SEOUL, South Korea, Nov. 10, 2017 /PRNewswire/ -- Hanwha Q CELLS Co., Ltd. ("Hanwha Q CELLS" or the "Company") (NASDAQ: HQCL), a global leading photovoltaic manufacturer of high-performance, high-quality solar modules, today reported its unaudited financial results for the third quarter ended September 30, 2017. The Company will host a conference call to discuss the results at 8:00 am Eastern Time (10:00 pm Korea Standard Time) on November 10, 2017.

Third Quarter 2017 Highlights

  • Net revenues were $543.0 million, compared with $577.7 million in the second quarter of 2017 and $707.8 million in the third quarter of 2016.
  • Gross margin was 11.6%, compared with 11.6% in the second quarter of 2017 and 19.9% in the third quarter of 2016.
  • Operating income was $10.6 million, compared with operating income of $20.1 million in the second quarter of 2017 and operating income of $72.4 million in the third quarter of 2016.
  • Net income attributable to Company's ordinary shareholders was $5.0 million, compared with net income of $18.7 million in the second quarter of 2017 and net income of $41.7 million in the third quarter of 2016.
  • Earnings per fully diluted American Depositary Share ("ADS" and each ADS represents 50 of the Company's ordinary shares) were $0.06, compared with earnings per fully diluted ADS of $0.22 in the second quarter of 2017 and earnings per fully diluted ADS of $0.50 in the third quarter of 2016.

Mr. Jay Seo, CFO of Hanwha Q CELLS, said that the Company's "third quarter results were in-line with the Company's guidance set forth in Q2," and that the downward pressure on gross margin, caused primarily by increasing wafer prices, was partially off-set by cell and module processing cost reduction."

Mr. Moon Seong Choi, the Company's new SVP of Corporate Planning, commented that the Company will have a total of 8GW of nameplate module capacity at year-end when including Hanwha Q CELLS Korea's manufacturing capacity. Mr. Choi discussed the expected impacts of Section 201, stating that the utility segment demand in the U.S. is not expected to decrease drastically following the ITC recommendation which was less than the remedies requested by the petitioners.

Third Quarter 2017 Results of Operations

Net Revenues

  • Total net revenues were $543.0 million, down 6.0% from $577.7 million in the second quarter of 2017 and down 23.3% from $707.8 million in the third quarter of 2016.

Gross Profit and Margin

  • Gross profit in the third quarter of 2017 was $63.2 million, compared with $67.2 million in the second quarter of 2017 and $140.5 million in the third quarter of 2016.
  • Gross margin in the third quarter of 2017 was 11.6%, compared with 11.6% in the second quarter of 2017 and 19.9% in the third quarter of 2016.

Income from Operations and Operating Margin

  • Income from operations in the third quarter of 2017 was $10.6 million, compared with $20.1 million in the second quarter of 2017 and $72.4 million in the third quarter of 2016.
  • Operating margin in the third quarter of 2017 was 2.0%, compared with 3.5% in the second quarter of 2017 and 10.2% in the third quarter of 2016.
  • Total operating expenses were $52.6 million in the third quarter of 2017, up 11.7% from $47.1 million in the second quarter of 2017 and down 22.8% from $68.1 million in the third quarter of 2016.
  • Selling and marketing expenses were $30.6 million in the third quarter of 2017, up 3.7% from $29.5 million in the second quarter of 2017 and down 15.9% from $36.4 million in the third quarter of 2016.
  • General and administrative expenses were $17.4 million in the third quarter of 2017, up 28.9% from $13.5 million in the second quarter of 2017 and down 11.7% from $19.7 million in the third quarter of 2016.
  • Research and development expenses were $4.6 million in the third quarter of 2017, up 12.2% from $4.1 million in the second quarter of 2017 and down 61.7% from $12.0 million in the third quarter of 2016.

Net Interest Expense

  • Net interest expense was $10.0 million in the third quarter of 2017, compared with $9.2 million in the second quarter of 2017 and $12.4 million in the third quarter of 2016.

Foreign Currency Exchange Gain (Loss)

  • Net foreign currency exchange gain was $7.3 million in the third quarter of 2017, compared with a gain of $7.1 million in the second quarter of 2017 and a loss of $2.3 million in the third quarter of 2016.

Gain (loss) on Change in Fair Value of Derivative Contracts

  • The Company recorded a net loss of $0.6 million in the third quarter of 2017 from the change in fair value of derivatives in hedging activities, compared with a net loss of $3.0 million in the second quarter of 2017 and a net loss of $2.1 million in the third quarter of 2016.

Income Tax Expense (Benefit)

  • Income tax expense was $2.5 million in the third quarter of 2017, compared with an income tax benefit of $3.0 million in the second quarter of 2017 and an income tax expense of $10.3 million in the third quarter of 2016.

Net Income (Loss) and Earnings (Loss) per ADS

  • Net income attributable to Company's ordinary shareholders was $5.0 million in the third quarter of 2017, compared with net income of $18.7 million in the second quarter of 2017 and net income of $41.7 million in the third quarter of 2016.
  • Earnings per fully diluted ADS on a GAAP basis were $0.06 in the third quarter of 2017, compared with $0.22 in the second quarter of 2017 and $0.50 in the third quarter of 2016.

Third Quarter 2017 Financial Position

As of September 30, 2017, the Company had cash and cash equivalents of $245.6 million, compared with $331.0 million as of June 30, 2017. The restricted cash as of September 30, 2017 was $113.4 million, compared with $95.0 million as of June 30, 2017.

As of September 30, 2017, accounts receivable was $391.1 million, compared with $358.4 million, as of June 30, 2017. Inventories were $350.7 million as of September 30, 2017, compared with $337.2 million as of June 30, 2017.

As of September 30, 2017, accounts payable was $429.2 million, compared with $407.8 million, as of June 30, 2017.

Total short-term bank borrowings (including the current portion of long-term bank borrowings) were $744.1 million, an increase of $108.6 million from the second quarter of 2017, due to proceeds from additional borrowings in China.

As of September 30, 2017, the Company had total long-term debt (net of current portion and long-term notes) of $336.8 million, an increase of $0.7 million from the second quarter of 2017. The Company's long-term debt is comprised of bank and government borrowings, to be repaid in installments until their maturities, ranging from one to fourteen years.

Capital expenditures were $26.6 million in the third quarter of 2017.

Operations Updates

Production Capacity

As of September 30, 2017, the Company's in-house, annualized production capacities were 1,600 MW for ingot, 1,050 MW for wafer, 4,300 MW for cell and 4,300 MW for module.

By the end of this year, we expect our annual nameplate capacities to reach 1,600 MW for ingot, 1,100 MW for wafer, 4,300 MW for cell and 4,300 MW for module.

Furthermore, the Company has additional module availability of up to 2,100 MW (annualized) as of September 30, 2017 from Hanwha Q CELLS Korea Corporation, an affiliate of the Company. Hanwha Q CELLS Korea Corporation is currently ramping-up its capacity with expected capacity of approximately 3,700 MW by year-end.

Business Outlook

Fourth Quarter and Full Year 2017 Guidance

For the fourth quarter of 2017, the Company estimates net revenues in the range of $610 million to $630 million.

For the full year 2017, the Company reiterates its previous guidance of:

  • Total module shipments in the range of 5,500 to 5,700 MW
  • Revenue-recognized module shipments in the range of 5,300 to 5,500 MW
  • Capital expenditures of approximately $70 million for manufacturing technology upgrades and certain R&D related expenditures

Conference Call

The Company will host a conference call to discuss the results at 8:00 am Eastern Time (10:00 pm Korea Standard Time) on November 10, 2017. The management will discuss the results and take questions following the prepared remarks.

A live webcast of the conference call will be available on the investor relations section of the Company's website at www.hanwha-qcells.com or by clicking the following hyperlink: https://edge.media-server.com/m6/p/dcywj8kq.

The dial-in details for the live conference call are as follows:

International Toll Free Dial-In Number

+65 6713-5090

United States

+1 (845)675-0437

South Korea

+82 2-6490-3660

Germany

08001820671

United Kingdom

China, Domestic

Hong Kong

+44 2036214779

4006208038 / 8008190121

+852 30186771

Passcode: HQCL

A replay of the call will be available after the conclusion of the conference call on the investor relations section of the Company's website at www.hanwha-qcells.com and also by dialing the numbers below:

International Toll Free Dial-In Number

+61 2 8199 0299

United States

+1 (855) 452-5696

South Korea

00798-6136-1602

Germany

United Kingdom

08001802149

08082340072

China, Domestic

Hong Kong

8008700206 / 4006322162

800963117

Conference ID: 63369727

Replay time period: November 10, 2017 11:00 ET - November 18, 2017 07:59 ET

About Hanwha Q CELLS

Hanwha Q CELLS Co., Ltd. (NASDAQ: HQCL) is one of the world´s largest and most recognized photovoltaic manufacturers for its high-performance, high-quality solar cells and modules. It is headquartered in Seoul, South Korea (Global Executive HQ) and Thalheim, Germany (Technology & Innovation HQ) with its diverse international manufacturing facilities in Malaysia and China. Hanwha Q CELLS offers the full spectrum of photovoltaic products, applications and solutions, from modules to kits to systems to large-scale solar power plants. Through its growing global business network spanning Europe, North America, Asia, South America, Africa and the Middle East, the company provides excellent services and long-term partnerships to its customers in the utility, commercial, governmental and residential markets. Hanwha Q CELLS is a flagship company of Hanwha Group, a FORTUNE Global 500 firm and a Top 10 business enterprise in South Korea. For more information, visit: http://www.hanwha-qcells.com.

Safe Harbor Statement

This report contains forward-looking statements that are not statements of historical fact. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Such statements, particularly statements about our guidance for performance in the third quarter and the full year 2017, involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such risks and uncertainties include pending administrative and civil actions in the United States under existing or potential new statutes and regulations governing trade between the United States and other countries, and potential antidumping, countervailing or other duties imposed on goods imported into the United States, as well as the Company's access to new capacity from an affiliate. Further information regarding these and other risks is included in Hanwha Q CELLS' filings with the Securities and Exchange Commission, including its annual report on Form 20-F. Except as required by law, Hanwha Q CELLS does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Hanwha Q CELLS Co., Ltd.

Unaudited Condensed Consolidated Balance Sheets

(in millions of US dollars, except share data)














September 30,
2017


December 31,
2016


ASSETS




(unaudited)


(audited)


Current assets








Cash and cash equivalents


245.6


390.0



Restricted cash


113.4


116.8



Accounts and notes receivable - net


391.1


328.1



Receivables from related parties


122.4


83.6



Inventories



350.7


338.5



Loans to related parties


12.0


13.0



Other current assets


148.7


81.5





Total current assets


1,383.9


1,351.5














Fixed assets - net


790.2


755.5



Intangible assets - net


18.7


16.6



Land use rights - net


49.0


47.9



Deferred tax assets - net


7.2


6.1



Loans to related parties


6.2


6.6



Other long-term assets


27.7


24.9






Total assets


2,282.9


2,209.1


LIABILITIES AND STOCKHOLDERS' EQUITY





Current liabilities







Accounts payable


137.3


171.1



Notes payable


65.8


107.2



Payables to related parties


226.1


161.6



Deferred revenue


108.0


18.9



Accrued expenses


39.2


36.6



Other payables


21.3


20.2



Tax payables


7.7


16.0



Short-term debt


284.1


377.4



Current portion of long-term debt


460.0


150.5



Customer deposits


24.4


17.3



Derivative contracts


0.4


1.0



Litigation accruals


0.2


1.8



Deferred tax liabilities


-


2.4



Warranty provision


42.7


42.2



Other current liabilities


2.2


6.1




Total current liabilities


1,419.4


1,130.3














Long-term debt


336.8


643.7



Long-term warranty provision


17.3


19.0



Deferred tax liabilities


8.2


7.9




Total liabilities


1,781.7


1,800.9


Stockholders' equity







Ordinary shares


0.4


0.4



Additional paid-in capital


432.1


431.7



Accumulated income 


148.6


107.3



Accumulated other comprehensive loss


(79.9)


(131.2)




Total stockholders' equity


501.2


408.2




Total liabilities, redeemable ordinary shares and stockholders' equity

2,282.9


2,209.1


Hanwha Q CELLS Co., Ltd.

Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

(in millions of US dollars, except share data and net income (loss) per share)


















For the three months ended 


For the nine months ended 





 September 30,
2017 


 June 30,
2017 


 March 31,
2017 


 September 30,
2017 


September 30,
2016





 (unaudited) 


 (unaudited) 


 (unaudited) 


 (unaudited) 


 (unaudited) 

Net sales

543.0


577.7


432.0


1,552.7


1,860.7

Cost of goods sold

479.8


510.5


372.2


1,362.5


1,460.0



Gross profit

63.2


67.2


59.8


190.2


400.7

Selling and marketing expenses

30.6


29.5


21.9


82.0


92.3

General and administrative expenses

17.4


13.5


18.2


49.1


57.2

Research and development expenses

4.6


4.1


8.8


17.5


37.6

Other operating expenses (income)

-


-


(17.4)


(17.4)


-



Income from operations

10.6


20.1


28.3


59.0


213.6

Other income (expenses)











Interest income

1.0


2.1


1.0


4.1


4.9


Interest expense

(11.0)


(11.3)


(10.5)


(32.8)


(39.4)


Foreign exchange gain (loss)

7.3


7.1


2.5


16.9


3.5


Gain (loss) on change in fair value of derivative contracts 

(0.6)


(3.0)


(0.4)


(4.0)


(31.1)


Investment income (loss)

(0.4)


0.9


1.2


1.7


(2.1)


Other income (expense) - net

0.6


(0.2)


0.9


1.3


2.8


Other expense, net

(3.1)


(4.4)


(5.3)


(12.8)


(61.5)



Income before income tax

7.5


15.7


23.0


46.2


152.1














Income tax expense (benefit)

2.5


(3.0)


5.4


4.9


6.1



Net income 

5.0


18.7


17.6


41.3


146.0








































Net income attributable to Hanwha Q CELLS Co., Ltd.'s stockholders per share:










Basic



US$0.00


US$0.00


US$0.00


US$0.01


US$0.04

Diluted


US$0.00


US$0.00


US$0.00


US$0.01


US$0.04














Net income attributable to Hanwha Q CELLS Co., Ltd.'s stockholders per ADS:










Basic



US$0.06


US$0.22


US$0.21


US$0.50


US$1.75

Diluted


US$0.06


US$0.22


US$0.21


US$0.50


US$1.75














Number of shares used in computation of net income per share:










Basic



4,158,769,098


4,158,769,098


4,158,769,098


4,158,769,098


4,159,061,169

Diluted


4,158,769,098


4,158,769,098


4,158,769,098


4,158,769,098


4,159,521,554














Number of shares used in computation of net income per ADS:










Basic



83,175,382


83,175,382


83,175,382


83,175,382


83,181,223

Diluted


83,175,382


83,175,382


83,175,382


83,175,382


83,190,431














Other comprehensive income (loss)











Foreign currency translation adjustment

12.0


16.4


22.9


51.3


(9.3)


Pension adjustments

-


-


-


-


-

Comprehensive income 

17.0


35.1


40.5


92.6


136.7

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SOURCE Hanwha Q CELLS Co., Ltd.

Related Links

http://www.hanwha-qcells.com

Read more: Hanwha Q CELLS Reports Third Quarter 2017 Results

NEW DELHI--(BUSINESS WIRE)--Azure Power (NYSE: AZRE), a leading independent solar power producer in India, announced its foray into rural electrification through mini and micro grids in the eastern state of Jharkhand.

According to the Ministry of Power (DDUGJY: Status update as of Sept. 30, 2017), more than three million households in Jharkhand are unelectrified. In an effort to electrify these households, Jharkhand Renewable Energy Development Agency (JREDA) has awarded projects for design, supply, installation, commissioning and operation for 5 years of decentralised distributed solar PV power plants along with power distribution networks to the unelectrified households. Azure Power has won a project to electrify 320 households across 11 villages through development of mini and micro grids.

The Government of India recently announced ‘Saubhagya’ scheme which sanctioned INR 160 billion (~US$ 2.5 billion) to help achieve the electrification of 30 million households across the country by March 2019. Mini and micro grid development across India is likely to be core to achieving targets under this program.

Azure Power is an established leader in the Indian solar industry with the longest track record in developing and operating large utility-scale solar projects. Earlier in 2016, the company launched Azure Roof Power which offers superior rooftop solar power solutions for commercial, industrial, government, and institutional customers in cities across India to lower their energy bill and meet their greenhouse gas (GHG) emission reduction targets. With the foray into micro and mini grids for rural electrification, Azure M-Power will offer reliable and affordable electrification solutions in villages across India that enables sustainable economic development, inclusive growth and resilience against climate change.

Speaking on this occasion, Inderpreet Wadhwa, Founder, Chairman and Chief Executive Officer, Azure Power said “Azure Power aims to bridge the energy access gap in India through its low-cost and reliable solar power solutions. With the launch of Azure M-Power for electrification of villages across India, we are delighted to make a contribution towards the realization of our Hon’ble Prime Minister’s commitment towards 24x7 power for all.”

About Azure Power

Azure Power (NYSE: AZRE) is a leading independent solar power producer in India with a portfolio of over 1,630 MWs across 22 states/union territories. With its in-house engineering, procurement and construction expertise and advanced in-house operations and maintenance capability, Azure Power provides low-cost and reliable solar power solutions to customers throughout India. It has developed, constructed and operated solar projects of varying sizes, from utility scale, rooftop to mini & micro grids, since its inception in 2008. Highlights include the construction of India’s first private utility scale solar PV power plant in 2009 and the implementation of the first MW scale rooftop project under the smart city initiative in 2013.

For more information, visit: www.azurepower.com.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended and the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s future financial and operating guidance, operational and financial results such as estimates of nominal contracted payments remaining and portfolio run rate, and the assumptions related to the calculation of the foregoing metrics. The risks and uncertainties that could cause the Company’s results to differ materially from those expressed or implied by such forward-looking statements include: the availability of additional financing on acceptable terms; changes in the commercial and retail prices of traditional utility generated electricity; changes in tariffs at which long term PPAs are entered into; changes in policies and regulations including net metering and interconnection limits or caps; the availability of rebates, tax credits and other incentives; the availability of solar panels and other raw materials; its limited operating history, particularly as a new public company; its ability to attract and retain its relationships with third parties, including its solar partners; its ability to meet the covenants in its debt facilities; meteorological conditions and such other risks identified in the registration statements and reports that the Company has filed with the U.S. Securities and Exchange Commission, or SEC, from time to time. All forward-looking statements in this press release are based on information available to us as of the date hereof, and the Company assumes no obligation to update these forward-looking statements.

Read more: Azure M-Power Forays Into Rural Electrification...

PITTSBURGH, Nov. 9, 2017 /PRNewswire/ -- In mid-September, Hurricane Maria caused major devastation to Puerto Rico, including knocking out the island's power grid. Weeks after the storm, the majority of Puerto Ricans are still without electricity. While rebuilding will be a long-term effort, a solar photovoltaic (PV) mobile electric generator is helping restore power to the U.S. territory. This portable solar solution, the Sun Commander® Series 8000 from Day & Night Solar (DNS), is providing immediate relief for the island by powering the construction sites where permanent renewable energy sources are being built.

The Sun Commander generator, featuring polyurethane composites from Covestro LLC, on its way to Puerto Rico to assist with rebuilding efforts following Hurricane Maria.
The Sun Commander generator, featuring polyurethane composites from Covestro LLC, on its way to Puerto Rico to assist with rebuilding efforts following Hurricane Maria.

Click to Tweet: Sun Commander generator featuring @CovestroGroup #polyurethane composites helps Puerto Rico rebuild: http://bit.ly/2jbsXMU

The expansive retractable array framework of the Sun Commander generator is formed from polyurethane composites produced via pultrusion, a continuous, cost-efficient process that utilizes a Covestro LLC polyurethane system. Creative Pultrusions, Inc. pultruded the polyurethane used for the Sun Commander generator's framework. Utilizing the pultruded polyurethane composite enabled DNS to slash the weight of the Sun Commander Series 8000 generator by ½ ton, according to DNS.

Unlike other traditional materials, strong, yet lightweight polyurethane composites will not rot or rust and are very resistant to corrosion. Given the coastal environment, traditional materials may deteriorate when exposed to salt spray and high humidity. Polyurethane composites are also non-conductive, eliminating the need for grounding, which is especially important for this application.

The Sun Commander Series 8000 generator moves from construction site to construction site throughout Puerto Rico, pulled behind a standard ¾-ton pickup truck. The solar array consists of 36 x 260 watt all-glass panels, creating a total DC system size of 9.36 kilowatts. When not in off-grid use, the versatile Sun Commander generator can be connected to an existing electrical system, helping to reduce the demand on that system by pumping power back onto the grid.

Based on the success of the Sun Commander generator, DNS has expanded its product line with the Sunpoly, according to Bob Eaton, DNS managing partner. "The Sunpoly system is a new, ground-mounted solar racking system manufactured almost entirely from polyurethane composite materials, a first in the industry," he explains.

The lightweight, easy-to-install Sunpoly system supports a pair of 72-cell solar panels in portrait mode and can withstand winds up to 185 miles per hour. Its corrosion-resistant properties help it withstand all types of environments for years of low-maintenance service. The Sunpoly system also has the same non-conductive properties as the Sun Commander generator thanks to its polyurethane composite materials.

"Advanced polyurethane composites are an ideal fit for solar technologies due to their lightweight, non-conductive and rust-resistant properties, and are far superior to traditional materials," said Eric Denison, vice president of polyurethane systems, Covestro LLC. "Sustainability is a core part of our mission at Covestro, and we're proud that DNS continues to use our materials to help advance the adoption of renewable energy sources."

About Covestro LLC:
Covestro LLC is one of the leading producers of high-performance polymers in North America and is part of the global Covestro business, which is among the world's largest polymer companies with 2016 sales of EUR 11.9 billion. Business activities are focused on the manufacture of high-tech polymer materials and the development of innovative solutions for products used in many areas of daily life. The main segments served are the automotive, construction, wood processing and furniture, electrical and electronics, and medical industries. Other sectors include sports and leisure, cosmetics and the chemical industry itself. Covestro has 30 production sites worldwide and employed approximately 15,600 people at the end of 2016.

Find more information at www.covestro.us or www.polyurethanes.covestro.com.

About Day & Night Solar:
Day & Night Solar (DNS) is a turn-key solar integrator of high-quality solar technologies to ensure maximum energy production and efficiency. DNS is focused on the supply and delivery of optimized electrical systems that promote the concepts of conservation and rational use of energy through the implementation of the principles of efficiency, sustainability and reliability.

For more information about Day & Night Solar visit www.dayandnightsolar.com.

Sun Commander and Sunpoly are trademarks of Day and Night Solar, LLC

Forward-Looking Statements
This news release may contain forward-looking statements based on current assumptions and forecasts made by Covestro AG. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Covestro's public reports which are available at www.covestro.com. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.

This press release is available for download from our website. Click here to view all our press releases.

Editor's Note: Follow news from Covestro on Twitter: www.twitter.com/CovestroGroup

Contact
Russell Glorioso
Telephone
+1 412 525 9330
Email
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SOURCE Covestro LLC

Related Links

http://www.covestro.com/en

Read more: Mobile solar solution featuring Covestro...

EBENE, Mauritius--(BUSINESS WIRE)--Azure Power Global Limited (NYSE:AZRE), a leading independent solar power producer in India, today announced its consolidated results under United States Generally Accepted Accounting Principles (“GAAP”) for the second quarter ended September 30, 2017.

Second Quarter 2018 Period Ended September 30, 2017 Operating Highlights:

  • Operating Megawatts were at 803 MW, as of September 30, 2017 an increase of 124% over September 30, 2016.
  • Operating & Committed Megawatts were at 1,381 MW, as of September 30, 2017 an increase of 35% over September 30, 2016.
  • Revenue for the quarter was INR 1,823.8 million (US$27.9 million), an increase of 104% over the quarter ended September 30, 2016.
  • Adjusted EBITDA for the quarter was INR 1,499.5 million (US$23.0 million), an increase of approximately 167% over the quarter ended September 30, 2016.

Key Operating Metrics

Electricity generation during the six months ended September 30, 2017 increased by 306 million kWh, or 111%, to 581 million kWh, compared to the same period in 2016. The increase in electricity generation was principally a result of additional capacity operating during the period.

Total revenue during the six months ended September 30, 2017 was INR 3,701.7 million (US$ 56.7 million), up 93% from INR 1,916.6 million during the same period in 2016. The increase in revenue was primarily driven by the commissioning of new projects.

Project cost per megawatt operating consists of costs incurred for one megawatt of new solar power plant capacity during the reporting period. The project cost per megawatt operating for the six months ended September 30, 2017 decreased by INR 7.0 million (US$ 0.11 million) to INR 51.1 million (US$ 0.78 million), as compared to the same period in 2016. The decline is due to decreasing solar module prices and the reduction in the balance of system costs.

As of September 30, 2017, our operating and committed megawatts increased by 360 MW to 1,381 MW compared to September 30, 2016 as a result of winning new projects.

On October 16, 2017, the Company announced that it has won 250 MW of new projects. This brings the Operating and Committed Megawatt capacity to 1,631 MW.

Nominal Contracted Payments

The Company’s PPAs create long-term recurring customer payments. Nominal contracted payments equal the sum of the estimated payments that the customer is likely to make, subject to discounts or rebates, over the remaining term of the PPAs. When calculating nominal contracted payments, the Company includes those PPAs for projects that are operating or committed. The following table sets forth, with respect to our PPAs, the aggregate nominal contracted payments and total estimated energy output as of the reporting dates. These nominal contracted payments have not been discounted to arrive at the present value.

     
As of September 30,
2016     2017
INR INR     US$
Nominal contracted payments (in thousands) 247,388,527 296,524,749 4,540,961
Total estimated energy output (kilowatt hours in millions) 43,345 60,349
 

Nominal contracted payments increased from September 30, 2016 to September 30, 2017 as a result of the Company entering into additional PPAs. Over time, the Company has seen falling benchmark tariffs as reported by Central Electricity Regulatory Commission, in line with the reduction in solar module prices.

Portfolio Run-Rate

Portfolio run-rate equals annualized payments from customers extrapolated based on the operating and committed capacity as of the reporting dates. In estimating the portfolio run-rate, the Company multiplies the PPA contract price per kilowatt hour by the estimated annual energy output for all operating and committed solar projects as of the reporting date. The estimated annual energy output of the Company’s solar projects is calculated using power generation simulation software and validated by independent engineering firms. The main assumption used in the calculation is the project location, which enables the software to derive the estimated annual energy output from certain meteorological data, including the temperature and solar insolation based on the project location.

The following table sets forth, with respect to the Company’s PPAs, the aggregate portfolio run-rate and estimated annual energy output as of the reporting dates. The portfolio run-rate has not been discounted to arrive at the present value.

