SunPower Corporation
Company Summary
Description
Since 1985 SunPower has been leading global solar innovation. SunPower solar panels consistently deliver more energy and long-term peace of mind with the highest performing solar power systems available. SunPower is the solar energy choice of more homeowners and businesses around the world. Global headquarters based in Silicon Valley since 1985 Total solar energy generated >18,000,000 MWh Diversified global portfolio leading residential, commercial and utility solar energy markets World's highest efficiency solar panels featuring SunPower Maxeon cell technology More than 200 patents for solar technologyWebsite
http://us.sunpower.com/Financial Data:
NASDAQ:SPWR from Google FinanceTickers:
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SPWR - NASDAQ
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Recent news
- 1/6/2023 - Maxeon Extends Supply... (subscriber access)
- 11/18/2022 - Solar Companies in the... (subscriber access)
- 11/25/2020 - SunPower Corp. Announces... (subscriber access)
- 3/26/2020 - SunPower Takes Measures... (subscriber access)
- 11/21/2019 - SunPower Reports Pricing... (subscriber access)
Company Transactions
Date: 7/15/2018
Type: Acquisition
SELLERS:
8point3 Energy Partners LP
8point3 General Partner, LLC
First Solar Inc
SunPower Corporation
DETAILS:
NOTES:
Capital Dynamics has entered into a deal to acquire and merge 8point3 Energy Partners with CD Clean Energy and Infrastructure V JV, LLC
Capital Dynamics has entered into a deal to acquire and merge 8point3 Energy Partners with CD Clean Energy and Infrastructure V JV, LLC
REGIONS:
United States
Date: 12/30/2016
Type: Acquisition
NOTES:
Duke Energy Renewables has acquired three solar power plants in California from SunPower Corp. totaling 55 MW.
Duke Energy Renewables has acquired three solar power plants in California from SunPower Corp. totaling 55 MW.
REGIONS:
West
Date: 11/17/2016
Type: Acquisition
BUYERS:
Southern Power
Southern Company
SELLERS:
SunPower Corporation
PROJECTS:
Boulder Solar I Facility
DETAILS:
VOLUMES: 100 MW
NOTES:
Southern Company has reported that it reached an agreement with SunPower to acquire a controlling interest in the 100-MW Boulder Solar I Facility in Nevada.
Southern Company has reported that it reached an agreement with SunPower to acquire a controlling interest in the 100-MW Boulder Solar I Facility in Nevada.
Date: 9/22/2016
Type: Acquisition
BUYERS:
8point3 Energy Partners LP
SELLERS:
SunPower Corporation
PROJECTS:
Henrietta Solar Project
DETAILS:
COST: 134 $MM
REGIONS:
PADD V
News & Press Releases
Criterion News
- 1/6/2023 - Maxeon Extends Supply... (subscriber access)
- 11/18/2022 - Solar Companies in the... (subscriber access)
- 11/25/2020 - SunPower Corp. Announces... (subscriber access)
- 3/26/2020 - SunPower Takes Measures... (subscriber access)
- 11/21/2019 - SunPower Reports Pricing... (subscriber access)
- 11/18/2019 - SunPower Offers 22... (subscriber access)
- 4/10/2018 - SunPower Reports... (subscriber access)
- 3/8/2018 - OGE Energy Announces... (subscriber access)
- 2/6/2018 - Capital Dynamics to... (subscriber access)
- 10/6/2017 - SunPower and True Green... (subscriber access)
- 7/18/2017 - OGE & SunPower... (subscriber access)
- 5/23/2017 - SunPower to Begin... (subscriber access)
- 2/27/2017 - SunPower Begins Construction of 56-MW Oregon Solar Plant
- 1/10/2017 - Duke Energy Renewables... (subscriber access)
- 12/7/2016 - SunPower Announces... (subscriber access)
- 11/17/2016 - Southern Company... (subscriber access)
- 9/22/2016 - SunPower Agrees to Sell 49% Stake in 102-MW Henrietta Solar Farm in California
- 7/8/2016 - SunPower Provides Update... (subscriber access)
- 7/6/2016 - Southern Power Acquires... (subscriber access)
- 5/10/2016 - SunPower Posted Net... (subscriber access)
- 5/10/2016 - SunPower Reported Net... (subscriber access)
- 5/10/2016 - SunPower Reported... (subscriber access)
- 5/4/2016 - SunPower Begins... (subscriber access)
- 4/1/2016 - SunPower Wins 500MW in Mexico's First Solar Electricty Auction
- 4/1/2016 - 8point3 Energy Partners Acquires 90MW In Solar Projects
- 2/18/2016 - SunPower 2016 Guidance:... (subscriber access)
- 2/18/2016 - SunPower 4Q15 Earnings... (subscriber access)
Press Releases
- Storage system controls: mySunPower users can control their battery settings from the palm of their hand. Homeowners can set their battery to minimize energy costs, lower their carbon footprint, or preserve maximum resilience in the event of unforeseen power outages.
- Live power flow: With live data, Equinox customers with production meters can view the immediate impact of their energy choices, including the effects of changing weather conditions, adjustments in battery settings, or even the use of small appliances such as a microwave in real time.
- In-app alerts: New notification features alert homeowners to important changes to their system status, connectivity, and weather conditions. Additional app features expected to be released later in 2021 include alerts for homeowners to prepare for rolling blackouts and other disruptions.
- Tucson, Ariz.
- Fresno and the Greater Central Valley, Calif.
- Orlando and Ft. Lauderdale, Fla.
- Successfully completed spin-off of Maxeon Solar Technologies; new segmentation announced
- Exceeded revenue and Adjusted EBITDA guidance; expanded gross margin per watt
- Ended quarter with $325 million in cash
- Residential strength – $15 million Adjusted EBITDA, added 10,000 customers
- New product success – significant SunVault™ storage demand; >100 OneRoof™ installs to date
- Closed new residential solar plus storage financing facility to drive substantially better economics
- Secured committed tax equity capacity to meet demand through mid-2021
- Posted positive Adjusted EBITDA for the quarter
- More than doubled gross margin per watt year over year
- Storage adding $0.20/w to pipeline, > 30 percent attach rates for projects in backlog
- Fully booked for the fourth quarter; >275 megawatts (MW) projects contracted / awarded
- Legacy utility and power plant projects: The company included adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to our project development efforts at the time of initial project sale. Under IFRS, such projects were accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than U.S. GAAP. Over the life of each project, cumulative revenue and gross margin are eventually equivalent under both GAAP and IFRS; however, revenue and gross margin is generally recognized earlier under IFRS.
- Legacy sale-leaseback transactions: The company included adjustments related to the revenue recognition on certain legacy sale-leaseback transactions entered into before December 31, 2018, based on the net proceeds received from the buyer-lessor. Under U.S. GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to our incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, such revenue and profit is recognized at the time of sale to the buyer-lessor if certain criteria are met. Upon adoption of IFRS 16, Leases, on December 31, 2018, IFRS is aligned with GAAP.
- Mark-to-market gain in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, mark-to-market gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total SE. Further, we elected the Fair Value Option ("FVO") for some of our equity method investments, and we adjust the carrying value of those investments based on their fair market value calculated periodically. Such option is not available under IFRS, and equity method accounting is required for such investments. Management believes that excluding these adjustments on equity investments is consistent with our internal reporting process as part of its status as a consolidated subsidiary of Total SE. and better reflects our ongoing results.
- Gain/loss on sale and impairment of residential lease assets: In fiscal 2018 and 2019, in an effort to deconsolidate all the residential lease assets owned by us, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment, including adjustments to contingent consideration shortly after the closure of the transaction, and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-recurring in nature and not reflective of ongoing operating results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects the company's ongoing results as such method aligns revenue and costs incurred most accurately in the same period. Starting in second quarter of fiscal 2020, we no longer have this non-GAAP measure.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, which are not reflective of ongoing operating results.
- Gain on business divestiture: In second quarter of fiscal 2020, the company sold its Operations and Maintenance ("O&M") contracts business to a third-party buyer. Similarly, in fiscal 2019, the company sold all of its membership interests in certain subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with these divestitures, the company recognized gain within its income statement in the period in which the sale was completed. The company believe that it is appropriate to exclude this gain from its segment results as it is not reflective of ongoing operating results.
- Litigation: The company may be involved in various litigation, claims and proceedings that result in payments or recoveries from such proceedings. The company excludes any gains or losses on such litigation recoveries or payments from the non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material non-recurring transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring charges (credits): The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Gain on convertible debt repurchased: In connection with the early repurchase of a portion of our 0.875% Convertible debentures due June 1, 2021, we recognized a gain, represented by the difference between the book value of the convertible debentures, net of the remaining unamortized discount prior to repurchase and the reacquisition price of the convertible notes upon repurchase. The company believes that it is appropriate to exclude these from our non-GAAP results as it is not reflective of ongoing operating results.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense, or tax impact of non-recurring items.
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- Estimated Adjusted EBITDA amount above for Q4 2020 includes net adjustments that decrease net income by approximately $5 million related to stock-based compensation expense, $1 million in transaction-related costs, $4 million related to depreciation expense, $10 million related to interest expense, and $1 million related to income taxes. Estimated Adjusted EBITDA amount above for fiscal 2020 includes net adjustments that decrease (increase) net income by approximately $(274) million related to mark-to-market gain on equity investments, $(11) million related to gain on business divestiture, $17 million related to stock-based compensation expense, $34 million related to interest expense, $18 million related to depreciation expense, $40 million related to income taxes, $5 million related to construction revenue on solar service contracts, $5 million amortization of intangible assets, $3 million related to transaction-related costs, and $2 million related to restructuring charges.
- Exceeded revenue, gross margin, megawatt (MW) and Adjusted EBITDA guidance
- Positive cash generation of approximately $30 million
- U.S. Channels outperformance / Commercial Direct business - positive Adjusted EBITDA
- New product expansion –SunVault, our Equinox residential storage solution; OneRoof for new homes market
- Strong recovery in international distributed generation (DG) demand
- Announced industry leading, 625W, Performance-5 bifacial shingled panel; Enphase partnership for international DG market
- Maxeon Solar Technologies successfully completed $325 million in financing to strengthen post-spin balance sheet
- Legacy utility and power plant projects: The company included adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to our project development efforts at the time of initial project sale. Under IFRS, such projects were accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than U.S. GAAP. Over the life of each project, cumulative revenue and gross margin are eventually equivalent under both GAAP and IFRS; however, revenue and gross margin is generally recognized earlier under IFRS.
- Legacy sale-leaseback transactions: The company included adjustments related to the revenue recognition on certain legacy sale-leaseback transactions entered into before December 31, 2018, based on the net proceeds received from the buyer-lessor. Under U.S. GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to our incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, such revenue and profit is recognized at the time of sale to the buyer-lessor if certain criteria are met. Upon adoption of IFRS 16, Leases, on December 31, 2018, IFRS is aligned with GAAP.
- Mark-to-market gain in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, mark-to-market gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total SE. Further, we elected the Fair Value Option ("FVO") for some of our equity method investments, and we adjust the carrying value of those investments based on their fair market value calculated periodically. Such option is not available under IFRS, and equity method accounting is required for such investments. Management believes that excluding these adjustments on equity investments is consistent with our internal reporting process as part of its status as a consolidated subsidiary of Total SE and better reflects our ongoing results.
- Business process improvement costs: During fiscal 2019, the company initiated a project to improve its manufacturing and related processes to improve gross margin in coming years and engaged third party experts to consult on business process improvements. Management believes it is appropriate to exclude these consulting expenses from our non-GAAP results as they are non-recurring in nature, and are not reflective of the company's ongoing operating results.
- Gain/loss on sale and impairment of residential lease assets: In fiscal 2018 and 2019, in an effort to deconsolidate all the residential lease assets owned by us, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment, including adjustments to contingent consideration shortly after the closure of the transaction, and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-recurring in nature and not reflective of ongoing operating results.
- Impairment of property, plant, and equipment: The Company evaluates property, plant and equipment for impairment whenever certain triggering events or changes in circumstances arise. This evaluation includes consideration of technology obsolescence that may indicate that the carrying value of such assets may not be recoverable. In accordance with such evaluation, the company recognizes a non-cash impairment charge when the asset group's fair value is lower than its carrying value. Such impairment charge is excluded from the company's non-GAAP results as it is non-recurring in nature and not reflective of ongoing operating results. Any such non-recurring impairment charge recorded by our equity method or other unconsolidated investees is also excluded from our non-GAAP results as it is not reflective of their ongoing operating results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects the company's ongoing results as such method aligns revenue and costs incurred most accurately in the same period. Starting in second quarter of fiscal 2020, we no longer have this non-GAAP measure.
- Cost of above-market polysilicon: The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP results as they are not reflective of ongoing operating results. Upon completion of the Maxeon Solar Technologies Ltd. ("Maxeon") spin-off, the obligation to purchase above-market polysilicon will be retained by Maxeon. Given that these costs will not continue to be borne by the Company following the spin, the Company will remove this expense from its non-GAAP measure starting the third quarter of fiscal 2020.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, which are not reflective of ongoing operating results.
- Gain on business divestiture: In second quarter of fiscal 2020, the company sold its Operations and Maintenance ("O&M") contracts business to a third-party buyer. Similarly, in fiscal 2019, the company sold all of its membership interests in certain subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with these divestitures, the company recognized gain within its income statement in the period in which the sale was completed. The company believe that it is appropriate to exclude this gain from its segment results as it is not reflective of ongoing operating results.
- Litigation: The company may be involved in various litigation, claims and proceedings that result in payments or recoveries from such proceedings. The company excludes any gains or losses on such litigation recoveries or payments from the non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material non-recurring transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Business reorganization costs: In connection with the reorganization of our business into an upstream and downstream, and subsequent announcement of the separation transaction to separate the Company into two independent, and publicly traded companies, we incurred and expect to continue to incur in upcoming quarters, non-recurring charges on third-party legal and consulting expenses to close the separation transaction. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring charges (credits): The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Gain on convertible debt repurchased: In connection with the early repurchase of a portion of our 0.875% Convertible debentures due June 1, 2021, we recognized a gain, represented by the difference between the book value of the convertible debentures, net of the remaining unamortized discount prior to repurchase and the reacquisition price of the convertible notes upon repurchase. The company believes that it is appropriate to exclude these from our non-GAAP results as it is not reflective of ongoing operating results.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments: When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- Estimated non-GAAP amounts above for Q3 2020 include net adjustments that increase gross margin by approximately $1 million related to stock-based compensation expense and $1 million related to amortization of intangible assets.
- Estimated Adjusted EBITDA amounts above for Q3 2020 include net adjustments that decrease net loss by approximately $21 million related to income taxes, $20 million in business reorganization costs, $15 million related to depreciation, $11 million related to interest expense, $6 million related to stock-based compensation expense, $1 million of restructuring charges, and $1 million related to amortization of intangible assets.
- fund the aggregate forward purchase price for the forward stock purchase transaction described below;
- repay some or all of a promissory note for a principal amount of $100.0 million to SunPower that was issued in exchange for certain intellectual property necessary for the operation of the Maxeon business; and
- general corporate purposes.
- a privately negotiated forward-starting prepaid forward share purchase transaction with one of the initial purchasers and/or its affiliate, the prepaid forward counterparty, pursuant to which Maxeon will repurchase approximately $40 million worth of ordinary shares of Maxeon, subject to the conditions set forth in the agreement governing the prepaid forward transaction; and
- a privately negotiated forward-starting physical delivery forward transaction, together with the prepaid forward transaction, the forward transactions, with one of the initial purchasers and/or its affiliate, the physical delivery forward counterparty, together with the prepaid forward counterparty, the forward counterparties, with respect to approximately $60 million worth of ordinary shares of Maxeon, pursuant to which the physical delivery forward counterparty will agree to deliver the physical delivery Maxeon shares to Maxeon or a third party-trustee designated by Maxeon for no consideration at or around the maturity of the notes subject to the conditions set forth in the agreement governing the physical delivery forward transaction.
- fund the aggregate forward purchase price for the forward stock purchase transaction described below;
- repay some or all of a promissory note for a principal amount of $100.0 million to SunPower that was issued in exchange for certain intellectual property necessary for the operation of the Maxeon business; and
- general corporate purposes. If the proposed spin-off is not consummated, Maxeon intends to use the net proceeds from the offering, together with existing cash on hand, to fund the mandatory redemption of the notes, as described above.
- a privately negotiated forward-starting prepaid forward share purchase transaction with one of the initial purchasers and/or its affiliate, the prepaid forward counterparty, pursuant to which Maxeon will repurchase approximately $40 million worth of ordinary shares of Maxeon, subject to the conditions set forth in the agreement governing the prepaid forward transaction and;
- a privately negotiated forward-starting physical delivery forward transaction, together with the prepaid forward transaction, the forward transactions, with one of the initial purchasers and/or its affiliate, the physical delivery forward counterparty, together with the prepaid forward counterparty, the forward counterparties, with respect to approximately $50 million worth of ordinary shares of Maxeon, pursuant to which the physical delivery forward counterparty will agree to deliver the physical delivery Maxeon shares to Maxeon or a third party-trustee designated by Maxeon for no consideration at or around the maturity of the notes subject to the conditions set forth in the agreement governing the physical delivery forward transaction.
- SunPower will continue as the leading North American distributed generation, storage and energy services company with more than 500 dealer partners and 3.2 gigawatts installed in the residential, new homes and commercial direct markets.
- Newly formed Maxeon Solar Technologies will combine its leading global sales channel outside the U.S. and Canada with pioneering solar innovation and capital-efficient manufacturing. Maxeon will market SunPower branded panels outside the U.S. and Canada through its industry-leading network of more than 1,100 sales and installation partners.
- Recognized an increased demand for its SunPower Equinox® platform – the only fully integrated residential solution designed, engineered and warranted by one manufacturer;
- Retained its status as the #1 Commercial Solar Provider by capacity in the U.S. for the third straight year;
- Expanded its leadership position in the new homes channel, partnering with 18 of the top 20 California new-home builders; and
- Continues to raise the efficiency bar, boasting the most powerful residential solar panel available. The SunPower A-Series panels are built using the company's Next Generation Technology and deliver up to 420 watts for U.S. homeowners.
- Strong global Distributed Generation (DG) demand – 50 percent year over year volume growth
- Significant progress in Commercial Direct business – expected profitability in second half 2020
- Continued investment in new products/services – next generation Maxeon technology, Equinox storage, digital
- Spin-off of Maxeon Solar Technologies expected for second quarter of 2020, pending regulatory approval and the signing of financial facilities
- Focused on health and safety of employees and customers during pandemic
- Anticipated cost/cash savings of up to $100 million in 2020 - available liquidity of up to $500 million over next 12 months
- Legacy utility and power plant projects: The company included adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to our project development efforts at the time of initial project sale. Under IFRS, such projects were accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than U.S. GAAP. Over the life of each project, cumulative revenue and gross margin are eventually equivalent under both GAAP and IFRS; however, revenue and gross margin is generally recognized earlier under IFRS.
- Legacy sale-leaseback transactions: The company included adjustments related to the revenue recognition on certain legacy sale-leaseback transactions entered into before December 31, 2018, based on the net proceeds received from the buyer-lessor. Under U.S. GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to our incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, such revenue and profit is recognized at the time of sale to the buyer-lessor if certain criteria are met. Upon adoption of IFRS 16, Leases, on December 31, 2018, IFRS is aligned with GAAP.
- Mark-to-market gain in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, mark-to-market gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total S.A. Further, we elected the Fair Value Option ("FVO") for some of our equity method investments, and we adjust the carrying value of those investments based on their fair market value calculated periodically. Such option is not available under IFRS, and equity method accounting is required for such investments. Management believes that excluding these adjustments on equity investments is consistent with our internal reporting process as part of its status as a consolidated subsidiary of Total S.A. and better reflects our ongoing results.
- Business process improvement costs: During fiscal 2019, the company initiated a project to improve its manufacturing and related processes to improve gross margin in coming years and engaged third party experts to consult on business process improvements. Management believes it is appropriate to exclude these consulting expenses from our non-GAAP results as they are non-recurring in nature, and are not reflective of the company's ongoing operating results.
- Gain/loss on sale and impairment of residential lease assets: In fiscal 2018 and 2019, in an effort to deconsolidate all the residential lease assets owned by us, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment, including adjustments to contingent consideration shortly after the closure of the transaction, and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-recurring in nature and not reflective of ongoing operating results.
- Impairment of property, plant, and equipment: The Company evaluates property, plant and equipment for impairment whenever certain triggering events or changes in circumstances arise. This evaluation includes consideration of technology obsolescence that may indicate that the carrying value of such assets may not be recoverable. In accordance with such evaluation, the company recognizes a non-cash impairment charge when the asset group's fair value is lower than its carrying value. Such impairment charge is excluded from the company's non-GAAP results as it is non-recurring in nature and not reflective of ongoing operating results. Any such non-recurring impairment charge recorded by our equity method or other unconsolidated investees is also excluded from our non-GAAP results as it is not reflective of their ongoing operating results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects the company's ongoing results as such method aligns revenue and costs incurred most accurately in the same period.
- Cost of above-market polysilicon: The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP results as they are not reflective of ongoing operating results.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, which are not reflective of ongoing operating results.
- Gain on business divestiture: In the second quarter of fiscal 2019, the company entered into a transaction pursuant to which it sold membership interest in certain of its subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with this sale, the company recognized a gain relating to this business divestiture. In the third quarter of fiscal 2018, the company entered into a transaction pursuant to which the company sold certain assets and intellectual property related to the production of microinverters for purchase consideration comprised of both cash and stock. In connection with this sale, the company recognized a gain relating to this business divestiture. Management believes that it is appropriate to exclude both of these gains from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Litigation: The company may be involved in various litigations, claims and proceedings that result in payments or recoveries from such proceedings. The company excludes any gains or losses on such litigation recoveries or payments from the non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material non-recurring transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Business reorganization costs: In connection with the reorganization of our business into an upstream and downstream, and subsequent announcement of the separation transaction to separate the Company into two independent, and publicly traded companies, we incurred and expect to continue to incur in upcoming quarters, non-recurring charges on third-party legal and consulting expenses to close the separation transaction. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring charges (credits): The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Gain on convertible debt repurchased: In connection with the early repurchase of a portion of our 0.875% Convertible debentures due June 1, 2021, we recognized a gain, represented by the difference between the book value of the convertible debentures, net of the remaining unamortized discount prior to repurchase and the reacquisition price of the convertible notes upon repurchase. The company believes that it is appropriate to exclude these from our non-GAAP results as it is not reflective of ongoing operating results.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments: When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- Reduction of SunPower's operating costs through lower per-watt financing fees;
- Streamlining of the loan application and contract signing process for customers; and
- Utilization of a financing platform that integrates SunPower's sales and system design tools that give customers the ability to compare cash, lease or loan acquisition options all at one time.
- SunPower Design Studio can be accessed from a mobile device or computer, allowing homeowners to enter their address and estimated monthly electric bill into a special web app.
- Operational since last summer, SunPower's fully online energy consultants work with new customers providing assistance from consultation through the contract process.
- Recognized an increased demand for its SunPower Equinox® platform – the only fully integrated residential solution designed, engineered and warranted by one manufacturer;
- Expanded its leadership position in the new homes channel, partnering with 18 of the top 20 California new-home builders; and
- Continues to raise the efficiency bar, boasting the most powerful residential solar panel in the world. The SunPower A-Series panels are built using the company's Next Generation Technology and deliver up to 420 watts for U.S. homeowners.
- SunPower by Stellar Solar from Oceanside, Calif., for a 32-kilowatt system installed at an energy smart home in Rancho Santa Fe
- GreenLogic Energy from Southampton, N.Y., for a 4.7-kilowatt system installed flush with the roof plane on a home in Southampton
- SunPower by Legacy Solar from Bloomington, Ill., for a 10.8-kilowatt system installed for a tech-savvy homeowner in Court Champaign
- Cool Earth Solar from Pleasanton, Calif., for a 451-kilowatt rooftop and carport project installed at biotechnology company ATUM's campus in Newark
- TerraSol Energies, Inc. from Chadds Ford, Pa., for a 467-kilowatt rooftop and carport project installed at a coastal health facility in Atlantic City, New Jersey
- Strong demand in U.S. and international distributed generation (DG) markets
- Exceeded fourth quarter cash target, successful capital raise, business unit cash generation
- Announced decision to create two strategically-aligned, and independent companies
- Record fourth quarter residential revenue with 27 percent megawatt (MW) growth versus fourth quarter 2018
- Positive field results from residential Equinox Storage product beta tests
- Strong commercial direct origination performance - restructuring commercial execution organization
- Record global shipments - more than 80 percent year over year volume growth
- Announced proposed spin-off of Maxeon Solar Technologies (Maxeon Solar) to shareholders
- $298 million TZS equity investment in Maxeon Solar to accelerate Maxeon-5 capacity ramp
- 8point3: Historically, the company included adjustments related to the sales of projects contributed to 8point3 Group, an equity method investee ("8point3") based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit was subsequently recognized over time. Under GAAP, these sales were recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue for other projects sold was deferred until those projects reach commercial operation. On June 19, 2018, the company sold its equity interest in the 8point3 Group.
- Legacy utility and power plant projects: The company included adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to our project development efforts at the time of initial project sale. Under IFRS, such projects were accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than U.S. GAAP. Over the life of each project, cumulative revenue and gross margin are eventually equivalent under both GAAP and IFRS; however, revenue and gross margin is generally recognized earlier under IFRS.
- Legacy sale-leaseback transactions: The company included adjustments related to the revenue recognition on certain legacy sale-leaseback transactions entered into before December 31, 2018, based on the net proceeds received from the buyer-lessor. Under U.S. GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to our incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, such revenue and profit is recognized at the time of sale to the buyer-lessor if certain criteria are met. Upon adoption of IFRS 16, Leases, on December 31, 2018, IFRS is aligned with GAAP.
- Mark-to-market (gain) loss in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, mark-to-market gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total S.A. Further, we elected the Fair Value Option ("FVO") for some of our equity method investments, and we adjust the carrying value of those investments based on their fair market value calculated periodically. Such option is not available under IFRS, and equity method accounting is required for such investments. Management believes that excluding these adjustments on equity investments is consistent with our internal reporting process as part of its status as a consolidated subsidiary of Total S.A. and better reflects our ongoing results.
- Business process improvement costs: During fiscal 2019, the company initiated a project to improve its manufacturing and related processes to improve gross margin in coming years and engaged third party experts to consult on business process improvements. Management believes it is appropriate to exclude these consulting expenses from our non-GAAP results as they are non-recurring in nature, and are not reflective of the company's ongoing operating results.
- Loss (gain) on sale and impairment of residential lease assets: In the fourth quarter of fiscal 2017, the company made the decision to sell or refinance its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of the company's solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. In the fourth quarter of fiscal 2018, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-cash in nature and not reflective of ongoing operating results. Additionally, in the third quarter of fiscal 2019, in continuation with our intention to deconsolidate all the residential lease assets owned by us, we sold the remainder of residential lease assets still owned by us, that were not previously sold. Gain/loss from such activity is excluded from the company's non-GAAP results as it is non-cash in nature and not reflective of ongoing operating results.
- Impairment of property, plant, and equipment: The Company evaluates property, plant and equipment for impairment whenever certain triggering events or changes in circumstances arise. This evaluation includes consideration of technology obsolescence that may indicate that the carrying value of such assets may not be recoverable. In accordance with such evaluation, the company recognizes a non-cash impairment charge when the asset group's fair value is lower than its carrying value. Such impairment charge is excluded from the company's non-GAAP results as it is non-recurring in nature and not reflective of ongoing operating results. Any such non-recurring impairment charge recorded by our equity method or other unconsolidated investees is also excluded from our non-GAAP results as it is not reflective of their ongoing operating results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects the company's ongoing results as such method aligns revenue and costs incurred most accurately in the same period.
- Cost of above-market polysilicon: The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP results as they are not reflective of ongoing operating results.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, which are not reflective of ongoing operating results.
- Depreciation of idle equipment: In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, and revised its depreciation estimates to reflect the use of certain assets over its shortened useful life. Such asset depreciation is excluded from the company's non-GAAP results as it is non-cash in nature and not reflective of ongoing operating results.
- Gain on business divestiture: In the second quarter of fiscal 2019, the company entered into a transaction pursuant to which it sold membership interest in certain of its subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with this sale, the company recognized a gain relating to this business divestiture. In the third quarter of fiscal 2018, the company entered into a transaction pursuant to which the company sold certain assets and intellectual property related to the production of microinverters for purchase consideration comprised of both cash and stock. In connection with this sale, the company recognized a gain relating to this business divestiture. Management believes that it is appropriate to exclude both of these gains from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Litigation: The company may be involved in various litigations, claims and proceedings that result in payments or recoveries from such proceedings. The company excludes any gains or losses on such litigation recoveries or payments from the non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material non-recurring transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Business reorganization costs: In connection with the reorganization of our business into an upstream and downstream, and subsequent announcement of the separation transaction to separate the Company into two independent, and publicly traded companies, we incurred and expect to continue to incur in upcoming quarters, non-recurring charges on third-party legal and consulting expenses to close the separation transaction. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring charges: The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. The company believes that it is appropriate to exclude these from company's non-GAAP results as it is not reflective of ongoing operating results.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments: When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- For several years running, ranked No. 1 in the Silicon Valley Toxics Coalition's sustainability scorecard;
- First manufacturer in solar to achieve Cradle to Cradle Certified™ recognition;
- Currently Cradle to Cradle Certified™ Bronze, Maxeon® DC panels demonstrate quality in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness;
- First and only solar panel manufacturer to disclose its material ingredients through the International Living Future Institute's Declare label; and
- First and only solar panel manufacturer with an NSF Zero-Waste-to-Landfill Certified panel manufacturing facility in Mexicali, Mexico, which diverts less than 1 percent of waste annually to landfill. The same SunPower facility has also qualified for Leadership in Energy and Environmental Design (LEED® Gold) based on the environmental attributes of the building's construction, maintenance and operations.
- SunPower will continue as the leading North American distributed generation, storage and energy services company.
- Newly-formed Maxeon Solar will be the leading global technology innovator, manufacturer and marketer of premium solar panels.
- Continued strength in U.S. and international distributed generation (DG) markets
- Generated positive cash at the business unit level for the quarter
- Record residential and new homes bookings - strong traction in California ahead of 2020 new home solar mandate
- Formally launched Equinox Storage solution for the residential market
- Record shipments into international DG markets – more than 70 percent of volume
- Tracking to a fourth quarter agreement on potential investment to expand Maxeon 5 production
- 8point3: The company includes adjustments related to the sales of projects contributed to 8point3 Group, an equity method investee ("8point3") based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue for other projects sold is deferred until those projects reach commercial operation. On June 19, 2018, the company sold its equity interest in the 8point3 Group.
- Legacy utility and power plant projects: The company included adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to our project development efforts at the time of initial project sale. Under IFRS, such projects are accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than U.S. GAAP. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS.
- Legacy sale-leaseback transactions: The company included adjustments related to the revenue recognition on certain legacy sale-leaseback transactions entered into before December 31, 2018, based on the net proceeds received from the buyer-lessor. Under U.S. GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to our incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, such revenue and profit is recognized at the time of sale to the buyer-lessor if certain criteria are met. Upon adoption of IFRS 16, Leases, on December 31, 2018, IFRS is aligned with GAAP.
- Mark-to-market (gain) loss in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, mark-to-market gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total S.A. Further, we elected the Fair Value Option ("FVO") for some of our equity method investments, and we adjust the carrying value of those investments based on their fair market value calculated periodically. Such option is not available under IFRS, and equity method accounting is required for such investments. Management believes that excluding these adjustments on equity investments is consistent with our internal reporting process as part of its status as a consolidated subsidiary of Total S.A. and better reflects our ongoing results.
