Canadian Solar Reports Second Quarter 2025 Results
KITCHENER, ON, Aug. 21, 2025 /PRNewswire/ -- Canadian Solar Inc. ("Canadian Solar" or the "Company") (NASDAQ: CSIQ) today announced financial results for the second quarter ended June 30, 2025.
Second Quarter Highlights
-- 14% quarter-over-quarter ("qoq") increase in solar module shipments to 7.9 GW, within guidance of 7.5 GW to 8.0 GW.
-- 29.8% gross margin, exceeding guidance of 23% to 25%.
-- Released the 2024 Sustainability Report on May 29, 2025, with updated disclosures aligned to global reporting standards.
Dr. Shawn Qu, Chairman and CEO, commented, "We delivered a second quarter largely in line with expectations. While revenue came in below guidance due to storage shipments shifting to the second half and delays in certain project sales, gross margin exceeded expectations, driven by a higher mix of North America module shipments and robust storage volumes. Following the surge in installations in China during the first half, we expect demand to normalize as the market adjusts to a new paradigm. We remain focused on navigating the uncertain policy environment with a focus on risk management and sustainable profitability."
Yan Zhuang, President of Canadian Solar's subsidiary CSI Solar, said, "In the second quarter, we delivered module shipments near the high end of guidance. Despite tariff headwinds, e-STORAGE achieved one of its strongest quarters. With solar supply chain pricing trending higher and storage margins normalizing, we expect margin pressure in the second half. We remain focused on strategically managing module volumes to less profitable markets and growing our storage volumes globally. Meanwhile, we continue to build emerging profitability drivers such as our residential energy storage systems and bundled sales solutions."
Ismael Guerrero, CEO of Canadian Solar's subsidiary Recurrent Energy, said, "Revenue and profitability in the second quarter were sequentially lower, primarily due to lighter project sales. We monetized over 200 MW of projects in Europe and Japan, including our first and profitable sale of a battery energy storage project in Italy, while a project sale in Latin America shifted to the second half of the year. Overall, we expect our electricity sales revenue to grow steadily, as we enhance the performance of our existing IPP portfolio and advance construction in our target markets, with more meaningful contributions expected next year."
Xinbo Zhu, Senior VP and CFO, added, "In the second quarter, we delivered $1.7 billion in revenue and a gross margin of 29.8%. Non-recurring operating expenses, including impairments to projects and manufacturing assets, reduced profitability, resulting in net income attributable to shareholders of $7 million, or a net loss of $0.08 per diluted share. We continue to manage cash flow prudently, prioritizing disciplined capital deployment. Operating cash inflow was $189 million, and we ended the quarter with a cash position of $2.3 billion."
Second Quarter 2025 Results
Total module shipments recognized as revenues in Q2 2025 were 7.9 GW, up 14% quarter-over-quarter ("qoq") and down 4% year-over-year ("yoy"). Of the total, 672 MW were shipped to the Company's own utility-scale solar power projects.
Net revenues were $1.7 billion in Q2 2025, up 42% sequentially and 4% yoy, mainly due to higher sales of battery energy storage systems and solar modules.
Gross profit was $505 million, compared to $140 million in Q1 2025 and $282 million in Q2 2024. Gross margin was 29.8%, compared to 11.7% and 17.2%, respectively. The gross margin sequential and yoy increases were primarily driven by a release of unrealized profit upon sales-type leasing of a U.S. project, higher margin contribution from battery energy storage systems, and the benefit from a U.S. anti-dumping ("AD") and countervailing duty ("CVD") true-up adjustment.
Operating expenses were $378 million, up from $195 million in Q1 2025 and $234 million in Q2 2024. The increase was primarily caused by impairment charges related to certain solar and storage assets, as well as manufacturing assets. Operating expenses represented 22.3% of revenue, compared to 16.3% in Q1 2025 and 14.3% in Q2 2024.
Net income attributable to Canadian Solar in accordance with generally accepted accounting principles in the United States of America ("GAAP") in Q2 2025 was $7 million, or a net loss of $0.08 per diluted share, compared to a net loss of $34 million, or $0.69 per diluted share, in the Q1 2025, and net income of $4 million, or $0.02 per diluted share, in Q2 2024.
