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Image source: The Motley Fool. Thursday, Aug. 27, 2026 at 8 a.m. ET Head of Investor Relations - Wina Huang CEO - Colin Parkin CEO of Canadian Solar subsidiary, Recurrent Energy - Dylan Marx Senior VP and CFO - Xinbo Zhu Executive Chairman and CTO - Dr. Shawn Qu Operator: Ladies and gentlemen, thank you for standing by, and welcome to Canadian Solar's Second Quarter 2026 Earnings Conference Call. My name is Melissa, and I will be your operator for today. [Operator Instructions] As a reminder, this conference is being recorded for replay purposes. I'd now like to turn the call over to Wina Huang, Head of Investor Relations at Canadian Solar. Please go ahead. Wina Huang: Thank you, operator, and welcome, everyone, to Canadian Solar's Second Quarter 2026 Conference Call. Please note that today's conference call is accompanied with slides, which are available on Canadian Solar's Investor Relations website within the Events and Presentations section. Joining us today are Colin Parkin, CEO; Dylan Marx, CEO of Canadian Solar subsidiary, Recurrent Energy; Xinbo Zhu, Senior VP and CFO; and Dr. Shawn Qu, Executive Chairman and CTO. All company executives will participate in the Q&A session after management's formal remarks. On this call, Colin will deliver key messages for the quarter. Dylan will share updates for Recurrent Energy. Xinbo will go through the financial results, and Shawn will discuss sustainability and technology highlights. Colin will conclude the prepared remarks with the business outlook, after which we will have time for questions. Before we begin, I would like to remind listeners that management's prepared remarks today as well as their answers to questions will contain certain forward-looking statements that are subject to risks and uncertainties. The company claims protection under the safe harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ from management's current expectations. Any projections of the company's future performance represent management's estimates as of today. Canadian Solar assumes no obligation to update these projections in the future unless otherwise required by applicable law. A more detailed discussion of risks and uncertainties can be found in the company's annual report on Form 20-F filed with the Securities and Exchange Commission. Management's prepared remarks will be presented within the requirements of SEC Regulation G regarding generally accepted accounting principles or GAAP. Some financial information presented during the call will be provided on both a GAAP and non-GAAP basis. By disclosing certain non-GAAP information, management intends to provide investors with additional information to enable further analysis of the company's performance and underlying trends. Management uses non-GAAP measures to better assess operating performance and to establish operational goals. Non-GAAP information should not be viewed by investors as a substitute for data provided in accordance with GAAP. And now I would like to turn the call over to Canadian Solar's CEO, Colin Parkin. Colin, please go ahead. Colin Parkin: Thank you, Wina, and thank you all for joining our second quarter earnings call. Beginning on Slide 3, we recognized revenue on 3.1 gigawatts of solar modules within guidance. We exceeded our storage guidance shipping 3.7 gigawatt hours and recognizing revenue on 3.3 gigawatt hours within the quarter. Revenue totaled $1.2 billion at the high end of guidance. Gross margin was in line with guidance at 13.9%. Profitability was impacted by elevated freight costs from ongoing geopolitical uncertainties. We also faced near-term ramp-up costs for our solar cell manufacturing facility in Jeffersonville. These factors led to a net loss attributable to shareholders of $77 million or $1.40 per share. Turning now to Slide 4. Our Manufacturing segment remains the key driver of our financial performance today. It is also where our strategic priorities lie. In our solar business, we continue to prioritize high-margin regions. We ship nearly half of our quarterly module volumes to our North America home base. In our energy storage business, we are scaling rapidly and executing well globally. In a single quarter, we delivered to utility scale projects across North America, EMEA, Asia Pacific and Latin America. We outperformed guidance due to accelerated deliveries for 2 projects in the U.S. and Canada. Higher unit shipping costs and ramp-up expenses led to an operating loss of $49 million. As we finish ramping Phase 1 of our solar cell facility and expand through Phase 2, these costs will normalize. We expect overall module margins to improve as a result. Now turning to Slide 5. A major highlight this quarter was the official opening of our state-of-the-art HJT solar cell facility. This marks a historic milestone. Canadian Solar is now the first commercially operational HJT manufacturer in the United States. We are also proud of the facility's meaningful impact and contribution to the local economy and community. We are currently ramping up Phase 1 capacity to 2.1 gigawatt peak. Phase 1 is set to enter full-scale production on October 1. Before the end of the year, we will begin installing equipment for Phase 2, which will bring our Jeffersonville total nameplate cell capacity to 6.3 gigawatt peak in 2027. This facility will be the largest crystalline silicon cell manufacturing plant in North America. Paired with our 10-gigawatt peak module facility in Texas, CS PowerTech solidifies its place as one of North America's largest and premier integrated photovoltaic manufacturers. These expansions are backed up by strong customer demand for our high-performance U.S. solar products, which offer valuable domestic content benefits. Turning please to Slide 6. CS PowerTech has secured over 13 gigawatt peak in contracted backlog for our domestically manufactured HJT and TOPCon, N-type bifacial modules. Deliveries are scheduled through 2029. This backlog includes multiple long-term master service agreements with leading U.S. utilities, IPPs, developers and EPCs. These commitments continue to grow daily and already represent north of $4.5 billion in value. On the policy front, President Trump released a new Section 232 announcement this month, which is focused on imported polysilicon and its derivative products. We view this new policy structure as supportive of our long-term investment in domestic manufacturing. Key details include minimum import pricing, tariff provisions and potential manufacturing offsets for companies investing in domestic manufacturing capacity. The Department of Commerce will work to approve U.S. investment plans. We will continue to be active, constructive ongoing dialogue with Department of Commerce and we will continue to participate throughout the 120-day implementation period. Our current evaluation indicates that these measures will reinforce U.S. solar pricing, and we are actively working with our customers to navigate this period of uncertainty. Overall, we view this policy direction as net positive for Canadian Solar, and we welcome the administration's support for American industrial growth. Now turning to Slide 7. For e-STORAGE, we shipped 3.7 gigawatt hours of energy storage solutions this quarter and recognized revenue on 3.3 gigawatt hours after accounting for the more than 400 megawatt hours to internal projects under execution. At the end of this quarter, our contracted backlog stood at $3.5 billion. This includes long-term service agreements covering 34 gigawatt hours of contracted projects. We see demand from data centers transitioning from conversations to contracted opportunities. Earlier this year, e-STORAGE secured a contract with a major U.S. utility for a 500-megawatt 2.5-gigawatt hour DC project designed to support data center grid infrastructure and resiliency. Energy-intensive data centers and their stakeholders face 2 primary hurdles: securing power and maintaining grid stability. Interconnection approvals and transmission builds require years to complete. Battery energy storage unlocks the higher throughput from existing infrastructure, responds dynamically to load swings, fortifies grid resilience and protects mission-critical computing hardware from power disruptions. For on-site behind-the-meter facilities, energy storage integrates seamlessly with other energy generation technology, including natural gas and renewable power generation. We are actively engaging with data center hyperscalers, developers and utility customers to deliver solutions that help overcome these challenges. Our market value extends well beyond supplying battery containers. We produce our own battery cells, design the SolBank platform, integrate the power conversion and proprietary energy management controls and deliver full EPC and commissioning services and provide ongoing support through long-term service agreements. This end-to-end full stack model offers customers a single accountable partner while supplying us with real-world operating data to refine future solutions. Now let me hand the call over to Dylan to review updates for Recurrent Energy, Canadian Solar's global project development business. Dylan, please go ahead. Dylan Marx: Thank you, Colin. Starting on Slide 8. We generated $117 million of revenue in the second quarter. Revenue declined sequentially primarily because several project sales moved into the second half of the year. Electricity sales revenue rose quarter-over-quarter, supported by the commercial operation of a large solar asset in Spain. With muted project sales during the quarter and a $24 million impairment charge related to an upcoming project sale in Latin America, operating expenses rose quarter-over-quarter. As a result, we recorded an operating loss of $19 million. Despite the lower financial performance, we continue to hit key operational milestones throughout the second quarter. Earlier in the quarter, we brought a 426-megawatt solar asset in Spain into commercial operation, which began contributing recurring energy. Our partnerships with leading global technology companies further validate our development platform. In Australia, we recently connected the 150-megawatt