Sign in or Register

Already a member?

Sign in

Or sign in with your account on:

Not a member yet?



Canadian Solar Shares Fall on Soft Outlook, Blames Weather

By  +Follow March 5, 2014 2:45PM
Tickers Mentioned:

Shares of Canadian Solar (CSIQ) , one of the world’s biggest solar power companies, are trading lower on Wednesday after saying it swung to a profit in the fourth quarter, but provided a bleak outlook for the first quarter. Joining in with other solar firms, such as Trina Solar Ltd. (TSL) , Canadian Solar said severe weather conditions in North America slowed construction at projects, which will translate to lower revenue and gross margin in the first quarter.

For the quarter ended December 31, 2013, the Guelph, Ontario-based company reported net revenue of $519.5 million, up 76.2 percent from $294.8 million in the year prior quarter. On a GAAP basis, Canadian Solar earned $20.95 million, or 39 cents per share, versus a net loss of $104.99 million, or $2.43 per share, in Q4 2012. 

Wall Street was expecting profits of 49 cents per share on revenue of $512.95 million.

Despite coming up short of analyst predictions, it was the second straight quarter of profitability for Canadian Solar. Before shifting into the black in the third quarter last year, the company had posted losses in the nine previous quarters.

Canadian Solar has been shifting into building solar power plants, which brings higher margins than solely competing in the low-margin product space and it’s paying off. For all of 2013, Canadian Solar logged net income of $31.66 million, or 63 cents per share. In 2012, it had lost $195.47 million, or $4.53 per share.

"We are very pleased to have achieved our goal to return the Company to profitability in 2013, underscoring the successful execution of our strategy of expanding our higher margin total solutions business, and seeking profitable growth in our module business, rather than simply competing on MW volume and price,” said Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, in a statement this morning.

Sales rising in China helped Canadian Solar’s financials. Solar module shipments to the Chinese market were 43 percent of all shipments in the fourth quarter, compared to 9.9 percent in the year prior quarter. Shipments to Japan represented 19.7 percent of total shipments, against 11.7 percent a year earlier.

Shares of CSIQ have been on a tear in the last year, rising a stellar 1,300 percent through Tuesday’s close from 52-week lows last March.

Wall Street was expecting more in the first quarter than what Canadian Solar forecast. The company expects total module shipments between 470 megawatts and 490 megawatts. That’s down from the 621 MW shipped last quarter. The arctic blast that has hit North America and Canada with unseasonably icy and snowy conditions has negatively affected sales and delayed construction at utility-scale projects in Canada, pushing that revenue and profits into the second and third quarter, according to the company. 

For the quarter, Canadian Solar now sees revenue in the range of $415 million to $430 million, down from the $510 million to $520 million previously forecast. The new guidance is well below the $517 million analysts expected.

Total panel shipments are expected to climb to the range of 2.5 GW to 2.7 GW in 2014, compared to 1.9 GW in 2013. Total sales are projected between $2.7 billion and $2.9 billion, from $1.65 billion last year, with about half of those sales derived from its total solutions business.

For the day, investors are focused on the earnings miss and guidance, not the overall growth. Shares are off by 11.2 percent in late afternoon trading at $38.77.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Liked What You Read? Join Equities.com as a contributor and get eyeballs on your content FOR FREE!