      As of September 30,
2016     2017
INR INR     US$
Portfolio run-rate (in thousands) 10,560,382 12,827,890 196,445
Estimated annual energy output (kilowatt hours in millions) 1,856 2,541
 

Portfolio run-rate increased by INR 2,267.5 million (US$ 34.7 million) to INR 12,827 million (US$ 196.4 million) as of September 30, 2017, as compared to September 30, 2016, due to an increase in operational and committed capacity.

Second Quarter Period ended September 30, 2017 Consolidated Financial Results:

Operating Revenue

Operating revenue in the quarter ended September 30, 2017 was INR 1,823.8 million (US$ 27.9 million), an increase of 104% from INR 894.9 million over the same period in 2016. The increase in revenue was driven by the commissioning of new projects.

Cost of Operations

Cost of operations in the quarter ended September 30, 2017 increased by 92% to INR 144.7 million (US$ 2.2 million) from INR 75.4 million in the same period in 2016. The increase was primarily due to plant maintenance cost for newly commissioned projects which was partially offset by the implementation of improved O&M methods which improved plant productivity. This includes INR 17.6 million (US$ 0.3 million) of non-cash expense, which pertains to the amortisation of lease expense.

General and Administrative Expenses

General and administrative expenses for the quarter ended September 30, 2017 decreased by INR 78.8 million (US$ 1.2 million), or 30%, to INR 179.6 million (US$ 2.8 million) compared to the same period in 2016. General and administrative expenses was lower due to lower legal and professional expenses in the current period as compared to same period last fiscal on account of the Company’s Initial Public Offering last year in the same period and due to platform of economies of scale.

Depreciation and Amortization Expenses

Depreciation and amortization expenses during the quarter ended September 30, 2017 increased by INR 216.5 million (US$ 3.3 million), or 88%, to INR 463.0 million (US$ 7.1 million) compared to the same period in 2016. The principal reason for the increase was capitalization of new projects during the period from June 30, 2017 to September 30, 2017.

Interest Expense, Net

Net interest expense during the quarter ended September 30, 2017 increased by INR 1,781.6 million (US$ 27.3 million), or 305%, to INR 2,364.9 million (US$ 36.2 million) compared to the same period in 2016. It includes one-time non-cash write offs of unamortised deferred financing cost of INR 615.5 million (US$ 9.4 million) on account of the solar green bond and in addition, one-time prepayment fees of INR 658.4 million (US$ 10.1 million) for debt refinancing related to the solar green bond. Interest expense increased on account of borrowings for new projects during the quarter ended September 30, 2017.

Loss on Foreign Currency Exchange

The Indian rupee appreciated against the U.S. dollar by INR 0.9 to US$ 1.00 (1.4%) during the period from June 30, 2016 to September 30, 2016, while the Indian rupee depreciated against the U.S. dollar by INR 0.68 to US$ 1.00 (1.1%) during the period from June 30, 2017 to September 30, 2017. This depreciation during the period from June 30, 2017 to September 30, 2017 resulted in a foreign exchange loss of INR 43.0 million (US$ 0.7 million), compared to a gain of INR 76.1 million during the same period in 2016.

Income Tax Expense / Benefit

The income tax benefit increased during the quarter ended September 30, 2017 by INR 77.1 million (US$ 1.2 million) to INR 130.9 million (US$ 2.0 million), compared to the same period in 2016. The increase in the income tax benefit was primarily on account of the commissioning of new projects. During the current quarter, we recorded a deferred income tax benefit amounting to INR 130.9 million (US$ 2.0 million) and there was no cash outflow relating to income taxes during the period.

Net Loss

Net loss for the quarter ended September 30, 2017 was INR 1,240.5 million (US$ 19.0 million), as compared to a net loss of INR 138.9 million for the quarter ended September 30, 2016, an increase in loss of INR 1,101.7 million (US$ 16.9 million) as compared to the same period in 2016. This was primarily due to one-time expenses related to the issuance of solar green bond, and was partially offset due to an increase in revenue during the quarter ended September 30, 2017.

Cash Flow and Working Capital

Cash generated from operating activities for the six months ended September 30, 2017 of INR 227.8 million (US$ 3.5 million), INR 37.7 million (US$ 0.6 million) higher than prior comparable period, primarily due to increase in revenue during the current period.

Cash used in investing activities, for the six months ended September 30, 2017 was INR 5,272.6 million (US$ 80.7 million), compared to INR 5,494.6 million for the prior comparable period. The cash used in investing activities was lower due to higher realization of permitted investments and release of restricted cash from bond offering.

Cash generated from financing activities was INR 15,351.0 (US$ 235.1 million) for the six months ended September 30, 2017, compared to INR 8,329.9 million for the prior comparable period. During the six months ended September 30, 2017, the Company raised INR 40,164.0 million (US$ 615.1 million) of project debt, including green bonds and non-convertible debentures.

Liquidity Position

As of September 30, 2017, the Company had INR 16,530.6 million (US$ 253.1 million) of cash, cash equivalents and current investments. The Company had undrawn project debt commitments of INR 5,359.2 million (US$ 82.1 million) as of September 30, 2017.

Adjusted EBITDA

Adjusted EBITDA was INR 1,499.5 million (US$23.0 million) for the second quarter period ended September 30, 2017, compared to INR 561.1 million in the second quarter period ended September 30, 2016. This was primarily due to the increase in revenue during the period.

Derivatives and Hedging

The Company elected to follow hedge accounting ASC 815 for the derivative contracts related to the green bond issuance and early adopted the FASB amendment ASU 2017-12 during the quarter and recorded a derivative asset of INR 246.0 million (US$ 3.8 million) as of September 30, 2017.

Guidance for Fiscal Year 2018

The following statements are based on current expectations. These statements are forward-looking and actual results may differ materially. The Company continues to expect revenues for fiscal year 2018 ending March 31, 2018 of US$ 118 – 125 million and that 1,000 – 1,200 MW will be operational by March 31, 2018.

Webcast and Conference Call Information

The Company will hold its quarterly conference call to discuss earnings results on Friday, November 10, 2017 at 8:30 a.m. US Eastern Time. The conference call can be accessed live by dialling 1-866-317-6003 (in the U.S.) and 1-412-317-6061 (outside the U.S.) and entering the passcode 3456525. Investors may access a live webcast of this conference call by visiting http://investors.azurepower.com/events-and-presentations. For those unable to listen to the live broadcast, a replay will be available approximately two hours after the conclusion of the call. The replay will remain available until Friday, November 17, 2017 and can be accessed by dialling 1-877-344-7529 (in the U.S.) and 1-412-317-0088 (outside the U.S.) and entering the replay passcode 10113489. An archived podcast will be available at http://investors.azurepower.com/events-and-presentations following the call.

Exchange Rate

This press release contains translations of certain Indian rupee amounts into U.S. dollars at specified rates solely for the convenience of the reader. Unless otherwise stated, the translation of Indian rupees into U.S. dollars has been made at INR 65.3 to US$ 1.00, which is the noon buying rate in New York City for cable transfer in non-U.S. currencies as certified for customs purposes by the Federal Reserve Bank of New York on September 30, 2017. The Company makes no representation that the Indian rupee or U.S. dollar amounts referred to in this press release could have been converted into U.S. dollars or Indian rupees, as the case may be, at any particular rate or at all.

About Azure Power Global Limited

Azure Power is a leading independent solar power producer in India. Azure Power developed India’s first private utility scale solar project in 2009 and has been at the forefront in the sector as a developer, constructor and operator of utility scale, micro-grid and rooftop solar projects since its inception in 2008. With its inhouse engineering, procurement and construction expertise and advanced in-house operations and maintenance capability, Azure Power manages the entire development and operation process, providing low-cost solar power solutions to customers throughout India.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended and the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s future financial and operating guidance, operational and financial results such as estimates of nominal contracted payments remaining and portfolio run rate, and the assumptions related to the calculation of the foregoing metrics. The risks and uncertainties that could cause the Company’s results to differ materially from those expressed or implied by such forward-looking statements include: the availability of additional financing on acceptable terms; changes in the commercial and retail prices of traditional utility generated electricity; changes in tariffs at which long term PPAs are entered into; changes in policies and regulations including net metering and interconnection limits or caps; the availability of rebates, tax credits and other incentives; the availability of solar panels and other raw materials; its limited operating history, particularly as a new public company; its ability to attract and retain its relationships with third parties, including its solar partners; our ability to meet the covenants in its debt facilities; meteorological conditions and such other risks identified in the registration statements and reports that the Company has filed with the U.S. Securities and Exchange Commission, or SEC, from time to time. All forward-looking statements in this press release are based on information available to us as of the date hereof, and the Company assumes no obligation to update these forward-looking statements.

Use of Non-GAAP Financial Measures

Adjusted EBITDA is a non-GAAP financial measure. The Company presents Adjusted EBITDA as a supplemental measure of its performance. This measurement is not recognized in accordance with GAAP and should not be viewed as an alternative to GAAP measures of performance. The presentation of Adjusted EBITDA should not be construed as an inference that the Company’s future results will be unaffected by unusual or non-recurring items.

The Company defines Adjusted EBITDA as net loss (income) plus (a) income tax expense, (b) interest expense, net, (c) depreciation and amortization, and (d) loss (income) on foreign currency exchange. The Company believes Adjusted EBITDA is useful to investors in evaluating our operating performance because:

  • securities analysts and other interested parties use such calculations as a measure of financial performance and debt service capabilities; and
  • it is used by its management for internal reporting and planning purposes, including aspects of its consolidated operating budget and capital expenditures.

Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of the Company’s results as reported under GAAP. Some of these limitations include:

  • it does not reflect its cash expenditures or future requirements for capital expenditures or contractual commitments or foreign exchange gain/loss;
  • it does not reflect changes in, or cash requirements for, working capital;
  • it does not reflect significant interest expense or the cash requirements necessary to service interest or principal payments on its outstanding debt;
  • it does not reflect payments made or future requirements for income taxes; and
  • although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or paid in the future and Adjusted EBITDA does not reflect cash requirements for such replacements or payments.

Investors are encouraged to evaluate each adjustment and the reasons the Company considers it appropriate for supplemental analysis. For more information, please see the table captioned “Reconciliations of Non-GAAP Measures to the Nearest Comparable GAAP Measures” at the end of this release.

Investor Relation Contacts:

For investor enquiries, please contact Nathan Judge, CFA at This email address is being protected from spambots. You need JavaScript enabled to view it.. For media related information, please contact Samitla Subba at This email address is being protected from spambots. You need JavaScript enabled to view it..

 

AZURE POWER GLOBAL LIMITED
CONDENSED CONSOLIDATED BALANCE SHEETS

 
    As of     As of
March 31, September 30,
2017 2017     2017
(INR) (INR) (US$)
(in thousands, except per share data)
Assets
Current assets:
Cash and cash equivalents 5,460,670 15,431,992 236,325
Investments in available for sale securities 3,296,797 1,098,650 16,825
Restricted cash 3,629,037 1,745,223 26,726
Accounts receivable, net 1,138,605 1,747,726 26,765
Prepaid expenses and other current assets 495,937 741,082 11,349
Total current assets 14,021,046 20,764,673 317,990
Restricted cash 1,383,414 1,246,917 19,095
Property, plant and equipment, net 40,942,608 48,939,141 749,451
Software, net 15,272 18,108 277
Deferred income taxes 31,429 419,751 6,428
Investments in held-to-maturity securities 6,631 6,992 107
Other assets 1,093,565 705,635 10,806
Total assets 57,493,965 72,101,217 1,104,154
Liabilities and shareholders’ equity
Current liabilities:
Short-term debt 2,460,240 922,090 14,121
Accounts payable 3,618,251 3,035,158 46,480
Current portion of long-term debt 1,554,806 971,443 14,877
Income taxes payable 232,420 232,420 3,559
Interest payable 189,309 317,377 4,860
Deferred revenue 79,937 79,780 1,222
Other liabilities 484,477 549,477 8,415
Total current liabilities 8,619,440 6,107,745 93,534
Long-term debt 31,142,762 49,884,082 763,922
Deferred revenue 1,383,691 1,381,951 21,163
Deferred income taxes 1,078,255 656,917 10,060
Asset retirement obligations 242,980 275,685 4,221
Other liabilities 109,151 142,240 2,179
Total liabilities 42,576,279 58,448,620 895,079
Redeemable non-controlling interest 390,827 412,925 6,324
Shareholders’ equity
Equity shares, US$ 0.000625 par value; 25,915,956 and 25,985,057 shares issued and
outstanding as of March 31, 2017 and September 30, 2017 1,073 1,076 16
Additional paid-in capital 18,904,151 18,927,407 289,853
Accumulated deficit (5,723,420) (6,625,182) (101,458)
Accumulated other comprehensive income (loss) 40,326 (299,046) (4,580)
Total APGL shareholders’ equity 13,222,130 12,004,255 183,831
Non-controlling interest 1,304,729 1,235,417 18,920
Total shareholders’ equity 14,526,859 13,239,672 202,751
Total liabilities and shareholders’ equity 57,493,965 72,101,217 1,104,154
 
 