Carwarp project, which is backed by a long-term power purchase agreement with Microsoft. We also continue to secure competitive large-scale project financing. Recently, we closed a $695 million construction financing tax equity package for our 330-megawatt Cobalt Solar facility in California. MUFG and NORD/LB provided the construction loans, while Wells Fargo provided the tax equity. Turning to Slide 9 for our portfolio pipeline update. As of June 30, 2026, we have secured grid interconnections for approximately 6 gigawatts of solar and 13 gigawatt hours of energy storage globally, excluding projects already in operation. Our total development pipeline stands at nearly 22 gigawatts of solar and 84 gigawatt hours of energy storage. Our strategy for this pipeline remains focused on high-quality, high-margin opportunities that drive real value. We are actively pruning lower-margin assets. For instance, we scaled back our EMEA pipeline following detailed evaluations of permitting, technical and commercial viability. At the same time, we are moving decisively where we see attractive upside. Our team is actively positioning us to compete in Brazil's upcoming energy storage auction, which expanded our early-stage pipeline in Latin America. For the second half of the year, our priority remains the selective monetization of certain operating assets under construction and development assets. These transactions are intended to support our capital recycling strategy, improve financial flexibility and address leverage levels over time while preserving our ability to invest in high-return growth opportunities. Now let me hand the call over to Xinbo, who will go through our financial results in more detail. Xinbo, please go ahead. Xinbo Zhu: Thank you, Dylan. Beginning on Slide 10. In the second quarter, we recognized revenue on 3.1 gigawatt of modules and 3.3 gigawatt hours of energy storage solutions, both sequentially higher. Module performance was bolstered by strong U.S. volumes, while storage beat guidance due to accelerated project deliveries in North America. Despite light contributions from Recurrent due to deferred project sales, solid execution in the manufacturing segment lifted total revenue to $1.2 billion, reaching the high end of our guidance. Gross margin was 13.9%, in line with guidance. The sequential and year-over-year margin drops reflect nonrecurring items. First, the tariff refund benefits recognized last quarter; and second, the release of unrealized profit upon sales completion of a U.S. project in the prior year period. Operating expenses rose 21% sequentially. This was driven by a combination of elevated freight rates and non-logistic ramp-up costs at our Jeffersonville solar cell plant. Net interest expense rose to $43 million from $36 million in the first quarter, primarily due to lower capitalized interest. We recorded a net foreign exchange loss of $9 million, primarily driven by strong appreciation in the Chinese yuan. CSI Solar recorded a $41 million mark-to-market gain in investment income from its equity investment in a battery equipment company, helping buffer our bottom line. As a result, Canadian Solar recorded total net loss attributable to shareholders of $77 million or $1.40 per share. Now let's turn to cash flow and the balance sheet on Slide 11. Net cash flow used in operating activities during the second quarter of 2026 was $181 million, driven primarily by change in working capital. Total assets grew to $16.1 billion. This increase primarily reflects ongoing construction of U.S. solar and storage projects, along with inventory expansion to support our U.S. manufacturing strategy. Total debt increased to $7.1 billion, mainly from nonrecourse construction financing for solar and storage projects under Recurrent Energy in the U.S. As we monetize operating under construction and the development assets, we expect to deleverage the project's development business. At the same time, our manufacturing segment will take on incremental debt to fund strategic U.S. manufacturing investments, which we expect to expand profitability and cash flow in 2027 and beyond. Capital expenditures in the second quarter were $172 million, primarily directed towards our U.S. manufacturing initiatives. We anticipate full year 2026 CapEx to total around $1.3 billion. This implies higher capital outlays in the second half as we begin Phase 2 equipment installation at Jeffersonville, double capacity at our Mesquite module plant and scale up our energy storage facility in Southeast Asia. We closed the quarter with a cash balance of $1.9 billion, providing us with solid liquidity to execute on our strategic priorities. Now let me turn the call to Shawn, who will discuss our sustainability achievements and the technology road map. Shawn, please go ahead. Shawn Qu: Thank you, Xinbo. Turning to Slide 12. In June, we published our 2025 corporate sustainability report. This highlights our commitment to driving the global clean energy transition through sustainable and responsible business practices. The report tracks our focus on value-driven growth, notably the Science Based Targets initiative then validated our net zero greenhouse gas target. We also advanced our resource efficiency, achieving significant energy and water savings alongside two zero-carbon factory certifications. Furthermore, we reinforced our supply chain transparency and ethical labor standards. These efforts are backed by independent audits and certifications across our manufacturing footprint and key suppliers. Overall, this report demonstrates that environmental stewardship, social responsibility and strong governance are fundamental to how we build long-term stakeholder value. At the core of everything we do is technological innovation. Turning to Slide 13. We continue to execute on a multi-generation technology road map across both solar PV and energy storage solutions. Starting with solar PV. Our near-term priority through 2028 is the mass production and optimization of our next-generation HJT, or heterojunction, and TOPCon architectures. Across our core utility, C&I and residential market, we are scaling module efficiency from 23.2% up to 24.4% with aggressively reducing -- while aggressively reducing silver consumption from 6.5 milligram per watt down to 3 milligram per watt to drive down this key input costs. Looking slightly further ahead, we expect mass production of our premium TBC architecture by 2028, designed primarily for the premium residential market. TBC aims to deliver efficiency between 24.8% and 25.2% with ultra-low silver usage of just 1 to 2 milligrams per watt. Beyond terrestrial single junction silicon, we approach physical limit at around 25% to 26% module efficiency. We are expanding into frontier applications and multi-junction technologies. We have already begun collaborating on space PV opportunities using our HJT cell technology with planned shipment in 2029 for extreme space environment where radiation tolerance and thermal cycling resilience are critical. For long-term utility scale expansion, our ultimate efficiency frontier lies in tandem cells targeted for commercial shipment in 2030 to break through the 30% module efficiency area. Given that perovskite reliability will require another 5 to 10 years of validation before large-scale ground deployment space applications may well serve as the initial commercial stepping stones to these next-generation tandem structures. Turning to our energy storage and power electronics road map on Slide 14. We are building a foundation for sustainable high-density and long-duration storage assets. We are currently mass producing SolBank 3.0, which delivers 5-megawatt hours in a standard 20-foot enclosure using 314-megawatt hours LFP cells. We will soon begin shipping the next iteration SolBank 4.0 starting 2027. This solution increases energy density by 25%, delivering 6.25 megawatt hours in the same 20-foot footprint, utilizing high capacity 588 megawatt hours LFP cells. To complement these larger battery systems, our power electronics hardware is scaling in tandem. We are transitioning from our air-cooled mid-voltage Skid 1.0 to our liquid cooled mid-voltage Skid 2.0, which integrates 32 of 450-kilowatt inverters to achieve 14.4 megawatts in a 40-foot layout. Further out on our 2030 road map, we're exploring solid-state transformers at 2.5 megawatt, 34.5 kilovolt AC to 800 volt DC solution, achieving over 98.5% conversion efficiency that has the potential to replace traditional PCS units and integrate directly into BESS platform as cost and reliability mature to address long duration storage and harsh environment requirements at a potentially lower levelized cost of storage or LCOS. We are actively validating our containerized sodium-ion platform. This will eventually deliver an exceptional cycle time of over 15,000 cycles. Sodium-ion technology offers compelling structural advantages, abundant raw materials free from geopolitical restraints, superior performance in extreme cold temperature and simplified cooling requirements that could meaningfully reduce long-term operational expenditures. It also delivers important safety advantages such as significantly reduced thermal runaway risk. We are also developing a high-capacity energy storage product designed for deployment inside AI DC server room to deliver millisecond-scale energy management solutions. Ultimately, unifying these solar and storage development advances our vision of Canadian Solar as a total energy technologies provider. By pairing these technology road maps with robust end-to-end capability and full visibility across our supply chain, we are uniquely positioned to deliver the mission-critical clean energy infrastructure of tomorrow to our global customers. We will unveil more cutting-edge energy technologies in the future. So stay tuned. Now let me turn the call back to Colin, who will conclude our guidance and business -- who will conclude with our guidance and business outlook. Colin, please go ahead. Colin Parkin: Thank you, Shawn. Turning now to Slide 15. For the third quarter of 2026, we expect to recognize revenue from 3.5 to 3.8 gigawatts of solar modules. We expect energy storage deliveries to range