1

2014年5月15日

2014年一季度业绩

30 August 2017

2017 Interim Results

2

Mr. Gongshan ZHUChairman, Executive Director

Mr. Zhanjun ZHUExecutive Director and CEO

Mr. Charles YEUNG Executive Director and CFO

Mr. Lu YEUNGDirector of Investor Relations

Management Team

3

Disclaimer

The presentation is prepared by GCL Poly Energy Holdings Limited. (“GCL-Poly" , the

“Group” or the “Company”) and is being presented solely for the purpose of corporate

communication and general reference. The presentation is not intended as an offer to sell, or

to solicit an offer to buy or form any basis of investment decision for any class of securities

of the Company in any jurisdiction. All such information should not be used or relied on

without professional advice. The presentation is a brief summary in nature and does not

purport to be a complete description of the Company, its business, its current or historical

operating results or its future prospects.

This presentation contains forward-looking statements that involve risks and uncertainties.

All statements other than statements of historical facts are forward-looking statements.

These statements involve known and unknown risks, uncertainties and other factors that

may cause GCL-Poly’s actual results, performance or achievements to be materially

different from those expressed or implied by the forward-looking statements.

This presentation is provided without any warranty or representation of any kind, either

expressed or implied. The Company specifically disclaims all responsibilities in respect of

any use or reliance of any information, whether financial or otherwise, contained in this

presentation.

4

Content

2017 Interim Results Highlights

Results of the Solar Material Business

Strategy and Outlook

Results of the New Energy Business (0451.HK)

Appendix

5

2017 Interim Results Highlights

6

2017 Interim Results Highlights (including 451)

(RMB Million) 1H 20171H 2016

(Restated)*FY 2016

Continuing

operations

Revenue 11,397 12,417 22,025

Gross Profit

Margin32.8% 34.2% 32.0%

Adjusted EBITDA 4,599 5,529 9,222

Net Profit

Attributable

to Shareholders

1,196 1,375 2,099

Profit for the

Period1,389 1,539 2,307

Basic EPS RMB 6.45 Cents RMB 7.56 Cents RMB 11.41 Cents

Continuing and

Discontinued

operations*

Net Profit

Attributable

to Shareholders

1,193 1,389 2,029

Profit for the

Period1,385 1,561 2,195

Basic EPS RMB 6.43 Cents RMB 7.63 Cents RMB 11.03 Cents

Note: *In December 2016, the GNE Group, regarding the PCB business was contracted to be sold and accordingly has

been presented as discontinued operations, and the comparative figures have been restated accordingly.

7

Solar Material Business Solar Farm Business New Energy Business

(RMB

Million) 1H 2017 1H2016 FY 2016 1H 2017 1H 2016 FY 2016 1H 2017 1H 2016 FY 2016

Segment

Revenue9,317 11,221 19,270 268 267 508 1,812 929 2,246

Segment

Profit

(loss)

789 1,756 2,320 67 (241) (161) 536 140 244

(Excluding the operating results of the PCB Business of GNE Group)

2017 Interim Segment Results

8

3800 Consolidated 451

(RMB Billion)1H 2017 1H 2016 FY 2016 1H 2017 1H 2016 FY 2016

Net Cash from

Operating

Activities2.6 1.8 8 0.5 (0.3) 0.45

Net Cash (used in)

Investing

Activities(6.4)* (2.5) (8) (4) (4) (9.7)

Net Cash (used in)

from Financing

Activities3.4** (1.4) (1) 3 5 11.2

EBITDA/Interest 4.0 5.3 4.3 2.7 2.1 1.54

Note:*For the six months ended 30 June 2017, the net cash used in investing activities was approximately RMB6.4billion. It primarily

related to the purchase of property, plant and equipment of approximately RMB5 billion (which was mainly attributable to GNE Group of

approximately RMB4.6billion) and acquisition of other intangible assets from SunEdison Inc. of approximately RMB0.7 billion.

**For the six months ended 30 June 2017, the net cash from in financing activities was approximately RMB3.4 billion. This was mainly

due to the net addition of bank and other borrowings of RMB5.8 billion, partially offsetting by interest paid of approximately

RMB1.1billion, net repayment of obligations under finance leases and redemption of convertible bonds payables of approximately

RMB0.8 billion.