AZURE POWER GLOBAL LIMITED
UNAUDITED INTERIM CONSOLIDATED INCOME STATEMENTS

 
    Three months ended September 30,   Six months ended September 30,
2016   2017   2017 2016   2017   2017
INR INR US$ INR INR US$
(in thousands, except per share data)
Operating revenues:
Sale of power 894,911 1,823,797 27,930 1,916,604 3,701,729 56,688
Operating costs and expenses:
Cost of operations (exclusive of depreciation and
amortization shown separately below) 75,371 144,689 2,215 161,886 318,213 4,873
General and administrative 258,425 179,609 2,751 415,509 414,682 6,350
Depreciation and amortization 246,543 462,999 7,090 482,301 882,737 13,518
Total operating cost and expenses 580,339 787,297 12,056 1,059,696 1,615,632 24,741
Operating income 314,572 1,036,500 15,874 856,908 2,086,097 31,947
Other expense:
Interest expense, net 583,390 2,364,946 36,217 1,250,388 3,204,585 49,075
(Gain) / Loss on foreign currency exchange, net (76,127) 43,017 659 64,532 38,259 586
Total other expenses 507,263 2,407,963 36,876 1,314,920 3,242,844 49,661
Loss before income tax (192,691) (1,371,463) (21,002) (458,012) (1,156,747) (17,714)
Income tax benefit 53,820 130,934 2,005 87,468 123,075 1,885
Net loss (138,871) (1,240,529) (18,997)

(370,544)

(1,033,672)

(15,829)
Net income (loss) attributable to non-controlling interest 4,223 (170,901) (2,617) (1,561) (134,155) (2,053)
Net loss attributable to APGL (143,094) (1,069,628) (16,380) (368,983) (899,517) (13,776)
Accretion to Mezzanine CCPS (72,160) (194,670)
Accretion to redeemable non-controlling interest (11,109) (11,109) (170) (22,097) (22,097) (338)
Net loss attributable to APGL equity shareholders (226,363) (1,080,737) (16,550) (585,750) (921,614) (14,114)
Net loss per share attributable to APGL equity
stockholders
Basic and diluted (129) (42) (0.64) (333) (36) (0.54)
Shares used in computing basic and diluted per share
amounts
Equity shares 1,758,080 25,983,264 1,758,080 25,959,786
 
 

AZURE POWER GLOBAL LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

 
    Three months ended September 30,   Six months ended September 30,
2016   2017   2017 2016   2017   2017
INR INR US$ INR INR US$
(in thousands)
Net cash provided by/(used in) operating activities 308,509 (193,533) (2,964) 190,116 227,822 3,489
Net cash used in investing activities (4,385,433) (1,955,708) (29,950) (5,494,626) (5,272,618) (80,745)
Net cash provided by financing activities 7,104,592 12,890,666 197,407 8,329,910 15,350,955 235,084
 

RECONCILIATIONS OF NON-GAAP MEASURES TO THE NEAREST COMPARABLE GAAP MEASURES

The table below sets forth a reconciliation of our income from operations to Adjusted EBITDA for the periods indicated:

     
Three months ended September 30, Six months ended September 30,
2016   2017   2017 2016   2017   2017
INR INR US$ INR INR US$
(in thousands)
Net Loss (138,871) (1,240,529) (18,997) (370,544) (1,033,672) (15,829)
Income tax benefit (53,820) (130,934) (2,005) (87,468) (123,075) (1,885)
Interest expense, net 583,390 2,364,946 36,217 1,250,388 3,204,585 49,075
Depreciation and amortization 246,543 462,999 7,090 482,301 882,737 13,518
(Gain)/Loss on Foreign currency exchange, net (76,127) 43,017 659 64,532 38,259 586
Adjusted EBITDA 561,115 1,499,499 22,964 1,339,209 2,968,834 45,465
 
Read more: Azure Power Announces Results for Fiscal Second...

SAN JOSE, Calif., Nov. 10, 2017 /PRNewswire/ -- BuildingGreen – a trusted, independent source among builders for over 30 years – has long recognized green building products that help transform the industry by conserving energy and water, reducing emissions, and improving the overall environmental impact of physical structures. Today, SunPower (NASDAQ: SPWR) announces that its solar carport solutions are being recognized as one of BuildingGreen's top 10 recommended products for 2018.

Recognizing the Most Innovative, Green Products Transforming the Building Industry and Earning Customers More LEED Points
Recognizing the Most Innovative, Green Products Transforming the Building Industry and Earning Customers More LEED Points

"Our annual, Top 10 Green Building Products list represents the most exciting new innovations and biggest breakthroughs in health and environmental performance across all major building product sectors," said Brent Ehrlich, BuildingGreen's products and materials specialist. "We selected SunPower's carport solutions for their use of underutilized spaces, and for their multi-functional structural designs that can incorporate graywater and EV charging. SunPower's efficient solar panels are also Cradle to Cradle Certified™ Silver and can count toward LEED credits."

Drawing on decades of experience, SunPower has designed and engineered a suite of commercial solar carport solutions that efficiently monetize available space such as ground-level parking lots and the tops of parking garages. SunPower® E-Series or X-Series direct current solar panels can be affixed to the top of the carports, generating clean electricity and providing shade to vehicles underneath. These top-performing solar panels generate 45 percent more energy in the same space over 25 years when compared to conventional panels, contributing up to 35 percent of the credits required for the U.S. Green Building Council's LEED certification. They are also the first and only solar panels to receive Cradle to Cradle Certified™ Silver designation which demonstrates a product's quality based on five categories: material health, material reutilization, renewable energy use, water stewardship and social fairness.

"Our carports are sustainable, innovative solutions for companies looking to achieve reliable energy cost savings with solar while optimizing land use and adding an elegant, multi-functional feature to campuses that employees benefit from as well," said Norm Taffe, SunPower's executive vice president of products. "We are proud to see SunPower's solar carport offerings recognized by reputable experts knowledgeable in sustainable building and design, and look forward to delivering superior performance and value to more customers with our leading energy solutions."

SunPower's integrated carport designs also offer add-on features including water management, energy storage, electric vehicle charging, and energy-efficient lighting, giving customers more ways to enhance corporate sustainability efforts. To see how SunPower's broad range of carport solutions are meeting unique customer needs nationwide, visit www.sunpower.com/carport.    

About SunPower

As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.

SunPower's Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, cost savings, and anticipated product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.

©2017 SunPower Corporation.  All Rights Reserved.  SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.

View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-solar-carport-solutions-earn-spot-on-buildinggreens-top-10-products-for-2018-300553720.html

SOURCE SunPower Corp.

Related Links

https://www.sunpower.com
http://newsroom.sunpower.com

Read more: SunPower Solar Carport Solutions Earn Spot on...

SANTA CLARA, Calif., Nov. 9, 2017 /PRNewswire/ -- Vista Solar, a SunPower Commercial Dealer, has been chosen by Shelter Creek Condominiums, a 1,296 unit multi-family development, to design and install a 2.5-megawatt high efficiency SunPower solar project in San Bruno, Calif.  There will be eight phases of construction of the rooftop solar system. Once complete, the solar system will offset over 70 percent of the community's annual electricity usage.

"As one of the largest multi-family developments in San Mateo County, and having just completed the installation of Fiber Optic connections to each condo through the, 'Fiber to the Home' Project enabled by the City of San Bruno and San Bruno Cable, we believe Shelter Creek has set the bar for advanced technology," said Ronnie Rosen, General Manager of Shelter Creek.

"This solar installation adds immense value to the community," Rosen continued. "It complements our California Energy Commission-granted electric vehicle charging stations, LED lighting components in the common areas, renewable energy recycling, composting, and sustainability through the 'no neonicotinoid pesticide' policy for our on-site apiary, or honey bee super hives."

With a 25-year Combined Power and Product Warranty, SunPower's high efficiency solar panels maximize solar energy generation in limited space. The Shelter Creek solar installation is expected to generate 3,632,773 kilowatt-hours annually - equivalent to removing 579 cars from the road, powering 292 homes, or saving 2,957,956 pounds of coal from being burned.

"Shelter Creek's a clear example of a community taking sustainability measures into its own hands," said Brian Brogan, Lead Project Developer at Vista Solar. "It's an honor to have the opportunity to provide clean renewable energy to this community for the next 25+ years."

About Shelter Creek Condominiums

Shelter Creek Condominiums is one of the premier living communities of the San Francisco Peninsula. The 1,296 condominium style homes are built around open reserve areas. More information here: http://www.sheltercreekcoa.com/

About Vista Solar Inc.

Vista Solar is an award-winning solar design and installation firm serving the commercial, agricultural, and non-profit markets throughout California. Vista Solar offers $0-down financing solutions, allowing businesses to slash their utility bills without any capital outlay. Learn more information on your potential savings here: http://vista-solar.com/see-your-savings/

View original content:http://www.prnewswire.com/news-releases/vista-solar-announces-25-megawatt-sunpower-solar-power-system-at-shelter-creek-condominiums-300552744.html

SOURCE Vista Solar, Inc.

Related Links

http://vista-solar.com

Read more: Vista Solar Announces 2.5-Megawatt SunPower...

LONDON--(BUSINESS WIRE)--Technavio’s latest market research report on the global solar-powered UAV market provides an analysis of the most important trends expected to impact the market outlook from 2017-2021. Technavio defines an emerging trend as a factor that has the potential to significantly impact the market and contribute to its growth or decline.

One of the key drivers contributing to the growth of the global solar-powered UAV market is the focus on greater use of renewable energy sources. For ages, to drive any kind of engine or motor, the best-known source of energy is fossil fuels. Owing to their consumption levels reaching extremes, they are currently experiencing threats of extinction. Therefore, the focus on the use of renewable energy or alternative energy derived from replenishable sources is rising.

This report is available at a USD 1,000 discount for a limited time only: View market snapshot before purchasing

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The three emerging market trends driving global solar-powered UAV market according to Technavio research analysts are:

  • Advancements in solar power technologies
  • Emergence of hybrid drones
  • Increasing deployment of UAVs in emerging nations

Looking for more information on this market? Request a free sample report

Technavio’s sample reports are free of charge and contain multiple sections of the report including the market size and forecast, drivers, challenges, trends, and more.

Advancements in solar power technologies

Many private and government entities are developing and adopting new, advanced, and innovative solar energy-based technologies such as solar-powered UAVs. This is because the concerns over growing depletion of fossil fuels and concerns relating to climate change due to increased CO2 emissions by the aviation industry (one of the factors) is rising. Several advancements have been achieved by the power generation capacity of solar energy.

According to Moutushi Saha, a lead analyst at Technavio for defense research, “Solar energy has been extensively used for numerous applications such as generation of power for buildings, heating water, and solar cooking for many years. Aircrafts are also integrating solar cell technology without affecting their payload or aerodynamics. For instance, an American-based start-up, Alta Devices, developed thin layers or sheets of solar cells using gallium arsenide, which can be easily integrated into curved and limited-area surfaces.”

Emergence of hybrid drones

Previously, only one kind of propulsion system was used to drive the drones and either electricity, battery, or gasoline were used to fuel them. Over time, there has been a development of hybrid drones owing to the advancements in the field of drones. There are two types of energy sources on which the hybrid drones run. They are either gasoline and electricity, or solar cell technology coupled with energy storage batteries, or solar cell technology coupled with a gasoline propulsion system.

“In 2017, Skyfront launched a long-endurance, hybrid gasoline-electric quadrotor called Skyfront Tailwind. It can fly for up to five hours and possesses the capability of vertical take-off and landing. Similarly, hybrid UAVs that will use solar cell technology and new energy storage and propulsion technologies, are being developed by the University of Minnesota so that a full-day or multi-day flight can be achieved,” says Moutushi.

Increasing deployment of UAVs in emerging nations

In emerging countries, there has been a rapid increase in the use of UAVs. During the forecast period, the demand for both conventional and technologically advanced UAVs is expected to rise because of the continuing regional tensions, coupled with the need for enhanced surveillance.

In African countries, there is an increased demand for UAVs, specifically for defense applications. Several developed countries have volunteered to cater to this demand. For instance, in a trade conference held in Pretoria, South Africa, in May 2016, 20 UK-based companies stated their interest to expand businesses and establish partnerships with local companies in the country.

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Read more: Top Trends in Solar-Powered UAV Market - Technavio

BEIJING, Nov. 10, 2017 /PRNewswire/ -- As anticipated, U.S. president Donald Trump and his business delegation have energy high on the agenda for their official visit to Beijing. Yesterday representatives from the two countries confirmed $250 billion in deals, among which energy businesses figure prominently. As a global leading thin-film solar power company, Hanergy believes that the transactions between the two countries will greatly benefit the cooperation and the development of energy industry. As these companies move forward in their business with China, they might look to Hanergy's business presence in America as a model of win-win US-China cooperation.

For the past few years, Hanergy has been actively pushing forward the US-China clean energy industry with its farsighted investments in thin film solar technology. Hanergy has acquired three US thin film solar companies -- MiaSolé, Alta Devices, and Global Solar Energy, revitalizing them and bringing technological advantages together to expand the scope of the thin film solar industry to the entire globe within just a few years.

Following the acquisition and successful technological integration of three U.S. thin-film solar companies, Hanergy's subsidiaries have realized significant synergies. Hanergy continuously invests in research and development, enhancing the vitality of U.S. companies. In December 2012, Hanergy acquired Silicon Valley based solar company MiaSolé, the world leader in Copper Indium Gallium Selenide (CIGS) solar technology. In the five years since the acquisition, the money poured into research and development has allowed the company to increase the conversation efficiency of its solar cells at an average rate of 1 percent a year, eventually attaining its current conversion efficiency of 18%  -- the world's highest for sputtering CIGS flexible modules.

Meanwhile, through global technical integration and independent innovation, Hanergy has become a world leader in thin-film solar technology, holding five world records in conversion efficiency. As of October 2017, the company holds over 2000 patents. In addition, Hanergy has over 1,800 employees working in R&D, including world leading experts on semiconductors and photovoltaics.

Hanergy has also brought thin film solar technology to China, contributing to the green transformation of the country's energy mix. In July 2017, Hanergy launched Hantile, a new product combining highly efficient solar cells with traditional roof tiles. When deployed at a large scale, the tiles can abate significant amounts of carbon, making homes and buildings more eco-friendly. On the transportation side, Hanergy's U.S. subsidiary Alta Devices works with German car maker Audi to integrate solar cells into panoramic glass automobile roofs. Hanergy is also cooperating with major bike sharing companies, including Mobike, 99 Bicycle and MTBike to integrate thin-film solar panels into the bodies of more than 15 million bicycles over the next three years. 

