Hello everyone, I’m back with some illuminating insights about the solar industry, and this time, specifically about battery energy storage system producers. If you’re in the process of exploring solar for your home and seeking reliable solar companies, or you’re a seasoned solar pro considering a new solar array for your home, then you’ll certainly want to know about the stability and financial health of the enterprises manufacturing these power-packed energy storage solutions.
In a new ranking released by Sinovoltaics, a Hong Kong-based firm specialized in technical compliance and quality assurance, Tesla emerges as the leading name among 55 global manufacturers. The others making it to the top five include South Korea’s LG Energy Solution, Taiwan’s Kung Long Battery, China’s Mustang Battery, and U.S-based Solid Power.
This ranking, sourced from publicly accessible financial information and a balance sheet model, offers a comprehensive look at these leading entities’ financial stability from June 2020 up until March 2024. Such a timeline gives a clear, future-oriented perspective and an insight into the consistent stability.
To put together this ranking, Sinovoltaics used the Altmann Z-score, a quantitative formula that combines various corporate income and balance sheet values to gauge financial health. It sheds light on a company’s financial strength based on profitability, leverage, liquidity, solvency, and activity ratios. Wondering what makes a good score? Well, anything over 2.6 spells a solid financial position, while anything less than 1.1 indicates a likelihood of bankruptcy within two years.
While Tesla stood out among the rest, the top ten includes other highly regarded solar companies such as Eaton from Ireland, Sinexcel from China, and Japanese manufacturers GS Yuasa and Sanyo, interspersed with U.S-based Livent.
Just remember, these rankings don’t comment on the quality of the equipment produced. Still, these findings can be an incredibly handy tool during due diligence, or when trying to identify financially dependable partners, or if you are planning to switch to solar panels for your home.
So, whether you’re seeking well-established solar companies to equip your home with a durable solar array or you’re an industry aficionado staying updated on financial front-runners, keeping an eye on these systemic rankings can offer valuable insights. Deciphering the trade secrets of the solar industry isn’t always as simple as basking in the sun, but trust me, the bright benefits of solar power make it worth it!
Original Articlehttps://pv-magazine-usa.com/2024/05/10/sinovoltaics-publishes-energy-storage-manufacturer-financial-stability-ranking/