2017 Interim Cashflow

9

2017 Interim Key Balance Sheet Ratios

(including 451)

As at 30 June 2017 As at 30 June 2016 As at 31 December 2016

Current Ratio 0.81 0.81 0.79

Quick Ratio 0.79 0.78 0.76

Net Debt to Equity 160.6% 142.9% 144.1%

Note:The Group’s net debts to equity was increased 16.5% to 160.6% as compared with net debts to equity in the year ended

2016. The GNE's net debt to equity attributable to owners was 429.1%.(2016:366.8%). For illustration purpose, if purely

excluding GNE Group’s net debt of RMB20,660million (excluded the loans provided by the Group to GNE Group) and

assuming the equity attributable to owners of the Company remains unchanged, the net debt to equity attributable to owners

of the Company would be 66.0%.

Bank and other

borrowings As at 30 June 2017 As at 30 June 2016 As at 31 December 2016

RMB 89.4% 88.2% 91.7%

USD & HKD 10.6% 11.8% 8.3%

10

Results of the

Solar Material Business

11

1H2017 1H2016 FY2016

Poly-Si Production

(MT)38,747 36,328 69,345

Poly-Si External

Shipment

(MT)

4,888 6,389 9,951

Poly-Si ASP

(US$/kg, VAT excluded)15.1 15.3 15.0

Wafer Production

(MW)10,599 8,643 17,327

Wafer Shipment*

(MW)10,611 8,880 17,518

Wafer ASP**

(US$/W, VAT excluded)0.130 0.187 0.164

Solar Material Business – Key Operating Data

*The figures of production and shipment volume included processing with supplied materials.

**Excluding ASP of wafers processed with supplied materials.

12

(RMB Million) 1H2017 1H2016 FY2016

Revenue 9,317 11,221 19,270

GP Margin 24.6% 31.8% 27.7%

EBITDA 2,851 4,785 7,117

Solar Material Business – Key Financial Metrics

13Source: Silicon Industry Of China Nonferrous Metals Industry Association

High Quality Poly Import Still in High Demand

-

5

10

15

20

25

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

韩国 美国 德国 其他 平均单价（美元/公斤）

(MT) (USD/kg)

Korea USA Germany Others ASP (USD/kg)

14

Diamond-wire Sawing Technology Adopted in

1H2017, Effectively Reduced Processing Cost

2017年1月 2017年2月 2017年3月 2017年4月 2017年5月 2017年6月

单价/瓦（RMB） 硅片制造成本/瓦（RMB）

Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17

ASP/W (RMB) Wafer Processing Cost/W (RMB)

15

Strategy and Outlook

16

New Technology Maintains the Market

Leadership of Polysilicon

Diamond wire-sawing + black silicon + PERC technology

When adopting the diamond wire sawing technology，the solar cell manufacturers need to apply a procedure of suede-surface

making on the wafer. This black silicon wafer can achieve the goals of reducing the cost of wafers and enhancing the

conversion efficiency of cells at the same time;

Currently GCL has been collaborating with various downstream solar cell manufacturers in promoting the black silicon

technology. With the commencement of production and the application of PERC technology, the latest conversion

efficiency of polysilicon cells reaches approximately 20.2% to 20.5%

It is expected that the diamond wire sawing will reach approximately 80% of our capacity by the end of this year

17

GCL’s Mono-Si Products

CCZ Constant Czochralski Monosilicon

With the acquisition of US “ SunEdison company ” and its fifth generation of CCZ

technology, GCL is preparing for the commencement of domestic and scale production of

CCZ monocrystalline furnace equipment

The Product of GCL Quasi-Mono Wafer G3

The G3 uses the multi-crystalline-ingot-pulling method to produce quasi-

mono product. The processing cost is close to that of Multi-Si wafer but

conversion efficiency is close to that of Mono-Si.

