Canadian Solar Sees Q4 Sales $850M-$880M vs $1.32B Est., FY19 Sales $3.13B-$3.16B vs $3.63B Est.

Business Outlook The Company's business outlook is based on management's current views and estimates given existing market conditions, the Company's order book and production capacity, the timing of projectBusiness Outlook

Benzinga · 11/12/2019 21:49

Business Outlook

The Company's business outlook is based on management's current views and estimates given existing market conditions, the Company's order book and production capacity, the timing of project

Business Outlook

The Company's business outlook is based on management's current views and estimates given existing market conditions, the Company's order book and production capacity, the timing of project sales, and the global economic environment. This outlook is subject to uncertainty with respect to, among other things, final customer demand and solar project construction and sale schedules. Management's views and estimates are subject to change without notice.

For the fourth quarter of 2019, the Company expects total solar module shipments to be in the range of 2.3 GW to 2.4 GW, including approximately 190 MW of shipments to the Company's utility-scale solar power projects that may not be recognized as revenue in the fourth quarter of 2019. Total revenue for the fourth quarter is expected to be in the range of $850 million to $880 million. Gross margin for the fourth quarter is expected to be between 19% and 21%.

For the full year 2019, the Company now expects total module shipments to the range of approximately 8.4 GW to 8.5 GW. Total revenue for the year is expected to be in the range of $3.13 billion to $3.16 billion.

Yan Zhuang, Acting Chief Executive Officer of Canadian Solar, commented: "While our near-term revenue is expected to be impacted by the potential shift of certain project sales into 1Q 2020 from 4Q 2019 due to revised sales schedules, we expect sequential growth in solar module shipments based on our backlog and demand forecasts. The broader global market remains healthy as we benefit from robust demand in traditional geographies and the development of new markets where our brand, track record and local presence give us a distinct competitive advantage. We expect to gain additional momentum in 2020 as we monetize our late-stage, utility-scale solar project pipeline as well as solar power plants in operation. We also continue to explore opportunities to create additional synergies across the upstream and downstream businesses by leveraging our global purchasing power and providing total solutions to our customers, thereby building value for our Company's shareholders."