huineng (Zhejiang) Solar Technology Services Co., Ltd. July 29, 2015 PRC 100 % JinkoSolar Enerji Teknolojileri Anonlm Sirketi April 13, 2017 Turkey 100 % Jinko Solar Sweihan (HK) Limited. October 4, 2016 Hong Kong 100 % Jinko Solar (Shanghai) Management Co., Ltd July 25, 2012 PRC 100 % JinkoSolar Trading Privated Limited. February 6, 2017 India 100 % JinkoSolar LATAM Holding Limited. August 22, 2017 Hong Kong 100 % JinkoSolar Middle East DMCC November 6, 2016 Emirates 100 % Jinko Power International (Hongkong) Limited. July 10, 2015 Hong Kong 100 % JinkoSolar International Development Limited. August 28, 2015 Hong Kong 100 % Jinkosolar Household PV System Ltd. January 12, 2015 BVI 100 % Canton Best Limited(“Canton Best BVI”) September 16, 2013 BVI 100 % Wide Wealth Group Holding Limited.(“Wide Wealth Hong Kong”) June 11, 2012 Hong Kong 100 % Jiaxing Jinko Photovoltaic System Development Co., Ltd. December 26, 2016 PRC 100 % JinkoSolar (U.S.) Industries Inc. November 16, 2017 USA 100 % Poyang Ruilixin Information Technology Co., Ltd. December 19, 2017 PRC 100 % JinkoSolar Technology (Haining) Co., Ltd. ("Haining Jinko") December 15, 2017 PRC 71 % Jinko Solar Korea Co., Ltd. December 3, 2018 PRC Korea 100 % JinkoSolar (Sichuan) Co., Ltd. ("Jinko Sichuan") February 18, 2019 PRC PRC 70 % JinkoSolar (Vietnam) Co., Ltd. September 26, 2019 Vietnam 100 % JinkoSolar (Qinghai) Co., Ltd. April 3, 2019 PRC PRC 55 % Jinko PV Material Supply SDN. BHD September 23, 2019 Malaysia 100 % JinkoSolar (Chuzhou) Co., Ltd. ("Jinko Chuzhou") December 26, 2019 PRC PRC 55 % JinkoSolar (Yiwu) Co., Ltd. ("Jinko Yiwu") September 19, 2019 PRC PRC 55 % |
PRINCIPAL ACCOUNTING POLICIES_2
PRINCIPAL ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
PRINCIPAL ACCOUNTING POLICIES | |
Schedule of cash, cash equivalents and restricted cash as reported in the consolidated statement of cash flows | As of December 31, 2018 2019 RMB RMB Cash and cash equivalents 3,104,916,803 5,653,853,691 Restricted cash 377,110,770 576,546,098 Cash and cash equivalents included in held-for-sale assets — 43,558,640 Total 3,482,027,573 6,273,958,429 |
Schedule of adopting ASC 606 on the consolidation statements of operations & consolidated balance sheet | For the year ended December 31, 2018 Balances Without Effect of Change As reported Adoption of ASC 606 Higher/(Lower) RMB RMB RMB Total revenues 25,042,613,341 25,015,058,894 27,554,447 Income from continuing operations before income taxes 407,375,203 379,820,756 27,554,447 Income tax expenses (4,409,523) (8,542,690) (4,133,167) Net income 405,575,533 382,154,253 23,421,280 As of December 31, 2018 Balances Without Effect of Change As reported Adoption of ASC 606 Higher/(Lower) RMB RMB RMB ASSETS Current assets: Accounts receivable, net - third parties 5,436,370,691 5,408,816,244 27,554,447 Non-current assets: Deferred tax assets 338,069,324 342,202,491 (4,133,167) Shareholders’ equity: Retained earnings 3,202,528,312 3,179,107,032 23,421,280 |
Schedule of accrued warranty cost | For the year ended December 31 2017 2018 2019 RMB RMB RMB At beginning of year 575,254,503 643,307,854 656,677,245 Additions 299,331,079 278,417,311 303,652,391 Utilization (114,112,651) (102,600,327) (85,035,667) Reversal to selling and marketing expense (117,165,077) (162,447,593) (123,853,626) At end of year 643,307,854 656,677,245 751,440,343 |
REVENUES (Tables)
REVENUES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
REVENUES | |
Schedule of Revenues by Product | The Group’s revenues for the respective periods are detailed as follows: For the years ended December 31 2017 2018 2019 RMB RMB RMB Sales of solar modules 25,656,934,835 24,090,687,469 28,500,123,425 Sales of silicon wafers 455,695,782 567,241,687 913,702,864 Sales of solar cells 346,069,432 291,232,876 282,407,099 Sales of solar projects — 93,451,309 — Revenue from generated electricity 14,243,405 — 50,054,371 Total 26,472,943,454 25,042,613,341 29,746,287,759 |
Schedule of Revenues by Geographic Area | The following table summarizes the Group’s net revenues generated in respective region: For the years ended December 31 2017 2018 2019 RMB RMB RMB Inside China (including Hong Kong and Taiwan) 9,854,855,071 6,610,688,059 5,195,021,423 North America 4,113,448,120 2,746,348,909 7,550,454,941 Europe 2,080,154,303 1,984,476,407 5,201,919,985 Asia Pacific 3,721,851,092 6,575,869,478 7,304,164,060 Rest of the world 6,702,634,868 7,125,230,488 4,494,727,350 Total 26,472,943,454 25,042,613,341 29,746,287,759 |
INTEREST EXPENSES, NET (Tables)
INTEREST EXPENSES, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
INTEREST EXPENSES, NET | |
Interest Income and Interest Expense Disclosure | For the years ended December 31 2017 2018 2019 RMB RMB RMB Interest expenses 321,477,539 429,347,128 605,882,474 Less: Interest capitalization (17,662,780) (51,243,764) (43,841,311) Less: Interest income (58,810,161) (83,461,323) (170,984,099) Amortisation of bond issuance costs 525,000 1,050,000 525,000 Total 245,529,598 295,692,041 391,582,064 |
OTHER INCOME_(EXPENSES), NET (T
OTHER INCOME/(EXPENSES), NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
OTHER INCOME/(EXPENSES), NET | |
Schedule of Other Nonoperating Income (Expense) | For the years ended December 31 2017 2018 2019 RMB RMB RMB Guarantee income 65,935,450 26,229,524 18,574,433 Donations (6,288,539) (412,465) (701,000) Total 59,646,911 25,817,059 17,873,433 |
TAXATION (Tables)
TAXATION (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
TAXATION | |
Schedule of Earnings Before Income Taxes | For the year ended December 31 2017 2018 2019 RMB RMB RMB Cayman Islands 8,709,933 57,199,049 (22,036,601) PRC 438,904,245 532,128,623 498,042,536 Other countries (298,739,141) (181,952,469) 775,180,276 Income before income taxes 148,875,037 407,375,203 1,251,186,211 |
Schedule of Current and Deferred Income Taxes | For the year ended December 31 2017 2018 2019 Current income tax (expenses)/benefits RMB RMB RMB PRC (39,138,531) (37,136,613) (25,562,374) Other countries 27,002,786 (74,198,842) 39,207,147 Total current income tax expenses (12,135,745) (111,335,455) 13,644,773 Deferred tax (expenses)/benefits 7,507,742 106,925,932 (291,623,774) Income tax expenses, net (4,628,003) (4,409,523) (277,979,001) |
Schedule of Income Tax Rate Reconciliation | For the year ended December 31 2017 2018 2019 % % % Statutory CIT rate 25.0 25.0 25.0 Effect of permanent differences: —Share-based compensation expenses 6.6 1.1 0.1 —Change in fair value of convertible senior notes and call options 0.0 0.0 0.6 —Accrued payroll and welfare expenses 13.4 4.2 0.5 —Change of enacted tax rate (12.1) (3.2) 0.7 —Other tax preferences (42.3) (19.5) (7.0) Difference in tax rate of subsidiaries outside the PRC 7.5 0.6 4.5 Effect of tax holiday for subsidiaries (8.8) (14.0) (4.6) Change in valuation allowance 13.8 6.9 2.4 Effective tax rate 3.1 1.1 22.2 |
Schedule of Aggregate Amount and Per Share Effect of Reduction of CIT | For the year ended December 31 2017 2018 2019 RMB RMB RMB The aggregate amount of effect 36,268,723 57,284,294 57,373,029 Per share effect—basic 0.28 0.37 0.34 Per share effect—diluted * 0.27 0.37 0.34 |
Schedule of Noncurrent Deferred Tax Assets | As of December 31 2018 2019 RMB RMB Net operating losses 315,472,145 367,045,173 Accrued warranty costs 137,737,283 171,396,603 Provision for inventories, accounts receivable, other receivable 46,850,223 56,512,918 Timing difference for revenue recognition of retainage contract 9,486,524 8,337,383 Other temporary differences 63,601,889 49,723,467 Impairment for property, plant and equipment 5,667,933 18,310,891 Total deferred tax assets 578,815,997 671,326,435 Less: Valuation allowance (114,620,700) (144,316,817) Less: Deferred tax liabilities in the same tax jurisdiction (126,125,973) (255,723,355) Deferred tax assets 338,069,324 271,286,263 Timing difference for project assets, property, plant and equipment (126,125,973) (349,000,757) Timing difference for refund of countervailing duties — (119,355,270) Other temporary differences (25,893,228) (38,101,269) Total deferred tax liabilities (152,019,201) (506,457,296) Less: Deferred tax assets in the same tax jurisdiction 126,125,973 255,723,355 Deferred tax liabilities (25,893,228) (250,733,941) |
Schedule of Movement of Valuation Allowances | For the year ended December 31 2017 2018 2019 RMB RMB RMB At beginning of year (66,223,501) (86,443,363) (114,620,700) Current year additions (42,043,420) (29,565,816) (62,415,889) Utilization and reversal of valuation allowances 21,823,558 1,388,479 32,719,772 At end of year (86,443,363) (114,620,700) (144,316,817) |
ACCOUNTS RECEIVABLE, NET-THIR_2
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES | |
Schedule of Accounts Receivable | As of December 31, 2018 2019 RMB RMB Accounts receivables 5,692,976,209 5,584,548,167 Allowance for doubtful accounts (256,605,518) (318,197,517) Accounts receivable, net 5,436,370,691 5,266,350,650 |
Schedule of Movement of Allowance for Doubtful Accounts | As of December 31, 2017 2018 2019 RMB RMB RMB At beginning of year 376,574,061 264,656,904 256,605,518 Addition 147,474,390 149,029,546 166,432,303 Reversal (259,391,547) (157,080,932) (104,840,304) At end of year 264,656,904 256,605,518 318,197,517 |
ADVANCES TO SUPPLIERS, NET - _2
ADVANCES TO SUPPLIERS, NET - THIRD PARTIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
ADVANCES TO SUPPLIERS, NET - THIRD PARTY | |
Schedule of Advances to Suppliers | As of December 31, 2018 2019 RMB RMB Advances to suppliers - current 672,745,598 2,529,898,199 Provision for advances to suppliers (7,524,746) (7,524,746) Advances to suppliers, net 665,220,852 2,522,373,453 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
INVENTORIES | |
Schedule of Inventories | As of December 31, 2018 2019 RMB RMB Raw materials 1,337,270,185 1,350,518,751 Work-in-progress 1,553,346,553 792,495,823 Finished goods 2,852,711,200 3,675,774,411 Total 5,743,327,938 5,818,788,985 |
PREPAYMENTS AND OTHER CURRENT_2
PREPAYMENTS AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
PREPAYMENTS AND OTHER CURRENT ASSETS | |
Schedule of Prepayments and Other Current Assets | As of December 31, 2018 2019 RMB RMB Value-added tax deductible (a) 899,664,288 701,407,085 Deposit for customer duty, bidding and others 132,370,773 257,678,467 Prepayment of electricity and others 67,028,909 181,596,189 Loan receivable (b) — 91,416,575 Prepayment for income tax 46,293,505 72,143,019 Receivable related to disposal of subsidiaries (note 1) 169,931,601 41,793,099 Receivable of option exercised — 40,338,943 Prepaid insurance premium 34,237,367 28,351,182 Receivables related to discount from a supplier 26,497,935 21,492,474 Receivables related to disposal of land use rights (c) 25,326,877 14,571,587 Employee advances (d) 4,721,001 10,134,076 Rental deposit and prepayment 7,854,676 7,953,767 Prepaid professional service fee 413,727 421,502 Refund receivable of U.S. countervailing duties (note 16) 209,450,023 — Prepaid commission 8,705,847 — Others 80,392,274 104,183,975 Total 1,712,888,803 1,573,481,940 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
PROPERTY, PLANT AND EQUIPMENT, NET | |
Schedule of net value of leased assets | As of December 31, 2018 2019 RMB RMB Buildings 2,263,778,746 3,567,558,224 Machinery and equipment 7,402,215,351 8,785,627,088 Motor vehicles 41,488,896 45,116,481 Furniture, fixture and office equipment 409,261,873 501,050,699 10,116,744,866 12,899,352,492 Less: Accumulated depreciation (3,087,018,295) (3,497,199,736) Subtotal 7,029,726,571 9,402,152,756 Construction in progress 1,246,173,113 806,051,793 Property, plant and equipment, net 8,275,899,684 10,208,204,549 |
PROJECT ASSETS, NET (Tables)
PROJECT ASSETS, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
PROJECT ASSETS, NET | |
Schedule of project assets and related accumulated depreciation | As of December 31, 2018 2019 RMB RMB Completed 879,954,662 747,152,262 Under construction 890,666,423 77,241,880 1,770,621,085 824,394,142 Less: Accumulated depreciation — (26,151,013) Project Assets, net 1,770,621,085 798,243,129 |
LAND USE RIGHTS, NET (Tables)
LAND USE RIGHTS, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
LAND USE RIGHTS, NET | |
Schedule of Land Use Rights | As of December 31, 2018 2019 RMB RMB Land use rights 639,222,396 674,173,731 Less: accumulated amortization (64,277,210) (76,251,281) Land use rights, net 574,945,186 597,922,450 |
INTANGIBLE ASSETS, NET (Tables)
INTANGIBLE ASSETS, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
INTANGIBLE ASSETS, NET | |
Schedule of Intangible Assets | As of December 31, 2018 2019 RMB RMB Trademark 4,653,340 4,653,340 Computer software 46,119,755 53,975,740 Less: accumulated amortization (15,411,685) (22,234,024) Intangible assets, net 35,361,410 36,395,056 |
OTHER ASSETS -THIRD PARTIES (Ta
OTHER ASSETS -THIRD PARTIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
OTHER ASSETS - THIRD PARTIES | |
Schedule of Other Assets | As of December 31, 2018 2019 RMB RMB Prepayments for purchase of property, plant and equipment 467,848,176 560,182,033 Refund receivable of U.S. countervailing duties and anti-dumping duties — 427,796,666 Deferred losses related to sale-leaseback transactions before January 1, 2019 (note 20) 217,127,346 183,566,444 Deposit for rent and others 67,283,761 170,335,718 Prepayment for warranty insurance premium 121,339,137 111,611,828 Value-added tax recoverable for solar power plants 30,217,620 — Prepayment of income tax attributable to intercompany transactions 8,394,367 13,199,456 Total 912,210,407 1,466,692,145 |
OTHER PAYABLES AND ACCRUALS (Ta
OTHER PAYABLES AND ACCRUALS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
OTHER PAYABLES AND ACCRUALS | |
Schedule of Other Payables and Accruals | As of December 31, 2018 2019 RMB RMB Payables for purchase of property, plant and equipment 1,036,077,418 1,907,043,892 Freight payables 354,320,859 463,924,999 Countervailing and anti-dumping duty 176,534,482 326,735,668 Accrued warranty cost 83,035,845 99,471,928 Accrued utilities, rentals and interest 66,013,084 86,349,122 Contracted labor fee 62,191,471 55,971,430 Value-added tax and other tax payables 54,126,560 43,243,416 Commission payables 92,962,871 30,558,458 Accrued professional service fees 10,432,042 10,881,679 Insurance premium payables 1,024,587 740,908 Finance lease payables (note 2al) 287,441,586 — Accrued income tax associated with intercompany transactions 25,962,700 — Public offering issuance cost 2,328,174 — Government grants related to assets 2,018,720 — Others 26,554,161 31,008,256 Total 2,281,024,560 3,055,929,756 |
BORROWINGS (Tables)
BORROWINGS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
BORROWINGS | |
Schedule of Short-term Borrowings | As of December 31, 2018 2019 RMB RMB Short-term borrowings 6,916,827,666 8,517,391,989 Long-term borrowings—current portion 186,571,525 529,857,922 Total short-term borrowings 7,103,399,191 9,047,249,911 |
Schedule of Type of Short-term Borrowings | Details of the Group’s short-term borrowings as of December 31, 2019 are: Type of loan As of December 31, 2019 Guarantee/Collateral Credit loan 351,688,734 a) Letter of credit loan 1,432,899,992 a) 1,657,515,587 Guaranteed by JinkoSolar Holding b) 90,136,520 Guaranteed by JinkoSolar Holding and Zhejiang Jinko b) 80,000,000 Guaranteed by JinkoSolar Holding and Jiangxi Jinko b) 886,235,381 Guaranteed by Jiangxi Jinko b) 779,858,130 Guaranteed by Zhejiang Jinko b) 50,000,000 Collateralized on Jiangxi Jinko's share c) Guaranteed by subsidiaries of the 749,835,112 Collateralized on Jiangxi Jinko's Account receivables d) Group and/or collateralized on the 60,000,000 Collateralized on Zhejiang Jinko's Account receivables d) Group’s assets 100,000,000 Collateralized on bank deposits of Zhejiang Jinko e) 90,969,648 Collateralized on bank deposits of Jiangxi Import & Export Company e) 62,000,000 Collateralized on bank deposits of Jiangxi Jinko e) 10,000,000 Collateralized on bank deposits of Jiangxi Photovoltaic Material e) 4,784,865 Collateralized on bank deposits of Jinko USA e) 7,046,074 Collateralized on the Group's inventory f) 428,138,525 Financings associated with failed sale-leaseback transactions g) 2,206,141,343 Guaranteed and collateralized on buildings, equipment and other assets of the Group h) Total 9,047,249,911 a) As of December 31, 2019, the Group had short-term bank borrowings of RMB 351,688,734 credit loans, RMB 1,432,899,992 letter of credit loan. The remaining short-term bank borrowings of RMB 7,262,661,185 were either guaranteed by other parties and/or collateralized on the Group’s assets, detailed as following: b) Borrowings of RMB 1,657,515,587 guaranteed by JinkoSolar Holding, RMB 90,136,520 guaranteed by JinkoSolar Holding and Zhejiang Jinko, RMB 80,000,000 guaranteed by JinkoSolar Holding and Jiangxi Jinko, RMB 886,235,381 guaranteed by Jiangxi Jinko, RMB 779,858,130 guaranteed by Zhejiang Jinko, respectively. c) Borrowings of RMB 50,000,000 collateralized on the Jiangxi Jinko’s share pledge. d) Borrowings of RMB 749,835,112 collateralized on the account receivables of Jiangxi Jinko, and borrowing of RMB 60,000,000 collateralized on the account receivables of Zhejiang Jinko. e) Borrowings of RMB 100,000,000 collateralized on the bank deposit of Zhejiang Jinko, RMB 90,969,648 collateralized on the bank deposit by JinkoSolar Import & Export Company, RMB 62,000,000 collateralized on the bank deposit of Jiangxi Jinko, RMB 10,000,000 collateralized on the bank deposit of Jiangxi Jinko Photovoltaic Material, RMB 4,784,865 collateralized on the bank deposit of Jinko USA. f) Borrowing of RMB 7,046,074 collateralized on the Group’s certain inventories. g) As of December 31, 2019, the Company recorded financings associated with failed sale-leaseback transactions with the amount of RMB 140,055,814 under short-term borrowings, RMB 725,604,249 under long-term borrowings, including RMB 288,082,711 as current portion (Note 19(b)). h) Borrowings of RMB 2,206,141,343 collateralized on the Group’s certain building and equipment, including RMB 456,180,000 which were also collateralized on the Group’s certain land use rights, and RMB 146,180,000 were also collateralized on the Group’s certain inventory. In addition, included in these borrowings there were borrowings of RMB 290,000,000 guaranteed by JinkoSolar Holding and Zhejiang Jinko, RMB 309,000,000 guaranteed by Jiangxi Jinko, RMB 75,000,000 guaranteed by Jiangxi Jinko and Zhejiang Trading, RMB 1,143,817,971 guaranteed by Zhejiang Jinko and Jiangxi Heji, RMB 50,000,000 guaranteed by shareholders (Xiande Li). |