Adjusted net loss attributable to Canadian Solar Inc. (non-GAAP) was $23 million, and adjusted loss per share - diluted was $0.53 per share in Q2 2025, compared to an adjusted net loss of $60 million or adjusted $1.07 per share in Q1 2025, and a net income of $4 million or $0.02 per share in Q2 2024. Adjusted net loss attributable to Canadian Solar Inc. and adjusted loss per share - diluted in Q2 2025 and Q1 2025 exclude the recognition of income using hypothetical liquidation at book value ("HLBV") method. The Company uses the HLBV method to attribute income and loss to its tax equity investors. Please see Recurrent Energy - HLBV for definition and About Non-GAAP Financial Measures for reconciliation to nearest GAAP measures.
Net cash flow provided by operating activities in Q2 2025 was $189 million, driven by changes in working capital, specifically a decrease in inventories, compared to net cash flow used in operating activities of $264 million in Q1 2025 and $429 million in Q2 2024.
Total debt, including financing liabilities, was $6.3 billion as of June 30, 2025, including $2.5 billion, $3.5 billion, and $0.3 billion related to CSI Solar, Recurrent Energy, and convertible notes, respectively. Total debt rose from $5.7 billion as of March 31, 2025, mainly due to new borrowings for development of projects and operational assets. Total non-recourse debt as of June 30, 2025, was $1.8 billion.
Business Segments
The Company operates in two reportable segments: CSI Solar, focused on solar modules and battery energy storage manufacturing and products, and Recurrent Energy, focused on utility-scale solar power and battery energy storage project development and operation.
Recurrent Energy
As of June 30, 2025, the Company held a leading position with a total global solar project development pipeline of approximately 27 GWp and a battery energy storage project development pipeline of 80 GWh.
The business model consists of three key drivers:
-- Electricity revenue from operating portfolio to drive stable, diversified cash flows in growth markets with stable currencies, with some project ownership sales to manage cash flow and debt level;
-- Asset sales (solar power and battery energy storage) in the rest of the world to drive cash-efficient growth model, as value from project sales will help fund growth in operating assets in stable currency markets; and
-- Power services (O&M) through long-term operations and maintenance ("O&M") contracts, currently with nearly 14 GW of contracted projects, to drive stable and long-term recurring earnings and synergies with the project development platform.
Project Development Pipeline - Solar
As of June 30, 2025, the Company's total solar project development pipeline was 27.3 GWp, including 2.0 GWp under construction, 4.2 GWp of backlog, and 21.1 GWp of projects in advanced and early-stage development, defined as follows:
-- Backlogprojects are late-stage projects that have passed their risk cliff date and are expected to start construction in the next 1-4 years. A project's risk cliff date is the date on which the project passes the last high-risk development stage and varies depending on the country where it is located. Typically, this occurs after the project has received all the required environmental and regulatory approvals, and entered into interconnection agreements and offtake contracts, including feed-in tariff ("FIT") arrangements and power purchase agreements ("PPAs"). A significant majority of backlog projects are contracted (i.e., have secured a PPA or FIT), and the remaining have a reasonable assurance of securing PPAs.
-- Advanced pipeline projects are mid-stage projects that have secured or have more than 90% certainty of securing an interconnection agreement.
-- Early-stage pipeline projects are early-stage projects controlled by the Company that are in the process of securing interconnection.
While the magnitude of the Company's project development pipeline is an important indicator of potential expanded power generation and battery energy storage capacity as well as potential future revenue growth, the development of projects in its pipeline is inherently uncertain. If the Company does not successfully complete the pipeline projects in a timely manner, it may not realize the anticipated benefits of the projects to the extent anticipated, which could adversely affect its business, financial condition, or results of operations. In addition, the Company's guidance and estimates for its future operating and financial results assume the completion of certain solar projects and battery energy storage projects that are in its pipeline. If the Company is unable to execute on its actionable pipeline, it may miss its guidance, which could adversely affect the market price of its common shares and its business, financial condition, or results of operations.