Media contact

Danning Wang
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Phone: +86(10) 83914567 ext 3118

View original content:http://www.prnewswire.com/news-releases/with-energy-on-the-agenda-for-trump-visit-to-beijing-hanergy-is-a-model-of-win-win-us-china-cooperation-300553787.html

SOURCE Hanergy Holding Group

Read more: With Energy on the Agenda for Trump Visit to...

KINGSBURG, Calif., Nov. 9, 2017 /PRNewswire/ -- On November 8th, Selma-Kingsburg-Fowler County Sanitation District (SKFCSD) celebrated a major milestone in the implementation of its new energy program with two ENGIE North America companies, OpTerra Energy Services and Green Charge. During a groundbreaking event on Wednesday, District stakeholders, project engineers and contractors, and local elected officials commemorated the beginning of the clean energy generation and storage program that will help power treatment facilities across all 550 acres of S-K-F CSD service territory. As a result of the integrated solar, battery storage, and other conservation technology upgrades across the District, S-K-F CSD will save $14.7 million in energy and maintenance costs over the span of the program.

Selma-Kingsburg-Fowler County Sanitation District Leadership break ground on the new 2.4MW solar and 500 kW/1,000 kWh energy storage system during a project kick-off event on Wednesday, November 8, 2017. The large-scale program is being designed and implemented by ENGIE North America companies OpTerra Energy Services and Green Charge, with completion expected in summer 2018.
Selma-Kingsburg-Fowler County Sanitation District Leadership break ground on the new 2.4MW solar and 500 kW/1,000 kWh energy storage system during a project kick-off event on Wednesday, November 8, 2017. The large-scale program is being designed and implemented by ENGIE North America companies OpTerra Energy Services and Green Charge, with completion expected in summer 2018.

Maintaining Excellent Service, Integrating Energy Technology
Selma-Kingsburg-Fowler County Sanitation District provides collection, treatment, and disposal of wastewater for nearly 43,000 Fresno County residents – managing nearly 11,300 residential, commercial, institutional, and industrial treatment connections. With so many customers relying on S-K-F CSD, it was essential to create a "living" energy program plan that would hedge against rising energy costs and be able to adapt to ongoing community growth.

More than 2.4 megawatts of solar photovoltaics (PV) will be installed at the Wastewater Treatment Plant, along with a solar parking structure at the Administration Building. A 500 kW/1,000 kWh energy storage battery system and other key energy efficiency measures such as HVAC unit replacements and LED lighting retrofits will supplement the solar implementation. By installing the solar system under Net Energy Metering (NEM), the District will receive full compensation from Pacific Gas & Electric for all the electricity generated by the solar projects at any time. With the new battery storage technology, S-K-F CSD will avoid paying peak demand charges from the utility by flattening its load. OpTerra is also working with S-K-F CSD to design the system to accommodate future plant expansion.

Future Benefits
With the multi-tiered solutions underway, S-K-F CSD is looking forward to delivering positive economic, environmental, and community impacts for its customers in the Fresno area. Expected, future benefits include:

  • Saving $14.7 million in energy costs over the life of the 20-year program
  • Reducing District electricity spend by 70%
  • Creating the equivalent of 244 jobs resulting from the economic multiplier effect
  • Reducing carbon emissions equivalent to removing 700 cars from the road, annually

As Chairman of the District, David Cárdenas, shared, "Our District is excited to implement a program that will not only save us $14.7 million in energy costs, but also allow us to demonstrate the positive fiscal and environmental impact of leading-edge solar and energy storage solutions to our customers across Fresno and to other public agencies statewide."

The program is currently in the construction phase and is expected to be completed by summer 2018.

About Selma-Kingsburg-Fowler County Sanitation District:
For more information about S-K-F CSD, visit http://www.skfcsd.org/.

About OpTerra Energy Services:
OpTerra Energy Services is a national energy company that works with education, local government, commercial, industrial, and institutional organizations to implement efficiency and sustainable energy solutions that save money, enhance safety, improve assets, and protect the environment. As a subsidiary of ENGIE, the number one energy efficiency services provider in the world, OpTerra Energy Services provides a unique and extensive set of energy and sustainability management services to thousands of customers across the U.S. The company has provided more than $2 billion in energy savings for its customers over the past 40 years. For more information, please visit www.opterraenergy.com or contact Lani Wild, Communications Manager, at 415-735-9080.

View original content with multimedia:http://www.prnewswire.com/news-releases/selma-kingsburg-fowler-county-sanitation-district-to-save-147-million-in-energy-costs-with-integrated-solar-and-battery-storage-300553264.html

SOURCE OpTerra Energy Services

Related Links

http://www.opterraenergy.com

Read more: Selma-Kingsburg-Fowler County Sanitation...

KINGSBURG, Calif., Nov. 9, 2017 /PRNewswire/ -- On November 8th, Selma-Kingsburg-Fowler County Sanitation District (SKFCSD) celebrated a major milestone in the implementation of its new energy program with two ENGIE North America companies, OpTerra Energy Services and Green Charge. During a groundbreaking event on Wednesday, District stakeholders, project engineers and contractors, and local elected officials commemorated the beginning of the clean energy generation and storage program that will help power treatment facilities across all 550 acres of S-K-F CSD service territory. As a result of the integrated solar, battery storage, and other conservation technology upgrades across the District, S-K-F CSD will save $14.7 million in energy and maintenance costs over the span of the program.

Selma-Kingsburg-Fowler County Sanitation District Leadership break ground on the new 2.4MW solar and 500 kW/1,000 kWh energy storage system during a project kick-off event on Wednesday, November 8, 2017. The large-scale program is being designed and implemented by ENGIE North America companies OpTerra Energy Services and Green Charge, with completion expected in summer 2018.
Selma-Kingsburg-Fowler County Sanitation District Leadership break ground on the new 2.4MW solar and 500 kW/1,000 kWh energy storage system during a project kick-off event on Wednesday, November 8, 2017. The large-scale program is being designed and implemented by ENGIE North America companies OpTerra Energy Services and Green Charge, with completion expected in summer 2018.

Maintaining Excellent Service, Integrating Energy Technology
Selma-Kingsburg-Fowler County Sanitation District provides collection, treatment, and disposal of wastewater for nearly 43,000 Fresno County residents – managing nearly 11,300 residential, commercial, institutional, and industrial treatment connections. With so many customers relying on S-K-F CSD, it was essential to create a "living" energy program plan that would hedge against rising energy costs and be able to adapt to ongoing community growth.

More than 2.4 megawatts of solar photovoltaics (PV) will be installed at the Wastewater Treatment Plant, along with a solar parking structure at the Administration Building. A 500 kW/1,000 kWh energy storage battery system and other key energy efficiency measures such as HVAC unit replacements and LED lighting retrofits will supplement the solar implementation. By installing the solar system under Net Energy Metering (NEM), the District will receive full compensation from Pacific Gas & Electric for all the electricity generated by the solar projects at any time. With the new battery storage technology, S-K-F CSD will avoid paying peak demand charges from the utility by flattening its load. OpTerra is also working with S-K-F CSD to design the system to accommodate future plant expansion.

Future Benefits
With the multi-tiered solutions underway, S-K-F CSD is looking forward to delivering positive economic, environmental, and community impacts for its customers in the Fresno area. Expected, future benefits include:

  • Saving $14.7 million in energy costs over the life of the 20-year program
  • Reducing District electricity spend by 70%
  • Creating the equivalent of 244 jobs resulting from the economic multiplier effect
  • Reducing carbon emissions equivalent to removing 700 cars from the road, annually

As Chairman of the District, David Cárdenas, shared, "Our District is excited to implement a program that will not only save us $14.7 million in energy costs, but also allow us to demonstrate the positive fiscal and environmental impact of leading-edge solar and energy storage solutions to our customers across Fresno and to other public agencies statewide."

The program is currently in the construction phase and is expected to be completed by summer 2018.

About Selma-Kingsburg-Fowler County Sanitation District:
For more information about S-K-F CSD, visit http://www.skfcsd.org/.

About OpTerra Energy Services:
OpTerra Energy Services is a national energy company that works with education, local government, commercial, industrial, and institutional organizations to implement efficiency and sustainable energy solutions that save money, enhance safety, improve assets, and protect the environment. As a subsidiary of ENGIE, the number one energy efficiency services provider in the world, OpTerra Energy Services provides a unique and extensive set of energy and sustainability management services to thousands of customers across the U.S. The company has provided more than $2 billion in energy savings for its customers over the past 40 years. For more information, please visit www.opterraenergy.com or contact Lani Wild, Communications Manager, at 415-735-9080.

View original content with multimedia:http://www.prnewswire.com/news-releases/selma-kingsburg-fowler-county-sanitation-district-to-save-147-million-in-energy-costs-with-integrated-solar-and-battery-storage-300553264.html

SOURCE OpTerra Energy Services

Related Links

http://www.opterraenergy.com

Read more: Selma-Kingsburg-Fowler County Sanitation...

SEOUL, South Korea, Nov. 10, 2017 /PRNewswire/ -- Hanwha Q CELLS Co., Ltd. ("Hanwha Q CELLS" or the "Company") (NASDAQ: HQCL), a global leading photovoltaic manufacturer of high-performance, high-quality solar modules, today reported its unaudited financial results for the third quarter ended September 30, 2017. The Company will host a conference call to discuss the results at 8:00 am Eastern Time (10:00 pm Korea Standard Time) on November 10, 2017.

Third Quarter 2017 Highlights

  • Net revenues were $543.0 million, compared with $577.7 million in the second quarter of 2017 and $707.8 million in the third quarter of 2016.
  • Gross margin was 11.6%, compared with 11.6% in the second quarter of 2017 and 19.9% in the third quarter of 2016.
  • Operating income was $10.6 million, compared with operating income of $20.1 million in the second quarter of 2017 and operating income of $72.4 million in the third quarter of 2016.
  • Net income attributable to Company's ordinary shareholders was $5.0 million, compared with net income of $18.7 million in the second quarter of 2017 and net income of $41.7 million in the third quarter of 2016.
  • Earnings per fully diluted American Depositary Share ("ADS" and each ADS represents 50 of the Company's ordinary shares) were $0.06, compared with earnings per fully diluted ADS of $0.22 in the second quarter of 2017 and earnings per fully diluted ADS of $0.50 in the third quarter of 2016.

Mr. Jay Seo, CFO of Hanwha Q CELLS, said that the Company's "third quarter results were in-line with the Company's guidance set forth in Q2," and that the downward pressure on gross margin, caused primarily by increasing wafer prices, was partially off-set by cell and module processing cost reduction."

Mr. Moon Seong Choi, the Company's new SVP of Corporate Planning, commented that the Company will have a total of 8GW of nameplate module capacity at year-end when including Hanwha Q CELLS Korea's manufacturing capacity. Mr. Choi discussed the expected impacts of Section 201, stating that the utility segment demand in the U.S. is not expected to decrease drastically following the ITC recommendation which was less than the remedies requested by the petitioners.

Third Quarter 2017 Results of Operations

Net Revenues

  • Total net revenues were $543.0 million, down 6.0% from $577.7 million in the second quarter of 2017 and down 23.3% from $707.8 million in the third quarter of 2016.

Gross Profit and Margin

  • Gross profit in the third quarter of 2017 was $63.2 million, compared with $67.2 million in the second quarter of 2017 and $140.5 million in the third quarter of 2016.
  • Gross margin in the third quarter of 2017 was 11.6%, compared with 11.6% in the second quarter of 2017 and 19.9% in the third quarter of 2016.

Income from Operations and Operating Margin

  • Income from operations in the third quarter of 2017 was $10.6 million, compared with $20.1 million in the second quarter of 2017 and $72.4 million in the third quarter of 2016.
  • Operating margin in the third quarter of 2017 was 2.0%, compared with 3.5% in the second quarter of 2017 and 10.2% in the third quarter of 2016.
  • Total operating expenses were $52.6 million in the third quarter of 2017, up 11.7% from $47.1 million in the second quarter of 2017 and down 22.8% from $68.1 million in the third quarter of 2016.
  • Selling and marketing expenses were $30.6 million in the third quarter of 2017, up 3.7% from $29.5 million in the second quarter of 2017 and down 15.9% from $36.4 million in the third quarter of 2016.
  • General and administrative expenses were $17.4 million in the third quarter of 2017, up 28.9% from $13.5 million in the second quarter of 2017 and down 11.7% from $19.7 million in the third quarter of 2016.
  • Research and development expenses were $4.6 million in the third quarter of 2017, up 12.2% from $4.1 million in the second quarter of 2017 and down 61.7% from $12.0 million in the third quarter of 2016.

Net Interest Expense

  • Net interest expense was $10.0 million in the third quarter of 2017, compared with $9.2 million in the second quarter of 2017 and $12.4 million in the third quarter of 2016.

Foreign Currency Exchange Gain (Loss)

  • Net foreign currency exchange gain was $7.3 million in the third quarter of 2017, compared with a gain of $7.1 million in the second quarter of 2017 and a loss of $2.3 million in the third quarter of 2016.

Gain (loss) on Change in Fair Value of Derivative Contracts

  • The Company recorded a net loss of $0.6 million in the third quarter of 2017 from the change in fair value of derivatives in hedging activities, compared with a net loss of $3.0 million in the second quarter of 2017 and a net loss of $2.1 million in the third quarter of 2016.