The efficiency gap of G3 cell and traditional mono-si cell is less than 0.5%

Traditional Monocrystalline Wafer

Currently the Ningxia plant has completed the technology of N-type

monocrystalline wafer product and GCL-Poly has officially tapped into the

high-efficiency monocrystalline silicon market in 2016. The product quality

reaches the leading position in the market.

18

“Top Runner” 2.0 to Launch the High - Efficient

Dual Track Mono-Si & Multi-Si Markets

85%80%

75% 74% 72% 70%

15%20%

25% 26% 28% 30%

0%

20%

40%

60%

80%

100%

2015 2016 2017E 2018E 2019E 2020E

Market Share of Global Multi-Si and Mono-Si Products

Multi-Si Mono-Si

• The full promotion of diamond wire sawing technology in Multi-Si wafer will be driven by the new

round of “Top Runner” program; thanks to the diamond-wire + PERC technology, Multi-Si wafer is

expected to experience explosive growth

* Source: Bloomberg

19

LID Comparison: Mono-Si VS Multi-Si Modules

• Module degradation is comprised of two parts: initial degradation and aging degradation;

• The primary reason for LID is that boron-oxygen complexes are produced inside a solar cell after it is exposed to

light, reducing the minority carrier lifetime, and the LID degree is directly proportional to the oxygen content in

silicon crystal;

• As for multi-crystalline ingot casting, the feeding amount of Mono-Si is small and the relative contact area of

silicon and crucible is large; with Mono-Si’s long pulling time, oxygen has more time to diffuse into liquid silicon;

thus, Mono-Si has high content of oxygen as well as high LID. This is the reason why GCL adheres to CCZ

production method;

• The average LID of Multi-Si module for quality assurance is 2.5%, while that of the Mono-Si module is 3-3.5%;

Source: Canadian Solar

Comparison of Module Manufacturers First-year LID for Quality Assurance in 2017 Mono-Si

first-year LID

Multi-Si

first-year LID

CSIQ JKS Hanwha JASO TSL GCL Suntech Eging YGE ReneSola CSUN Talesun Znshine Hareon Suntech Lerri

20

Comparison of Power Generation Capacity:

Mono-Si VS Multi-Si Modules

Source: DKASC, an Australian third-party testing platform

• It is generally acknowledged in the PV academia that the LID of Mono-Si module is 1%-1.5% higher than that of

Multi-Si module; however, the power generation capacity of Multi-Si module far outweighs that of Mono-Si module

by 1%-1.5%;

• According to DKSAC, an Australian third-party

testing platform, solar farms adopting modules

produced by Canadian Solar, Trina Solar, and

China Sunergy, analyzed and compared the

normalized power generation capacity between

Mono-Si and the Multi-Si modules installed in the

same way during the period between Sep. 2010

and Aug. 2016. The results showed that the

annual power generation capacity of Multi-Si

modules is 1.4-4.6% higher than that of Mono-

Si modules on average;

Normalized

generating capacity

Normalized power

generating capacity

(Multi-Si * Mono-Si) /

Mono-Si

Mono-Si

Multi-Si

Normalized

power

generation

capacity gap

Diagram 1 - Comparison Chart for Average Annual Power Generation Capacity

of Mono-Si and Multi-Si

Power Generation Capacity Comparison

between Mono-Si and Multi-Si

(2010.09~2016.08)

21

Integration of SunEdison

FBR Technology

• Enhance R&D on electronic grade granular polysilicon on FBR technology

• Increase its manufacturing capacity of electronic grade granular polysilicon

CCZ Technology

• Substantially improve pulling efficiency and quality of monocrystalline ingots production

• The transaction will further consolidate the Group’s position as a leading polysilicon manufacturer

globally and maintain its cost advantage and competitiveness of solar materials production

• With the advanced manufacturing technology of SunEdison, the manufacturing cost of

monocrystalline ingots and electronic grade granular polysilicon will be reduced

22

• Cooperate with Alibaba, through big data analysis, to realize data correlation during the production

process, improving management efficiency and yield rate

Join Hands with Alibaba, to Set up

Intelligent Manufacturing

Intelligent

Plant

Industrial Display Screen

Terabytes of Cloud Datastore

Intelligent Analysis

• Core parts deterioration monitoring - through calculation on

AliCloud, analyze the factors causing defective rate or items that can

reduce cost in the production process;