between 3.4 and 3.8 gigawatt hours. Driven by sequentially higher manufacturing volumes, we project third quarter revenue to be between $1.3 billion and $1.5 billion, with gross margin expected to range between 13.5% and 15.5%. We anticipate U.S. solar and storage shipments to accelerate in the second half with each remaining quarter delivering higher volumes than the last. At Recurrent, we expect to finalize the project sales delayed from the second quarter. This will drive a sequentially stronger third quarter. For the full year of 2026, we reiterate our U.S. volume guidance of 6.5 to 7 gigawatts of module shipments and 4.5 to 5.5 gigawatt hours of energy storage shipments. With that, I would now like to open the floor for questions. Operator, please go ahead. Operator: [Operator Instructions] Our first question comes from the line of Colin Rusch with Oppenheimer & Company. Colin Rusch: Shawn, as you look at the road map that you just articulated from the technology perspective, it's pretty robust. There's a lot of activity. So I want to understand 2 dynamics. One, just trend lines on overall spending on the R&D line to bring all of this to fruition. And then secondarily, where -- from a regionalization perspective, where is that work going to happen? And where is the IP going to sit as you bring looks like 5 or 6 pretty significant technology evolutions to market? Shawn Qu: Yes, Colin, thank you. Because our revenue base is big, so although the R&D spending is significant, but usually, typically is around 1% to 2% of the total revenue. So we are controlling it well. Colin Rusch: And from an IP perspective, where -- is that going to sit in the U.S.? Is it going to sit outside the U.S.? Is that not a concern? Is it more around just know-how and understanding how to manufacture these things where you guys feel like you have an advantage? Shawn Qu: Yes. Colin, this is a good question. Yes, we develop more and more of the manufacturing and also process R&D capabilities in U.S., we will see more and more IP sit with the -- in U.S. But meanwhile, we also develop a lot of good technology in Canada, but I also see more and more IP in Canada, especially the IP related to the power electronics and either from inverter PCS half or the energy storage system. Colin Rusch: Excellent. And then just the follow-up here is really around shipping expense and kind of practical ways that you guys can manage that or start passing that on in a more material way to customers here over the next 6 to 12 months? Colin Parkin: Yes. Colin, thanks for the question, Colin here. Regarding the shipping expense, yes, we do build that into our contracts and pass that along. But of course, the dynamic of the shipping cost, logistics costs start to change when we look at us continuing to scale in North America. Obviously, we don't have the significant overseas freight. So we'll start to see that shipping cost start to decrease just as primarily due to the onshoring in the U.S. Operator: Our next question comes from the line of Maheep Mandloi with Mizuho Securities. Maheep Mandloi: Hey, thanks for taking the questions and color on the new bookings. And one question on that. You talked about the 13 gigawatts of bookings through '29. The pricing seems to be mid-$0.30 per watt. Could you clarify if that already includes any impact of the new Section 232 on polysilicon? And if not, then what prices are you seeing? And is there any flexibility to go to the existing customers and on higher prices if the spot prices move up on Section 232? Colin Parkin: Thanks for the question, Colin here. And we have Thomas on the line as well, but I'll start. Our contracts are structured with change in law and adjustment mechanisms with all this anticipated. So what we see is this is all very new. I think, as you know, this is only fresh in the last couple of weeks with the new Poly 232. But we already see the market adjusting. We think it will definitely drive for accelerated deliveries in the second half of this year in advance of the proclamation implementation, I think, on December 4. So we're going to see a rush. And with that, we -- it's driving increase in price and demand and correlating demand. So we are seeing that start to adjust. We are seeing the market start to adjust, but it is a relatively new change to the market. But I think overall, from Canadian Solar standpoint, with the backlog that we mentioned, the 13 gigawatts backlog, it shows a strong demand for our U.S. based products, and our customers are certainly willing to work with us as they have to adjust as well. So Thomas, would you add anything to that, if you have anything to add on top of that? Thomas Koerner: Colin is spot on. The only comment I would make is that this backlog and the respective revenue value does not include the 232 adjustment yet. So this is going to increase and grow further as we are adjusting contracts and agreements with customers. But it includes, of course, a certain portion of down payments, certain shipment costs. Some are further away, some are closer away. So you can take that all into account. But the 232 announcement will push the respective value upwards as we discuss and readjust and renegotiate with customers. Hope this answers your question. Maheep Mandloi: That's it. Thanks for the color. And maybe just like a different follow-up on the tariff or the duty exemption in view with domestic CapEx I just want to understand like how much do you -- could we expect on that for you guys for CapEx? I think there's some language on the exemption is only applicable for new CapEx. So if the R&D CapEx could be used for that or the set CapEx. Shawn Qu: Well, the Poly 232 that allows the U.S. manufacturing project to offset the tariff duties. So as Colin said, we will actively engage with the Department of Commerce. I think we are in a good standing, and we'll try to go through this process. And yes, we will apply for the tariff and MIP exemptions related to our U.S. manufacturing plant. Operator: Our next question comes from the line of Philip Shen with ROTH Capital Partners. Philip Shen: As a follow-up to Maheep's second question on the tariff rebate program. Shawn, you just mentioned that you have good standing with the Commerce Department. So I was wondering if you might be able to elaborate on that? And specifically, do you expect to qualify for the tariff rebate program? And if so, can you give us some color on why and how? Shawn Qu: Well, we do expect we are qualified. We qualify for the tariff relief program because we are the one who invest and really invested into U.S. manufacturing through our solar module factory in Mesquite and also the solar cell factory in Jeffersonville plus the energy storage factory in Shelbyville. So we are putting real dollars into onshoring the U.S. manufacturing. So we believe we are qualified. However, as I mentioned, we will go through the process. So I guess I shouldn't comment too much before I finish -- before we finish the dialogue and the process with the Department of Commerce. Philip Shen: Okay. And then earlier, Colin and Thomas talked about pricing already moving. And so I was wondering if you guys might be able to quantify the magnitude of the price increase that you've seen thus far and then where you expect things to change. So if your existing bookings are at x, do you think we see a $0.05 move in pricing to the upside? Or do you think it's $0.10 or maybe more? Colin Parkin: Philip, I think we're -- just like everybody else, we're monitoring the market and seeing what the opportunity looks like. I think it might be a little premature for us to speculate how fast those changes and how -- and the magnitude. So I think we're only a week or 2 into this new proclamation, and we're still waiting for, as a matter of fact, expecting new guidance to come. So that could also shape things as well. So I'd hesitate to give a specific amount, but I can tell you that we do feel it's going to be accretive to CS PowerTech overall. Philip Shen: Okay. One last follow-up. As it relates to -- back to the tariff rebates program based on U.S. CapEx, what happens and what do you guys do if you cannot qualify for that tariff rebate program? Shawn Qu: Well, it's a good question. I think the MIP requirements will help to strengthen the U.S. manufacturers' advantages. The overall price will go up. If the overall solar module price go up, it will help us even in the case that we don't fully receive the rebate related to our CapEx. So overall, without rebate, we think that this decision will be accretive to CSI, to CS PowerTech and any real meaningful manufacturers investing into U.S. Operator: Our next question comes from the line of Alan Lau with Jefferies. Alan Lau: I would like to... Ask management about the recent policy coming out from the White House last night on the bulk power system. So I would like to know because Canadian Solar actually have battery cell and pack plant in the U.S. So what's your view on complying to that U.S. manufacturing requirement, especially in relation to energy storage? Colin Parkin: Alan, I would like to just hold off responding on that because it's something very new, and we haven't had a chance to fully study that. I would just generally say that in all respects, our ability to comply to U.S. requirements is strong generally because of our supply chain has already evolved to supporting the domestic content requirements. And our U.S. manufacturing plans have been structured around that. I don't want to comment on such a recent policy change, but I would only say that at the moment, I expect we'll be able to address any changes. Alan Lau: Understood. So regarding to another previous FCC investigation. I think there were clarification, I think, in 20th of August on basically for inverters that were produced in the U.S. and is eligible for 45X would not be classified as foreignly produced. So I recall the company previously was having third-party supplier for inverters, but also the company is also starting to do PCS as well. So I wonder if management has any comment in regards to previous restrictions on this front? Colin Parkin: Yes. Alan, a good question. First of all, for our inverters are not currently being