Canadian Solar Q1 revenue beats, net loss narrows

Canadian Solar

14/05/2026 11:10

Overview

Canada solar module and energy storage provider's Q1 revenue fell 10% yr/yr but beat analyst expectations

Q1 net loss narrowed both sequentially and yr/yr

Gross margin rose to 25.1%, driven by one-time tariff refund benefit

Company appointed Colin Parkin as CEO, with founder Dr. Shawn Qu becoming Executive Chairman and CTO

Outlook

Canadian Solar sees Q2 2026 revenue between $1.0 bln and $1.2 bln

Company expects Q2 2026 gross margin of 13% to 15%

Canadian Solar reiterates 2026 U.S. module shipment guidance of 6.5-7.0 GW and storage of 4.5-5.5 GWh

Result Drivers

TARIFF REFUND - Gross margin improvement was primarily due to a one-time tariff refund benefit

LOWER MODULE SALES - Revenue decline was mainly due to lower sales of solar modules, partially offset by higher sales of battery energy storage systems

DISCIPLINED SHIPMENTS - Co maintained a disciplined approach to solar module shipments, managing volumes in response to elevated feedstock costs to protect profitability

Company press release: ID:nPn5NgWPCa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$1.10 bln
$950.38 mln (8 Analysts)
Q1 Net Income
-$32 mln
Q1 Gross Margin
25.10%
Q1 Gross Profit
$271 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 4 "hold" and 4 "sell" or "strong sell"

The average consensus recommendation for the renewable energy equipment & services peer group is "buy."

Wall Street's median 12-month price target for Canadian Solar Inc is $15.07, about 24.8% below its May 13 closing price of $20.05

The stock recently traded at 169 times the next 12-month earnings vs. a P/E of 25 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)