Canada-based solar module company Canadian Solar ran up a loss of $47.98 million in the second quarter (Q2) of 2024 from a profit of $124.73 million in the same quarter last year.

Revenue fell 31% to $1.64 billion from $2.36 billion in the corresponding quarter of 2023. The year-over-year (YoY) decrease was attributed to a decline in module average selling prices and lower project sales, partially offset by higher battery energy storage solutions sales.

Depreciation and amortization charges in Q2 were $122 million, compared to $110 million in Q1 and $73 million in Q2 2023. The sequential and YoY increases were primarily driven by Canadian Solar’s continued investment in vertical integration and incremental capacity expansion.

The company shipped 8.2 GW of solar modules during the quarter, up 30% quarter-over-quarter, and remained consistent YoY. Of the total, 135 MW were shipped to its own utility-scale solar power projects.

As of June 30, 2024, Canadian Solar-owned Recurrent Energy had a global solar development pipeline of 27 GW and a battery energy storage development pipeline of 63 GWh.

The company achieved the initial closing of BlackRock’s investment in Recurrent Energy, representing the majority of the planned $500 million capital infusion.

Half-year 2024

In the first six months, the company saw its revenue fall by 27.27% YoY to $2.96 billion from $4.07 billion.

The company saw its net profit fall by 136.17% YoY in the first six months of 2024 to $82.93 million (loss) from a profit of $229.27 million.

Shawn Qu, Chairman and CEO, Canadian Solar, said, “We achieved solid results in the second quarter of 2024, with shipments, revenue, and gross margin meeting or surpassing our previous guidance. Today, we have reached an optimal scale—large enough to maintain a highly competitive cost structure yet lean enough to adapt swiftly to changes in industry dynamics.

“In our module business, we continue to apply a disciplined approach to operations, from strategic capacity investments to stringent order management. At the same time, we are positioning ourselves for sustainable medium- and long-term growth through our energy storage business, e-STORAGE, and global project development platform, Recurrent Energy,” he said.

In August this year, the company raised $200 million from PAG in a private placement of secured convertible notes.

In Q1 2024, Canadian Solar posted a net income of $12.35 million, an 85.25% YoY drop from $83.71 million, as the company continued to tackle pricing pressures in light of lower module average selling prices.