moved into the U.S. So it's not an issue for us in terms of our current supply chain. But as you mentioned, we do procure significant amounts of third-party inverters, PCS, for example. And we are actively involved with our supply chain to ensure that they meet all the FCC requirements. And/or have the path to have those FCC requirements in place. We don't see any issues with any of our business activities at this time related to the recent changes. I know they just -- there's just recent clarification provided with respect to the communication protocols, which we're looking at very carefully. But we don't see any impact to our business at the moment with respect to the new FCC requirements. Shawn Qu: I would like to add a little color comment on top of what Colin just said. We also noticed that the new guidance is anything qualified for the 45X, which means qualified for the local manufacturing and eligible for 45X will be considered domestic. Therefore, will not require FCC approval. I think this is a very interesting policy clarification. As you mentioned, we do have our own PCS. We have that technology center in Canada. So we have started actively looking to the feasibility of manufacturing that PCS and inverter in U.S. utilizing the advantage that Canadian Solar already have PowerTech, which is qualified structure in U.S. So yes, we are actively reviewing the visibility of that. Alan Lau: I recall the company actually got a strong record in U.S. manufacturing and has already secured 45X credits for other products like module already. So that might actually be a positive opportunity for the company to take share. So that's why the question is coming from. So switching gear to the technology path because I noticed that Shawn has spent quite a lot of time. I think this is quite new, I think, in this quarterly results briefing. I would like to know because Shawn has mentioned about space PV. So I suspect if this has already been some form of discussion with major clients in the aerospace industry or it's more a product development stage or there's actually already some early-stage navigation already? Shawn Qu: Yes. Space PV is a very interesting direction, although I don't expect it to contribute meaningfully this next year. But in the long run, space is what everybody is looking at, including Canadian Solar and I myself. And you realize that Canadian Solar is a strong participant in the so-called HJT or heterojunction solar architecture. And this is what the industry consider very favorable for silicon-based space PV applications. And the research so far shows that the so-called P-type heterojunction will have better tolerance to the high energy particle radiation environment in the space. Therefore, P-type heterojunction, especially the thin-type heterojunction is considered to be a leading candidate for silicon-based solar cell application in the space. So we do manufacture the P-type. As you know, our Jeffersonville solar cell factory adopted the heterojunction, the HJT solar cell structure. And so far, we use N-type for the terrestrial applications. However, it's very easy for us to convert that into P-type. And we are -- we already use very thin wafers and the wafer to be processed in our Jeffersonville factory averaged at 110 micron thickness, which is one of the thinnest wafer used for commercial production. Now also on the R&D side, we have designed and processed even thinner to 50-micron wafer thickness with P-type heterojunction, and very successful so we can supply that. So we are the leading front of space PV. Now we are talking to other space and especially the satellite companies about this application, we are collaborating. Now I can't disclose the customer name. But yes, we have close collaboration with like space-related partners. Alan Lau: Understood. So it's also interesting that your view on the space PV is on p-HJT. Having mentioned about HJTs, there are some market views that TOPCon might have some issues in relation to the Section 337 patent investigation. Is it one of the reasons that you are selecting HJT technology in the U.S. because it is not the mainstream technology outside of the U.S. Or is it really other reasons like labor or shorter production process? Shawn Qu: Yes, we choose HJT, heterojunction, for the U.S. factory for several reasons, not one reason. So number one, yes, our strong R&D effort already into its HJT solar cell. As a matter of fact, we have studied the HJT structures as early as 2018 -- 2017 and 2018, and we have been doing pilot line HJT development for 6, 7 years already. So we have very strong knowledge. By the way, that also explains why our ramp-up of the Jeffersonville solar cell line was so far successful, and I would say pretty smooth. Any ramp-up will have some issues. That's the point of the ramp-up, right, which is to discover and resolve and solve an issue. But our ramp-up in Jeffersonville was very successful. So that's a technical side. And second, our HJT process is very neat. It's more like equipment dependent than human dependent. It does require much less operators than the TOPCon. And we think this is a very unique advantage for the U.S. manufacturing. And IP is also an issue, no question about it. On one hand, we are very confident that our TOPCon technology stand-alone on its own feet and does not have any conflict with other companies' TOPCon IPs. However, less IP conflict is also is even better. So the HJT IP is much cleaner than TOPCon. That's also one reason for our decision to select HJT for the U.S. cell manufacturing. Those are multiple -- there are quite a few factors. And all in all, we believe that HJT is. Also, as I mentioned, HJT is a leading candidate for the space application. We also consider this factor when we make this decision to around 2 years ago. Operator: Thank you. Ladies and gentlemen, that concludes our question-and-answer session. I'll turn the floor back to Mr. Parkin for final comments. Colin Parkin: Thank you for joining us today and for your continued support. If you have any questions or would like to set up a call, please contact our Investor Relations team. Take care, everybody, and have a great day. Thank you. Operator: Thank you. This concludes today's conference call. You may disconnect your lines at this time. Thank you for your participation. 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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Canadian Solar (CSIQ) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved revenue at the high end of guidance driven by strong U.S. module volumes and accelerated energy storage deliveries in North America. Transitioned to the first commercially operational HJT manufacturer in the U.S. with the opening of the Jeffersonville solar cell facility. Prioritized high-margin regions by shipping nearly half of quarterly module volumes to the North American market. Experienced a net loss due to elevated freight costs from geopolitical uncertainties and near-term ramp-up expenses at the new Jeffersonville facility. Expanded the e-STORAGE business globally, delivering utility-scale projects across four continents and securing a major 2.5 GWh contract with a U.S. utility to support data center grid infrastructure. Maintained a robust $4.5 billion contracted backlog for U.S. manufactured products, reflecting strong demand for domestic content benefits. Pruned lower-margin assets in the Recurrent Energy pipeline, specifically in EMEA, to focus on high-quality, high-return development opportunities. Expects Phase 1 of the Jeffersonville facility to reach full-scale production by October 1, with Phase 2 installation beginning by year-end 2026. Anticipates U.S. solar and storage shipments to accelerate sequentially through the second half of 2026. Projects long-term technology evolution toward TBC architecture by 2028 and tandem cells targeting 30% efficiency by 2030. Assumes the new Section 232 policy on imported polysilicon will reinforce U.S. solar pricing and support domestic manufacturing investments. Targets commercial shipment of HJT cell technology for space PV applications by 2029 to address radiation-tolerant extreme environments. Viewed the new Section 232 announcement on imported polysilicon as a net positive that may provide manufacturing offsets for domestic investors. Recorded a $24 million impairment charge at Recurrent Energy related to an upcoming project sale in Latin America. Identified elevated freight rates as a significant headwind to profitability, though management expects onshoring to mitigate these costs over time. Noted a $41 million mark-to-market gain from an equity investment in a battery equipment company which partially offset operating losses. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed the $4.5 billion backlog does not yet include price adjustments from the new Section 232 proclamation. Anticipates a rush for deliveries before the December 4 implementation, which is already driving increases in market pricing and demand. Stated that existing contracts contain change-in-law mechanisms allowing for price renegotiations with customers. Selected HJT because the process is less labor-intensive and more equipment-dependent, which is advantageous for U.S. manufacturing costs. Noted that HJT has a 'cleaner' IP landscape compared to TOPCon, reducing the risk of patent litigation. Highlighted HJT's superior performance in space applications, aligning with the company's long-term frontier technology roadmap. Management believes they are well-qualified for tariff relief because they are investing 'real dollars' into module, cell, and storage factories in the U.S. Confirmed they will actively engage with the Department of Commerce during the 120-day implementation period to secure exemptions. Argued that even without rebates, the policy creates a minimum import price (MIP) that strengthens the competitive position of domestic manufacturers. Reported that data center conversations are transitioning into contracted opportunities, including a recent 500 MW / 2.5 GWh project. Positioned battery storage as a critical solution for hyperscalers to bypass long interconnection queues and protect mission-critical hardware from load swings.

