This week’s bond review shines a light on the solar industry, focusing on the second largest solar company by revenues. Canadian Solar has experienced outstanding growth over the past few years, with revenues growing by nearly 19% between 2016 and 2017. In addition, the company is projecting revenue growth this year of over 35% over last year. Growth has been driven by the large demands in China in recent years, but also increased demand in countries such as Brazil, Mexico and India. Canadian Solar’s first quarter results show the company is off to a solid start this year.
Gross profit in Q1 increased 57% over Q1 2017.
Net revenue in Q1 was up an impressive 110.5% from Q1 2017.
Operating expenses and general and administrative expenses both decreased year-over-year in Q1.
Interest coverage for Q1 was a solid 2.6x.