Canadian Solar raised its shipments and revenue guidance for 4Q 2018

Canadian Solar Inc. updates its guidance for the fourth quarter 2018. The company now expects its shipments to be in the range of 1.90 GW to 1.95 GW, compared to the previous guidance of 1.67 GW to 1.72 GW; its net revenue for the fourth quarter of 2018 to be in range of $850 million to $900 million, compared to the previous guidance of $690 million to $800 million.
Furthermore, the company announced it has been »closely monitoring the bankruptcy filing of Pacific Gas and Electric Company« (PG&E). »Potential outcomes are dependent upon a variety of factors, including future decisions of PG&E, the bankruptcy court, the investment community, and other stakeholders.« Consequently, Canadian Solar »can only provide a preliminary assessment of its potential exposure.«
The company does not have material exposure with respect to previously sold projects. It does, however, have potential exposure with respect to 60 MW of power purchase agreements with PG&E for a portion of the »Gaskell West 2« project, which is planned to reach commercial operation in 2020. These power purchase agreements were executed in late 2017 »at very competitive prices.« Further, the company has potential exposure with respect to interconnection agreements with PG&E including an early to mid-stage development project and the late-stage Slate project, which together total approximately 700 MWac. According to the company, »the planned commercial operation dates have not been impacted for any projects« in its pipeline.

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