- Business process improvement costs: During prior quarter ended June 30, 2019, the company initiated a project to improve its manufacturing and related processes to improve gross margin in coming years and engaged third party experts to consult on business process improvements. Management believes it is appropriate to exclude these consulting expenses from our Non-GAAP financial measures as they are non-recurring in nature, and are not reflective of the company's ongoing operating results
- Loss (gain) on sale and impairment of residential lease assets: In the fourth quarter of fiscal 2017, the company made the decision to sell or refinance its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of the company's solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. In the fourth quarter of fiscal 2018, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-cash in nature and not reflective of ongoing operating results. Additionally, in the third quarter of fiscal 2019, in continuation with our intention to deconsolidate all the residential lease assets owned by us, we sold the remainder of residential lease assets still owned by us, that were not previously sold. Such activity is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing non-GAAP results.
- Impairment of property, plant, and equipment: In the second quarter of fiscal 2018, the company announced its proposed plan to change the corporate structure into the Upstream business unit and Downstream business unit, and long-term strategy to replace IBC technology to NGT. Accordingly, the company expects to upgrade the equipment associated with our manufacturing operations for the production of NGT over the next several years. In connection with these events, the company determined indicators of impairment existed and therefore performed an evaluation of the recoverability of the asset group. In accordance with such evaluation, the company recognized a non-cash impairment charge on its property, plant and equipment. Such asset impairment is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing segment results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects the company's ongoing results as such method aligns revenue and costs incurred most accurately in the same period.
- Cost of above-market polysilicon: The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment: In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, and revised its depreciation estimates to reflect the use of certain assets over its shortened useful life. Such asset depreciation is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Gain on business divestiture: In the second quarter of fiscal 2019, the company entered into a transaction pursuant to which it sold membership interest in certain of its subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with this sale, the company recognized a gain relating to this business divestiture. In the third quarter of fiscal 2018, the company entered into a transaction pursuant to which the company sold certain assets and intellectual property related to the production of microinverters for purchase consideration comprised of both cash and stock. In connection with this sale, the company recognized a gain relating to this business divestiture. Management believes that it is appropriate to exclude both of these gains from the company's non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Business reorganization costs: In connection with the reorganization of our business into an upstream and downstream business unit structure, the company incurred and expects to continue incurring expenses in the upcoming quarters associated with reorganization of corporate functions and responsibilities to the business units, updating accounting policies and processes and implementing systems. The company also incurred and expects to incur costs in financing its Next Generation Technology ("NGT") business. The company believes that it is appropriate to exclude these from our segment results as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expenses: The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments: When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- Estimated non-GAAP amounts above for fiscal 2019 include net adjustments that increase revenue by approximately $125 million, related to construction revenue on solar services contracts.
- Estimated non-GAAP amounts above for Q4 2019 include net adjustments that increase gross margin by approximately $40 million related to cost of above-market polysilicon, $2 million related to stock-based compensation expense, and $2 million related to amortization of intangible assets.
- Estimated Adjusted EBITDA amounts above for Q4 2019 include net adjustments that decrease (increase) net income by approximately $40 million related to cost of above-market polysilicon, $15 million related to depreciation, $10 million related to interest expense, $10 million related to stock-based compensation expense, $9 million related to restructuring, $5 million related to income taxes, $11 million related to business reorganization costs, $2 million related to amortization of intangible assets. Estimated non-GAAP amounts above for fiscal 2019 include net adjustments that decrease (increase) net loss by approximately $139 million related to cost of above-market polysilicon, $73 million related to depreciation, $40 million related to interest expense, $29 million related to impairment of lease assets, $29 million related to stock-based compensation expense, $24 million related to business reorganization costs, $22 million related to income taxes, $15 million related to restructuring, $7 million related to amortization of intangible assets, $6 million on sale-leaseback, $4 million related to transaction-related costs, $3 million related to business process improvement costs, $(143) million related to the gain on business divestiture, $(128) million related to mark-to-market gain on equity investments, and $(9) million related to construction revenue on solar services contracts.
- Design Studio, which allows homeowners to conveniently explore their home's solar potential, delivering a custom design in 30 seconds, and
- Equinox Storage, which gives homeowners freedom from utility outages, grid uncertainty and high peak period rates.
- Continued strength in distributed generation (DG), expanded international power plant footprint
- Partnered with Bank of America Merrill Lynch and Hannon Armstrong on residential lease funding structure to lower capital costs and improve economics
- SunPower Energy Services (SPES)
- Commenced U.S. shipments of 415-watt residential Maxeon 5, A-Series panel
- Commercial and industrial (C&I) Helix storage solutions pipeline increased to 135 megawatts (MW) with about 30 percent attach rate
- SunPower Technologies (SPT)
- Record quarterly shipment volume into international DG markets
- Expected production on second Maxeon 5 manufacturing line in third quarter with 250-MW nameplate capacity by end of 2019
- 8point3: The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP. On June 19, 2018, the company sold its equity interest in the 8point3 Group.
- Legacy utility and power plant projects: The company includes adjustments related to revenue recognition of certain utility and power plant projects based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligations and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Prior to the adoption of ASC 606, such projects were accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Under ASC 606, such projects are accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and margin than previous GAAP. Over the life of each project, cumulative revenue and gross profit will eventually be equivalent under both ASC 606 and non-GAAP once these projects are completed.
- Legacy sale-leaseback transactions: The company includes adjustments primarily related to revenue recognition on certain legacy sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, such revenue and profit is recognized at the time of sale to the buyer-lessor if certain criteria are met. Upon adoption of IFRS 16, Leases, on December 31, 2018, IFRS is aligned with GAAP.
- Unrealized (gain) loss in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, unrealized gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total S.A. Management believes that excluding the unrealized gain or loss on the equity investments is consistent with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A. and better reflects the company's ongoing results.
- Gain on sale and impairment of residential lease assets: In the fourth quarter of fiscal 2017, the company made the decision to sell or refinance its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of the company's solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. In the fourth quarter of fiscal 2018, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-cash in nature and not reflective of ongoing operating results.
- Impairment of property, plant, and equipment: In the second quarter of fiscal 2018, the company announced its proposed plan to change the corporate structure into the Upstream business unit and Downstream business unit, and long-term strategy to replace IBC technology to NGT. Accordingly, the company expects to upgrade the equipment associated with our manufacturing operations for the production of NGT over the next several years. In connection with these events, the company determined indicators of impairment existed and therefore performed an evaluation of the recoverability of the asset group. In accordance with such evaluation, the company recognized a non-cash impairment charge on its property, plant and equipment. Such asset impairment is excluded from the company's segment results as it is non-cash in nature and not reflective of ongoing segment results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects our ongoing results as such method aligns revenue and costs incurred most accurately in the same period.
- Cost of above-market polysilicon: The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment: In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, and revised its depreciation estimates to reflect the use of certain assets over its shortened useful life. Such asset depreciation is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Gain on business divestiture: In the first quarter of fiscal 2019, the company entered into a transaction pursuant to which it sold membership interest in certain of its subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with this sale, the company recognized a gain relating to this business divestiture. Management believes that it is appropriate to exclude this gain from our non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Business reorganization costs: In connection with the reorganization of our business into an upstream and downstream business unit structure, the company incurred and expect to continue incurring expenses in the upcoming quarters associated with reclassifying prior period segment information, reorganization of corporate functions and responsibilities to the business units, updating accounting policies and processes and implementing systems to fulfill the requirements of the master supply agreement between the segments. Management believes that it is appropriate to exclude these from the company's non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expenses: The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments: When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- Launched new portfolio of Maxeon and Performance Series (P-Series) panels in U.S. and international markets
- Agreement to monetize commercial sale-leaseback portfolio for $87 million; sold first C&I project under innovative financing partnership with Goldman Sachs Renewable Power
- SunPower Energy Services (SPES)
- Commenced U.S. shipments of 415-watt residential A-Series panel
- Helix storage solutions pipeline increased to 110 megawatts (MW) with 35 percent attach rate
- SunPower Technologies (SPT)
- World record 25 percent Maxeon Gen 5 solar cells in volume production; initiated tool install for second manufacturing line
- Strong volume growth in international distributed generation (DG) markets
- 8point3: The company includes adjustments related to the sales of projects contributed to 8point3 Energy Partners based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion was deferred in proportion to its retained equity interest in 8point3 Energy Partners, at the time. Prior to the adoption of ASC 606, these sales were recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. The company adopted ASC 606 on January 1, 2018, using the full retrospective method, which required it to restate each prior period presented. The company recorded a material amount of deferred profit associated with projects sold to 8point3 Energy Partners in 2015, the majority of which had previously been deferred under real estate accounting. Accordingly, the carrying value in the 8point3 Group materially increased upon adoption which required us to evaluate the company's investment in 8point3 Energy Partners for other-than-temporary impairment ("OTTI"). In accordance with such evaluation, the company recognized an OTTI charge on the 8point3 investment balance in fiscal 2017. On June 19, 2018, the company sold its equity interest in the 8point3 Group.
- Legacy utility and power plant projects: The company includes adjustments related to revenue recognition of certain utility and power plant projects based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligations and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Prior to the adoption of ASC 606, such projects were accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Under ASC 606, such projects are accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and margin than previous GAAP. Over the life of each project, cumulative revenue and gross profit will eventually be equivalent under both ASC 606 and non-GAAP once these projects are completed.
- Legacy sale-leaseback transactions: The company includes adjustments primarily related to revenue recognition on certain legacy sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions were accounted for under the financing method in accordance with the applicable accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization. Under IFRS, revenue and profit are recognized at the time of sale to the buyer-lessor if certain criteria are met.
- Unrealized (gain) loss in equity investments: The company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, unrealized gains and losses due to changes in stock prices for these securities are recorded in earnings while under IFRS, an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total S.A. Management believes that excluding the unrealized gain or loss on the equity investments is consistent with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A. and better reflects the company's ongoing results.
- Impairment and sale of residential lease assets: In the fourth quarter of fiscal 2017, the company made the decision to sell or refinance its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of the company's solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. In the fourth quarter of fiscal 2018, the company sold membership units representing a 49% membership interest in its residential lease business and retained a 51% membership interest. The loss on divestment and the remaining unsold residential lease assets impairment with its corresponding depreciation savings are excluded from the company's non-GAAP results as they are non-cash in nature and not reflective of ongoing operating results.
- Construction revenue on solar services contracts: Upon adoption of the new lease accounting guidance ("ASC 842") in the first quarter of fiscal 2019, revenue and cost of revenue on solar services contracts with residential customers are recognized ratably over the term of those contracts, once the projects are placed in service. For non-GAAP results, the company recognizes revenue and cost of revenue upfront based on the expected cash proceeds to align with the legacy lease accounting guidance. Management believes it is appropriate to recognize revenue and cost of revenue upfront based on total expected cash proceeds, as it better reflects our ongoing results as such method aligns revenue and costs incurred most accurately in the same period.
- Cost of above-market polysilicon: The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation: Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets: The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment: In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, and revised its depreciation estimates to reflect the use of certain assets over its shortened useful life. Such asset depreciation is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Gain on business divestiture: In the first quarter of fiscal 2019, the company entered into a transaction pursuant to which it sold membership interest in certain of its subsidiaries that own leasehold interests in projects subject to sale-leaseback financing arrangements. In connection with this sale, the company recognized a gain relating to this business divestiture. Management believes that it is appropriate to exclude this gain from our non-GAAP results as it is not reflective of ongoing operating results.
- Transaction-related costs: In connection with material transactions such as acquisition or divestiture of a business, the company incurred transaction costs including legal and accounting fees. Management believes that it is appropriate to exclude these costs from the company's non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Business reorganization costs: In connection with the reorganization of our business into an upstream and downstream business unit structure, the company incurred and expect to continue incurring expenses in the upcoming quarters associated with reclassifying prior period segment information, reorganization of corporate functions and responsibilities to the business units, updating accounting policies and processes and implementing systems to fulfill the requirements of the master supply agreement between the segments. Management believes that it is appropriate to exclude these from the company's non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Non-cash interest expense: The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expenses: The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Tax effect: This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- Solid financial performance: strong cash generation quarter
- Significantly delevered balance sheet: more than 50 percent sequential net debt reduction
- Completed previously announced business re-segmentation
- SunPower Energy Services (SPES)
- North American residential annual deployments increased 15 percent
- Record commercial bookings quarter: 80 percent of 2019 forecast in backlog
- SunPower Technologies (SPT)
- Initial production of company's Next Generation Technology (NGT) panels
- Expanding NGT capacity: initiated process for second manufacturing line
- Intersegment Gross Margin. To increase efficiencies and the competitive advantage of our technologies, SunPower Technologies sells solar modules to SunPower Energy Services based on transfer prices determined based on management's assessment of market-based pricing terms. Such intersegment sales and related costs are eliminated at the corporate level to derive our consolidated financial results.
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% (since reduced to 36.5% via a secondary issuance of shares in fiscal 2016) stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
The company includes adjustments related to the sales of projects contributed to 8point3 previously based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. Prior to the adoption of ASC 606, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. The company adopted ASC 606 on January 1, 2018, using the full retrospective method, which required the company to restate each prior period presented. The company recorded a material amount of deferred profit associated with projects sold to 8point3 in 2015, the majority of which had previously been deferred under real estate accounting. Accordingly, the company's carrying value in the 8point3 materially increased upon adoption which required the company to evaluate its investment in 8point3 for other-than-temporary impairment ("OTTI"). In accordance with such evaluation, the company recognized a non-cash impairment charge on the 8point3 investment balance in the prior periods that were affected. On June 19, 2018, the company sold its equity interest in 8point3. - Legacy utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligations and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Prior to the adoption of ASC 606, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Under ASC 606, such projects are accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than previous GAAP. Over the life of each project, cumulative revenue and gross profit will eventually be equivalent under both ASC 606 and non-GAAP once these projects are completed.
- Sale-leaseback transactions. The company includes adjustments primarily related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Unrealized loss in equity investments. In connection with the divestment of the Company's microinverters business in the third quarter of fiscal 2018, the Company received a portion of the consideration in the form of common stock. The Company recognizes adjustments related to the fair value of equity investments with readily determinable fair value based on the changes in the stock price of these equity investments at every reporting period. Under GAAP, unrealized gains and losses due to changes in stock prices for these securities are recorded in earnings while under International Financial Reporting Standards ("IFRS"), an election can be made to recognize such gains and losses in other comprehensive income. Such an election was made by Total S.A., a foreign registrant which reports under the IFRS. Management believes that excluding the unrealized gain or loss on the equity investments is consistent with the Company's reporting process as part of its status as a consolidated subsidiary of Total S.A. and better reflects the Company's ongoing segment results.
- Impairment and sale of residential lease assets. In the fourth quarter of fiscal 2017, the company made the decision to sell or refinance its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of the company's solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. In the fourth quarter of fiscal 2018, we entered into a joint venture with HA SunStrong Capital LLC ("HA SunStrong Parent"), an affiliate of Hannon Armstrong Sustainable Infrastructure Capital, Inc., to acquire, own, manage, operate, finance, and maintain a portfolio of residential rooftop or ground-mounted solar photovoltaic electric generating systems ("Solar Assets"). Pursuant to the terms of the Purchase and Sale Agreement (the "PSA"), we sold to HA SunStrong Parent, in exchange for consideration of $10.0 million, membership units representing a 49.0% membership interest in SunStrong Capital Holdings, LLC ("SunStrong"), formerly our wholly-owned subsidiary. Following the closing of the PSA, we deconsolidated certain entities that have historically held the assets and liabilities comprising our residential lease business (the "Residential Lease Portfolio"), as part of our previously announced decision to sell a portion of our interest in the portfolio of residential lease assets, and retained membership units representing a 51% membership interest in SunStrong. The loss on divestment and the remaining unsold residential lease asset impairment with its corresponding depreciation savings are excluded from the company's segment results as they are non-cash in nature and not reflective of ongoing operating results.
- Impairment of property, plant, and equipment. In the second quarter of fiscal 2018, the company announced its proposed plan to change the corporate structure into the Upstream business unit and Downstream business unit, and long-term strategy to replace IBC technology to NGT. Accordingly, the company expects to upgrade the equipment associated with our manufacturing operations for the production of NGT over the next several years. In connection with these events, the company determined indicators of impairment existed and therefore performed an evaluation of the recoverability of the asset group. In accordance with such evaluation, the company recognized a non-cash impairment charge on its property, plant and equipment. Such asset impairment is excluded from the company's segment results as it is non-cash in nature and not reflective of ongoing segment results.
- Cost of above-market polysilicon. The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment. In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, and revised its depreciation estimates to reflect the use of certain assets over its shortened useful life. Such asset depreciation is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Gain on business divestiture. In the third quarter of fiscal 2018, the Company entered into a transaction pursuant to which the Company sold certain assets and intellectual property related to the production of microinverters for purchase consideration comprised of both cash and stock. In connection with this sale, the Company recognized a gain relating to this business divestiture. Management believes that it is appropriate to exclude this gain from the Company's Non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results.
- Acquisition-related and other costs. In connection with the acquisition of certain assets of SolarWorld Americas, Inc. ("SolarWorld Americas"), which closed on October 1, 2018, the Company incurred legal and accounting fees. In addition to the legal and accounting fees incurred, a gain Management believes that it is appropriate to exclude these from the Company's Non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Business reorganization costs. In connection with the reorganization of our business into an upstream and downstream business unit structure, we incurred and expect to continue incurring expenses in the upcoming quarters associated with reclassifying prior period segment information, reorganization of corporate functions and responsibilities to the business units, updating accounting policies and processes and implementing systems to fulfill the requirements of the master supply agreement between the segments. Management believes that it is appropriate to exclude these from the Company's Non-GAAP financial measures as they would not have otherwise been incurred as part of its business operations and are therefore not reflective of ongoing operating results.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies. - Exceeded Non-GAAP Revenue, Margin and Adjusted EBITDA forecasts
- Year over year Distributed Generation (DG) volume growth of 45%, US residential up 15%
- Strong continued interest in Helix commercial storage application - 35% attach rate
- Record bookings quarter for SunPower Solutions group - shipments rose 37% sequentially
- Increasing focus on Next Generation Technology (NGT) scale-up, volume production planned in Q4'18
- $369.2 million non-cash impairment of legacy manufacturing assets
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% (since reduced to 36.5% via a secondary issuance of shares in fiscal 2016) stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligations and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Prior to the adoption of ASC 606, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Under ASC 606, such projects are accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than previous GAAP. Over the life of each project, cumulative revenue and gross profit will eventually be equivalent under both ASC 606 and non-GAAP once these projects are completed.
- Sale-leaseback transactions. The company includes adjustments primarily related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Impairment of property, plant, and equipment. In the second quarter of fiscal 2018, the company announced its proposed plan to change the corporate structure into the Upstream business unit and Downstream business unit, and long-term strategy to replace IBC technology to NGT. Accordingly, the company expects to upgrade the equipment associated with our manufacturing operations for the production of NGT over the next several years. In connection with these events, the company determined indicators of impairment existed and therefore performed an evaluation of the recoverability of the asset group. In accordance with such evaluation, the company recognized a non-cash impairment charge on its property, plant and equipment. Such asset impairment is excluded from the company's segment results as it is non-cash in nature and not reflective of ongoing segment results.
- Impairment of residential lease assets. In the fourth quarter of fiscal 2017, the Company made the decision to sell or refinance its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the Company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of the Company's solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. Such asset impairment and its corresponding depreciation savings are excluded from the Company's segment results as they are non-cash in nature and not reflective of ongoing segment results.
- Cost of above-market polysilicon. The company has entered into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in select legacy supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed current market prices. Additionally, in order to reduce inventory and improve working capital, the Company has periodically elected to sell polysilicon inventory in the marketplace at prices below the Company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment. In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, and revised its depreciation estimates to reflect the use of certain assets over its shortened useful life. Such asset depreciation is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- Length: 8.5 meters – about 30 feet, or the distance from the end zone to the 10-yard line on an American football field
- Wingspan: 24.8 meters – about 81 feet, or the length of two standard city buses
- Weight: 450 kilograms – about as heavy as a grand piano; to make SolarStratos its lightest, the cabin will not be pressurized, requiring pilots to wear astronaut suits that are pressurized by solar energy
- Engine: 32-kilowatt electrical engine, about one-third the size of what would power an electric vehicle
- Energy: 22 square meters of SunPower Maxeon solar cells, each reaching 22 to 24 percent efficiency
- Batteries: One 20-kilowatt lithium ion battery
- Autonomy: Self-generates electricity with solar to power the plane for more than 12 hours
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% (since reduced to 36.5% via a secondary issuance of shares in fiscal 2016) stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based the ratio of costs incurred to date to the total estimated costs at completion of the performance obligations and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Prior to the adoption of ASC 606, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Under ASC 606, such projects are accounted for when the customer obtains control of the promised goods or services which generally results in earlier recognition of revenue and profit than previous GAAP. Over the life of each project, cumulative revenue and gross profit will eventually be equivalent under both ASC 606 and non-GAAP once these projects are completed.
- Sale-leaseback transactions. The company includes adjustments primarily related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Impairment of residential lease assets. In fiscal 2017, the company made the decision to sell its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. In connection with the impairment loss, the carrying values of its solar power systems leased and to be leased were reduced which resulted in lower depreciation charges. Management believes that it is appropriate to exclude the impact of residential lease assets impairment and its corresponding depreciation savings from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Cost of above-market polysilicon. The company has entered in previous years into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in these supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment. In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, which made certain then temporarily idle equipment obsolete, and therefore, retired that affected equipment. Such asset impairment is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- An intelligent software control system that predicts energy consumption from the grid and automatically dispatches stored solar electricity from the battery to lower demand charges
- A best-in-class battery technology that is safe, reliable, and versatile to meet real-world conditions
- Turn-key services to design, install, operate and maintain systems, ensuring a seamless customer experience
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Under GAAP, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in differing stages of progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition on the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments primarily related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Impairment of residential lease assets. In fiscal 2017, the company made the decision to sell its interest in the residential lease portfolio and as a result of this triggering event, determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of the residential lease portfolio. In accordance with such evaluation, the company recognized a non-cash impairment charge on its solar power systems leased and to be leased and an allowance for losses related financing receivables. Management believes that it is appropriate to exclude the impact of residential lease assets impairment from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Cost of above-market polysilicon. The company has entered in previous years into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in these supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed market prices. Additionally, in order to reduce inventory and improve working capital, the company has periodically elected to sell polysilicon inventory in the marketplace at prices below the company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and do not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Depreciation of idle equipment. In the fourth quarter of 2017, the company changed the deployment plan for its next generation of solar cell technology, which made certain then temporarily idle equipment obsolete, and therefore, retired that affected equipment. Such asset impairment is excluded from the company's non-GAAP financial measures as it is non-cash in nature and not reflective of ongoing operating results. Excluding this data provides investors with a basis to compare the company's performance against the performance of other companies without such charges.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Goodwill impairment. In the third quarter of 2016, the company performed an interim goodwill impairment evaluation, due to current market circumstances, including a decline in the company's stock price which resulted in the market capitalization of the company being below its book value. The company's preliminary calculation determined that the implied fair value of goodwill for all reporting units was zero and therefore recorded a goodwill impairment loss of $147.4 million, which includes $89.6 million of goodwill recognized in the third quarter of 2016 in connection with the company's acquisition of the remaining 50% of AUOSP, a joint venture for the purpose of manufacturing solar cells in which the company previously owned 50%. No adjustment to non-GAAP financial measures was made for the portion of the impairment charge derived from AUOSP, resulting in a non-GAAP adjustment of $57.8 million. Management believes that it is appropriate to exclude this impairment charge from the company's non-GAAP financial measures as it arises from prior acquisitions, is not reflective of ongoing operating results, and does not contribute to a meaningful evaluation of a company's past operating performance. The impact of the AUOSP acquisition to the company's GAAP and non-GAAP income statements in the third quarter of 2016 was $22.7 million, including a $203.2 million gain on settling preexisting relationships offset by a $90.9 million loss on the prior equity method investment and $89.6 million of goodwill impairment.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Arbitration ruling. On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce declared a binding partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), the Company's wholly-owned subsidiary. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. The second partial and final awards dated July 14, 2015 and September 30, 2015, respectively, reduced the estimated amounts to be paid to FPEC, and on July 22, 2016, SPML entered into a settlement with FPEC and FPSC and paid a total of $50.5 million in settlement of all claims between the parties. As a result, the Company recorded its best estimate of probable loss related to this case at the time of the initial ruling and updated the estimate as circumstances warranted. As this loss is nonrecurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- Proposed Transactions represent about $977 million in equity value and about $1.7 billion in enterprise value
- Culmination of an extensive and competitive marketing process with more than 130 parties contacted
- Committed debt financing secured by Capital Dynamics enhances certainty of closing the Proposed Transactions
- Proposed Transactions unanimously approved by the Conflicts Committee of the Board of Directors of 8point3 and approved by the Board of Directors of the General Partner as well as the Boards of Directors of First Solar and SunPower
- Proposed Transactions expected to close in second fiscal quarter or third fiscal quarter of 2018
- Proposed Transactions represent about $977 million in equity value and about $1.7 billion in enterprise value
- Culmination of an extensive and competitive marketing process with more than 130 parties contacted
- Committed debt financing secured by Capital Dynamics enhances certainty of closing the Proposed Transactions
- Proposed Transactions unanimously approved by the Conflicts Committee of the Board of Directors of 8point3 (the "Conflicts Committee") and approved by the Board of Directors of the General Partner as well as the Boards of Directors of First Solar and SunPower
- Proposed Transactions expected to close in second fiscal quarter or third fiscal quarter of 2018
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. With certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP.
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Under GAAP, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in differing stages of progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition on the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments primarily related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Cost of above-market polysilicon. The Company has entered in previous years into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in these supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed market prices. Additionally, in order to reduce inventory and improve working capital, the Company has periodically elected to sell polysilicon inventory in the marketplace at prices below the Company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and does not contribute to a meaningful evaluation of a company's past operating performance.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Goodwill impairment. In the third quarter of 2016, the company performed an interim goodwill impairment evaluation, due to current market circumstances, including a decline in the company's stock price which resulted in the market capitalization of the company being below its book value. The company's preliminary calculation determined that the implied fair value of goodwill for all reporting units was zero and therefore recorded a goodwill impairment loss of $147.4 million, which includes $89.6 million of goodwill recognized in the third quarter of 2016 in connection with the company's acquisition of the remaining 50% of AUOSP, a joint venture for the purpose of manufacturing solar cells in which the company previously owned 50%. No adjustment to non-GAAP financial measures was made for the portion of the impairment charge derived from AUOSP, resulting in a non-GAAP adjustment of $57.8 million. Management believes that it is appropriate to exclude this impairment charge from the company's non-GAAP financial measures as it arises from prior acquisitions, is not reflective of ongoing operating results, and does not contribute to a meaningful evaluation of a company's past operating performance. The impact of the AUOSP acquisition to the company's GAAP and non-GAAP income statements in the third quarter of 2016 was $22.7 million, including a $203.2 million gain on settling preexisting relationships offset by a $90.9 million loss on the prior equity method investment and $89.6 million of goodwill impairment.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Arbitration ruling. On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce declared a binding partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), the Company's wholly-owned subsidiary. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. The second partial and final awards dated July 14, 2015 and September 30, 2015, respectively, reduced the estimated amounts to be paid to FPEC, and on July 22, 2016, SPML entered into a settlement with FPEC and FPSC and paid a total of $50.5 million in settlement of all claims between the parties. As a result, the Company recorded its best estimate of probable loss related to this case at the time of the initial ruling and updated the estimate as circumstances warranted. As this loss is nonrecurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies. - Over 100 people on-site at the research facility, arguably employing the world's best collection of solar experts.
- Approximately $25 million invested in the facility within the past 12 months, demonstrating the commitment to innovation at the site.
- Over 30 parts suppliers and manufacturers, which have headquarters in 33 U.S. cities across nine states.
o Research facility equipment includes several high-volume production-sized manufacturing tools and automation, and specialized testing equipment, sourced from Boulder, Colo., Hudsonville, Mich., and various parts of California, Massachusetts, Ohio, Texas, Illinois and elsewhere. - Over 1,000 people are employed in SunPower offices and related facilities in San Jose and Richmond, Calif., Austin, Texas, and elsewhere.
- Over 12,000 people are indirectly employed by more than 515 independent SunPower dealers across 38 states.
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Under GAAP, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in differing stages of progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition on the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Arbitration ruling. On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce declared a binding partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), the Company's wholly-owned subsidiary. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. The second partial and final awards dated July 14, 2015 and September 30, 2015, respectively, reduced the estimated amounts to be paid to FPEC, and on July 22, 2016, SPML entered into a settlement with FPEC and FPSC and paid a total of $50.5 million in settlement of all claims between the parties. As a result, the Company recorded its best estimate of probable loss related to this case at the time of the initial ruling and updated the estimate as circumstances warranted. As this loss is nonrecurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Cost of above-market polysilicon. The Company has entered in previous years into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in these supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed market prices. Additionally, in order to reduce inventory and improve working capital, the Company has periodically elected to sell polysilicon inventory in the marketplace at prices below the Company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and does not contribute to a meaningful evaluation of a company's past operating performance.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Under GAAP, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in differing stages of progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition on the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Cost of above-market polysilicon. The Company has entered in previous years into multiple long-term, fixed-price supply agreements to purchase polysilicon for periods of up to 10 years. The prices in these supply agreements, which incorporate a cash portion and a non-cash portion attributable to the amortization of prepayments made under the agreements, significantly exceed market prices. Additionally, in order to reduce inventory and improve working capital, the Company has periodically elected to sell polysilicon inventory in the marketplace at prices below the Company's purchase price, thereby incurring a loss. Management believes that it is appropriate to exclude the impact of its above-market cost of polysilicon, including the effect of above-market polysilicon on product costs, losses incurred on sales of polysilicon to third parties, and inventory reserves and project asset impairments from the company's non-GAAP financial measures as they are not reflective of ongoing operating results and does not contribute to a meaningful evaluation of a company's past operating performance.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- Event details: 10 a.m. PT at 1301 Broadway Plaza
- System details: Power produced by the 670-kilowatt SunPower solar power system is enough to provide 111 homes with electricity for one year.
- Event details: Noon ET at 225 Boylston St.
- System details: Power produced by the 643-kilowatt SunPower solar power system produces enough power to provide 83 homes' electricity use for one year.
- Event details: 11 a.m. ET at 3300 Fashion Way
- System details: Power produced by the 2.25-megawatt SunPower solar power system provides enough electricity to power 324 homes for one year.
- The Eliakim's Way Neighborhood where eight net-zero, U.S. Green Building Council LEED Platinum® certified homes were built by South Mountain Company for moderate-income families, all featuring SunPower solar energy systems totaling 5 kilowatts each.
- The island's first solar carport system at Cronig's Market. The 210-kilowatt SunPower system helps power six electric vehicle charging stations at the community store which is recognized by locals for its dedication to sustainability.
- 150 kilowatts total of ground-mounted SunPower systems installed at two small capped landfills on the island. These solar installations allowed one local municipality to offset more than 100 percent of its energy use with clean, renewable power, while the other offsets about 60 percent.
- Since 2009, a 1.5-megawatt SunPower solar power system has been operating at Toyota's facility in West Caldwell, New Jersey.
- In 2008, at the Toyota North American parts center in Ontario, California, SunPower installed a 2.3-megawatt system that produces more than 3.7 million kilowatt hours per year, providing up to 58 percent of the electricity needed at the facility. At the time of completion, it was the second largest single-rooftop solar array in North America.
- Toyota's South Campus headquarters building in Torrance, California, was one of the largest privately funded systems of its kind when it opened in 2003. Also built by SunPower, the system covers 53,000 square feet of rooftop.
- All SunPower® X-Series and E-Series DC solar panels manufactured at four facilities across Mexico, France and the Philippines carry the Cradle to Cradle Certified™ Silver designation. Products that receive this recognition from the Cradle to Cradle Products Innovation Institute, are ranked against strict standards in material health, material reuse, renewable energy use, water stewardship, and social fairness.
- SunPower's Mexicali facility attained LEED Gold® certification from the U.S. Green Building Council in August 2016 for sustainable practices in materials selection, water efficiency, energy performance, site management and more. The SunPower Mexicali facility is the only manufacturing facility in Mexico to be LEED Gold-certified for Existing Buildings: Operations and Maintenance.