Schedule of Long-term Borrowings | As of December 31, 2018 2019 RMB RMB Long-term bank borrowings 2,141,402,299 1,390,440,838 Long-term financings associated with failed sale-leaseback transactions — 725,604,249 Less: Current portion of long-term bank borrowings (186,571,525) (241,775,211) Less: Current portion of financings associated with failed sale-leaseback transactions — (288,082,711) Total long-term borrowings 1,954,830,774 1,586,187,165 |
Schedule of Long-term Future Principal Repayments | Year ended December 31, RMB 2020 529,857,922 2021 623,041,126 2022 121,985,440 2023 97,463,105 2024 100,908,790 Thereafter 642,788,704 Total 2,116,045,087 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Sale Leaseback Transaction [Line Items] | |
Schedule of components of lease expenses | (a) The components of lease expenses were as follows: Year ended December 31, 2019 RMB Lease cost: Amortization of right-of-use assets 145,539,290 Interest of lease liabilities 45,811,621 Expenses for short-term lease within 12 months 5,064,442 Total lease cost 196,415,353 (b) Supplemental cash flow information related to leases was as follows: Year ended December 31, 2019 RMB Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows for operating leases 50,758,114 Operating cash outflows for finance leases 23,340,016 Financing cash outflows for finance leases 284,089,511 Total cash paid for amounts included in the measurement of lease liabilities: 358,187,641 Lease obligation assumed in exchange for right-of-use assets: Operating lease liabilities 269,671,708 Finance lease liabilities 937,056,577 Total lease obligation assumed in exchange for right-of-use assets: 1,206,728,285 (c) Supplemental balance sheet information related to leases was as follows: Year ended December 31, 2019 Weighted-average remaining lease term 3.57 years Weighted-average discount rate 5.64 % |
Schedule of maturities of finance lease liabilities | Year ending December 31, RMB Year ended December 31, 2020 315,373,609 2021 349,235,068 2022 221,652,540 Thereafter 387,198,829 Total undiscounted lease payments 1,273,460,046 Less: imputed interest (142,779,127) Total lease liabilities 1,130,680,919 |
Schedule of maturities of operating lease liabilities | Year ending December 31, RMB Year ended December 31, 2020 319,098,599 2021 349,235,068 2022 221,652,540 Thereafter 387,198,829 Total minimum lease payments 1,277,185,036 |
Schedule of net value of leased assets | As of December 31, 2018 2019 RMB RMB Buildings 2,263,778,746 3,567,558,224 Machinery and equipment 7,402,215,351 8,785,627,088 Motor vehicles 41,488,896 45,116,481 Furniture, fixture and office equipment 409,261,873 501,050,699 10,116,744,866 12,899,352,492 Less: Accumulated depreciation (3,087,018,295) (3,497,199,736) Subtotal 7,029,726,571 9,402,152,756 Construction in progress 1,246,173,113 806,051,793 Property, plant and equipment, net 8,275,899,684 10,208,204,549 |
Machinery And Equipment Under Lease [Member] | |
Sale Leaseback Transaction [Line Items] | |
Schedule of net value of leased assets | As of December 31, 2018 2019 RMB RMB Equipment 936,961,787 1,510,944,643 Less: accumulated depreciation (116,935,527) (251,231,428) Net Value 820,026,260 1,259,713,215 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
EARNINGS PER SHARE | |
Schedule of Earnings Per Share | For the years ended December 31, 2017 2018 2019 RMB RMB RMB Numerator: Net income 142,191,365 405,575,533 924,352,495 Less: Net (loss)/income attributable to non-controlling interests 485,676 (903,161) 25,690,269 Net income attributable to JinkoSolar’s ordinary shareholders 141,705,689 406,478,694 898,662,226 Dilutive effects of call option — — (91,066,662) Numerator for diluted income per share 141,705,689 406,478,694 807,595,564 Denominator: Denominator for basic earnings per share - weighted average number of ordinary shares outstanding 128,944,330 153,806,379 169,363,306 Dilutive effects of share options 2,742,900 897,786 1,909,930 Dilutive effects of call option — — (4,705,479) Denominator for diluted calculation - weighted average number of ordinary shares outstanding 131,687,230 154,704,166 166,567,757 Basic earnings per share attributable to JinkoSolar’s ordinary shareholders 1.10 2.64 5.31 Diluted earnings per share attributable to JinkoSolar’s ordinary shareholders 1.08 2.63 4.85 |
SHARE BASED COMPENSATION (Table
SHARE BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
SHARE BASED COMPENSATION | |
Summary of Stock Option Activity | Number of Weighted-average option Weighted-average remaining Aggregate outstanding exercise price contractual term intrinsic value (US$/share) (in years) (RMB) Balance as of January 1, 2019 8,453,372 3.34 — — Granted — — — — Exercise (3,378,060) 3.35 — — Forfeited (520,024) 3.29 — — Balance as of December 31, 2019 4,555,288 3.34 4.73 73,353,508 Vested and expected to vest as of December 31, 2019 4,456,440 3.39 4.59 70,161,689 Vested and exercisable as of December 31, 2019 4,279,300 3.41 4.54 67,601,773 |
Schedule of Expense Allocation | As of December 31, 2017 2018 2019 RMB RMB RMB Costs of revenues 2,219,311 967,367 (771,464) Selling expenses 12,722,162 6,415,213 3,424,973 General and administrative expenses 46,017,821 24,066,459 1,140,815 Research and development expenses 3,908,608 (2,141,136) 783,991 Total 64,867,902 29,307,903 4,578,315 |
RELATED PARTY TRANSACTIONS AN_2
RELATED PARTY TRANSACTIONS AND BALANCES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
RELATED PARTY TRANSACTIONS AND BALANCES | |
Schedule of related party balances | 2018 2019 December 31 December 31 RMB RMB Accounts receivable from related parties: Accounts receivable from JinkoPower for sales of solar modules and others 522,619,737 484,317,935 Accounts receivable from Sweihan PV Power Company P.S.J.C ("Sweihan PV", which develops and operates solar power projects in Dubai) 127,779,355 36,185,644 Accounts receivable from Jiangsu Jinko-Tiansheng Co., Ltd. (“Jinko-Tiansheng”, in which JinkoSolar owns 30% equity interests) 25,368,631 — Subtotal 675,767,723 520,503,579 Notes receivables from related parties: Notes receivables from JinkoPower for provision of guarantee — 18,628,574 Other receivables from related parties: Advances of travel and other business expenses to executive directors who are also shareholders — 75,234 Other receivables from JinkoPower for miscellaneous transactions 8,296,133 21,995,622 Prepayments to JinkoPower for outsourcing services 55,514,313 32,247,424 Other receivables from JinkoPower for provision of guarantee 3,919,423 — Subtotal 67,729,869 54,318,280 Other assets from related parties: Guarantee receivables due from JinkoPower 144,983,745 96,753,306 Accounts payable due to a related party: Accounts payable due to subsidiaries of Renesola Zhejiang Ltd. ("ReneSola", controlled by an immediate family member of the principal shareholders and directors of the Company, who are the executive officers of the Company) 698,043 — Accounts payable due to Jinko-Tiansheng — 36,309,710 Advances from related parties: Advances from JinkoPower for sales of solar modules 910,086 748,615 Notes payables due to related parties: Notes payables due to JinkoPower 35,000,000 — Other payables due to a related party: Other payables to Jiangxi Desun Energy Co., Ltd.(“Jiangxi Desun”, an entity in which our founders and substantial shareholders, Xiande Li, Kangping Chen and Xianhua Li, each holds more than 10%, and collectively hold 73%, of the equity interest) for leasing of land and buildings 9,704,152 10,784,038 Other payables due to JinkoPower for payments on behalf of the Company 11,058,987 2,343,314 Other payables of travel and other business expense reimbursement to executive directors who are also shareholders 55,457 — Subtotal 20,818,596 13,127,352 (1) Mr Xianshou Li, chairman and chief executive officer of Renesola is the brother of Mr Xiande Li, chairman of the board of directors of the Company. (2) Advances of travel and other business expenses to executive directors who are also shareholders represent the amounts the Company advanced to them for expected expenses, charges and incidentals relating to their business development activities. (3) Balances due to related parties are interest-free, not collateralized, and have no definitive repayment terms . |
Schedule of Transactions with Related Parties | For the years ended December 31, 2017 2018 2019 RMB RMB RMB Revenue from sales of products and providing services to related parties Revenue from sales of products to Sweihan PV (an associate entity) 1,219,803,260 1,416,020,214 144,287,938 Revenue from sales of products to JinkoPower 453,251,266 38,895,833 7,812,477 Income of financing guarantees 64,225,858 26,229,524 18,574,433 Rental services provided to JinkoPower 2,142,018 2,177,280 2,177,280 Revenue from sales of products to a subsidiary of ReneSola 6,474,041 47,388 - Purchase of raw materials from related partie Raw materials purchased from a subsidiary of ReneSola 2,866,904 — - Service expenses provided by related parties Processing fee of OEM service charged by Jiangsu Jinko-Tiansheng 8,375,075 19,741,927 39,565,882 Solar project management service provided by JinkoPower 2,735,269 20,842,153 23,266,889 Construction service of solar project provided by JinkoPower — 25,769,137 8,935,653 Rental services provided by Jiangxi Desun 1,100,304 1,100,304 1,100,304 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
COMMITMENTS AND CONTINGENCIES | |
Schedule of Long-term Purchase Commitment | Year ending December 31, RMB 2020 1,545,563,682 2021 188,509,720 Total 1,734,073,402 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
FAIR VALUE MEASUREMENTS | |
Schedule of Investments Measured at Fair Value on Recurring Basis | Fair Value Measurements at Reporting Date Using Quote prices in Balance as of active market Significant other Significant December 31, for identical observable unobservable Description 2018 assets (Level 1) inputs (Level 2) inputs (Level 3) Assets: Foreign exchange forward contracts- receivable 1,192,168 — 1,192,168 — Foreign exchange options 846,718 — — 846,718 Liabilities: Convertible senior notes 68,632 — — 68,632 Guarantee liabilities 92,404,068 — — 92,404,068 Foreign exchange forward contracts- payable 9,463,728 — 9,463,728 — Derivative liability interest rate swap 12,786,001 — — 12,786,001 Fair Value Measurements at Reporting Date Using Quote prices in Balance as of active market Significant other Significant December 31, for identical observable unobservable Description 2019 assets (Level 1) inputs (Level 2) inputs (Level 3) Assets: Foreign exchange forward contracts- receivable 52,281,183 — 52,281,183 — Call options 294,177,634 — — 294,177,634 Liabilities: Convertible senior notes 728,215,869 — — 728,215,869 Guarantee liabilities 72,019,365 — — 72,019,365 Foreign exchange forward contracts- payable 3,856,561 — 3,856,561 — Derivative liability interest rate swap 61,271,965 — — 61,271,965 |
Schedule of Reconciliation of Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs | For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, 423,739,708 65,342 68,632 Issuance of convertible senior notes — — 585,301,500 Foreign exchange (gain)/loss (845,071) 3,290 7,675,500 Change in fair value of convertible senior notes — — 114,149,092 Change in the instrument-specific credit risk — — 21,089,777 Repurchase of convertible senior notes (422,829,295) — (68,632) Balance at December 31, 65,342 68,632 728,215,869 A summary of changes in Level 3 fair value of call option for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, — — — Issuance of call options — — 206,577,000 Foreign exchange (gain)/loss — — 2,709,000 Change in fair value of call options — — 84,891,634 Balance at December 31, — — 294,177,634 A summary of changes in Level 3 fair value of foreign exchange options for the year ended December 31, 2017, 2018 and 2019 were as follows: For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, — — 846,718 Purchase of foreign exchange options — 10,566,900 — Cash Settlement — (516,012) Change in fair value of foreign exchange options — (9,720,182) (330,706) Balance at December 31, — 846,718 — |
Schedule of Change in Fair Value of rate swap Derivatives | For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, 10,364,075 26,486,388 12,786,001 Change in fair value of interest rate swap 16,122,313 (9,701,051) 69,974,512 Cash settlement — (3,999,336) (21,488,548) Balance at December 31, 26,486,388 12,786,001 61,271,965 |
Schedule of Change in Fair Value of Derivatives | For the year ended December 31, 2017 2018 2019 RMB RMB RMB Balance at January 1, 226,086,556 148,187,615 92,404,068 Additions 5,122,691 1,425,026 2,164,200 Amortization (47,292,776) (28,243,063) (18,574,433) Cancellation (35,728,856) (28,965,510) (3,974,470) Balance at December 31, 148,187,615 92,404,068 72,019,365 Foreign exchange forward Type of derivatives For the year ended contracts Convertible Interest Foreign exchange December 31, Realized Unrealized senior notes Rate swap Call option options Total (In RMB) 2017 (3,690,785) (4,520,619) — (16,122,313) — — (24,333,717) 2018 (42,614,340) (1,475,360) — 9,701,051 — (9,720,182) (44,108,831) 2019 (126,708,753) 48,425,227 (114,149,092) (69,974,512) 84,891,634 (330,706) (177,846,202) |
ADDITIONAL INFORMATION-CONDEN_2
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT | |
Condensed Statements of Operations | For the year ended December 31 2017 2018 2019 RMB RMB RMB USD (note 2 (ak)) Net revenue — — — — Cost of revenues — — — — Gross profit — — — — Total operating (expenses)/income (3,139,147) (2,267,582) 474,214 68,117 Other income, net 8,825,212 6,249,651 8,922,475 1,281,633 Income/(loss) from operations 5,686,065 3,982,069 9,396,689 1,349,750 Convertible senior notes issuance costs (18,646,101) (2,678,345) Share of income from subsidiaries and affiliates 124,171,093 348,543,952 911,593,940 130,942,276 Interest (expenses)/income, net (1,563,985) (722) 8,421,898 1,209,730 Exchange gain/(loss) 13,412,516 53,953,395 17,153,258 2,463,910 Change in fair value of convertible senior notes and call option — — (29,257,458) (4,202,571) Income before income taxes 141,705,689 406,478,694 898,662,226 129,084,750 Income tax expenses — — — — Net income attributable to JinkoSolar Holding Co., Ltd.’s ordinary shareholders 141,705,689 406,478,694 898,662,226 129,084,750 |
Condensed Balance Sheets | December 31, 2018 December 31, 2019 RMB RMB USD (note 2 (ak)) ASSETS Current assets: Cash and cash equivalent 3,509,861 4,556,832 654,548 Due from subsidiaries 2,509,376,092 3,427,985,887 492,399,363 Due from related parties 3,919,423 16,791,784 2,411,989 Other current assets 152,275 40,601,328 5,832,016 Total current assets 2,516,957,651 3,489,935,831 501,297,916 Investments in subsidiaries 6,843,226,906 7,775,688,241 1,116,907,731 Due from related parties - non current 40,402,875 48,471,930 6,962,557 Call Option — 294,177,634 42,255,975 Other non-current assets — 11,961,460 1,718,156 Total assets 9,400,587,432 11,620,235,096 1,669,142,335 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities: Due to subsidiaries 1,531,072,256 1,564,636,609 224,745,986 Due to related parties 3,939,224 3,061,179 439,711 Other current liabilities 4,129,886 6,076,910 872,894 Convertible senior notes-current 68,632 — — Total current liabilities 1,539,209,998 1,573,774,698 226,058,591 Due to related parties – non-current 21,486,120 14,926,514 2,144,060 Convertible senior notes — 728,215,869 104,601,665 Total liabilities 1,560,696,118 2,316,917,081 332,804,316 Shareholders’ equity: Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 133,869,274 and 180,653,497 shares issued as of December 31, 2018 and December 31, 2019, respectively, shares outstanding as of December 31, 2018 and December 31, 2019, respectively.) 21,727 24,767 3,558 Additional paid-in capital 4,010,739,727 4,582,849,862 658,285,194 Accumulated other comprehensive income 70,300,898 62,952,198 9,042,517 Treasury stock, at cost; 1,723,200 ordinary shares as of December 31, 2018 and December 31, 2019 (13,875,553) (13,875,553) (1,993,098) Retained earnings 3,772,704,515 4,671,366,741 670,999,848 Total shareholders’ equity 7,839,891,314 9,303,318,015 1,336,338,019 Total liabilities and shareholders’ equity 9,400,587,432 11,620,235,096 1,669,142,335 |
Condensed Cash Flows | For the year ended December 31, 2017 2018 2019 RMB RMB RMB USD (note 2 (ak)) Cash flows from operating activities: Net income 141,705,689 406,478,694 898,662,226 129,084,752 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Issuance cost paid for issuance of convertible senior notes — — 18,646,101 2,678,345 Change in fair value of convertible senior notes — — 114,149,092 16,396,491 Change in fair value of call option — — (84,891,634) (12,193,920) Share of income from subsidiaries (124,171,093) (348,543,952) (911,593,940) (130,942,276) Guarantee income (8,825,212) (6,249,651) (8,922,475) (1,281,633) Exchange (gain)/loss (13,412,516) (53,953,395) (17,153,258) (2,463,910) Changes in operating assets and liabilities: (Increase)/decrease in due from subsidiaries 410,590,040 (1,895,298,545) (871,067,726) (125,121,052) (Increase)/decrease in other current assets 5,742,872 200,153 (110,110) (15,816) Increase/(decrease) in due to subsidiaries (37,268,274) 1,177,359,405 (14,890,886) (2,138,942) Increase/(decrease) in other current liabilities (10,018,710) (166,056) 1,096,958 157,567 Net cash provided by operating activities 364,342,796 (720,173,347) (876,075,652) (125,840,394) Cash flows from investing activities: Cash paid for call option — — (216,905,850) (31,156,576) Net cash used in investing activities — — (216,905,850) (31,156,576) Cash flows from financing activities: Proceeds from exercise of share options 69,929,453 44,278,857 38,245,122 5,493,568 Repurchase of convertible senior notes (422,829,295) — (68,632) (9,858) Proceeds from issuance of convertible senior notes — — 585,301,500 84,073,300 Proceeds from issuance of ordinary shares 663,232,926 488,950,795 70,233,387 Issuance cost paid for issuance of convertible senior notes — — (18,646,101) (2,678,345) Net cash used in financing activities (352,899,842) 707,511,783 1,093,782,684 157,112,052 Effect of foreign exchange rate changes on cash and cash equivalents (551,797) 464,662 245,789 35,306 Net increase/(decrease) in cash and cash equivalents 10,891,157 (12,196,902) 1,046,971 150,388 Cash and cash equivalents, beginning of year 4,815,606 15,706,763 3,509,861 504,160 Cash and cash equivalents, end of year 15,706,763 3,509,861 4,556,832 654,548 Supplemental disclosure of non-cash investing and financing cash flow information Proceeds from exercise of share options received in subsequent period 39,685,283 — 40,338,943 5,794,327 |
