Canadian Solar Inc. Earnings Cheat Sheet: Rise in Profit

Canadian Solar Inc. (NASDAQ:CSIQ) reported its results for the second quarter. Canadian Solar, Inc. designs, develops, manufactures and sells solar cell and solar module products that convert sunlight into electricity.

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Canadian Solar Earnings Cheat Sheet for the Second Quarter

Results: Net income for Canadian Solar Inc. rose to $7.1 million (16 cents per share) vs. $3.2 million (7 cents per share) in the same quarter a year earlier. This is a more than twofold rise from the year earlier quarter.

Revenue: Rose 46.6% to $481.8 million from the year earlier quarter.

Actual vs. Wall St. Expectations: CSIQ fell short of the mean analyst estimate of 29 cents per share. It beat the average revenue estimate of $449.8 million.

Quoting Management: Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, remarked: “This was a solid quarter for Canadian Solar. We achieved impressive shipment growth due to our strategy of building desired capacity, our track record of quality, performance and service, and our increased brand recognition worldwide. We are confident we can continue to gain market share, based on continued strength in Germany, Italy, and the U.S., along with a rebound in Japan and the benefit of new regions, including India. We have also seen the market in Canada picking up in the past month. We accomplished a great deal in the second quarter, highlighted by impressive customer wins and two major strategic capacity joint-ventures. Our joint-venture agreements to build a new state-of-the-art 600 MW wafer and a new 600 MW cell plant in Suzhou, will help push Canadian Solar to the forefront of our industry, with a differentiated product offering, industry leading cost structure and two GW of virtually-integrated scale to continue our profitable growth in the quarters ahead.”

Key Stats:

The company fell short of estimates last quarter after beating the mark the quarter before with net income of 44 cents versus a mean estimate of net income of 41 cents per share.

Competitors to Watch: First Solar, Inc. (NASDAQ:FSLR), Trina Solar Limited (NYSE:TSL), SunPower Corporation (NASDAQ:SPWRA), JA Solar Hldgs. Co., Ltd. (NASDAQ:JASO), China Sunergy Co., Ltd. (NASDAQ:CSUN), Suntech Power Hldgs. Co., Ltd. (NYSE:STP), Yingli Green Energy Hold. Co. Ltd. (NYSE:YGE), LDK Solar Co., Ltd (NYSE:LDK), and Evergreen Solar, Inc. (NASDAQ:ESLR).

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(Source: Xignite Financials)