HLBV
The Company applies the HLBV method to account for its contractual relationships with tax equity investors in U.S. solar energy and battery energy storage projects. This method which allocates income or loss attributable to redeemable noncontrolling interests reflects the changes in the amounts that tax equity investors would hypothetically receive upon liquidation at the beginning and end of each reporting period, after considering any capital transactions, such as contributions or distributions, between our subsidiaries and tax equity investors.
The following table presents the Company's total solar project development pipeline.
Solar Project Development Pipeline (as of
June 30
,
202
5
) - MWp*
Region Under Backlog Advanced Early-Stage Total
Construction Development Development
North America 276 547 427 5,024 6,274
Europe, the Middle East, and Africa 1,073 1,704** 872 4,767 8,416
("EMEA")
Latin America 128** 823 352 5,666 6,969
Asia Pacific excluding China and Japan 171 275 430 1,289 2,165
China 300 780** 2,100 3,180
Japan 52 33 80 127 292
Total 2,000 4,162 2,161 18,973 27,296
*All numbers are gross MWp.
**Including
63
MWp under construction and
551
MWp in backlog that are owned by or already sold to third parties.
Project Development Pipeline - Battery Energy Storage
As of June 30, 2025, the Company's total battery energy storage project development pipeline was 80.2 GWh, including 6.4 GWh under construction and in backlog, and 73.8 GWh of projects in advanced and early-stage development.
The table below sets forth the Company's total battery energy storage project development pipeline.
Battery Energy Storage
Project Development Pipeline (as of June 30, 2025) - MWh
Region Under Backlog Advanced Early-Stage Total
Construction Development Development
North America 600 200 600 20,644 22,044
EMEA 43 2,708 4,493 31,790 39,034
Latin America 1,320 1,385 2,705
Asia Pacific excluding China and Japan 440 240 740 2,580 4,000
China 1,200 6,600 7,800
Japan 8 936 2,031 1,650 4,625
Total 1,091 5,284 9,184 64,649 80,208
CSI Solar
Solar Modules and Solar System Kits
CSI Solar shipped 7.9 GW of solar modules and solar system kits to more than 70 countries in Q2 2025. The top five markets ranked by shipments were the U.S., China, Pakistan, Spain, and Australia.
CSI Solar's revised manufacturing capacity expansion targets are set forth below.
Solar Manufacturing Capacity, GW*
---
June 2025 December 2025
Actual
Plan
---
Ingot 31.0 31.0
Wafer 37.0 37.0
Cell 36.2 32.4
Module 59.0 51.2
*Nameplate annualized capacities at said point in time. Capacity expansion plans are subject to change without notice
based on market conditions and capital allocation plans.
e-STORAGE: Battery Energy Storage Solutions
As of June 30, 202 5 , e-STORAGE contracted backlog, including contracted long-term service agreements, was $3 billion. These are signed orders with contractual obligations to customers, providing significant earnings visibility over a multi-year period.
The table below sets forth e-STORAGE's manufacturing capacity expansion targets.
e-STORAGE Manufacturing Capacity Expansion Plans*
June 2025 December 2025 December 2026
Actual Plan Plan
SolBank Battery Energy Storage Solutions (GWh) 10 15 24
Battery Cells (GWh) 3 3 9
*Nameplate annualized capacities (single-shift basis) at said point in time. Capacity expansion plans are subject to change
without notice based on market conditions and capital allocation plans.
Business Outlook
The Company's business outlook is based on management's current views and estimates given factors such as existing market conditions, order book, production capacity, input material prices, foreign exchange fluctuations, the anticipated timing of project sales, and the global economic environment. This outlook is subject to uncertainty with respect to, among other things, customer demand, project construction and sale schedules, product sales prices and costs, supply chain constraints, and geopolitical conflicts. Management's views and estimates are subject to change without notice.
In Q3 2025, the Company expects total revenue to be in the range of $1.3 billion to $1.5 billion. Gross margin is expected to be between 14% and 16%. Total module shipments recognized as revenues by CSI Solar are expected to be in the range of 5.0 GW to 5.3 GW. Total battery energy storage shipments by CSI Solar in Q3 2025 are expected to be in the range of 2.1 GWh to 2.3 GWh, including approximately 250 MWh to the Company's own projects.