ORGANIZATION AND NATURE OF OP_3
ORGANIZATION AND NATURE OF OPERATIONS (Narrative) (Details) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Jun. 30, 2019CNY (¥) | Dec. 31, 2018CNY (¥) | Sep. 30, 2018CNY (¥) | Jun. 30, 2018CNY (¥) | Mar. 31, 2018JPY (¥) | Mar. 31, 2018EUR (€) | Mar. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2017USD ($) | Dec. 31, 2016CNY (¥) | Dec. 31, 2016USD ($) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018JPY (¥) | Dec. 31, 2018EUR (€) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2020CNY (¥) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Business Acquisition [Line Items] | ||||||||||||||||||||||
Equity Method Investment, Amount Sold | ¥ 99,800,000 | ¥ 996,420,932 | ¥ 58,854,599 | |||||||||||||||||||
Proceeds from Divestiture of Interest in Consolidated Subsidiaries | 198,291,138 | $ 28,482,740 | 11,760,083 | ¥ 15,448,469 | ||||||||||||||||||
Proceeds from Sale of Equity Method Investments | ¥ 28,634 | $ 4,383 | € 2,636,291 | 28,634 | ||||||||||||||||||
Revenues | 29,746,287,759 | 4,272,786,888 | 25,042,613,341 | 26,472,943,454 | ||||||||||||||||||
Cost of Revenue | 24,314,602,138 | 3,492,574,067 | 21,528,868,419 | ¥ 23,481,375,053 | ||||||||||||||||||
Equity Method Investment, Realized Gain (Loss) on Disposal | 19,900,000 | $ 2,900,000 | 9,425,366 | |||||||||||||||||||
Government Background Companies [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Outstanding consideration received | ¥ 845,800,000 | |||||||||||||||||||||
JinkoSolar Technology (Haining) Co., Ltd. ("Haining Jinko") [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Noncontrolling Interest, Ownership Percentage by Parent | 71.00% | 71.00% | 71.00% | |||||||||||||||||||
JinkoSolar Technology (Haining) Co., Ltd. ("Haining Jinko") [Member] | Government Background Companies [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Payments to Acquire Equity Method Investments | ¥ 517,000,000 | ¥ 517,000,000 | ||||||||||||||||||||
JinkoSolar (Sichuan) Co., Ltd. [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Noncontrolling Interest, Ownership Percentage by Parent | 70.00% | 70.00% | 70.00% | |||||||||||||||||||
JinkoSolar (Sichuan) Co., Ltd. [Member] | Government Background Companies [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Payments to Acquire Equity Method Investments | ¥ 800,000,000 | |||||||||||||||||||||
JinkoSolar (Chuzhou) Co., Ltd.[Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Noncontrolling Interest, Ownership Percentage by Parent | 55.00% | 55.00% | 55.00% | |||||||||||||||||||
JinkoSolar (Chuzhou) Co., Ltd.[Member] | Government Background Companies [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Payments to Acquire Equity Method Investments | ¥ 550,000,000 | |||||||||||||||||||||
JinkoSolar (Yiwu) Co., Ltd. [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Noncontrolling Interest, Ownership Percentage by Parent | 55.00% | 55.00% | 55.00% | |||||||||||||||||||
JinkoSolar (Yiwu) Co., Ltd. [Member] | Government Background Companies [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Payments to Acquire Equity Method Investments | ¥ 400,000,000 | |||||||||||||||||||||
Sale Of Projects [Member] | ASC 606 [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Revenues | ¥ 93,451,309 | 93,451,309 | ||||||||||||||||||||
Cost of Revenue | 69,133,413 | 69,133,413 | ||||||||||||||||||||
Jinko Solar South Africa [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Business Combination, Contingent Consideration, Liability | ¥ 1,000,000 | ¥ 1,000,000 | ||||||||||||||||||||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | ¥ 20,300 | |||||||||||||||||||||
Zhejiang Jinko Financial Leasing [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Gain (Loss) on Sale of Capital Leases, Net | ¥ 15,200,000 | $ 2,200,000 | ||||||||||||||||||||
Proceeds from Divestiture of Interest in Consolidated Subsidiaries | 183,000,000 | 26,400,000 | ||||||||||||||||||||
Proceeds from Sale of Equity Method Investments | 128,100,000 | 20,300,000 | ||||||||||||||||||||
Outstanding consideration | ¥ 41,800,000 | $ 6,000,000 | ||||||||||||||||||||
JinkoSolar International Development Limited [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Gain (Loss) on Sale of Capital Leases, Net | 100,000 | 20,000 | ||||||||||||||||||||
Proceeds from Divestiture of Interest in Consolidated Subsidiaries | ¥ 2,400,000 | $ 400,000 | ||||||||||||||||||||
Proceeds from Sale of Equity Method Investments | 1,300 | 200 | ||||||||||||||||||||
Gain (Loss) on Sale of Equity Investments | 154,800 | 23,800 | ||||||||||||||||||||
JinkoSolar International Development Limited Lotapera, S.L. [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Gain (Loss) on Sale of Capital Leases, Net | 102,300 | 15,700 | ||||||||||||||||||||
Proceeds from Divestiture of Interest in Consolidated Subsidiaries | ¥ 27,300 | $ 4,200 | ||||||||||||||||||||
Poyang Luohong [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Gain (Loss) on Sale of Capital Leases, Net | ¥ 19,900,000 | $ 2,900,000 | ||||||||||||||||||||
Equity Method Investment, Ownership Percentage | 51.00% | 51.00% | 51.00% | 51.00% | ||||||||||||||||||
Business Combination, Contingent Consideration, Liability | $ | $ 14,300,000 | |||||||||||||||||||||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | ¥ 19,900,000 | |||||||||||||||||||||
Payments to Acquire Equity Method Investments | ¥ 98,000,000 | |||||||||||||||||||||
Carrying amount of non-controlling interest eliminated | 97,800,000 | ¥ 97,800,000 | ||||||||||||||||||||
Poyang Luohong [Member] | Jinko Solar South Africa [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Business Combination, Contingent Consideration, Liability | ¥ 99,800,000 | ¥ 99,800,000 | ||||||||||||||||||||
Hirasawa Power [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Equity Method Investment, Amount Sold | ¥ 996,420,932 | |||||||||||||||||||||
Tirli [Member] | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||
Proceeds from Sale of Equity Method Investments | € | € 2,636,291 | |||||||||||||||||||||
Equity Method Investment, Realized Gain (Loss) on Disposal | ¥ 9,425,365 |
ORGANIZATION AND NATURE OF OP_4
ORGANIZATION AND NATURE OF OPERATIONS (Schedule of Subsidiaries) (Details) | 12 Months Ended | |
Dec. 31, 2019 | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | May 21, 2012 | |
JinkoSolar Technology Limited ("Paker") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Nov. 10, 2006 | |
Percentage of ownership | 100.00% | |
Jinko Solar Co., Ltd. ("Jiangxi Jinko") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 13, 2006 | [1] |
Percentage of ownership | 100.00% | [1] |
Zhejiang Jinko Solar Co., Ltd ("Zhejiang Jinko") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jun. 30, 2009 | |
Percentage of ownership | 100.00% | |
Jinko Solar Import and Export Co., Ltd. ("Jinko Import and Export") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 24, 2009 | |
Percentage of ownership | 100.00% | |
JinkoSolar GmbH ("Jinko GmbH") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Apr. 1, 2010 | |
Percentage of ownership | 100.00% | |
Zhejiang Jinko Solar Trading Co., Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jun. 13, 2010 | |
Percentage of ownership | 100.00% | |
Xinjiang Jinko Solar Co., Ltd. ("Xinjiang Jinko") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | May 30, 2016 | |
Percentage of ownership | 100.00% | |
Yuhuan Jinko Solar Co., Ltd.("Yuhuan Jinko") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jul. 29, 2016 | |
Percentage of ownership | 100.00% | |
JinkoSolar (U.S.) Inc. ("Jinko US") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Aug. 19, 2010 | |
Percentage of ownership | 100.00% | |
JinkoSolar Power Engineering Group Limited ("JinkoSolar Power") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Nov. 12, 2013 | |
Percentage of ownership | 100.00% | |
Projinko Solar Portugal Unipessoal LDA. ("JinkoSolar Portugal") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Feb. 20, 2014 | |
Percentage of ownership | 100.00% | |
JinkoSolar Mexico S.DE R.L. DE C.V. ("JinkoSolar Mexico") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Feb. 25, 2014 | |
Percentage of ownership | 100.00% | |
Shanghai Jinko Financial Information Service Co., Ltd [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Nov. 7, 2014 | |
Percentage of ownership | 100.00% | |
Jiangxi Photovoltaic Materials Co., Ltd. ("Jiangxi Materials") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 1, 2010 | |
Percentage of ownership | 100.00% | |
JinkoSolar (Switzerland) AG ("Jinko Switzerland") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | May 3, 2011 | |
Percentage of ownership | 100.00% | |
JinkoSolar (US) Holdings Inc. ("Jinko US Holding") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jun. 7, 2011 | |
Percentage of ownership | 100.00% | |
JinkoSolar Italy S.R.L. ("Jinko Italy") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jul. 8, 2011 | |
Percentage of ownership | 100.00% | |
JinkoSolar SAS ("Jinko France") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Sep. 12, 2011 | |
Percentage of ownership | 100.00% | |
Jinko Solar Canada Co., Ltd ("Jinko Canada") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Nov. 18, 2011 | |
Percentage of ownership | 100.00% | |
Jinko Solar Australia Holdings Co. Pty Ltd ("Jinko Australia") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 7, 2011 | |
Percentage of ownership | 100.00% | |
Jinko Solar Japan K.K. ("JinkoSolar Japan") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Percentage of ownership | 100.00% | |
Wide Wealth Group Holding Limited [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jun. 11, 2012 | |
Percentage of ownership | 100.00% | |
Jiaxing Jinko Photovoltaic System Development Co., Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 26, 2016 | |
Percentage of ownership | 100.00% | |
JinkoSolar Comercio do Brazil Ltda ("JinkoSolar Brazil") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jan. 14, 2014 | |
Percentage of ownership | 100.00% | |
Jinko Solar Technology SDN.BHD. ("JinkoSolar Malaysia") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jan. 21, 2015 | |
Percentage of ownership | 100.00% | |
Jinko Huineng Technology Services Co., Ltd [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jul. 14, 2015 | |
Percentage of ownership | 100.00% | |
JinkoSolar Enerji Teknolojileri Anonlm Sirketi [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Apr. 13, 2017 | |
Percentage of ownership | 100.00% | |
Jinko Solar Sweihan HK Limited [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Oct. 4, 2016 | |
Percentage of ownership | 100.00% | |
Jinko Solar (Shanghai) Management Co., Ltd [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jul. 25, 2012 | |
Percentage of ownership | 100.00% | |
JinkoSolar Trading Privated Limited [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Feb. 6, 2017 | |
Percentage of ownership | 100.00% | |
JinkoSolar LATAM Holding Limited [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Aug. 22, 2017 | |
Percentage of ownership | 100.00% | |
JinkoSolar Middle East DMCC [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Nov. 6, 2016 | |
Percentage of ownership | 100.00% | |
Jinko Power International (Hongkong) Limited [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jul. 10, 2015 | |
Percentage of ownership | 100.00% | |
JinkoSolar International Development Limited [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Aug. 28, 2015 | |
Percentage of ownership | 100.00% | |
JinkoSolar U.S. Industrial Inc. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Nov. 16, 2017 | |
Percentage of ownership | 100.00% | |
Jinko Huineng Zhejiang Solar Technology Services Co Ltd [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jul. 29, 2015 | [2] |
Percentage of ownership | 100.00% | [2] |
Canton Best Limited ("Canton Best BVI") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Sep. 16, 2013 | |
Percentage of ownership | 100.00% | |
JinkoSolar Household PV System Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Jan. 12, 2015 | |
Percentage of ownership | 100.00% | |
JinkoSolar WWG Investment Co., Ltd ("WWG Investment") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Apr. 8, 2014 | |
Percentage of ownership | 100.00% | |
Poyang Ruixin Information Technology Co Ltd [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 19, 2017 | |
Percentage of ownership | 100.00% | |
JinkoSolar Technology (Haining) Co., Ltd. ("Haining Jinko") [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 15, 2017 | |
Percentage of ownership | 71.00% | |
Jinko Solar Korea Co., Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 3, 2018 | |
Percentage of ownership | 100.00% | |
JinkoSolar (Sichuan) Co., Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Feb. 18, 2019 | |
Percentage of ownership | 70.00% | |
JinkoSolar Vietnam Co., Ltd. [ Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Sep. 26, 2019 | |
Percentage of ownership | 100.00% | |
JinkoSolar (Qinghai) Co., Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Apr. 3, 2019 | |
Percentage of ownership | 55.00% | |
Jinko PV Material Supply SDN. BHD [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Sep. 23, 2019 | |
Percentage of ownership | 100.00% | |
JinkoSolar (Chuzhou) Co., Ltd.[Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Dec. 26, 2019 | |
Percentage of ownership | 55.00% | |
JinkoSolar (Yiwu) Co., Ltd. [Member] | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Date of Incorporation/Acquisition | Sep. 19, 2019 | |
Percentage of ownership | 55.00% | |
[1] | (vii) In the third quarter of 2018, the Group and JinkoPower jointly invested in and established an entity named Poyang Luohong Power Co., Ltd. (“Poyang Luohong”), which develops and operates solar power project in Shangrao, Jiangxi Province. Cash capital injection with the amount of RMB98 million have been made by JinkoPower at the end of 2018. The Group held 51% equity interests of Poyang Luohong and consolidated such entity in its financial statements. In the fourth quarter of 2019, the Group disposed of 51% equity interest in Poyang Luohong to an independent third party buyer with the consideration of RMB99.8 million (US$ 14.3 million). Gain on the disposal amounted to RMB19.9 million (US$ 2.9 million) was recognized. The disposal gain was mainly resulted from the recognition of the un-realized profit generated from the module sales transactions between the Group and Poyang Luohong before the disposal with the amount of RMB19.9 million. Consideration associated with the transaction was collected in full in 2019. | |
[2] | (v) In the first quarter of 2018, the Company changed the name of a subsidiary from Zhejiang Jinko Solar Power Sales Co., Ltd to Jinko Huineng (Zhejiang) Solar Technology (Zhejiang) Services Co., Ltd. |
PRINCIPAL ACCOUNTING POLICIES_3
PRINCIPAL ACCOUNTING POLICIES (Narrative) (Details) | Jan. 01, 2018USD ($) | Dec. 31, 2019CNY (¥)Plantsegment | Dec. 31, 2019USD ($)segment | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($)Plant | Nov. 30, 2019Plant | Apr. 01, 2019 | Mar. 31, 2019 | Jan. 01, 2019CNY (¥) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Foreign currency translation | ||||||||||||
Cash, cash equivalents, and restricted cash | ¥ 10,387,200,000 | ¥ 6,161,700,000 | ||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Provision for advance to suppliers | 0 | 0 | ¥ 0 | |||||||||
Provision for loss on long-term contracts | 0 | 0 | 0 | |||||||||
Interest Capitalization | ||||||||||||
Interest Expense | 605,882,474 | 429,347,129 | 322,002,538 | |||||||||
Interest and Other Income | ¥ 170,984,099 | 83,461,323 | 58,810,160 | |||||||||
Assets Held For Sale | ||||||||||||
Number of solar power plants held for sale | Plant | 2 | 2 | 2 | |||||||||
Project assets | ||||||||||||
Project assets, useful life | 20 years | 20 years | ||||||||||
Revenue recognition | ||||||||||||
Return percentage, minimum | 5.00% | 5.00% | ||||||||||
VAT rate | 13.00% | 16.00% | ||||||||||
Number of Operating Segments | segment | 1 | 1 | ||||||||||
Retainage | ¥ 55,582,550 | 63,243,490 | ||||||||||
Retain percentage, maximum | 10.00% | 10.00% | ||||||||||
Contract Receivable Retainage, Description | As a result of adopting ASC Topic 606, for the sales contracts with retainage terms, under which customers were allowed to withhold payment of 5% to 10% of the full contract price as retainage for a specified period from one year to two year since normal operation of related customer’s solar project (“Retainage Period”), revenue from retainage is recognized upon the Group satisfied its performance obligation to transfer the goods to its customers instead of deferring recognition until the customers pay it after the Retainage Period expires | As a result of adopting ASC Topic 606, for the sales contracts with retainage terms, under which customers were allowed to withhold payment of 5% to 10% of the full contract price as retainage for a specified period from one year to two year since normal operation of related customer’s solar project (“Retainage Period”), revenue from retainage is recognized upon the Group satisfied its performance obligation to transfer the goods to its customers instead of deferring recognition until the customers pay it after the Retainage Period expires | ||||||||||
Cost of revenue | ||||||||||||
Cost of electricity sales | ¥ 19,400,000 | |||||||||||
Warranty cost | ||||||||||||
Product defect, minimum warranty | 5 years | 5 years | ||||||||||
Product defect, maximum warranty | 10 years | 10 years | ||||||||||
Product decline, minimum warranty | 10 years | 10 years | ||||||||||
Product decline, maximum warranty | 25 years | 25 years | ||||||||||
Warranty cost expenses | ¥ 303,652,391 | 278,417,311 | 299,331,077 | |||||||||
Utilization of warranty accruals | ¥ 85,035,667 | 102,600,327 | 114,112,651 | |||||||||
Product decline, minimum percentage | 10.00% | 10.00% | ||||||||||
Product decline, maximum percentage | 20.00% | 20.00% | ||||||||||
Product failure rate over warranty period | 1.00% | 1.00% | ||||||||||
Past years matching actual claims with expected estimates. | 2 years | 2 years | ||||||||||
Government grants | ||||||||||||
Subsidy income | ¥ 63,016,966 | $ 9,051,821 | 52,176,462 | 147,916,764 | ||||||||
Government grants related to assets | 24,889,754 | 8,102,911 | 26,306,649 | |||||||||
Appropriation to statutory reserves | ¥ 0 | 0 | 0 | |||||||||
Convenience translation | ||||||||||||
Exchange rate | 6.9618 | 6.9618 | ||||||||||
Standard and Extended Product Warranty Accrual | ¥ 123,853,626 | 162,447,593 | 117,165,077 | |||||||||
