Shares of Canadian Solar (CSIQ) plummeted 5.07% in pre-market trading on Thursday, following the release of disappointing third-quarter results from its subsidiary, CSI Solar Co Ltd.

CSI Solar, a key component of Canadian Solar's operations, reported a significant 64% year-over-year decline in net profit for the third quarter. This substantial drop in profitability has raised concerns among investors about Canadian Solar's overall financial health and near-term prospects in the competitive solar energy market.

The sharp decline in CSI Solar's profits comes at a time when the solar industry faces challenges such as supply chain disruptions, rising raw material costs, and intense competition. This negative news has overshadowed recent positive sentiment in the Chinese solar sector, where several companies had reported better-than-expected financial results. Investors will likely be closely watching Canadian Solar's full earnings report to gauge the company's strategy for navigating these headwinds and improving profitability in the coming quarters.