ReneSola (SOL) reported strong results this morning, beating Wall St estimates and guiding higher.  The company reported an EPS of .14/share vs the analyst estimate of .09/share on revenues of $206 million (vs the estimate of $189 million).  Most of the China solar companies have been reporting record shipments and Renesola is doing the same reporting a record 242MW.

The company is also guiding higher, helping to boost shares nearly 12% today.  They see revenues around 15% higher sequentially next quarter at $230 – 250 (vs Wall St estimate of $218) million with shipments about in line with what they reported this quarter.  They are also guiding the full year guidance higher above the Street view.  They see full year revenues closing in on the billion mark with $900 – $950 million and shipments close to the 1000MW market at 900- 1100MW.  It’s easy to think of these China solar companies as small companies until many of them start closing in on that billion/year in revenues number.  If I’m not mistaken, I believe Suntech (STP) is currently the only billion dollar company, but Trina Solar (TSL) is closing in quickly.

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Other highlights:

– sees strong demand and rising ASP and expects momentum to continue through the year
– margins improved significantly due to decreased raw material pricing and manufacturing efficiencies
– forex loss much lower than other China solar companies – just a hit of 900K
– increased capacity from 825MW to 950MW by modifying existing equipment.  Expects to add additional 260MW of capacity this quarter                                

Technically, shares of SOL remain one of the strongest of the China solar names along with JASO and was able to hold the 50 day moving average last week.  It’s surging off that level today helped by a strong overall market and earnings report.  Any pull back off the Europe bailout euphoria may offer a real nice entry point.