Contract Retainage Receivable, Additions | 8,821,018 | |||||||||||
Contract Retainage Revenue | ¥ 7,660,940 | 26,604,993 | 63,847,987 | |||||||||
Capitalized Contract Cost, Net | $ | $ 0 | $ 0 | ||||||||||
Revenue, Practical Expedient, Financing Component [true false] | true | true | ||||||||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Other Information | Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. | Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. | ||||||||||
Unrecognized Tax Benefits | $ | 0 | $ 0 | $ 0 | |||||||||
Appropriations to Free Reserves Percentage | 10.00% | 10.00% | ||||||||||
Revenue, Performance Obligation, Description of Payment Terms | customers to make full payment within 90 days and our domestic customers to make 90% to 95% of payment within 180 days after delivery and the rest will be paid when the Retainage Period (as defined below) ends | customers to make full payment within 90 days and our domestic customers to make 90% to 95% of payment within 180 days after delivery and the rest will be paid when the Retainage Period (as defined below) ends | ||||||||||
Operating Lease, Right-of-Use Asset | ¥ 317,903,640 | 45,664,001 | ||||||||||
Finance Lease, Right-of-Use Asset | 1,259,713,215 | 180,946,482 | ||||||||||
Long-term borrowings | (1,586,187,165) | (1,954,830,774) | (227,841,530) | |||||||||
Other payables and accruals | (3,055,929,756) | (2,281,024,560) | $ (438,956,841) | |||||||||
ASC 606 [Member] | Restatement Adjustment [Member] | ||||||||||||
Convenience translation | ||||||||||||
Retained Earnings (Accumulated Deficit) | $ | $ 0 | |||||||||||
Accounting Standards Update 2016-02 [Member] | Restatement Adjustment [Member] | ||||||||||||
Convenience translation | ||||||||||||
Operating Lease, Liability | ¥ 269,000,000 | |||||||||||
Finance Lease, Right-of-Use Asset | 269,000,000 | ¥ 748,000,000 | ||||||||||
Long-term borrowings | 338,000,000 | |||||||||||
Other payables and accruals | 287,000,000 | |||||||||||
Electricity [Member] | ||||||||||||
Cost of revenue | ||||||||||||
Cost of electricity sales | 0 | 3,100,000 | ||||||||||
Shipping and Handling [Member] | ||||||||||||
Cost of revenue | ||||||||||||
Cost of electricity sales | 1,489,639,843 | 1,005,186,974 | 1,220,560,478 | |||||||||
Construction Projects Of Continuing Operation [Member] | ||||||||||||
Interest Capitalization | ||||||||||||
Interest capitalized | 43,841,311 | 51,243,764 | 17,662,780 | |||||||||
Statutory reserves [Member] | ||||||||||||
Government grants | ||||||||||||
Appropriation to statutory reserves | ¥ 119,530,534 | ¥ 53,290,350 | ¥ 50,632,996 | |||||||||
Minimum [Member] | ||||||||||||
Project assets | ||||||||||||
Lessee, Operating Lease, Term of Contract | 3 years | 3 years | ||||||||||
Revenue recognition | ||||||||||||
Contract Receivable Retainage Period | 1 year | 1 year | ||||||||||
percentage Contract Price | 5.00% | 5.00% | ||||||||||
Convenience translation | ||||||||||||
Percentage of Revenue Recognized | 90.00% | |||||||||||
Maximum [Member] | ||||||||||||
Project assets | ||||||||||||
Lessee, Operating Lease, Term of Contract | 20 years | 20 years | ||||||||||
Revenue recognition | ||||||||||||
Contract Receivable Retainage Period | 2 years | 2 years | ||||||||||
percentage Contract Price | 10.00% | 10.00% | ||||||||||
Convenience translation | ||||||||||||
Percentage of Revenue Recognized | 95.00% | |||||||||||
Land use rights [Member] | ||||||||||||
Project assets | ||||||||||||
Intangible asset, useful life, minimum | 50 years | 50 years | ||||||||||
Intangible asset, useful life, maximum | 70 years | 70 years | ||||||||||
Purchased software and trademark registration fees [Member] | ||||||||||||
Project assets | ||||||||||||
Intangible asset, useful life, minimum | 5 years | 5 years | ||||||||||
Intangible asset, useful life, maximum | 10 years | 10 years | ||||||||||
Buildings [Member] | ||||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Property, plant and equipment, estimated useful life | 20 years | 20 years | ||||||||||
Machinery and equipment [Member] | ||||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Property, plant and equipment, estimated useful life | 10 years | 10 years | ||||||||||
Furniture, fixture and office equipment [Member] | Minimum [Member] | ||||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Property, plant and equipment, estimated useful life | 3 years | 3 years | ||||||||||
Furniture, fixture and office equipment [Member] | Maximum [Member] | ||||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Property, plant and equipment, estimated useful life | 5 years | 5 years | ||||||||||
Motor vehicles [Member] | Minimum [Member] | ||||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Property, plant and equipment, estimated useful life | 4 years | 4 years | ||||||||||
Motor vehicles [Member] | Maximum [Member] | ||||||||||||
Short-term and long-term advances to suppliers | ||||||||||||
Property, plant and equipment, estimated useful life | 5 years | 5 years |
PRINCIPAL ACCOUNTING POLICIES_4
PRINCIPAL ACCOUNTING POLICIES (Cash, cash equivalents and restricted cash) (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2018USD ($) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016CNY (¥) |
PRINCIPAL ACCOUNTING POLICIES | ||||||
Cash and cash equivalent | ¥ 5,653,853,691 | $ 812,125,268 | ¥ 3,104,916,803 | |||
Restricted cash | 576,546,098 | 82,815,665 | 377,110,770 | |||
Cash and cash equivalents included in held-for-sale assets | 43,558,640 | |||||
Total | ¥ 6,273,958,429 | $ 901,197,740 | ¥ 3,482,027,573 | $ 500,161,966 | ¥ 2,761,374,804 | ¥ 2,820,202,414 |
PRINCIPAL ACCOUNTING POLICIES_5
PRINCIPAL ACCOUNTING POLICIES (summarizes the impact of adopting ASC 606 on the Company's Consolidation Statements of Operations) (Details) | 12 Months Ended | ||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | |
Total revenues | ¥ 29,746,287,759 | $ 4,272,786,888 | ¥ 25,042,613,341 | ¥ 26,472,943,454 | |
Income from continuing operations before income taxes | 1,251,186,211 | 179,721,652 | 407,375,203 | 148,875,037 | |
Income tax expenses | (277,979,001) | (39,929,185) | (4,409,523) | (4,628,003) | |
Net income | 924,352,495 | $ 132,774,926 | 405,575,533 | ¥ 142,191,365 | |
Current assets: | |||||
Accounts receivable, net - third parties | 5,266,350,650 | 5,436,370,691 | $ 756,463,939 | ||
Non-current assets: | |||||
Deferred tax assets | 271,286,263 | 338,069,324 | 38,967,833 | ||
Shareholders' equity: | |||||
Retained earnings | ¥ 3,981,660,004 | 3,202,528,312 | $ 571,929,674 | ||
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | |||||
Total revenues | 25,015,058,894 | ||||
Income from continuing operations before income taxes | 379,820,756 | ||||
Income tax expenses | (8,542,690) | ||||
Net income | 382,154,253 | ||||
Current assets: | |||||
Accounts receivable, net - third parties | 5,408,816,244 | ||||
Non-current assets: | |||||
Deferred tax assets | 342,202,491 | ||||
Shareholders' equity: | |||||
Retained earnings | 3,179,107,032 | ||||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | |||||
Total revenues | 27,554,447 | ||||
Income from continuing operations before income taxes | 27,554,447 | ||||
Income tax expenses | (4,133,167) | ||||
Net income | 23,421,280 | ||||
Current assets: | |||||
Accounts receivable, net - third parties | 27,554,447 | ||||
Non-current assets: | |||||
Deferred tax assets | (4,133,167) | ||||
Shareholders' equity: | |||||
Retained earnings | ¥ 23,421,280 |
PRINCIPAL ACCOUNTING POLICIES_6
PRINCIPAL ACCOUNTING POLICIES (Movement of accrued warranty cost) (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
PRINCIPAL ACCOUNTING POLICIES | |||
At beginning of year | ¥ 656,677,245 | ¥ 643,307,854 | ¥ 575,254,503 |
Additions | 303,652,391 | 278,417,311 | 299,331,079 |
Utilization | (85,035,667) | (102,600,327) | (114,112,651) |
Reversal to selling and marketing expense | (123,853,626) | (162,447,593) | (117,165,077) |
At end of year | ¥ 751,440,343 | ¥ 656,677,245 | ¥ 643,307,854 |
REVENUES (Revenues by Product)
REVENUES (Revenues by Product) (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Operating Revenue By Product Type [Line Items] | ||||
Revenues | ¥ 29,746,287,759 | $ 4,272,786,888 | ¥ 25,042,613,341 | ¥ 26,472,943,454 |
Solar Modules [Member] | ||||
Operating Revenue By Product Type [Line Items] | ||||
Revenues | 28,500,123,425 | 24,090,687,469 | 25,656,934,835 | |
Silicon Wafers [Member] | ||||
Operating Revenue By Product Type [Line Items] | ||||
Revenues | 913,702,864 | 567,241,687 | 455,695,782 | |
Solar Cells [Member] | ||||
Operating Revenue By Product Type [Line Items] | ||||
Revenues | 282,407,099 | 291,232,876 | 346,069,432 | |
Sales of solar Projects [Member] | ||||
Operating Revenue By Product Type [Line Items] | ||||
Revenues | 0 | 93,451,309 | 0 | |
Generated Electricity [Member] | ||||
Operating Revenue By Product Type [Line Items] | ||||
Revenues | ¥ 50,054,371 | ¥ 0 | ¥ 14,243,405 |
REVENUES (Revenues by Location)
REVENUES (Revenues by Location) (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Revenues | ¥ 29,746,287,759 | $ 4,272,786,888 | ¥ 25,042,613,341 | ¥ 26,472,943,454 |
China [Member] | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Revenues | 5,195,021,423 | 6,610,688,059 | 9,854,855,071 | |
North America | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Revenues | 7,550,454,941 | 2,746,348,909 | 4,113,448,120 | |
Europe | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Revenues | 5,201,919,985 | 1,984,476,407 | 2,080,154,303 | |
Asia Pacific | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Revenues | 7,304,164,060 | 6,575,869,478 | 3,721,851,092 | |
Rest of the world | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Revenues | ¥ 4,494,727,350 | ¥ 7,125,230,488 | ¥ 6,702,634,868 |
INTEREST EXPENSES, NET (Details
INTEREST EXPENSES, NET (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
INTEREST EXPENSES, NET | ||||
Interest expenses | ¥ 605,882,474 | ¥ 429,347,128 | ¥ 321,477,539 | |
Less: Interest Capitalization | (43,841,311) | (51,243,764) | (17,662,780) | |
Less: Interest income | (170,984,099) | (83,461,323) | (58,810,161) | |
Amortisation of bond issuance costs | 525,000 | 1,050,000 | 525,000 | |
Total | ¥ 391,582,064 | $ 56,247,244 | ¥ 295,692,041 | ¥ 245,529,598 |
OTHER INCOME_(EXPENSES), NET (S
OTHER INCOME/(EXPENSES), NET (Schedule Of Other Nonoperating Income/Expense) (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Guarantee income | ¥ 18,574,433 | ¥ 26,229,524 | ¥ 65,935,450 |
Donations | (701,000) | (412,465) | (6,288,539) |
Total | ¥ 17,873,433 | ¥ 25,817,059 | ¥ 59,646,911 |
Minimum [Member] | |||
liability term | 1 year | ||
Maximum [Member] | |||
liability term | 16 years |
TAXATION (Details)
TAXATION (Details) | Jan. 01, 2008 | Jun. 30, 2019CNY (¥) | Jun. 30, 2018CNY (¥) | Jun. 30, 2017CNY (¥) | Mar. 31, 2017CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2016CNY (¥) |
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 25.00% | 25.00% | 25.00% | |||||||
Statutory reserves | ¥ 689,706,737 | ¥ 570,176,203 | $ 99,070,174 | |||||||
Utilization and reversal of valuation allowances | 32,719,772 | 1,388,479 | ¥ 21,823,558 | |||||||
Deferred Tax Assets, Valuation Allowance | ¥ 144,316,817 | ¥ 114,620,700 | ¥ 86,443,363 | ¥ 66,223,501 | ||||||
Percentage of unrecognized deferred tax liability | 5 | 5 | 5 | |||||||
Income Tax Reconciliation Non deductible Expense Reversal Of Income Tax | ¥ 17,300,000 | |||||||||
Reclassification of income tax refund to deferred tax liability | ¥ 57,216,307 | ¥ 57,216,307 | ||||||||
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Research and Development, Amount | ¥ 88,000,000 | ¥ 59,300,000 | ¥ 41,800,000 | |||||||
JAPAN [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 38.00% | |||||||||
SWITZERLAND | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 8.50% | |||||||||
GERMANY | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 33.00% | |||||||||
ITALY | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 27.90% | |||||||||
FRANCE | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 31.00% | |||||||||
China [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 25.00% | 15.00% | 15.00% | 15.00% | ||||||
Reduced statutory rate | 15.00% | |||||||||
Dividend distribution withholding tax | 10.00% | |||||||||
Statutory reserves | ¥ 3,883,577,293 | ¥ 3,250,957,069 | ¥ 3,121,934,696 | |||||||
Deferred tax liability reinvested earnings | ¥ 194,178,865 | ¥ 162,547,853 | ¥ 156,096,735 | |||||||
HONG KONG | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 16.50% | |||||||||
Dividend distribution withholding tax | 5.00% | |||||||||
HONG KONG | Minimum [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 25.00% | |||||||||
PORTUGAL | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 23.00% | |||||||||
USA [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 35.00% | 21.00% | ||||||||
CANADA [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 15.00% | |||||||||
State/Province tax rate | 11.50% | |||||||||
AUSTRALIA [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 30.00% | |||||||||
BRAZIL [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 34.00% | |||||||||
MEXICO [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 30.00% | |||||||||
Malaysia [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Federal corporate income tax rate | 24.00% | |||||||||
Income Tax Holiday, Description | a five year 100% tax exemption |
TAXATION - Earnings Before Inco
TAXATION - Earnings Before Income Taxes (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Income Tax [Line Items] | ||||
Income before income taxes | ¥ 1,251,186,211 | $ 179,721,652 | ¥ 407,375,203 | ¥ 148,875,037 |
Cayman Islands [Member] | ||||
Income Tax [Line Items] | ||||
Income before income taxes | (22,036,601) | 57,199,049 | 8,709,933 | |
China [Member] | ||||
Income Tax [Line Items] | ||||
Income before income taxes | 498,042,536 | 532,128,623 | 438,904,245 | |
Other Countries [Member] | ||||
Income Tax [Line Items] | ||||
Income before income taxes | ¥ 775,180,276 | ¥ (181,952,469) | ¥ (298,739,141) |
TAXATION - Current and Deferred
TAXATION - Current and Deferred Income Taxes (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
TAXATION | ||||
PRC | ¥ (25,562,374) | ¥ (37,136,613) | ¥ (39,138,531) | |
Other countries | 39,207,147 | (74,198,842) | 27,002,786 | |
Total current income tax expenses | 13,644,773 | (111,335,455) | (12,135,745) | |
Deferred tax (expenses)/benefits | (291,623,774) | 106,925,932 | 7,507,742 | |
Income tax expenses, net | ¥ (277,979,001) | $ (39,929,185) | ¥ (4,409,523) | ¥ (4,628,003) |
TAXATION - Income Tax Rate Reco
TAXATION - Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
TAXATION | |||
Statutory CIT rate | 25.00% | 25.00% | 25.00% |
Share-based compensation expenses | 0.10% | 1.10% | 6.60% |
Change in fair value of convertible senior notes and capped call options | 0.60% | 0.00% | 0.00% |
Accrued payroll and welfare expenses | 0.50% | 4.20% | 13.40% |
Change of enacted tax rate | 0.70% | (3.20%) | (12.10%) |
Other tax preferences | (7.00%) | (19.50%) | (42.30%) |
Difference in tax rate of subsidiaries outside the PRC | 4.50% | 0.60% | 7.50% |
Effect of tax holiday for subsidiaries | (4.60%) | (14.00%) | (8.80%) |
Change in valuation allowance | 2.40% | 6.90% | 13.80% |
Effective tax rate | 22.20% | 1.10% | 3.10% |
TAXATION - Aggregate Amount and
TAXATION - Aggregate Amount and Per Share Effect of Reduction of CIT (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
TAXATION | |||
The aggregate amount of effect | ¥ 57,373,029 | ¥ 57,284,294 | ¥ 36,268,723 |
Per share effect - basic | ¥ 0.34 | ¥ 0.37 | ¥ 0.28 |
Per share effect - diluted | ¥ 0.34 | ¥ 0.37 | ¥ 0.27 |
TAXATION - Deferred Tax Assets
TAXATION - Deferred Tax Assets (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016CNY (¥) |
TAXATION | |||||
Net operating losses | ¥ 367,045,173 | ¥ 315,472,145 | |||
Accrued warranty costs | 171,396,603 | 137,737,283 | |||
Provision for inventories, accounts receivable, other receivable | 56,512,918 | 46,850,223 | |||
Timing difference for revenue recognition of retainage contract | 8,337,383 | 9,486,524 | |||
Other temporary differences | 49,723,467 | 63,601,889 | |||
Impairment for property, plant and equipment | 18,310,891 | 5,667,933 | |||
Total deferred tax assets | 671,326,435 | 578,815,997 | |||
Less: Valuation allowance | (144,316,817) | (114,620,700) | ¥ (86,443,363) | ¥ (66,223,501) | |
Less: Deferred tax liabilities in the same tax jurisdiction | (255,723,355) | (126,125,973) | |||
Deferred tax assets | 271,286,263 | $ 38,967,833 | 338,069,324 | ||
Timing difference for project assets, property, plant and equipment | (349,000,757) | (126,125,973) | |||
Timing difference for refund of countervailing duties | (119,355,270) | ||||
Other temporary differences | (38,101,269) | (25,893,228) | |||
Total deferred tax liabilities | (506,457,296) | (152,019,201) | |||
Less: Deferred tax assets in the same tax jurisdiction | 255,723,355 | 126,125,973 | |||
Deferred tax liabilities | ¥ (250,733,941) | $ (36,015,677) | ¥ (25,893,228) |
TAXATION - Movement of Valuatio
TAXATION - Movement of Valuation Allowances (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
TAXATION | |||
At beginning of year | ¥ (114,620,700) | ¥ (86,443,363) | ¥ (66,223,501) |
Current year additions | (62,415,889) | (29,565,816) | (42,043,420) |
Utilization and reversal of valuation allowances | 32,719,772 | 1,388,479 | 21,823,558 |
At end of year | ¥ (144,316,817) | ¥ (114,620,700) | ¥ (86,443,363) |
ACCOUNTS RECEIVABLE, NET-THIR_3
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES (Schedule of Accounts Receivable) (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016CNY (¥) |
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES | |||||
Accounts receivables | ¥ 5,584,548,167 | ¥ 5,692,976,209 | |||
Allowance for doubtful accounts | (318,197,517) | (256,605,518) | ¥ (264,656,904) | ¥ (376,574,061) | |
Accounts receivable, net | 5,266,350,650 | $ 756,463,939 | 5,436,370,691 | ||
Amount of accounts receivable pledged as collateral for borrowings | ¥ 1,200,492,957 | ¥ 385,443,577 |
ACCOUNTS RECEIVABLE, NET-THIR_4
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES (Schedule of Movement of Allowance for Doubtful Accounts) (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
ACCOUNTS RECEIVABLE, NET-THIRD PARTIES | |||
At beginning of year | ¥ 256,605,518 | ¥ 264,656,904 | ¥ 376,574,061 |
Addition | 166,432,303 | 149,029,546 | 147,474,390 |
Reversal | (104,840,304) | (157,080,932) | (259,391,547) |
At end of year | ¥ 318,197,517 | ¥ 256,605,518 | ¥ 264,656,904 |
ADVANCES TO SUPPLIERS, NET - _3
