JinkoSolar Holding Co., Ltd. (NYSE: JKS) saw its stock price plummet 6.60% in Tuesday's trading session following the release of its first quarter 2025 financial results. The solar module manufacturer reported wider-than-expected losses and a significant decline in revenue, raising concerns about the company's near-term outlook.

For the first quarter of 2025, JinkoSolar reported a net loss attributable to ordinary shareholders of RMB 1.32 billion ($181.7 million), or RMB 6.40 ($0.88) per share. This marked a sharp reversal from the net income of RMB 609.4 million in the same period last year. The company's adjusted loss per American depositary share of RMB 25.58 ($3.53) significantly missed analyst expectations of a RMB 10.01 loss.

Revenue for the quarter fell 39.9% year-over-year to RMB 13.84 billion ($1.91 billion), also falling short of market estimates. The company attributed the decline to lower average selling prices of solar modules and decreased shipments to the U.S. market. Gross margin turned negative at -2.5%, compared to a positive 11.9% in Q1 2024, reflecting the challenging market conditions faced by solar manufacturers. Despite the disappointing results, JinkoSolar's management remained optimistic about the company's long-term prospects, citing ongoing investments in research and development and improvements in production efficiency. However, investors appeared to focus on the near-term challenges, leading to the significant stock price decline.