Canadian Solar Inc. · NASDAQ:CSIQ
Canadian Solar — Q3 2024 Earnings Presentation
17 slides from Canadian Solar's earnings presentation, Dec 5, 2024
Slide 1: Canadian Solar 3Q24 Earnings Call
Canadian Solar 3Q24 Earnings Call December 5, 2024 Canadian Solar Inc.
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation has been prepared by the Company solely to facilitate the understanding of the Company’s business model and growth strategy. The information contained in this presentation has not been independently verified. No representation, warranty or undertaking, express
Slide 3: FY2024 Q3 Overview
FY2024 Q3 Overview Key Quarterly Revenue and Shipment Solar and Battery Energy Financial Metrics Breakdown Storage Scale $1.5 billion Recurrent Energy, Solar Module Shipments, GW 31 c.31 Revenue $45M 21 15 16.4% 7 7 9 12 Gross margin 3 5 5 CSI Solar, 2 $1,463M $129 million EBITDA China, North Americ
Slide 4: Significant Growth Opportunities in Solar and Energy Storage
Significant Growth Opportunities in Solar and Energy Storage Massive Power Needs of AI Data Centers Climate Targets and Market Demand U.S. Data Center Energy Consumption, TWh Global Solar Cumulative Global Energy Storage Installations, GW Cumulative Installations, GWh 1.5ºC Paris 606 Agreement Goal
Slide 5: Canadian Solar's Full Value Chain Leadership
Canadian Solar’s Full Value Chain Leadership One-of-a-kind Partnership with Most Trustworthy Energy & Top-tier R&D and Commitment America’s #1 Solar Recycler Utilities Company in the World to Innovation and Quality 95% extraction of solar panel value Full suite of solar, energy storage, and power el
Slide 6: Long-term U.S. Manufacturing Investments
Long-term U.S. Manufacturing Investments Location Mesquite, Texas Jeffersonville, Indiana Shelbyville, Kentucky Product Solar modules Solar cells Battery cell and pack Capacity 5 GW 5 GW 6 GWh Total Capex ~$250M $800M+ $700M+ in two phases Nearly $2 billion cumulative investment in solar and energy
Slide 7: CSI Solar FY2024 Q3 Performance Overview
CSI Solar FY2024 Q3 Performance Overview Gross Margin 23.5% 22.2% 21.3% CSI Solar FY2024 Q3 19.9% 18.5% 18.4% 18.6% 17.4% 17.3% Module shipments: 8.4 GW 15.9% 16.6% 16.7% 15.1% 14.5% 14.3% 13.5% 13.1% Storage shipments: 1.8 GWh 12.1% 9.7% 341 345 320 316 Revenue: $1.7 billion 287 290 288 299 290 248
Slide 8: Incremental Declines in Module Pricing and Input Costs
Incremental Declines in Module Pricing and Input Costs Stabilizing Upstream Supply Chain Costs Manufacturing Capacity RMB/W Polysilicon Capacity, GW Country Sep 2024A Dec 2024E Ingot Total 25 25 Wafer China 26 26 Cell Wafer Thailand 5 5 1.21 Module Total 31 31 China 36 36 Thailand 12 12 Cell U.S.* -
Slide 9: e-STORAGE Performance Overview
e-STORAGE Performance Overview Contracted backlog(1) $3.2 billion Turnkey Utility-scale Battery Energy Storage Revenue, $M 2025 shipments guidance Transition year (white label to own 11 – 13 GWh self-manufactured product) c.$3.2B(1) 2025 year-end capacity 30 GWh Total pipeline(2) 440 60 GWh 223 0 20
Slide 10: e-STORAGE's Competitive Advantage in Global Markets
e-STORAGE’s Competitive Advantage in Global Markets A top 10 integrator globally, delivering end-to-end energy storage solutions and services • Conceptual design Planning • System performance modeling • Capacity sizing and site planning • Product development • Battery energy storage manufacturing Ma
Slide 11: Recurrent Energy FY2024 Q3 Performance Overview
Recurrent Energy FY2024 Q3 Performance Overview Gross Margin 43.9% 47.4% 43.7% 47.1% 36.0% 40.5% Recurrent Energy FY2024 Q3 36.5% 31.7% 24.0% 27.7% 33.1% 32.0% 19.2% 21.7% 10.3% 8.6% 14.4% 4.2% 3.5% Revenue: $45 million 157 Gross profit: $14 million 113 89 80 Gross margin: 32.0% 61 48 Operating loss
Slide 12: Competitive Offtake Agreements with Leading Counterparties
Competitive Offtake Agreements with Leading Counterparties 20-year tolling agreements covering 1,800 MWh of energy storage and 150 MW of solar capacity 1,200 MWh Papago Storage Project located in Maricopa County, Arizona Canadian Solar Inc. 12
Slide 13: One of the Largest and Most Mature Solar and Storage Project Pipelines
One of the Largest and Most Mature Solar and Storage Project Pipelines Solar Development Project Pipeline – MWp(1) Battery Energy Storage Development Project Pipeline – MWh(1) In Advanced Early-Stage In Advanced Early-Stage Region Backlog Total Region Backlog Total Construction Pipeline Pipeline Con
Slide 14: Quarterly Income Statement Highlights
Quarterly Income Statement Highlights $ in millions except per share data 3Q23 4Q23 1Q24 2Q24 3Q24 qoq yoy Net revenues 1,846 1,702 1,329 1,635 1,508 -8% -18% -CSI Solar 1,806 1,701 1,342 1,731 1,716 -1% -5% -Recurrent Energy 64 54 39 50 45 -11% -29% -Elimination (24) (53) (52) (146) (253) Gross mar
Slide 15: Quarterly Cash Flow and Balance Sheet Highlights
Quarterly Cash Flow and Balance Sheet Highlights $ in millions 3Q23 4Q23 1Q24 2Q24 3Q24 Working capital days 5 (1) 63 24 56 Operating cash inflow (outflow) 158 190 (291) (429) (231) Cash and equivalents 1,921 1,939 2,077 1,620 2,169 Restricted cash 1,072 1,008 817 572 659 Short-term borrowings(1) 1,
Slide 16: Guidance as of December 5, 2024
Guidance as of December 5, 2024 FY2024 Q3 FY2024 Q4 FY2023 FY2024 FY2025 Actual Guidance Actual Guidance Guidance Solar Module 8.4 GW 8.0 – 8.5 GW(1) 30.7 GW 30.9 – 31.4 GW 30 – 35 GW(4) Shipments (DC) Utility Scale Battery Energy Storage 1.8 GWh 2.0 – 2.4 GWh(2) 1.9 GWh(3) 6.4 – 6.8 GWh 11.0 – 13.0
Slide 17: Thank You
Thank You Let's Connect Wina Huang Investor Relations Canadian Solar Inc. investor@canadiansolar.com Canadian Solar Inc.