Shares of Canadian Solar (CSIQ) tumbled 10.51% in pre-market trading on Thursday following the release of the company's second-quarter 2025 financial results, which fell short of analysts' expectations.
The solar panel manufacturer reported an adjusted earnings per share (EPS) of -$0.53, significantly below the IBES estimate of $1.61. Revenue for the quarter came in at $1.7 billion, also missing the analysts' projection of $1.948 billion. These disappointing figures appear to be the primary driver behind the stock's sharp decline.
Despite the earnings miss, Canadian Solar did report some positive metrics. The company's gross profit for Q2 stood at $505 million, while net income reached $7 million. However, operating expenses were notably high at $378 million, which likely contributed to the lower-than-expected earnings. The stark contrast between the reported figures and market expectations has evidently shaken investor confidence, leading to the significant pre-market sell-off.