• Technical parameter recommendation - through analysis, data

transformation or parameter adjustment are recommended to

increase production efficiency;

• Multi-scenario analysis - technicians select positive and negative

samples and analyze dimensions respectively based on prescribed

quality standard and personal experience; the system would

automatically provide multi-scenario correlation results

23

China’s Installation Outlook

• According to the National Energy Administration

(NEA), China installed an impressive 24.4GW of

new solar capacity in 1H 2017, distributed

installation accounted for 7.11GW;

• It is expected that China’s 2017 full year

installation will be more than last year’s ;

• This year, rush order has become rational

without pushing up module price in Q2; price in

Q3 y-o-y is expected to be stable;

• Driven by the rapid development of distributed

solar projects and the new “Top Runner”

program, installation in 2H 2017 is expected to

be stable

Utility-scale, 18GW

Distributed, 8GW

Poverty Alleviation,

8GW

FY 2017 Expected Installation Scale(GW)

Utility-scale Distributed Poverty Allevation

Utility-scale, 5GW

Distributed,3GW

Poverty Alleviation,

4GW

2H 2017 Expected Installation Scale(GW)

Utility-scale Distributed Poverty Allevation

24

Global Installation to Hit 90GW, 60% from

Overseas MarketsGlobal PV installation is expected to hit 90GW in

2017, of which no less than 35GW from China and

approximately 65GW from overseas;

Continuous increase of global installation in 2018 is

expected

15

34.5 358

14.7 14

9

8.5 8

4

612

7.5

5

5

1

0.8

3

0.8

1.3

3

0.1

0.2

1

7.6

6

9

0

20

40

60

80

2015 2016 2017E

China US Japan

India Europe South East Asia

South America Middle East Others

(GW)

53

77

90

* Source: Company forecast

Significant demand growth is expected to

occur in India, the Middle East, and South

America.

7.77.4

20

14.5

24

9

-1

1

3

5

7

9

11

13

15

17

19

21

23

25

中国 美国 日本 印度

Global PV Installation in Major Markets2015-2017E

2015 1H 2015 2H 2016 1H 2016 2H 2017 1H E 2017 2H E

China US Japan India

25

Solar Beats Coal, Natural Gas and Wind to

Become the Cheapest Power

Since 2009, PV cost has fallen by 62%. Bloomberg

predicted that the cost of ground solar plants of

over one megawatt would be reduced to US$73

cents/W (US$1.14/W in 2016) in 2025, PV cost will

be likely lower than that of coal-fired power by then.

Source: Bloomberg

Solar energy has begun to widely replace coal and natural gas for power generation and become

the cheapest energy. According to Bloomberg, at the end of 2016, the average price of solar power

reduced to US$16.5 cents/kWh in nearly 60 emerging countries, while the PV cost has already

transcended that of traditional power in some countries：

• US - US$3.87 cents/kWh

• Mexico - US$3.6 cents/kWh

• The UAE– US$2.99 cents/kWh

• Chile - US$2.91cents/kWh, half of the price of coal-fired power at present

The total cost of coal power plus environmental protection is already higher than that of

solar power, therefore, some countries have already realized this and choose clean energy.

26

Results of the New

Energy Business

(0451.HK)

27

Capacity Addition on Track

352

1,169

2,368

-

500

1,000

1,500

2,000

2,500

1H15 1H16 1H17

Electricity Salesmn kWh

773

2,735

5,079

-

2,000

4,000

6,000

1H15 1H16 1H17

Installed CapacityMW

17

68

133

-

50

100

150

1H15 1H16 1H17

Number of Solar Projects

645

2,182

4,173

-

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

1H15 1H16 1H17

Grid Connected CapacityMW

28

Solar Business – Solid Earnings Growth

Notes:

• Adjusted EBITDA does not include non-operating items

929

1,812

-

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

1H16 1H17

RevenueRmb mn

692

1,282 74%

71%

50%

55%

60%

65%

70%

75%

80%

-

400

800

1,200

1,600

1H16 1H17

Gross Profit

Gross Profit Gross Margin

Rmb mn

780

1,643

84%

91%

82%

84%

86%

88%

90%

92%

-

200

400

600

800

1,000

1,200

1,400

1,600

1,800

1H16 1H17

Adjusted EBITDA

Adjusted EBITDA EBITDA Margin

Rmb mn

167

481

18%27%

0%

5%

10%

15%

20%

25%

30%

35%

40%

-

200

400

600

1H16 1H17

Profits attributable to Shareholders

Profits attributable to Shareholders Net Margin

Rmb mn

Solar farms under construction

Solar farms in Operation

29

Strategic National Portfolio Solar farms across 26 provinces, with around 50% of our installed capacity located in Shaanxi, Inner Mongolia, Henan,

Jiangsu, Anhui and Hebei

Over 80% located in zone 2 and 3 while only 7% of installed capacity is located in areas with high curtailment rate (Zone

1 area in Xinjiang, Ningxia, Gansu)

Ningxia and Shanxi O&M center commenced operation in 1H17, at least 3 more centers will commence operation in

2H17

Zone 1, 17%

Zone 2, 25%Zone 3, 59%

Capacity by Zone

Ground-mounted57%

Agriculture-photovoltaic 24%

Fishery photovoltaic 14%

Husbandry photovoltaic

0.3%

Rooftop-distributed5%

Total Capacity by Project Type

30

Strong In-House Development Capabilities

Substantially increased the proportion of in-house developed projects in newly added installed capacity from 55% in

1H16 to 93% in 1H17

Leveraged on in-house development capabilities to further reduce overall development costs with construction cost

of newly added projects to Rmb6.3 per watt in 1H17, 13% lower than 1H16

Total Installed Capacity in China:

4,987MW

5%

55%

93%82%

36%

7%13% 9%1%

0%

20%

40%

60%

80%

100%

1H15Newly Added Installed

Capacity:158MW

1H16Newly Added Installed

Capacity:1,095MW

1H17Newly Added Installed

Capacity:1,476MW

Newly Added Capacity by Development Type

In-House Developed Jointly Developed Acquired

Asset Light Model Transformation

31

Built- Transfer- Operating Model

On 31 May 17, Suzhou GCL, an indirect wholly-owned subsidiary of GCL New Energy entered into a

co-operation framework agreement with Fuyang New Energy

Suzhou GCL will develop in customization, construct and operate approx. 200MW of solar farm

projects, then transfer to Fuyang New Energy after being grid connected

Suzhou GCL will be responsible for EPC, and provide O&M services after completion in return for

stable management fees

Joint Venture Model

On 30 June 17, Suzhou GCL entered into Share Transfer Agreements with Zhongmin GCL, a joint

venture with 32% and 68% equity interests held by Suzhou GCL and Zhongmin New Energy

Suzhou GCL transferred shares in Jinhu and Wanhai, a total of 130MW operating solar farms

Suzhou GCL will provide O&M services and receive stable management fees

Jinhu and Wanhai will no longer be subsidiaries of GCL New Energy after the transfer, hence, no

need to consolidate their debts

Key Management Initiatives

With target of adding 1.5-2GW installed capacity in FY17

Distributed power generation and overseas business transformation and upgradeSustainable Growth

Lower overall development cost by increasing proportion of in-house developedprojects

Reducing in-house projects construction cost to Rmb 6.0-6.5 per watt in FY17 (1H17: 6.3 Rmb per watt)

Raise Electricity

Generation and Lower

Development Cost

Establishes at least 5 more regional O&M centers to minimize O&M cost

Lowering maintenance costs (excluding land fees) to approximately 0.05-055 per

watt (1H17: 0.028 per watt for half-yr)

Lower Operations and

Maintenance Cost

Adopt light-asset model to further reduce capital investments, increase ROIC

Adopt more low cost bridge financing e.g. long-term finance lease to lower the

overall finance cost

Lowering additional finance cost to approximately 6.3-6.5% in FY17 (1H17: ~6%)

Lower Financing Cost

32

33

Thank you!