For the full year of 2025, the Company expects CSI Solar's total module shipments to be in the range of 25 GW to 27 GW, including approximately 1 GW to the Company's projects. CSI Solar's total battery energy storage shipments are expected to be in the range of 7 GWh to 9 GWh, including approximately 1 GWh to the Company's own projects. The Company's total revenue is expected to be in the range of $5.6 billion to $6.3 billion.
Dr. Shawn Qu, Chairman and CEO, commented, "We expect third quarter margins to moderate as difficult market conditions persist, and storage profitability reflects more recent orders at normalized levels. We narrowed our full year module volume guidance and maintained our storage volume guidance, supported by increased visibility into the second half. Full year revenue expectations have been adjusted to reflect certain project sales shifting into 2026 and a more measured view on module pricing. The second half will remain challenging, with rising solar supply chain prices and ongoing trade uncertainties. We will continue to navigate these conditions with discipline, maintaining a prudent balance between growth and profitability."
Recent Developments
Canadian Solar
On May 29, 2025, Canadian Solar announced the publication of its 2024 Sustainability Report, which highlights the Company's sustainability strategy and performance, including progress towards achieving its sustainability goals. The sustainability disclosures in the report are aligned with the global standards set by the SASB and GRI, with reference to the IFRS set by the ISSB.
CSI Solar
On July 16, 2025, Canadian Solar announced its residential energy storage system, EP Cube, designed by its subsidiary, Eternalplanet, won the prestigious Red Dot Award 2025. This award recognizes EP Cube as one of the most well-designed residential energy storage products globally. Earlier this year, EP Cube also received several other international design awards, including the If Design Award and MUSE Design Award Gold.
On June 3, 2025, Canadian Solar announced the completion of Large-Scale Fire Testing for its SolBank 3.0 energy storage system. The successful test demonstrated that SolBank 3.0 meets key fire safety criteria by containing thermal events within a single enclosure, providing enhanced safety assurance for utility-scale deployments.
Recurrent Energy
On July 17, 2025, Canadian Solar announced it closed project financing and tax equity for Blue Moon Solar located in Harrison County, Kentucky. U.S. Bank, through its subsidiary U.S. Bancorp Impact Finance, is providing both tax equity and construction financing for the project, totaling $260 million. Constellation will purchase power and renewable energy certificates produced by the 94 MW energy facility. Blue Moon Solar is currently under construction and expected to reach commercial operation in 2026. Recurrent Energy will own and operate the project after it is energized.
On July 7, 2025, Canadian Solar announced that the 1,200 MWh Papago Storage facility in Maricopa County, Arizona, has reached commercial operation. The project is now dispatching stored energy to Arizona Public Service (APS), the state's largest electric utility. Papago Storage is the first of three Recurrent Energy projects with tolling agreements in place with APS to become operational.
Conference Call Information
The Company will hold a conference call on Thursday, August 21, 2025, at 8:00 a.m. U.S. Eastern Time (8:00 p.m., Thursday, August 21, 2025, in Hong Kong) to discuss the Company's second quarter 2025 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.), 800 965 561 (from Hong Kong), +86 400 120 2840 (local dial-in from Mainland China) or +1-201-389-0920 from international locations. The conference ID is 13755040. 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 after the conclusion of the call until 11:00 p.m. U.S. Eastern Time on Thursday, September 4, 2025 (11:00 a.m. September 5, 2025, in Hong Kong) 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 13755040. A webcast replay will also be available on the investor relations section of Canadian Solar's website at www.canadiansolar.com.
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 24 years, Canadian Solar has successfully delivered nearly 165 GW of premium-quality, solar photovoltaic modules to customers across the world. Through its subsidiary e-STORAGE, Canadian Solar has shipped over 13 GWh of battery energy storage solutions to global markets as of June 30, 2025, boasting a $3 billion contracted backlog as of June 30, 2025. Since entering the project development business in 2010, Canadian Solar has developed, built, and connected approximately 12 GWp of solar power projects and 6 GWh of battery energy storage projects globally. Its geographically diversified project development pipeline includes 27 GWp of solar and 80 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.