- Facilities across Mexico and France earned the solar industry's first and only Landfill-Free Verification from NSF Sustainability, ensuring each location diverts more than 99 percent of its waste from landfills.
- Recently obtained the Declare Label for X-Series and E-Series DC solar panels. Issued by the International Living Future Institute (ILFI), the label details a product's origins, materials and end-of-life options.
- Empowered local community and education organizations through our SunPower Giving™ program, which includes philanthropic initiatives such as a new product discount program, dollar-for-dollar nonprofit donation matching for employees and Volunteer Time Off (VTO) benefits for U.S. employees.
- Simple system design configuration. Once the EDDiE tool creates a base design for each individual home, solar panels can be added or removed with just a click of a mouse or a tap on a screen, allowing for an interactive customer experience.
- Reliable energy and cost savings estimates. Instantly see projected savings appear depending on the type of solar panel, financing option, down-payment amount and available incentives selected.
- Proposals generated in minutes — not hours. Homeowners ready to invest in SunPower solar won't have to wait to get the process started, with a signature-ready proposal emailed as soon as they'd like.
- Compatible with SunPower's complete residential solar solution. Systems can be designed virtually with the SunPower Equinox™ system featuring panels with built-in microinverters.
- Mobile sales enablement. For SunPower partners, a cloud-based mobile app offers immediate access to a full suite of solar-related content. Accessible on-the-go so that conversations with interested homeowners can happen when and where they prefer.
- Works well on multiple devices. Whether in the office or at the kitchen table, the EDDiE tool performs on tablets (including the iPad Pro) with the iOS, Windows®, and Android™ platforms, as well as on any Mac® computer or PC with the Google Chrome™ browser or Safari® application programs.
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Under GAAP, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in differing stages of progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition on the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Goodwill impairment. In the third quarter of 2016, the company performed an interim goodwill impairment evaluation, due to current market circumstances, including a decline in the company's stock price which resulted in the market capitalization of the company being below its book value. The company's preliminary calculation determined that the implied fair value of goodwill for all reporting units was zero and therefore recorded a goodwill impairment loss of $147.4 million, which includes $89.6 million of goodwill recognized in the third quarter of 2016 in connection with the company's acquisition of the remaining 50% of AUOSP, a joint venture for the purpose of manufacturing solar cells in which the company previously owned 50%. No adjustment to non-GAAP financial measures was made for the portion of the impairment charge derived from AUOSP, resulting in a non-GAAP adjustment of $57.8 million. Management believes that it is appropriate to exclude this impairment charge from the company's non-GAAP financial measures as it arises from prior acquisitions, is not reflective of ongoing operating results, and does not contribute to a meaningful evaluation of a company's past operating performance. The impact of the AUOSP acquisition to the company's GAAP and non-GAAP income statements in the third quarter of 2016 was $22.7 million, including a $203.2 million gain on settling preexisting relationships offset by a $90.9 million loss on the prior equity method investment and $89.6 million of goodwill impairment.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Arbitration ruling. On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce declared a binding partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), the Company's wholly-owned subsidiary. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. The second partial and final awards dated July 14, 2015 and September 30, 2015, respectively, reduced the estimated amounts to be paid to FPEC, and on July 22, 2016, SPML entered into a settlement with FPEC and FPSC and paid a total of $50.5 million in settlement of all claims between the parties. As a result, the Company recorded its best estimate of probable loss related to this case at the time of the initial ruling and updated the estimate as circumstances warranted. As this loss is nonrecurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for (benefit from) income taxes
- Depreciation
- Rationalize capacity to balance production with near-term profitable demand through the closure of its ~700-megawatt (MW) nameplate capacity Fab 2 facility
- Implement a global workforce reduction of approximately 25 percent or 2,500 employees
- Reduce 2017 annual operating expenses to less than $350 million
- Substantially decrease 2016 inventory to improve working capital and de-lever its balance sheet
- Reduce annual 2017 capital expenditure by more than 50 percent to approximately $100 million
- Continue to invest in next generation cell and module technology as well as complete solutions
- Sale-leaseback transactions. The company includes adjustments related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Reduce capacity to lower inventory, improve cash flow and match to profitable demand
- Cost reduction programs that are expected to improve margins and reduce 2017 annual operating expenses to approximately $350 million
- Target 2017 capital expenditures of approximately $100 million, a reduction of more than 50 percent compared to 2016
- Initiatives to improve liquidity with the goal of generating positive cash flow from operations through the end of 2017 and exiting the year with approximately $300 million in cash
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of certain utility and power plant projects based on percentage-of-completion accounting and, when relevant, the allocation of revenue and margin to the company's project development efforts at the time of initial project sale. Under GAAP, such projects are accounted for under real estate accounting guidance, under which no separate allocation to the company's project development efforts occurs and the amount of revenue and margin that is recognized may be limited in circumstances where the company has certain forms of continuing involvement in the project. Over the life of each project, cumulative revenue and gross margin will eventually be equivalent under both GAAP and IFRS; however, revenue and gross margin will generally be recognized earlier under IFRS. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in differing stages of progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition on the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments related to the revenue recognition on certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that is dependent on market forces that are difficult to predict. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Amortization of intangible assets. The company incurs amortization of intangible assets as a result of acquisitions, which includes patents, purchased technology, project pipeline assets, and in-process research and development. Management believes that it is appropriate to exclude these amortization charges from the company's non-GAAP financial measures as they arise from prior acquisitions, are not reflective of ongoing operating results, and do not contribute to a meaningful evaluation of a company's past operating performance.
- Non-cash interest expense. The company incurs non-cash interest expense related to the amortization of items such as original issuance discounts on its debt. The company excludes non-cash interest expense because the expense does not reflect its financial results in the period incurred. Management believes that this adjustment for non-cash interest expense provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without non-cash interest expense.
- Goodwill impairment. In the third quarter of 2016, the company performed an interim goodwill impairment evaluation, due to current market circumstances, including a decline in the company's stock price which resulted in the market capitalization of the company being below its book value. The company's preliminary calculation determined that the implied fair value of goodwill for all reporting units was zero and therefore recorded a goodwill impairment loss of $147.4 million, which includes $89.6 million of goodwill recognized in the third quarter of 2016 in connection with the company's acquisition of the remaining 50% of AUOSP, a joint venture for the purpose of manufacturing solar cells in which the company previously owned 50%. No adjustment to non-GAAP financial measures was made for the portion of the impairment charge derived from AUOSP, resulting in a non-GAAP adjustment of $57.8 million. Management believes that it is appropriate to exclude this impairment charge from the company's non-GAAP financial measures as it arises from prior acquisitions, is not reflective of ongoing operating results, and does not contribute to a meaningful evaluation of a company's past operating performance. The impact of the AUOSP acquisition to the company's GAAP and non-GAAP income statements in the third quarter of 2016 was $22.7 million, including a $203.2 million gain on settling preexisting relationships offset by a $90.9 million loss on the prior equity method investment and $89.6 million of goodwill impairment.
- Restructuring expense. The company incurs restructuring expenses related to reorganization plans aimed towards realigning resources consistent with the company's global strategy and improving its overall operating efficiency and cost structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities and such costs have historically occurred infrequently. Although the company has engaged in restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. As such, management believes that it is appropriate to exclude restructuring charges from the company's non-GAAP financial measures as they are not reflective of ongoing operating results or contribute to a meaningful evaluation of a company's past operating performance.
- Arbitration ruling. On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce declared a binding partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), the Company's wholly-owned subsidiary. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. The second partial and final awards dated July 14, 2015 and September 30, 2015, respectively, reduced the estimated amounts to be paid to FPEC, and on July 22, 2016, SPML entered into a settlement with FPEC and FPSC and paid a total of $50.5 million in settlement of all claims between the parties. As a result, the Company recorded its best estimate of probable loss related to this case at the time of the initial ruling and updated the estimate as circumstances warranted. As this loss is nonrecurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the presented fiscal periods. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- Adjusted EBITDA adjustments. When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- The SunPower® Oasis GEO™ system is a groundbreaking component of the Oasis platform that automates project design using drones and proprietary software. Thousands of designs are generated and evaluated by the software, based on site data gathered by the drones, and designs that best serve the customer's financial and energy goals are recommended. Developers can screen a large number of potential sites quickly using the cloud-based computing platform and owners can be assured that projects have been fully optimized for profitability and lowest cost of energy (LCOE) versus conventional manual-based approaches to project design and development.
- Oasis tracker rows are un-ganged, or not linked, and are wider and shorter in length than conventional trackers to enable flexible site selection, more efficient site utilization and increased energy production. The design allows for plants to be built on lands formerly considered unsuitable for plant development due to irregular shapes or slopes steeper than six degrees, the gradient limit for most competitors' tracker technology. Oasis systems can be built on slopes up to ten degrees, or 17 percent.
- Greater distance between the Oasis tracker rows accommodates integrated agricultural activity to enable dual use of sites for both power and food production. SunPower is partnering with University of California, Davis, a global leader in agricultural studies, to evaluate possible crop varieties and yield. As the number of solar power plant developments continue to grow around the world, the thoughtful integration of large-scale solar power systems with agricultural lands is an important consideration.
- More than 50 percent fewer tracker parts and an integrated design streamlines construction and reduces O&M costs. Oasis has no combiner boxes, cable trays, motor batteries or other parts that typically cause failure. All DC wiring of the trackers is managed above ground with pre-manufactured DC harnesses to simplify and speed installation.
- The fully integrated design supports both SunPower's high efficiency E-Series panels as well as SunPower's Performance Series (P-Series) solar panels. Both panels deliver industry leading long-term performance and reliability while reducing balance of system costs and land requirements.
- Soiling can be a leading source of potential revenue loss for power plant owners. SunPower utilizes proprietary robotic panel cleaning technology at its power plants that uses 75 percent less water than manual cleaning methods and operate at night to avoid disrupting daytime energy production. Robots under development for use with the third-generation Oasis platform are expected to have the capability to clean ten megawatts of panels in ten hours with three workers, twice as fast as the company's current robotic cleaning technology, and ten times faster than manual cleaning methods used by competitors.
- SunPower's Remote Operations and Control Center (ROCC) in Austin, Tex. offers 24/7/365 site monitoring and control, optimizing energy production to allow customers to better manage their energy. The ROCC will be monitoring and controlling more than 1.8 gigawatts of solar power plants around the world by the end of 2016.
- Workforce reduction of approximately 15 percent or 1,200 employees, primarily related to its Philippine facility closure
- Restructuring charges totaling $30-$45 million
- Substantial portion of charges to be incurred in the third quarter of 2016 with more than 50 percent of the total charges to be cash
- Annual operating expense reductions of approximately 10 percent
- 8point3. In 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle, was formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets. Class A shares of 8point3 Energy Partners are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. This treatment is consistent with the accounting rules relating to the sale of such projects under IFRS. Under these rules, with certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no profit recognition to full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations, consistent with IFRS rules. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP. - Utility and power plant projects. The company includes adjustments related to the revenue recognition of utility and power plant projects based on the separately-identifiable components of transactions in order to reflect the substance of the transactions. This treatment is consistent with accounting rules relating to such projects under IFRS. Under GAAP, such projects are accounted for under real estate accounting guidance. Management calculates separate revenue and cost of revenue amounts each fiscal period in accordance with the two treatments above and the aggregate difference for the company's affected projects is included in the relevant reconciliation tables below. Over the life of each project, cumulative revenue and gross margin will be equivalent under the two treatments; however, revenue and gross margin will generally be recognized earlier under the company's non-GAAP treatment than under the company's GAAP treatment. Among other factors, this is due to the attribution of non-GAAP revenue and margin to the company's project development efforts at the time of initial project sale as required under IFRS accounting rules, whereas no separate attribution to this element occurs under GAAP real estate accounting guidance. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in progress at any given time, the relationship in the aggregate will occasionally appear otherwise.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition of the sale of certain solar assets subject to an operating lease (or of solar assets that are leased by or intended to be leased by the third-party purchaser to another party) based on the net proceeds received from the purchaser. This treatment is consistent with accounting rules relating to the sale of such assets under IFRS. Under GAAP, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Under such guidance, revenue and profit recognition is based on rental payments made by the end lessee, and the net proceeds from the purchaser are recorded as a non-recourse borrowing liability, with imputed interest expense recorded on the liability. This treatment continues until the company has transferred the substantial risks of ownership, as defined by lease accounting guidance, to the purchaser, at which point the sale is recognized.
- Sale-leaseback transactions. The company includes adjustments related to the revenue recognition of certain sale-leaseback transactions based on the net proceeds received from the buyer-lessor. This treatment is consistent with accounting rules relating to such transactions under IFRS. Under GAAP, these transactions are accounted for under the financing method in accordance with real estate accounting guidance. Under such guidance, no revenue or profit is recognized at the inception of the transaction, and the net proceeds from the buyer-lessor are recorded as a financing liability. Imputed interest is recorded on the liability equal to the company's incremental borrowing rate adjusted solely to prevent negative amortization.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that varies from period to period and is dependent on market forces that are difficult to predict. Due to this unpredictability, management excludes this item from its internal operating forecasts and models. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the current fiscal period. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
The amounts recorded in "Other" during the second quarter of fiscal 2016 are driven by adjustments which would have previously been disclosed under other non-GAAP adjustment captions, including "FPSC arbitration ruling," "IPO related costs," "Amortization of intangible assets," "Non-cash interest expense," and "Restructuring." - Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- EBITDA adjustments. When calculating EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- In 2008, at the Toyota North American parts center in Ontario, Calif., SunPower installed a 2.3-megawatt system that produces more than 3.7 million kilowatt hours per year, providing up to 58 percent of the electricity needed at the facility. At the time of completion, it was the second largest single-rooftop solar array in North America.
- Toyota's South Campus headquarters building in Torrance, Calif. was one of the largest privately funded systems of its kind when it opened in 2003. Also built by SunPower, the system covers 53,000 square feet of rooftop.
- Since 2009, a 1.5-megawatt SunPower solar power system has been operating at Toyota's facility in West Caldwell, New Jersey.
- 8point3. In June 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets, completed an initial public offering ("IPO") of Class A shares representing limited partner interests in 8point3 Energy Partners. The IPO was consummated on June 24, 2015 whereupon the Class A shares are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds of $371 million as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of utility and power plant projects based on the separately-identifiable components of transactions in order to reflect the substance of the transactions. This treatment is consistent with accounting rules relating to such projects under IFRS. On a GAAP basis, such projects are accounted for under U.S. GAAP real estate accounting guidance. Management calculates separate revenue and cost of revenue amounts each fiscal period in accordance with the two treatments above and the aggregate difference for the company's affected projects is included in the relevant reconciliation tables below. Over the life of each project, cumulative revenue and gross margin will be equivalent under the two treatments; however, revenue and gross margin will generally be recognized earlier under the company's non-GAAP treatment than under the company's GAAP treatment. Among other factors, this is due to the attribution of non-GAAP revenue and margin to the company's project development efforts at the time of initial project sale as required under IFRS accounting rules, whereas no separate attribution to this element occurs under U.S. GAAP real estate accounting guidance. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in progress at any given time, the relationship in the aggregate will occasionally appear otherwise. Management believes that this adjustment for utility and power plant projects enables investors to evaluate the company's revenue generation performance relative to the direct costs of revenue of its core businesses.
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition of the sale of certain property subject to an operating lease (or of property that is leased by or intended to be leased by the third-party purchaser to another party). This treatment is consistent with accounting rules relating to the sale of such property under IFRS. On a GAAP basis, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Management believes that these adjustments for the sale of operating lease assets enables investors to better evaluate the company's revenue and profit generation performance.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that varies from period to period and is dependent on market forces that are difficult to predict. Due to this unpredictability, management excludes this item from its internal operating forecasts and models. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the current fiscal period. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
The amounts recorded in "Other" during the first quarter of fiscal 2016 are driven by adjustments which would have previously been disclosed under other non-GAAP adjustment captions, including "IPO related costs," "Amortization of intangible assets," "Non-cash interest expense," and "Restructuring." - Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in a manner generally consistent with its GAAP methodology. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- EBITDA adjustments. When calculating EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- View a SunPower solar panel at eye level, designed using the same technology that has enabled clean energy pioneers to take solar higher, farther, and faster – like the team flying the record-breaking Solar Impulse 2 plane around the world using SunPower solar cells;
- Learn about SunPower's innovative home solar technology through 3-D exhibits and demonstrations that prove the durability and superiority of SunPower solar compared to conventional technologies;
- Get questions answered by SunPower solar experts;
- Enter the Napa Valley Getaway sweepstakes* for a chance to win a $2,000 gift card for a stay at Bardessono Hotel in Napa, one of only three U.S. hotels to be Leadership in Energy and Environmental Design (LEED) certified and a $500 gift card for travel expenses;
- Receive eco-friendly giveaways (while supplies last).
- Ventura Earth Day Eco Fest, April 23
- Manhattan Beach Earth Day Celebration and Concert, April 30
- Encino Spring Carnival, May 13-15
- The Orange County Spring Home and Garden Show, May 20-22
- Los Angeles Dwell on Design, June 24-26
- High-efficiency SunPower solar panels, including the X22, which delivers greater than 22 percent efficiency and 70 percent more energy than conventional solar panels from the same space over 25 years – along with industry-best aesthetics. Because SunPower panels are more efficient, fewer are required relative to a conventional system with the same output capacity.
- SunPower® microinverters, which are integrated into each solar panel at SunPower's factory rather than attached by hand on rooftops as with conventional solar systems. SunPower microinverters are specifically designed for SunPower panels, and enable each panel to operate at peak performance independently. SunPower microinverters also allow for system designs that safely conceal wiring behind walls and under roofs, eliminating a need for visible conduit.
- The low-profile, all-black SunPower InvisiMount® mounting system, engineered to be hidden beneath solar panels and hardly seen. It installs on rooftops quickly and easily due to its pre-assembled and intuitively designed components.
- SunPower's EnergyLink™ ecosystem, a Smart Energy management platform that tracks energy production and consumption in real time. The revolutionary hardware, which is smaller than a shoe box, combines six devices into one elegantly designed SunPower unit. Preconfigured wiring inside expedites both system installation and commissioning. The software offers an intuitive user interface, empowering homeowners to set energy goals and take control of their energy future.
- An industry-leading, 25-year product and power warranty for the entire solar array consisting of SunPower solar panels, the factory-integrated SunPower microinverters, and the SunPower InvisiMount mounting system.
- 8point3. In June 2015, 8point3 Energy Partners LP ("8point3 Energy Partners"), a joint YieldCo vehicle formed by the company and First Solar, Inc. ("First Solar" and, together with the company, the "Sponsors") to own, operate and acquire solar energy generation assets, completed an initial public offering ("IPO") of Class A shares representing limited partner interests in 8point3 Energy Partners. The IPO was consummated on June 24, 2015 whereupon the Class A shares are now listed on the NASDAQ Global Select Market under the trading symbol "CAFD." Immediately after the IPO, the company contributed a portfolio of 170 MW of its solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the company received cash proceeds of $371 million as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC ("Holdings"), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the "8point3 Group" or "8point3."
- Sale of operating lease assets. The company includes adjustments related to the revenue recognition of the sale of certain property subject to an operating lease (or of property that is leased by or intended to be leased by the third-party purchaser to another party). This treatment is consistent with accounting rules relating to the sale of such property under IFRS. On a GAAP basis, these sales are accounted for as borrowing transactions in accordance with lease accounting guidance. Management believes that these adjustments for the sale of operating lease assets enables investors to better evaluate the company's revenue and profit generation performance.
- Utility and power plant projects. The company includes adjustments related to the revenue recognition of utility and power plant projects based on the separately-identifiable components of transactions in order to reflect the substance of the transactions. This treatment is consistent with accounting rules relating to such projects under IFRS. On a GAAP basis, such projects are accounted for under U.S. GAAP real estate accounting guidance. Management calculates separate revenue and cost of revenue amounts each fiscal period in accordance with the two treatments above and the aggregate difference for the company's affected projects is included in the relevant reconciliation tables below. Over the life of each project, cumulative revenue and gross margin will be equivalent under the two treatments; however, revenue and gross margin will generally be recognized earlier under the company's non-GAAP treatment than under the company's GAAP treatment. Among other factors, this is due to the attribution of non-GAAP revenue and margin to the company's project development efforts at the time of initial project sale as required under IFRS accounting rules, whereas no separate attribution to this element occurs under U.S. GAAP real estate accounting guidance. Within each project, the relationship between the adjustments to revenue and gross margins is generally consistent. However, as the company may have multiple utility and power plant projects in progress at any given time, the relationship in the aggregate will occasionally appear otherwise. Management believes that this adjustment for utility and power plant projects enables investors to evaluate the company's revenue generation performance relative to the direct costs of revenue of its core businesses.
- FPSC arbitration ruling. On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce declared a binding partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), the company's wholly-owned subsidiary. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. The second partial and final awards received on July 17, 2015 and October 19, 2015, respectively, reduced the estimated amounts to be paid to FPEC. As a result, the company recorded its best estimate of probable loss related to this case. As this loss is nonrecurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Stock-based compensation. Stock-based compensation relates primarily to the company's equity incentive awards. Stock-based compensation is a non-cash expense that varies from period to period and is dependent on market forces that are difficult to predict. Due to this unpredictability, management excludes this item from its internal operating forecasts and models. Management believes that this adjustment for stock-based compensation provides investors with a basis to measure the company's core performance, including compared with the performance of other companies, without the period-to-period variability created by stock-based compensation.
- IPO-related costs. Costs incurred related to the IPO of 8point3 included legal, accounting, advisory, valuation, and other expenses, as well as modifications to or terminations of certain existing financing structures in preparation for the sale to 8point3. As these costs are non-recurring in nature, excluding this data provides investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Other. The company combines amounts previously disclosed under separate captions into "Other" when amounts do not have a significant impact on the current fiscal period. Management believes that these adjustments provide investors with a basis to evaluate the company's performance, including compared with the performance of other companies, without similar impacts.
- Tax effect. This amount is used to present each of the adjustments described above on an after-tax basis in connection with the presentation of non-GAAP net income and non-GAAP net income per diluted share. The company's non-GAAP tax amount is based on estimated cash tax expense and reserves. The company forecasts its annual cash tax liability and allocates the tax to each quarter in proportion to earnings for that period. This approach is designed to enhance investors' ability to understand the impact of the company's tax expense on its current operations, provide improved modeling accuracy, and substantially reduce fluctuations caused by GAAP to non-GAAP adjustments, which may not reflect actual cash tax expense.
- EBITDA adjustments. When calculating EBITDA, in addition to adjustments described above, the company excludes the impact during the period of the following items:
- Cash interest expense, net of interest income
- Provision for income taxes
- Depreciation
- Free cash flow adjustments. When calculating free cash flow, the company includes the impact during the period of the following items:
- Net cash provided by (used in) investing activities
- Proceeds from issuance of non-recourse debt financing, net of issuance costs
- Repayment of non-recourse debt financing
- Proceeds from residential lease financing
- Repayment of residential lease financing
- Proceeds from sale-leaseback financing
- Repayment of sale-leaseback financing
- Proceeds from 8point3 Energy Partners attributable to operating leases and unguaranteed sales-type lease residual values
- Contributions from noncontrolling interests attributable to real estate projects
- Contributions from noncontrolling interests and redeemable noncontrolling interests
- Distributions to noncontrolling interests and redeemable noncontrolling interests
SunPower Launches New Monitoring App Enabling Homeowners to Manage Solar and Storage
Source: PR Newswire
Orignial Article: https://contentapi.cision...
SAN JOSE, Calif., Feb. 3, 2021 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR), a leading solar technology and energy services provider, today announced the new mySunPower™ app, the company's new experience for homeowners to review and manage their energy generation, consumption, and battery storage settings from a mobile device. The new mySunPower app for monitoring will be available for download for SunPower Equinox® customers on Feb. 16 on the Apple App Store and Google Play and will be available to all of SunPower's 285,000 monitoring customers by spring 2021.
Designed to integrate seamlessly with SunPower's existing homeowner platform, the mySunPower app makes it possible to optimize energy use, save money, and become less dependent on traditional energy providers in the face of rolling blackouts, natural disasters, and the impacts of climate change.
SunPower has completely rethought the monitoring experience for homeowners. Launch features include:
A TIPPING POINT FOR SOLAR AND STORAGE
According to data from Wood Mackenzie and the Solar Energy Industries Association (SEIA), more than 25 percent of on-site solar systems will be paired with storage by 2025. The new mySunPower app will reduce the learning curve for customers adopting solar and storage through a completely revamped interface, actionable insights based on real-time data, and live in-app updates on the system's status and connectivity. This customer-focused innovation will help facilitate the adoption of solar and storage systems, such as SunPower's SunVault™ storage, transforming North America's distributed energy grid.
"The launch of the new mySunPower app represents a major step forward for solar and storage customers," said Jake Wachman, vice president of software product and engineering. "By combining system monitoring and control in a single, easy-to-use mobile application, SunPower is changing how homeowners interact with renewable energy technology. The new mySunPower app establishes solar and storage systems firmly in the growing smart home ecosystem."
The app will integrate seamlessly with the mySunPower web portal, offering consumers one experience from purchase and installation to monitoring. For more information on the new capabilities of the mySunPower app, please visit https://us.sunpower.com/products/software/mysunpower.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding new technology, including the anticipated benefits thereof, and its ability to help customers achieve cost savings and provide electricity during outages. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2021 SunPower Corporation. All Rights Reserved. SUNPOWER ,the SUNPOWER logo, SUNPOWER EQUINOX, MYSUNPOWER and SUNVAULT are trademarks or registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
2/3/2021SunPower to Announce Fourth-Quarter and Fiscal Year 2020 Results on Feb. 17, 2021
Source: PR Newswire
Orignial Article: https://contentapi.cision...
SAN JOSE, Calif., Feb. 2, 2021 /PRNewswire/ --
Events to be Webcast at: http://investors.sunpower.com/events.cfm
SunPower Corp. (NASDAQ:SPWR) will discuss its fourth-quarter and fiscal year 2020 financial results on a conference call, Wednesday, Feb. 17th at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on Feb. 17, 2021.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
© 2021 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
2/2/20212/1/2021 - SunPower and EagleView Automate Home Survey Process for Faster, More Precise Solar Installations
SunPower and EagleView Automate Home Survey Process for Faster, More Precise Solar Installations
Source: PR Newswire
Orignial Article: https://contentapi.cision...
SAN JOSE, Calif., Feb. 1, 2021 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a leading solar technology and energy services provider, and EagleView, a leading technology provider of aerial analytics, today announced a new agreement to reduce solar installation timelines and costs. SunPower has combined EagleView's high-resolution Roof Reports with the new mySunPower™ Home Survey app, enabling our solar installers and contractors to create precise, construction-ready solar designs without a home visit. The feature set is now available to the company's nationwide network of more than 600 SunPower residential dealers.
Every new solar installation requires a custom design tailored to the home's unique roof and electrical system. This is traditionally done with an in-person survey, which requires professionals to assess the house and take roof measurements, either via drone or manually. With constraints including customer schedules, weather, drone training and certification, in-person surveys are cumbersome for homeowners, costly for installers, and extend solar installation cycle timelines.
The mySunPower Home Survey app with EagleView Roof Reports provides installers all the information they need to create final solar designs without site visits. The app is designed to replace ladder-climbing and drone photography with industry-first machine learning technology. Straight from the app, homeowners take photos of their home's structural and electrical components from ground level. SunPower's patent-pending artificial intelligence software automatically evaluates images and provides real-time feedback to homeowners on photo completeness and clarity. EagleView Roof Reports include aerial imagery and proprietary 3D models that clarify roof characteristics with unprecedented accuracy.
By removing the in-person site survey, SunPower can reduce project cycle times by up to two weeks and eliminate costs associated with sending a site surveyor to the home.
"By pairing our proprietary software with EagleView's innovative technology, we can reduce solar soft costs and create a better customer experience," said Norm Taffe, Executive Vice President, SunPower. "EagleView was an obvious choice given their up-to-date aerial imagery from their aircraft fleet, high-resolution 3D models, and short turnaround time for roof reports."
For more than 20 years, EagleView has been capturing high-resolution oblique and orthogonal aerial imagery with proprietary camera systems installed on their own low-flying aircraft. With patented and proven computer vision technologies, EagleView digitizes structures to generate highly accurate three-dimensional models of homes delivered as their Inform™ for Solar product line. These 3D models have been delivered as a variety of data sets for various industries for over a decade.
"We are excited to see this level of innovation by SunPower empowered by our data," said Piers Dormeyer, President, Construction & Utilities at EagleView. "We look forward to helping homeowners across the United States go solar."
For more information about becoming a SunPower dealer, visit: https://us.sunpower.com/dealers-installers/become-sunpower-dealer
About EagleView
EagleView is a leader in aerial imagery, machine learning-derived data analytics and software, helping customers in different industries use property insights for smarter planning, building, and living. With more than 200 patents, EagleView pioneered the field of aerial property measurements and has the largest multi-modal image database in history, covering 98 percent of the U.S. population. Flying over 9.5 million linear miles every year, EagleView's coverage is the most extensive and up to date, enabling local government and business customers to use the most accurate data to make timely and informed decisions. For more information, visit www.eagleview.com or call (866) 659-8439, and follow @EagleViewTech.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding new technology and the anticipated benefits thereof, including impacts on cost and installation precision and timing. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, potential technical issues, regulatory changes and the availability of economic incentives promoting use of solar energy, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2021 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and MYSUNPOWER are trademarks or registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
2/1/2021SunPower's Head of Policy and Strategy Elected to Executive Committee of Solar Energy Industries Association Board
Source: PR Newswire
Orignial Article: https://contentapi.cision...
SAN JOSE, Calif., Jan. 28, 2021 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR), a leading solar and energy storage technology and services provider, today announced the election of Suzanne Leta, head of policy and strategy, to the executive committee of the Solar Energy Industries Association (SEIA) Board of Directors. With the incoming Biden-Harris administration, Leta will work to build diverse, bipartisan coalitions to advance policies that accelerate the deployment of distributed solar and storage and increase diversity, equity and inclusion within SEIA, the industry and its workforce at large, and the customers we serve.
"Without question, 2021 is shaping up to be another exciting year for solar and energy storage," said Abigail Ross Hopper, President and CEO of SEIA. "Suzanne's expertise, energy and dedication will be an instrumental part of our ability to meet SEIA's goals in the Solar+ Decade. SEIA has already benefited from Suzanne's involvement over the years, and together we will advance aggressive clean energy goals and invest in modern infrastructure and a diverse workforce."
An Opportune Moment for Solar
As a member of the executive committee, Leta will focus on implementing SEIA's Solar Vision for the Biden administration and 117th Congress, an agenda that SEIA is dedicated to moving forward within the first 100 days of the Biden-Harris administration. This agenda includes longer-term extension of the Investment Tax Credit (ITC) for both individuals and corporations, developing a diverse workforce, and increasing low-income access to distributed solar and storage. During Leta's term on the executive committee, she also plans to work with SEIA to reduce permitting costs via development and implementation of SolarAPP, advance model building codes that include solar and energy storage for new homes and buildings and adopt a clean electricity standard that includes distributed generation.
"We are at a significant turning point in the solar industry and have an incredible opportunity to accelerate a strong policy agenda by working in partnership with the incoming Biden-Harris administration, a new Congress, and state decision-makers motivated to fuel economic growth through renewable energy expansion," said Leta. "We believe that accelerating distributed solar and energy storage adoption will spur well-paying jobs across the country and provide lower cost electricity options for consumers while helping to tackle our climate crisis at the same time."
Experienced Clean Energy Leader
With 17 years of experience in renewable energy, Leta is known for her industry leadership and board expertise. At SunPower, she directs the market policy and strategy team, which is responsible for government relations, strategic business initiatives and new market entry. Before joining SunPower in 2015, she led the U.S. power and renewables business for Atkins, now SNC-Lavalin.
