Daqo New Energy Q2 2026 Financial Highlights

DATE

Thursday, Aug. 20, 2026 at 8:00 a.m. ET

CALL PARTICIPANTS

• Investor Relations Director – Jessie Zhao
• Chairman and Chief Executive Officer – Xiang Xu
• Deputy Chief Executive Officer – Anita Zhu
• Chief Financial Officer – Ming Yang

TAKEAWAYS

• Revenue — $62.7 million, driven by resumed sales after June resumption.
• Gross Loss — $82.7 million, improved from $139.4 million Q1 2026.
• Gross Margin — -132%, impacted by polysilicon prices below costs.
• Net Loss — $81.2 million vs. $88.4 million Q1.
• Polysilicon Production Volume — 43,675 metric tons, exceeding guidance (35k-40k).
• Polysilicon Sales Volume — 15,190 metric tons, up from 4,482 Q1 after market pricing shift.
• Polysilicon ASP — $4.04/kg, down from $5.96 due to market caution.
• Total Liquidity — $1.92 billion, ensuring strategic flexibility.
• Q3 2026 Guidance — 40k-45k metric tons.
• AIDC Investment — RMB 2B for next-gen energy solutions.

RISKS

• Market caution due to weak demand and high inventory pressure.
• Price recovery expected post-2027 energy consumption standards.

SUMMARY

Daqo New Energy reported a pivot to market pricing in June 2026 amid solar PV sector challenges. The company is expanding into AI data center power infrastructure via Daqo Group, leveraging 40 years of expertise. Despite Q2 losses, its $1.9B liquidity and zero debt position strength. New 2027 regulations targeting inefficient polysilicon producers may reshape the market.

• Targeting 800V DC power tech for AIDCs, including NVIDIA-backed solid-state transformers.
• 2027 energy efficiency rules could phase out 18,000+ tons of non-compliant capacity.
• Semiconductor-grade polysilicon demand (75k tons/year) exceeds current supply (57k).

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