Canadian Solar Inc. (NASDAQ:CSIQ) shares fell 3.75% in pre-market trading on Thursday after the solar and energy storage company reported a wider-than-expected second-quarter loss and issued third-quarter revenue guidance below Wall Street forecasts. However, quarterly revenue came in slightly ahead of expectations. The company recorded a second-quarter loss of $1.40 per share, compared with the analyst consensus for a loss of $0.74. Revenue totalled $1.2 billion, exceeding the $1.18 billion forecast, although it declined 29% from $1.69 billion in the same period last year. Canadian Solar expects third-quarter revenue to range between $1.3 billion and $1.5 billion. At the midpoint, guidance of $1.4 billion is below the analyst consensus of $1.76 billion, contributing to the negative initial reaction from investors. Profitability was also under pressure during the second quarter. Gross margin declined to 13.9% from 29.8% a year earlier, primarily reflecting the absence of tariff refund benefits recognised in the previous quarter. Net loss attributable to shareholders reached $77 million, compared with net income of $7 million during the second quarter of 2025. Despite the near-term financial pressures, Canadian Solar continues to invest in its longer-term technology and manufacturing strategy as it looks to strengthen its position across the global solar market. “We are executing on a multidimensional solar technology roadmap, spanning advanced cell innovations to next-generation applications,” said Colin Parkin, CEO of Canadian Solar. The company recently reached an important manufacturing milestone in the United States with the opening of its new heterojunction technology solar cell facility. “In July, we celebrated the official opening of our state-of-the-art HJT solar cell factory, marking a historic milestone, as Canadian Solar became not only the first commercially operational HJT manufacturer in the United States, but also a meaningful contributor to the local economy and community development.” While the earnings miss and softer third-quarter outlook weighed on Canadian Solar shares, the company’s revenue performance demonstrated some resilience by exceeding analyst expectations. Management’s continued investment in advanced solar cell technology and domestic U.S. manufacturing also provides a longer-term growth opportunity. The newly opened HJT facility represents a significant step in Canadian Solar’s technology roadmap as the company works to expand its capabilities and position itself for future demand across the solar energy market. Canadian Solar stock price

Interested in Canadian Solar Inc.? Here are five stocks we like better. Q2 revenue reached $1.2 billion, at the high end of guidance, supported by stronger U.S. module shipments and accelerated storage deliveries. However, Canadian Solar posted a $77 million net loss as freight costs and Jeffersonville facility ramp-up expenses pressured profitability. Canadian Solar is expanding U.S. manufacturing, with Jeffersonville Phase 1 expected to reach full production on Oct. 1 and total cell capacity projected at 6.3 gigawatts in 2027. The company has more than 13 gigawatts of contracted domestic HJT and TOPCon module backlog valued above $4.5 billion through 2029. Energy-storage demand remains strong, with e-STORAGE backlog at $3.5 billion and growing opportunities tied to data-center power needs. For Q3, the company expects revenue of $1.3 billion to $1.5 billion and reiterated its full-year U.S. shipment guidance. Is SunPower Stock Ready to Lead the Solar Market? Canadian Solar (NASDAQ:CSIQ) reported second-quarter 2026 revenue of $1.2 billion, reaching the high end of its guidance range, as stronger module shipments in the United States and accelerated energy-storage deliveries supported manufacturing performance. The company recorded a net loss attributable to shareholders of $77 million, or $1.40 per share, amid elevated freight costs and ramp-up expenses at its Jeffersonville, Indiana, solar-cell facility. CEO Colin Parkin said Canadian Solar recognized revenue on 3.1 gigawatts of solar modules during the quarter and shipped 3.7 gigawatt-hours of energy-storage products, exceeding its storage shipment guidance. The company recognized revenue on 3.3 gigawatt-hours of storage solutions. → Quantum Computing Is Raising the Stakes for Cybersecurity: 5 Stocks to Watch MarketBeat Week in Review – 5/22 - 5/26 Gross margin was 13.9%, in line with management's outlook. Parkin said profitability was affected by higher freight expenses tied to geopolitical uncertainty, as well as near-term costs associated with bringing the Jeffersonville facility into production. The manufacturing segment recorded an operating loss of $49 million. Canadian Solar said its Jeffersonville plant is the first commercially operational heterojunction, or HJT, solar-cell manufacturing facility in the United States. Phase 1 of the facility is being ramped to 2.1 gigawatts of capacity and is expected to enter full-scale production on Oct. 1. → NVIDIA Reveals $21 Billion SpaceX Stake: Signal of Confidence or Circular Financing? Solar Panel Demand Makes Canadian Solar a Buy-the-Dip Opportunity The company plans to begin installing equipment for Phase 2 before year-end, with total nameplate cell capacity at Jeffersonville expected to reach 6.3 gigawatts in 2027. Combined with Canadian Solar's 10-gigawatt module plant in Texas, Parkin said the expansion would establish CSI Solar as one of North America's largest integrated photovoltaic manufacturers. Canadian Solar has secured more than 13 gigawatts of contracted backlog for domestically manufactured HJT and TOPCon n-type bifacial modules, with deliveries scheduled through 2029. Management said the backlog has a value exceeding $4.5 billion and includes agreements with U.S. utilities, independent power producers, developers and engineering, procurement and construction providers. → Berkshire Boosts Its Bet: This AI Hyperscaler Is Now a Top-3 Holding Parkin said nearly half of quarterly module volume was shipped to North America. He also said freight costs should decline as the company expands production in the region, reducing its dependence on overseas shipping. While freight costs are incorporated into contracts, Parkin said domestic manufacturing should reduce logistics costs over time. Canadian Solar's e-STORAGE unit delivered energy-storage systems to utility-scale projects in North America, Europe, the Middle East and Africa, Asia-Pacific, and Latin America. The company said storage results exceeded guidance because deliveries accelerated for two projects in the U.S. and Canada. At quarter-end, e-STORAGE's contracted backlog stood at $3.5 billion, including long-term service agreements covering 34 gigawatt-hours of projects. Parkin said demand associated with data centers is moving from discussions toward contracted opportunities. Earlier in the year, e-STORAGE secured a contract with a major U.S. utility for a 500-megawatt, 2.5-gigawatt-hour direct-current project intended to support data-center grid infrastructure and resilience. Management said battery storage can help data centers address power availability and grid stability by increasing utilization of existing transmission infrastructure and responding to changes in electricity demand. The company said its storage offering includes internally produced battery cells, the SolBank platform, power-conversion equipment, energy-management controls, engineering and commissioning services, and long-term service agreements. Recurrent Energy, Canadian Solar's project development business, generated $117 million of second-quarter revenue. CEO Dylan Marx said revenue declined sequentially because several project sales shifted into the second half of the year, though electricity sales increased following the commercial operation of a large solar asset in Spain. Recurrent Energy reported an operating loss of $19 million, reflecting muted project sales and a $24 million impairment charge associated with an upcoming Latin American project sale. During the quarter, Recurrent Energy brought a 426-megawatt solar asset in Spain into commercial operation and connected the 150-megawatt Carwarp project in Australia, which is supported by a long-term power purchase agreement with Microsoft. The unit also closed a $695 million construction financing and tax-equity package for its 330-megawatt Cobalt solar project in California. MUFG and NORD/LB provided construction loans, while Wells Fargo provided tax equity. As of June 30, Recurrent Energy had secured grid interconnections for about 6 gigawatts of solar and 13 gigawatt-hours of storage projects globally, excluding operating projects. Its total development pipeline included nearly 22 gigawatts of solar and 84 gigawatt-hours of storage. Marx said Recurrent Energy is pruning lower-margin opportunities, including scaling back its Europe, Middle East and Africa pipeline after reviewing permitting, technical and commercial viability. The company expects to selectively monetize operating, construction-stage and development assets in the second half to recycle capital, improve financial flexibility and address leverage. Chief Financial