Income Tax Expense (Benefit)

  • Income tax expense was $2.5 million in the third quarter of 2017, compared with an income tax benefit of $3.0 million in the second quarter of 2017 and an income tax expense of $10.3 million in the third quarter of 2016.

Net Income (Loss) and Earnings (Loss) per ADS

  • Net income attributable to Company's ordinary shareholders was $5.0 million in the third quarter of 2017, compared with net income of $18.7 million in the second quarter of 2017 and net income of $41.7 million in the third quarter of 2016.
  • Earnings per fully diluted ADS on a GAAP basis were $0.06 in the third quarter of 2017, compared with $0.22 in the second quarter of 2017 and $0.50 in the third quarter of 2016.

Third Quarter 2017 Financial Position

As of September 30, 2017, the Company had cash and cash equivalents of $245.6 million, compared with $331.0 million as of June 30, 2017. The restricted cash as of September 30, 2017 was $113.4 million, compared with $95.0 million as of June 30, 2017.

As of September 30, 2017, accounts receivable was $391.1 million, compared with $358.4 million, as of June 30, 2017. Inventories were $350.7 million as of September 30, 2017, compared with $337.2 million as of June 30, 2017.

As of September 30, 2017, accounts payable was $429.2 million, compared with $407.8 million, as of June 30, 2017.

Total short-term bank borrowings (including the current portion of long-term bank borrowings) were $744.1 million, an increase of $108.6 million from the second quarter of 2017, due to proceeds from additional borrowings in China.

As of September 30, 2017, the Company had total long-term debt (net of current portion and long-term notes) of $336.8 million, an increase of $0.7 million from the second quarter of 2017. The Company's long-term debt is comprised of bank and government borrowings, to be repaid in installments until their maturities, ranging from one to fourteen years.

Capital expenditures were $26.6 million in the third quarter of 2017.

Operations Updates

Production Capacity

As of September 30, 2017, the Company's in-house, annualized production capacities were 1,600 MW for ingot, 1,050 MW for wafer, 4,300 MW for cell and 4,300 MW for module.

By the end of this year, we expect our annual nameplate capacities to reach 1,600 MW for ingot, 1,100 MW for wafer, 4,300 MW for cell and 4,300 MW for module.

Furthermore, the Company has additional module availability of up to 2,100 MW (annualized) as of September 30, 2017 from Hanwha Q CELLS Korea Corporation, an affiliate of the Company. Hanwha Q CELLS Korea Corporation is currently ramping-up its capacity with expected capacity of approximately 3,700 MW by year-end.

Business Outlook

Fourth Quarter and Full Year 2017 Guidance

For the fourth quarter of 2017, the Company estimates net revenues in the range of $610 million to $630 million.

For the full year 2017, the Company reiterates its previous guidance of:

  • Total module shipments in the range of 5,500 to 5,700 MW
  • Revenue-recognized module shipments in the range of 5,300 to 5,500 MW
  • Capital expenditures of approximately $70 million for manufacturing technology upgrades and certain R&D related expenditures

Conference Call

The Company will host a conference call to discuss the results at 8:00 am Eastern Time (10:00 pm Korea Standard Time) on November 10, 2017. The management will discuss the results and take questions following the prepared remarks.

A live webcast of the conference call will be available on the investor relations section of the Company's website at www.hanwha-qcells.com or by clicking the following hyperlink: https://edge.media-server.com/m6/p/dcywj8kq.

The dial-in details for the live conference call are as follows:

International Toll Free Dial-In Number

+65 6713-5090

United States

+1 (845)675-0437

South Korea

+82 2-6490-3660

Germany

08001820671

United Kingdom

China, Domestic

Hong Kong

+44 2036214779

4006208038 / 8008190121

+852 30186771

Passcode: HQCL

A replay of the call will be available after the conclusion of the conference call on the investor relations section of the Company's website at www.hanwha-qcells.com and also by dialing the numbers below:

International Toll Free Dial-In Number

+61 2 8199 0299

United States

+1 (855) 452-5696

South Korea

00798-6136-1602

Germany

United Kingdom

08001802149

08082340072

China, Domestic

Hong Kong

8008700206 / 4006322162

800963117

Conference ID: 63369727

Replay time period: November 10, 2017 11:00 ET - November 18, 2017 07:59 ET

About Hanwha Q CELLS

Hanwha Q CELLS Co., Ltd. (NASDAQ: HQCL) is one of the world´s largest and most recognized photovoltaic manufacturers for its high-performance, high-quality solar cells and modules. It is headquartered in Seoul, South Korea (Global Executive HQ) and Thalheim, Germany (Technology & Innovation HQ) with its diverse international manufacturing facilities in Malaysia and China. Hanwha Q CELLS offers the full spectrum of photovoltaic products, applications and solutions, from modules to kits to systems to large-scale solar power plants. Through its growing global business network spanning Europe, North America, Asia, South America, Africa and the Middle East, the company provides excellent services and long-term partnerships to its customers in the utility, commercial, governmental and residential markets. Hanwha Q CELLS is a flagship company of Hanwha Group, a FORTUNE Global 500 firm and a Top 10 business enterprise in South Korea. For more information, visit: http://www.hanwha-qcells.com.

Safe Harbor Statement

This report contains forward-looking statements that are not statements of historical fact. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Such statements, particularly statements about our guidance for performance in the third quarter and the full year 2017, involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such risks and uncertainties include pending administrative and civil actions in the United States under existing or potential new statutes and regulations governing trade between the United States and other countries, and potential antidumping, countervailing or other duties imposed on goods imported into the United States, as well as the Company's access to new capacity from an affiliate. Further information regarding these and other risks is included in Hanwha Q CELLS' filings with the Securities and Exchange Commission, including its annual report on Form 20-F. Except as required by law, Hanwha Q CELLS does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

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SOURCE Hanwha Q CELLS Co., Ltd.

Related Links

http://www.hanwha-qcells.com

Read more: Hanwha Q CELLS Reports Third Quarter 2017 Results

GUELPH, Ontario, Nov. 9, 2017 /PRNewswire/ -- Canadian Solar Inc. ("Canadian Solar" or the "Company") (NASDAQ: CSIQ), one of the world's largest solar power companies, today announced its financial results for the quarter ended September 30, 2017.

Third Quarter 2017 Highlights

  • Total solar module shipments were 1,870 MW, compared to 1,745 MW in the second quarter of 2017, and the third quarter guidance in the range of 1,650 MW to 1,700 MW.
  • Net revenue was $912.2 million, compared to $692.4 million in the second quarter of 2017, and the third quarter guidance in the range of $805 million to $825 million.
  • Net revenue from the total solutions business as a percentage of total net revenue was 21.6% compared to 6.5% in the second quarter of 2017.
  • Gross margin was 17.5%, compared to gross margin of 24.2% in the second quarter of 2017 (including the benefits of two AD/CVD reversals of $42.6 million and $15.0 million based on the final rates of Solar 1 AR3 and Solar 2 AR1, respectively) and gross margin of 15.9% in the second quarter of 2017 (excluding the reversal benefits), and the third quarter guidance of 15.0% to 17.0%.
  • Net income attributable to Canadian Solar was $13.3 million, or $0.22 per diluted share, compared to net income of $38.2 million, or $0.63 per diluted share, in the second quarter of 2017.
  • Cash, cash equivalents and restricted cash balance as of September 30, 2017 was $1.15 billion, compared to $961.6 million as of June 30, 2017.
  • Net cash provided by operating activities was $153.8 million, compared to net cash used in operating activities of $83.4 million in the second quarter of 2017.
  • The Company's portfolio of solar power plants in commercial operation was 1,419.5 MWp as of September 30, 2017, with an estimated total resale value of approximately $2.0 billion. Only the class B share value of the Company's tax equity deal projects in the U.S. was included in the estimated resale value.

Update on the Monetization of the Operating Projects

  • In September and October 2017, the Company entered into definitive agreements with two Asian buyers, to sell a portfolio of six solar power projects in California, totaling 703 MWp. These transactions are subject to various government approvals. The parties hope to close the transactions in the fourth quarter of 2017 or the first quarter of 2018, depending on the timing of the required governmental approvals.
  • In September 2017, Canadian Solar Infrastructure Fund, Inc. ("CSIF"), a fund sponsored by a subsidiary of the Company, obtained approval from the Tokyo Stock Exchange, Inc. (the "TSE") to list its investment units on the TSE's infrastructure investment fund securities market. Japanese subsidiaries of Canadian Solar agreed to sell 13 operating solar power plants with a total installed capacity of 72.7 MWp to CSIF as its initial portfolio (the "Initial Portfolio"). An initial public offering of 177,800 CSIF investment units was priced at 100,000 Japanese yen per unit, before underwriting discounts. Of the units included in the offering, Canadian Solar purchased 25,395 units as the designated purchaser. The listing was completed on October 30, 2017. CSIF plans to use the net proceeds from the offering and anticipated bank borrowings of JPY 17.7 billion (approximately $156 million) to consummate the acquisition of the Initial Portfolio. Net sale proceeds to Canadian Solar from the Initial Portfolio amounted to JPY 30.4 billion (approximately $270 million). Canadian Solar expects to use part of the net sale proceeds to reduce its overall debt by JPY 18.7 billion (approximately $165 million).
  • In September 2017, the Company entered into an agreement to sell 99 percent of its Class B membership interests in the 92 MWp IS-42 project in North Carolina to Falck Renewables S.p.A., with closing expected in November 2017.
  • In October 2017, the Company entered into agreements to sell interests in three solar projects in Australia, totaling 117 MWp, to Foresight Solar Fund Limited. The transaction is expected to close in the fourth quarter of 2017.
  • During the quarter, the Company completed the sale of the 108 MWp SECI Maharashtra project in India.

Third Quarter 2017 Results

Net revenue in the third quarter of 2017 was $912.2 million, up 31.8% from $692.4 million in the second quarter of 2017 and up 38.8% from $657.3 million in the third quarter of 2016. Solar module shipments recognized in revenue totaled 1,782 MW, compared to 1,638 MW recognized in revenue in the second quarter of 2017 and 1,161 MW recognized in revenue in the third quarter of 2016. Solar module shipments recognized in revenue in the third quarter of 2017 included 12.6 MW used in the Company's total solutions business, compared to 29.2 MW in the second quarter of 2017, and 16.3 MW in the third quarter of 2016.

Gross profit in the third quarter of 2017 was $159.8 million, compared to $167.8 million in the second quarter of 2017 and $117.3 million in the third quarter of 2016. Gross margin in the third quarter of 2017 was 17.5%, compared to 24.2% in the second quarter of 2017, and 17.8% in the third quarter of 2016. Gross profit in the second quarter of 2017 included the benefits of two AD/CVD reversals of $42.6 million and $15.0 million based on the final rates of Solar 1 AR3 and Solar 2 AR1, respectively. Excluding the reversal benefits, gross margin in the second quarter of 2017 was 15.9%.

Total operating expenses were $102.0 million in the third quarter of 2017, up 21.3% from $84.1 million in the second quarter of 2017 and up 13.0% from $90.3 million in the third quarter of 2016.

Selling expenses were $42.8 million in the third quarter of 2017, up 8.9% from $39.3 million in the second quarter of 2017 and up 26.1% from $34.0 million in the third quarter of 2016. The sequential and year-over-year increases were primarily due to higher shipping and handling costs, resulting from higher module shipment volumes and external sales commissions.

General and administrative expenses were $53.3 million in the third quarter of 2017, up 0.7% from $53.0 million in the second quarter of 2017 and up 1.6% from $52.5 million in the third quarter of 2016.

Research and development expenses were $7.3 million in the third quarter of 2017, compared to $7.3 million in the second quarter of 2017 and $4.6 million in the third quarter of 2016. The year-over-year increase reflects the Company's continued commitment to investing in and commercializing solar energy technologies that differentiate the Company and strengthen its competitive position through higher efficiency, and more sought after energy solutions.

Other operating income was $1.4 million in the third quarter of 2017, compared to other operating income of $15.5 million in the second quarter of 2017 and $0.8 million in the third quarter of 2016. Other operating income in the second quarter of 2017 includes insurance compensation of $15.2 million for the loss of profit related to the June 2016 tornado damage to the Company's Funing cell factory.

Income from operations was $57.8 million in the third quarter of 2017, compared to income from operations of $83.7 million in the second quarter of 2017, and $27.0 million in the third quarter of 2016. Operating margin was 6.3% in the third quarter of 2017, compared to 12.1% in the second quarter of 2017 and 4.1% in the third quarter of 2016.

Non-cash depreciation and amortization charges were approximately $23.8 million in the third quarter of 2017, compared to $21.2 million in the second quarter of 2017, and $25.4 million in the third quarter of 2016.  Non-cash equity compensation expense was $2.1 million in the third quarter of 2017, compared to $4.2 million in the second quarter of 2017 and $1.8 million in the third quarter of 2016.

Interest expense was $33.7 million in the third quarter of 2017, compared to $26.7 million in the second quarter of 2017 and $18.8 million in the third quarter of 2016.

Interest income was $3.4 million in the third quarter of 2017, compared to $1.4 million in the second quarter of 2017 and $2.1 million in the third quarter of 2016. 

The Company recorded a gain on change in fair value of derivatives of $1.8 million in the third quarter of 2017, compared to a loss of $1.8 million in the second quarter of 2017 and a gain of $2.0 million in the third quarter of 2016. Foreign exchange loss in the third quarter of 2017 was $16.5 million compared to a foreign exchange loss of $11.6 million in the second quarter of 2017 and a foreign exchange gain of $4.4 million in the third quarter of 2016.

Income tax expense was $6.2 million in the third quarter of 2017, compared to income tax expense of $9.0 million in the second quarter of 2017 and income tax expense of $16 thousand in the third quarter of 2016.

