Canadian Solar: Q3 EPS Light; Sees Q4 Revenue Collapse
Canadian Solar (CSIQ) this morning forecast a dramatic drop in revenues for the fourth quarter as the solar sector continues to struggle with falling demand.
For Q3, the company posted revenue of $252.4 million, above the Street at $248 million. But profits of 41 cents a share were 13 cents short of the Street consensus of 54 cents.
The shocker is the guidance: For Q4, the company now sees revenue of $70 to $85 million, just a fraction of the Street consensus of $270.1 million. For the full year, the company now sees revenue of $650 million to $750 million, well below the Street at $901.9 million.
In a statement, the company said that “given the uncertainty of project and customers’ financing coupled with softening solar market demand in Europe and USA at the year-end, the company has shifted its short-term operational emphasis to preserving cash and minimizing risk from the credit environment.”