Safe Harbor/Forward-Looking Statements
Certain statements in this press release, including those regarding the Company's expected future shipment volumes, revenues, gross margins, and project sales 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 "may", "will", "expect", "anticipate", "future", "ongoing", "continue", "intend", "plan", "potential", "prospect", "guidance", "believe", "estimate", "is/are likely to" or similar expressions, the negative of these terms, or other comparable terminology. These forward-looking statements include, among other things, our expectations regarding global electricity demand and the adoption of solar and battery energy storage technologies; our growth strategies, future business performance, and financial condition; our transition to a long-term owner and operator of clean energy assets and expansion of project pipelines; our ability to monetize project portfolios, manage supply chain fluctuations, and respond to economic factors such as inflation and interest rates; our outlook on government incentives, trade measures, regulatory developments, and geopolitical risks; our expectations for project timelines, costs, and returns; competitive dynamics in solar and storage markets; our ability to execute supply chain, manufacturing, and operational initiatives; access to capital, debt obligations, and covenant compliance; relationships with key suppliers and customers; technological advancement and product quality; and risks related to intellectual property, litigation, and compliance with environmental and sustainability regulations. Other risks were described in the Company's filings with the Securities and Exchange Commission, including its annual report on Form 20-F filed on April 30, 2025. 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.
Investor Relations Contact:
Wina Huang
Investor Relations
Canadian Solar Inc.
investor@canadiansolar.com
FINANCIAL TABLES FOLLOW
The following tables provide unaudited select financial data for the Company's CSI Solar and
Recurrent Energy businesses.
Select Financial Data - CSI Solar and Recurrent Energy
Three Months Ended and As of June 30, 2025
(In Thousands of U.S. Dollars)
CSI Solar Recurrent Elimination Total
Energy and unallocated
items
Net revenues $1,731,803 $106,135 $(144,067) $1,693,871
Cost of revenues 1,346,248 71,757 (229,164) 1,188,841
Gross profit 385,555 34,378 85,097 505,030
Operating
expenses 264,815 108,815 3,967 377,597
Income (loss)
from 120,740 (74,437) 81,130 127,433
operations
Other segment
items (1) (46,299)
Income before
income taxes 81,134
and equity in
losses of
affiliates
Supplementary Information:
Interest expense $(15,983) $(25,521) $(3,303) $(44,807)
Interest income 7,264 2,296 360 9,920
Depreciation and 131,433 14,344 145,777
amortization,
included in
cost of revenues
and
operating
expenses
Cash and cash
equivalents $1,454,276 $346,844 $54,914 $1,856,034
Restricted cash -
current and 340,258 67,917 408,175
non-current
Non-recourse
borrowings 1,809,269 1,809,269
Other short-term
and long- 2,443,265 1,478,119 3,921,384
term borrowings
Convertible notes
- non- 274,510 274,510
current
Green bonds -
non-current 163,586 163,586
Select Financial Data - CSI Solar and Recurrent Energy
Six Months Ended June 30, 2025
(In Thousands of U.S. Dollars)
CSI Solar Recurrent Elimination and unallocated
Energy items Total
Net revenues $2,922,061 $231,377 $(262,942) $2,890,496
Cost of revenues 2,376,968 173,715 (305,711) 2,244,972
Gross profit 545,093 57,662 42,769 645,524
Operating expenses 422,516 144,096 6,284 572,896
Income (loss) from operations 122,577 (86,434) 36,485 72,628
Other segment items (1) (87,225)
Loss before income taxes and (14,597)
equity in losses of affiliates
Supplementary Information:
Interest expense $(32,865) $(46,490) $(5,939) $(85,294)
Interest income 15,338 5,974 704 22,016
Depreciation and amortization, 261,276 28,216 289,492
included in cost of revenues
and operating expenses
(1) Includes interest expense, net, loss on change in fair value of derivatives, net, foreign exchange loss, net and investment income, net.
The following table summarizes the revenues generated from each product or service.
