Weather dents Canadian Solar Q1

Canadian Solar today said module shipments could reach 2.7GW this year, up from the 1.9GW it notched up in 2013 – but warned the severe weather in North America would disrupt its start to 2014.

Canadian Solar – which carries out almost all of its production in China – posted a fourth quarter net profit of $20.9m, marking its second successive quarter of profitability.

Quarterly revenue was $519.5m, well up on the $295m it pulled in during 2012's equivalent period.

The 1.894GW of modules shipped last year compared to 1.543GW in 2012.

This year Canadian Solar guided for shipments in the range of 2.5GW to 2.7GW and said it also “expects to build and hold up to 250MW of project assets during 2014”.

Net revenue in 2014 is forecast to be about $2.7bn-$2.9bn – 50% of which it expects to come from its Total Solutions arm – the full-service PV operation through which Canadian Solar is pushing into PV’s downstream.

Total Solutions accounted for just under 29% last year.

Like its peers, Canadian Solar named Japan, China and North America among the engines for growth this year.

However, it was not all good news as the company warned that revenues and margins in the current first quarter would be hit by weather-related delays to construction of utility-scale projects in North America, and by a fire at a cell plant in China.

The weather delayed recognition of about $100m in revenues from projects in Canada until later quarters.