Leta currently serves on leadership and policy councils to the American Council on Renewable Energy (ACORE), Advanced Energy Economy (AEE), Local Solar for All, and SolarAPP, and is also on the Renewable Energy Advisory Council for Energy Trust of Oregon.
About SEIA®:
The Solar Energy Industries Association® (SEIA) is leading the transformation to a clean energy economy, creating the framework for solar to achieve 20% of U.S. electricity generation by 2030. SEIA works with its 1,000 member companies and other strategic partners to fight for policies that create jobs in every community and shape fair market rules that promote competition and the growth of reliable, low-cost solar power. Founded in 1974, SEIA is a national trade association building a comprehensive vision for the Solar+ Decade through research, education and advocacy. Visit SEIA online at www.seia.org.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over energy consumption, resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
© 2021 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
1/28/2021SunPower Expands SunPower Residential Installation (SPRI) Across Six States
Source: PR Newswire
Orignial Article: https://contentapi.cision...
SAN JOSE, Calif., Jan. 26, 2021 /PRNewswire/ -- As demand for solar increases across the country, SunPower (NASDAQ: SPWR), a leading solar technology and energy services provider, is announcing plans to significantly expand its SunPower Residential Installation (SPRI) program this year. SunPower plans to launch SPRI presence in seven new markets across six states by the end of Q2 2021.
SPRI enables local companies and entrepreneurs to create or expand their solar energy companies without the complex and asset-heavy roles often associated with a traditional solar dealer business. With SPRI, sales organizations and small businesses can focus on marketing and selling solar while SunPower manages the entire process of rooftop installation, maintenance and repair, customer service, and warranty. This structure lowers the barrier-to-entry for those that want to enter the fast-growing renewable energy sector, provides new channels for SunPower to meet the demand of its rapidly growing customer base, and gives homeowners more options when buying solar.
Organizations that work with SPRI are part of SunPower's Non-Installing Dealer network. Non-Installing Dealers get access to the industry's most advanced platform to market, present, design and sell SunPower® systems to homeowners. SunPower's turnkey software enables non-installing dealers to customize each project from panel placement to financing options.
"With SPRI we are increasing the size of the solar category by enabling entrepreneurs to create sales and marketing-focused solar businesses," said Tony Garzolini, VP of Sales at SunPower. "Our strong installing dealer network continues to be the foundation we rely on, but you no longer have to own construction equipment and manage a customer support team to be a part of this incredibly exciting industry."
In the first quarter of 2021, SunPower will launch SPRI in:
Later this year it will launch in Denver Colo., Raleigh, N.C., and the DC Metro Area. The company plans to hire more than 300 field technicians across these cities in 2021 and to complete twice as many installs year over year.
For a list of all SPRI locations, or for more information about becoming a SunPower installer, please visit: https://us.sunpower.com/dealers-installers/become-sunpower-installer.
To learn more about to becoming a SunPower Non-Installing Dealer, visit https://us.sunpower.com/dealers-installers/become-sunpower-dealer.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our future business plans, including our planned expansion and anticipated entry into new markets, as well as anticipated hiring and the planned addition of new dealers to our network, and areas of focus. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and changes in our business strategy. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2021 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
1/26/202112/23/2020 - SunPower Announces Final Results of Cash Tender Offer for Outstanding 0.875% Convertible Debentures due 2021
SunPower Announces Final Results of Cash Tender Offer for Outstanding 0.875% Convertible Debentures due 2021
Source: PR Newswire
SAN JOSE, Calif., Dec. 23, 2020 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR) (the "Company" or "SunPower") today announced the expiration and final results of its previously announced tender offer (the "Offer") to purchase any and all of its outstanding 0.875% Convertible Senior Debentures due 2021 (CUSIP Nos. 867652 AJ8 and 867652 AH2) (the "Convertible Debentures").
The Offer expired at 12:00 midnight, New York City time (the last minute of the day), on Tuesday, December 22, 2020. As of the expiration of the Offer, $238,949,000 aggregate principal amount of the Convertible Debentures, representing approximately 79.23% of the total Convertible Debentures outstanding, including $193,561,000 aggregate principal amount of the Convertible Debentures held by Total Solar INTL SAS, an affiliate of Total SE ("Total"), of which the Company is a majority-owned subsidiary, were validly tendered (and not validly withdrawn). The Company has accepted for purchase all Convertible Debentures that were validly tendered (and not validly withdrawn) pursuant to the Offer at the expiration of the Offer at a purchase price equal to $1,000 per $1,000 principal amount of Convertible Debentures, plus accrued and unpaid interest.
The Company expects to pay approximately $239.1 million for the purchase of the Convertible Debentures, including interest, on the settlement date of December 24, 2020. After settlement, $62,634,000 aggregate principal amount of the Convertible Debentures will remain outstanding.
The Company currently intends to repay any Convertible Debentures that remain outstanding on the maturity date of the Convertible Debentures with available cash.
BofA Securities, Inc. acted as sole dealer manager in connection with the Offer. D.F. King & Co., Inc. acted as the Information Agent for the Offer.
This press release is for informational purposes only and is neither an offer to buy nor the solicitation of an offer to sell any of the Company's securities.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding settlement of the tender offer and statements regarding repaying any Convertible Debentures that remain outstanding with available cash. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, challenges in executing transactions and managing stakeholder relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER and the SUNPOWER logo are trademarks or registered trademarks of SunPower Corporation in the U.S.
View original content to download multimedia:http://www.prnewswire.com/news-releases/sunpower-announces-final-results-of-cash-tender-offer-for-outstanding-0-875-convertible-debentures-due-2021--301198083.html
SOURCE SunPower Corp.
Article Date
12/23/202011/24/2020 - SunPower Announces Cash Tender Offer for Outstanding 0.875% Convertible Debentures due 2021
SunPower Announces Cash Tender Offer for Outstanding 0.875% Convertible Debentures due 2021
Source: PR Newswire
SAN JOSE, Calif., Nov. 24, 2020 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR) (the "Company" or "SunPower") today announced a tender offer (the "Offer") to purchase any and all of its outstanding 0.875% Convertible Senior Debentures due 2021 (CUSIP No. 867652 AJ8) (the "Convertible Debentures"). As of November 23, 2020, there were $301,583,000 aggregate principal amount of the Convertible Debentures outstanding.
Upon the terms and subject to the conditions set forth in the Company's Offer to Purchase, dated November 24, 2020 (the "Offer to Purchase") and in the related Letter of Transmittal (the "Letter of Transmittal"), the Company is offering to pay, in cash, an amount equal to $1,000 for each $1,000 of principal amount of Convertible Debentures tendered, plus accrued and unpaid interest up to, but not including, the date of payment for the Convertible Debentures accepted in the Offer. The Offer will expire at 12:00 midnight, New York City time (the last minute of the day), on December 22, 2020, unless extended or earlier terminated (such date and time, as the same may be extended, the "Expiration Time").
The Offer is not conditioned on any minimum amount of Convertible Debentures tendered, but is conditioned upon the satisfaction of certain customary conditions, as more fully described in the Offer to Purchase and Letter of Transmittal. The Company expressly reserves the right for any reason, subject to applicable law, to extend, abandon, terminate or amend the Offer. Any Convertible Debentures purchased pursuant to the Offer will be cancelled, and those Convertible Debentures will cease to be outstanding.
Subject to the satisfaction or waiver of the conditions to the Offer, Convertible Debentures that have been validly tendered and not validly withdrawn at or prior to the Expiration Time will be accepted for purchase promptly following the Expiration Time. The Company expects to fund purchases of Convertible Debentures tendered in the Offer with cash on hand, including the cash proceeds from sales in the fourth quarter of 2020 of up to one million of its shares of Enphase Energy, Inc. common stock.
As of the launch of this Offer, Total Solar INTL SAS, an affiliate of Total SE, of which the Company is a majority-owned subsidiary ("Total") held $193,561,000 principal amount of the Convertible Debentures and has indicated that it will participate in the Offer.
The complete terms and conditions of the Offer are set forth in the Offer to Purchase and Letter of Transmittal that are being sent to holders of the Convertible Debentures. Copies of the Offer to Purchase and Letter of Transmittal may be obtained from the Information Agent for the Offer, D.F. King & Co., Inc., by calling (866) 856-3065 (toll-free), (212) 269-5550 (collect) or by email at sunpower@dfking.com.
SunPower has retained BofA Securities, Inc. to act as sole dealer manager in connection with the Offer. For questions concerning the terms of the Offer, BofA Securities, Inc. may be contacted by phone at (980) 387-9534 or by email at debt_advisory@bofa.com.
Important Information Regarding the Tender Offer
This press release is for informational purposes only and is neither an offer to buy nor the solicitation of an offer to sell any or all of the Company's outstanding 0.875% Convertible Senior Debentures due 2021. The Offer will be made solely by the Offer to Purchase, Letter of Transmittal and related materials, as they may be amended or supplemented. Holders of Convertible Debentures should read the Company's Offer statement on Schedule TO filed with the SEC in connection with the Offer, which will include as exhibits the Offer to Purchase, Letter of Transmittal and related materials, as well as any amendments or supplements to the Schedule TO when they become available, because they will contain important information. Each of these documents will be filed with the SEC, and, when available, holders may obtain them for free from the SEC at its website (www.sec.gov) or from the Company's information agent in connection with the Offer.
This press release does not set forth all of the terms and conditions of the Offer. Holders should carefully read the Offer to Purchase, Letter of Transmittal and related materials, for a complete description of all terms and conditions before making any decision with respect to the Offer. None of the Company, its management, its board of directors, its officers, the dealer manager, the depositary, the information agent or the trustee with respect to the Convertible Debentures, or any of their respective affiliates, makes any recommendation that holders tender or refrain from tendering all or any portion of the principal amount of their Convertible Debentures, and no one has been authorized by any of them to make such a recommendation. Holders must make their own decision as to whether to tender their Convertible Debentures and, if so, the principal amount of Convertible Debentures to tender.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed by one company that gives customers complete control over energy consumption, delivering grid independence, resiliency during power outages and cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated tender offer, including Total SE's participation therein and the source of funds to be used for purchase. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, challenges in executing transactions and managing stakeholder relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER and the SUNPOWER logo are trademarks or registered trademarks of SunPower Corporation in the U.S.
View original content:http://www.prnewswire.com/news-releases/sunpower-announces-cash-tender-offer-for-outstanding-0-875-convertible-debentures-due-2021--301179737.html
SOURCE SunPower Corp.
Article Date
11/24/202010/28/2020 - SunPower Reports Third Quarter 2020 Results
SunPower Reports Third Quarter 2020 Results
Source: PR Newswire
SAN JOSE, Calif., Oct. 28, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its third quarter ended September 27, 2020.
Third Quarter Company Highlights
Residential and Light Commercial (RLC)
Commercial and Industrial Solutions (C&I Solutions)
($ Millions, except percentages and per-share data) | 3rd Quarter 2020 | 2nd Quarter 2020 | 3rd Quarter 2019 |
GAAP revenue | $274.8 | $217.7 | $286 |
GAAP gross margin from continuing operations | 13.5% | 11.8% | 15.9% |
GAAP net income from continuing operations | $109.5 | $55.9 | $18.6 |
GAAP net income (loss) from continuing operations per diluted share | $0.57 | $0.31 | $0.12 |
Non-GAAP revenue1 | $274.8 | $217.7 | $301.8 |
Non-GAAP gross margin1 | 14.0% | 12.6% | 16.1% |
Non-GAAP net (loss) income1 | $(6.5) | $(17.2) | $9.1 |
Non-GAAP net (loss) income from continuing operations per diluted share1 | $(0.04) | $(0.10) | $0.06 |
Adjusted EBITDA1 | $8.6 | $(4.3) | $25.1 |
MW Recognized | 108 | 91 | 124 |
Cash2 | $324.7 | $235.3 | $189.0 |
Information presented above is for continuing operations only and excludes results of Maxeon for all periods presented, other than Cash for 2nd quarter 2020 and 3rd quarter 2019.
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below |
Third Quarter 2020 Results
"Our solid third quarter results reflect the strong demand for our industry-leading solutions in both our residential and commercial markets," said Tom Werner, SunPower CEO and chairman of the board.
"Overall, we executed well as MW recognized grew 20% sequentially, we further expanded our gross margin, generated positive cash flow and added to our significant backlog. Additionally, we are pleased with the customer response to our recent product introductions as demand for our SunVault residential storage solution remains very strong while we continue to add partners for our OneRoof product for the new homes market. We expect these positive trends to continue in the fourth quarter. Further, we remain confident in our 2021 targets that we presented at our Capital Markets Day in September given improving industry trends, our integrated The Power of One® platform, the company's new product's and our continued focus on maximizing long term cash flow".
RLC
"Our RLC business executed well for the quarter with sequential improvement in MW recognized, gross margin and Adjusted EBITDA. Our residential business performed well with MW recognized up 33% sequentially as we benefited from the continued improvement in demand throughout the quarter with significant demand for our new loan product in partnership with Technology Credit Union. Also, customer interest for our SunVault residential storage remains very high with current attach rates in California exceeding 20%. In new homes, we continued to expand our market leading footprint as we saw record bookings during the quarter and our backlog grew to more than 50,000 homes, another record. Finally, we continue to expect 30-50% revenue growth in both our residential and new homes businesses for fiscal year 2021."
C&I Solutions
"Our C&I Solutions business also performed well as installs rose 30% sequentially in addition to posting positive Adjusted EBITDA for the quarter. We added to our $3.5 billion pipeline and expanded our footprint in the fast-growing community solar market as we secured 13MW of community solar projects. Helix® storage demand remains high with our pipeline now exceeding 630 MWh and Q4 attach rates of 50%."
Consolidated Financials
"Solid execution in the third quarter enabled us to exceed our revenue and Adjusted EBITDA financial guidance, strengthen our cash position and further invested in our storage and services initiatives," said Manavendra Sial, SunPower chief financial officer. "We also closed our second innovative residential lease financing facility with Bank of America during the quarter which materially lowers our cost of capital while providing funding through the middle of next year. Additionally, we are building our Powerco with the recurring revenue pipeline continuing to grow and SunStrong's retained value above forecast at $358 million at the end of the third quarter. Related to the balance sheet, our cash increased by approximately $90 million to $325 million. Additionally, we expect total cash flow to be positive in the fourth quarter. With our current cash position and expected cash flow in the fourth quarter, we now have the ability to pay off the convert early if we so choose."
Third quarter of fiscal year 2020 non-GAAP results exclude net adjustments that, in the aggregate, increased GAAP income by $115.9 million, including $155.4 million related to a mark-to-market gain on equity investments. This was partially offset by $33.8 for income taxes, $4.5 million related to stock-based compensation expense, and $1.2 million related to amortization of intangible assets and other non-recurring items.
Financial Outlook
The company's fourth quarter and fiscal year 2020 guidance is as follows:
Fourth quarter GAAP revenue of $330 to $370 million, GAAP net income of $11 million to $21 million, and MW recognized in the range of 145 MW to 175 MW.
For fiscal year 2020, the company expects GAAP revenue of $1.12 billion to $1.16 billion, compared to its previous fiscal year 2020 guidance of $1.06 billion to $1.10. Fiscal year 2020 GAAP net income of $190 million to $200 million and MW recognized in the range of 465 MW to 515 MW.
The company now expects fourth quarter Adjusted EBITDA to be in the range of $26 million to $36 million and fiscal year 2020 Adjusted EBITDA to be in the range of $30 million to $40 million compared to its previous fiscal year 2020 guidance of $20 million to $30 million.
The company will host a conference call for investors this afternoon to discuss its third quarter 2020 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at
https://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its third quarter 2020 performance on the Events and Presentations section of SunPower's Investor Relations page at
https://investors.sunpower.com/events.cfm.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed by one company that gives customers complete control over energy consumption, delivering grid independence, resiliency during power outages and cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our plans and expectations for our products, including anticipated demand and impacts on our market position and our ability to meet our targets and goals; (b) the anticipated financial impacts of our new residential leasing facility and expectations for demand, capacity and timing of full utilization; (c) expectations regarding our future performance based on bookings, backlog, and pipelines in our sales channels; (d) our expectations regarding our industry and market factors, including market and industry trends, and anticipated demand and volume; (e) the expected performance of our business lines, including confidence in 2021 forecasts, areas of focus, and new product cycles, as well as projected growth and attach rates; (f) our expectations for our SunStrong joint venture, including recurring revenue and anticipated retained value; (g) our fourth quarter fiscal 2020 guidance, including GAAP revenue, net income, MW recognized, and Adjusted EBITDA, and related assumptions; and (h) our fiscal 2020 guidance, including GAAP revenue, net income, MW recognized, and Adjusted EBITDA and related assumptions.
These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) potential disruptions to our operations and supply chain that may result from epidemics or natural disasters, including impacts of the Covid-19 pandemic; (2) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (5) changes in public policy, including the imposition and applicability of tariffs; (6) our dependence on sole- or limited-source supply relationships, including our exclusive supply relationship with Maxeon Solar Technologies; (7) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; and (8) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, HELIX, SUNVAULT, ONEROOF and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Sep. 27 | Dec. 29, | ||
2020 | 2019 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 324,741 | $ 301,999 | |
Restricted cash and cash equivalents, current portion | 16,605 | 26,348 | |
Accounts receivable, net | 94,756 | 127,878 | |
Contract assets | 126,474 | 99,426 | |
Inventories | 178,139 | 163,405 | |
Advances to suppliers, current portion | - | 31,843 | |
Project assets - plants and land, current portion | 24,366 | 12,650 | |
Prepaid expenses and other current assets | 96,247 | 86,755 | |
Current assets of discontinued operations | - | 530,627 | |
Total current assets | 861,328 | 1,380,931 | |
Restricted cash and cash equivalents, net of current portion | 8,419 | 9,354 | |
Property, plant and equipment, net | 50,397 | 57,349 | |
Operating lease right-of-use assets | 53,716 | 40,699 | |
Solar power systems leased, net | 51,179 | 54,338 | |
Advances to suppliers, net of current portion | - | - | |
Other intangible assets, net | 1,073 | 7,121 | |
Other long-term assets | 423,197 | 277,805 | |
Long-term assets of discontinued operations | - | 344,324 | |
Total assets | $ 1,449,309 | $ 2,171,921 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 162,499 | $ 207,062 | |
Accrued liabilities | 128,647 | 116,276 | |
Operating lease liabilities, current portion | 9,995 | 7,559 | |
Contract liabilities, current portion | 55,274 | 91,345 | |
Short-term debt | 96,625 | 44,473 | |
Convertible debt, current portion | 301,258 | - | |
Current liabilities of discontinued operations | - | 431,694 | |
Total current liabilities | 754,298 | 898,409 | |
Long-term debt | 68,386 | 112,340 | |
Convertible debt | 422,132 | 820,259 | |
Operating lease liabilities, net of current portion | 44,100 | 36,657 | |
Contract liabilities, net of current portion | 29,478 | 31,922 | |
Other long-term liabilities | 137,981 | 157,774 | |
Long-term liabilities of discontinued operations | - | 93,061 | |
Total liabilities | 1,456,375 | 2,150,422 | |
Equity: | |||
Common stock | 170 | 168 | |
Additional paid-in capital | 2,679,960 | 2,661,819 | |
Accumulated deficit | (2,497,409) | (2,449,679) | |
Accumulated other comprehensive income (loss) | 8,070 | (9,512) | |
Treasury stock, at cost | (201,090) | (192,633) | |
Total stockholders' equity | (10,299) | 10,163 | |
Noncontrolling interests in subsidiaries | 3,233 | 11,336 | |
Total equity | (7,066) | 21,499 | |
Total liabilities and equity | $ 1,449,309 | $ 2,171,921 | |
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
(In thousands, except per share data) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
Revenue: | ||||||||||
Solar power systems, components, and other | $ 267,619 | $ 212,408 | $ 277,280 | $ 765,316 | $ 665,623 | |||||
Residential leasing | 1,284 | 1,329 | 3,523 | 3,937 | 9,083 | |||||
Solar services | 5,903 | 3,930 | 5,239 | 13,766 | 15,902 | |||||
Total revenue | 274,806 | 217,667 | 286,042 | 783,019 | 690,608 | |||||
Cost of revenue: | - | |||||||||
Solar power systems, components, and other | 233,144 | 189,868 | 236,991 | 681,649 | 600,947 | |||||
Residential leasing | 1,209 | 1,217 | 1,567 | 3,722 | 5,939 | |||||
Solar services | 3,313 | 930 | 1,989 | 5,672 | 6,319 | |||||
Total cost of revenue | 237,666 | 192,015 | 240,547 | 691,043 | 613,205 | |||||
Gross profit | 37,140 | 25,652 | 45,495 | 91,976 | 77,403 | |||||
Operating expenses: | ||||||||||
Research and development | 5,344 | 5,994 | 8,837 | 19,106 | 26,494 | |||||
Sales, general and administrative | 35,462 | 36,014 | 41,428 | 112,193 | 129,582 | |||||
Restructuring charges | (97) | 1,259 | 4,252 | 2,738 | 6,626 | |||||
Loss on sale and impairment of residential lease assets | 386 | 141 | 10,756 | 253 | 28,283 | |||||
Income from Transition Services Agreement, net | (1,889) | - | - | (1,889) | - | |||||
Gain on business divestiture | - | (10,458) | - | (10,458) | (143,400) | |||||
Total operating expenses | 39,206 | 32,950 | 65,273 | 121,943 | 47,585 | |||||
Operating income (loss) | (2,066) | (7,298) | (19,778) | (29,967) | 29,818 | |||||
Other income (expense), net: | - | |||||||||
Interest income | 104 | 174 | 951 | 682 | 2,184 | |||||
Interest expense | (7,090) | (8,448) | (8,930) | (24,731) | (40,570) | |||||
Other, net | 155,457 | 71,205 | 45,111 | 277,100 | 145,343 | |||||
Other income, net | 148,471 | 62,931 | 37,132 | 253,051 | 106,957 | |||||
Income before income taxes and equity in losses of unconsolidated investees | 146,405 | 55,633 | 17,354 | 223,084 | 136,775 | |||||
Provision for income taxes | (36,725) | (1,106) | (2,928) | (38,716) | (10,074) | |||||
Equity in losses of unconsolidated investees | - | - | (960) | - | (716) | |||||
Net income from continuing operations | 109,680 | 54,527 | 13,466 | 184,368 | 125,985 | |||||
Loss from discontinued operations | (70,761) | (33,278) | (29,417) | (125,599) | (131,181) | |||||
Provision for income taxes | 6,137 | (1,962) | (2,450) | 3,191 | (7,169) | |||||
Equity in earnings (losses) of unconsolidated investees | 58 | (889) | (807) | (586) | (1,334) | |||||
Net loss from discontinued operations, net of taxes | (64,566) | (36,129) | (32,674) | (122,994) | (139,684) | |||||
Net income (loss) | $ 45,114 | $ 18,398 | $ (19,208) | $ 61,374 | $ (13,699) | |||||
Net income (loss) from continuing operations attributable to noncontrolling interests and redeemable noncontrolling interests | $ (230) | $ 1,363 | $ 5,178 | $ 2,512 | $ 33,474 | |||||
Net loss from discontinued operations attributable to noncontrolling interests and redeemable noncontrolling interests | $ (258) | $ (383) | $ (987) | $ (1,313) | $ (3,057) | |||||
Net income (loss) attributable to noncontrolling interests and redeemable noncontrolling interests | $ (488) | $ 980 | $ 4,191 | $ 1,199 | $ 30,417 | |||||
Net income from continuing operations attributable to stockholders | $ 109,450 | $ 55,890 | $ 18,644 | $ 186,880 | $ 159,459 | |||||
Net loss from discontinued operations attributable to stockholders | $ (64,824) | $ (36,512) | $ (33,661) | $ (124,307) | $ (142,741) | |||||
Net income (loss) attributable to stockholders | $ 44,626 | $ 19,378 | $ (15,017) | $ 62,573 | $ 16,718 | |||||
Net income (loss) per share attributable to stockholders - basic: | ||||||||||
Continuing operations | $ 0.64 | $ 0.33 | $ 0.13 | $ 1.10 | $ 1.12 | |||||
Discontinued operations | $ (0.38) | $ (0.21) | $ (0.24) | $ (0.73) | $ (1.00) | |||||
Net income (loss) per share - basic | $ 0.26 | $ 0.11 | $ (0.11) | $ 0.37 | $ 0.12 | |||||
Net income (loss) per share attributable to stockholders - diluted: | ||||||||||
Continuing operations | $ 0.57 | $ 0.31 | $ 0.12 | $ 0.99 | $ 1.03 | |||||
Discontinued operations | $ (0.33) | $ (0.19) | $ (0.22) | $ (0.62) | $ (0.86) | |||||
Net income (loss) per share - diluted | $ 0.24 | $ 0.12 | $ (0.10) | $ 0.37 | $ 0.17 | |||||
Weighted-average shares: | ||||||||||
Basic | ||||||||||
Diluted | 170,113 | 170,003 | 142,553 | 169,646 | 142,248 | |||||
198,526 | 192,040 | 155,583 | 200,124 | 166,861 | ||||||
SUNPOWER CORPORATION | |||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||
(In thousands) | |||||||||||
(Unaudited) | |||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | ||||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | |||||||
2020 | 2020 | 2019 | 2020 | 2019 | |||||||
Cash flows from operating activities: | |||||||||||
Net income (loss) | $ 45,114 | $ 18,398 | $ (19,208) | $ 61,374 | $ (13,699) | ||||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | |||||||||||
Depreciation and amortization | 11,927 | 16,918 | 15,298 | 45,737 | 62,022 | ||||||
Stock-based compensation | 6,042 | 5,879 | 6,991 | 18,788 | 18,927 | ||||||
Non-cash interest expense | 1,747 | 1,838 | 2,542 | 5,495 | 7,468 | ||||||
Non-cash restructuring charges | - | - | 3,528 | - | 5,874 | ||||||
Bad debt expense | (2,568) | 1,326 | (341) | 998 | 1,319 | ||||||
Equity in (earnings) losses of unconsolidated investees | (58) | 889 | 1,767 | 586 | 2,050 | ||||||
Gain on equity investments | (155,431) | (71,062) | (28,538) | (275,645) | (129,038) | ||||||
Gain on retirement of convertible debt | (104) | - | - | (3,060) | - | ||||||
Gain on business divestiture | - | (10,458) | - | (10,458) | (143,400) | ||||||
Gain on sale of investments without readily determinable fair value | - | - | (17,275) | - | (17,275) | ||||||
Deferred income taxes | 607 | 1,381 | (1,545) | 1,639 | 500 | ||||||
Gain (loss) on sale and impairment of residential lease assets | 386 | 140 | 10,755 | 815 | 36,709 | ||||||
Impairment of property, plant and equipment | - | - | - | - | 777 | ||||||
Gain on sale of assets | - | - | (21,383) | - | (21,383) | ||||||
Changes in operating assets and liabilities: | |||||||||||
Accounts receivable | 54,119 | 79,029 | 3,262 | 113,029 | (47,029) | ||||||
Contract assets | (19,902) | (3,164) | (25,516) | (22,771) | (18,107) | ||||||
Inventories | (5,382) | 36,336 | (45,989) | (12,107) | (108,093) | ||||||
Project assets | 703 | (3,024) | (3,040) | (11,202) | (9,238) | ||||||
Prepaid expenses and other assets | (32,362) | 9,403 | 16,967 | (4,324) | 1,482 | ||||||
Operating lease right-of-use assets | 2,112 | 4,863 | 14,999 | 9,898 | 6,219 | ||||||
Long-term financing receivables, net - held for sale | - | - | 481 | - | (473) | ||||||
Advances to suppliers | 4,267 | 3,093 | 8,518 | 16,296 | 33,292 | ||||||
Accounts payable and other accrued liabilities | 51,095 | (33,637) | 52,810 | (75,141) | 64,009 | ||||||
Contract liabilities | (3,364) | (34,324) | 4,709 | (53,818) | 8,127 | ||||||
Operating lease liabilities | (2,620) | (3,173) | (15,865) | (8,642) | (7,202) | ||||||
Net cash provided by (used in) operating activities | (43,672) | 20,651 | (36,073) | (202,513) | (266,162) | ||||||
Cash flows from investing activities: | |||||||||||
Purchases of property, plant and equipment | (2,369) | (4,592) | (16,896) | (13,174) | (35,100) | ||||||
Cash paid for solar power systems | (2,747) | (2,037) | (8,503) | (5,394) | (51,826) | ||||||
Proceeds from business divestiture, net of de-consolidated cash | - | 15,418 | - | 15,418 | 40,491 | ||||||
Proceeds from sale of assets | - | - | 39,742 | - | 39,970 | ||||||
Cash outflow upon Maxeon Solar Spin-off, net of proceeds | (140,132) | - | - | (140,132) | - | ||||||
Proceeds from maturities of marketable securities | 6,588 | - | - | 6,588 | - | ||||||
Purchases of marketable securities | (1,338) | - | - | (1,338) | - | ||||||
Cash outflow from sale of residential lease portfolio | - | - | (16,397) | - | (16,397) | ||||||
Proceeds from return of capital of equity investments with fair value option | - | 7,724 | - | 7,724 | - | ||||||
Proceeds from sale of investments | 73,290 | - | 42,957 | 119,439 | 42,957 | ||||||
Cash paid for investments in unconsolidated investees | - | - | (2,400) | - | (12,400) | ||||||
Net cash provided by (used in) investing activities | (66,708) | 16,513 | 38,503 | (10,869) | 7,695 | ||||||
Cash flows from financing activities: | |||||||||||
Proceeds from bank loans and other debt | 62,233 | 44,954 | 87,823 | 183,731 | 231,489 | ||||||
Repayment of bank loans and other debt | (63,735) | (53,605) | (84,035) | (183,070) | (209,095) | ||||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | - | - | 6,528 | 13,434 | 72,259 | ||||||
Repayment of non-recourse residential financing | (7,231) | - | (1,803) | (7,231) | (2,959) | ||||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | 22 | - | 1,842 | 22 | 31,413 | ||||||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | (302) | - | - | (302) | (316) | ||||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | 2,790 | 890 | - | - | - | ||||||
Cash paid for repurchase of convertible debt | (8,037) | - | - | (95,178) | - | ||||||
Payment for prior business combination | - | - | - | - | (9,000) | ||||||
Proceeds from issuance of convertible debt | 200,000 | - | - | 200,000 | - | ||||||
Settlement of contingent consideration arrangement, net of cash received | 11 | 1,811 | - | 2,245 | (2,448) | ||||||
Equity offering costs paid | - | - | - | (928) | - | ||||||
Purchases of stock for tax withholding obligations on vested restricted stock | (74) | (1,467) | (292) | (8,455) | (4,657) | ||||||
Net cash (used in) provided by financing activities | 185,677 | (7,417) | 10,063 | 104,268 | 106,686 | ||||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 109 | 330 | (1,510) | 222 | (1,247) | ||||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 75,406 | 30,077 | 10,983 | (108,892) | (153,028) | ||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 274,359 | 244,282 | 199,752 | 458,657 | 363,763 | ||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period1 | $ 349,765 | $ 274,359 | $ 210,735 | $ 349,765 | $ 210,735 | ||||||
Non-cash transactions: | |||||||||||
Costs of solar power systems sourced from existing inventory | $ - | $ - | $ 8,033 | $ - | $ 29,206 | ||||||
Costs of solar power systems funded by liabilities | $ 598 | $ 1,716 | $ 3,604 | $ 598 | $ 3,604 | ||||||
Property, plant and equipment acquisitions funded by liabilities | $ 36 | $ 5,452 | $ 11,911 | $ 36 | $ 11,911 | ||||||
Assumption of debt by buyer in connection with sale of residential lease assets | $ - | $ - | $ 69,076 | $ - | $ 69,076 | ||||||
Right-of-use assets obtained in exchange of lease obligations2 | $ 7,875 | $ 963 | $ 8,939 | $ 21,786 | $ 103,744 | ||||||
Derecognition of financing obligations upon business divestiture | $ - | $ - | $ - | $ - | $ 590,884 | ||||||
Assumption of liabilities in connection with business divestiture | $ 9,056 | $ 9,056 | $ - | $ 9,056 | $ - | ||||||
Holdbacks in connection with business divestiture | $ 7,199 | $ 7,199 | $ - | $ 7,199 | $ 2,425 | ||||||
Holdback related to sale of manufacturing facility | $ - | $ - | $ 18,300 | $ - | $ 18,300 | ||||||
Contractual obligations satisfied by inventory | $ - | $ - | $ 8,043 | $ - | $ 8,043 | ||||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures are useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provide investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analysis. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP gross margin includes adjustments relating to gain/loss on sale and impairment of residential lease assets, litigation, stock-based compensation, and amortization of intangible assets, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to mark to market gain on equity investments, gain on business divestiture, impairment of property, plant, and equipment, transaction-related costs, non-cash interest expense, restructuring charges (credits), gain on convertible debt repurchased, tax effect of these non-GAAP adjustments, each of which is described below. In addition to the above adjustments, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total SE, our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total SE.