Three Months Three Months Three Months
Ended Ended Ended
June 30, March 31,
2025 2025 June 30, 2024
(In Thousands of U.S. Dollars)
CSI Solar:
Solar modules $1,022,266 $797,422 $1,207,816
Solar system kits 73,812 85,526 114,869
Battery energy storage solutions 432,399 155,310 225,805
EPC and others 61,613 35,037 36,418
Subtotal 1,590,090 1,073,295 1,584,908
Recurrent
Energy:
Solar power and battery energy storage asset 48,091 72,151 12,752
sales
Power services 18,809 16,499 16,853
Revenue from electricity, battery energy storage 36,881 34,680 20,920
operations and others
Subtotal 103,781 123,330 50,525
Total net revenues $1,693,871 $1,196,625 $1,635,433
Six Months Ended Six Months Ended
June 30, 2025 June 30, 2024
(In Thousands of U.S. Dollars)
CSI Solar:
Solar modules $1,819,688 $2,119,966
Solar system kits 159,338 214,116
Battery energy storage solutions 587,709 477,278
EPC and others 96,650 63,226
Subtotal 2,663,385 2,874,586
Recurrent
Energy:
Solar power and battery energy storage asset 120,242 18,796
sales
Power services 35,308 31,009
Revenue from electricity, battery energy storage 71,561 40,153
operations and others
Subtotal 227,111 89,958
Total net revenues $2,890,496 $2,964,544
Canadian Solar Inc.
Unaudited Condensed Consolidated Statements of Operations
(In Thousands of U.S. Dollars, Except Share and Per Share Data)
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
Net revenues $1,693,871 $1,196,625 $1,635,433 $2,890,496 $2,964,544
Cost of revenues 1,188,841 1,056,131 1,353,339 2,244,972 2,429,697
Gross profit 505,030 140,494 282,094 645,524 534,847
Operating expenses:
Selling and distribution 109,479 90,767 131,692 200,246 220,104
expenses
General and
administrative 252,671 105,651 100,911 358,322 195,604
expenses
Research and development 24,719 24,284 25,578 49,003 59,857
expenses
Other operating income,
net (9,272) (25,403) (23,737) (34,675) (37,440)
Total operating expenses 377,597 195,299 234,444 572,896 438,125
Income (loss) from operations 127,433 (54,805) 47,650 72,628 96,722
Other income (expenses):
Interest expense (44,807) (40,487) (33,022) (85,294) (67,889)
Interest income 9,920 12,096 14,122 22,016 48,424
Gain (loss) on change in
fair (5,760) (9,039) 81 (14,799) (16,613)
value of derivatives,
net
Foreign exchange gain (7,318) (4,586) 12,486 (11,904) 25,399
(loss), net
Investment income
(loss), 1,666 1,090 (835) 2,756 (666)
net
Total other expenses (46,299) (40,926) (7,168) (87,225) (11,345)
Income (loss) before income 81,134 (95,731) 40,482 (14,597) 85,377
taxes and equity in earnings
(losses) of affiliates
Income tax benefit (expense) (34,311) 23,122 (5,283) (11,189) (14,960)
Equity in losses of affiliates (2,053) (4,045) (7,775) (6,098) (6,770)
Net income (loss) 44,770 (76,654) 27,424 (31,884) 63,647
Less: net income (loss) 37,573 (42,683) 23,602 (5,110) 47,473
attributable to non-controlling
interests and redeemable non-
controlling interests
Net income (loss) attributable $7,197 $(33,971) $3,822 $(26,774) $16,174
to Canadian Solar Inc.
Earnings (loss) per share - basic $(0.08) $(0.69) $0.02 $(0.77) $0.21
Shares used in computation - 67,167,296 66,962,686 66,413,750 67,065,556 66,289,155
basic
Earnings (loss) per share - $(0.08) $(0.69) $0.02 $(0.77) $0.21
diluted
Shares used in computation - 67,167,296 66,962,686 66,984,783 67,065,556 66,813,754
diluted
Canadian Solar Inc.