Officer Xinbo Zhu said operating cash flow was negative $181 million in the second quarter, primarily due to working-capital changes. Total assets rose to $16.1 billion, while total debt increased to $7.1 billion, mainly because of non-recourse construction financing for U.S. solar and storage projects under Recurrent Energy. Capital expenditures were $172 million in the quarter, largely directed toward U.S. manufacturing initiatives. Canadian Solar expects full-year 2026 capital expenditures of approximately $1.3 billion, including spending on Jeffersonville's second phase, expanded module capacity in Mesquite, Texas, and an energy-storage facility in Southeast Asia. The company ended the quarter with $1.9 billion in cash. Management also discussed the Trump administration's Section 232 announcement related to imported polysilicon and derivative products. Parkin said the company views the policy direction as supportive of domestic manufacturing and expects it to strengthen U.S. solar pricing. Thomas Koerner, Corporate Senior Vice President, said the stated value of the company's 13-gigawatt domestic-module backlog does not yet include potential Section 232-related adjustments. For the third quarter, Canadian Solar expects to recognize revenue from 3.5 gigawatts to 3.8 gigawatts of module shipments and deliver 3.4 gigawatt-hours to 3.8 gigawatt-hours of energy storage. Revenue is projected at $1.3 billion to $1.5 billion, with gross margin expected between 13.5% and 15.5%. The company reiterated full-year U.S. shipment guidance of 6.5 gigawatts to 7 gigawatts of modules and 4.5 gigawatt-hours to 5.5 gigawatt-hours of energy storage. Parkin said Canadian Solar expects U.S. solar and storage volumes to increase sequentially in each remaining quarter of 2026. Canadian Solar Inc (NASDAQ: CSIQ) is a global renewable energy company that specializes in the design, development and manufacturing of solar photovoltaic (PV) modules and system solutions. Founded in 2001 and headquartered in Guelph, Ontario, the company has grown to become one of the world's largest solar module suppliers. Canadian Solar offers a comprehensive portfolio of products, including mono- and multi-crystalline solar cells and modules, as well as advanced energy storage and system integration solutions tailored for residential, commercial and utility-scale applications. In addition to manufacturing solar components, Canadian Solar provides end-to-end services encompassing project development, engineering, procurement and construction (EPC), as well as operations and maintenance. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Canadian Solar Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Revenue: Total revenue reached $1.2 billion, at the high end of guidance. Gross Margin: Gross margin was 13.9%, in line with guidance. Net Loss: Recorded a net loss attributable to shareholders of $77 million, or $1.40 per share. Solar Module Shipments: Recognized revenue on 3.1 gigawatts of solar modules. Energy Storage Shipments: Shipped 3.7 gigawatt-hours and recognized revenue on 3.3 gigawatt-hours. Operating Loss (Manufacturing): Operating loss of $49 million, impacted by elevated freight costs and ramp-up expenses. Recurrent Energy Revenue: Generated $117 million in revenue. Recurrent Energy Operating Loss: Recorded an operating loss of $19 million, including a $24 million impairment charge. Net Interest Expense: Rose to $43 million from $36 million in the first quarter. Net Foreign Exchange Loss: Recorded a net foreign exchange loss of $9 million. Operating Cash Flow: Net cash flow used in operating activities was $181 million. Capital Expenditures: Capital expenditures were $172 million in the second quarter. Cash Balance: Closed the quarter with a cash balance of $1.9 billion. Total Debt: Total debt increased to $7.1 billion. Contracted Backlog (e-STORAGE): Stood at $3.5 billion, including long-term service agreements covering 34 gigawatt-hours. Contracted Backlog (U.S. Modules): Over 13 gigawatt-peak, representing north of $4.5 billion in value. Warning! GuruFocus has detected 8 Warning Signs with CSIQ. Is CSIQ fairly valued? Test your thesis with our free DCF calculator. Release Date: August 27, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Canadian Solar Inc (NASDAQ:CSIQ) exceeded its energy storage guidance, shipping 3.7 GWh and recognizing revenue on 3.3 GWh, driven by accelerated deliveries for U.S. and Canadian projects. The company achieved a major milestone by opening the first commercially operational HJT solar cell facility in the U.S., with Phase 1 ramping to full production by October 1, 2026, and Phase 2 expansion planned to reach 6.3 GW peak capacity by 2027. Canadian Solar Inc (NASDAQ:CSIQ) has secured over 13 GW peak in contracted backlog for its domestically manufactured HJT and TOPCon modules, valued at over $4.5 billion, with deliveries scheduled through 2029. The new Section 232 policy on imported polysilicon is viewed as net positive, as it supports domestic manufacturing and is expected to reinforce U.S. solar pricing, potentially benefiting Canadian Solar Inc (NASDAQ:CSIQ)'s U.S. investments. The company's technology roadmap includes advanced HJT, TBC, and tandem solar cells, as well as next-generation energy storage solutions like SolBank 4.0 and sodium-ion batteries, positioning it for future growth and innovation. Canadian Solar Inc (NASDAQ:CSIQ) reported a net loss attributable to shareholders of $77 million, or $1.40 per share, due to elevated freight costs and ramp-up expenses at its Jeffersonville solar cell facility. Gross margin declined to 13.9%, impacted by non-recurring items such as tariff refund benefits from the prior quarter and the release of unrealized profit from a U.S. project sale in the prior year. Operating expenses rose 21% sequentially, driven by higher freight rates and non-logistic ramp-up costs at the Jeffersonville plant, leading to an operating loss of $49 million in the manufacturing segment. Recurrent Energy's revenue declined sequentially to $117 million, with an operating loss of $19 million, due to deferred project sales and a $24 million impairment charge related to a Latin America project sale. Net cash flow used in operating activities was $181 million, and total debt increased to $7.1 billion, primarily from non-recourse construction financing, raising concerns about leverage and liquidity. Q: Regarding the 13 gigawatts of bookings through 2029, does the pricing already include the impact of the new Section 232 on polysilicon? If not, what prices are you seeing, and is there flexibility to raise prices with existing customers if spot prices move up?A: Colin Parkin (CEO) stated that contracts are structured with change-in-law and adjustment mechanisms to anticipate such events. The market is already adjusting, and the new policy is expected to drive accelerated deliveries in the second half of 2026 ahead of the December 4th implementation. A company representative added that the $4.5 billion backlog value does not yet include a 232 adjustment, but the announcement will push the value upwards as contracts are renegotiated with customers. Q: Can you elaborate on your qualification for the tariff rebate program under the new Section 232 policy, and what happens if you cannot qualify?A: Xiaohua Qu (Executive Chairman and CTO) confirmed that Canadian Solar expects to qualify for the tariff relief program due to its significant real-dollar investments in U.S. manufacturing, including the Mesquite module factory, Jeffersonville cell factory, and Shelbyville storage factory. He noted that even without the rebate, the minimum import pricing requirements will strengthen U.S. manufacturers' advantages and raise overall module prices, making the policy accretive to the company. Q: Can you quantify the magnitude of price increases you've seen thus far from the Section 232 announcement, and where do you expect pricing to change?A: Colin Parkin (CEO) declined to provide specific numbers, stating it was premature to speculate on the magnitude of changes given the policy is only a week or two old. He noted the company is waiting for new guidance that could shape the market further, but confirmed the policy direction will be accretive to Canadian Solar's overall business. Q: What is your view on complying with the new White House Bulk-Power System policy, especially regarding your U.S. battery cell plant and energy storage business?A: Colin Parkin (CEO) said the company would hold off on detailed comments due to the policy's newness, but emphasized that Canadian Solar's supply chain has already evolved to support domestic content requirements and its U.S. manufacturing plans are structured around compliance. He expressed confidence in the company's ability to address any changes. Q: Regarding the recent FTC clarification on inverters produced in the U.S. and eligible for 45X credits, do you have any comments, and could this be an opportunity for your PCS business?A: Colin Parkin (CEO) noted that Canadian Solar's inverters are not currently being moved into the U.S., so the issue doesn't affect current supply chains. Xiaohua Qu (Executive Chairman) added that the new guidance stating