Net income attributable to Canadian Solar was $13.3 million, or $0.22 per diluted share, in the third quarter of 2017, compared to net income attributable to Canadian Solar of $38.2 million, or $0.63 per diluted share, in the second quarter of 2017, and $15.6 million, or $0.27 per diluted share, in the third quarter of 2016.

Financial Condition

The Company had $1.15 billion of cash, cash equivalents and restricted cash as of September 30, 2017, compared to $961.6 million as of June 30, 2017.

Accounts receivable, net of allowance for doubtful accounts, as of September 30, 2017 were $457.4 million, compared to $367.6 million as of June 30, 2017. Accounts receivable turnover was 47 days in the third quarter of 2017, compared to 56 days in the second quarter of 2017.

Inventories as of September 30, 2017 were $301.5 million, compared to $283.2 million as of June 30, 2017. Inventory turnover was 37 days in the third quarter of 2017, compared to 52 days in the second quarter of 2017.

Accounts and notes payable as of September 30, 2017 were $1.06 billion, compared to $899.5 million as of June 30, 2017.

Excluding the borrowings included in "Liabilities held-for-sale", short-term borrowings as of September 30, 2017 were $2.14 billion, compared to $2.04 billion as of June 30, 2017. Long-term borrowings as of September 30, 2017 were $318.2 million, compared to $273.0 million as of June 30, 2017.

The Company had approximately $1.29 billion in non-recourse bank borrowings as of September 30, 2017. Senior convertible notes totaled $126.2 million as of September 30, 2017, compared to $126.0 million as of June 30, 2017. Total borrowings directly related to utility-scale solar power projects, which included approximately $1.22 billion of non-recourse borrowings, were $1.43 billion as of September 30, 2017, compared to $1.30 billion as of June 30, 2017.

Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, remarked, "This was a good quarter for us, as solar module shipments, revenue and gross margin all exceeded guidance mainly due to the better-than-expected demand in China, and the pull-in effects in the U.S. market ahead of the Section 201 ruling. As a result, the average selling price of solar modules was sustained in the quarter. Our shipments to third-party customers in the U.S. were moderate in the third quarter, as we supplied modules to our own 281MWp Tranquility 8 utility-scale project in California. However, the pull-in effect appears to have driven the spot market solar module price higher globally and pushed low-price solar module demand into 2018. We did, however, encounter some headwinds. The cost of raw materials, such as high-purity polysilicon and aluminum extrusion products, increased significantly during the quarter. In addition, the appreciation of the Chinese Renminbi and the Canadian dollar against the U.S. dollar resulted in foreign exchange losses to the Company and drove up our production cost. We responded by expanding on those manufacturing steps in which we have technology advantages, such as diamond wire-saw wafering and black silicon solar cell. These efforts helped to partially offset the increase of raw materials costs. Meanwhile, we are continuously making progress in the monetization of our operating solar power plants. We are close to the finish line with transactions to sell certain project assets in the U.S. and Australia. In Japan, CSIF was listed on the TSE's infrastructure investment fund securities market on October 30, 2017, with an initial portfolio of 72.7 MWp.  During the quarter, we also completed the sale of the 108 MWp SECI Maharashtra project in India.  We are excited with the results of our hard work and remain focused on executing our strategy to develop and sell quality solar products and projects to create the maximum value for our shareholders."

Dr. Huifeng Chang, Senior Vice President and Chief Financial Officer of Canadian Solar, added, "Our higher-than-expected solar module shipments in the third quarter were driven by strong demand for solar modules from China, the U.S., Japan and India. Our higher gross margin was the result of increased average selling price compared to our previous expectation, better cost controls and manufacturing efficiencies.  We are pleased with the progress we have made in the monetization of our operating solar power plants in the U.S. and Japan.  We will further reduce our overall debt, after the sale of the 703 MWp of U.S. projects, 150 MWp U.K. project and CSIF's initial public offering in Japan."

Utility-Scale Solar Project Pipeline

The Company divides its utility-scale solar project pipeline into two parts: an early-to-mid-stage pipeline and a late-stage pipeline. The late-stage pipeline primarily includes projects that have energy off-take agreements and are expected to be built within the next two to four years.

Late-Stage Utility-Scale Solar Project Pipeline

As of October 31, 2017, the Company's late-stage utility-scale solar project pipeline, including those in construction, totaled approximately 1,598.9 MWp, which included 344.5 MWp in Japan, 416 MWp in China, 326.4 MWp in Brazil, 238 MWp in the U.S., 117 MWp in Australia, 68 MWp in Mexico, 41 MW in Chile, 22 MWp in the Philippines, 18 MWp in Africa and 8 MWp in the U.K. The Company cautions that some late-stage projects may not reach completion due to various completion risks, such as failure to secure permits and grid connection, among others.

In the U.S., the Company signed two PPAs for the 150 MWac/210 MWp Mustang 2 solar photovoltaic project located in Kings County in central California. Peninsula Clean Energy signed a 15-year Power Purchase Agreement ("PPA") for 100 MWac of solar power, and the Modesto Irrigation District signed a 20-year PPA for the remaining 50 MWac of the project. Electricity will be delivered following commercial operation of the project, expected in 2019.

The 20 MWac/28 MWp Gaskell West 1 solar project, located in Kern County in southern California, is currently under construction and is expected to begin delivering electricity to Southern California Edison by mid-2018 pursuant to a 20-year PPA. 

The Company's wholly-owned subsidiary, Recurrent Energy, entered into an agreement for the sale of 99 percent of its Class B membership interest in the 71 MWac/92 MWp IS-42 solar project located in North Carolina to Falck Renewables S.p.A., with closing expected in November 2017. This project reached commercial operation in September 2017.

The table below sets forth the Company's late-stage utility-scale solar project pipeline in the U.S. as of October 31, 2017:

U.S. Project

MWp

Location

Status

Expected COD

Mustang 2

210

California

Development

2019

Gaskell West 1

28

California

Construction

2018

Total

238




In Japan, as of October 31, 2017, the Company's pipeline of utility-scale solar projects totaled approximately 543.3 MWp. 344.5 MWp of these projects are described as late-stage which have secured interconnection agreements and FIT. 140.6 MWp of the late-stage projects are under construction and 203.9 MWp are under development.  A total of 30.4 MWp of projects have achieved commercial operation since July 31, 2017, of which 29.4 MWp were connected to the grid in the third quarter and 1 MWp was connected in October 2017. Canadian Solar has an additional 198.8 MWp of utility-scale solar projects in the bidding process, which will be added to the list of late-stage projects once FIT is awarded.

Expected Japan COD Schedule of Late-Stage Projects (MWp)

Q4 2017


2018


2019


2020


2021 and
Thereafter


Total

19.1


79.1


87.2


141.2


17.9


344.5

In Brazil, the Company has a total of 326.4 MWp of late-stage projects. The table below sets forth the Company's late-stage utility-scale solar project pipeline in Brazil as of October 31, 2017:

Brazil Project

MWp

Location

Status

Expected COD

Guimarania

80.6

Brazil

Development

2018

Pirapora I

38.3*

Brazil

Commissioned

2017

Pirapora II

115

Brazil

Construction

2018

Pirapora III (formerly Vazante)

92.5

Brazil

Construction

2017

Total

326.4





*38.3 MWp represents the Company's 20% equity interest in 191.5 MWp Pirapora I.

The Company completed the sale of an 80% interest in each of 191.5 MWp Pirapora I, 115 MWp Pirapora II and 92.5 MWp Pirapora III to EDF. The Company supplies modules for all the Pirapora projects.

In November 2017, the 191.5 MWp Pirapora I project reached commercial operation and the 92.5 MWp Pirapora III project was commissioned.

The Company acquired the 80.6 MWp Guimarania solar power project in Brazil during the third quarter 2017.  Canadian Solar will build and provide solar modules to the project.  The project received a 20-year PPA from the second Reserve Energy Auction at R$290.00/MWh (approximately US$91.77/MWh).  Construction will start in early 2018, with targeted commercial operation in the fourth quarter of 2018.

In Australia, the Company entered into binding contracts in October 2017 to sell interests in three solar farms in Queensland, Australia, with an aggregate 117 MWp of capacity to Foresight Solar Fund Limited ("FSFL"). FSFL is acquiring 49% interests in each of Longreach Solar Farm (17 MWp) and Oakey 1 Solar Farm (30 MWp), and a 100% interest in Oakey 2 Solar Farm (70 MWp).

In China, as of October 31, 2017, the Company's late-stage utility-scale power pipeline stands at 416 MWp.

Solar Power Plants in Operation

In addition to its late-stage, utility­-scale solar project pipeline, the Company has a portfolio of solar power plants in operation, totaling 1,419.5 MWp as of September 30, 2017, which are recorded on its balance sheet as project assets, assets held-for-sale and solar power systems, net. Revenue from the sale of electricity generated by the plants recorded as "assets held-for-sale" and "solar power systems, net" in the third quarter of 2017 totaled $9.6 million, compared to $9.8 million in the second quarter of 2017.

The sale of projects recorded as "project assets" (build-­to-­sell) on the balance sheet will be recorded as revenue once revenue recognition criteria are met, and the gain from the sale of projects recorded as "assets held-for-sale" and "solar power systems, net" (build-­to-­own) on the balance sheet will be recorded within 'other operating income (expenses)' in the income statement.  

The table below sets forth the Company's total portfolio of solar power plants in operation as of September 30, 2017:

Plants in Operation (MWp)

 U.S.

 Japan*

 U.K.

China    

India

Other

Total

900

139.8

150

188.7

36

5

1,419.50


*As of October 31, 2017, the Company had a total of 68.1 MWp of plants in operation in Japan after the sale of 72.7 MWp of operating projects to CSIF in October 2017. The Company plans to continue to sell its operating solar power plants in Japan to CSIF.

Manufacturing Capacity                                                                                                

The table below sets forth the Company's capacity expansion plan from June 30, 2017 to December 31, 2018:


Manufacturing Capacity Roadmap (MW)


30-Jun-17

31-Dec-17

30-Jun-18

31-Dec- 18*

Ingot

-

1,200

1,720

2,500

Wafer

2,000

5,000

5,000

5,000

Cell

4,490

5,450

6,200

6,950

Module

6,970

8,110

9,060

10,310


*Final decisions on the manufacturing capacity at the end of 2018 are subject to market conditions.

The Company completed the ramp up of the new multi-crystalline silicon ingot casting workshop at Baotou, China at the end of the third quarter of 2017, with a total annual capacity of 1,100 MW, including capacity relocated from the Company's Luoyang plant. The total annual capacity is expected to reach 1,200 MW by the end of 2017 through production debottlenecking. The new Baotou ingot factory enables the Company to reduce the amount it pays to purchase external ingots and thus reduces its all-in module manufacturing costs. The Company plans to further increase its ingot capacity to 1,720 MW by June 30, 2018, and may expand to 2,500 MW if market conditions justify.

The Company's wafer manufacturing capacity is now 3.0 GW and is expected to reach 5.0 GW by December 31, 2017, compared to the 4.0 GW originally planned, mainly as a result of production debottlenecking. All the Company's wafer capacity uses diamond wire-saw technology, which is compatible with the Company's proprietary and highly efficient Onyx black silicon multi-crystalline solar cell technology, allowing it to significantly reduce silicon usage and manufacturing costs.

The Company's solar cell manufacturing capacity at the end of third quarter of 2017 was 4.7 GW. The Company plans to add additional cell manufacturing capacity in its Funing and South East Asia plants later this year to bring its total cell manufacturing capacity to 5.45 GW by December 31, 2017. The Company plans to add another 1.5 GW in 2018 to reach approximately 7 GW by the end of 2018.

The Company expects that its total worldwide module manufacturing capacity will exceed 8.11 GW by December 31, 2017, and may further increase it to over 10 GW by the end of 2018, if market conditions justify.

Business Outlook

The Company's business outlook is based on management's current views and estimates with respect to operating and market conditions, its current order book and the global financing environment. It is subject to uncertainties relating to final customer demand and solar project construction schedules. Management's views and estimates are subject to change without notice.

For the fourth quarter of 2017, the Company expects its total solar module shipments to be in the range of approximately 1,650 MW to 1,750 MW, including approximately 60 MW of shipments to the Company's utility-scale solar power projects that may not be recognized as revenue in the fourth quarter of 2017. Total revenue for the fourth quarter of 2017, which includes revenue from both of our solar module sales and from our energy business, is expected to be in the range of $1.77 billion to $1.81 billion, which is based on the best estimate of the transaction dates of certain utility-scale solar project sales, as discussed in previous sections. Revenue will be affected if some of the project sales slip to 2018. Gross margin for the fourth quarter of 2017 is expected to be between 10.5% and 12.5%.

For the full year 2017, the Company expects its total module shipments to be in the range of approximately 6.7 GW to 6.8 GW, compared to 6.0 GW to 6.5 GW as previously guided. The Company expects its revenue for the full year 2017 to be in the range of $4.05 billion to $4.09 billion. Module shipments recognized in revenue and total annual revenue will depend on market conditions, including ASP trends and governmental approvals for the sale of solar projects.

Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, commended, "Looking into Q4 of 2017 and next year, the solar industry continues to face both opportunities and challenges. We believe that solar energy will be adopted by more and more people and the long-term aspect of the industry is bright given the compelling fundamentals.  However, the environmental and trade policies of certain countries will likely continue to cause uncertainty.  Separately, while Canadian Solar remains an industry cost leader, the unexpected raw material cost increase and the appreciation of Chinese currency over the past few months will make it challenging for us to reach our previously-set solar module manufacturing cost target by the end of 2017. Canadian Solar will continue to prioritize profitability rather than market share, focus on research and technology, and selectively invest into certain manufacturing processes to optimize our supply chain and cost structure."