Unaudited Condensed Consolidated Statement of Comprehensive Income (Loss)
(In Thousands of U.S. Dollars)
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
Net income (loss) $44,770 $(76,654) $27,424 $(31,884) $63,647
Other comprehensive income (loss), net of tax:
Foreign currency 95,175 2,091 (59,897) 97,266 (113,710)
translation adjustment
Gain (loss) on changes 865 (504) 769 361 1,649
in fair value of available-
for-sale debt securities
Gain (loss) on interest (8,148) (3,081) (481) (11,229) 484
rate swap
Share of gain (loss) on (629) (1,232) (159) (1,861) 975
changes in fair value of
interest rate swap of
affiliate
Comprehensive income (loss) 132,033 (79,380) (32,344) 52,653 (46,955)
Less: comprehensive 41,855 (40,768) 15,637 1,087 35,974
income (loss) attributable
to non-controlling
interests and
redeemable non-
controlling interests
Comprehensive income $90,178 $(38,612) $(47,981) $51,566 $(82,929)
(loss) attributable to
Canadian Solar Inc.
Canadian Solar Inc.
Unaudited Condensed Consolidated Balance Sheets
(In Thousands of U.S. Dollars)
June 30, December 31,
2025 2024
ASSETS
Current assets:
Cash and cash equivalents $1,856,034 $1,701,487
Restricted cash 388,025 551,387
Accounts receivable trade,
net 915,302 1,118,770
Accounts receivable,
unbilled 176,542 142,603
Amounts due from related
parties 2,874 5,220
Inventories 1,247,923 1,206,595
Value added tax recoverable 232,744 221,539
Advances to suppliers, net 211,625 124,440
Derivative assets 10,936 14,025
Project assets 371,434 394,376
Prepaid expenses and other
current assets 796,174 436,635
Total current assets 6,209,613 5,917,077
Restricted cash 20,150 11,147
Property, plant and equipment, net 3,307,521 3,174,643
Solar power and battery energy storage systems, 1,981,087 1,976,939
net
Deferred tax assets, net 397,146 473,500
Advances to suppliers, net 97,985 118,124
Investments in affiliates 262,015 232,980
Intangible assets, net 32,212 31,026
Project assets 1,347,421 889,886
Right-of-use assets 430,534 378,548
Amounts due from related parties 78,150 75,215
Other non-current assets 648,097 232,465
TOTAL ASSETS $14,811,931 $13,511,550
Canadian Solar Inc.
Unaudited Condensed Consolidated Balance Sheets (Continued)
(In Thousands of U.S. Dollars)
June 30, December 31,
2025 2024
LIABILITIES, REDEEMABLE INTERESTS AND EQUITY
Current liabilities:
Short-term borrowings $2,275,211 $1,873,306
Convertible notes 228,917
Accounts payable 1,016,152 1,062,874
Short-term notes payable 610,288 637,512
Amounts due to related parties 3,427 3,927
Other payables 1,040,789 984,023
Advances from customers 143,224 204,826
Derivative liabilities 2,336 13,738
Operating lease liabilities 24,972 21,327
Other current liabilities 559,163 388,460
Total current liabilities 5,675,562 5,418,910
Long-term borrowings 3,455,442 2,731,543
Convertible notes 274,510
Green bonds 163,586 146,542
Liability for uncertain tax positions 5,770 5,770
Deferred tax liabilities 119,790 204,832
Operating lease liabilities 321,310 271,849
Other non-current liabilities 620,101 582,301
TOTAL LIABILITIES 10,636,071 9,361,747
Redeemable non-controlling interests 205,363 247,834
Equity:
Common shares 835,543 835,543
Additional paid-in capital 575,449 590,578
Retained earnings 1,558,984 1,585,758
Accumulated other comprehensive loss (115,175) (196,379)
Total Canadian Solar Inc. shareholders' equity 2,854,801 2,815,500
Non-controlling interests 1,115,696 1,086,469
TOTAL EQUITY 3,970,497 3,901,969
TOTAL LIABILITIES, REDEEMABLE $14,811,931 $13,511,550
INTERESTS AND EQUITY
Canadian Solar Inc.
