According to the GCL-Poly Interim Report, thanks to the increase in profit margin of solar polysilicon sales and lower production costs, the gross profit margin of photovoltaic power generation business grew 9.6 percentage points year-on-year to 44.2%, while the overall gross profit margin increased by 12.4 percentage points to 38.6%. During the period, the average cost of solar polysilicon production decreased by more than 33% year-on-year to 171.3 yuan per kilogram. Solar wafer production costs about 3.89 yuan per watt, a decrease of nearly 12%.

In terms of internal sales volume, GCL sold a total of 1508 metric tons of solar polysilicon, which fell by 72% year-on-year and sold 2119 MW of silicon wafers, an increase of 8.3 times. The company explained that, in addition to the need to meet the output requirements of certain long-term supply contracts for solar polysilicon, most of the polysilicon produced in the first half of the year was used for internal consumption to further produce silicon germanium and silicon wafers of higher value, resulting in solar energy. The sales volume of polysilicon decreased, as the decrease in the sales volume of polysilicon sales was offset by the increase in revenue from sales of silicon wafers. In the first half of the year, the company’s polysilicon and its average selling price were approximately 483.1 yuan per kilogram, which was approximately 25%. Wafers dropped by 13% to 5.39 yuan per watt.