ReneSola Ltd. (SOL - Analyst Report) brought its new Virtus II multi crystalline modules to the Indian market at the sixth Renewable Energy India 2012 Expo, held in New Delhi. Also, the company has started providing PV modules produced in its local market to the Indian market.
Considering the pace of demand for PV modules, ReneSola intends to provide 250 MW of India-made ReneSola modules over a two-year period to the Indian market. The company will execute its task and achieve its target of reaching the Indian market in collaboration with local strategic partners in India.
The company continues to execute its sales and marketing approach of professionalization, internationalization and localization. Taking into account the importance of Indian PV market, the company has provided locally produced PV modules outside China for the first time.
ReneSola is a leading global manufacturer of high-efficiency solar PV modules and wafers. Leveraging its proprietary technologies, economies of scale and technical expertise, ReneSola uses in-house virgin polysilicon and a vertically integrated business model to provide customers with high-quality, cost-competitive products. ReneSola solar PV modules can be found in projects ranging in size from a few kilowatts to multi-megawatts in markets around the world, including the United States, Germany, Italy, Belgium, Greece, Spain, China and Australia.
With government's strong support and generous subsidies for solar energy, ReneSola considers India to be a key market within Asia. Also, the company is moving well internationally. Recently, the company launched optimized Virtus II module and Virtus II plus 250 at All Energy Australia 2012 held at the Melbourne Convention & Exhibition Centre.
The company’s focus is on improving its operating efficiencies, generating material cost savings through its vertically-integrated production structure and introduction of innovative products like the power conserving microinverter Replus.
However, the company’s significant presence in the solar module original equipment manufacturing market will be hurt by Europe’s challenging financing environment. Also, we remain concerned due to tepid demand for solar products in Europe, rising competition, credit risk from its customers, oversupply of solar wafer & modules in the market, and the company’s high research and development expenses.
The company presently retains a short-term Zacks #3 Rank (Hold) that corresponds with our long-term Neutral recommendation on the stock.
The company mainly competes with JinkoSolar Holding Co., Ltd. (JKS - Snapshot Report) and JA Solar Holdings Co., Ltd. (JASO - Analyst Report).