Unaudited Condensed Statements of Cash Flows
(In Thousands of U.S. Dollars)
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
Operating Activities:
Net income (loss) $44,770 $(76,654) $27,424 $(31,884) $63,647
Adjustments to net 366,084 161,770 174,201 527,854 332,551
income (loss)
Changes in operating (222,298) (349,319) (630,963) (571,617) (1,117,023)
assets and liabilities
Net cash provided by 188,556 (264,203) (429,338) (75,647) (720,825)
(used in) operating
activities
Investing Activities:
Purchase of property, (172,729) (256,380) (390,248) (429,109) (660,310)
plant and equipment
and intangible assets
Purchase of solar (219,695) (128,707) (10,936) (348,402) (184,277)
power and battery
energy storage systems
Other investing (55,882) (83,897) 2,515 (139,779) 12,947
activities
Net cash used in
investing (448,306) (468,984) (398,669) (917,290) (831,640)
activities
Financing Activities:
Proceeds from - 297,000 297,000
subsidiary's issuance of
preferred shares, net
Capital contributions 14,680 14,680 -
from tax equity
investors in subsidiaries
Repurchase of shares (24,221) (21,404) (70,624) (45,625) (70,624)
by subsidiary
Other financing 495,276 550,962 (38,778) 1,046,238 684,634
activities
Net cash provided by 471,055 544,238 187,598 1,015,293 911,010
financing activities
Effect of exchange
rate 18,985 (41,153) (61,483) (22,168) (112,736)
changes
Net increase
(decrease) in 230,290 (230,102) (701,892) 188 (754,191)
cash, cash equivalents
and restricted cash
Cash, cash equivalents $2,033,919 $2,264,021 $2,894,133 $2,264,021 $2,946,432
and restricted cash at
the beginning of the period
Cash, cash equivalents
and restricted $2,264,209 $2,033,919 $2,192,241 $2,264,209 $2,192,241
cash at the end of the period
About Non-GAAP Financial Measures
This press release also contains adjusted net income (loss) attributable to Canadian Solar Inc. and adjusted earnings (loss) per share - diluted that are not determined in accordance with GAAP. These non-GAAP financial measures should not be considered as an alternative to net income (loss) attributable to Canadian Solar Inc. or earnings (loss) per share, respectively, each of which is an indicator of financial performance determined in accordance with GAAP. Adjusted net income (loss) attributable to Canadian Solar Inc. and adjusted earnings (loss) per share - diluted exclude from net income (loss) attributable to Canadian Solar Inc. and earnings (loss) per share certain items that the Company does not consider indicative of its ongoing financial performance such as the effects of HLBV method to account for its tax equity arrangements. Management uses these non-GAAP financial measures to facilitate the analysis and communication of the Company's financial performance as compared to its previous financial results. Management believes that these non-GAAP financial measures are also useful and meaningful to investors to facilitate their analysis of the Company's financial performance. These non-GAAP measures may differ from non-GAAP measures used by other companies, and therefore their comparability may be limited.
The table below provides a reconciliation of our GAAP net income (loss) to non-GAAP financial measures.
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
GAAP net income (loss) $7,197 $(33,971) $3,822 $(26,774) $16,174
attributable to Canadian Solar
Inc.
Non-GAAP income
adjustment items:
Less: HLBV effects (30,248) (25,902) (56,150)
Non-GAAP adjusted net $(23,051) $(59,873) $3,822 $(82,924) $16,174
income (loss) attributable to
Canadian Solar Inc.
GAAP earnings (loss) per $(0.08) $(0.69) $0.02 $(0.77) $0.21
share - diluted
Non-GAAP income adjustment items:
Less: HLBV effects (0.45) (0.38) (0.83)
Add: HLBV effects
attributable to redeemable
non-controlling interests
Non-GAAP adjusted earnings $(0.53) $(1.07) $0.02 $(1.60) $0.21
(loss) per share - diluted
Shares used in computation - 67,167,296 66,962,686 66,984,783 67,065,556 66,813,754
diluted (GAAP)
Shares used in computation - 67,167,296 66,962,686 66,984,783 67,065,556 66,813,754
diluted (Non-GAAP)
View original content:https://www.prnewswire.com/news-releases/canadian-solar-reports-second-quarter-2025-results-302535645.html
SOURCE Canadian Solar Inc.
