Canadian Solar swings to 2Q profit

NEW YORK—Solar module maker Canadian Solar Inc. said Wednesday it swung to a profit in the second quarter and beat Wall Street estimates, as revenue rose and margins improved.

Canadian Solar said it earned $10.5 million, or 36 cents per share, for the quarter ended June 30, compared with a loss of $2.9 million, or 11 cents per share, in the same quarter a year ago.

Excluding a one-time non-cash charge of $10.2 million associated with the early conversion of convertible notes, Canadian Solar said it earned 78 cents per share in the second quarter.

Revenue more than tripled to $212.6 million from $60.4 million last year.

Analysts polled by Thomson Reuters expected a profit of 47 cents per share on $206.8 million in revenue, on average. Such figures typically exclude one-time items.

The company attributed the better results both to better revenue and improved margins. It also said it made progress during the quarter on an ingot plant, a wafer plant and a solar cell facility during the quarter.

Canadian Solar lifted its full-year revenue guidance, as well.

Although the results topped Wall Street estimates, shares fell $2.19, or 7.1 percent, to $28.72 in premarket trading.