products qualified for 45X will be considered domestic is an interesting clarification. The company is actively reviewing the feasibility of manufacturing PCS and inverters in the U.S., leveraging its existing 45X-qualified structure. Q: Regarding the space PV opportunity, have you already had discussions with major aerospace clients, or is it still in product development?A: Xiaohua Qu (Executive Chairman) confirmed the company is actively collaborating with space and satellite companies, though customer names cannot be disclosed. He highlighted that Canadian Solar's p-type HJT technology is considered a leading candidate for silicon-based space applications due to its tolerance to high-energy particle radiation. The Jeffersonville factory's thin wafer capability (110 micrometers, with R&D reaching 50 micrometers) positions the company at the forefront of space PV, with planned shipments in 2029. Q: Was the choice of HJT technology for the U.S. factory driven by concerns about TOPCon patent issues under Section 337, or were there other reasons?A: Xiaohua Qu (Executive Chairman) explained that HJT was selected for multiple reasons: the company's strong R&D background in HJT since 2017-2018, the process being more equipment-dependent than human-dependent (requiring fewer operators, a unique advantage for U.S. manufacturing), and cleaner IP compared to TOPCon. He expressed confidence that Canadian Solar's TOPCon technology stands on its own without conflicts, but noted that less IP conflict is even better. Q: Can you provide trend lines on overall R&D spending to bring your multi-generation technology roadmap to fruition, and where will the IP sit regionally?A: Xiaohua Qu (Executive Chairman) stated that R&D spending is typically around 1% to 2% of total revenue, which is well-controlled given the company's large revenue base. He noted that more manufacturing and process R&D capabilities are being developed in the U.S., with increasing IP sitting there, while power electronics and energy storage system IP is increasingly being developed in Canada. Q: What practical ways can you manage shipping expenses or pass them on to customers more materially over the next 6 to 12 months?A: Colin Parkin (CEO) explained that shipping costs are built into contracts and passed along to customers. He noted that as the company continues to scale in North America, overseas freight costs will decrease due to onshoring in the U.S., which should naturally reduce shipping expenses over time. Q: How much could you expect from the tariff or duty exemption for domestic CapEx under the new Section 232 policy, and would R&D CapEx be applicable?A: Xiaohua Qu (Executive Chairman) confirmed that the policy allows U.S. manufacturing projects to offset tariff duties. The company will actively engage with the Department of Commerce and apply for tariff and MIP exemptions related to its U.S. manufacturing products, though he declined to speculate on specific amounts before completing the dialogue and process. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Prairie Operating Co. (PROP) came out with quarterly earnings of $0.12 per share, beating the Zacks Consensus Estimate of $0.02 per share. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +500.00%. A quarter ago, it was expected that this company would post earnings of $0.15 per share when it actually produced a loss of $0.11, delivering a surprise of -173.33%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Prairie Operating Co., which belongs to the Zacks Oil and Gas - Integrated - United States industry, posted revenues of $98.86 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 8.65%. This compares to year-ago revenues of $68.1 million. The company has not been able to beat consensus revenue estimates over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Prairie Operating Co. shares have lost about 50.3% since the beginning of the year versus the S&P 500's gain of 13.9%. While Prairie Operating Co. has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Prairie Operating Co. was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.16 on $119.9 million in revenues for the coming quarter and $0.69 on $432.14 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Oil and Gas - Integrated - United States is currently in the bottom 18% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Canadian Solar (CSIQ), another stock in the broader Zacks Oils-Energy sector, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 27. This solar wafers manufacturer is expected to post quarterly loss of $1.01 per share in its upcoming report, which represents a year-over-year change of -90.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Canadian Solar's revenues are expected to be $1.17 billion, down 31.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Prairie Operating Co. (PROP) : Free Stock Analysis Report Canadian Solar Inc. (CSIQ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

SolarEdge Technologies, Inc. SEDG reported a second-quarter 2026 adjusted earnings of 6 cents per share, which beat the Zacks Consensus Estimate of 4 cents by 50%. The result marked a sharp improvement from the year-ago loss of 81 cents per share.Barring one-time adjustments, the company incurred a GAAP loss of 50 cents per share compared with a GAAP loss of $2.13 in the year-ago period. Revenues increased 19.6% year over year to $346.2 million and surpassed the consensus estimate of $343 million by 1.3%. Strong European demand and U.S. commercial and industrial activity offset softness in the U.S. residential market. Battery volume reached 426 megawatt-hours. SolarEdge Technologies, Inc. price-consensus-eps-surprise-chart | SolarEdge Technologies, Inc. Quote Adjusted gross profit rose to $98.7 million from $36.9 million in the prior-year quarter. The adjusted gross margin expanded to 28.6% from 13.1%, representing the sixth consecutive quarter of year-over-year gross margin improvement.The reported margin included a $13.3 million benefit related to tariff matters under the International Emergency Economic Powers Act. Even with that contribution, the widening margin and stronger revenue base helped SolarEdge return to adjusted operating profitability for the first time since the second quarter of 2023.Adjusted operating expenses were $88.5 million compared with $85.2 million a year earlier. However, the improvement in gross profit more than offset the modest increase in expenses, resulting in adjusted operating income of $10.2 million.SEDG had recorded an adjusted operating loss of $48.3 million in the prior-year period. SEDG recognized revenues from approximately 62,600 inverters during the quarter, up from 50,500 in the first quarter. Optimizer volume increased sequentially to nearly 2.49 million units from roughly 2.44 million.Battery volume climbed to 426 megawatt-hours from 331 megawatt-hours in the preceding quarter. The sharp sequential increase supports the strong battery revenue performance and highlights the product category’s growing importance within SEDG’s sales mix. Cash and cash equivalents reached $527.3 million as of June 30, 2026, up from $455.1 million at the end of 2025.As of the same date, total long-term liabilities were $971.1 million compared with $951.2 million as of Dec. 31, 2025.The net cash provided by operating activities in the first six months of 2026 amounted to $35.84 million compared with $26.02 million in the year-ago period. For the third quarter of 2026, the company expects revenues to be between $310 million and $340 million. The midpoint of $325 million implies a sequential decline from the second-quarter level. The Zacks Consensus Estimate is pegged at $377.18 million, higher than the company’s guided range.Adjusted gross margin is projected between 22% and 26%, while adjusted operating expenses are expected in the range of $86 million to $91 million. The guidance excludes potential third-quarter tariff refunds and assumes no significant revenue pull-forward. The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. First Solar, Inc. FSLR reported second-quarter 2026 earnings of $3.92 per share, which beat the Zacks Consensus Estimate of $2.74 by 43.1%. The bottom line increased 23.3% from $3.18 in the year-ago quarter. FSLR’s net sales of $1.06 billion missed the consensus estimate of $1.061 billion by 0.4% and declined 3.7% year over year.Enphase Energy, Inc. ENPH reported second-quarter 2026 adjusted earnings of 46 cents per share, which came in line with the Zacks Consensus Estimate. However, the bottom line declined 33.3% from 69 cents in the prior-year quarter.ENPH’s second-quarter revenues of $291.9 million missed the Zacks Consensus Estimate of $295 million by 1%. The top line also decreased 19.6% from the prior-year quarter’s reported figure of $363.2 million. Canadian Solar Inc. CSIQ is slated to report second-quarter 2026 results on Aug. 27, before market open. The Zacks Consensus Estimate for CSIQ’s second-quarter loss is pegged at $1.01 per share, indicating a year-over-year decline of 90.6%.The Zacks Consensus Estimate for CSIQ’s second-quarter sales is pegged at $1.17 billion, implying a year-over-year decline of 31.2%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SolarEdge Technologies, Inc. (SEDG) : Free Stock Analysis Report First Solar, Inc. (FSLR) : Free Stock Analysis Report Canadian Solar Inc. (CSIQ) : Free Stock Analysis Report Enphase Energy, Inc. (ENPH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