Recent Developments

In addition to the transactions described above:

On November 8, 2017, Canadian Solar and EDF Energies Nouvelles announced that the 191.5 MWp Pirapora I and 92.5 MWp Pirapora III solar energy projects in Brazil, totaling 284 MWp, were commissioned in November 2017. 

On October 23, 2017, Canadian Solar announced that it supplied 666.4 kW of solar PV modules for an iconic solar project on Robben Island, near Cape Town in South Africa.

On October 17, 2017, Canadian Solar announced that one of its wholly-owned subsidiaries and several subsidiaries of Menora Mivtachim Holdings Ltd. entered into a joint venture agreement with the aim of investing in the development, financing, construction and ownership of solar power projects in Israel.

On October 16, 2017, Canadian Solar announced that it entered into contracts to sell interests in three solar farms in Queensland, Australia, with an aggregate 117 MWp of capacity to Foresight Solar Fund Limited.

On September 12, 2017, Canadian Solar announced that its wholly-owned subsidiary, Recurrent Energy, and Peninsula Clean Energy signed a 15-year Power Purchase Agreement for 100 megawatts of solar power.

On September 6, 2017, Canadian Solar announced that it acquired the 80.6 MWp Guimarania solar photovoltaic project in the state of Minas Gerais, Brazil.  Canadian Solar will build the project and provide the modules for the project from its local factory in Brazil.

On August 30, 2017, Canadian Solar announced that it successfully completed construction and started commercial operation of a 27.3 MWp solar photovoltaic power plant in Tottori Prefecture, Japan.

Conference Call Information

The Company will hold a conference call on Thursday, November 9, 2017 at 8:00 a.m. U.S. Eastern Standard Time (9:00 p.m., November 9, 2017 in Hong Kong) to discuss the Company's third quarter 2017 results and business outlook. The dial-in phone number for the live audio call is +1-866-519-4004 (toll-free from the U.S.), +852-3018-6771 (local dial-in from HK) or +1 845-675-0437 from international locations. The passcode for the call is 99552288.  A live webcast of the conference call will also be available on the investor relations section of Canadian Solar's website at www.canadiansolar.com.

A replay of the call will be available 2 hours after the conclusion of the call until 8:00 a.m. on Friday, November 17, 2017, U.S. Eastern Standard Time (9:00 p.m., November 17, 2017 in Hong Kong) and can be accessed by dialing +1-855-452-5696 (toll-free from the U.S.), +852-3051-2780 (local dial-in from HK) or +1-646-254-3697 from international locations, with passcode 99552288.  A webcast replay will also be available on the investor relations section of Canadian Solar's at www.canadiansolar.com.

About Canadian Solar Inc.

Founded in 2001 in Canada, Canadian Solar is one of the world's largest and foremost solar power companies. As a leading manufacturer of solar photovoltaic modules and provider of solar energy solutions, Canadian Solar also has a geographically diversified pipeline of utility-scale power projects in various stages of development. In the past 16 years, Canadian Solar has successfully delivered over 24 GW of premium quality modules to over 100 countries around the world. Furthermore, Canadian Solar is one of the most bankable companies in the solar industry, having been publicly listed on NASDAQ since 2006. For additional information about the Company, follow Canadian Solar on LinkedIn or visit www.canadiansolar.com.

Safe Harbor/Forward-Looking Statements

Certain statements in this press release regarding the Company's expected future shipment volumes, gross margins, business prospects and future quarterly or annual results, particularly the management quotations and the statements in the "Business Outlook" section, are forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially. These statements are made under the "Safe Harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by such terms as "believes," "expects," "anticipates," "intends," "estimates," the negative of these terms, or other comparable terminology. Factors that could cause actual results to differ include general business and economic conditions and the state of the solar industry; governmental support for the deployment of solar power; future available supplies of high-purity silicon; demand for end-use products by consumers and inventory levels of such products in the supply chain; changes in demand from significant customers; changes in demand from major markets such as Japan, the U.S., India and China; changes in customer order patterns; changes in product mix; capacity utilization; level of competition; pricing pressure and declines in average selling prices; delays in new product introduction; delays in utility-scale project approval process; delays in utility-scale project construction; continued success in technological innovations and delivery of products with the features customers demand; shortage in supply of materials or capacity requirements; availability of financing; exchange rate fluctuations; litigation and other risks as described in the Company's SEC filings, including its annual report on Form 20-F filed on April 27, 2017. Although the Company believes that the expectations reflected in the forward looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements. Investors should not place undue reliance on these forward-looking statements. All information provided in this press release is as of today's date, unless otherwise stated, and Canadian Solar undertakes no duty to update such information, except as required under applicable law.

FINANCIAL TABLES FOLLOW


Canadian Solar Inc.


Unaudited Condensed Consolidated Statement of Operations


(In Thousands of US Dollars, Except Share And Per Share Data And Unless Otherwise Stated)





Three Months Ended


Nine Months Ended



September 30,


June 30,


September 30,


September 30,


September 30,



2017


2017


2016


2017


2016












Net revenues

$  912,223


$  692,366


$  657,323


$  2,281,630


$2,184,650

Cost of revenues

752,422


524,527


540,030


1,862,584


1,816,418













Gross profit

159,801


167,839


117,293


419,046


368,232












Operating expenses:











Selling expenses

42,831


39,324


33,965


116,096


102,618


General and administrative
expenses

53,328


52,950


52,510


161,347


140,952


Research and development
expenses

7,271


7,318


4,646


20,214


14,203


Other operating (income) loss

(1,399)


(15,502)


(797)


(17,798)


5,535

Total operating expenses

102,031


84,090


90,324


279,859


263,308












Income from operations

57,770


83,749


26,969


139,187


104,924

Other income (expenses):











Interest expense

(33,656)


(26,717)


(18,807)


(84,484)


(46,825)


Interest income

3,382


1,393


2,077


7,297


7,855


Gain (loss) on change in fair value
of derivatives

1,764


(1,849)


2,044


(7,836)


3,076


Foreign exchange gain (loss)

(16,474)


(11,648)


4,446


(13,908)


37,893


Investment loss

-


-


(1,719)


-


(561)


Gain on repurchase of convertible
notes

-


-


322


-


2,782

Other income (expenses), net

(44,984)


(38,821)


(11,637)


(98,931)


4,220












Income before income taxes and
equity in earnings (loss) of
unconsolidated investees

12,786


44,928


15,332


40,256


109,144

Income tax expense

(6,165)


(8,958)


(16)


(12,015)


(28,574)

Equity in earnings (loss) of
unconsolidated investees

6,971


4,384


(131)


11,961


(1,519)

Net income

13,592


40,354


15,185


40,202


79,051












Less: Net income (loss)
attributable to non-controlling
interests

299


2,142


(429)


2,033


474












Net income attributable to
Canadian Solar Inc.

$   13,293


$  38,212


$  15,614


$   38,169


$   78,577












Earnings per share - basic

$   0.23


$  0.66


$   0.27


$   0.66


$   1.37

Shares used in computation - basic

58,392,071


57,947,324


57,778,388


58,059,372


57,429,580

Earnings per share - diluted

$   0.22


$  0.63


$   0.27


$   0.65


$   1.35

Shares used in computation - diluted

59,283,636


62,049,899


58,276,183


58,608,831


60,969,308













Canadian Solar Inc.

Unaudited Condensed Consolidated Statement of Comprehensive Income

(In Thousands of US Dollars)



 Three Months Ended


 Nine Months Ended



September 30,


June 30,


September 30,


September 30,


September 30,



2017


2017


2016


2017


2016


Net Income

13,592


40,354


15,185


40,202


79,051


Other comprehensive income (net of
tax of nil):











Foreign currency translation
adjustment

23,148


3,833


(11,227)


35,910


(21,907)


Gain (loss) on changes in fair value of
derivatives

(456)


(3,611)


1,763


(2,386)


(3,694)


Comprehensive income

36,284


40,576


5,721


73,726


53,450


Less: comprehensive income (loss)
attributable to non-controlling interests

97


3,153


(581)


812


(478)


Comprehensive income attributable
to Canadian Solar Inc.

36,187


37,423


6,302


72,914


53,928


Canadian Solar Inc.

Unaudited Condensed Consolidated Balance Sheet

(In Thousands of US Dollars)




September 30,


December 31,




2017


2016


ASSETS





Current assets:






Cash and cash equivalents

$          614,586


$          511,039



Restricted cash - current

528,725


487,516



Accounts receivable trade, net

457,418


400,251



Accounts receivable, unbilled

3,426


3,425



Amounts due from related parties

29,872


19,082



Inventories

301,526


295,371



Value added tax recoverable

85,477


55,680



Advances to suppliers - current

92,895


29,312



Derivative assets - current

12,201


12,270



Project assets - current

1,658,867


1,317,902



Assets held-for-sale

227,181


392,089



Prepaid expenses and other current assets

192,675


266,826


Total current assets

4,204,849


3,790,763


Restricted cash - non-current

10,770


9,145


Property, plant and equipment, net

674,681


462,345


Solar power systems, net

66,960


112,062


Deferred tax assets, net

248,299


229,980


Advances to suppliers - non-current

53,032


54,080


Prepaid land use right

68,791


48,651


Investments in affiliates

401,971


368,459


Intangible assets, net

9,867


8,422


Goodwill

6,248


7,617


Derivatives assets - non-current

9,911


15,446


Project assets - non-current

148,144


182,391


Other non-current assets

144,567


117,245


TOTAL ASSETS

$         6,048,090


$         5,406,606


Current liabilities:






Short-term borrowings

$         2,140,021


$         1,600,033



Accounts and notes payable

1,056,694


736,779



Amounts due to related parties

14,231


19,912



Other payables

295,780


223,584



Short-term commercial paper

-


131,432



Advances from customers

82,852


90,101



Derivative liabilities - current

8,980


9,625



Liabilities held-for-sale

227,285


279,272



Financing liability

419,065


459,258



Other current liabilities

167,089


171,070


Total current liabilities

4,411,997


3,721,066


Accrued warranty costs

62,768


61,139


Convertible notes

126,248


125,569


Long-term borrowings

318,174


493,455


Derivatives liabilities - non-current

680


-


Liability for uncertain tax positions

8,913


8,431


Deferred tax liabilities - non-current

26,381


23,348


Loss contingency accruals

25,352


22,654


Other non-current liabilities

76,485


51,554


Total LIABILITIES

5,056,998


4,507,216


Equity:






Common shares

702,136


701,283



Additional paid-in capital

(1,769)


(8,897)



Retained earnings

322,279


284,109



Accumulated other comprehensive loss

(57,069)


(91,814)


Total Canadian Solar Inc. shareholders' equity

965,577


884,681


Non-controlling interests in subsidiaries

25,515


14,709


TOTAL EQUITY

991,092


899,390


TOTAL LIABILITIES AND EQUITY

$         6,048,090


$         5,406,606












View original content:http://www.prnewswire.com/news-releases/canadian-solar-reports-third-quarter-2017-results-300552808.html

SOURCE Canadian Solar Inc.

Related Links

http://www.canadiansolar.com

Read more: Canadian Solar Reports Third Quarter 2017 Results

SANTA CLARA, Calif., Nov. 9, 2017 /PRNewswire/ -- Vista Solar, a SunPower Commercial Dealer, has been chosen by Shelter Creek Condominiums, a 1,296 unit multi-family development, to design and install a 2.5-megawatt high efficiency SunPower solar project in San Bruno, Calif.  There will be eight phases of construction of the rooftop solar system. Once complete, the solar system will offset over 70 percent of the community's annual electricity usage.

"As one of the largest multi-family developments in San Mateo County, and having just completed the installation of Fiber Optic connections to each condo through the, 'Fiber to the Home' Project enabled by the City of San Bruno and San Bruno Cable, we believe Shelter Creek has set the bar for advanced technology," said Ronnie Rosen, General Manager of Shelter Creek.

"This solar installation adds immense value to the community," Rosen continued. "It complements our California Energy Commission-granted electric vehicle charging stations, LED lighting components in the common areas, renewable energy recycling, composting, and sustainability through the 'no neonicotinoid pesticide' policy for our on-site apiary, or honey bee super hives."

With a 25-year Combined Power and Product Warranty, SunPower's high efficiency solar panels maximize solar energy generation in limited space. The Shelter Creek solar installation is expected to generate 3,632,773 kilowatt-hours annually - equivalent to removing 579 cars from the road, powering 292 homes, or saving 2,957,956 pounds of coal from being burned.

"Shelter Creek's a clear example of a community taking sustainability measures into its own hands," said Brian Brogan, Lead Project Developer at Vista Solar. "It's an honor to have the opportunity to provide clean renewable energy to this community for the next 25+ years."

About Shelter Creek Condominiums

Shelter Creek Condominiums is one of the premier living communities of the San Francisco Peninsula. The 1,296 condominium style homes are built around open reserve areas. More information here: http://www.sheltercreekcoa.com/

About Vista Solar Inc.

Vista Solar is an award-winning solar design and installation firm serving the commercial, agricultural, and non-profit markets throughout California. Vista Solar offers $0-down financing solutions, allowing businesses to slash their utility bills without any capital outlay. Learn more information on your potential savings here: http://vista-solar.com/see-your-savings/

View original content:http://www.prnewswire.com/news-releases/vista-solar-announces-25-megawatt-sunpower-solar-power-system-at-shelter-creek-condominiums-300552744.html

SOURCE Vista Solar, Inc.

Related Links

http://vista-solar.com

Read more: Vista Solar Announces 2.5-Megawatt SunPower...

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