Why is Longi Green Energy Technology Co. expecting another loss in 2025?

Longi expects a loss due to persistently low solar product prices and increased costs for materials like silver and polysilicon.

When do analysts predict the solar industry will recover?

Analysts forecast an industry upcycle and earnings recovery starting in 2026, with improving market conditions.

What financial challenges is Tongwei Co. facing in 2025?

Tongwei Co. also anticipates a net loss for 2025, citing rising material costs despite achieving operating profit in its polysilicon segment.

Home / Business and Economy / Longi Warns of Another Loss Amid Solar Woes

Longi Warns of Another Loss Amid Solar Woes

18 Jan

•

Summary

Longi anticipates a significant net loss for 2025 due to low prices.
Rising costs of silver and polysilicon pressure solar supply chain operations.
Analysts foresee an industry upcycle and earnings recovery starting 2026.

Longi Warns of Another Loss Amid Solar Woes

Longi Green Energy Technology Co., a leading Chinese solar panel maker, has issued a stark warning of potential further losses in 2025. The company anticipates a net loss between 6 billion and 6.5 billion yuan for the year ending December, following a substantial deficit in 2024. This ongoing financial pressure stems from a combination of persistently low product prices and increased operational costs, particularly a sharp rise in silver and polysilicon prices during the fourth quarter of the previous year.

The broader Chinese solar power industry is grappling with significant overcapacity and intense competition, exacerbated by surging material costs. While recent government initiatives aim to address these systemic issues, their full impact is still unfolding. Industry watchers, however, express optimism for a market upswing. Analysts from Bloomberg Intelligence foresee an industry upcycle and a recovery in earnings for Longi starting in 2026, driven by easing price competition and improving market balance.