SolarEdge Technologies (SEDG) came out with quarterly earnings of $0.06 per share, beating the Zacks Consensus Estimate of $0.04 per share. This compares to a loss of $0.81 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +50.00%. A quarter ago, it was expected that this photovoltaic products maker would post a loss of $0.23 per share when it actually produced a loss of $0.43, delivering a surprise of -86.96%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. SolarEdge, which belongs to the Zacks Solar industry, posted revenues of $346.25 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.34%. This compares to year-ago revenues of $289.43 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. SolarEdge shares have added about 69% since the beginning of the year versus the S&P 500's gain of 13%. While SolarEdge has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for SolarEdge was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.20 on $377.18 million in revenues for the coming quarter and $0.05 on $1.4 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Solar is currently in the top 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Canadian Solar (CSIQ), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 27. This solar wafers manufacturer is expected to post quarterly loss of $1.01 per share in its upcoming report, which represents a year-over-year change of -90.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Canadian Solar's revenues are expected to be $1.17 billion, down 31.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SolarEdge Technologies, Inc. (SEDG) : Free Stock Analysis Report Canadian Solar Inc. (CSIQ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

KITCHENER, ON, July 30, 2026 /PRNewswire/ -- Canadian Solar Inc. ("the Company", "Canadian Solar") (NASDAQ: CSIQ) today announced that it will hold a conference call on Thursday, August 27, 2026, at 8:00 a.m. U.S. Eastern Time to discuss the Company's second quarter 2026 results and business outlook. The dial-in phone number for the live audio call is +1-877-704-4453 (toll-free from the U.S.) or +1-201-389-0920 from international locations. The conference ID is 13762069. A live webcast of the conference call will also be available via the webcast link on the investor relations section of Canadian Solar's website. A replay of the call will be available after the conclusion of the call until 11:00 p.m. U.S. Eastern Time on Thursday, September 10, 2026, and can be accessed by dialing +1-844-512-2921 (toll-free from the U.S.) or +1-412-317-6671 from international locations. The replay pin number is 13762069. A webcast replay will also be available via the webcast link on the investor relations section of Canadian Solar's website. About Canadian Solar Inc.Canadian Solar is one of the world's largest solar technology and renewable energy companies. Founded in 2001 and headquartered in Kitchener, Ontario, the Company is a leading manufacturer of solar photovoltaic modules; provider of solar energy and battery energy storage solutions; and developer, owner, and operator of utility-scale solar power and battery energy storage projects. Over the past 25 years, Canadian Solar has successfully delivered nearly 177 GW of premium-quality, solar photovoltaic modules to customers across the world. Through its subsidiary e-STORAGE, Canadian Solar had shipped over 20 GWh of battery energy storage solutions to global markets as of March 31, 2026, and had a $3.5 billion contracted backlog as of May 8, 2026. Since entering the project development business in 2010, Canadian Solar has developed, built, and connected approximately 12.2 GWp of solar power projects and 6.4 GWh of battery energy storage projects globally. Its geographically diversified project development pipeline includes 24 GWp of solar and 81 GWh of battery energy storage capacity in various stages of development. Canadian Solar is one of the most bankable companies in the solar and renewable energy industry, having been publicly listed on the NASDAQ since 2006. For additional information about the Company, follow Canadian Solar on LinkedIn or visit www.canadiansolar.com. CANADIAN SOLAR INC. INVESTOR RELATIONS CONTACT Wina HuangInvestor RelationsCanadian Solar [email protected] View original content:https://www.prnewswire.com/news-releases/canadian-solar-schedules-second-quarter-2026-earnings-conference-call-for-august-27-302838469.html

First Solar (FSLR) came out with quarterly earnings of $3.92 per share, beating the Zacks Consensus Estimate of $2.74 per share. This compares to earnings of $3.18 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +43.07%. A quarter ago, it was expected that this largest U.S. solar company would post earnings of $2.87 per share when it actually produced earnings of $3.22, delivering a surprise of +12.2%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. First Solar, which belongs to the Zacks Solar industry, posted revenues of $1.06 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 0.44%. This compares to year-ago revenues of $1.1 billion. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. First Solar shares have lost about 23.7% since the beginning of the year versus the S&P 500's gain of 6.9%. While First Solar has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for First Solar was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $5.29 on $1.43 billion in revenues for the coming quarter and $17.54 on $5.1 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Solar is currently in the top 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Canadian Solar (CSIQ), is yet to report results for the quarter ended June 2026. This solar wafers manufacturer is expected to post quarterly loss of $1.01 per share in its upcoming report, which represents a year-over-year change of -90.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Canadian Solar's revenues are expected to be $1.17 billion, down 31.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Solar, Inc. (FSLR) : Free Stock Analysis Report Canadian Solar Inc. (CSIQ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

KITCHENER, ON, July 2, 2026 /PRNewswire/ -- Canadian Solar Inc. (the "Company" or "Canadian Solar") (NASDAQ: CSIQ) today announced that it held its Annual Meeting of Shareholders on June 30, 2026. Each of the proposals submitted for shareholder approval was approved. Specifically, the shareholders approved: The election of Shawn (Xiaohua) Qu, Harry E. Ruda, Andrew L.C. Wong, Lauren C. Templeton, Leslie Chang, Colin Parkin, and Yuan Z. Qu each as a director of the Company until the next annual meeting of shareholders of the Company or until their successors are elected or appointed; The re-appointment of Deloitte Touche Tohmatsu Certified Public Accountants LLP as the auditors of the Company until the close of the next annual meeting of shareholders of the Company or until its successor is appointed, and the authorization of the directors of the Company to fix the auditors' remuneration. About Canadian Solar Inc.Canadian Solar is one of the world's largest solar technology and renewable energy companies. Founded in 2001 and headquartered in Kitchener, Ontario, the Company is a leading manufacturer of solar photovoltaic modules; provider of solar energy and battery energy storage solutions; and developer, owner, and operator of utility-scale solar power and battery energy storage projects — delivering solar, storage, system integration and long-term operation under a single accountable partner. Over the past 25 years, Canadian Solar has successfully delivered nearly 177 GW of premium-quality, solar photovoltaic modules to customers across the world. Through its subsidiary e-STORAGE, Canadian Solar had shipped over 20 GWh of battery energy storage solutions to global markets as of March 31, 2026, and had a $3.5 billion contracted backlog as of May 8, 2026. In North America, Canadian Solar operates local manufacturing to meet tariff and compliance requirements and safeguard on-schedule project delivery. Since entering the project development business in 2010, Canadian Solar has developed, built, and connected approximately 12.2 GWp of solar power projects and 6.4 GWh of battery energy storage projects globally. Its geographically diversified project development pipeline includes 24 GWp of solar and 81 GWh of battery energy storage capacity in various stages of development. Canadian Solar is one of the most bankable companies in the solar and renewable energy industry, having been publicly listed on the NASDAQ since 2006. For additional information about the Company, follow Canadian Solar on LinkedIn or visit www.canadiansolar.com. Canadian Solar Inc. ContactWina Huang Investor RelationsCanadian Solar [email protected] View original content:https://www.prnewswire.com/news-releases/canadian-solar-inc-announces-results-of-2026-annual-meeting-of-shareholders-302816547.html