Sinovoltaics updates PV module manufacturer financial stability ranking

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From pv magazine Global

Sinovoltaics, a Hong Kong-based technical compliance and quality assurance service firm, has released the fourth free-to-download edition of its PV Module Manufacturers Ranking.

The ranking report, which is global in scope and based on the Altmann Z-scores of publicly traded manufacturers, covers 65 suppliers this time, which is the same number as the previous module ranking. The scores are tracked from December 2021 to September 2024.

Sinovoltaics’ analysts highlighted some score improvements. For example, Kyocera, based in Japan, moved to tenth in the ranking, up from 13. Other improvments mentioned were for by two Chinese manufacturers, HT SAAE, which jumped from 34 up to 21, and BYD, which moved up from rank 27 to 23.

The top ten group includes India-based Insolation Energy, Waaree Renewable Technologies, Solex Energy, U.S.-based First Solar, Taiwan-based Eterbright (HIWIN) and Taienergy, then Vietnam-located Boviet Solar, China-based DMEGC Solar, India-based Adani Solar and Kyocera.

Sinovoltaics describes the Altmann Z-score as a quantitative formula that relies on publicly available information about corporate income and balance sheet values to measure the financial health of a company. The financial strength assessment is based on a credit-strength test based on profitability, leverage, liquidity, solvency, and activity ratios.

A score that is 1.1 or lower indicates a higher probability of bankruptcy within the next two years, while a higher score of 2.6 or greater indicates a solid financial position.

The Sinovoltaics analysts say that the ranking reports provide an insight into stability scores over time. They explain that the financial ranking does not indicate the quality of the equipment, rather they are meant to be used by buyers or other stakeholders as an element of the due diligence process, or to help identify financially stable partners.

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