Other Non-GAAP Adjustments
Adjusted EBITDA adjustments: When calculating Adjusted EBITDA, in addition to adjustments described above, the company excludes the impact of the following items during the period:
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
(In thousands, except percentages and per share data) | ||||||||||
(Unaudited) | ||||||||||
Adjustments to Revenue: | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP revenue | $ 274,806 | $ 217,667 | $ 286,042 | $ 783,019 | $ 690,608 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | - | (65) | (207) | (259) | |||||
Other adjustments: | ||||||||||
Construction revenue on solar services contracts | - | - | 15,790 | 5,392 | 124,909 | |||||
Non-GAAP revenue | $ 274,806 | $ 217,667 | $ 301,767 | $ 788,204 | $ 815,258 | |||||
Adjustments to Gross Profit (Loss) / Margin: | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP gross profit (loss) | $ 37,140 | $ 25,652 | $ 45,495 | $ 91,976 | $ 77,403 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | - | (7) | (34) | 993 | |||||
Legacy sale-leaseback transactions | - | - | (181) | 20 | (4,688) | |||||
Other adjustments: | ||||||||||
Construction revenue on solar service contracts | - | - | 1,160 | 4,735 | 18,052 | |||||
Gain on sale and impairment of residential lease assets | (469) | (458) | (511) | (1,375) | (1,268) | |||||
Stock-based compensation expense | 623 | 471 | 741 | 1,653 | 1,370 | |||||
Amortization of intangible assets | 1,189 | 1,783 | 1,783 | 4,757 | 5,352 | |||||
Non-GAAP gross profit | $ 38,483 | $ 27,448 | $ 48,480 | $ 101,732 | $ 97,214 | |||||
GAAP gross margin (%) | 13.5% | 11.8% | 15.9% | 11.7% | 11.2% | |||||
Non-GAAP gross margin (%) | 14.0% | 12.6% | 16.1% | 12.9% | 11.9% | |||||
Adjustments to Net income (loss): | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP net income (loss) attributable to stockholders | $ 109,450 | $ 55,890 | $ 18,644 | $ 186,880 | $ 159,459 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | - | (7) | (34) | 993 | |||||
Legacy sale-leaseback transactions | - | - | (181) | 20 | 5,755 | |||||
Mark-to-market gain on equity investments | (155,431) | (71,060) | (27,595) | (274,362) | (128,095) | |||||
Other adjustments: | ||||||||||
Business process improvements costs | - | - | - | - | - | |||||
Construction revenue on solar services contracts | - | - | 1,160 | 4,735 | (8,978) | |||||
Gain on sale and impairment of residential lease assets | (83) | (317) | 5,135 | (1,122) | 29,002 | |||||
Litigation | 395 | - | - | 880 | - | |||||
Stock-based compensation expense | 4,454 | 3,955 | 4,975 | 13,387 | 13,682 | |||||
Amortization of intangible assets | 1,189 | 1,784 | 1,783 | 4,759 | 5,352 | |||||
Gain on business divestiture | - | (10,529) | - | (10,529) | (143,400) | |||||
Transaction-related costs | - | 1,382 | 976 | 1,863 | 3,571 | |||||
Restructuring charges | (97) | 659 | 4,283 | 2,138 | 6,071 | |||||
Gain on convertible debt repurchased | (104) | - | - | (3,060) | - | |||||
Tax effect | 33,769 | 994 | (118) | 35,614 | 1,817 | |||||
Non-GAAP net loss attributable to stockholders | $ (6,458) | $ (17,242) | $ 9,055 | $ (38,832) | $ (54,771) | |||||
Adjustments to Net income (loss) per diluted share: | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
Net income (loss) per diluted share | ||||||||||
Numerator: | ||||||||||
GAAP net income available to stockholders | $ 109,450 | $ 55,890 | $ 18,644 | $ 186,880 | $ 159,459 | |||||
Add: Interest expense on 4.00% debenture due 2023, net of tax | 3,358 | 3,358 | 691 | 10,066 | 10,073 | |||||
Add: Interest expense on 0.875% debenture due 2021, net of tax | 467 | 535 | - | 1,507 | 2,074 | |||||
GAAP net income available to common stockholders | 113,275 | 59,783 | 19,335 | 198,453 | $ 171,606 | |||||
Non-GAAP net income (loss) available to common stockholders | $ (6,458) | $ (17,242) | $ 9,055 | $ (38,832) | $ (54,771) | |||||
Denominator: | ||||||||||
GAAP weighted-average shares | 170,113 | 170,003 | 142,553 | 169,646 | 142,248 | |||||
Effect of dilutive securities: | ||||||||||
Restricted stock units | 3,560 | 1,765 | 4,827 | 3,354 | 2,488 | |||||
0.875% debentures due 2021 | 7,785 | 6,350 | 8,203 | 10,056 | 8,203 | |||||
4.00% debentures due 2023 | 17,068 | 13,922 | - | 17,068 | 13,922 | |||||
GAAP dilutive weighted-average common shares: | 198,526 | 192,040 | 155,583 | 200,124 | 166,861 | |||||
Non-GAAP weighted-average shares | 170,113 | 170,003 | 142,553 | 169,646 | 142,248 | |||||
Effect of dilutive securities: | - | - | 4,827 | - | - | |||||
Non-GAAP dilutive weighted-average shares1 | 170,113 | 170,003 | 147,380 | 169,646 | 142,248 | |||||
GAAP net income (loss) per diluted share | $ 0.57 | $ 0.31 | $ 0.12 | $ 0.99 | $ 1.03 | |||||
Non-GAAP net income (loss) per diluted share | $ (0.04) | $ (0.10) | $ 0.06 | $ (0.23) | $ (0.39) | |||||
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.875% and 4.0% debentures if the | ||||||||||
Adjusted EBITDA: | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 27, | Jun. 28, | Sep. 29, | Sep. 27, | Sep. 29, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP net income (loss) attributable to stockholders | $ 109,450 | $ 55,890 | $ 18,644 | $ 186,880 | $ 159,459 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | - | (7) | (34) | 993 | |||||
Legacy sale-leaseback transactions | - | - | (181) | 20 | 5,755 | |||||
Mark-to-market gain on equity investment | (155,431) | (71,060) | (27,595) | (274,362) | (128,095) | |||||
Other adjustments: | ||||||||||
Construction revenue on solar services contracts | - | - | 1,160 | 4,735 | (8,978) | |||||
(Gain) loss on sale and impairment of residential lease assets | (83) | (317) | 5,135 | (1,122) | 29,002 | |||||
Litigation | 395 | - | - | 880 | - | |||||
Stock-based compensation expense | 4,454 | 3,955 | 4,975 | 13,387 | 13,682 | |||||
Amortization of intangible assets | 1,189 | 1,784 | 1,783 | 4,759 | 5,352 | |||||
Gain on business divestiture | - | (10,529) | - | (10,529) | (143,400) | |||||
Transaction-related costs | - | 1,382 | 976 | 1,863 | 3,571 | |||||
Restructuring charges (credits) | (97) | 1,259 | 4,283 | 2,738 | 6,071 | |||||
Gain on convertible debt repurchased | (104) | - | - | (3,060) | - | |||||
Cash interest expense, net of interest income | 6,918 | 8,317 | 7,635 | 24,102 | 25,691 | |||||
Provision for income taxes | 36,725 | 1,106 | 2,928 | 38,716 | 10,074 | |||||
Depreciation | 5,156 | 3,933 | 5,373 | 12,589 | 22,916 | |||||
Adjusted EBITDA | $ 8,572 | $ (4,280) | $ 25,109 | $ 1,562 | $ 2,093 | |||||
Q4 2020 and FY 2020 GUIDANCE
(in thousands) | Q4 2020 | FY 2020 |
Revenue (GAAP and Non-GAAP) | $330,000-$370,000 | $1,120,000-$1,160,000 |
Net income (GAAP) | $11,000-$21,000 | $190,000-$200,000 |
Adjusted EBITDA1 | $26,000-$36,000 | $30,000-$40,000 |
SUNPOWER CORPORATION | ||||||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||||||||
September 27, 2020 | ||||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||||
Residential, Light | Commercial and | Others | Intersegment | Residential, Light | Commercial and | Others | Intersegment | Research and | Sales, general | Restructuring | (Gain)/loss on | Gain on business | Other income | Equity in | Provision for | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 197,710 | $ 74,333 | $ 10,056 | $ (7,293) | $ 34,625 | $ 3,931 | $ (3,168) | $ 1,752 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 109,450 | |||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | - | - | (155,431) | - | - | (155,431) | |||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | - | (469) | - | - | - | - | - | - | 386 | - | - | - | - | (83) | |||||||||||||||||||||
Litigation | - | - | - | - | - | - | - | - | - | 395 | - | - | - | - | - | - | 395 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | - | 623 | - | - | - | - | 3,831 | - | - | - | - | - | - | 4,454 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | - | 1,189 | - | - | - | - | - | - | - | - | - | - | 1,189 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | - | - | (97) | - | - | - | - | - | (97) | |||||||||||||||||||||
Gain on convertible notes repurchased | - | - | - | - | - | - | - | - | - | - | - | - | - | (104) | - | - | (104) | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 33,769 | 33,769 | |||||||||||||||||||||
Non-GAAP | $ 197,710 | $ 74,333 | $ 10,056 | $ (7,293) | $ 34,779 | $ 5,120 | $ (3,168) | $ 1,752 | $ (6,458) | |||||||||||||||||||||||||||||
June 28, 2020 | ||||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||||
Residential, Light | Commercial and Industrial | Others | Intersegment | Residential, Light | Commercial and | Others | Intersegment | Research and | Sales, general | Restructuring | (Gain)/loss on | Gain on business | Other income | Equity in | Provision for | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 160,169 | $ 50,319 | $ 12,822 | $ (5,643) | $ 26,204 | $ 8,924 | $ (6,283) | $ (3,194) | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 55,890 | |||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | - | - | (71,060) | - | - | (71,060) | |||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | - | - | (10,458) | (71) | - | - | (10,529) | |||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | - | (458) | - | - | - | - | - | - | 141 | - | - | - | - | (317) | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | - | 471 | - | - | - | - | 3,484 | - | - | - | - | - | - | 3,955 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | - | 1,784 | - | - | - | - | - | - | - | - | - | - | 1,784 | |||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | - | - | 1,382 | - | - | - | - | - | - | 1,382 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | - | - | 659 | - | - | - | - | - | 659 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 994 | 994 | |||||||||||||||||||||
Non-GAAP | $ 160,169 | $ 50,319 | $ 12,822 | $ (5,643) | $ 26,217 | $ 10,708 | $ (6,283) | $ (3,194) | $ (17,242) | |||||||||||||||||||||||||||||
September 29, 2019 | ||||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||||
Residential, Light | Commercial and Industrial | Others | Intersegment | Residential, Light | Commercial and Solutions | Others | Intersegment | Research and | Sales, general | Restructuring | Loss on sale | Gain on business | Other income | Equity in | Provision for |
Gain (Loss) | Net income | |||||||||||||||||||||
GAAP | $ 204,090 | $ 63,589 | $ 33,975 | $ (15,612) | $ 27,407 | $ 289 | $ 16,860 | $ 939 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 18,644 | ||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (65) | - | - | (7) | - | - | - | - | - | - | - | - | - | - | - | - | (7) | ||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | - | (181) | - | - | - | - | - | - | - | - | - | - | - | - | (181) | ||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | - | - | (28,548) | 953 | - | - | (27,595) | ||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | - | (511) | - | - | - | - | - | - | 10,756 | - | - | - | - | (5,110) | 5,135 | ||||||||||||||||||||
Construction revenue on solar services contracts | 15,790 | - | - | - | 1,160 | - | - | - | - | - | - | - | - | - | - | - | - | 1,160 | ||||||||||||||||||||
Stock-based compensation expense | - | - | - | - | 741 | - | - | - | - | 4,234 | - | - | - | - | - | - | - | 4,975 | ||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | - | - | - | 1,783 | ||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | - | - | 976 | - | - | - | - | - | - | - | 976 | ||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | - | - | 4,283 | - | - | - | - | - | - | 4,283 | ||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | (118) | - | (118) | ||||||||||||||||||||
Non-GAAP | $ 219,880 | $ 63,524 | $ 33,975 | $ (15,612) | $ 28,609 | $ 2,072 | $ 16,860 | $ 939 | $ 9,055 | |||||||||||||||||||||||||||||
NINE MONTHS ENDED | ||||||||||||||||||||||||||||||||||||||
September 27, 2020 | ||||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||||
Residential, Light | Commercial and Industrial | Others | Intersegment | Residential, Light | Commercial and | Others | Intersegment | Research and | Sales, general | Restructuring | (Gain)/loss on | Gain on business | Other income | Equity in | Provision for | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 584,749 | $ 175,471 | $ 55,613 | $ (32,815) | $ 89,470 | $ 9,808 | $ (18,906) | $ 11,604 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 186,880 | |||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (207) | - | - | - | (34) | - | - | - | - | - | - | - | - | - | - | (34) | |||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | - | 20 | - | - | - | - | - | - | - | - | - | - | - | 20 | |||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | - | - | (274,362) | - | - | (274,362) | |||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | - | (1,375) | - | - | - | - | - | - | 253 | - | - | - | - | (1,122) | |||||||||||||||||||||
Construction revenue on solar services contracts | 5,392 | - | - | - | 4,735 | - | - | - | - | - | - | - | - | - | - | - | 4,735 | |||||||||||||||||||||
Litigation | - | - | - | - | - | - | - | - | - | 880 | - | - | - | - | - | - | 880 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | - | 1,653 | - | - | - | - | 11,734 | - | - | - | - | - | - | 13,387 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | - | 4,759 | - | - | - | - | - | - | - | - | - | - | 4,759 | |||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | - | - | (10,458) | (71) | - | - | (10,529) | |||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | - | - | 1,863 | - | - | - | - | - | - | 1,863 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | - | - | 2,138 | - | - | - | - | - | 2,138 | |||||||||||||||||||||
Gain on convertible debt repurchased | - | - | - | - | - | - | - | - | - | - | - | - | - | (3,060) | - | - | (3,060) | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 35,614 | 35,614 | |||||||||||||||||||||
Non-GAAP | $ 590,141 | $ 178,195 | $ 55,613 | $ (32,815) | $ 94,503 | $ 14,533 | $ (18,906) | $ 11,604 | $ (38,831) | |||||||||||||||||||||||||||||
September 29, 2019 | ||||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||||
Residential, Light | Commercial and Industrial | Others | Intersegment | Residential, Light | Commercial and | Others | Intersegment | Research and | Sales, general | Restructuring | (Gain)/loss on | Gain on business | Other income | Equity in | Provision for | Gain (Loss) | Net income (loss) attributable to stockholders | |||||||||||||||||||||
GAAP | $ 482,085 | $ 156,032 | $ 78,728 | $ (26,237) | $ 49,969 | $ 2,679 | $ 5,751 | $ 19,004 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 159,459 | ||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (259) | - | - | 993 | - | - | - | - | - | - | - | - | - | - | - | - | 993 | ||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | - | (4,688) | - | - | - | - | - | - | - | - | 10,443 | - | - | - | 5,755 | ||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | - | - | (129,048) | 953 | - | - | (128,095) | ||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | - | (1,268) | - | - | - | - | - | - | 36,710 | - | - | - | - | (6,440) | 29,002 | ||||||||||||||||||||
Construction revenue on solar services contracts | 124,909 | - | - | - | 18,052 | - | - | - | - | - | - | - | - | - | - | - | (27,030) | (8,978) | ||||||||||||||||||||
Stock-based compensation expense | - | - | - | - | 1,370 | - | - | - | - | 12,312 | - | - | - | - | - | - | - | 13,682 | ||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | - | 5,352 | - | - | - | - | - | - | - | - | - | - | - | 5,352 | ||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | - | - | - | - | - | (143,250) | (150) | - | - | - | (143,400) | ||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | - | - | 3,571 | - | - | - | - | - | - | - | 3,571 | ||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | - | - | 6,071 | - | - | - | - | - | - | 6,071 | ||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 1,817 | - | 1,817 | ||||||||||||||||||||
Non-GAAP | $ 606,994 | $ 155,773 | $ 78,728 | $ (26,237) | $ 64,428 | $ 8,031 | $ 5,751 | $ 19,004 | $ (54,771) | |||||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
10/28/2020SunPower to Announce Third-Quarter Results on Oct. 28, 2020
Source: PR Newswire
SAN JOSE, Calif., Oct. 15, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its third-quarter 2020 financial results on a conference call, Wednesday, Oct. 28 at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on Oct. 28, 2020.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
10/15/2020SunPower Announces Adjustments of Conversion Rates for Convertible Debentures
Source: PR Newswire
SAN JOSE, Calif., Oct. 8, 2020 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a leading solar technology and energy services provider, today announced new conversion rates for its 0.875% Senior Convertible Debentures due 2021 (CUSIP No. 867652 AJ8) (the "2021 Debentures") and its 4.000% Senior Convertible Debentures due 2023 (CUSIP No. 867652 AL3) (the "2023 Debentures" and, together with the 2021 Debentures, the "Debentures"). The rates were adjusted pursuant to the terms of the respective indentures governing the Debentures (the "Indentures").
Effective September 11, 2020, the new conversion rates are 25.1388 shares of SunPower's common stock per $1,000 principal amount of 2021 Debentures (equivalent to a conversion price of $39.78 per share) and 40.1552 shares of SunPower's common stock per $1,000 principal amount of 2023 Debentures (equivalent to a conversion price of $24.90 per share).
The conversion rates were previously 20.5071 shares of SunPower's common stock per $1,000 principal amount of 2021 Debentures and 32.7568 shares of SunPower's common stock per $1,000 principal amount of 2023 Debentures. Notice of the conversion rate adjustment was delivered to Wells Fargo Bank, National Association, the trustee, in accordance with the terms of the Indentures.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
10/8/202010/5/2020 - SunPower Creates Two New Leadership Roles to Drive Sustainability and Diversity Initiatives
SunPower Creates Two New Leadership Roles to Drive Sustainability and Diversity Initiatives
Source: PR Newswire
SAN JOSE, Calif., Oct. 5, 2020 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a leading solar technology and energy services provider, today announced the creation of two new leadership positions at the company to lead all initiatives related to Environmental, Social and Corporate Governance (ESG) and Diversity, Equity and Inclusion (DE&I), respectively. Joanne Endow will serve as the Head of ESG, and Maribelle Bostic has been appointed director of DE&I. In these roles, Endow and Bostic will work to further the company's sustainability and diversity goals.
"As we look to tackle the vast social and environmental challenges facing our industry and nation, deepening our leadership bench from within our company continues to be a top priority," said Tom Werner, CEO and chairman of SunPower. "Both Joanne and Maribelle have been integral in shaping our ESG and DE&I strategies at SunPower, and their industry knowledge and company experience provide an invaluable perspective in leading us to a better future to continue to change the way our world is powered with a more equitable workforce."
Appointing Company Leaders from Within
Endow currently serves as SunPower's vice president of Corporate Audit and Advisory Services. Over the course of her 15-year tenure at SunPower, Endow has overseen several key initiatives across accounting, systems management and business process transformation. Endow will incorporate into her role driving the company's environmental, social and corporate governance initiatives across all processes and business units. These include oversight for the annual SunPower Environmental, Social and Corporate Governance Report; the SunPower Product Discount program for universities and qualified nonprofits to purchase solar for educational and community-based projects; and our Horizons STEM Program that educates youth about solar power.
Bostic, an action-oriented advocate for DE&I, has more than 17 years of experience in human resources at SunPower. In her new role, Bostic will lead the company in advancing its DE&I commitments, including recruiting from Historically Black Colleges and Universities (HBUCs), diverse trade associations, and student and professional societies. In addition, Bostic will liaise with employee-led resource groups, strengthen the evaluation procedure to support minority-owned vendors, and establish policies to actively include minority-owned businesses in any RFP process.
Together, these leaders will work to maintain regular dialogues with SunPower senior management and the company's Board of Directors regarding ESG and DE&I initiatives. They will define and report on metrics to measure SunPower's progress in meeting corporate goals. Both Endow and Bostic assume their new roles effective immediately.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over electricity consumption and resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
10/5/20209/10/2020 - SunPower Announces Fiscal Year 2020 Guidance
SunPower Announces Fiscal Year 2020 Guidance
Source: PR Newswire
SAN JOSE, Calif., Sept. 10, 2020 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced financial guidance for the fourth quarter 2020 and fiscal year 2020, reflecting the recently completed spin-off of Maxeon Solar Technologies.
For the fourth quarter 2020, the company expects GAAP revenue of $330 to $370 million, GAAP net income of $0 million to $10 million, Adjusted EBITDA of $20 million to $30 million and megawatts (MW) recognized in the range of 150 MW to 170 MW.
For fiscal year 2020, the company expects GAAP revenue of $1.06 billion to $1.10 billion, GAAP net income of $30 million to $40 million, Adjusted EBITDA of $20 million to $30 million and MW recognized in the range of 465 MW to 510 MW.
SunPower will discuss its fourth quarter and fiscal year 2020 outlook during its 2020 virtual Capital Markets event today, Sept. 10, 2020, starting at 8:30 a.m. Eastern Time. Please note that the entire event will be webcast and relevant materials will be posted to the company's website before the event. To listen to the webcast, investors are encouraged to visit the Events and Presentations section of the SunPower Investor Relations webpage.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed by one company that gives customers complete control over energy consumption, delivering grid independence, resiliency during power outages and cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our fourth quarter and fiscal year 2020 guidance, including GAAP revenue and net income, as well as Adjusted EBITDA and MW deployed, and related assumptions. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; (3) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships, including our supply and technology collaboration relationship with Maxeon; (4) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (5) potential disruptions to our operations and supply chain that may result from epidemics or natural disasters, including impacts of the Covid-19 pandemic; (6) challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; (7) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; and (8) fluctuations in our operating results. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
Q4 2020 and FY 2020 GUIDANCE
(in thousands except percentages) | Q4 2020 | FY 2020 |
Revenue (GAAP and non-GAAP) | $330,000-$370,000 | $1,060,000-$1,100,000 |
Net income (GAAP) | $0-$10,000 | $30,000-$40,000 |
Adjusted EBITDA1 | $20,000-30,000 | $20,000-30,000 |
1. Estimated Adjusted EBITDA amount above for Q4 2020 includes net adjustments that decrease net income by approximately $5 million related to stock-based compensation expense, $1 million in business reorganization costs, $3 million related to depreciation expense, $10 million related to interest expense, and $1 million related to income taxes. Estimated Adjusted EBITDA amount above for fiscal 2020 includes net adjustments decrease (increase) net income by approximately $(120) million related to mark-to-market gain on equity investments, $(8) million related to gain on business divesture, $20 million related to stock-based compensation expense, $30 million related to business reorganization costs, $5 million related to construction revenue on solar service contracts, $11 million related to depreciation expense, $36 million related to interest expense, and $20 million related to income taxes.
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SOURCE SunPower Corp.
Article Date
9/10/2020SunPower Launches Some of the Industry's Most Affordable Loans for Solar Customers
Source: PR Newswire
SAN JOSE, Calif., Sept. 8, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced new low-annual percentage rate (APR) loans for U.S. residential solar customers. The new rates are expected to result in substantially lower monthly payments for homeowners purchasing SunPower's comprehensive solar energy solutions, lowering the barriers to entry so more households can use the clean energy of solar to generate their own electricity, manage their consumption and save money.
Interest in home energy systems has increased significantly among residential customers due to the COVID-19 pandemic, prolonged wildfire and hurricane seasons, frequent blackouts and utility rate fluctuations. In the first nine weeks of Q3 2020, SunPower saw more than a 50 percent increase in customer-requested sales consultations when compared with the same period in 2019.
SHIFTS IN OWNERSHIP TRENDS
According to a July 2020 report from energy research consultancy Wood Mackenzie, customer-owned installations facilitated by loan financing have outpaced third-party ownership since 2019. SunPower's new reduced financing rates—as low as 0.99% APR—are expected to accelerate the trend toward customer ownership, allowing qualified homeowners to build equity in their renewable energy assets. With SunPower's new 25-year low APR loan, homeowners can invest in a 6.0 kW solar energy system for under $100 per month.
"Our new financing options advance our goal of empowering homeowners to control their own energy at some of the most affordable rates on the market," said Norm Taffe, executive vice president of North American Channels. "These new lower rates will enable more homeowners to make the switch to clean, renewable energy while simultaneously saving money on their monthly energy costs."
SunPower is a solar + storage solutions company with a nationwide network of independent dealers and expert installers. The new low APR financing options support the company's mission of becoming North America's leading Distributed Generation (DG) Storage and Energy Services provider.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is the leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed and warranted by one company that gives customers control over energy consumption, resiliency during power outages while providing cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding customer financing offerings and capabilities, expected demand and our ability to meet it, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
9/8/2020SunPower to Host Virtual Capital Markets Event on Sept. 10, 2020
Source: PR Newswire
SAN JOSE, Calif., Sept. 2, 2020 /PRNewswire/ -- SunPower (NASDAQ:SPWR) will host a virtual capital markets event at 5:30 am, Pacific, Thursday, Sept. 10, 2020. It will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
Key members of SunPower's leadership team – CEO Tom Werner, CFO Manavendra Sial and business leaders Norm Taffe and Eric Potts - will participate and address the company's strategy, financials and business differentiators. SunPower is a leading North American distributed generation (DG), storage and energy services company with an end-to-end software platform, differentiated products and solutions and an asset-light approach.
About SunPower
Headquartered in California's Silicon Valley, SunPower (NASDAQ:SPWR) is a leading Distributed Generation Storage and Energy Services provider in North America. SunPower offers the only solar + storage solution designed by one company that gives customers complete control over energy consumption, delivering grid independence, resiliency during power outages and cost savings to homeowners, businesses, governments, schools and utilities. For more information, visit www.sunpower.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our future strategy and plans. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to regulatory changes and the availability of economic incentives promoting use of solar energy; challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships, including our supply and technology collaboration relationship with Maxeon; and competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S.
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SOURCE SunPower Corp.
Article Date
9/2/20208/5/2020 - SunPower Reports Second Quarter 2020 Results
SunPower Reports Second Quarter 2020 Results
Source: PR Newswire
SAN JOSE, Calif., Aug. 5, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its second quarter ended June 28, 2020.
Second Quarter Company Highlights
SunPower Energy Services (SPES)
SunPower Technologies (SPT)
($ Millions, except percentages and per-share data) | 2nd Quarter 2020 | 1st Quarter 2020 | 2nd Quarter 2019 |
GAAP revenue | $352.9 | $449.2 | $436.3 |
GAAP gross margin | 6.1% | 8.3% | 4.5% |
GAAP net income (loss) | $19.4 | $(1.4) | $121.5 |
GAAP net income (loss) per diluted share | $0.11 | $(0.01) | $0.75 |
Non-GAAP revenue1 | $352.9 | $454.4 | $481.9 |
Non-GAAP gross margin1 | 9.8% | 12.5% | 10.5% |
Non-GAAP net loss1 |
$(37.2) | $(17.3) | $(31.1) |
Non-GAAP net loss per diluted share1 | $(0.22) | $(0.10) | $(0.22) |
Adjusted EBITDA1 | $(8.9) | $9.4 | $8.0 |
MW Recognized | 464 | 538 | 622 |
Cash2 | $235.3 | $205.5 | $167.3 |
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
2Includes cash, and cash equivalents, excluding restricted cash |
Second Quarter 2020 Results
"We were pleased with our second quarter performance as strong execution enabled us to exceed our guidance, generate close to $30 million in positive cash flow and launch new products despite the Covid-19 virus disruption," said Tom Werner, SunPower CEO and chairman of the board. "Overall, we saw improving trends in our global DG business throughout the quarter with particular strength in our U.S. channels business where the investments in our digital initiatives enabled us to successfully transition to an on-line model. We also took a number of important steps to complete the spin-off of Maxeon Solar Technologies as their 20-F was declared effective with an expected record date of Aug. 17, 2020 and distribution date of Aug. 26, 2020. Finally, we continued our leadership in innovation as we launched a number of new products including our SunVault residential storage solution, our OneRoof product for new homes as well as Maxeon's launch of its new bifacial, shingled panel for the global power plant market. Looking forward, our fundamentals remain strong and are well-positioned for success given our differentiated model, new products and strong balance sheet."
SunPower Energy Services (SPES)
"Our channels business executed very well in a difficult environment as we saw better than expected demand improvement as we went through the quarter. This was reflected in our financial performance as Adjusted EBITDA rose year over year with our Channels business generating $33 million in positive cash flow in the second quarter. Additionally, gross margins doubled compared to last year, primarily the result of a lower loan and lease cost of capital, increased sales in our new homes business, as well as the successful execution of our cost reduction initiatives. Our second quarter performance also reflected success in our rapid shift to our residential online sales model as we saw further customer and dealer adoption of our Design Studio and mySunPower applications, both of which improve the efficiency of the sales process while offering a superior customer experience. We were also pleased to launch our SunVault residential storage solution during the quarter and are currently rolling out this product nationally this quarter. Demand for this proprietary all-in-one storage solution is very strong with initial attach rates in above our 2020 goal of 20%. In new homes, we believe our new, innovative OneRoof product will further cement our leadership position in this segment. This product, designed in partnership with KB Home, provides a fully-integrated, attractive, durable and cost-effective solution specifically designed for this market. Builder demand for this product is also high as we have already booked 19 communities across six builders within two weeks of its initial launch. With more than 50,000 systems installed and more than 45,000 home in backlog, we are well-positioned to add to our more than 50 percent market share in new homes."
"Performance in our Commercial Direct business improved during the quarter as we posted positive Adjusted EBITDA while maintaining our leading market share. Install volume increased more than 50% year over year and we remain confident that we will achieve sustainable profitability in this business in the second half of this year. Our origination teams again performed well as approximately 100% of our 2020 forecast is currently in backlog and were pleased to recently announce our 12.8MW award from the Washington Metropolitan Area Transit Authority. Additionally, Helix storage demand remains high as our pipeline exceeds 625 megawatt hours (MWh) with attach rates of approximately 50% for the balance of the year."
SunPower Technologies (SPT)
"Our SPT business posted a solid quarter as we exceeded our shipment guidance by more than 15% with all factories back to normal operations. Similar to the U.S. DG market, we saw DG demand improve as we went through the quarter with particular strength in our European and Australian markets. DG shipments totaled 67% of volume in the second quarter and we expect further recovery in the second half of the year. We also achieved a number of important milestones related to the spin-off of our Maxeon Solar Technologies business unit during the quarter including its 20-F filing which was recently declared effective with an expected share distribution date of August 26, 2020. Finally, Maxeon continued to position itself as a technology leader with the anticipated fourth quarter launch of its Perfomance-5 bifacial, up to 625W, shingled product for the global power plant market, as well as announcing their partnership with Enphase Energy to bring high-efficiency AC module technology and smart energy solutions to the international DG market."
Consolidated Financials
"Our second quarter performance reflected the resilience of our business and strong execution as we quickly responded to the Covid-19 disruption," said Manavendra Sial, SunPower chief financial officer. "Our rapid response, along with the proactive implementation of a number of initiatives, enabled us to achieve positive cash generation for the quarter with $500 million in liquidity identified for Sun Power post spin. Additionally, we were pleased to see Maxeon complete its successful $200 million convertible green bond offering and closure of $125 million in banking facilities. As a result, both companies will be well capitalized post transaction. Finally, we added to our financing flexibility in the Commercial Direct space as we closed a new, innovative financing facility that allows for more efficient working capital utilization while improving our economics."
