#Canada #Canadian Solar #CSI Solar #Kitchener #e-STORAGE

Canadian Solar Delivers Strong Q3 2025 Performance

Kitchener, Ontario – November 13, 2025: Canadian Solar Inc. (NASDAQ: CSIQ) has reported its financial results for the third quarter of 2025, showcasing notable achievements that underscore its growth in the solar energy landscape. The company declared net revenues of $1.5 billion, falling at the high end of its guidance range of $1.3 billion to $1.5 billion. This performance was primarily attributed to a high-level demand for battery storage solutions and strategically enhanced shipments to profitable markets.

In the third quarter, Canadian Solar's gross margin reached 17.2%, exceeding the guidance of 14% to 16%. This impressive margin growth can be credited to substantial deliveries in its energy storage division and a higher proportion of shipments directed to lucrative markets. The company’s e-STORAGE division achieved record quarterly battery energy storage shipments of 2.7 GWh, surpassing the earlier forecast range of 2.1 to 2.3 GWh. Furthermore, the contracted backlog for e-STORAGE expanded to a remarkable $3.1 billion as of October 31, 2025.

Dr. Shawn Qu, Chairman and CEO of Canadian Solar, expressed pride in the results, stating, “Our third-quarter revenue reached the high end of our guidance, while the gross margin exceeded expectations, supported by strong energy storage deliveries and a high mix of module shipments to profitable markets.” He highlighted the ongoing growth in energy storage demand, driven by emerging applications such as data centers.

Looking ahead, Canadian Solar is making strategic investments to ensure the sustainability and growth of its operations. The company’s Phase I solar cell factory in Indiana, U.S. is on track to commencing production in March 2026, while the lithium battery storage factory in Kentucky is expected to start operations by December 2026.

CSI Solar, a key subsidiary, reported increased profitability due to higher margins from a greater share of project deliveries to the lucrative North American market. The production ramp-up at the Mesquite factory has significantly contributed to shipment volumes and overall profitability, while the e-STORAGE division is also set to further expand its capabilities.

Importantly, Canadian Solar plans to refine its project development approach by increasing project ownership sales to enhance cash recycling and better manage debt levels in anticipation of 2026. The anticipated balance will tilt towards project ownership in order to streamline financial operations and maintain cash flow.

Financial Highlights:

• - Total module shipments for Q3 2025 were 5.1 GW, reflecting a 35% decline from the previous quarter and a 39% drop year-over-year.
• - The net income of $9 million was noted, marking a per share loss of $0.07.
• - Operating expenses normalized at $222 million, reflecting ongoing cost reduction efforts.

For the fourth quarter of 2025, Canadian Solar expects total revenues to fall between $1.3 billion and $1.5 billion, with a continued focus on profitable solar markets, while battery storage solutions remain a robust area for growth.

Recent developments highlight Canadian Solar’s assessment by SP Global Commodity Insights as a Tier 1 PV module supplier and a Tier 1 battery energy storage system supplier, further cementing its position in the renewable energy market.

In conclusion, Canadian Solar Inc. continues to navigate the ever-evolving landscape of the renewable energy sector with a balanced approach toward profitability and sustainable growth. With innovative manufacturing strategies, a focus on green technology, and the expansion of energy storage solutions, the company is poised to remain a leader in the industry.

For further details and updates, stakeholders are encouraged to participate in the upcoming conference call scheduled for November 13, 2025, at 8:00 AM U.S. Eastern Time, to delve deeper into their 2025 results and strategic outlook.