Results for CSIQ
Capital Market Labs
28 May 15 10:06:47
$AMD vs. $SPWR vs. $CREE vs. $CSIQ Compared Across 9 Critical Measures http://t.co/RC2BdXkQ63 http://t.co/6SpPoJ2f2F
28 May 15 09:33:02
$CSIQ: Brokerage Firm Focus: Canadian Solar Inc. (NASDAQ:CSIQ): http://t.co/YZudDd0uKe
Capital Market Labs
28 May 15 08:40:05
$CSIQ Revenue and Earnings are Expanding. #CML_CSIQ #CML_Revenue #CML_Earnings http://t.co/L0oL1GI0Zy http://t.co/RguxGzq3NO
Anmol Singh
28 May 15 08:32:16
Scalper's market....so i adapted today and scalped with them $DANG $FEYE $GPRO $CSIQ http://t.co/c9oVstnQW6
Jack Trader
28 May 15 08:31:43
$CSIQ Canadian Solar Inc. (CSIQ): Analysts Weigh in Following Investor Day http://t.co/ZzxxRw6oZt
Capital Market Labs
28 May 15 08:21:22
$CSIQ Revenue is Expanding. #CML_CSIQ #CML_Revenue http://t.co/nimz0fxlci http://t.co/wVIA1sgKRx
Anmol Singh
28 May 15 07:29:11
$CSIQ looks like it can head higher here
28 May 15 07:00:55
$CSIQ up 3.0% to 34.26 bullish setup alert #stocks #options #markets http://t.co/qg5jZQdhkg
28 May 15 06:51:18
XLV Health Care Select Sector SPDR Market Cap http://t.co/7JnKSVs6vC $XLV $CSIQ $V $EA #XLV #stock #nasdaq
Alexander Morris
28 May 15 06:44:04
$CSIQ: 1mRunaway+:2 [+3%,.1%offHi], 18:4Accel+, tf:0111111; TLM:1.2; ILM:1.3, Gap+[+0.6%], DyVol:239T:0.1x:0.1x, DyRng:2.2%:0.7x:0.5x,
IH News Desk
28 May 15 06:42:48
OA Orbital ATK, Inc. % Change http://t.co/SzNrgGZDpa $OA $COST $VGTL $CSIQ #OA #pennystocks #share
28 May 15 06:42:12
MNGA MagneGas Corp. Volume http://t.co/bzMcWwjfPd $MNGA $GKNT $SVXY $CSIQ #MNGA #nasdaq #invest
28 May 15 06:42:12
MUX McEwen Mining Inc. Volume http://t.co/Gppa0uTHgc $MUX $HE $CSIQ $FXI #MUX #invest #stocks
28 May 15 06:41:08
LUV Southwest Airlines Co. Open http://t.co/QiwszBkJF8 $LUV $QCOM $CSIQ $TS #LUV #pennystocks #investing
28 May 15 06:36:16
CSIQ Canadian Solar Inc. Ask Size http://t.co/wlpXi8iIyT $CSIQ $ISR $AMBS $SMH #CSIQ #share #nasdaq
28 May 15 06:35:07
CSIQ Canadian Solar Inc. Exchange http://t.co/NY1ygfoo3t $CSIQ $ADMD $YOKU $TQQQ #CSIQ #nasdaq #stock
28 May 15 06:35:07
CSIQ Canadian Solar Inc. Day Low http://t.co/Uvm4i82Khr $CSIQ $DXJ $DRYS $RE.TO #CSIQ #stocks #finance
Investors Hangout
28 May 15 06:33:12
ARIA ARIAD Pharmaceuticals, Inc. Summary http://t.co/iUXMbeQvrw $ARIA $BABA $CSIQ $SMN #ARIA #stock #investing
Invest | Donate
28 May 15 06:17:05
@penny_stocks1: $SHAK Shake Shack Inc. $73.69 http://t.co/oZOW43UynK $CSIQ $STOY $DIS $BLTA #CSIQ #invest #investing $C $EWH $SPHS $AXP #C
Penny Stock Secret
28 May 15 06:16:43
$71,000 in ONE TRADE!! By Follwing Their Signals More Info Here http://t.co/NovWYe2RAx .. $CSIQ $LLEN $REGN
28 May 15 06:09:08
$GLUU another one to place on your a-list .. along with the solars $SCTY $FSLR $CSIQ $SUNE
28 May 15 06:07:28
Pepe Plata
28 May 15 06:04:35
$SHAK Shake Shack Inc. $73.69 http://t.co/Fin6H9ELGy $CSIQ $STOY $DIS $BLTA #CSIQ #invest #investing $C $EWH $SPHS $AXP #C
Investors Hangout
28 May 15 05:45:08
SMH Market Vectors Semiconductor Day High http://t.co/XKMCxkaN4e $SMH $KERX $CSIQ $UGAZ #SMH #tradeideas #pennystocks
28 May 15 05:34:36
CSIQ Canadian Solar Inc. Stock Forum http://t.co/hKEGCaAz9y $CSIQ $STOY $DIS $BLTA #CSIQ #invest #investing
Stock Dawgzz
28 May 15 05:31:34
Our Penny Stock Pick On $VGTL Today Closed Up 28.57% & Saw It's Highest Volume In 10 Years! Big News: http://t.co/5QjMLZoKmN $CSIQ $LLEN $RE
Capital Market Labs
28 May 15 05:04:40
$CSIQ EPS is Increasing. #CML_CSIQ #CML_EPS http://t.co/GEtIJ9b7Am http://t.co/u4WingTMfB
Donald J Olive
28 May 15 04:43:49
RT @Briefingcom: $CSIQ: Canadian Solar announced it has supplied modules to Turkey's largest PV project http://t.co/yfdh2sRU4Q
Abbie Grandstaff
28 May 15 04:39:45
RT @Briefingcom: $CSIQ: Canadian Solar announced it has supplied modules to Turkey's largest PV project http://t.co/yfdh2sRU4Q
