We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
SolarCity (SCTY) Reports Narrower-than-Expected Q3 Loss
Read MoreHide Full Article
SolarCity Corp. , the largest U.S. rooftop solar installer, posted an adjusted loss of $2.27 per share in the third quarter of 2016, narrower than the Zacks Consensus Estimate of a loss of $2.35. However, in the year-ago period, the company had incurred a loss of $2.10.
Total Revenue & Gross Profit
SolarCity posted total revenue of $200.6 million in the quarter, beating the Zacks Consensus Estimate of $168 million by 19.4%. On a year-over-year basis too, reported revenues surged 76.6% on the back of higher contributions from periodic billings, operating lease payments and upfront incentives as well as higher solar energy systems and components sales.
SolarCity’s gross profit in the third quarter improved 183.1% to $71.6 million from $25.3 million a year ago.
In the reported quarter, total deployment was 189 megawatts (MW), down 7.8% year over year, bringing the total installed capacity to 2,492 MW as of Sep 30, 2016.
The company installed 187 MW of solar panels in the quarter, down 27%. It exited the quarter with cumulative installations of 2,547 MW.
During the quarter, commercial installations declined 24.5%, while residential installations fell by 27.6%.
The company’s total operating expenses increased 19.1% to $257.7 million primarily due to higher general and administrative expenses.
Cost per watt was $2.89 in the third quarter, down 5%. SolarCity’s installation cost dipped 2.4% to $2.02 per watt.
As of Sep 30, 2016, SolarCity had cash and cash equivalents of $259.3 million, compared with $382.5 million as of Dec 31, 2015.
Long-term debt as of Sep 30, 2016 increased to $1,283.5 million (net of current portion) from $1,006.6 million as of Dec 31, 2015.
In the third quarter, SolarCity’s used net cash of $36.8 million in operating activities, compared with $140.6 million a year ago.
Guidance
For 2016, SolarCity anticipates to install approximately 900 MW.
Notably, on Aug 1, Tesla (TSLA - Free Report) inked a deal to acquire SolarCity for $2.6 billion in an all-stock transaction. Shareholders of both the companies are set to meet and vote on the proposed merger on Nov 17. Due to this proposed acquisition, the company didn’t provide any guidance.
Peer Releases
SunPower Corp. (SPWR - Free Report) reported third-quarter 2016 adjusted earnings of 56 cents per share, missing the Zacks Consensus Estimate of 67 cents by 16.4%. Reported earnings were, however, much higher than the year-ago figure of 3 cents.
First Solar Inc. (FSLR - Free Report) reported the third quarter of 2016 earnings of $1.22 a share, beating the Zacks Consensus Estimate of 69 cents by a wide 76.8%. The reported number, however, plunged 64.2% from the prior-year figure of $3.41.
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
SolarCity (SCTY) Reports Narrower-than-Expected Q3 Loss
SolarCity Corp. , the largest U.S. rooftop solar installer, posted an adjusted loss of $2.27 per share in the third quarter of 2016, narrower than the Zacks Consensus Estimate of a loss of $2.35. However, in the year-ago period, the company had incurred a loss of $2.10.
Total Revenue & Gross Profit
SolarCity posted total revenue of $200.6 million in the quarter, beating the Zacks Consensus Estimate of $168 million by 19.4%. On a year-over-year basis too, reported revenues surged 76.6% on the back of higher contributions from periodic billings, operating lease payments and upfront incentives as well as higher solar energy systems and components sales.
SolarCity’s gross profit in the third quarter improved 183.1% to $71.6 million from $25.3 million a year ago.
Operating Highlights
In the reported quarter, total deployment was 189 megawatts (MW), down 7.8% year over year, bringing the total installed capacity to 2,492 MW as of Sep 30, 2016.
The company installed 187 MW of solar panels in the quarter, down 27%. It exited the quarter with cumulative installations of 2,547 MW.
During the quarter, commercial installations declined 24.5%, while residential installations fell by 27.6%.
The company’s total operating expenses increased 19.1% to $257.7 million primarily due to higher general and administrative expenses.
Cost per watt was $2.89 in the third quarter, down 5%. SolarCity’s installation cost dipped 2.4% to $2.02 per watt.
SOLARCITY CORP Price, Consensus and EPS Surprise
SOLARCITY CORP Price, Consensus and EPS Surprise | SOLARCITY CORP Quote
Financial Position
As of Sep 30, 2016, SolarCity had cash and cash equivalents of $259.3 million, compared with $382.5 million as of Dec 31, 2015.
Long-term debt as of Sep 30, 2016 increased to $1,283.5 million (net of current portion) from $1,006.6 million as of Dec 31, 2015.
In the third quarter, SolarCity’s used net cash of $36.8 million in operating activities, compared with $140.6 million a year ago.
Guidance
For 2016, SolarCity anticipates to install approximately 900 MW.
Notably, on Aug 1, Tesla (TSLA - Free Report) inked a deal to acquire SolarCity for $2.6 billion in an all-stock transaction. Shareholders of both the companies are set to meet and vote on the proposed merger on Nov 17. Due to this proposed acquisition, the company didn’t provide any guidance.
Peer Releases
SunPower Corp. (SPWR - Free Report) reported third-quarter 2016 adjusted earnings of 56 cents per share, missing the Zacks Consensus Estimate of 67 cents by 16.4%. Reported earnings were, however, much higher than the year-ago figure of 3 cents.
First Solar Inc. (FSLR - Free Report) reported the third quarter of 2016 earnings of $1.22 a share, beating the Zacks Consensus Estimate of 69 cents by a wide 76.8%. The reported number, however, plunged 64.2% from the prior-year figure of $3.41.
Zacks Rank
SolarCity currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>