BEIJING, China, March 29, 2017 -- Xinjiang Goldwind Science & Technology Co., Ltd. (the "Company", Shenzhen stock code 002202, Hong Kong stock code 2208, "Goldwind" or the "Group") today announced its annual results for the year ended December 31, 2016.
In accordance with China GAAP，during the year ended December 31, 2016, the Group's total revenue was RMB 26,396 million. Mainly due to innovation, related diversification strategy and optimization of management, the Company's profitability increased significantly with its net margin increased from 9.48% to 11.38%. Net profits attributable to owners of the parent company increased by 5.39% to RMB 3,003 million. Basic earnings per share for the year 2016 increased by 3.03% year over year to RMB 1.08.
Mr. Wu Gang, Goldwind's Chairman, said, "While strengthening our core business, Goldwind has actively expended our related diversified businesses in 2016, which led to impressive progress in smart energy and environmental-protection business. Meanwhile, Goldwind achieved milestone steps on the path to internationalization. Looking forward, Goldwind will keep on making efforts on R&D and innovation, focusing on our customers' demand, deeply unearthing the industrial value chain and contributing to create more economic value for shareholders through our well-proven diversified business model."
WTG Manufacturing and Power Generation
In 2016, China's wind power industry achieved stable development，the Company continued to solidify its leading position and expand its market share with superior wind turbine products and comprehensive solutions. In 2016, Goldwind's worldwide newly installed capacity reached 6.4GW with a significant corresponding market share of 12%, while domestic newly installation market share increased by 1.9% to 27.1% last year, making the Company the largest WTG manufacturer in China for the sixth consecutive year. During the Reporting Period, the Group's revenue from WTG Manufacturing & Sales business segment was RMB 22,387 million.
In 2016, China's wind power industry achieved stable development , while demand for wind equipment surged in public tender market, Goldwind won nearly 9GW of new WTG orders in China last year, representing over 30% of market share, mainly due to our strong R&D capabilities, excellent product performance and service. By the end of 2016, Goldwind had 14.2 GW of backlog on hand, representing an increase of 19.1% YoY.
In 2016, Goldwind also accelerated development of wind power in China's middle, eastern and southern regions. The company reported that its newly attributable installed generating capacity increased by 1.03GW and its newly attributable approved capacity increased by 1.46GW, while revenue generated from Wind Farm Investment and Development business was RMB 2,417 million, representing an increase of 55.5% YoY.
R&D and Innovations
In 2016, Goldwind continued to upgrade its product lines through technical innovations, better to meet market demand. The Company successfully realized the application and popularization of its ValuePlus product platform, which will help improve project profitability. The Group accomplished its brand new 3.0MW (S) onshore product platform featuring large rated capacity, which is oriented for international market and domestic medium to low wind speed regions. The Company continued R&D work for its 2.0MW and 2.5MW units, targeting fast-growing wind market segments such as ultra-low wind speed, high-altitude, high-temperature and etc. In addition, Goldwind established China's largest offshore wind power R&D center and launched its tailor-made comprehensive solution for offshore projects, laying a solid foundation for on-going development in the offshore market.
Meanwhile, Goldwind accelerated its exploration on added-value derived from mature wind power value chain opportunities. During the Reporting Period, the Company launched its comprehensive life-cycle solutions for wind projects and related innovative products, including EPC solution, self-innovated hybrid/soft wind power tower product and digital operation and maintenance solutions, which will guide the industrial development trend of digitization, AI and integration.
Along with the accelerated progress of Chinese power system reform and the implementation of Internet+ action plan, Goldwind actively carried out innovative explorations in various fields such as new energy, new materials, green technology and energy saving environmental protection, serving as the new driving force for the sustainable development of the Company.
During the Reporting Period, there was rapid development of the Company's water business. Goldwind innovatively uses an intelligent water management model, having developed an application to realize the organic combination of the IOT + basic applications + intelligent applications. Moreover, the Company has successfully introduced world's leading 3D printing technology into the water industry and has launched an effective solution for developing water treatment projects. In 2016, Goldwind continued to lead the technical innovation of China's smart micro-grid industry. The planned smart energy project in Anhui was awarded in the list of national demonstration projects.
During 2016, the Company successfully acquired the Rattlesnake wind power project in Texas, USA, with a planned capacity of 160 MW; it will become Goldwind's largest wind farm in North America after completion. The construction of White Rock Wind Farm in Australia also went smoothly; Goldwind contributed in the project as EPC contractor and WTGs supplier. The Group has been practicing national strategy of "One Belt and One Road", and made a breakthrough in Pakistan's wind market with a series of acquired WTG orders of high-temperature wind projects in Pakistan, mainly due to the excellent performance of connected units. The Group completed installation of its first batch of soft towers in Thailand. Meanwhile, the Company has taken a further step in its development in South America by winning an order of 80MW in Chile.
Xinjiang Goldwind Science & Technology Co., Ltd is a world leading wind turbine technology and energy solutions provider (SZSE: 002202) (HK: 2208). With more than 38 GW of capacity worldwide, Goldwind's revolutionary Permanent Magnet Direct Drive (PMDD) technology is shaping a new standard in wind energy. Goldwind offers its innovative comprehensive solutions for renewable energy development, including equipment manufacturing and sales, service, and investment.