28 May 15 04:30:56
$CSIQ: Canadian Solar announced it has supplied modules to Turkey's largest PV project http://t.co/yfdh2sRU4Q
28 May 15 03:51:09
YANG Direxion Daily China Bear 3x Shares % Change http://t.co/b9miYOshwc $YANG $CSIQ $CSIQ $AIG #YANG #stock #finance
28 May 15 03:51:08
YPF YPF Sociedad Anonima Ideas http://t.co/5PNWvtmQKy $YPF $FXC $BIDU $CSIQ #YPF #share #tradeideas
28 May 15 03:51:07
XIV VelocityShares Daily Inverse VIX Short Term ETN News http://t.co/hRQip3QPfs $XIV $CSIQ $SMH $QASP #XIV #stock #invest
28 May 15 03:46:37
SPXU ProShares UltraPro Short S&P 500 Message Board Posts http://t.co/UWLYLApoVH $SPXU $KMX $CSIQ $TATAMOTORS.IN #SPXU #investing…
Rosner Stocks
28 May 15 03:46:20
RDSH Roadships Holdings, Inc. Investor Opinions http://t.co/T4TnORQwbC $RDSH $CSIQ $JNK $CORN #RDSH #nasdaq #stock
28 May 15 03:46:08
RDSH Roadships Holdings, Inc. Day Low http://t.co/B1Yxh6RkXo $RDSH $MTW $VXX $CSIQ #RDSH #invest #nasdaq
28 May 15 03:45:06
PSEC Prospect Capital Corp. Ex-Div Date http://t.co/asTCUCdyf8 $PSEC $CSIQ $EBIO $HEWG #PSEC #stocks #nasdaq
Stock Forums
28 May 15 03:43:10
NRZ New Residential Investment Corp. Financials http://t.co/SAenKur7p8 $NRZ $CSIQ $SMN $ARIA #NRZ #share #stockmarket
28 May 15 03:42:17
MCD McDonalds Corp. Bid http://t.co/nZvzf0F57l $MCD $TQQQ $WNTR $CSIQ #MCD #invest #invest
28 May 15 03:42:15
LB L Brands, Inc. E.P.S. http://t.co/hgLeRnvSJG $LB $XLY $CSIQ $GE #LB #tradeideas #pennystocks
28 May 15 03:41:44
LMNS Lumenis Ltd. 52Wk High http://t.co/8d1pBT7JNq $LMNS $CSIQ $CELG $DDD #LMNS #share #tradeideas
28 May 15 03:40:06
JKS Jinkosolar Holding Co. Ltd. Quotes http://t.co/93H0vDxBYn $JKS $BIDU $CSIQ $SLTD #JKS #stockmarket #tradeideas
28 May 15 03:38:07
GPRO GoPro, Inc. Stock Message Board http://t.co/pwmbs3Hmop $GPRO $CSIQ $TQQQ $SMH #GPRO #stock #stock
28 May 15 03:37:38
FTR Frontier Communications Corp. Short Sales http://t.co/S8yDQksVos $FTR $CSIQ $CTIC $VIT.V #FTR #nasdaq #stockmarket
Investors Hangout
28 May 15 03:36:37
CYBR Cyber-Ark Software Ltd. Bid Size http://t.co/WxLcofz4Zp $CYBR $MCK $CSIQ $IDTI #CYBR #investing #share
Rosner Stocks
28 May 15 03:36:14
ESPR Esperion Therapeutics, Inc. Filings http://t.co/WKoJUnLzh9 $ESPR $NPTN $CSIQ $TSLA #ESPR #stocks #finance
IH News Desk
28 May 15 03:36:08
CSIQ Canadian Solar Inc. Stock Forum http://t.co/J2u3bd9MBl $CSIQ $FXI $ACHN $JNK #CSIQ #stockmarket #finance
28 May 15 03:36:07
COW iPath Bloomberg Livestock Subindex Total Return ETN Bid Size http://t.co/NXt6pnREvF $COW $AMZN $MA $CSIQ #COW #stockmarket #share
28 May 15 03:35:05
CSIQ Canadian Solar Inc. Ask Size http://t.co/JGVsHkLZjn $CSIQ $EXAS $SMH $CELG #CSIQ #finance #stockmarket
Lucky Jimmy
28 May 15 03:34:34
DIA SPDR DJ Industrial Average ETF Trust Ideas http://t.co/QzeMX0lZg3 $DIA $SCO $CSIQ $DIA #DIA #investing #pennystocks
By  +Follow March 5, 2014 2:45PM



blog comments powered by Disqus

About us

Equities.com is the most advanced interactive online social ecosystem for the financial industry, serving as a resource center and next-generation communication platform that connects self-directed investors with public issuers, market experts, and professional service providers and vendors. Registered members can leverage our exclusive proprietary research tools such as the Small-Cap Stars, which outperformed 90% of all small-cap mutual funds, and robust do-it-yourself E.V.A. research reports. The Equities.com Issuer Dashboard is the ideal tool to communicate and manage investor awareness campaigns to the investment community, as well as to access valuable resources to help your company grow.

Market Data powered by QuoteMedia.
Copyright © QuoteMedia. Data delayed 15 minutes unless otherwise indicated. Terms of Use.

Login or Register