Second quarter of fiscal year 2020 non-GAAP results exclude net adjustments that, in the aggregate, increased non-GAAP loss by $56.6 million, including $71.1 million related to gain on mark-to-market gain on equity investments, and $10.5 million related to gain on business divestiture. This was partially offset by $9.6 million related to the cost of above-market polysilicon, $5.9 million related to stock-based compensation expense, $4.1 million related to business reorganization costs and restructuring charges, $2.4 million transaction-related costs, $1.8 million related to amortization of intangible assets, and $1.2 million related to other non-recurring items and tax effects.
Financial Outlook
The company's third quarter 2020 GAAP and non-GAAP guidance is as follows: on a GAAP and non-GAAP basis, revenue of $360 million to $400 million, GAAP gross margin of 0 percent to 5 percent and net loss of $110 million to $95 million.
The company's third quarter 2020 Non-GAAP gross margin and Adjusted EBITDA guidance, on a combined basis, now includes an approximate $40 million impact for the entire quarter in its SPT segment as a result of its out of market polysilicon contract. Additionally, upon completion of the Maxeon spin-off, expected on August 26, 2020, the obligation under the polysilicon contract will be retained by Maxeon and will expire in fiscal 2022.
As a result, the company expects third quarter 2020 non-GAAP gross margin of 0 percent to 6 percent and Adjusted EBITDA guidance in the range of negative $35 million to negative $20 million with SPT in the range of negative $38 to $28 million and SPES in the range of positive $8 to $14 million.
The company also expects megawatts recognized to be in the range of 500 MW to 560 MW as well as positive cash generation for SunPower in the third quarter.
For the fourth quarter and after the company's expected spin-off of Maxeon, both companies expect a continued improvement in the global solar demand environment through the end of the year, with particular strength in the DG segment.
Capital Markets Day
SunPower will discuss its strategic outlook as well as provide additional details related to its fiscal year 2020 financial performance at its virtual Capital Markets Day to be held on September 10, 2020. Please note that the entire event will be webcast and relevant materials will be posted to the company's website prior to the event. To register for and listen to the webcast, investors are encouraged to visit the company's Events and Presentations section of the SunPower Investor Relations page at http://investors.sunpower.com/events.cfm prior to the event.
The company will host a conference call for investors this afternoon to discuss its second quarter 2020 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2020 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) statements regarding the anticipated spin-off of Maxeon Solar Technologies, including timing and certainty; (b) our positioning for future success; (c) our plans and expectations for our products and planned products, including the timing and scope of planned launches and rollouts, anticipated demand, and impacts on our market position and our ability to meet our targets and goals; (d) the expected financial performance of our business lines, including the timing of anticipated demand recovery and timing and expectations for returning our Commercial Direct business to profitability; (e) our expectations regarding our industry and market factors, including anticipated demand and volume; (f) expectations regarding our future performance based on bookings, backlog, and pipelines in our sales channels; (g) the amount, likelihood, and timing of realization of potential additional sources of liquidity; (h) our expectations for the financial impacts of our new tax-equity partnership; (i) our third quarter fiscal 2020 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions; (j) plans and expectations for SunPower and Maxeon Solar Technologies post-spin off, including our expectations regarding global market factors, demand improvement and the timing and focus thereof, the expected financial performance of each company; (k) our plans and expectations regarding SunPower's ability to achieve sustainable profitability in the second half of the year and expected revenue and gross margin improvement in its business segments in the fourth quarter; (l) plans for and expected content of SunPower's planned Capital Markets Day; and (m) expected demand recovery and market traction for Maxeon Solar Technologies as a result of anticipated product launches.
These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; (2) potential disruptions to our operations and supply chain that may result from epidemics or natural disasters, including impacts of the Covid-19 pandemic; (3) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (4) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (5) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (6) changes in public policy, including the imposition and applicability of tariffs; (7) regulatory changes and the availability of economic incentives promoting use of solar energy; (8) fluctuations in our operating results; (9) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; and (10) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. In addition, the proposed and the associated investment by TZS in Maxeon Solar may not be consummated within the anticipated period or at all and the ultimate results of any separation depend on a number of factors, including the development of final plans and the impact of local regulatory requirements. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Jun. 28 | Dec. 29, | ||
2020 | 2019 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 235,307 | $ 422,955 | |
Restricted cash and cash equivalents, current portion | 30,631 | 26,348 | |
Restricted short-term marketable securities | 6,322 | 6,187 | |
Accounts receivable, net | 157,132 | 226,476 | |
Contract assets | 105,221 | 99,426 | |
Inventories | 360,416 | 358,257 | |
Advances to suppliers, current portion | 108,464 | 107,388 | |
Project assets - plants and land, current portion | 24,567 | 12,650 | |
Prepaid expenses and other current assets | 84,718 | 121,244 | |
Total current assets | 1,112,778 | 1,380,931 | |
Restricted cash and cash equivalents, net of current portion | 8,420 | 9,354 | |
Property, plant and equipment, net | 299,644 | 323,726 | |
Operating lease right-of-use assets | 56,849 | 51,258 | |
Solar power systems leased, net | 52,441 | 54,338 | |
Advances to suppliers, net of current portion | 889 | 13,993 | |
Other intangible assets, net | 3,280 | 7,466 | |
Other long-term assets | 404,222 | 330,855 | |
Total assets | $ 1,938,523 | $ 2,171,921 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 357,046 | $ 441,759 | |
Accrued liabilities | 188,113 | 203,890 | |
Operating lease liabilities, current portion | 11,833 | 9,463 | |
Contract liabilities, current portion | 88,265 | 138,441 | |
Short-term debt | 128,643 | 104,856 | |
Convertible debt, current portion | 309,228 | - | |
Total current liabilities | 1,083,128 | 898,409 | |
Long-term debt | 92,676 | 113,827 | |
Convertible debt | 421,822 | 820,259 | |
Operating lease liabilities, net of current portion | 51,073 | 46,089 | |
Contract liabilities, net of current portion | 61,782 | 67,538 | |
Other long-term liabilities | 186,737 | 204,300 | |
Total liabilities | 1,897,218 | 2,150,422 | |
Equity: | |||
Common stock | 170 | 168 | |
Additional paid-in capital | 2,674,379 | 2,661,819 | |
Accumulated deficit | (2,431,732) | (2,449,679) | |
Accumulated other comprehensive loss | (10,365) | (9,512) | |
Treasury stock, at cost | (200,796) | (192,633) | |
Total stockholders' equity | 31,656 | 10,163 | |
Noncontrolling interests in subsidiaries | 9,649 | 11,336 | |
Total equity | 41,305 | 21,499 | |
Total liabilities and equity | $ 1,938,523 | $ 2,171,921 | |
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
(In thousands, except per share data) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28 | Jun. 30, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
Revenue: | ||||||||||
SunPower Energy Services | $ 217,885 | $ 289,869 | $ 211,726 | $ 507,754 | $ 389,947 | |||||
SunPower Technologies | 170,435 | 248,196 | 314,971 | 418,631 | 545,775 | |||||
Intersegment eliminations | (35,406) | (88,875) | (90,416) | (124,281) | (151,216) | |||||
Total revenue | 352,914 | 449,190 | 436,281 | 802,104 | 784,506 | |||||
Cost of revenue: | ||||||||||
SunPower Energy Services | 179,258 | 259,461 | 189,262 | 438,719 | 360,340 | |||||
SunPower Technologies | 186,861 | 257,129 | 317,717 | 443,990 | 600,585 | |||||
Intersegment eliminations | (34,803) | (104,848) | (90,498) | (139,651) | (158,934) | |||||
Total cost of revenue | 331,316 | 411,742 | 416,481 | 743,058 | 801,991 | |||||
Gross profit (loss) | 21,598 | 37,448 | 19,800 | 59,046 | (17,485) | |||||
Operating expenses: | ||||||||||
Research and development | 12,335 | 15,638 | 18,159 | 27,973 | 33,152 | |||||
Sales, general and administrative | 55,967 | 65,958 | 61,978 | 121,925 | 124,835 | |||||
Restructuring charges | 1,259 | 1,576 | 2,453 | 2,835 | 1,788 | |||||
(Gain) loss on sale and impairment of residential lease assets | 141 | (274) | 8,301 | (133) | 17,527 | |||||
Gain on business divestiture | (10,458) | - | (137,286) | (10,458) | (143,400) | |||||
Total operating expenses | 59,244 | 82,898 | (46,395) | 142,142 | 33,902 | |||||
Operating income (loss) | (37,646) | (45,450) | 66,195 | (83,096) | (51,387) | |||||
Other income (expense), net: | ||||||||||
Interest income | 174 | 404 | 566 | 578 | 1,418 | |||||
Interest expense | (10,205) | (10,537) | (16,424) | (20,742) | (33,215) | |||||
Other, net | 70,032 | 55,069 | 67,768 | 125,101 | 100,841 | |||||
Other income, net | 60,001 | 44,936 | 51,910 | 104,937 | 69,044 | |||||
Income (loss) before income taxes and equity in losses of unconsolidated | 22,355 | (514) | 118,105 | 21,841 | 17,657 | |||||
Provision for income taxes | (3,068) | (1,869) | (6,068) | (4,937) | (11,865) | |||||
Equity in earnings (losses) of unconsolidated investees | (889) | 245 | (1,963) | (644) | (283) | |||||
Net income (loss) | 18,398 | (2,138) | 110,074 | 16,260 | 5,509 | |||||
Net income attributable to noncontrolling interests and redeemable | 980 | 707 | 11,385 | 1,687 | 26,226 | |||||
Net income (loss) attributable to stockholders | $ 19,378 | $ (1,431) | $ 121,459 | $ 17,947 | $ 31,735 | |||||
Basic net income (loss) per share attributable to stockholders | $ 0.11 | $ (0.01) | $ 0.85 | $ 0.11 | $ 0.22 | |||||
Diluted net income (loss) per share attributable to stockholders | $ 0.11 | $ (0.01) | $ 0.75 | $ 0.10 | $ 0.22 | |||||
Basic weighted-average shares | 170,003 | 168,822 | 142,471 | 169,413 | 142,095 | |||||
Diluted weighted-average shares | 178,118 | 168,822 | 166,837 | 170,971 | 143,062 | |||||
SUNPOWER CORPORATION | |||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||
(In thousands) | |||||||||||
(Unaudited) | |||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | ||||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28, | Jun. 30, | |||||||
2020 | 2020 | 2019 | 2020 | 2019 | |||||||
Cash flows from operating activities: | |||||||||||
Net income (loss) | $ 18,398 | $ (2,138) | $ 110,074 | $ 16,260 | $ 5,509 | ||||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | |||||||||||
Depreciation and amortization | 16,918 | 16,892 | 22,534 | 33,810 | 46,724 | ||||||
Stock-based compensation | 5,879 | 6,867 | 6,270 | 12,746 | 11,936 | ||||||
Non-cash interest expense | 1,838 | 1,910 | 2,510 | 3,748 | 4,925 | ||||||
Non-cash restructuring charges | - | - | 2,346 | - | 2,346 | ||||||
Bad debt expense | 1,326 | 2,240 | - | 3,566 | 1,661 | ||||||
Equity in (earnings) losses of unconsolidated investees | 889 | (245) | 1,963 | 644 | 283 | ||||||
Gain on equity investments | (71,062) | (49,152) | (67,500) | (120,214) | (100,500) | ||||||
Gain on retirement of convertible debt | - | (2,956) | - | (2,956) | - | ||||||
Gain on business divestiture | (10,458) | - | (137,286) | (10,458) | (143,400) | ||||||
Deferred income taxes | 1,381 | (349) | (4) | 1,032 | 2,044 | ||||||
Gain (loss) on sale and impairment of residential lease assets | 140 | 289 | 16,728 | 429 | 25,954 | ||||||
Impairment of property, plant and equipment | - | - | 777 | - | 777 | ||||||
Changes in operating assets and liabilities: | |||||||||||
Accounts receivable | 79,029 | (20,120) | (60,827) | 58,909 | (50,292) | ||||||
Contract assets | (3,164) | 295 | 5,697 | (2,869) | 7,409 | ||||||
Inventories | 36,336 | (43,061) | (20,386) | (6,725) | (62,104) | ||||||
Project assets | (3,024) | (8,881) | (6,974) | (11,905) | (6,198) | ||||||
Prepaid expenses and other assets | 9,403 | 18,635 | (27,212) | 28,038 | (15,485) | ||||||
Operating lease right-of-use assets | 4,863 | 2,923 | (11,383) | 7,786 | (8,780) | ||||||
Long-term financing receivables, net - held for sale | - | - | 657 | - | (954) | ||||||
Advances to suppliers | 3,093 | 8,936 | 11,719 | 12,029 | 24,774 | ||||||
Accounts payable and other accrued liabilities | (33,637) | (92,599) | 40,018 | (126,236) | 11,199 | ||||||
Contract liabilities | (34,324) | (16,130) | 17,996 | (50,454) | 3,418 | ||||||
Operating lease liabilities | (3,173) | (2,849) | 11,222 | (6,022) | 8,663 | ||||||
Net cash provided by (used in) operating activities | 20,651 | (179,493) | (81,061) | (158,842) | (230,091) | ||||||
Cash flows from investing activities: | |||||||||||
Purchases of property, plant and equipment | (4,592) | (6,213) | (11,656) | (10,805) | (18,204) | ||||||
Cash paid for solar power systems | (2,037) | (610) | (15,723) | (2,647) | (43,323) | ||||||
Proceeds from sale of equity investment and return of capital by an unconsolidated investee | - | 46,149 | - | 46,149 | - | ||||||
Proceeds from sale of property, plant and equipment | - | - | 228 | - | 228 | ||||||
Proceeds from business divestiture, net of de-consolidated cash | 15,417 | - | 30,814 | 15,417 | 40,491 | ||||||
Proceeds from return of capital of equity investments with fair value option | 7,724 | - | - | 7,724 | - | ||||||
Cash paid for investments with fair value option | - | - | (10,000) | - | (10,000) | ||||||
Net cash provided by (used in) investing activities | 16,512 | 39,326 | (6,337) | 55,838 | (30,808) | ||||||
Cash flows from financing activities: | |||||||||||
Proceeds from bank loans and other debt | 44,954 | 76,544 | 75,687 | 121,498 | 143,666 | ||||||
Repayment of bank loans and other debt | (53,605) | (65,730) | (66,688) | (119,335) | (125,060) | ||||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | - | - | 43,476 | - | 65,731 | ||||||
Repayment of non-recourse residential financing | - | - | (1,156) | - | (1,156) | ||||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | - | - | 8,590 | - | 29,577 | ||||||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | - | - | (316) | - | (316) | ||||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | 890 | 9,754 | - | 10,644 | - | ||||||
Payment for prior business combination | - | - | (9,000) | - | (9,000) | ||||||
Cash paid for repurchase of convertible debt | - | (87,141) | - | (87,141) | - | ||||||
Settlement of contingent consideration arrangement, net of cash received | 1,811 | 423 | - | 2,234 | (2,448) | ||||||
Equity offering costs paid | - | (928) | - | (928) | - | ||||||
Purchases of stock for tax withholding obligations on vested restricted stock | (1,467) | (6,914) | (493) | (8,381) | (4,365) | ||||||
Net cash (used in) provided by financing activities | (7,417) | (73,992) | 50,100 | (81,409) | 96,629 | ||||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 330 | (216) | 147 | 114 | 259 | ||||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 30,076 | (214,375) | (37,151) | (184,299) | (164,011) | ||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 244,282 | 458,657 | 236,903 | 458,657 | 363,763 | ||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period1 | $ 274,358 | $ 244,282 | $ 199,752 | $ 274,358 | $ 199,752 | ||||||
Non-cash transactions: | |||||||||||
Costs of solar power systems sourced from existing inventory | $ - | $ - | $ 4,767 | $ - | $ 21,173 | ||||||
Costs of solar power systems funded by liabilities | $ 1,716 | $ 1,184 | $ 4,529 | $ 1,716 | $ 4,529 | ||||||
Property, plant and equipment acquisitions funded by liabilities | $ 5,452 | $ 2,385 | $ 22,560 | $ 5,452 | $ 22,560 | ||||||
Contractual obligations satisfied by inventory | $ - | $ 975 | $ - | $ - | $ - | ||||||
Right-of-use assets obtained in exchange of lease obligations2 | $ 963 | $ 12,461 | $ 13,280 | $ 13,424 | $ 94,805 | ||||||
Derecognition of financing obligations upon business divestiture | $ - | $ - | $ 590,884 | $ - | $ 590,884 | ||||||
Assumption of liabilities in connection with business divestiture | $ 9,085 | $ - | $ - | $ 9,085 | $ - | ||||||
Holdbacks in connection with business divestiture | $ 7,199 | $ - | $ 2,425 | $ 7,199 | $ 2,425 | ||||||
Aged supplier financing balances reclassified from accounts payable to short-term debt | $ 18,933 | $ 5,000 | $ - | $ 23,933 | $ - | ||||||
1"Cash, cash equivalents, restricted cash and restricted cash equivalents" balance consisted of "cash and cash equivalents", "restricted cash and cash equivalents, current portion" and "restricted cash and cash equivalents, net of current portion" financial statement line items on the condensed consolidated balance sheets for the respective periods. | |||||||||||
2Amounts for the six months ended June 30, 2019 include the transition adjustment for the adoption of ASC 842 and new Right-of-Use ("ROU") asset additions. | |||||||||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures are useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provide investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analysis. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to legacy utility and power plant projects and construction revenue on solar service contracts, each of which is described below. In addition to the above adjustments, non-GAAP gross margin includes adjustments relating to legacy sale-leaseback transactions, business process improvement costs, gain/loss on sale and impairment of residential lease assets, cost of above-market polysilicon, litigation, stock-based compensation, amortization of intangible assets, and business reorganization costs, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to mark to market gain on equity investments, gain on business divestiture, impairment of property, plant, and equipment, transaction-related costs, non-cash interest expense, restructuring charges (credits), gain on convertible debt repurchased, tax effect of these non-GAAP adjustments, each of which is described below. In addition to the above adjustments, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total SE, our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total SE.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
(In thousands, except percentages and per share data) | ||||||||||
(Unaudited) | ||||||||||
Adjustments to Revenue: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28, | Jun. 30, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP revenue | $ 352,914 | $ 449,190 | $ 436,281 | $ 802,104 | $ 784,506 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | (207) | (23) | (207) | (194) | |||||
Other adjustments: | ||||||||||
Construction revenue on solar services contracts | - | 5,392 | 45,614 | 5,392 | 109,119 | |||||
Non-GAAP revenue | $ 352,914 | $ 454,375 | $ 481,872 | $ 807,289 | $ 893,431 | |||||
Adjustments to Gross Profit (Loss) / Margin: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28, | Jun. 30, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP gross profit (loss) | $ 21,598 | $ 37,448 | $ 19,800 | $ 59,046 | $ (17,485) | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | (34) | 884 | (34) | 1,000 | |||||
Legacy sale-leaseback transactions | - | 20 | (3,684) | 20 | (4,507) | |||||
Other adjustments: | ||||||||||
Business process improvement costs | 793 | 2,464 | - | 3,257 | - | |||||
Construction revenue on solar service contracts | - | 4,735 | 5,506 | 4,735 | 16,892 | |||||
Gain on sale and impairment of residential lease assets | (458) | (448) | (632) | (906) | (757) | |||||
Cost of above-market polysilicon | 9,569 | 10,043 | 25,950 | 19,612 | 75,378 | |||||
Litigation | - | (163) | - | (163) | - | |||||
Stock-based compensation expense | 1,175 | 1,109 | 1,133 | 2,284 | 1,301 | |||||
Amortization of intangible assets | 1,783 | 1,785 | 1,783 | 3,568 | 3,569 | |||||
Business reorganization costs | (7) | 5 | - | (2) | - | |||||
Non-GAAP gross profit | $ 34,453 | $ 56,964 | $ 50,740 | $ 91,417 | $ 75,391 | |||||
GAAP gross margin (%) | 6.1% | 8.3% | 4.5% | 7.4% | -2.2% | |||||
Non-GAAP gross margin (%) | 9.8% | 12.5% | 10.5% | 11.3% | 8.4% | |||||
Adjustments to Net income (loss): | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28, | Jun. 30, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP net income (loss) attributable to stockholders | $ 19,378 | $ (1,431) | $ 121,459 | $ 17,947 | $ 31,735 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | (34) | 884 | (34) | 1,000 | |||||
Legacy sale-leaseback transactions | - | 20 | 1,025 | 20 | 5,936 | |||||
Mark-to-market gain on equity investments | (71,060) | (47,871) | (67,500) | (118,931) | (100,500) | |||||
Other adjustments: | ||||||||||
Business process improvements costs | 793 | 2,464 | - | 3,257 | - | |||||
Construction revenue on solar services contracts | - | 4,735 | (6,398) | 4,735 | (10,138) | |||||
(Gain) loss on sale and impairment of residential lease assets | (317) | (722) | 15,554 | (1,039) | 23,867 | |||||
Cost of above-market polysilicon | 9,569 | 10,043 | 25,950 | 19,612 | 75,378 | |||||
Litigation | - | 321 | - | 321 | - | |||||
Stock-based compensation expense | 5,879 | 6,867 | 6,270 | 12,746 | 11,936 | |||||
Amortization of intangible assets | 1,784 | 1,786 | 1,783 | 3,570 | 3,569 | |||||
Gain on business divestiture | (10,529) | - | (137,286) | (10,529) | (143,400) | |||||
Transaction-related costs | 2,382 | 481 | 1,173 | 2,863 | 2,595 | |||||
Business reorganization costs | 2,861 | 6,193 | 4,156 | 9,054 | 6,805 | |||||
Non-cash interest expense | - | - | 10 | - | 20 | |||||
Restructuring charges | 1,259 | 1,576 | 2,453 | 2,835 | 1,788 | |||||
Gain on convertible debt repurchased | - | (2,956) | - | (2,956) | - | |||||
Tax effect | 822 | 1,247 | (669) | 2,068 | 849 | |||||
Non-GAAP net loss attributable to stockholders | $ (37,179) | $ (17,281) | $ (31,136) | $ (54,461) | $ (88,560) | |||||
Adjustments to Net income (loss) per diluted share: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28, | Jun. 30, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
Net income (loss) per diluted share | ||||||||||
Numerator: | ||||||||||
GAAP net income (loss) available to common stockholders1 | $ 19,378 | $ (1,431) | $ 121,459 | $ 17,947 | $ 31,735 | |||||
Add: Interest expense on 4.00% debenture due 2023, net of tax | - | - | 3,358 | - | - | |||||
Add: Interest expense on 0.875% debenture due 2021, net of tax | 535 | - | 691 | - | - | |||||
GAAP net income (loss) available to common stockholders1 | 19,913 | (1,431) | 125,508 | 17,947 | $ 31,735 | |||||
Non-GAAP net loss available to common stockholders1 | $ (37,179) | $ (17,281) | $ (31,136) | $ (54,461) | $ (88,560) | |||||
Denominator: | ||||||||||
GAAP weighted-average shares | 170,003 | 168,822 | 142,471 | 169,413 | 142,095 | |||||
Effect of dilutive securities: | ||||||||||
Restricted stock units | 1,765 | - | 2,241 | 1,558 | 967 | |||||
0.875% debentures due 2021 | 6,350 | - | 8,203 | - | - | |||||
4.00% debentures due 2023 | - | - | 13,922 | - | - | |||||
GAAP dilutive weighted-average common shares: | 178,118 | 168,822 | 166,837 | 170,971 | 143,062 | |||||
Non-GAAP weighted-average shares | 170,003 | 168,822 | 142,471 | 169,413 | 142,095 | |||||
Effect of dilutive securities: | ||||||||||
Non-GAAP dilutive weighted-average shares1 | 170,003 | 168,822 | 142,471 | 169,413 | 142,095 | |||||
GAAP net income (loss) per diluted share | $ 0.11 | $ (0.01) | $ 0.75 | $ 0.10 | $ 0.22 | |||||
Non-GAAP net loss per diluted share | $ (0.22) | $ (0.10) | $ (0.22) | $ (0.32) | $ (0.62) | |||||
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.875% and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||||||
Adjusted EBITDA: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 28, | Mar. 29, | Jun. 30, | Jun. 28, | Jun. 30, | ||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||
GAAP net income (loss) attributable to stockholders | $ 19,378 | $ (1,431) | $ 121,459 | $ 17,947 | $ 31,735 | |||||
Adjustments based on IFRS: | ||||||||||
Legacy utility and power plant projects | - | (34) | 884 | (34) | 1,000 | |||||
Legacy sale-leaseback transactions | - | 20 | 1,025 | 20 | 5,936 | |||||
Mark-to-market gain on equity investment | (71,060) | (47,871) | (67,500) | (118,931) | (100,500) | |||||
Other adjustments: | ||||||||||
Business process improvement costs | 793 | 2,464 | - | 3,257 | - | |||||
Construction revenue on solar services contracts | - | 4,735 | (6,398) | 4,735 | (10,138) | |||||
(Gain) loss on sale and impairment of residential lease assets | (317) | (722) | 15,554 | (1,039) | 23,867 | |||||
Cost of above-market polysilicon | 9,569 | 10,043 | 25,950 | 19,612 | 75,378 | |||||
Litigation | - | 321 | - | 321 | - | |||||
Stock-based compensation expense | 5,879 | 6,867 | 6,270 | 12,746 | 11,936 | |||||
Amortization of intangible assets | 1,784 | 1,786 | 1,783 | 3,570 | 3,569 | |||||
Gain on business divestiture | (10,529) | - | (137,286) | (10,529) | (143,400) | |||||
Transaction-related costs | 2,382 | 481 | 1,173 | 2,863 | 2,595 | |||||
Business reorganization costs | 2,861 | 6,193 | 4,156 | 9,054 | 6,805 | |||||
Non-cash interest expense | - | - | 10 | - | 20 | |||||
Restructuring charges (credits) | 1,259 | 1,576 | 2,453 | 2,835 | 1,788 | |||||
Gain on convertible debt repurchased | - | (2,956) | - | (2,956) | - | |||||
Cash interest expense, net of interest income | 10,030 | 10,133 | 11,148 | 20,163 | 21,354 | |||||
Provision for income taxes | 3,068 | 1,868 | 6,068 | 4,936 | 11,865 | |||||
Depreciation | 15,954 | 15,896 | 21,286 | 31,851 | 40,467 | |||||
Adjusted EBITDA | $ (8,949) | $ 9,369 | $ 8,035 | $ 421 | $ (15,723) | |||||
Q3 2020 GUIDANCE | |
(in thousands except percentages) | Q3 2020 |
Revenue (GAAP and non-GAAP) | $360,000-$400,000 |
Gross margin (GAAP) | 0% - 5% |
Gross margin (non-GAAP)1 | 0% - 6% |
Net loss (GAAP) | $(110,000)-$(95,000) |
Adjusted EBITDA2 | $(35,000)-$(20,000) |
SUPPLEMENTAL DATA
(In thousands, except percentages)
The following supplemental data represent the adjustments that are included or excluded from SunPower's non-GAAP revenue, gross profit/margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
SUNPOWER CORPORATION | |||||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | |||||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
June 28, 2020 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | (Gain)/loss on sale and impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 217,885 | $ 170,435 | $ (35,406) | $ 38,627 | 17.7% | $ (16,426) | -9.6% | $ (603) | $ 19,378 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (71,060) | - | (71,060) | |||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | (123) | 916 | - | - | - | - | - | - | - | - | 793 | |||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (458) | - | - | - | - | - | 141 | - | - | - | (317) | |||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 8,338 | 1,231 | - | - | - | - | - | - | - | 9,569 | |||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 471 | 704 | - | 631 | 4,073 | - | - | - | - | - | 5,879 | |||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | 1 | - | - | - | - | - | - | 1,784 | |||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (10,458) | (71) | - | (10,529) | |||||||||||||||||||||||
Business reorganization costs | - | - | - | 9 | (16) | - | 182 | 2,686 | - | - | - | - | - | 2,861 | |||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 2,382 | - | - | - | - | - | 2,382 | |||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 1,259 | - | - | - | - | 1,259 | |||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 822 | 822 | |||||||||||||||||||||||
Non-GAAP | $ 217,885 | $ 170,435 | $ (35,406) | $ 38,526 | 17.7% | $ (4,701) | -2.8% | $ 628 | $ (37,179) | ||||||||||||||||||||||||||||
- | |||||||||||||||||||||||||||||||||||||
March 29, 2020 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | (Gain)/loss on sale and impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 289,869 | $ 248,196 | $ (88,875) | $ 30,408 | 10.5% | $ (8,933) | -3.6% | $ 15,973 | $ (1,431) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (207) | - | - | (34) | - | - | - | - | - | - | - | - | (34) | |||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | 20 | - | - | - | - | - | - | - | - | - | 20 | |||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (47,871) | - | (47,871) | |||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 2,464 | - | - | - | - | - | - | - | - | 2,464 | |||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (448) | - | - | - | - | - | (274) | - | - | - | (722) | |||||||||||||||||||||||
Construction revenue on solar services contracts | 5,392 | - | - | 4,735 | - | - | - | - | - | - | - | - | - | 4,735 | |||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 17,253 | (7,210) | - | - | - | - | - | - | - | 10,043 | |||||||||||||||||||||||
Litigation | - | - | - | - | (163) | - | - | 485 | - | - | - | - | - | 321 | |||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 559 | 551 | - | 760 | 4,997 | - | - | - | - | - | 6,867 | |||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,785 | - | - | - | - | - | - | - | - | 1,785 | |||||||||||||||||||||||
Business reorganization costs | - | - | - | - | 5 | - | 513 | 5,676 | - | - | - | - | - | 6,194 | |||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 481 | - | - | - | - | - | 481 | |||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 1,576 | - | - | - | - | 1,576 | |||||||||||||||||||||||
Gain on convertible debt repurchased | - | - | - | - | - | - | - | - | - | - | - | (2,956) | - | (2,956) | |||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,247 | 1,247 | |||||||||||||||||||||||
Non-GAAP | $ 295,261 | $ 247,989 | $ (88,875) | $ 35,274 | 11.9% | $ 12,927 | 5.2% | $ 8,763 | $ (17,281) | ||||||||||||||||||||||||||||
June 30, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Gain (Loss) attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Loss on sale and impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 211,726 | $ 314,971 | $ (90,416) | $ 22,464 | 10.6% | $ (2,746) | -0.9% | $ 82 | $ 121,459 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (23) | - | - | 884 | - | - | - | - | - | - | - | - | - | 884 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (3,684) | - | - | - | - | - | - | - | 4,709 | - | - | 1,025 | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (67,500) | - | - | (67,500) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (632) | - | - | - | - | - | 16,728 | - | - | - | (542) | 15,554 | ||||||||||||||||||||||
Construction revenue on solar services contracts | 45,614 | - | - | 5,506 | - | - | - | - | - | - | - | - | - | (11,904) | (6,398) | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 23,875 | 2,075 | - | - | - | - | - | - | - | - | 25,950 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 460 | 673 | - | 879 | 4,258 | - | - | - | - | - | - | 6,270 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | - | 1,783 | ||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (137,286) | - | - | - | (137,286) | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 777 | 3,379 | - | - | - | - | - | - | 4,156 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,173 | - | - | - | - | - | - | 1,173 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 2,453 | - | - | - | - | - | 2,453 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (669) | - | (669) | ||||||||||||||||||||||
Non-GAAP | $ 257,340 | $ 314,948 | $ (90,416) | $ 24,114 | 9.4% | $ 24,469 | 7.8% | $ 2,157 | $ (31,136) | ||||||||||||||||||||||||||||
SIX MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
June 28, 2020 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | (Gain)/loss on sale and impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 507,754 | $ 418,631 | $ (124,281) | $ 69,034 | 13.6% | $ (25,359) | 20.4% | $ 15,370 | $ 17,947 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||
Legacy utility and power plant projects | - | (207) | - | - | (34) | - | - | - | - | - | - | - | - | (34) | |||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | 20 | - | - | - | - | - | - | - | - | - | 20 | |||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (118,931) | - | (118,931) | |||||||||||||||||||||||
Other adjustments: | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||
Business process improvement costs | - | - | - | (123) | 3,380 | - | - | - | - | - | - | - | - | 3,257 | |||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (906) | - | - | - | - | - | (133) | - | - | - | (1,039) | |||||||||||||||||||||||
Construction revenue on solar services contracts | 5,392 | - | - | 4,735 | - | - | - | - | - | - | - | - | - | 4,735 | |||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 25,591 | (5,979) | - | - | - | - | - | - | - | 19,612 | |||||||||||||||||||||||
Litigation | - | - | - | - | (163) | - | - | 485 | - | - | - | - | - | 321 | |||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,030 | 1,255 | - | 1,391 | 9,070 | - | - | - | - | - | 12,746 | |||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 3,568 | - | - | - | - | - | - | - | - | 3,568 | |||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (10,458) | (71) | - | (10,529) | |||||||||||||||||||||||
Business reorganization costs | - | - | - | 9 | (12) | - | 695 | 8,362 | - | - | - | - | - | 9,055 | |||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 2,863 | - | - | - | - | - | 2,863 | |||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 2,835 | - | - | - | - | 2,835 | |||||||||||||||||||||||
Gain on convertible debt repurchased | - | - | - | - | - | - | - | - | - | - | - | (2,956) | - | (2,956) | |||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 2,069 | 2,069 | |||||||||||||||||||||||
Non-GAAP | $ 513,146 | $ 418,424 | $ (124,281) | $ 73,799 | 14.4% | $ 8,226 | 2.0% | $ 9,391 | $ (54,461) | ||||||||||||||||||||||||||||
June 30, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Gain (Loss) attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | (Gain)/loss on sale and impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 389,947 | $ 545,775 | $ (151,216) | $ 29,607 | 7.6% | $ (54,810) | -10.0% | $ 7,718 | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ - | $ 31,735 | ||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (194) | - | 125 | 875 | - | - | - | - | - | - | - | - | - | 1,000 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (4,508) | 1 | - | - | - | - | - | - | 10,443 | - | - | 5,936 | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (100,500) | - | - | (100,500) | ||||||||||||||||||||||
Other adjustments: | - | ||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (757) | - | - | - | - | - | 25,954 | - | - | - | (1,330) | 23,867 | ||||||||||||||||||||||
Construction revenue on solar services contracts | 109,119 | - | - | 16,892 | - | - | - | - | - | - | - | - | - | (27,030) | (10,138) | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 73,303 | 2,075 | - | - | - | - | - | - | - | - | 75,378 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 628 | 673 | - | 1,472 | 9,163 | - | - | - | - | - | - | 11,936 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 3,569 | - | - | - | - | - | - | - | - | - | 3,569 | ||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (143,400) | - | - | - | (143,400) | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 777 | 6,028 | - | - | - | - | - | - | 6,805 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 2,595 | - | - | - | - | - | - | 2,595 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 20 | - | - | - | - | - | - | 20 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 1,788 | - | - | - | - | - | 1,788 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 849 | - | 849 | ||||||||||||||||||||||
Non-GAAP | $ 499,066 | $ 545,581 | $ (151,216) | $ 41,987 | 8.4% | $ 23,611 | 4.3% | $ 9,793 | $ (88,560) | ||||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
8/5/2020Maxeon Solar Technologies Form 20-F Registration Statement Declared Effective by SEC
Source: PR Newswire
SAN JOSE, Calif. and SINGAPORE, Aug. 4, 2020 /PRNewswire/ -- Maxeon Solar Technologies, Ltd., currently a wholly owned subsidiary of SunPower Corp. (NASDAQ:SPWR), announced today that its Registration Statement on Form 20-F has been declared effective by the U.S. Securities and Exchange Commission (SEC) in connection with the planned spin-off of the Maxeon business by SunPower.
