- Third-quarter revenue will exceed forecast by as much as 43%
- Module shipments climbed to as much as 1.23 gigawatts
Canadian Solar Inc. rose the most in three weeks after saying third-quarter sales were as much as 43 percent higher than forecasts as demand for panels exceeded expectations.
Canadian Solar, the third-biggest solar manufacturer, gained 8.6 percent to $22.46 at 9:50 a.m. in New York, after earlier rising as much as 9.6 percent, the most intraday since October 2. Before today, the shares had declined 15 percent this year.
Sales were in the range of $805 million to $815 million, up from prior guidance of $570 million to $620 million, the Guelph, Ontario-based company said in a statement Monday.
Panel shipments were in the range of 1.18 gigawatts to 1.23 gigawatts, exceeding its earlier forecast of 970 megawatts to 1.02 gigawatts. Trina Solar Ltd. and Yingli Green Energy Holding Co. are the world’s biggest solar manufacturers by shipments.
Revenue was boosted by the sale of a 51 percent stake in the 200-megawatt Tranquility solar farm in California to Southern Co. The company also agreed to end a dispute with supplier LDK Solar Co. that will result in Canadian Solar taking a $20.9 million charge and a three-year contract to buy 64.3 million polysilicon wafers from LDK.
“We ended the third quarter with stronger-than-expected demand in our solar module business, led by the U.S., the U.K., Canada and Japan,” Chief Executive Officer Shawn Qu said in the statement. Canadian Solar scheduled a conference call with analysts and investors to discuss full third-quarter results on Nov. 10.