💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

SunPower reports bigger quarterly loss

Published 02/15/2017, 04:53 PM
© Reuters. Solar panels sit on the roof of SunPower Corporation in Richmond
TTEF
-
SPWRQ
-

(Reuters) - SunPower Corp (O:SPWR), the No. 2 U.S. solar panel maker, reported a larger quarterly loss as the company took a bigger restructuring charge.

Shares of SunPower, majority owned by French energy giant Total SA (PA:TOTF), were down 4.4 percent at $6.90 in after-market trading.

Stiff competition, especially from Chinese companies, has hammered panel prices lower. Customers are also holding off purchases, anticipating a further decline in prices.

Stung by the slump, most solar companies have launched cost-cutting measures. SunPower said in December it would lay off 25 percent of its workforce and close one plant.

Chief Executive Tom Werner said on Wednesday that the restructuring initiatives were on track, but added that the "overall industry conditions remain challenging."

The company's net loss attributable to shareholders widened to $275.1 million, or $1.99 per share, in the fourth quarter ended Jan. 1, from $40.5 million, or 29 cents per share, a year earlier.

SunPower said it recorded a $175.8 million charge related to restructuring expenses in the latest quarter, compared with $31.2 million a year earlier.

On an adjusted basis, the company lost 64 cents per share.

The company's revenue jumped 40.5 percent to $1.02 billion.

© Reuters. Solar panels sit on the roof of SunPower Corporation in Richmond

Analysts on average had estimated a loss of 45 cents per share on revenue of $1.06 billion, according to Thomson Reuters I/B/E/S.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.