Daqo New Energy Corp. (NYSE: DQ) saw its stock price plummet 7.33% in pre-market trading on Tuesday following the release of its underwhelming first-quarter 2025 financial results. The company, a leading manufacturer of high-purity polysilicon for the global solar PV industry, reported significant losses and a substantial decline in revenue, falling short of analyst expectations.

According to the unaudited Q1 2025 results, Daqo New Energy posted an adjusted net loss of $53.2 million and a net loss of $71.8 million. The company's quarterly revenue stood at $123.9 million, marking a stark 70.16% decrease from $415.31 million in the same period last year. Adjusted earnings per share came in at $(0.80), missing the analyst consensus estimate of $(0.69) by 15.94%. Similarly, the quarterly sales of $123.91 million fell short of the expected $182.08 million by 31.94%.

The company's financial struggles were further highlighted by a negative adjusted EBITDA of $48.4 million and an adjusted EBITDA margin of -39.1%. Despite these challenges, Daqo New Energy provided guidance for the upcoming periods, expecting to produce between 25,000 MT to 28,000 MT of polysilicon during Q2 2025 and anticipating full-year 2025 production to range from 110,000 MT to 140,000 MT. However, these projections have done little to alleviate investor concerns, as reflected in the significant pre-market stock decline.