"We are pleased to reach this significant milestone for both Maxeon and SunPower, with its straightforward rationale," said Tom Werner, CEO and chairman of the board. "Upon completion of the transaction, including a significant investment and the recent close of debt and bank financing, Maxeon's sufficient capital will allow it to rapidly expand its international manufacturing footprint and downstream footprint. For SunPower, it will become the leading North American distributed generation company with an installed base of more than 3.5 gigawatts. It can now leverage its asset-light model and significantly improve its return on invested capital, starting in the second half of this year."
On Aug. 26, 2020, the proposed distribution date for the spin-off, SunPower will distribute to holders of SunPower shares, as a pro-rata dividend, one Maxeon share for every eight SunPower shares held on close of business on Aug. 17, 2020, the record date for the spin-off. Maxeon shares are expected to commence trading on a standalone basis on the NASDAQ under the symbol "MAXN" on Aug. 27, 2020.
SunPower shareholders do not need to take any action to receive Maxeon shares to which they are entitled, and do not need to pay any consideration or surrender or exchange of SunPower shares. The distribution generally should not be taxable to SunPower shareholders for Singapore withholding and income tax and for U.S. federal income tax purposes.
In the event there are any changes to the record date or the distribution date, or new material information relating to the distribution of Maxeon shares becomes available, SunPower will publish any such changes or updates in a press release that will also be furnished with the SEC by SunPower on a Form 8-K and by Maxeon on a Form 6-K. In addition, SunPower will give at least 10 calendar days' notice of any changes to the record date to the NASDAQ in accordance with NASDAQ's requirements.
The registration statement filed with the SEC contains detailed information about Maxeon's operations, including its business strategy, financial condition, risk factors and conditions to the completion of the spin-off. The registration statement is available on the SEC's website at www.sec.gov.
About Maxeon Solar Technologies
Following the Maxeon spin-off, Maxeon will be one of the world's leading global manufacturers and marketers of premium solar power technology. Maxeon will continue the decades long SunPower technological innovation legacy and will operate an industry-leading sales and distribution channel across six continents. Headquartered in Singapore, Maxeon manufactures its solar cells in Malaysia and the Philippines, assembles solar cells into panels in France, Mexico and China (through its joint venture, Huansheng), and sells its products in over 100 countries.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spin-off of Maxeon's, including timing and certainty, the planned record and distribution dates, and anticipated tax treatment; our and Maxeon's anticipated competitive positioning and positioning for future success following the spin-off. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; regulatory changes and the availability of economic incentives promoting use of solar energy; and challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. In addition, the proposed and the associated investment in Maxeon may not be consummated within the anticipated period or at all and the ultimate results of any separation depend on a number of factors, including the development of final plans and the impact of local regulatory requirements. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, MAXEON and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
8/4/20207/23/2020 - Maxeon Launches Fifth-Generation Shingled Bifacial Solar Panels For Global Power Plant Market
Maxeon Launches Fifth-Generation Shingled Bifacial Solar Panels For Global Power Plant Market
Source: PR Newswire
SAN JOSE, Calif., July 23, 2020 /PRNewswire/ -- Maxeon Solar Technologies, the planned spin-off from SunPower Corp. (NASDAQ:SPWR), has raised the bar for the solar industry with its new line of bifacial SunPower® Performance 5 panels, the fifth-generation performance solar panels designed specifically for large-scale power plant applications. These panels represent the latest chapter in the company's legacy of shingled cell panel technology leadership that is now protected by more than 144 patents and patent applications. Performance 5 panels will be commercialized and begin delivery in the fourth quarter of 2020.
SunPower Performance 5 panels are engineered to meet the needs of large-scale, multi-megawatt solar power plants, and leverage the company's extensive experience in designing, developing, building and operating more than five gigawatts (GW) of solar power plants across the globe. Among the first products to utilize bifacial mono-PERC solar cells made on large format eight-inch G12 wafers, the new Performance 5 panels offer industry-leading efficiency of over 21 percent along with enhanced shade tolerance and unparalleled durability to reduce system lifetime energy cost. With power ratings of up to 625 watts, these high-power panels are uniquely suited for the needs of power plant developers, maximizing energy production within available space.
"SunPower has more than three decades of innovation, including a history in the power plant segment – from the pioneering 10 megawatt (MW) Bavaria Solar One Project in 2004 to the 349 MW Australia Limondale project in 2020," said Jeff Waters, CEO of Maxeon. "Our release of the new SunPower Performance 5 panels comes along with a renewed commitment to large-scale installations supported by significant manufacturing capacity scale-up of shingled cell panel technology by our Huansheng Photovoltaic (HSPV) joint venture in China. This expansion is highly capital efficient and will reinforce Maxeon's leadership and reach as a premier supplier of levelized cost of energy-optimized panels into the large, mainstream utility-scale markets."
Long-time partner and future Maxeon investor Tianjin Zhonghuan Semiconductor Co. (TZS) recently announced an ambitious expansion program for the HSPV joint venture, with the implementation of three GW "smart fabs" at sites in both Yixing and Tianjin. HSPV capacity is planned to be increased from two GW to eight GW by 2021, with the first new facility planned for full ramp by the end of 2020.
The new SunPower Performance 5 panel will be publicly introduced and showcased during the TaiyangNews virtual conference, "500 W+ Solar Modules - How to Boost PV Panel Power to the Next Level", on July 29 and 30. To learn more about SunPower Performance proven technology for Solar Power Plants and our latest technical innovations, please visit our website.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Maxeon Solar Technologies
Maxeon Solar Technologies is Powering Positive Change™. Headquartered in Singapore, Maxeon designs, manufactures and sells SunPower brand solar panels across more than 100 countries. Maxeon is the leader in solar innovation with access to over 900 patents and two best-in-class solar panel product lines. With operations in Africa, Asia, Oceania, Europe and the Americas, Maxeon Solar Technologies products span the global rooftop and solar power plant markets through a network of more than 1,100 trusted partners and distributors. Maxeon is the exclusive supplier of solar panels to California-based SunPower Corporation, from which it will be spun off in 2020. A pioneer in sustainable solar manufacturing, Maxeon leverages a 35-year history in the solar industry and numerous awards for its technology. For more information about how Maxeon Solar Technologies is Powering Positive Change™ visit maxeon.com.
Forward Looking Statements:
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our business plans and strategies, product commercialization plans, anticipated product performance and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, regulatory changes and the availability of economic incentives promoting use of solar energy, our ability to manage our joint venture and other strategic relationships, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/23/2020SunPower to Announce Second Quarter Results on Aug. 5, 2020
Source: PR Newswire
SAN JOSE, Calif., July 22, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its second-quarter 2020 financial results on a conference call, Wednesday, Aug. 5 at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on Aug. 5, 2020.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/22/2020Maxeon Solar Technologies Raises $200 Million in Green Convertible Senior Notes Offering and Secures $125 Million in Loans
Source: PR Newswire
SAN JOSE, Calif. and SINGAPORE, July 20, 2020 /PRNewswire/ -- Maxeon Solar Technologies, Ltd., currently a wholly owned subsidiary of SunPower Corp. (NASDAQ:SPWR), announced that it has issued $200 million in aggregate principal amount of its 6.50 percent green convertible senior notes due 2025. The company also announced its entry into term and working capital loan facilities with a borrowing capacity of $125 million with a syndicate of lenders.
"The strong investor and lender interest in our planned spin-off of Maxeon Solar Technologies from SunPower reinforces our strategy that the time is right for our planned transaction," said Tom Werner, SunPower CEO and chairman of the board. "This innovative convertible issuance and securing the borrowing capacity under the loan facilities were some of the final steps needed to complete this transaction, which we expect to close this quarter."
The $200 million in gross proceeds exceeded the amount of the initial offering as the purchasers exercised a $15 million overallotment option. Maxeon will receive approximately $151.7 million in net proceeds after funding a $40 million forward stock purchase transaction, discounts and commissions and estimated offering expenses. Maxeon's syndicated loan facilities include a $55 million term loan facility, $50 million working capital facility, and an additional $20 million term loan facility, each of which mature and are repayable in full on July 14, 2023.
About Maxeon Solar Technologies
Following the Maxeon spin-off, Maxeon will be one of the world's leading global manufacturers and marketers of premium solar power technology. Maxeon will continue the decades long SunPower technological innovation legacy and will operate an industry-leading sales and distribution channel across six continents. Headquartered in Singapore, Maxeon manufactures its solar cells in Malaysia and the Philippines, assembles solar cells into panels in France, Mexico and China (through its joint venture, Huansheng), and sells its products in over 100 countries.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spin-off of Maxeon and TZS's investment therein, including timing and certainty and the anticipated benefits of the transaction. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including regulatory, logistical, and other challenges that may arise, other closing conditions and approvals related to the transaction, and risks relating to Maxeon's business, including those described in Maxeon's registration statement on Form 20-F that is on file with the Securities and Exchange Commission (SEC). A detailed discussion of these factors and other risks that affect our business is included in filings we make with the SEC from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, MAXEON and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/20/2020Maxeon Solar Technologies to Host Virtual Capital Markets Event on July 16, 2020
Source: PR Newswire
SAN JOSE, Calif., July 13, 2020 /PRNewswire/ -- Maxeon Solar Technologies, the planned spinoff of SunPower Corp. (NASDAQ:SPWR) will host a virtual capital markets event at 9 am, Pacific, Thursday, July 16, 2020. It will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
Key members of Maxeon's leadership team including Jeff Waters, CEO and Joanne Solomon, CFO, will participate and address strategy, financials and competitive strengths. Maxeon will combine its leading global sales channel with pioneering solar innovation and capital-efficient manufacturing, marketing SunPower branded panels outside the US and Canada through its industry-leading network of more than 1,100 sales and installation partners.
As previously announced, Maxeon will list its shares on the NASDAQ under the symbol MAXN. SunPower anticipates closing the planned Maxeon spin-off during the third quarter of 2020.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spin-off of Maxeon, including timing and certainty, the anticipated benefits of the transaction, and our expectations for future financial and operational performance. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including regulatory, logistical, and other challenges that may arise, potential disruptions to our operations that may result from epidemics or natural disasters, including impacts of the COVID-19 pandemic, market conditions, including those related to COVID-19 and its effect on the financial markets and our ability to finalize the financing for the transaction, and other closing conditions and approvals related to the transaction. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, MAXEON and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/13/2020Maxeon Solar Technologies Prices $185 Million Green Convertible Senior Notes Offering
Source: PR Newswire
SAN JOSE, Calif. and SINGAPORE, July 10, 2020 /PRNewswire/ -- Maxeon Solar Technologies, Pte. Ltd. (Maxeon), currently a wholly owned subsidiary of SunPower Corp. (NASDAQ:SPWR), announced the pricing of an offering of $185,000,000 aggregate principal amount of its 6.50% green convertible senior notes due 2025 in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended, on July 9, 2020. The issuance and sale of the notes are scheduled to settle on July 17, 2020, subject to customary closing conditions. Maxeon also granted the initial purchasers of the notes an option to purchase, for settlement within a period of 13 days from, and including, the date notes are first issued, up to an additional $15,000,000 principal amount of notes.
The notes will be senior, unsecured obligations of Maxeon and will accrue regular interest at a rate of 6.50% per annum, payable semi-annually in arrears on January 15 and July 15 of each year, beginning on January 15, 2021. Additional interest may accrue on the notes in certain circumstances. The notes will mature on July 15, 2025, unless earlier repurchased, redeemed or converted.
When the notes are initially issued, they will not be convertible. If SunPower's previously announced proposed spin-off of Maxeon occurs within three months after the notes are first issued, and certain conditions relating to the physical delivery forward transaction described below are satisfied, then noteholders will have the right to convert their notes in certain circumstances and during specified periods. The initial conversion price will be established following the proposed spin-off, if it occurs, and will represent a premium of approximately 15.00% over the average of the volume-weighted average price per ordinary share of Maxeon over the note valuation period of 15 consecutive trading days beginning on, and including, the fifth trading day after the date on which Maxeon's ordinary shares are distributed to SunPower's common stockholders in the proposed spin-off and such ordinary shares begin to trade "regular way." However, the initial conversion price will not be less than approximately $4.60 per ordinary share of Maxeon. Maxeon will settle conversions by paying or delivering, as applicable, cash, ordinary shares of Maxeon or a combination of cash and ordinary shares of Maxeon, at Maxeon's election.
If the proposed spin-off does not occur within three months after the notes are first issued, if Maxeon determines on any earlier date that it will not consummate the proposed spin-off, or if certain conditions relating to the physical delivery forward transaction described below are not satisfied by November 16, 2020, then Maxeon will be required to redeem all outstanding notes at a cash redemption price equal to 101% of their principal amount, plus accrued and unpaid interest, if any. The notes will be also redeemable, in whole or in part, at a cash redemption price equal to their principal amount, plus accrued and unpaid interest, if any, at Maxeon's option at any time, and from time to time, on or after July 17, 2023 and on or before the 60th scheduled trading day immediately before the maturity date, but only if the last reported sale price per ordinary share of Maxeon exceeds 130% of the conversion price for a specified period of time. In addition, the notes will be redeemable, in whole and not in part, at a cash redemption price equal to their principal amount, plus accrued and unpaid interest, if any, at Maxeon's option in connection with certain changes in tax law. If a fundamental change, as defined in the indenture for the notes, occurs, then noteholders may require Maxeon to repurchase their notes for cash. The repurchase price will be equal to the principal amount of the notes to be repurchased, plus accrued and unpaid interest, if any, to, but excluding, the applicable repurchase date.
The gross proceeds of the offering will be deposited into an escrow account until consummation of the proposed spin-off. Maxeon estimates that the net proceeds from the offering will be approximately $177.2 million (or approximately $191.7 million if the initial purchasers fully exercise their option to purchase additional notes), after deducting the initial purchasers' discounts and commissions and estimated offering expenses. If the proposed spin-off is consummated, Maxeon intends to use a portion of the net proceeds from the offering to:
If the proposed spin-off is not consummated, Maxeon intends to use the net proceeds from the offering, together with existing cash on hand, to fund the mandatory redemption of the notes, as described above. Maxeon intends to allocate an amount equal to the net proceeds to finance or refinance, in whole or in part, existing and new projects meeting specified eligibility criteria related to environmental impact.
In connection with the issuance of the notes, Maxeon intends to enter into:
Both of the prepaid forward transaction and the physical delivery forward transaction will become effective on the first day of the note valuation period.
The number of ordinary shares of Maxeon to be repurchased under the prepaid forward transaction will be determined based on the arithmetic average of the volume-weighted average prices per ordinary share of Maxeon over the note valuation period, subject to a floor and Maxeon will prepay the forward purchase price in cash using a portion of the net proceeds from the offering of the notes. Under the terms of the prepaid forward transaction, Maxeon expects that the prepaid forward counterparty will be obligated to deliver the number of ordinary shares of Maxeon underlying the transaction to Maxeon, or pay cash to the extent Maxeon fails to provide to prepaid forward counterparty evidence of a valid shareholder authorization, on or around the maturity date of the notes, subject to the ability of the prepaid forward counterparty to elect to settle all or a portion of the transaction early.
The number of ordinary shares of Maxeon underlying the physical delivery forward transaction will be approximately $60 million worth of ordinary shares of Maxeon to be issued and sold by Maxeon to one or more of the initial purchasers or their affiliates, the underwriters, to be sold during the note valuation period in a registered offering off of Maxeon's registration statement on Form F-3 to be filed with the Securities and Exchange Commission at prevailing market prices at the time of sale or at negotiated prices. The underwriters will receive all of the proceeds from the sale of such ordinary shares of Maxeon. Maxeon will not receive any proceeds from the sale of such ordinary shares of Maxeon. The offering of ordinary shares of Maxeon in connection with the physical delivery forward transaction is contingent upon the consummation of the offering of notes.
The forward transactions are generally expected to facilitate privately negotiated derivative transactions that purchasers of the notes may enter into with the forward counterparties or their affiliates, including swaps, relating to ordinary shares of Maxeon by which purchasers of the notes will establish short positions relating to ordinary shares of Maxeon in order to hedge their investments in the notes.
While the sales of ordinary shares of Maxeon during the note valuation period in a registered offering would decrease the market price of ordinary shares of Maxeon, the entry into the forward transactions and the entry by the forward counterparties into derivative transactions in respect of ordinary shares of Maxeon with the purchasers of the notes could have the effect of increasing, or reducing the size of any decrease in, the price of ordinary shares of Maxeon during and/or shortly after, the note valuation period.
Neither Maxeon nor the forward counterparties will control how such purchasers of notes may use such derivative transactions. In addition, such purchasers may enter into other transactions relating to ordinary shares of Maxeon or the notes in connection with or in addition to such derivative transactions, including the purchase or sale of ordinary shares of Maxeon. As a result, the existence of the forward transactions, such derivative transactions and any related market activity could cause more purchases or sales of ordinary shares of Maxeon over the term of the forward transactions than there otherwise would have been had Maxeon not entered into the forward transactions, and such purchases or sales could potentially increase (or reduce the size of any decrease in) or decrease (or reduce the size of any increase in) the market price of ordinary shares of Maxeon and/or the trading prices of the notes.
In addition, in connection with the settlement or unwind of the forward transactions, the forward counterparties may purchase ordinary shares of Maxeon, and such purchases may have the effect of increasing, or preventing a decline in, the market price of ordinary shares of Maxeon.
The effect, if any, of any of these transactions and activities on the market price of ordinary shares of Maxeon or the notes will depend in part on market conditions and cannot be ascertained at this time, but any of these activities could adversely affect the value of ordinary shares of Maxeon, which could affect the value of the notes, the value of ordinary shares of Maxeon, if any, holders of notes would receive upon conversion of the notes and noteholder's ability to convert the notes.
The offer and sale of the notes and any ordinary shares of Maxeon issuable upon conversion of the notes have not been, and will not be, registered under the Securities Act or any other securities laws, and the notes and any such ordinary shares cannot be offered or sold except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and any other applicable securities laws. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, the notes or any ordinary shares issuable upon conversion of the notes, nor will there be any sale of the notes or any such ordinary shares, in any state or other jurisdiction in which such offer, sale or solicitation would be unlawful.
About Maxeon Solar Technologies
Following the Maxeon spin-off, Maxeon will be one of the world's leading global manufacturers and marketers of premium solar power technology. Maxeon will continue the decades long SunPower technological innovation legacy and will operate an industry-leading sales and distribution channel across six continents. Headquartered in Singapore, Maxeon manufactures its solar cells in Malaysia and the Philippines, assembles solar cells into panels in France, Mexico and China (through its joint venture, Huansheng), and sells its products in over 100 countries.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America.
Forward Looking Statements
This press release includes forward-looking statements, including statements regarding the completion of the offering and the proposed spin-off, the expected amount and intended use and allocation of the net proceeds and the effects of entering into the prepaid forward transaction and the physical delivery forward transaction described above. Forward-looking statements represent Maxeon's current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Among those risks and uncertainties are market conditions, the satisfaction of the closing conditions related to the offering and risks relating to Maxeon's business, including those described in Maxeon's registration statement on Form 20-F that is on file with the SEC. Maxeon may not consummate the offering described in this press release and, if the offering is consummated, cannot provide any assurances that the proposed spin-off will be consummated as currently contemplated or regarding its ability to effectively apply the net proceeds as described above. The forward-looking statements included in this press release speak only as of the date of this press release, and Maxeon does not undertake to update the statements included in this press release for subsequent developments, except as may be required by law.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, MAXEON and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/10/2020Maxeon Solar Technologies Announces Proposed Green Convertible Senior Notes Offering
Source: PR Newswire
SAN JOSE, Calif. and SINGAPORE, July 9, 2020 /PRNewswire/ -- Maxeon Solar Technologies Pte. Ltd. (Maxeon), currently a wholly owned subsidiary of SunPower Corp. (NASDAQ:SPWR), today announced a proposed offering, subject to market and other conditions, of $175,000,000 aggregate principal amount of its green convertible senior notes due 2025 in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended. Maxeon also expects to grant the initial purchasers of the notes an option to purchase, for settlement within a period of 13 days from, and including, the date notes are first issued, up to an additional $26,250,000 principal amount of notes.
The notes will be senior, unsecured obligations of Maxeon, will accrue interest payable semi-annually in arrears and will mature on July 15, 2025, unless earlier repurchased, redeemed or converted. When the notes are initially issued, they will not be convertible. If SunPower's previously announced proposed spin-off of Maxeon occurs within three months after the notes are first issued, and certain conditions relating to the physical delivery forward transaction described below are satisfied, then noteholders will have the right to convert their notes in certain circumstances and during specified periods. Maxeon will settle conversions by paying or delivering, as applicable, cash, ordinary shares of Maxeon or a combination of cash and ordinary shares of Maxeon, at Maxeon's election. The initial conversion rate will be determined by reference to the average of the volume-weighted average price per ordinary share of Maxeon over the note valuation period of 15 consecutive trading days beginning on, and including, the fifth trading day after the date on which Maxeon's ordinary shares are distributed to SunPower's common stockholders in the proposed spin-off, if it occurs, and such ordinary shares begin to trade "regular way."
If the proposed spin-off does not occur within three months after the notes are first issued, if Maxeon determines on any earlier date that it will not consummate the proposed spin-off, or if certain conditions relating to the physical delivery forward transaction described below are not satisfied by November 16, 2020, then Maxeon will be required to redeem all outstanding notes at a cash redemption price equal to 101% of their principal amount, plus accrued and unpaid interest, if any. The notes will be also redeemable, in whole or in part, at a cash redemption price equal to their principal amount, plus accrued and unpaid interest, if any, at Maxeon's option at any time, and from time to time, on or after July 17, 2023 and on or before the 60th scheduled trading day immediately before the maturity date, but only if the last reported sale price per ordinary share of Maxeon exceeds 130% of the conversion price for a specified period of time. In addition, the notes will be redeemable, in whole and not in part, at a cash redemption price equal to their principal amount, plus accrued and unpaid interest, if any, at Maxeon's option in connection with certain changes in tax law. The interest rate, the initial conversion premium and other terms of the notes will be determined at the pricing of the offering.
The gross proceeds of the offering will be deposited into an escrow account until consummation of the proposed spin-off. If the proposed spin-off is consummated, Maxeon intends to use a portion of the net proceeds from the offering to:
Maxeon intends to allocate an amount equal to the net proceeds to finance or refinance, in whole or in part, existing and new projects meeting specified eligibility criteria related to environmental impact.
In connection with the issuance of the notes, Maxeon intends to enter into:
Both of the prepaid forward transaction and the physical delivery forward transaction will become effective on the first day of the note valuation period.
The number of ordinary shares of Maxeon to be repurchased under the prepaid forward transaction will be determined based on the arithmetic average of the volume-weighted average prices per ordinary share of Maxeon over the note valuation period, subject to a floor and Maxeon will prepay the forward purchase price in cash using a portion of the net proceeds from the proposed offering of the notes. Under the terms of the prepaid forward transaction, Maxeon expects that the prepaid forward counterparty will be obligated to deliver the number of ordinary shares of Maxeon underlying the transaction to Maxeon, or pay cash to the extent Maxeon fails to provide to prepaid forward counterparty evidence of a valid shareholder authorization, on or around the maturity date of the notes, subject to the ability of the prepaid forward counterparty to elect to settle all or a portion of the transaction early.
The number of ordinary shares of Maxeon underlying the physical delivery forward transaction will be approximately $50 million worth of ordinary shares of Maxeon to be issued and sold by Maxeon to one or more of the initial purchasers or their affiliates, the underwriters, to be sold during the note valuation period in a registered offering off of Maxeon's registration statement on Form F-3 to be filed with the Securities and Exchange Commission at prevailing market prices at the time of sale or at negotiated prices. The underwriters will receive all of the proceeds from the sale of such ordinary shares of Maxeon. Maxeon will not receive any proceeds from the sale of such ordinary shares of Maxeon. The offering of ordinary shares of Maxeon in connection with the physical delivery forward transaction is contingent upon the consummation of the proposed offering of notes.
The forward transactions are generally expected to facilitate privately negotiated derivative transactions that purchasers of the notes may enter into with the forward counterparties or their affiliates, including swaps, relating to ordinary shares of Maxeon by which purchasers of the notes will establish short positions relating to ordinary shares of Maxeon in order to hedge their investments in the notes.
While the sales of ordinary shares of Maxeon during the note valuation period in a registered offering would decrease the market price of ordinary shares of Maxeon, the entry into the forward transactions and the entry by the forward counterparties into derivative transactions in respect of ordinary shares of Maxeon with the purchasers of the notes could have the effect of increasing, or reducing the size of any decrease in, the price of ordinary shares of Maxeon during and/or shortly after, the note valuation period.
Neither Maxeon nor the forward counterparties will control how such purchasers of notes may use such derivative transactions. In addition, such purchasers may enter into other transactions relating to ordinary shares of Maxeon or the notes in connection with or in addition to such derivative transactions, including the purchase or sale of ordinary shares of Maxeon. As a result, the existence of the forward transactions, such derivative transactions and any related market activity could cause more purchases or sales of ordinary shares of Maxeon over the term of the forward transactions than there otherwise would have been had Maxeon not entered into the forward transactions, and such purchases or sales could potentially increase (or reduce the size of any decrease in) or decrease (or reduce the size of any increase in) the market price of ordinary shares of Maxeon and/or the trading prices of the notes.
In addition, in connection with the settlement or unwind of the forward transactions, the forward counterparties may purchase ordinary shares of Maxeon, and such purchases may have the effect of increasing, or preventing a decline in, the market price of ordinary shares of Maxeon.
The effect, if any, of any of these transactions and activities on the market price of ordinary shares of Maxeon or the notes will depend in part on market conditions and cannot be ascertained at this time, but any of these activities could adversely affect the value of ordinary shares of Maxeon, which could affect the value of the notes, the value of ordinary shares of Maxeon, if any, holders of notes would receive upon conversion of the notes and noteholder's ability to convert the notes.
The offer and sale of the notes and any ordinary shares of Maxeon issuable upon conversion of the notes have not been, and will not be, registered under the Securities Act or any other securities laws, and the notes and any such ordinary shares cannot be offered or sold except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and any other applicable securities laws. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, the notes or any ordinary shares issuable upon conversion of the notes, nor will there be any sale of the notes or any such ordinary shares, in any state or other jurisdiction in which such offer, sale or solicitation would be unlawful.
About Maxeon Solar Technologies
Following the Maxeon spin-off, Maxeon will be one of the world's leading global manufacturers and marketers of premium solar power technology. Maxeon will continue the decades long SunPower technological innovation legacy and will operate an industry-leading sales and distribution channel across six continents. Headquartered in Singapore, Maxeon manufactures its solar cells in Malaysia and the Philippines, assembles solar cells into panels in France, Mexico and China (through its joint venture, Huansheng), and sells its products in over 100 countries.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America.
Forward Looking Statements
This press release includes forward-looking statements, including statements regarding the anticipated terms of the notes being offered, the completion, timing and size of the proposed offering and the proposed spin-off, the intended use and allocation of the proceeds and the anticipated terms of, and the effects of entering into, the prepaid forward transaction and the physical delivery forward transaction described above. Forward-looking statements represent Maxeon's current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Among those risks and uncertainties are market conditions, including market interest rates, the perceived value of Maxeon's ordinary shares and risks relating to Maxeon's business, including those described in Maxeon's registration statement on Form 20-F that is on file with the SEC. Maxeon may not consummate the proposed offering described in this press release and, if the proposed offering is consummated, cannot provide any assurances that the proposed spin-off will be consummated as currently contemplated or regarding the final terms of the offer or the notes or its ability to effectively apply the net proceeds as described above. The forward-looking statements included in this press release speak only as of the date of this press release, and Maxeon does not undertake to update the statements included in this press release for subsequent developments, except as may be required by law.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, MAXEON and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/9/2020Powerhouse Brattørkaia Wins 2020 Smarter E Award in "Outstanding Projects" Category
Source: PR Newswire
SAN JOSE, Calif., July 3, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) received the prestigious Smarter E-Award in the "Outstanding Projects" category in recognition of Powerhouse Brattørkaia, an 18,580-square-metre energy-positive future-proof office building located in Trondheim, Norway. SunPower supplied its high-efficiency Maxeon® solar panels for the project.
