Canadian Solar reported a Q4 2025 GAAP EPS loss of -$1.66 (vs. consensus estimate of -$0.47), missing by $1.19. Revenue came in at $1.22 billion, falling $150 million short of the $1.37 billion consensus. Full-year net loss attributable to shareholders was $104 million or -$2.50 per share. Shares fell -26.9% in the session following the earnings announcement on March 19, 2026.
About Canadian Solar Inc.
Canadian Solar Inc. (NASDAQ: CSIQ) is one of the world’s largest solar technology and renewable energy companies, founded in 2001 and headquartered in Kitchener, Ontario, Canada. The company manufactures solar photovoltaic modules, provides solar energy and battery energy storage solutions, and develops, owns, and operates utility-scale solar power and battery energy storage projects globally. Over its 25-year history, Canadian Solar has delivered over 174 GW of premium-quality solar PV modules to customers across more than 70 countries.
As of March 2026, Canadian Solar carries a market cap of approximately $955 million, classifying it as a small-cap stock. The company trades on the NASDAQ under ticker CSIQ and has been publicly listed since 2006. Through its subsidiary e-STORAGE, Canadian Solar has shipped over 18 GWh of battery energy storage solutions globally, with a contracted backlog of $3.6 billion as of March 13, 2026. The company employs thousands across manufacturing, project development, and operations, and operates two primary business segments: Manufacturing (via CS PowerTech and CSI Solar) and Recurrent Energy.
Top Financial Highlights
- Q4 2025 Revenue was $1.22 billion, down 20% year-over-year from $1.52 billion in Q4 2024 and down 18% sequentially from Q3 2025
- Full Year 2025 Revenue reached $5.60 billion, down from $5.99 billion in full year 2024
- Q4 2025 GAAP Net Loss attributable to Canadian Solar was $86 million, or -$1.66 per diluted share vs. net income of $34 million ($0.48/share) in Q4 2024
- Full Year 2025 Net Loss attributable to shareholders was $104 million, or -$2.50 per diluted share vs. net income of $36 million ($0.54/share) in FY 2024
- Q4 2025 Gross Profit was $124 million, down sharply from $256 million in Q3 2025 and $217 million in Q4 2024
- Q4 2025 Gross Margin was 10.2%, compared to 17.2% in Q3 2025 and 14.3% in Q4 2024
- Full Year 2025 Gross Margin improved 160 basis points year-over-year to approximately 18.3%, driven by a higher mix of module shipments to high-value markets and greater storage volumes
- Q4 2025 Total Operating Expenses were $188 million, down from $344 million in Q4 2024 due to lower logistics costs
- Operating Cash Flow used in Q4 2025 was $65 million (outflow), vs. $66 million provided in Q4 2024
- Manufacturing Segment Revenue (Full Year) totaled $5.20 billion, while Recurrent Energy contributed $394 million
- Battery Energy Storage Shipments hit a record 7.8 GWh globally in FY 2025, including a record 3.9 GWh to the U.S.
- Solar Module Shipments were 24.3 GW globally in FY 2025, with a record 8.1 GW delivered to the U.S. market
- Cash and Cash Equivalents as of December 31, 2025 totaled $1.37 billion, down from $1.70 billion at end of 2024
- Total Debt (including financing liabilities) was $6.5 billion as of December 31, 2025
- Q1 2026 Guidance total revenue expected between $900 million and $1.1 billion, with gross margin of 13% to 15%
Beat or Miss?
| Metric | Reported | Estimated | Difference / Analysis |
| Q4 2025 EPS (GAAP) | ($1.66) | -$0.47 | Miss by -$1.19; loss significantly wider than consensus |
| Q4 2025 Revenue | $1.22B | $1.37B | Miss by ~$150M; 12.4% below Zacks estimate |
| Q4 Gross Margin | 10.2% | N/A | Below historical median of 17.07% |
| FY 2025 Revenue | $5.60B | $5.7B–$5.9B guidance | Miss vs. own guidance range |
| FY 2025 Module Shipments | 24.3 GW | 24.5–24.7 GW guidance | Miss vs. own guidance range |
| Q1 2026 Revenue Guidance | $900M–$1.1B | $1.59B consensus | Guidance well below analyst expectations |
What Leadership Is Saying?
