2024 Green Energy Report Overview: Revenue Declines, Industry Challenges, and Future Prospects
As highlighted in the 2024 Green Energy Report, the sector is facing significant challenges with a 36.23% decline in revenue, amounting to 86.18 billion yuan. This downturn is attributed to the mismatch between supply and demand, along with falling product prices.
The report indicates that the actual revenue for the green energy sector in 2024 is projected at 825.82 billion yuan, a decline from 1,294.98 billion yuan in 2023, reflecting a 36.23% decrease. Specifically, revenue from the solar cell and battery businesses fell to 663.34 billion yuan, down 33.13%, while revenue from the upstream silicon and silicon wafer businesses dropped to 82.07 billion yuan, a substantial 66.53% decrease.
This decline is primarily driven by a reduction in demand for raw materials and an oversupply in the market, leading to significant price drops for key products. For instance, silicon prices have fallen by 39%, while prices for polysilicon and battery cells plummeted 50% and 30%, respectively, resulting in severe impacts on industry revenues.
The detailed breakdown of revenues for 2024 compared to 2023 is as follows:
| Business Segment | 2024 Revenue (Billion Yuan) | 2023 Revenue (Billion Yuan) | Percentage Change |
|---|---|---|---|
| Solar Cells and Batteries | 663.34 | 992.77 | -33.13% |
| Silicon and Wafers | 82.07 | 245.43 | -66.53% |
| Electric Vehicle Manufacturing | 63.43 | 37.88 | 67.43% |
| Others | 16.97 | 19.91 | -14.75% |
In 2024, the net profit forecast for the company is -86.18 billion yuan, a significant drop from 107.51 billion yuan in 2023, marking a 180.15% decrease.
Despite the revenue drop, the company needs to enhance its operational efficiency and focus on cost management to navigate through these challenges. Future strategies may need to include strengthening production capacity, optimizing supply chains, and investing in technological advancements.
In conclusion, the green energy sector in 2024 faces substantial challenges with declining revenues and profits. However, the company must adapt and enhance its operational strategies to ensure sustainable growth going forward.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/green-energy-report-2024-revenue-decline-and-market-challenges-ahead/