ADVANCES TO SUPPLIERS, NET - THIRD PARTIES (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | |
ADVANCES TO SUPPLIERS, NET - THIRD PARTY | ||||
Advances to suppliers - current | ¥ 2,529,898,199 | ¥ 672,745,598 | ||
Provision for advances to suppliers | (7,524,746) | (7,524,746) | ||
Advances to suppliers, net | 2,522,373,453 | 665,220,852 | $ 362,316,276 | |
Provision for advance to suppliers | ¥ 0 | ¥ 0 | ¥ 0 |
INVENTORIES (Details)
INVENTORIES (Details) | 12 Months Ended | ||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | |
INVENTORIES | |||||
Raw materials | ¥ 1,350,518,751 | ¥ 1,337,270,185 | |||
Work-in-progress | 792,495,823 | 1,553,346,553 | |||
Finished goods | 3,675,774,411 | 2,852,711,200 | |||
Total | 5,818,788,985 | 5,743,327,938 | $ 835,816,741 | ||
Inventory provision | 135,874,384 | $ 19,517,134 | 220,171,794 | ¥ 313,711,534 | |
Pledged inventories | ¥ 258,692,099 | ¥ 171,665,538 |
PREPAYMENTS AND OTHER CURRENT_3
PREPAYMENTS AND OTHER CURRENT ASSETS (Details) | 12 Months Ended | 24 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Jul. 17, 2017CNY (¥) | |
Derivative [Line Items] | |||||
Loan receivable | ¥ 1,529,800,657 | ¥ 1,529,800,657 | $ 219,742,115 | ¥ 1,010,468,502 | |
Prepaid insurance premium | 111,611,828 | 111,611,828 | 121,339,137 | ||
Rental deposit and prepayment | 7,953,767 | 7,953,767 | 7,854,676 | ||
Total | ¥ 1,573,481,940 | ¥ 1,573,481,940 | $ 226,016,539 | 1,712,888,803 | |
Debt Instrument, Term | 1 year | 1 year | |||
Interest rate | 7.37% | ||||
Debt, face amount | ¥ 300,000,000 | ¥ 300,000,000 | ¥ 300,000,000 | ||
Due from Related Parties | ¥ 91,416,575 | ¥ 91,416,575 | |||
Loan One | |||||
Derivative [Line Items] | |||||
Interest rate | 4.35% | 4.35% | 4.35% | ||
Debt, face amount | ¥ 20,000,000 | ¥ 20,000,000 | |||
Loan Two | |||||
Derivative [Line Items] | |||||
Interest rate | 4.35% | 4.35% | 4.35% | ||
Debt, face amount | ¥ 68,331,364 | ¥ 68,331,364 | |||
Foreign exchange option [Member] | |||||
Derivative [Line Items] | |||||
Value-added tax deductible | 701,407,085 | 701,407,085 | 899,664,288 | ||
Deposit for customer duty, bidding and others | 257,678,467 | 257,678,467 | 132,370,773 | ||
Prepayment of electricity and others | 181,596,189 | 181,596,189 | 67,028,909 | ||
Loan receivable | 91,416,575 | 91,416,575 | 0 | ||
Prepayment for income tax | 72,143,019 | 72,143,019 | 46,293,505 | ||
Receivable related to disposal of subsidiaries (note 1) | 41,793,099 | 41,793,099 | 169,931,601 | ||
Receivable of option exercised | 40,338,943 | 40,338,943 | 0 | ||
Prepaid insurance premium | 28,351,182 | 28,351,182 | 34,237,367 | ||
Receivables related to discount from a supplier | 21,492,474 | 21,492,474 | 26,497,935 | ||
Receivables related to disposal of land use right | 14,571,587 | 14,571,587 | 25,326,877 | ||
Employee advances | 10,134,076 | 10,134,076 | 4,721,001 | ||
Prepaid professional service fee | 421,502 | 421,502 | 413,727 | ||
Refund receivable of U.S. countervailing duties (note 16) | 0 | 0 | 209,450,023 | ||
Prepaid Commission | 0 | 0 | 8,705,847 | ||
Others | 104,183,975 | 104,183,975 | 80,392,274 | ||
Total | ¥ 1,573,481,940 | ¥ 1,573,481,940 | ¥ 1,712,888,803 | ||
Maturity period of derivative | 12 months |
INVESTMENTS IN AFFILIATES AND_2
INVESTMENTS IN AFFILIATES AND OTHER EQUITY SECURITIES (Details) | 1 Months Ended | 12 Months Ended | |||||||
Apr. 30, 2019CNY (¥) | May 31, 2012CNY (¥) | Dec. 31, 2019CNY (¥)MWh | Dec. 31, 2019USD ($)MWh | Dec. 31, 2018CNY (¥)MWh | Dec. 31, 2018USD ($)MWh | Dec. 31, 2017CNY (¥)MWh | Mar. 30, 2017 | Feb. 26, 2017 | |
Schedule of Equity Method Investments [Line Items] | |||||||||
Equity in (loss)/income of affiliated companies | ¥ (48,854,715) | $ (7,017,541) | ¥ 2,609,853 | ¥ (2,055,669) | |||||
Percentage of equity interests acquired | 9.00% | ||||||||
Acquisitions of businesses and investments, net of cash acquired | ¥ 7,200,000 | ||||||||
Net revenue | 29,746,287,759 | 4,272,786,888 | 25,042,613,341 | 26,472,943,454 | |||||
Equity Method Investment, Unrealized Intercompany Profit (Loss) Not Eliminated, Amount | $ 5,943,014 | $ 2,593,322 | 1,559,058 | ||||||
Payments for Other Fees | 39,565,882 | 19,741,927 | 8,375,075 | ||||||
Equity Method Investments | 250,698,341 | 3,501,228 | |||||||
Equity Securities without Readily Determinable Fair Value, Amount | 7,200,000 | 7,200,000 | |||||||
Jinko Power Co Ltd [Member] | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Equity in (loss)/income of affiliated companies | ¥ 47,852,250 | ¥ 3,501,228 | ¥ 1,869,496 | ||||||
capital injection to SSHC | ¥ 295,000,000 | ||||||||
Percentage of Ownership | 50.00% | ||||||||
Equity Method Investment, Ownership Percentage | 50.00% | ||||||||
Quantity of Solar Modules Sold | MWh | 64.4 | 64.4 | 609.4 | 609.4 | 488.8 | ||||
Net revenue | ¥ 144,300,000 | ¥ 1,416,000,000 | ¥ 1,219,800,000 | ||||||
Sweihan Pv Power Company [Member] | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Percentage of Ownership | 40.00% | ||||||||
Equity Method Investment, Ownership Percentage | 40.00% | ||||||||
Jinko-Tiansheng [Member] | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Equity in (loss)/income of affiliated companies | 1,002,465 | 891,377 | 186,173 | ||||||
Percentage of Ownership | 30.00% | ||||||||
Equity Method Investment, Ownership Percentage | 30.00% | ||||||||
Equity Method Investment, Unrealized Intercompany Profit (Loss) Not Eliminated, Amount | 1,801,626 | 696,551 | 309,036 | ||||||
Payments for Other Fees | 39,565,882 | 19,741,927 | ¥ 8,375,075 | ||||||
Equity Method Investments | ¥ 12,122,946 | ¥ 14,927,037 |
PROPERTY, PLANT AND EQUIPMENT_3
PROPERTY, PLANT AND EQUIPMENT, NET (Details) | 12 Months Ended | ||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | |
Property, Plant and Equipment [Line Items] | |||||
Property and equipment | ¥ 12,899,352,492 | ¥ 10,116,744,866 | |||
Less: Accumulated depreciation | (3,497,199,736) | (3,087,018,295) | |||
Subtotal | 9,402,152,756 | 7,029,726,571 | |||
Construction in progress | 806,051,793 | 1,246,173,113 | |||
Net Value | 10,208,204,549 | 8,275,899,684 | $ 1,466,316,836 | ||
Depreciation of property, plant and equipment | 737,584,653 | $ 105,947,406 | 802,022,200 | ¥ 600,541,219 | |
Receivables Related To Disposal Of Property, Plant And Equipment | 269,221,102 | 198,818,135 | 1,072,424,435 | ||
Gain (Loss) on Disposition of Property Plant Equipment | (67,953,732) | (9,760,943) | (48,168,035) | 82,411,232 | |
Property, plant and equipment impairment | 68,262,038 | $ 9,805,228 | 14,548,043 | ¥ 0 | |
Pledged property, plant and equipment | 2,158,435,628 | 2,306,559,529 | |||
Buildings [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment | 3,567,558,224 | 2,263,778,746 | |||
Machinery and equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment | 8,785,627,088 | 7,402,215,351 | |||
Motor vehicles [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment | 45,116,481 | 41,488,896 | |||
Furniture, fixture and office equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property and equipment | ¥ 501,050,699 | ¥ 409,261,873 |
PROJECT ASSETS, NET (Schedule o
PROJECT ASSETS, NET (Schedule of Project Assets and Related Accumulated Depreciation) (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
PROJECT ASSETS, NET | |||
Completed | ¥ 747,152,262 | ¥ 879,954,662 | |
Under construction | 77,241,880 | 890,666,423 | |
Project assets, gross | 824,394,142 | 1,770,621,085 | |
Less: Accumulated depreciation | (26,151,013) | ||
Project Assets, net | ¥ 798,243,129 | $ 114,660,451 | ¥ 1,770,621,085 |
PROJECT ASSETS, NET (Details)
PROJECT ASSETS, NET (Details) | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2018EUR (€) | Mar. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2017USD ($) | Dec. 31, 2019CNY (¥)Plant | Dec. 31, 2019USD ($) | Dec. 31, 2018EUR (€) | Dec. 31, 2018CNY (¥) | Dec. 31, 2018JPY (¥) | Dec. 31, 2017CNY (¥) | Nov. 30, 2019Plant | Dec. 31, 2016project | |
Number of Solar Projects Obtained In Exchange of Receivables | project | 2 | |||||||||||
Proceeds from Sale of Equity Method Investments | ¥ 28,634 | $ 4,383 | € 2,636,291 | ¥ 28,634 | ||||||||
Equity Method Investment, Realized Gain (Loss) on Disposal | ¥ 19,900,000 | $ 2,900,000 | 9,425,366 | |||||||||
Equity Method Investment, Amount Sold | ¥ 99,800,000 | 58,854,599 | ¥ 996,420,932 | |||||||||
Number of solar power plants held for sale | Plant | 2 | 2 | ||||||||||
Revenues | ¥ 29,746,287,759 | 4,272,786,888 | 25,042,613,341 | ¥ 26,472,943,454 | ||||||||
Cost of Revenue | 24,314,602,138 | $ 3,492,574,067 | 21,528,868,419 | ¥ 23,481,375,053 | ||||||||
Project Assets Completed | 747,152,262 | 879,954,662 | ||||||||||
Project Asset, External Sales | 1,007,302,819 | 1,710,954,613 | ||||||||||
Electricity, Generation [Member] | Capitalized Project Costs [Member] | ||||||||||||
Revenues | ¥ 62,459,588 | 16,524,568 | ||||||||||
Sale Of Projects [Member] | ASC 606 [Member] | ||||||||||||
Revenues | ¥ 93,451,309 | 93,451,309 | ||||||||||
Cost of Revenue | 69,133,413 | ¥ 69,133,413 | ||||||||||
Tirli [Member] | ||||||||||||
Proceeds from Sale of Equity Method Investments | € | € 2,636,291 | |||||||||||
Equity Method Investment, Realized Gain (Loss) on Disposal | ¥ 9,425,365 |
LAND USE RIGHTS, NET (Details)
LAND USE RIGHTS, NET (Details) | 12 Months Ended | ||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |||||
Land use rights | ¥ 674,173,731 | ¥ 639,222,396 | |||
Less: accumulated amortization | (76,251,281) | (64,277,210) | |||
Land use rights, net | 597,922,450 | 574,945,186 | $ 85,886,186 | ||
Amortization of land use rights | 11,974,071 | $ 1,719,968 | 11,042,735 | ¥ 8,935,579 | |
Estimated future amortization expense | 12,688,472 | ||||
Land use rights pledged | 171,927,583 | 131,554,095 | |||
Gain on disposal of land use right | ¥ 0 | $ 0 | ¥ 315,735 | ¥ 0 | |
Minimum [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Period of land use rights | 50 years | 50 years | |||
Maximum [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Period of land use rights | 70 years | 70 years |
INTANGIBLE ASSETS, NET (Details
INTANGIBLE ASSETS, NET (Details) | 12 Months Ended | ||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |||||
Less: accumulated amortization | ¥ (22,234,024) | ¥ (15,411,685) | |||
Intangible assets, net | 36,395,056 | 35,361,410 | $ 5,227,823 | ||
Amortization of intangible assets | 6,822,339 | $ 979,968 | 4,212,569 | ¥ 3,481,991 | |
Trademark [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets, gross | 4,653,340 | 4,653,340 | |||
Computer software [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets, gross | ¥ 53,975,740 | ¥ 46,119,755 |
OTHER ASSETS - THIRD PARTIES (D
OTHER ASSETS - THIRD PARTIES (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
OTHER ASSETS - THIRD PARTIES | |||
Prepayments for purchase of property, plant and equipment | ¥ 560,182,033 | ¥ 467,848,176 | |
Refund receivable of U.S. countervailing duties and anti-dumping duties | 427,796,666 | ||
Deferred losses related to sale-leaseback transactions before January 1, 2019 (note 20) | 183,566,444 | 217,127,346 | |
Deposit for rent and others | 170,335,718 | 67,283,761 | |
Prepayment for warranty insurance premium | 111,611,828 | 121,339,137 | |
Value-added tax recoverable for solar power plants | 30,217,620 | ||
Prepayment of income tax attributable to intercompany transactions | 13,199,456 | 8,394,367 | |
Total | ¥ 1,466,692,145 | $ 210,677,145 | ¥ 912,210,407 |
OTHER ASSETS - THIRD PARTIES -
OTHER ASSETS - THIRD PARTIES - Additional (Details) $ in Thousands, ¥ in Millions | 12 Months Ended | |||||||
Dec. 31, 2019USD ($) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2016 | Jan. 01, 2016 | Dec. 31, 2015USD ($) | Dec. 31, 2015CNY (¥) | Jan. 01, 2015 | |
OTHER ASSETS - THIRD PARTIES | ||||||||
Counter Veiling Duty Percentage | 20.94% | 12.70% | 20.94% | 20.94% | 10.64% | |||
Reversal Of Refundable Deposits | $ 32,500 | ¥ 230.1 | $ 30,500 | ¥ 209.5 | ||||
Discounting impact recorded as cost of sales | $ 2,810 | ¥ 19.3 |
OTHER PAYABLES AND ACCRUALS (De
OTHER PAYABLES AND ACCRUALS (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
OTHER PAYABLES AND ACCRUALS | |||
Payables for purchase of property, plant and equipment | ¥ 1,907,043,892 | ¥ 1,036,077,418 | |
Freight payables | 463,924,999 | 354,320,859 | |
Countervailing and anti-dumping duty | 326,735,668 | 176,534,482 | |
Accrued warranty cost | 99,471,928 | 83,035,845 | |
Accrued utilities, rentals and interest | 86,349,122 | 66,013,084 | |
Contracted labor fee | 55,971,430 | 62,191,471 | |
Value-added tax and other tax payables | 43,243,416 | 54,126,560 | |
Commission payables | 30,558,458 | 92,962,871 | |
Accrued professional service fees | 10,881,679 | 10,432,042 | |
Insurance premium payables | 740,908 | 1,024,587 | |
Finance lease payables (note 2al) | 227,613,208 | $ 32,694,592 | 287,441,586 |
Accrued income tax associated with intercompany transactions | 25,962,700 | ||
Public offering issuance cost | 2,328,174 | ||
Government grants related to assets | 2,018,720 | ||
Others | 31,008,256 | 26,554,161 | |
Total | ¥ 3,055,929,756 | $ 438,956,841 | ¥ 2,281,024,560 |
BONDS PAYABLE AND ACCRUED INT_2
BONDS PAYABLE AND ACCRUED INTEREST (Details) | Jul. 17, 2017CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019CNY (¥) |
Bonds Payable And Accrued Interest [Line Items] | ||||||
Debt Instrument, Term | 1 year | 1 year | 1 year | |||
Debt, face amount | ¥ 300,000,000 | ¥ 300,000,000 | ¥ 300,000,000 | |||
Debt Instrument, Interest Rate, Stated Percentage | 7.37% | |||||
Interest Expense, Medium-term Notes | 11,792,000 | ¥ 10,318,000 | ||||
Debt Related Commitment Fees and Debt Issuance Costs | ¥ 18,646,101 | $ 2,678,345 | ¥ 0 | ¥ 0 | ||
Medium-term Notes [Member] | ||||||
Bonds Payable And Accrued Interest [Line Items] | ||||||
Debt Instrument, Term | 3 years | |||||
Debt maturity date | Jul. 17, 2020 | |||||
Debt Related Commitment Fees and Debt Issuance Costs | ¥ 2,100,000 | |||||
Debt issuance costs, amortization period | 2 years |
BORROWINGS - Short-term (Detail
BORROWINGS - Short-term (Details) - CNY (¥) | Dec. 31, 2019 | Dec. 31, 2018 |
BORROWINGS | ||
Short-term borrowings | ¥ 8,517,391,989 | ¥ 6,916,827,666 |
Long-term borrowings-current portion | 529,857,922 | 186,571,525 |
Total short-term borrowings | ¥ 9,047,249,911 | ¥ 7,103,399,191 |
BORROWINGS - Type of short-term
BORROWINGS - Type of short-term (Details) - CNY (¥) | Dec. 31, 2019 | Dec. 31, 2018 | |
Short-term Debt | ¥ 9,047,249,911 | ¥ 7,103,399,191 | |
Credit Loans [Member] | |||
Short-term Debt | [1] | 351,688,734 | |
Letter of Credit [Member] | |||
Short-term Debt | [1] | 1,432,899,992 | |
Guaranteed by JinkoSolar Holding [Member] | |||
Short-term Debt | [2] | 1,657,515,587 | |
Guaranteed by JinkoSolar Holding and Zhejiang Jinko [Member] | |||
Short-term Debt | [2] | 90,136,520 | |
Guaranteed by JinkoSolar Holding and Jiangxi Jinko [Member] | |||
Short-term Debt | [2] | 80,000,000 | |
Guaranteed by Jiangxi Jinko [Member] | |||
Short-term Debt | [2] | 886,235,381 | |
Guaranteed by Zhejiang Jinko [Member] | |||
Short-term Debt | [2] | 779,858,130 | |
Collateralized on Jiangxi Jinko's share [Member] | |||
Short-term Debt | [3] | 50,000,000 | |
Collateralized on Jiangxi Jinko's Account receivables [Member] | |||
Short-term Debt | [4] | 749,835,112 | |
Collateralized on Zhejiang Jinko's Account receivables [Member] | |||
Short-term Debt | [4] | 60,000,000 | |
Collateralized on bank deposits of Zhejiang Jinko [Member] | |||
Short-term Debt | [5] | 100,000,000 | |
Collateralized on bank deposits of Jiangxi Import & Export Company [Member] | |||
Short-term Debt | [5] | 90,969,648 | |
Collateralized on bank deposits of Jiangxi Jinko [Member] | |||
Short-term Debt | [5] | 62,000,000 | |
Collateralized on bank deposits of Jiangxi Photovoltaic Material [Member] | |||
Short-term Debt | [5] | 10,000,000 | |
Collateralized on bank deposits of Jinko USA [Member] | |||
Short-term Debt | [5] | 4,784,865 | |
Collateralized on the Group's inventory [Member] | |||
Short-term Debt | [6] | 7,046,074 | |
Financings Associated With Failed Sale Lease Back Transactions [Member] | |||
Short-term Debt | 428,138,525 | ||
Guaranteed and collateralized on buildings, equipment and other assets of the Group [Member] | |||
Short-term Debt | [7] | ¥ 2,206,141,343 | |
[1] | As of December 31, 2019, the Group had short-term bank borrowings of RMB 351,688,734 credit loans, RMB 1,432,899,992 letter of credit loan. The remaining short-term bank borrowings of RMB 7,262,661,185 were either guaranteed by other parties and/or collateralized on the Group’s assets, detailed as following: | ||
[2] | Borrowings of RMB 1,657,515,587 guaranteed by JinkoSolar Holding, RMB 90,136,520 guaranteed by JinkoSolar Holding and Zhejiang Jinko, RMB 80,000,000 guaranteed by JinkoSolar Holding and Jiangxi Jinko, RMB 886,235,381 guaranteed by Jiangxi Jinko, RMB 779,858,130 guaranteed by Zhejiang Jinko, respectively. | ||
[3] | Borrowings of RMB 50,000,000 collateralized on the Jiangxi Jinko’s share pledge. | ||
[4] | Borrowings of RMB 749,835,112 collateralized on the account receivables of Jiangxi Jinko, and borrowing of RMB 60,000,000 collateralized on the account receivables of Zhejiang Jinko. | ||
[5] | Borrowings of RMB 100,000,000 collateralized on the bank deposit of Zhejiang Jinko, RMB 90,969,648 collateralized on the bank deposit by JinkoSolar Import & Export Company, RMB 62,000,000 collateralized on the bank deposit of Jiangxi Jinko, RMB 10,000,000 collateralized on the bank deposit of Jiangxi Jinko Photovoltaic Material, RMB 4,784,865 collateralized on the bank deposit of Jinko USA. | ||
[6] | Borrowing of RMB 7,046,074 collateralized on the Group’s certain inventories. | ||
[7] | Borrowings of RMB 2,206,141,343 collateralized on the Group’s certain building and equipment, including RMB 456,180,000 which were also collateralized on the Group’s certain land use rights, and RMB 146,180,000 were also collateralized on the Group’s certain inventory. In addition, included in these borrowings there were borrowings of RMB 290,000,000 guaranteed by JinkoSolar Holding and Zhejiang Jinko, RMB 309,000,000 guaranteed by Jiangxi Jinko, RMB 75,000,000 guaranteed by Jiangxi Jinko and Zhejiang Trading, RMB 1,143,817,971 guaranteed by Zhejiang Jinko and Jiangxi Heji, RMB 50,000,000 guaranteed by shareholders (Xiande Li). |
BORROWINGS - Long-term (Details
BORROWINGS - Long-term (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
Long-term bank borrowings | ¥ 1,390,440,838 | ¥ 2,141,402,299 | |
Long-term financings associated with failed sale-leaseback transactions | 2,116,045,087 | ||
Less: Current portion of long-term bank borrowings | (241,775,211) | (186,571,525) | |