CEO on Strategy and Vision: “We demonstrated strategic resilience and operational discipline throughout a year defined by persistent market headwinds and a shifting regulatory landscape. In response to the prolonged solar downturn, we pivoted away from the industry’s traditional focus on shipment volumes and instead took the lead by prioritizing margins and diversifying our profit drivers, notably energy storage. Our commitment to the U.S. market remains steadfast as we spearhead the reshoring of manufacturing to North America.” – Dr. Shawn Qu, Chairman and CEO, Canadian Solar
CFO on Financials and Margins: “For the fourth quarter, we reported revenue of $1.2 billion and a gross margin of 10.2%. Profitability was affected by sequentially lower global storage volumes and solar module deliveries to the North American market, delayed project sales, and project asset impairments. Capital expenditures in 2025 totaled $962 million, slightly below expectations, and we ended the year with a cash position of $1.9 billion.” – Xinbo Zhu, Senior VP and CFO, Canadian Solar
Historical Performance
Year-over-year comparison for Q4 2025 vs. Q4 2024:
| Category | Q4 2025 | Q4 2024 | Change (%) |
| Total Revenue | $1.22B | $1.52B | -20.00% |
| Net Income (Loss) Attributable to CSIQ | -$86M | +$34M | N/M (swing to loss) |
| Gross Profit | $124M | $217M | -42.90% |
| Gross Margin | 10.20% | 14.30% | -410 bps |
| Total Operating Expenses | $188M | $344M | -45.30% |
| Solar Module Shipments | 4.3 GW | ~8.1 GW (implied) | -47.00% |
| EPS (Diluted) | ($1.66) | $0.48 | N/M (swing to loss) |
Full-year comparison for FY 2025 vs. FY 2024:
| Category | FY 2025 | FY 2024 | Change (%) |
| Total Revenue | $5.60B | $5.99B | -6.50% |
| Net Income (Loss) Attributable to CSIQ | -$104M | +$36M | N/M (swing to loss) |
| Gross Profit | $1.03B | $999M | 2.70% |
| Gross Margin | ~18.3% | ~16.7% | +160 bps |
| Total Operating Expenses | $983M | $1.03B | -4.50% |
| Module Shipments | 24.3 GW | 31.1 GW | -21.90% |
| Battery Storage Shipments | 7.8 GWh | Record baseline | New record |
Competitor Comparison Q4 2025
Comparison of Canadian Solar against key solar industry peers in Q4 2025:
| Category | Canadian Solar (CSIQ) Q4 2025 | First Solar (FSLR) Q4 2025 | Enphase Energy (ENPH) Q4 2025 | SolarEdge (SEDG) Q4 2025 |
| Revenue | $1.22B | $1.68B | $343.3M | $335.4M |
| Revenue YoY Change | -20.0% | +11.1% | -10.3% | +70.9% |
| Gross Margin | 10.2% | ~39.6% | 46% non-GAAP | 22.2% GAAP |
| Net Income (Loss) | -$86M | Profit (EPS $4.84) | $38.7M GAAP profit | -$132.1M |
| EPS Beat / Miss | Miss (-$1.19 vs. est.) | Miss (-$0.38 vs. est.) | Beat (+$0.13 vs. est.) | Beat (+$0.13 vs. est.) |
How the Market Reacted?
The market’s response to Canadian Solar’s Q4 2025 results was deeply negative. Shares of CSIQ dropped 26.9% in the session following the earnings release on March 19, 2026, representing one of the stock’s sharpest single-day declines. The reaction reflected investor concern over the combination of a wider-than-expected GAAP loss, compressed gross margins at 10.2%, rising total debt reaching $6.5 billion, and Q1 2026 revenue guidance of $900 million to $1.1 billion that came in far below the analyst consensus of $1.59 billion.
Prior to the earnings release, Canadian Solar’s stock was already trading approximately 47% below its 52-week high. As of March 20, 2026, the stock was priced around $14.26, giving the company a market cap of roughly $955 million. Analyst sentiment remained mixed, with a MarketBeat average rating of “Reduce” and a consensus price target of $19.63, reflecting continued caution around execution risk, leverage, and the timing of U.S. manufacturing ramp-up costs.