Less: Current portion of financings associated with failed sale-leaseback transactions | (288,082,711) | ||
Total long-term borrowings | 1,586,187,165 | $ 227,841,530 | ¥ 1,954,830,774 |
Financings Associated With Failed Sale Lease Back Transactions [Member] | |||
Long-term financings associated with failed sale-leaseback transactions | 725,604,249 | ||
Less: Current portion of financings associated with failed sale-leaseback transactions | ¥ (288,082,711) |
BORROWINGS - Long-term Future P
BORROWINGS - Long-term Future Principal Repayments (Details) | Dec. 31, 2019CNY (¥) |
BORROWINGS | |
2020 | ¥ 529,857,922 |
2021 | 623,041,126 |
2022 | 121,985,440 |
2023 | 97,463,105 |
2024 | 100,908,790 |
Thereafter | 642,788,704 |
Total | ¥ 2,116,045,087 |
BORROWINGS - Short-Term Narrati
BORROWINGS - Short-Term Narrative (Details) | Dec. 31, 2019CNY (¥)Plant | Dec. 31, 2018CNY (¥) | |
Short-term Debt [Line Items] | |||
Short-term loans interest rate | 4.05% | 4.43% | |
Short-term borrowings | ¥ 9,047,249,911 | ¥ 7,103,399,191 | |
Amount of short-term bank borrowings guaranteed or collateralized | 7,262,661,185 | ||
Long-term Debt | 2,116,045,087 | ||
Current portion of debt | 288,082,711 | ||
Trade Accounts Receivable [Member] | |||
Short-term Debt [Line Items] | |||
Pledged Assets Separately Reported, Other Assets Pledged as Collateral, at Fair Value | 1,200,492,957 | ||
Financings Associated With Failed Sale Lease Back Transactions [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 140,055,814 | ||
Long-term Debt | 725,604,249 | ||
Current portion of debt | 288,082,711 | ||
Loans denominated and repayable in EURO [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 52,200,412 | ||
Loans denominated and repayable in USD [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 2,417,420,149 | ||
Loans denominated and repayable in JPY [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 440,948,005 | ||
Land use rights [Member] | |||
Short-term Debt [Line Items] | |||
Pledged Assets Separately Reported, Other Assets Pledged as Collateral, at Fair Value | 171,927,583 | ||
Land use rights [Member] | Loan Six [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 456,180,000 | ||
Buildings [Member] | |||
Short-term Debt [Line Items] | |||
Pledged Assets Separately Reported, Other Assets Pledged as Collateral, at Fair Value | 524,617,724 | ||
Equipment [Member] | |||
Short-term Debt [Line Items] | |||
Pledged Assets Separately Reported, Other Assets Pledged as Collateral, at Fair Value | 1,633,817,904 | ||
Inventories [Member] | |||
Short-term Debt [Line Items] | |||
Pledged Assets Separately Reported, Other Assets Pledged as Collateral, at Fair Value | 258,692,099 | ||
Inventories [Member] | Loan Five [Member] | Collateral Pledged [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 7,046,074 | ||
Inventories [Member] | Loan Seven [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 146,180,000 | ||
Building and Equipment [Member] | Loan Five [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | ¥ 2,206,141,343 | ||
Power Plants in Mexico [Member] | Disposal Group, Held-for-sale, Not Discontinued Operations [Member] | |||
Short-term Debt [Line Items] | |||
Number of solar plants to be sold | Plant | 2 | ||
Short term borrowings held for sale | ¥ 35,591,498 | ||
Jinko Solar Co., Ltd. ("Jiangxi Jinko") [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 50,000,000 | ||
Jinko Solar Co., Ltd. ("Jiangxi Jinko") [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 886,235,381 | ||
Jinko Solar Co., Ltd. ("Jiangxi Jinko") [Member] | Loan Four [Member] | Collateral Pledged [Member] | Bank Deposit Guaranteed [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 90,969,648 | ||
Jinko Solar Co., Ltd. ("Jiangxi Jinko") [Member] | Loan Seven [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 309,000,000 | ||
Jiangxi Jinko, Jiangxi Import Export [Member] | Loan Three [Member] | Collateral Pledged [Member] | Trade Accounts Receivable [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 749,835,112 | ||
Jiangxi Jinko, Jiangxi Import Export [Member] | Loan Four [Member] | Collateral Pledged [Member] | Bank Deposit Guaranteed [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 62,000,000 | ||
Jiangxi Jinko, Jiangxi Import Export [Member] | Loan Seven [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 75,000,000 | ||
Jiangxi Jinko Photovoltaic Material [Member] | Loan Four [Member] | Collateral Pledged [Member] | Bank Deposit Guaranteed [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 10,000,000 | ||
Jinko USA [Member] | Loan Four [Member] | Collateral Pledged [Member] | Bank Deposit Guaranteed [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 4,784,865 | ||
JinkoSolar Holding [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 1,657,515,587 | ||
JinkoSolar Holding and Zhejiang Jinko [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 90,136,520 | ||
JinkoSolar Holding and Zhejiang Jinko [Member] | Loan Seven [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 290,000,000 | ||
JinkoSolar Holding and Jiangxi Jinko [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 80,000,000 | ||
Zhejiang Jinko And Jiangxi Heji [Member] | Loan Seven [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 1,143,817,971 | ||
Xiande Li And Kangping Chen [Member] | Loan Seven [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 50,000,000 | ||
Zhejiang Jinko [Member] | Guaranteed by affiliate [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 779,858,130 | ||
Zhejiang Jinko [Member] | Loan Three [Member] | Collateral Pledged [Member] | Trade Accounts Receivable [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 60,000,000 | ||
Zhejiang Jinko [Member] | Loan Four [Member] | Collateral Pledged [Member] | Bank Deposit Guaranteed [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | 100,000,000 | ||
Credit Loans [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | [1] | 351,688,734 | |
Letter of Credit [Member] | |||
Short-term Debt [Line Items] | |||
Short-term borrowings | [1] | ¥ 1,432,899,992 | |
[1] | As of December 31, 2019, the Group had short-term bank borrowings of RMB 351,688,734 credit loans, RMB 1,432,899,992 letter of credit loan. The remaining short-term bank borrowings of RMB 7,262,661,185 were either guaranteed by other parties and/or collateralized on the Group’s assets, detailed as following: |
BORROWINGS - Long-term Narrativ
BORROWINGS - Long-term Narrative details (Details) | 12 Months Ended | 24 Months Ended | |||||||||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2019MXN ($) | Dec. 31, 2019CNY (¥) | Dec. 31, 2018CNY (¥) | Jan. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Jul. 31, 2017CNY (¥) | Jul. 17, 2017CNY (¥) | May 31, 2017CNY (¥) | |
Debt Instrument [Line Items] | |||||||||||||
Debt term | 1 year | 1 year | |||||||||||
Debt, face amount | ¥ 300,000,000 | ¥ 300,000,000 | |||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.37% | ||||||||||||
Long-term Debt | 2,116,045,087 | ||||||||||||
Current portion of debt | 288,082,711 | ||||||||||||
Loans payable to bank | 1,390,440,838 | ¥ 2,141,402,299 | |||||||||||
Loans payable to bank, current | 241,775,211 | 186,571,525 | |||||||||||
Carrying amount of solar project sold | ¥ 52,000,000 | ¥ 815,400,000 | ¥ 201,100,000 | ||||||||||
Short-term borrowings | 9,047,249,911 | 7,103,399,191 | |||||||||||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 5.00% | ||||||||||||
Debt instrument, interest rate spread | 5.00% | ||||||||||||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 9.00% | ||||||||||||
Debt instrument, interest rate spread | 9.00% | ||||||||||||
Financings Associated With Failed Sale Lease Back Transactions [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Long-term Debt | 725,604,249 | ||||||||||||
Current portion of debt | 288,082,711 | ||||||||||||
Carrying amount of solar project sold | 1,055,200,000 | ||||||||||||
Cash consideration for solar project sold | ¥ 927,000,000 | ||||||||||||
Short-term borrowings | 140,055,814 | ||||||||||||
Financings Associated With Failed Sale Lease Back Transactions [Member] | Minimum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Lease term | 1 year | ||||||||||||
Financings Associated With Failed Sale Lease Back Transactions [Member] | Maximum [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Lease term | 6 years | ||||||||||||
Loan agreement with The Export-Import Bank of China [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt, face amount | ¥ 609,283,000 | ||||||||||||
Effective interest rate | 3.82% | 3.82% | 3.82% | ||||||||||
Long-term Debt | ¥ 69,881,000 | ||||||||||||
China Merchants Bank [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 10 years | 10 years | |||||||||||
Debt, face amount | ¥ 87,880,000 | ||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.39% | ||||||||||||
Long-term Debt | 59,631,212 | ||||||||||||
Current portion of debt | 8,378,198 | ||||||||||||
Debt Instrument, Collateral Amount | 168,753,985 | ||||||||||||
Loan Agreement With Credit Suisse Ag [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 3 years | 3 years | |||||||||||
Debt, face amount | $ 40,000,000 | $ 6,000,000 | ¥ 279,048,000 | ¥ 41,857,200 | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.62% | 5.62% | 5.62% | 5.62% | |||||||||
Consortium Loan one [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 7 years | 7 years | |||||||||||
Debt instrument, description of variable rate basis | 2% and LIBOR | ||||||||||||
Line of Credit Facility, Current Borrowing Capacity | $ 103,248,381 | $ 162,564,059 | 780,163,451 | ||||||||||
Debt Instrument, Collateral Amount | 1,043,516,591 | ||||||||||||
Consortium Loan Two [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 14 years | ||||||||||||
Debt, face amount | $ 105,185,805 | ¥ 733,797,213 | |||||||||||
Current portion of debt | 25,158,813 | ||||||||||||
Line of Credit Facility, Current Borrowing Capacity | 73,288,241 | 511,273,426 | |||||||||||
Debt Instrument, Collateral Amount | 926,590,039 | ||||||||||||
Consortium Loan Three [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 7 years | ||||||||||||
Debt instrument, description of variable rate basis | 2% and LIBOR | ||||||||||||
Line of Credit Facility, Current Borrowing Capacity | $ 18,967,411 | $ 7,328,535 | 135,019,993 | ||||||||||
Debt Instrument, Collateral Amount | 240,524,789 | ||||||||||||
Seven Year Loan Agreement [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt, face amount | $ 19,596,403 | ¥ 136,708,427 | |||||||||||
Loan Agreement With China Everbright Bank [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 8 years | ||||||||||||
Debt, face amount | ¥ 372,000,000 | ||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.37% | 6.37% | 6.37% | ||||||||||
Loans payable to bank | ¥ 348,750,000 | ||||||||||||
Loans payable to bank, current | 46,500,000 | ||||||||||||
Debt Instrument, Collateral Amount | 706,173,643 | ||||||||||||
Agreement With China CITIC Bank [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 2 years | ||||||||||||
Debt, face amount | ¥ 30,000,000 | ||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.50% | 8.50% | 8.50% | ||||||||||
Guochuang Investment [Member] | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt term | 3 years | ||||||||||||
Debt, face amount | ¥ 50,000,000 |
LEASES (Details)
LEASES (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Lessee, Lease, Description [Line Items] | |
Residual value gurantee | false |
Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Operating lease term | 3 years |
Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Operating lease term | 20 years |
LEASES - Components of Lease Ex
LEASES - Components of Lease Expenses (Details) | 12 Months Ended |
Dec. 31, 2019CNY (¥) | |
LEASES | |
Amortization of right-of-use assets | ¥ 145,539,290 |
Interest of lease liabilities | 45,811,621 |
Expenses for short-term lease within 12 months | 5,064,442 |
Total lease cost | ¥ 196,415,353 |
LEASES - Supplemental Cash Flow
LEASES - Supplemental Cash Flow Information (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Cash paid for amounts included in the measurement of lease liabilities: | ||||
Operating cash outflows for operating leases | ¥ 50,758,114 | |||
Operating cash outflows for finance leases | 23,340,016 | |||
Financing cash outflows for finance leases | 284,089,511 | $ 40,806,905 | ¥ 309,827,275 | ¥ 168,267,236 |
Total cash paid for amounts included in the measurement of lease liabilities: | 358,187,641 | |||
Lease obligation assumed in exchange for right-of-use assets: | ||||
Operating lease liabilities | 269,671,708 | |||
Finance lease liabilities | 937,056,577 | |||
Total lease obligation assumed in exchange for right-of-use assets: | ¥ 1,206,728,285 | |||
Weighted-average remaining lease term | 3 years 6 months 25 days | 3 years 6 months 25 days | ||
Weighted-average discount rate | 5.64% | 5.64% |
LEASES - Maturities of Lease Li
LEASES - Maturities of Lease Liabilities (Details) | Dec. 31, 2019CNY (¥) |
Finance Lease, Liability, Payment, Due [Abstract] | |
2020 | ¥ 315,373,609 |
2021 | 349,235,068 |
2022 | 221,652,540 |
Thereafter | 387,198,829 |
Total undiscounted lease payments | 1,273,460,046 |
Less: imputed interest | (142,779,127) |
Total lease liabilities | ¥ 1,130,680,919 |
LEASES - Future Minimum Lease P
LEASES - Future Minimum Lease Payments (Details) | 12 Months Ended |
Dec. 31, 2019CNY (¥)lease | |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
2020 | ¥ 319,098,599 |
2021 | 349,235,068 |
2022 | 221,652,540 |
Thereafter | 387,198,829 |
Total minimum lease payments | ¥ 1,277,185,036 |
Lease not yet commenced | lease | 0 |
LEASES - Sale and Lease Back (D
LEASES - Sale and Lease Back (Details) | 1 Months Ended | 12 Months Ended | ||||||||||
May 31, 2018CNY (¥) | Jan. 31, 2018CNY (¥) | Nov. 30, 2017CNY (¥) | Jul. 31, 2017CNY (¥) | May 31, 2017CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016CNY (¥) | Dec. 31, 2015CNY (¥) | Dec. 31, 2019USD ($) | |
Sale Leaseback Transaction [Line Items] | ||||||||||||
Sale leaseback transaction, lease terms | three years | four years | three years | P3Y | P3Y | |||||||
Finance expenses for early termination of contract | ¥ 1,400,000 | ¥ 1,400,000 | ||||||||||
Sale leaseback transaction, carrying amount | ¥ 52,000,000 | ¥ 815,400,000 | ¥ 201,100,000 | |||||||||
Sale leaseback transaction, consideration | 50,000,000 | 600,000,000 | 150,000,000 | |||||||||
Loss on sale leaseback transaction | 2,000,000 | 215,400,000 | ¥ 51,100,000 | |||||||||
Ownership upon expiration of lease term | ¥ 1,000,000 | ¥ 600,000 | ||||||||||
Financing lease term | 2 years | 2 years | ||||||||||
Carrying amount of leased asset | ¥ 10,208,204,549 | ¥ 8,275,899,684 | $ 1,466,316,836 | |||||||||
Amortized deferred losses related to sale-leaseback transactions | ¥ 33,560,902 | $ 4,820,722 | ¥ 36,638,880 | ¥ 14,714,339 | ||||||||
Machinery And Equipment Under Lease [Member] | ||||||||||||
Sale Leaseback Transaction [Line Items] | ||||||||||||
Carrying amount of leased asset | ¥ 72,000,000 | ¥ 74,900,000 | ||||||||||
Minimum [Member] | ||||||||||||
Sale Leaseback Transaction [Line Items] | ||||||||||||
Sale leaseback transaction, lease terms | one | one | ||||||||||
Maximum [Member] | ||||||||||||
Sale Leaseback Transaction [Line Items] | ||||||||||||
Sale leaseback transaction, lease terms | P3Y | P3Y |
LEASES - Net Value of Leased As
LEASES - Net Value of Leased Assets (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
Sale Leaseback Transaction [Line Items] | |||
Equipment | ¥ 12,899,352,492 | ¥ 10,116,744,866 | |
Less: accumulated depreciation | (3,497,199,736) | (3,087,018,295) | |
Net Value | 10,208,204,549 | $ 1,466,316,836 | 8,275,899,684 |
Leased Assets [Member] | |||
Sale Leaseback Transaction [Line Items] | |||
Equipment | 1,510,944,643 | 936,961,787 | |
Less: accumulated depreciation | (251,231,428) | (116,935,527) | |
Net Value | ¥ 1,259,713,215 | ¥ 820,026,260 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Net income | ¥ 924,352,495 | ¥ 405,575,533 | ¥ 142,191,365 |
Less: Net (loss)/income attributable to non-controlling interests | 25,690,269 | (903,161) | 485,676 |
Net income attributable to JinkoSolar's ordinary shareholders | 898,662,226 | 406,478,694 | 141,705,689 |
Dilutive effects of call option | (91,066,662) | ||
Numerator for diluted income per share | ¥ 807,595,564 | ¥ 406,478,694 | ¥ 141,705,689 |
Denominator for basic earnings per share - weighted average number of ordinary shares outstanding | 169,363,306 | 153,806,379 | 128,944,330 |
Dilutive effects of call option | (4,705,479) | ||
Denominator for diluted calculation - weighted average number of ordinary shares outstanding | 166,567,757 | 154,704,166 | 131,687,230 |
Continuing operations: | |||
Basic earnings per share attributable to JinkoSolar's ordinary shareholders | ¥ 5.31 | ¥ 2.64 | ¥ 1.10 |
Diluted earnings per share attributable to JinkoSolar's ordinary shareholders | ¥ 4.85 | ¥ 2.63 | ¥ 1.08 |
Stock Options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Dilutive effects of share options | 1,909,930 | 897,786 | 2,742,900 |
EARNINGS PER SHARE - Additional
EARNINGS PER SHARE - Additional (Details) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
EARNINGS PER SHARE | ||
Antidilutive securities excluded | 17,708,332 | 873 |
EMPLOYEE BENEFITS (Details)
EMPLOYEE BENEFITS (Details) - CNY (¥) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2013 | Dec. 31, 2012 | |
EMPLOYEE BENEFITS | ||||
Penalty on daily rate basis as a percentage of outstanding contribution | 0.05% | |||
Accrued employee benefits | ¥ 595,295,007 | ¥ 560,243,695 | ¥ 25,807,949 | ¥ 12,063,712 |
CONVERTIBLE SENIOR NOTES AND _2
CONVERTIBLE SENIOR NOTES AND CALL OPTIONS (Details) | Feb. 01, 2017 | Dec. 31, 2019CNY (¥) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016USD ($) | Dec. 31, 2019USD ($)$ / shares | Dec. 31, 2019CNY (¥) | May 17, 2019USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2017CNY (¥) | Jul. 17, 2017CNY (¥) | Jan. 24, 2014USD ($) |
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | ¥ 300,000,000 | ¥ 300,000,000 | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.37% | |||||||||||
2019 Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | $ | $ 1,000 | $ 150,000,000 | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.00% | |||||||||||
Convertible debt, conversion rate | 21.8221 | |||||||||||
Convertible debt, conversion price | $ / shares | $ 45.83 | |||||||||||
Debt covenant, ownership interest threshold | 50.00% | 50.00% | ||||||||||
Face value of notes repurchased | $ | $ 88,900,000 | $ 10,200 | $ 61,100,000 | |||||||||
Percentage of notes repurchased | 100.00% | 0.00% | 40.70% | 59.30% | ||||||||
Percentage of price redeemed at | 100.00% | 100.00% | 96.00% | |||||||||
Foreign exchange gain (loss) | ¥ 0 | ¥ 68,632 | ¥ 65,342 | |||||||||
Gain (loss) from change in fair value of convertible senior notes | 0 | 0 | 845,071 | |||||||||
Unrealized Gain (Loss) on Derivatives | ¥ 0 | 0 | ¥ 0 | |||||||||
Percentage Of principal Amount | 100.00% | |||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 100.00% | 0.00% | 40.70% | 59.30% | ||||||||
2024 Convertible Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | $ | $ 1,000 | $ 85,000,000 | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | |||||||||||
Convertible debt, conversion rate | 52.0833 | |||||||||||
Convertible debt, conversion price | $ / shares | $ 19.20 | |||||||||||
Debt covenant, ownership interest threshold | 50.00% | 50.00% | ||||||||||
Percentage of notes repurchased | 100.00% | |||||||||||
Fair value of convertible notes | 7,675,500 | ¥ 566,617 | ¥ 728,215,869 | |||||||||
Foreign exchange gain (loss) | ¥ 21,089,777 | ¥ 114,149,092 | ||||||||||
Percentage Of principal Amount | 100.00% | |||||||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 100.00% |
CONVERTIBLE SENIOR NOTES AND _3
CONVERTIBLE SENIOR NOTES AND CALL OPTIONS - Convertible notes 2024 (Details) - USD ($) $ in Millions | Jan. 22, 2014 | Feb. 28, 2018 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Stock Issued During Period, Shares, New Issues | 16,560,000 | ||
2024 Convertible Notes | |||
Debt Instrument [Line Items] | |||
Proceeds from Issuance of Debt | $ 30 | ||
American Depositary Shares | |||
Debt Instrument [Line Items] | |||
Stock Issued During Period, Shares, New Issues | 3,750,000 | 1,875,000 |
CONVERTIBLE SENIOR NOTES AND _4
CONVERTIBLE SENIOR NOTES AND CALL OPTIONS - Call options (Details) - 12 months ended Dec. 31, 2019 - Call Option [Member] $ in Millions | CNY (¥) | USD ($) |
Debt Instrument [Line Items] | ||
Derivative Asset, Fair Value, Gross Asset | $ | $ 30 | |
Fair Value, Option, Changes in Fair Value, Gain (Loss) | ¥ 84,891,634 | |
Exchange Gain for Call Option | ¥ 2,709,000 |
ISSUANCE OF ORDINARY SHARES (De
ISSUANCE OF ORDINARY SHARES (Details) | Jan. 22, 2014USD ($)shares | May 31, 2019CNY (¥) | May 31, 2019USD ($)$ / shares | Feb. 28, 2018USD ($)$ / sharesshares | Dec. 31, 2019CNY (¥)shares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2018$ / sharesshares |
REFERRED SHARES [Line Items] | |||||||||
Authorized capital | $ | $ 10,000 | ||||||||
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 | |||||||
Ordinary shares, par value | $ / shares | $ 0.00002 | $ 0.00002 | $ 0.00002 | $ 0.00002 | |||||
Issuance of shares | ¥ 18,687,500 | $ 4,671,875 | ¥ 488,950,795 | ¥ 663,235,987 | |||||
Ordinary shares, shares issued | 180,653,497 | 158,587,937 | |||||||
Ordinary shares, shares outstanding | 178,930,297 | 156,864,737 | |||||||
Issuance of shares (in shares) | 16,560,000 | ||||||||
Payments of Stock Issuance Costs | $ | 3,900,000 | $ 4,300,000 | |||||||
Proceeds from Issuance of Common Stock | ¥ 488,950,000 | $ 70,900,000 | $ 71,100,000 | ¥ 488,950,795 | $ 70,233,387 | ¥ 663,235,987 | ¥ 0 | ||
Share Price In ADR | $ / shares | $ 16 | $ 18.15 | |||||||
Private Placement | |||||||||
REFERRED SHARES [Line Items] | |||||||||
Issuance of shares | $ | $ 126,300,000 | $ 35,000,000 | |||||||
Issuance of shares (in shares) | 15,000,000 | 7,713,499 | |||||||
Shares Issued, Price Per Share | $ / shares | $ 4 | $ 4.54 | |||||||
American Depositary Shares | |||||||||
REFERRED SHARES [Line Items] | |||||||||
Issuance of shares | $ | $ 4,140,000 | ||||||||
Issuance of shares (in shares) | 3,750,000 | 1,875,000 | 1,875,000 |
SHARE BASED COMPENSATION (Detai
SHARE BASED COMPENSATION (Details) | Oct. 10, 2014 | Aug. 31, 2014shares | Aug. 31, 2009shares | Dec. 31, 2019CNY (¥)shares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019CNY (¥)¥ / shares | Jul. 31, 2009shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of vesting increments | 5 | ||||||||
Options granted | 0 | 0 | |||||||
Market value of ordinary shares | (per share) | $ 5.62 | ¥ 39.31 | |||||||
Intrinsic value of options exercised | ¥ | ¥ 54,032,828 | ¥ 3,057,319 | ¥ 110,973,732 | ||||||
Unrecognized share-based compensation expense | ¥ | ¥ 1,263,892 | ||||||||
Unrecognized share-based compensation expense, weighted-average recognition period | 1 year 8 months 15 days | 1 year 8 months 15 days | |||||||
Cash received from the exercise of share options | ¥ 38,245,122 | $ 5,493,568 | ¥ 44,275,858 | ¥ 69,929,453 | |||||
Stock Options | Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of vesting increments | 5 | ||||||||
2014 Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Ordinary shares that may be issued | 12,796,745 | ||||||||
Contractual life | 10 years | ||||||||
2009 Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Ordinary shares that may be issued | 9,325,122 | ||||||||
Contractual life | 7 years | ||||||||
2009 Plan | Employee | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Options granted | 953,200 | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 36 months |
SHARE BASED COMPENSATION - Stoc
SHARE BASED COMPENSATION - Stock Option Activity (Details) | 12 Months Ended | |
Dec. 31, 2019$ / sharesshares | Dec. 31, 2019CNY (¥)shares | |
Number of option outstanding | ||
Balance as of January 1, 2019 | shares | 8,453,372 | |
Granted | shares | 0 | |
Exercise | shares | (3,378,060) | |
Forfeited | shares | (520,024) | |
Balance as of December 31, 2019 | shares | 4,555,288 | |
Vested and expected to vest as of December 31,2019 | shares | 4,456,440 | |
Vested and exercisable as of December 31, 2019 | shares | 4,279,300 | |
Weighted-Average Exercise Price | ||
Balance as of January 1, 2019 | $ / shares | $ 3.34 | |
Granted | $ / shares | 0 | |
Exercise | $ / shares | 3.35 | |
Forfeited | $ / shares | 3.29 | |
Balance as of December 31, 2019 | $ / shares | 3.34 | |
Vested and expected to vest as of December 31,2019 | $ / shares | 3.39 | |
Vested and exercisable as of December 31, 2019 | $ / shares | $ 3.41 | |
Weighted-Average Remaining Contractual Term | ||
Balance as of December 31 2019 | 4 years 8 months 23 days | |
Vested and expected to vest as of December 31,2019 | 4 years 7 months 2 days | |
Vested and exercisable as of December 31, 2019 | 4 years 6 months 14 days | |
Aggregate Intrinsic value | ||
Balance as of December 31 2019 | ¥ | ¥ 73,353,508 | |
Vested and expected to vest as of December 31,2019 | ¥ | 70,161,689 | |
Vested and exercisable as of December 31, 2019 | ¥ | ¥ 67,601,773 |
SHARE BASED COMPENSATION - Summ
SHARE BASED COMPENSATION - Summary of Non-vested Shares (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Weighted-average fair value on grant date (RMB/Share) | |||
Fair Value Of Shares Vested | ¥ 65,621,884 | ¥ 63,100,120 | ¥ 70,106,939 |
SHARE BASED COMPENSATION - Expe
SHARE BASED COMPENSATION - Expense Allocation (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation | ¥ 4,578,315 | ¥ 29,307,903 | ¥ 64,867,902 |
Costs of Revenues | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation | (771,464) | 967,367 | 2,219,311 |
Selling Expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation | 3,424,973 | 6,415,213 | 12,722,162 |
General and Administration Expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation | 1,140,815 | 24,066,459 | 46,017,821 |
Research and Development Expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based compensation | ¥ 783,991 | ¥ (2,141,136) | ¥ 3,908,608 |
RELATED PARTY TRANSACTIONS AN_3
RELATED PARTY TRANSACTIONS AND BALANCES - Balances (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
Outstanding amounts due from related parties: | |||
Other Receivables, Related Parties | ¥ 54,318,280 | ¥ 67,729,869 | |
Accounts receivables from related party | 520,503,579 | 675,767,723 | |
Other payables due to a related party: | |||
Accounts payable - related parties | 36,309,710 | $ 5,215,564 | 698,043 |
Other payables to Desun for leasing of land and buildings | 10,784,038 | 9,704,152 | |
Other Payables, Related Parties | 13,127,352 | 20,818,596 | |
Due to Related Parties [Abstract] | |||
Notes payables due to Jinko Power Group | 35,000,000 | ||
JinkoSolar Power Engineering Group Limited ("JinkoSolar Power") [Member] | |||
Other payables due to a related party: | |||
Accounts payable - related parties | 748,615 | 910,086 | |
Executive Directors [Member] | |||
Outstanding amounts due from related parties: | |||
Other Receivables, Related Parties | 75,234 | ||
Other payables due to a related party: | |||
Other Payables, Related Parties | 55,457 | ||
Jiangxi Jinko Engineering For Miscellaneous [Member] | |||
Outstanding amounts due from related parties: | |||
Other Receivables, Related Parties | 21,995,622 | 8,296,133 | |
Jiangxi Jinko Engineering For Outsourcing Services [Member] | |||
Outstanding amounts due from related parties: | |||
Other Receivables, Related Parties | 32,247,424 | 55,514,313 | |
Sweihan Solar Holding Company [Member] | |||
Outstanding amounts due from related parties: | |||
Accounts receivables from related party | 36,185,644 | 127,779,355 | |
Jiangxi Jinko Engineering for sales of solar modules and others [Member] | |||
Outstanding amounts due from related parties: | |||
Accounts receivables from related party | 484,317,935 | 522,619,737 | |
ReneSola Ltd. [Member] | |||
Other payables due to a related party: | |||
Accounts payable - related parties | 698,043 | ||
JinkoTiansheng Member [Member] | |||
Outstanding amounts due from related parties: | |||
Accounts receivables from related party | 25,368,631 | ||
Other payables due to a related party: | |||
Accounts payable - related parties | 36,309,710 | ||
Jinko Power | |||
Outstanding amounts due from related parties: | |||
Other Receivables, Related Parties | 3,919,423 | ||
Other Assets, Related Parties | 96,753,306 | 144,983,745 | |
Notes receivables from JinkoPower for provision of guarantee | 18,628,574 | ||
Other payables due to a related party: | |||
Other Payables, Related Parties | ¥ 2,343,314 | ¥ 11,058,987 |
RELATED PARTY TRANSACTIONS AN_4
RELATED PARTY TRANSACTIONS AND BALANCES - Transaction From Related Party (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues [Abstract] | |||
Revenue from Related Parties | ¥ 6,474,041 | ||
Income of financing guarantees | ¥ 18,574,433 | ¥ 26,229,524 | 64,225,858 |
Service Expenses provided by Related Parties [Abstract] | |||
Payments for Other Fees | 39,565,882 | 19,741,927 | 8,375,075 |
Escrow Service Expenses | 23,266,889 | 20,842,153 | 2,735,269 |
Construction Service Fees | 8,935,653 | 25,769,137 | |
Related Party Transaction, Expenses from Transactions with Related Party | 1,100,304 | 1,100,304 | 1,100,304 |
Jinko Power Group [Member] | |||
Revenues [Abstract] | |||
Revenue from Related Parties | 7,812,477 | 38,895,833 | 453,251,266 |
Revenue from Rental Services | 2,177,280 | 2,177,280 | 2,142,018 |
Sweihan Pv [Member] | |||
Revenues [Abstract] | |||
Revenue from Related Parties | 144,287,938 | 1,416,020,214 | 1,219,803,260 |
ReneSola [Member] | |||
Revenues [Abstract] | |||
Revenue from Related Parties | 0 | 47,388 | 6,474,041 |
Purchase of Raw Materials from Related Parties [Abstract] | |||
Related Party Costs | ¥ 0 | ¥ 0 | ¥ 2,866,904 |
RELATED PARTY TRANSACTIONS AN_5
RELATED PARTY TRANSACTIONS AND BALANCES - Transactions (Details) | Jun. 22, 2017CNY (¥) | Nov. 30, 2017CNY (¥) | Nov. 30, 2017USD ($) | Dec. 31, 2017CNY (¥) | Dec. 31, 2017USD ($) | Dec. 31, 2019CNY (¥) | Dec. 31, 2018EUR (€) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2016USD ($) |
Related Party Transaction [Line Items] | |||||||||||
Revenues from sales of products and provision of processing services to related party | ¥ 6,474,041 | ||||||||||
Rental expenses from related parties | ¥ 1,100,304 | ¥ 1,100,304 | 1,100,304 | ||||||||
Guarantor Obligations, Guarantee Fee Income Receivable | 115,381,880 | 148,903,168 | |||||||||
Guarantor Obligations, Carrying Value | 72,019,365 | 92,404,069 | |||||||||
Related Party Transaction, Other Revenues from Transactions with Related Party | 18,574,433 | 64,225,858 | |||||||||
Guarantor Obligations, Current Carrying Value | 25,687,692 | 26,639,131 | $ 3,689,806 | ||||||||
Reversion Of Unamortised Redemption Guarantee Liabilities | ¥ 22,119,127 | ¥ 13,609,729 | 28,965,510 | 13,609,729 | |||||||
Reversion Of Unamortized Redemption Guarantee Assets | 20,409,535 | 12,258,412 | 34,283,915 | 12,258,412 | |||||||
Other Income | ¥ 1,709,592 | 5,318,405 | 1,351,317 | ||||||||
Guarantor Obligations Proceeds Of Guarantee Fee | 18,628,574 | 29,460,673 | 52,586,819 | ||||||||
Payments for Other Fees | 39,565,882 | 19,741,927 | 8,375,075 | ||||||||
Payments Made in Advance related to Service Fee | ¥ 76,356,466 | $ 11,200,000 | |||||||||
Proceeds from Sale of Equity Method Investments | ¥ 28,634 | $ 4,383 | € 2,636,291 | 28,634 | |||||||
Escrow Service Expenses | 23,266,889 | ¥ 20,842,153 | 2,735,269 | ||||||||
Lessor, Operating Lease, Term of Contract | 10 years | ||||||||||
Construction in progress | 806,051,793 | ¥ 1,246,173,113 | |||||||||
Due from related parties | ¥ 91,416,575 | ||||||||||
Minimum [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Amortization period for guarantee liability | 1 year | ||||||||||
Maximum [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Amortization period for guarantee liability | 16 years | ||||||||||
Jinko-Tiansheng [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Payments for Other Fees | ¥ 39,565,882 | 19,741,927 | 8,375,075 | ||||||||
Sweihan Pv [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Revenues from sales of products and provision of processing services to related party | 144,287,938 | 1,416,020,214 | 1,219,803,260 | ||||||||
ReneSola [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Revenues from sales of products and provision of processing services to related party | 0 | 47,388 | 6,474,041 | ||||||||
Related Party Costs | 0 | 0 | 2,866,904 | ||||||||
Jiangxi Desun Energy Co., Ltd. [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Rental expenses from related parties | 1,100,304 | 1,100,304 | 1,100,304 | ||||||||
Guarantor Obligations, Current Carrying Value | 2,630,000,000 | $ 377,400,000 | |||||||||
Jinko Power Group [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Revenues from sales of products and provision of processing services to related party | 7,812,477 | 38,895,833 | 453,251,266 | ||||||||
Related Party Transaction, Other Revenues from Transactions with Related Party | 26,229,524 | ||||||||||
Revenue from Rental Services | 2,177,280 | ¥ 2,177,280 | ¥ 2,142,018 | ||||||||
Jinko Power | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due from related parties | 484 | ||||||||||
Due from related parties over due over one year | 418 | ||||||||||
Interest on overdue receivable from related parties | ¥ 0 | ||||||||||
Jiangxi Jinko Engineering and Investors of Jiangxi Jinko Engineering [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Due to Related Parties | $ | $ 297,300,000 |
CERTAIN RISKS AND CONCENTRATI_2
CERTAIN RISKS AND CONCENTRATION (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Sales Revenue, Goods, Net [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk percentage | 10.00% | 10.00% |
Sales Revenue, Goods, Net [Member] | Foreign Currency Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk percentage | 82.60% | |
Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk percentage | 10.00% | 10.00% |
CERTAIN RISKS AND CONCENTRATI_3
CERTAIN RISKS AND CONCENTRATION - Schedule of Major Customers (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk percentage | 10.00% | 10.00% |
Sales Revenue, Goods, Net [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk percentage | 10.00% | 10.00% |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Capital commitments) (Details) | Dec. 31, 2019CNY (¥) |
COMMITMENTS AND CONTINGENCIES | |
2020 | ¥ 1,545,563,682 |
2021 | 188,509,720 |
Total | 1,734,073,402 |
Purchase Obligation | ¥ 1,734,073,402 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES (Contingencies and Guarantees) (Details) ¥ in Millions, $ in Millions | 1 Months Ended | ||||||||
Jan. 31, 2020CNY (¥) | Dec. 31, 2019CNY (¥) | Jul. 31, 2019EUR (€) | Jun. 30, 2017CNY (¥) | Jan. 31, 2016CNY (¥) | Feb. 28, 2013CNY (¥) | Jul. 31, 2008CNY (¥) | Dec. 31, 2018USD ($) | Nov. 22, 2017CNY (¥) | |
Contingencies [Line Items] | |||||||||
Guarantor Obligations, Maximum Exposure, Undiscounted | $ | $ 42.9 | ||||||||
Case Against Wuxi Zhongcai [Member] | |||||||||
Contingencies [Line Items] | |||||||||
Amount of claim | ¥ 102 | ¥ 2.7 | |||||||
Amount of claim against party | 93.2 | ¥ 93.2 | |||||||
Payment for long-term purchase agreement deposit | ¥ 95.6 | ¥ 95.6 | |||||||
Provision for doubtful accounts receivable | ¥ 150 | ¥ 93.2 | ¥ 93.2 | ||||||
Litigation Settlement, Amount Awarded from Other Party | ¥ 93.2 | ||||||||
Cash with the settlement agreement | ¥ 52.5 | ||||||||
Jiangxi Jinko [Member] | |||||||||
Contingencies [Line Items] | |||||||||
Amount of claim | € | € 1,965,170 | ||||||||
JinkoSolar (Switzerland) AG ("Jinko Switzerland") [Member] | |||||||||
Contingencies [Line Items] | |||||||||
Amount of claim | € | € 846,604.41 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) | 12 Months Ended | 36 Months Ended | ||||||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Derivative [Line Items] | ||||||||
Derivative Liabilities Current | ¥ 61,271,965 | ¥ 12,786,001 | ¥ 61,271,965 | |||||
Fair Value Adjustment of Warrants | 0 | |||||||
Impairment of Long-Lived Assets to be Disposed of | 68,262,038 | $ 9,805,228 | 14,548,043 | ¥ 0 | ||||
Asset Impairment Charges | ¥ 68,262,038 | 14,548,043 | ||||||
Change in fair value of derivative forward contracts | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | $ | $ 848,000,000 | |||||||
Foreign exchange option [Member] | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | $ | $ 0 | $ 167,000,000 | $ 0 | |||||
Remaining maturity of foreign currency derivative | 12 months | 12 months | ||||||
Loss/ gain on derivative | ¥ 330,706 | 9,720,182 | 0 | |||||
Interest Rate Swap [Member] | ||||||||
Derivative [Line Items] | ||||||||
Derivative, Notional Amount | ¥ 69,974,512 | ¥ 13,700,387 | ¥ 16,122,313 | ¥ 69,974,512 |
FAIR VALUE MEASUREMENTS (Assets
FAIR VALUE MEASUREMENTS (Assets and Liabilities on a Recurring Basis) (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Liabilities: | ||
Guarantee liabilities | $ 72,019,365 | $ 92,404,068 |
Convertible senior notes | 728,215,869 | 68,632 |
Derivative liability interest rate swap | 61,271,965 | 12,786,001 |
Foreign Exchange Forward Contract [Member] | ||
Assets: | ||
Derivative assets | 52,281,183 | 1,192,168 |
Liabilities: | ||
Guarantee liabilities | 3,856,561 | 9,463,728 |
Foreign exchange option [Member] | ||
Assets: | ||
Derivative assets | 846,718 | |
Call Option [Member] | ||
Assets: | ||
Derivative assets | 294,177,634 | |
Fair Value, Inputs, Level 3 [Member] | ||
Liabilities: | ||
Guarantee liabilities | 72,019,365 | 92,404,068 |
Convertible senior notes | 728,215,869 | 68,632 |
Derivative liability interest rate swap | 61,271,965 | 12,786,001 |
Fair Value, Inputs, Level 3 [Member] | Foreign exchange option [Member] | ||
Assets: | ||
Derivative assets | 846,718 | |
Fair Value, Inputs, Level 3 [Member] | Call Option [Member] | ||
Assets: | ||
Derivative assets | 294,177,634 | |
Fair Value, Inputs, Level 1 [Member] | ||
Liabilities: | ||
Guarantee liabilities | 0 | |
Convertible senior notes | 0 | |
Derivative liability interest rate swap | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Exchange Forward Contract [Member] | ||
Assets: | ||
Derivative assets | 0 | |
Liabilities: | ||
Guarantee liabilities | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign exchange option [Member] | ||
Assets: | ||
Derivative assets | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Exchange Forward Contract [Member] | ||
Assets: | ||
Derivative assets | 52,281,183 | 1,192,168 |
Liabilities: | ||
Guarantee liabilities | $ 3,856,561 | $ 9,463,728 |
FAIR VALUE MEASUREMENTS (Asse_2
FAIR VALUE MEASUREMENTS (Assets and Liabilities Measured Using Unobservable Inputs) (Details) - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Call Option [Member] | |||
Issuance of convertible senior notes | ¥ 206,577,000 | ¥ 0 | |
Balance at January 1, | 0 | 0 | ¥ 0 |
Issuance of call options | 206,577,000 | 0 | |
Foreign exchange (gain)/loss | 2,709,000 | 0 | |
Change in fair value of call options | 84,891,634 | 0 | |
Balance at December 31, | 294,177,634 | 0 | 0 |
Convertible Senior Notes [Member] | |||
Balance at January 1, | 68,632 | 65,342 | 423,739,708 |
Issuance of convertible senior notes | 585,301,500 | ||
Foreign exchange (gain)/loss | 7,675,500 | 3,290 | (845,071) |
Change in fair value of convertible senior notes | 114,149,092 | ||
Change in the instrument-specific credit risk | 21,089,777 | ||
Repurchase of convertible senior notes | (68,632) | (422,829,295) | |
Balance at December 31, | 728,215,869 | ¥ 68,632 | ¥ 65,342 |
Issuance of call options | ¥ 585,301,500 |
FAIR VALUE MEASUREMENTS (Change
FAIR VALUE MEASUREMENTS (Changes in fair value of Foreign Exchange Option) (Details) - Foreign exchange option [Member] - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Balance at January 1, | ¥ 846,718 | ¥ 0 | ¥ 0 |
Purchase of foreign exchange options | 10,566,900 | 0 | |
Cash Settlement | (516,012) | 0 | |
Change in fair value of foreign exchange options | ¥ (330,706) | (9,720,182) | 0 |
Balance at December 31, | ¥ 846,718 | ¥ 0 |
FAIR VALUE MEASUREMENTS (Chan_2
FAIR VALUE MEASUREMENTS (Changes in fair value of rate swap derivative) (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Change in fair value of interest rate swap | ¥ 69,974,512 | $ 10,051,210 | ¥ (9,701,051) | ¥ 16,122,313 |
Interest Rate Swap [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Balance at January 1, | 12,786,001 | 26,486,388 | 10,364,075 | |
Change in fair value of interest rate swap | 69,974,512 | (9,701,051) | 16,122,313 | |
Cash settlement | (21,488,548) | (3,999,336) | ||
Balance at December 31, | ¥ 61,271,965 | ¥ 12,786,001 | ¥ 26,486,388 |
FAIR VALUE MEASUREMENTS (Fair V
FAIR VALUE MEASUREMENTS (Fair Value Of Rap Cap Derivative) (Details) - Interest Rate Cap [Member] - CNY (¥) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Balance at January 1, | ¥ 92,404,068 | ¥ 148,187,615 | ¥ 226,086,556 |
Additions | 2,164,200 | 1,425,026 | 5,122,691 |
Amortization | (18,574,433) | (28,243,063) | (47,292,776) |
Cancellation | (3,974,470) | (28,965,510) | (35,728,856) |
Balance at December 31, | ¥ 72,019,365 | ¥ 92,404,068 | ¥ 148,187,615 |
FAIR VALUE MEASUREMENTS (Chan_3
FAIR VALUE MEASUREMENTS (Change in Fair Value of Derivatives) (Details) | 12 Months Ended | |||
Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) | |
Convertible Senior Notes [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | ¥ (114,149,092) | |||
Change in fair value of derivative forward contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | (126,708,753) | ¥ (42,614,340) | ¥ (3,690,785) | |
Embedded Derivative Financial Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | 48,425,227 | (1,475,360) | (4,520,619) | |
Interest Rate Swap [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | (69,974,512) | $ (10,051,210) | 9,701,051 | (16,122,313) |
Total [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | (177,846,202) | (44,108,831) | (24,333,717) | |
Foreign exchange option [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | (330,706) | ¥ (9,720,182) | ¥ 0 | |
Call Option [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Change in fair value of derivatives | ¥ 84,891,634 |
RESTRICTED NET ASSETS (Details)
RESTRICTED NET ASSETS (Details) | Dec. 31, 2019CNY (¥) |
RESTRICTED NET ASSETS | |
Restricted net assets | ¥ 8,198,518,471 |
Percentage of total assets | 66.00% |
ADDITIONAL INFORMATION-CONDEN_3
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY (Condensed Statements of Operations) (Details) | Jun. 22, 2017CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) |
Condensed Financial Statements, Captions [Line Items] | |||||
Net revenue | ¥ 29,746,287,759 | $ 4,272,786,888 | ¥ 25,042,613,341 | ¥ 26,472,943,454 | |
Cost of revenues | (24,314,602,138) | (3,492,574,067) | (21,528,868,419) | (23,481,375,053) | |
Gross profit | 5,431,685,621 | 780,212,821 | 3,513,744,922 | 2,991,568,401 | |
Total operating (expenses)/income | (3,702,059,110) | (531,767,519) | (2,868,818,098) | (2,666,306,172) | |
Other income, net | ¥ 1,709,592 | 5,318,405 | 1,351,317 | ||
Income/(loss) from operations | 1,729,626,511 | 248,445,302 | 644,926,824 | 325,262,229 | |
Convertible senior notes issuance costs | (18,646,101) | (2,678,345) | 0 | 0 | |
Share of income from subsidiaries and affiliates | (48,854,715) | (7,017,541) | 2,609,853 | (2,055,669) | |
Interest (expenses)/income, net | (391,582,064) | (56,247,244) | (295,692,041) | (245,529,598) | |
Exchange gain/(loss) | 8,808,559 | 1,265,270 | 33,681,095 | (114,344,622) | |
Change in fair value of convertible senior notes and call option | (114,149,092) | (16,396,491) | 0 | 0 | |
Income before income taxes | 1,251,186,211 | 179,721,652 | 407,375,203 | 148,875,037 | |
Income tax expenses | (277,979,001) | (39,929,185) | (4,409,523) | (4,628,003) | |
Net income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders | 898,662,226 | 129,084,750 | 406,478,694 | 141,705,689 | |
Parent Company [Member] | Reportable Legal Entities [Member] | |||||
Condensed Financial Statements, Captions [Line Items] | |||||
Net revenue | 0 | 0 | 0 | ||
Cost of revenues | 0 | 0 | |||
Gross profit | 0 | 0 | |||
Total operating (expenses)/income | 474,214 | 68,117 | (2,267,582) | (3,139,147) | |
Other income, net | 8,922,475 | 1,281,633 | 6,249,651 | 8,825,212 | |
Income/(loss) from operations | 9,396,689 | 1,349,750 | 3,982,069 | 5,686,065 | |
Convertible senior notes issuance costs | (18,646,101) | (2,678,345) | |||
Share of income from subsidiaries and affiliates | 911,593,940 | 130,942,276 | 348,543,952 | 124,171,093 | |
Interest (expenses)/income, net | 8,421,898 | 1,209,730 | (722) | (1,563,985) | |
Exchange gain/(loss) | 17,153,258 | 2,463,910 | 53,953,395 | 13,412,516 | |
Change in fair value of convertible senior notes and call option | (29,257,458) | (4,202,571) | 0 | ||
Income before income taxes | 898,662,226 | 129,084,750 | 406,478,694 | 141,705,689 | |
Income tax expenses | $ | 0 | ||||
Net income attributable to JinkoSolar Holding Co., Ltd.'s ordinary shareholders | ¥ 898,662,226 | $ 129,084,750 | ¥ 406,478,694 | ¥ 141,705,689 |
ADDITIONAL INFORMATION-CONDEN_4
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY (Condensed Balance Sheets) (Details) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) |
Current assets: | |||
Cash and cash equivalent | ¥ 5,653,853,691 | $ 812,125,268 | ¥ 3,104,916,803 |
Due from subsidiaries | 520,503,579 | 74,765,661 | 675,767,723 |
Due from related parties | 91,416,575 | ||
Other current assets | 1,573,481,940 | 226,016,539 | 1,712,888,803 |
Total current assets | 31,688,246,703 | 4,551,731,834 | 22,854,259,836 |
Non-current assets: | |||
Call Option | 294,177,634 | 42,255,973 | |
Other non-current assets | 1,466,692,145 | 210,677,145 | 912,210,407 |
Total assets | 47,844,717,353 | 6,872,463,635 | 35,853,181,909 |
Current liabilities: | |||
Due to subsidiaries | 36,309,710 | 5,215,564 | 698,043 |
Due to related parties | 748,615 | 107,532 | 910,086 |
Convertible senior notes-current | 68,632 | ||
Total current liabilities | 31,277,229,167 | 4,492,692,859 | 24,141,186,341 |
Convertible senior notes | 728,215,869 | 104,601,665 | |
Total liabilities | 35,403,690,828 | 5,085,421,989 | 27,399,203,969 |
Shareholders' equity: | |||
Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 133,869,274 and 180,653,497 shares issued as of December 31, 2018 and December 31, 2019, respectively,156,864,737 and 178,930,297 shares outstanding as of December 31, 2018 and December 31, 2019, respectively.) | 24,767 | 3,558 | 21,727 |
Additional paid-in capital | 4,582,849,862 | 658,285,194 | 4,010,739,727 |
Accumulated other comprehensive income | 62,952,198 | 9,042,517 | 70,300,898 |
Treasury stock, at cost; 1,723,200 ordinary shares as of December 31, 2018 and December 31, 2019 | (13,875,553) | (1,993,098) | (13,875,553) |
Total JinkoSolar Holding Co., Ltd. shareholders' equity | 9,303,318,015 | 1,336,338,019 | 7,839,891,314 |
Total liabilities, redeemable non-controlling interest and shareholders' equity | 47,844,717,353 | 6,872,463,635 | 35,853,181,909 |
Reportable Legal Entities [Member] | Parent Company [Member] | |||
Current assets: | |||
Cash and cash equivalent | 4,556,832 | 654,548 | 3,509,861 |
Due from subsidiaries | 3,427,985,887 | 492,399,363 | 2,509,376,092 |
Due from related parties | 16,791,784 | 2,411,989 | 3,919,423 |
Other current assets | 40,601,328 | 5,832,016 | 152,275 |
Total current assets | 3,489,935,831 | 501,297,916 | 2,516,957,651 |
Non-current assets: | |||
Investments in subsidiaries | 7,775,688,241 | 1,116,907,731 | 6,843,226,906 |
Due from related parties - non current | 48,471,930 | 6,962,557 | 40,402,875 |
Call Option | 294,177,634 | 42,255,975 | |
Other non-current assets | 11,961,460 | 1,718,156 | |
Total assets | 11,620,235,096 | 1,669,142,335 | 9,400,587,432 |
Current liabilities: | |||
Due to subsidiaries | 1,564,636,609 | 224,745,986 | 1,531,072,256 |
Due to related parties | 3,061,179 | 439,711 | 3,939,224 |
Other current liabilities | 6,076,910 | 872,894 | 4,129,886 |
Convertible senior notes-current | 68,632 | ||
Total current liabilities | 1,573,774,698 | 226,058,591 | 1,539,209,998 |
Due to related parties - non-current | 14,926,514 | 2,144,060 | 21,486,120 |
Convertible senior notes | 728,215,869 | 104,601,665 | 0 |
Total liabilities | 2,316,917,081 | 332,804,316 | 1,560,696,118 |
Shareholders' equity: | |||
Ordinary shares (US$0.00002 par value, 500,000,000 shares authorized, 133,869,274 and 180,653,497 shares issued as of December 31, 2018 and December 31, 2019, respectively,156,864,737 and 178,930,297 shares outstanding as of December 31, 2018 and December 31, 2019, respectively.) | 24,767 | 3,558 | 21,727 |
Additional paid-in capital | 4,582,849,862 | 658,285,194 | 4,010,739,727 |
Accumulated other comprehensive income | 62,952,198 | 9,042,517 | 70,300,898 |
Treasury stock, at cost; 1,723,200 ordinary shares as of December 31, 2018 and December 31, 2019 | (13,875,553) | (1,993,098) | (13,875,553) |
Retained earnings | 4,671,366,741 | 670,999,848 | 3,772,704,515 |
Total JinkoSolar Holding Co., Ltd. shareholders' equity | 9,303,318,015 | 1,336,338,019 | 7,839,891,314 |
Total liabilities, redeemable non-controlling interest and shareholders' equity | ¥ 11,620,235,096 | $ 1,669,142,335 | ¥ 9,400,587,432 |
ADDITIONAL INFORMATION-CONDEN_5
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY (Condensed Balance Sheets - Parenthetical) (Details) - $ / shares | Dec. 31, 2019 | May 31, 2019 | Dec. 31, 2018 | Feb. 28, 2018 |
Condensed Financial Statements, Captions [Line Items] | ||||
Ordinary shares, par value | $ 0.00002 | $ 0.00002 | $ 0.00002 | $ 0.00002 |
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 | ||
Ordinary shares, shares issued | 180,653,497 | 158,587,937 | ||
Ordinary shares, shares outstanding | 178,930,297 | 156,864,737 | ||
Treasury stock at cost, shares | 1,723,200 | 1,723,200 | ||
Parent Company [Member] | Reportable Legal Entities [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Ordinary shares, par value | $ 0.00002 | $ 0.00002 | ||
Ordinary shares, shares authorized | 500,000,000 | 500,000,000 | ||
Ordinary shares, shares issued | 180,653,497 | 133,869,274 | ||
Ordinary shares, shares outstanding | 178,930,297 | 156,864,737 | ||
Treasury stock at cost, shares | 1,723,200 | 1,723,200 |
ADDITIONAL INFORMATION-CONDEN_6
ADDITIONAL INFORMATION-CONDENSED FINANCIAL STATEMENTS OF THE PARENT COMPANY (Condensed Cash Flows) (Details) | Jun. 22, 2017CNY (¥) | Dec. 31, 2019CNY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2018CNY (¥) | Dec. 31, 2017CNY (¥) |
Cash flows from operating activities: | |||||
Net income | ¥ 924,352,495 | $ 132,774,926 | ¥ 405,575,533 | ¥ 142,191,365 | |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||
Issuance cost paid for issuance of convertible senior notes | 18,646,101 | 2,678,345 | 0 | 0 | |
Share of income from subsidiaries | 48,854,715 | 7,017,541 | (2,609,853) | 2,055,669 | |
Guarantee income | ¥ (1,709,592) | (5,318,405) | (1,351,317) | ||
Exchange (gain)/loss | (8,808,559) | (1,265,270) | (33,681,095) | 114,344,622 | |
Changes in operating assets and liabilities: | |||||
(Increase)/decrease in other current assets | 57,559,179 | 8,267,859 | (294,208,927) | (695,828,766) | |
Net cash provided by/(used in) operating activities | 1,410,642,923 | 202,626,175 | 614,545,806 | (177,092,694) | |
Cash flows from investing activities: | |||||
Net cash used in investing activities | (6,025,288,715) | (865,478,570) | (3,934,825,126) | (2,433,503,504) | |
Cash flows from financing activities: | |||||
Proceeds from exercise of share options | 38,245,122 | 5,493,568 | 44,275,858 | 69,929,453 | |
Repurchase of convertible senior notes | (68,632) | (9,858) | 0 | (422,829,295) | |
Issuance cost paid for issuance of convertible senior notes | (18,646,101) | (2,678,345) | 0 | 0 | |
Net cash provided by financing activities | 7,381,818,013 | 1,060,331,812 | 3,972,608,274 | 2,624,355,563 | |
Effect of foreign exchange rate changes on cash and cash equivalents | 24,758,635 | 3,556,357 | 68,323,815 | (72,586,975) | |
Net increase/(decrease) in cash, cash equivalents, and restricted cash | 2,791,930,856 | 401,035,774 | 720,652,769 | (58,827,610) | |
Cash, cash equivalents, and restricted cash, beginning of the year | 3,482,027,573 | 500,161,966 | 2,761,374,804 | 2,820,202,414 | |
Cash, cash equivalents, and restricted cash, end of the year | 6,273,958,429 | 901,197,740 | 3,482,027,573 | 2,761,374,804 | |
Supplemental disclosure of non-cash investing and financing cash flow information | |||||
Proceeds from exercise of share options received in subsequent period | 40,338,943 | 5,794,327 | 0 | 39,685,283 | |
Reportable Legal Entities [Member] | Parent Company [Member] | |||||
Cash flows from operating activities: | |||||
Net income | 898,662,226 | 129,084,752 | 406,478,694 | 141,705,689 | |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||
Issuance cost paid for issuance of convertible senior notes | 18,646,101 | 2,678,345 | |||
Share of income from subsidiaries | (911,593,940) | (130,942,276) | (348,543,952) | (124,171,093) | |
Guarantee income | (8,922,475) | (1,281,633) | (6,249,651) | (8,825,212) | |
Exchange (gain)/loss | (17,153,258) | (2,463,910) | (53,953,395) | (13,412,516) | |
Changes in operating assets and liabilities: | |||||
(Increase)/decrease in due from subsidiaries | (871,067,726) | (125,121,052) | (1,895,298,545) | 410,590,040 | |
(Increase)/decrease in other current assets | (110,110) | (15,816) | 200,153 | 5,742,872 | |
Increase/(decrease) in due to subsidiaries | (14,890,886) | (2,138,942) | 1,177,359,405 | (37,268,274) | |
Increase/(decrease) in other current liabilities | 1,096,958 | 157,567 | (166,056) | (10,018,710) | |
Net cash provided by/(used in) operating activities | (876,075,652) | (125,840,394) | (720,173,347) | 364,342,796 | |
Cash flows from investing activities: | |||||
Cash paid for call option | (216,905,850) | (31,156,576) | |||
Net cash used in investing activities | (216,905,850) | (31,156,576) | |||
Cash flows from financing activities: | |||||
Proceeds from exercise of share options | 38,245,122 | 5,493,568 | 44,278,857 | 69,929,453 | |
Repurchase of convertible senior notes | (68,632) | (9,858) | (422,829,295) | ||
Proceeds from issuance of convertible senior notes | 585,301,500 | 84,073,300 | |||
Proceeds from issuance of ordinary shares | 488,950,795 | 70,233,387 | 663,232,926 | ||
Issuance cost paid for issuance of convertible senior notes | (18,646,101) | (2,678,345) | |||
Net cash provided by financing activities | 1,093,782,684 | 157,112,052 | 707,511,783 | (352,899,842) | |
Effect of foreign exchange rate changes on cash and cash equivalents | 245,789 | 35,306 | 464,662 | (551,797) | |
Net increase/(decrease) in cash, cash equivalents, and restricted cash | 1,046,971 | 150,388 | (12,196,902) | 10,891,157 | |
Cash, cash equivalents, and restricted cash, beginning of the year | 3,509,861 | 504,160 | 15,706,763 | 4,815,606 | |
Cash, cash equivalents, and restricted cash, end of the year | 4,556,832 | 654,548 | ¥ 3,509,861 | 15,706,763 | |
Supplemental disclosure of non-cash investing and financing cash flow information | |||||
Proceeds from exercise of share options received in subsequent period | 40,338,943 | 5,794,327 | ¥ 39,685,283 | ||
Reportable Legal Entities [Member] | Parent Company [Member] | Call Options [Member] | |||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||
Change in fair value | (84,891,634) | (12,193,920) | |||
Reportable Legal Entities [Member] | Parent Company [Member] | 2016 Notes [Member] | |||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||
Change in fair value | ¥ 114,149,092 | $ 16,396,491 |