Powerhouse Brattørkaia is the world's northernmost energy-positive building. This means it is designed to generate more energy than it will consume in its lifetime, from the production of building materials, construction, operation and management, to its eventual disposal. The excess clean solar energy - more than twice what the building needs for its own use annually - goes to a local micro-grid to power neighboring buildings, e-buses, cars and the nearby port's ferry system.
Powerhouse Brattørkaia is the result of a collaborative effort. Entra, an environmental leader in the real estate industry, owns and manages the property, while the international architecture firm Snohetta designed the building. Global green builder Skanska performed general contracting services, while Solcellespesialisten is Norway's total supplier of photovoltaic systems which designed and installed the rooftop solar array. SunPower supplied its high-efficiency SunPower Maxeon solar panels, which pair maximum power with unique sustainability standards like Declare Label, providing material transparency.
"The Intersolar Smarter E-Award is an important industry recognition, and we are very proud that this win for the whole team, will bring focus to Powerhouse Brattørkaia, truly a building of the future." said Jeff Waters, CEO of SunPower Technologies and soon to be CEO of Maxeon Solar Technologies when it splits from SunPower. "It's our honor to provide advanced solar technology that gives customers everywhere the power the make a positive impact on the world."
Powerhouse Brattørkaia received the BREEAM Outstanding certification, the highest possible ranking by the world's leading sustainability assessment method for an asset's environmental, social and economic sustainability performance. Its solutions support the UNFCCC Paris Agreement that pursues efforts to limit the global temperature increase to 1.5 degrees Celsius. It also sets an example for responsibly constructing homes and office spaces for a renewable energy future. A location so far north required an integrated architectural solution to harvesting solar energy as the angles vary greatly across days and seasons, and panels work most efficiently at 90 degrees to the sun. The building's steep rooftop angle was designed specifically to optimize for solar production, making the most out of the 1,157 SunPower Maxeon 3 solar panels, strategically placed to harvest as much solar energy as possible.
"This award is a testament to our talented team who delivers innovative world-class solutions to drive the energy transition forward." commented Helene Bøe Tømmerbakke, Project leader for Solcellespesialisten. "Since Powerhouse Brattørkaia must produce more than twice as much electricity as it consumes in a year, we chose SunPower Maxeon panels, which generate more energy in a given space than any commercially available panel. We also had to use products that had documentation showing how much energy is embedded in sourcing and manufacturing. The Declare Label showed a commitment to transparency that was important to our choice."
To learn more about the Powerhouse Brattørkaia, two blog articles are available on the SunPower global blog site.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and MAXEON are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/3/2020Maxeon Solar Technologies Files Initial Form 20-F Registration Statement as Part of Planned Spinoff from SunPower
Source: PR Newswire
SAN JOSE, Calif., July 2, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced that its planned spin-off, Maxeon Solar Technologies, filed an initial Form 20-F registration statement with the U.S. Securities and Exchange Commission (SEC). The form includes a detailed business overview with strategy, financials and competitive strengths relating to Maxeon Solar and the spin-off.
SunPower first announced its plans to spin off the international portion of its technologies business last November, allowing each business to focus on distinct regions and areas of the solar value chain, accelerating growth and profitability:
"This filing is a key milestone and another important step toward splitting off Maxeon Solar as a separate company," said Tom Werner, SunPower CEO and chairman of the board. "As we progress toward the separation, we are confident in the potential of SunPower and Maxeon Solar as distinct companies, capitalizing on significant growth opportunities and concentrating resources on their respective businesses and strategic priorities."
"The Maxeon team is very motivated by the prospect of creating a new and innovative company that combines our best in class technology and unique sales channels in over 100 markets," said Jeff Waters, CEO of SunPower Technologies and soon-to-be CEO of Maxeon Solar. "We look forward to the future, and we will work hard to reward our new shareholders by creating a business with high growth and sustainable profitability."
SunPower anticipates closing the planned spin-off of Maxeon Solar during the third quarter of 2020. In May, Maxeon Solar's future investor and long-time partner Tianjin Zhonghuan Semiconductor Co. (TZS) received necessary regulatory approval from the China State Administration for Market Regulation.
A copy of the initial Form 20-F will be available at www.sec.gov. The information in the initial Form 20-F is not final and remains subject to change.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spin-off of Maxeon Solar and TZS's investment therein, including timing and certainty, the anticipated benefits of the transaction, and our expectations for future financial and operational performance and the creation of shareholder value. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including regulatory, logistical, and other challenges that may arise, potential disruptions to our operations that may result from epidemics or natural disasters, including impacts of the COVID-19 pandemic, market conditions, including those related to COVID-19 and its effect on the financial markets and our ability to finalize the financing for the transaction, and other closing conditions and approvals related to the transaction. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, MAXEON and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/2/2020SunPower Provides Update on Planned Spin-Off of Maxeon Solar Technologies
Source: PR Newswire
SAN JOSE, Calif., June 16, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced that it anticipates closing the planned spin-off of Maxeon Solar Technologies during the third quarter 2020. The company also reiterated its second quarter 2020 guidance due to continued improvements in its U.S. and international Distributed Generation (DG) business.
"We've made significant progress over the past several months to create and define our two independent pure play, publicly-traded companies, including Tianjin Zhonghuan Semiconductor Co. (TZS) receiving the necessary regulatory approvals to make its Maxeon Solar investment," said Tom Werner, SunPower CEO and chairman of the board. "Given the global pandemic, we've experienced some delays in finalizing financing for the transaction, but anticipate closing during the third quarter. We're well-positioned for the second half with new innovative products, as well as benefitting from our online and digital investments in our U.S. DG business."
The company announced last November that it planned to separate into SunPower and Maxeon Solar Technologies. Concurrent with the closing of the transaction, an equity investment of $298 million will be made in Maxeon Solar by TZS, a premier global supplier of silicon wafers.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spin-off of Maxeon Solar and TZS's investment therein, including timing and certainty, the ability to secure adequate financing for the transaction, the anticipated benefits of the transaction, and our positioning and guidance for the second half of the year. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including regulatory, logistical, and other challenges that may arise, potential disruptions to our operations that may result from epidemics or natural disasters, including impacts of the Covid-19 pandemic, our ability to reach agreement as to an extension of the time to close the transaction, if required, market conditions, including those related to Covid-19 and its effect on the financial markets and our ability to finalize the financing for the transaction, and other closing conditions and approvals related to the transaction. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER EQUINOX are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/16/2020SunPower Announces Exclusive $1,000 Rebate for Veterans and Active Duty Military
Source: PR Newswire
SAN JOSE, Calif., May 21, 2020 /PRNewswire/ -- In honor of Memorial Day, SunPower (NASDAQ:SPWR) is now offering an ongoing exclusive $1,000 home solar VISA Reward Card Rebate¹ for veterans and active duty military.
This exclusive offer for current and former members of all branches of the U.S. military is a way to serve those who've dedicated their lives to serving our country. The veteran solar program also supports SunPower's commitment to change the way our world is powered by making solar more affordable and accessible for everyone.
By going solar with SunPower, homeowners get access to the most powerful and efficient solar panels available, all backed by the industry's most comprehensive 25-year warranty. And by making the switch to solar in 2020, veterans and active military homeowners can reduce or even eliminate their monthly electric bill and may also qualify for the 26 percent federal tax credit on solar purchases.
Supporting Our Military
SunPower is honored to continue supporting the United States Military. The company has a long history of working with government and armed services throughout the years. Through its commercial solar business, SunPower installed a 28-megawatt solar system at Vandenberg Airforce Base in 2017, and a 10-megawatt solar and storage solution at the U.S. Army's Redstone Arsenal in 2018, to name a couple. The veteran rebate program is a way to continue the company's longstanding military support by extending an exclusive offer through its industry-leading residential business.
Shopping for Solar From Home
Homeowners have multiple ways to quickly and easily learn about SunPower® solar through innovative digital options without leaving the comfort of their homes. SunPower Design Studio can be accessed from a mobile device or computer, allowing homeowners to enter their address and estimated monthly electric bill into a special web app. And operational since last summer, SunPower's online energy consultants work with new customers to provide a 100 percent virtual experience from initial consultation through contract signing.
Solar Channel Business
SunPower's U.S. residential business saw annual deployments grow more than 25 percent in Q1 year-over-year, bringing the total number of American homes with SunPower solar to over 319,000. The company's commercial business maintained its market share lead and has increased installation volume year over year.
SunPower also:
Homeowners can start a free home solar savings estimate today or visit www.sunpower.com to learn more about SunPower's complete residential solar solutions.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected cost savings and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
1 Rebate Terms: Before offer rebate costs will vary, depending on system specifications. Check with your SunPower installation contractor to confirm participation with this offer. Customer must provide military photo ID at time of solar consultation. This offer is only available to customers who purchase a new, complete SunPower system, excluding customers who purchase a new home with existing solar installed. Rebate may not be applied to quotes on existing proposals or past purchases. Cannot be combined with other offers. Rebate form at sunpowerrebate.com must be completed and submitted to SunPower with required documentation within 90 days of the final invoice date. Allow 3-7 weeks for processing. Late submissions or those submitted without proper documentation and signatures will be subject to delay or cancellation. Void where prohibited. Reward Card: SunPower Visa Reward Card issued by MetaBank, Member FDIC, pursuant to a license from Visa U.S.A. Inc. Reward Card expires six months from the date of issuance. Reward Card is subject to MetaBank's terms, restrictions, and conditions, available at: https://www.giftcards.com/terms. The Reward Card is not redeemable for cash. This promotion is not sponsored by or endorsed by MetaBank or Visa.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER EQUINOX are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
5/21/2020SunPower's Planned Maxeon Solar Technologies Spin-Off Receives Key Regulatory Approval
Source: PR Newswire
SAN JOSE, Calif., May 15, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced that its planned company split into two independent, pure-play solar companies took an important step forward when Maxeon Solar Technologies' future investor and long-time partner Tianjin Zhonghuan Semiconductor Co. (TZS), received necessary regulatory approval from China's State Administration for Market Regulation.
SunPower announced last November that it planned to separate into SunPower and Maxeon Solar. Each company will focus on distinct offerings built on extensive experience across the solar value chain.
Concurrent with the transaction, an equity investment of $298 million will be made in Maxeon Solar by TZS, a premier global supplier of silicon wafers.
"Today's announcement puts us one step closer toward creating two independent, pure play, publicly-traded companies," said Tom Werner, president and CEO of SunPower. "Our planned transaction will allow for each company to focus on their core strengths in their respective markets around the world."
The planned company split is expected to be completed by the end of the second quarter, pending signing of financial facilities. Maxeon Solar is planning to host a Capital Markets Day prior to the close of the transaction.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spin-off of Maxeon Solar and TZS's investment therein, including timing and certainty, and the anticipated benefits of the transaction. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including regulatory, logistical, and other challenges that may arise, and potential disruptions to our operations that may result from epidemics or natural disasters, including impacts of the Covid-19 pandemic. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
5/15/20205/7/2020 - SunPower Reports First Quarter 2020 Results
SunPower Reports First Quarter 2020 Results
Source: PR Newswire
SAN JOSE, Calif., May 7, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its first quarter ended March 29, 2020.
First Quarter Company Highlights
($ Millions, except percentages and per-share data) | 1st Quarter 2020 | 4th Quarter 2019 | 1st Quarter 2019 |
GAAP revenue | $449.2 | $603.8 | $348.2 |
GAAP gross margin | 8.3% | 15.8% | (10.7)% |
GAAP net income (loss) | $(1.4) | $5.4 | $(89.7) |
GAAP net income (loss) per diluted share | $(0.01) | $0.03 | $(0.63) |
Non-GAAP revenue1 | $454.4 | $607.0 | $411.6 |
Non-GAAP gross margin1 | 12.5% | 20.8% | 6.0% |
Non-GAAP net income (loss)1 | $(17.3) | $35.8 | $(57.4) |
Non-GAAP net income (loss) per diluted share1 | $(0.10) | $0.23 | $(0.41) |
Adjusted EBITDA1 | $9.4 | $71.5 | $(23.8) |
MW Recognized | 538 | 707 | 455 |
Cash2 | $205.5 | $423.0 | $185.6 |
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
2Includes cash, and cash equivalents, excluding restricted cash |
First Quarter 2020 Results
"We had a strong start to the year, exceeding our margin and adjusted EBITDA guidance driven by strong global DG demand and outperformance by our U.S. channels business," said Tom Werner, SunPower CEO and chairman of the board. "However, we have seen a material impact across the industry and our business, caused by the COVID-19 virus pandemic during the second quarter. Our primary focus during this disruption remains on the safety and well-being of our employees, working closely with our partners and maintaining our industry leading customer service levels. Despite the disruption, our fundamentals remain strong and we believe that our differentiated business model, rigorous prioritization of cost containment and continued investment will position the company well post-pandemic."
"Looking forward, we remain very confident in the significant longer term growth opportunity in solar and our investment priorities are consistent with this potential. These investments include our next generation Maxeon technology, Equinox and Helix storage solutions and our digital initiatives. We have also instituted a number of programs that we expect to result in cost and cash savings of up to $100 million in 2020. Finally, we expect to complete our planned company split into two, independently focused, pure-play solar companies by the end of the second quarter pending closing conditions. With further investment in our industry-leading technology and initiatives in place to strengthen our balance sheet, we remain focused on emerging from the current disruption in a much stronger competitive position."
SunPower Energy Services (SPES)
"Our channels business had a strong quarter and outperformed on both revenue and installation volume, with deployments up over 50 percent year over year. We further expanded our leadership in new homes with bookings doubling year over year and a growing pipeline of new opportunities. We have seen strong support from our financing partners and remain comfortable with our tax equity and project debt capacity for the balance of the year. Additionally, we recently announced that we have joined forces with Technology Credit Union to fund up to $1 billion in residential solar loans over the next four years. However, we are seeing some softness in the second quarter. Strategically, we have been moving our residential business to a robust digital platform for more than a year. This put us in a strong position to transition our channel rapidly and comprehensively to a virtual sales model when the COVID-19 disruption began. Our transition to digital included expanding customer and dealer adoption of our proprietary digital Design Studio and mySunPower applications that streamline the sales process and improve customer experience. As a result of these efforts, more than 95 percent of our residential sales are now occurring online with little to no customer contact. We believe that our industry leading digital platforms are helping our channel mitigate demand softness in the second quarter."
"In Commercial Direct, we maintained our leading market share, with increased year on year installation volume. We are beginning to see the benefits of our recent restructuring and expect our commercial direct business to return to profitability in the second half of this year. Our origination teams performed well and we now have 90 percent of our 2020 forecast in backlog. Demand for our Helix Storage solution remains strong with a pipeline exceeding $320 million and attach rates in excess of 30 percent. In particular, we are seeing significant traction for storage in California's innovative Self-Generation Incentive Program (SGIP), driven by strong customer interest in resiliency."
SunPower Technologies (SPT)
"SPT, the international portion of which will soon be Maxeon Solar Technologies, posted a solid quarter, with year on year shipment growth of 29 percent. Demand growth in DG markets was particularly strong, with DG shipments up 60 percent compared to the first quarter of 2019 and comprising 70 percent of total SPT shipments. While we were impacted by both supply and demand phases of COVID-19 related disruption during the quarter, our supply chain and operations teams were able to achieve record volume shipments and meet our customer's needs. However, while our first quarter performance was strong, we are experiencing a material impact in our results in the second quarter due to the pandemic. Our Performance-Series joint venture is now back to full production with the balance of our manufacturing facilities in operation. We expect our remaining facilities to resume production in the coming weeks and expect to have sufficient existing inventory to meet our commitments for the second quarter," Werner concluded.
Consolidated Financials
"Our first quarter performance reflected the strength of our DG market model as well as the early and rapid response to the COVID-19 disruption, including the implementation of our proactive cost control initiatives," said Manavendra Sial, SunPower chief financial officer. "Also, we continued to reduce the leverage of the company as we retired approximately $90 million of convertible debt during the quarter. Additionally, we have implemented a number of initiatives that will result in savings of up to $100 million this year, including initiatives to align our cost structure to the current environment. We remain confident in our financial position as we strengthened our balance sheet and have identified up to $500 million in potential liquidity over the next 12 months, including our $55 million revolver which remains undrawn. While current conditions remain difficult, we believe that with the actions we are taking, we are well positioned for the future," Sial added.
First quarter fiscal year 2020 non-GAAP results exclude net adjustments that, in the aggregate, increased non-GAAP loss by $15.9 million, including $47.9 million related to gain on mark-to-market gain on equity investments. This was partially offset by $10.0 million related to the cost of above-market polysilicon, $7.8 million related to business reorganization costs and restructuring charges, $6.9 million related to stock-based compensation expense, $4.8 million related to construction revenue on solar services contracts, $1.8 million related to amortization of intangible assets, and $0.7 million related to other non-recurring items and tax effects.
Financial Outlook
As previously announced, the company continues to assess the impact of the COVID-19 crisis on its fiscal year 2020 forecasts. As a result, the company will not be providing fiscal year 2020 guidance at this time.
The company's second quarter 2020 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $290 million to $330 million, gross margin of negative 9 percent to negative 3 percent and net loss of $120 million to $100 million. On a non-GAAP basis, the company expects revenue of $290 million to $330 million, gross margin of 0 percent to 6 percent and megawatt (MW) deployed in the range of 340 MW to 400 MW. The company also expects break even to slightly positive cash generation in the second quarter.
The company expects second quarter 2020 Adjusted EBITDA guidance in the range of negative $40 million to negative $20 million with SPT in the range of negative $25 to $15 million and SPES in the range of negative $10 to $0 million.
The company will host a conference call for investors this afternoon to discuss its first quarter 2020 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2020 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) the expected financial performance of our business lines, including timing and expectations for returning our Commercial Direct business to profitability; (b) plans and expectations regarding our areas of technology, services, and product development focus, including continued investment plans, and the impact thereof; (c) statements regarding the anticipated spin-off of Maxeon Solar, including timing and certainty, the anticipated achievement of conditions precedent for the transaction and the timing thereof, and Maxeon Solar's preparation to act as an independent entity on the date of spin; (d) anticipated cash savings as the result of our cost-reduction and containment initiatives, including timing, amounts, and expected impacts on our financial performance, liquidity, and our expected competitive and financial positioning post-recovery; (e) our expectations regarding the impacts of Covid-19 on our business, our industry, and our markets, including supply and demand impacts, anticipated recovery, and our expected positioning post-pandemic; (f) our plans and expectations for our products and planned products, including anticipated markets and demand, cost impacts, and impacts on our financial performance and our ability to meet our targets and goals; (g) our expectations regarding our industry, market factors, anticipated including demand and volume; (h) expectations regarding our future performance based on bookings, backlog, and pipelines in our sales channels; (i) our expectations regarding tax equity and project debt capacity and adequacy for the remainder of the year; (j) our expectations for our strategic agreement with Technology Credit Union, and the financial impacts thereof; (k) our expectations regarding resumption of production in certain of our manufacturing facilities, and the sufficiency of our existing inventory to meet our commitments; (l) our expectations regarding 2020 financial performance, including anticipated liquidity; and (m) our second quarter fiscal 2020 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions.
These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; (2) potential disruptions to our operations and supply chain that may result from epidemics or natural disasters, including impacts of the Covid-19 pandemic; (3) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (4) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (5) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (6) changes in public policy, including the imposition and applicability of tariffs; (7) regulatory changes and the availability of economic incentives promoting use of solar energy; (8) fluctuations in our operating results; (9) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; and (10) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. In addition, the proposed and the associated investment by TZS in Maxeon Solar may not be consummated within the anticipated period or at all and the ultimate results of any separation depend on a number of factors, including the development of final plans and the impact of local regulatory requirements. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Mar. 29 | Dec. 29, | ||
2020 | 2019 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 205,452 | $ 422,955 | |
Restricted cash and cash equivalents, current portion | 29,466 | 26,348 | |
Restricted short-term marketable securities | 6,196 | 6,187 | |
Accounts receivable, net | 243,476 | 226,476 | |
Contract assets | 102,340 | 99,426 | |
Inventories | 391,800 | 358,257 | |
Advances to suppliers, current portion | 98,452 | 107,388 | |
Project assets - plants and land, current portion | 21,581 | 12,650 | |
Prepaid expenses and other current assets | 104,635 | 121,244 | |
Total current assets | 1,203,398 | 1,380,931 | |
Restricted cash and cash equivalents, net of current portion | 9,364 | 9,354 | |
Property, plant and equipment, net | 312,192 | 323,726 | |
Operating lease right-of-use assets | 60,796 | 51,258 | |
Solar power systems leased, net | 53,375 | 54,338 | |
Advances to suppliers, net of current portion | 13,993 | 13,993 | |
Other intangible assets, net | 5,568 | 7,466 | |
Other long-term assets | 338,838 | 330,855 | |
Total assets | $ 1,997,524 | $ 2,171,921 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 403,180 | $ 441,759 | |
Accrued liabilities | 165,863 | 203,890 | |
Operating lease liabilities, current portion | 11,424 | 9,463 | |
Contract liabilities, current portion | 126,281 | 138,441 | |
Short-term debt | 124,682 | 104,856 | |
Total current liabilities | 831,430 | 898,409 | |
Long-term debt | 98,095 | 113,827 | |
Convertible debt | 730,637 | 820,259 | |
Operating lease liabilities, net of current portion | 53,740 | 46,089 | |
Contract liabilities, net of current portion | 63,567 | 67,538 | |
Other long-term liabilities | 199,994 | 204,300 | |
Total liabilities | 1,977,463 | 2,150,422 | |
Equity: | |||
Preferred stock | - | - | |
Common stock | 170 | 168 | |
Additional paid-in capital | 2,668,704 | 2,661,819 | |
Accumulated deficit | (2,451,110) | (2,449,679) | |
Accumulated other comprehensive loss | (8,789) | (9,512) | |
Treasury stock, at cost | (199,543) | (192,633) | |
Total stockholders' equity | 9,432 | 10,163 | |
Noncontrolling interests in subsidiaries | 10,629 | 11,336 | |
Total equity | 20,061 | 21,499 | |
Total liabilities and equity | $ 1,997,524 | $ 2,171,921 | |
SUNPOWER CORPORATION | ||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||
(In thousands, except per share data) | ||||||
(Unaudited) | ||||||
THREE MONTHS ENDED | ||||||
Mar. 29, | Dec. 29, | Mar. 31, | ||||
2020 | 2019 | 2019 | ||||
Revenue: | ||||||
SunPower Energy Services | $ 289,869 | $ 352,226 | $ 178,221 | |||
SunPower Technologies | 248,196 | 434,708 | 230,804 | |||
Intersegment eliminations | (88,875) | (183,173) | (60,800) | |||
Total revenue | 449,190 | 603,761 | 348,225 | |||
Cost of revenue: | ||||||
SunPower Energy Services | 259,461 | 306,698 | 171,078 | |||
SunPower Technologies | 257,129 | 369,363 | 282,868 | |||
Intersegment eliminations | (104,848) | (167,439) | (68,436) | |||
Total cost of revenue | 411,742 | 508,622 | 385,510 | |||
Gross profit (loss) | 37,448 | 95,139 | (37,285) | |||
Operating expenses: | ||||||
Research and development | 15,638 | 18,262 | 14,993 | |||
Sales, general and administrative | 65,958 | 70,875 | 62,857 | |||
Restructuring charges (credits) | 1,576 | 8,039 | (665) | |||
(Gain) loss on sale and impairment of residential lease assets | (274) | (2,931) | 9,226 | |||
Gain on business divestiture | - | - | (6,114) | |||
Total operating expenses | 82,898 | 94,245 | 80,297 | |||
Operating income (loss) | (45,450) | 894 | (117,582) | |||
Other income (expense), net: | ||||||
Interest income | 404 | 259 | 852 | |||
Interest expense | (10,537) | (9,489) | (16,791) | |||
Other, net | 55,069 | 28,709 | 33,073 | |||
Other income, net | 44,936 | 19,479 | 17,134 | |||
Income (loss) before income taxes and equity in losses of unconsolidated investees | (514) | 20,373 | (100,448) | |||
Provision for income taxes | (1,869) | (9,388) | (5,797) | |||
Equity in earnings (losses) of unconsolidated investees | 245 | (5,008) | 1,680 | |||
Net income (loss) | (2,138) | 5,977 | (104,565) | |||
Net income (loss) attributable to noncontrolling interests and redeemable noncontrolling interests | 707 | (537) | 14,841 | |||
Net income (loss) attributable to stockholders | $ (1,431) | $ 5,440 | $ (89,724) | |||
Basic net income (loss) per share attributable to stockholders | $ (0.01) | $ 0.04 | $ (0.63) | |||
Diluted net income (loss) per share attributable to stockholders | $ (0.01) | $ 0.03 | $ (0.63) | |||
Basic weighted-average shares | 168,822 | 152,439 | 141,720 | |||
Diluted weighted-average shares | 168,822 | 156,004 | 141,720 | |||
SUNPOWER CORPORATION | |||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
(In thousands) | |||||||||
(Unaudited) | |||||||||
THREE MONTHS ENDED | |||||||||
Mar. 29, | Dec. 29, | Mar. 31, | |||||||
2020 | 2019 | 2019 | |||||||
Cash flows from operating activities: | |||||||||
Net income (loss) | $ | (2,138) | $ | 5,977 | $ | (104,565) | |||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | |||||||||
Depreciation and amortization | 16,892 | 18,059 | 24,190 | ||||||
Stock-based compensation | 6,867 | 8,008 | 5,666 | ||||||
Non-cash interest expense | 1,910 | 2,005 | 2,415 | ||||||
Equity in (earnings) losses of unconsolidated investees | (245) | 5,008 | (1,680) | ||||||
Gain on equity investments | (49,152) | (29,250) | (33,000) | ||||||
Gain on retirement of convertible debt | (2,956) | - | - | ||||||
Gain on business divestiture | - | - | (6,114) | ||||||
Deferred income taxes | (349) | 4,567 | 2,048 | ||||||
(Gain) loss on sale and Impairment of residential lease assets | 289 | (2,931) | 9,226 | ||||||
Gain on sale of assets | - | (3,829) | - | ||||||
Changes in operating assets and liabilities: | |||||||||
Accounts receivable | (17,880) | (20,484) | 12,196 | ||||||
Contract assets | 295 | (20,139) | 1,712 | ||||||
Inventories | (43,061) | (20,311) | (41,718) | ||||||
Project assets | (8,881) | 7,050 | 776 | ||||||
Prepaid expenses and other assets | 18,635 | (10,228) | 11,727 | ||||||
Operating lease right-of-use assets | 2,923 | 2,311 | 2,603 | ||||||
Long-term financing receivables, net | - | - | (1,611) | ||||||
Advances to suppliers | 8,936 | 16,899 | 13,055 | ||||||
Accounts payable and other accrued liabilities | (92,599) | 15,384 | (28,819) | ||||||
Contract liabilities | (16,130) | 19,404 | (14,578) | ||||||
Operating lease liabilities | (2,849) | (1,752) | (2,559) | ||||||
Net cash used in operating activities | (179,493) | (4,252) | (149,030) | ||||||
Cash flows from investing activities: | |||||||||
Purchases of property, plant and equipment | (6,213) | (12,295) | (6,548) | ||||||
Cash paid for solar power systems | (610) | (1,458) | (27,600) | ||||||
Proceeds from business divestiture | - | - | 9,677 | ||||||
Proceeds from sale of assets | - | 20,000 | - | ||||||
Cash outflow from sale of residential lease portfolio, net of cash received | - | 5,474 | - | ||||||
Proceeds from sale of distribution rights of debt refinancing | - | 1,950 | - | ||||||
Proceeds from sale of equity investment and partial return of capital by an unconsolidated investee | 46,149 | - | - | ||||||
Net cash provided by (used in) investing activities | 39,326 | 13,671 | (24,471) | ||||||
Cash flows from financing activities: | |||||||||
Proceeds from bank loans and other debt | 76,544 | 150,439 | 67,979 | ||||||
Repayment of bank loans and other debt | (65,730) | (61,920) | (58,372) | ||||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | - | - | 22,255 | ||||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | - | 4,371 | 20,987 | ||||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | 9,754 | 3,004 | - | ||||||
Payment for prior business combination | - | (30,000) | - | ||||||
Proceeds of common stock equity offering, net of offering costs | - | 171,834 | - | ||||||
Cash paid for repurchase of convertible debt | (87,141) | - | - | ||||||
Settlement of contingent consideration arrangement, net of cash received | 423 | 802 | (2,448) | ||||||
Equity offering costs paid | (928) | - | - | ||||||
Purchases of stock for tax withholding obligations on vested restricted stock | (6,914) | (908) | (3,872) | ||||||
Net cash (used in) provided by financing activities | (73,992) | 237,622 | 46,529 | ||||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | (216) | 881 | 112 | ||||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | (214,375) | 247,922 | (126,860) | ||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 458,657 | 210,735 | 363,763 | ||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period | $ | 244,282 | $ | 458,657 | $ | 236,903 | |||
Non-cash transactions: | |||||||||
Costs of solar power systems sourced from existing inventory | $ | - | $ | 21,173 | $ | 16,406 | |||
Costs of solar power systems funded by liabilities | $ | 1,184 | $ | 2,671 | $ | 4,553 | |||
Property, plant and equipment acquisitions funded by liabilities | $ | 2,385 | $ | 13,745 | $ | 10,792 | |||
Contractual obligations satisfied by inventory | $ | 975 | $ | 1,701 | $ | - | |||
Right-of-use assets obtained in exchange of lease obligations | $ | 12,461 | $ | 7,398 | $ | 81,525 | |||
Holdback related to business divestiture | $ | - | $ | 1,927 | $ | - | |||
Receivables in connection with sale of residential lease portfolio | $ | - | $ | 2,570 | $ | - | |||
Aged supplier financing balances reclassified from accounts payable to short-term debt | $ | 5,000 | $ | 22,500 | $ | - | |||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures are useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provide investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analysis. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to legacy utility and power plant projects and construction revenue on solar service contracts, each of which is described below. In addition to the above adjustments, non-GAAP gross margin includes adjustments relating to legacy sale-leaseback transactions, business process improvement costs, gain/loss on sale and impairment of residential lease assets, cost of above-market polysilicon, litigation, stock-based compensation, amortization of intangible assets, and business reorganization costs, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to mark to market gain on equity investments, gain on business divestiture, impairment of property, plant, and equipment, transaction-related costs, non-cash interest expense, restructuring charges (credits), gain on convertible debt repurchased, tax effect of these non-GAAP adjustments, each of which is described below. In addition to the above adjustments, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A., our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total S.A.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||
(In thousands, except percentages and per share data) | ||||||
(Unaudited) | ||||||
Adjustments to Revenue: | ||||||
THREE MONTHS ENDED | ||||||
Mar. 29, | Dec. 29, | Mar. 31, | ||||
2020 | 2019 | 2019 | ||||
GAAP revenue | $ 449,190 | $ 603,761 | $ 348,225 | |||
Adjustments based on IFRS: | ||||||
Legacy utility and power plant projects | (207) | (44) | (171) | |||
Other adjustments: | ||||||
Construction revenue on solar services contracts | 5,392 | 3,235 | 63,505 | |||
Non-GAAP revenue | $ 454,375 | $ 606,952 | $ 411,559 | |||
Adjustments to Gross Profit (Loss) / Margin: | ||||||
THREE MONTHS ENDED | ||||||
Mar. 29, | Dec. 29, | Mar. 31, | ||||
2020 | 2019 | 2019 | ||||
GAAP gross profit (loss) | $ 37,448 | $ 95,139 | $ (37,285) | |||
Adjustments based on IFRS: | ||||||
Legacy utility and power plant projects | (34) | - | 116 | |||
Legacy sale-leaseback transactions | 20 | (75) | (823) | |||
Other adjustments: | ||||||
Business process improvement costs | 2,464 | 1,091 | - | |||
Construction revenue on solar service contracts | 4,735 | 1,966 | 11,386 | |||
Gain on sale and impairment of residential lease assets | (448) | (435) | (125) | |||
Cost of above-market polysilicon | 10,043 | 27,549 | 49,428 | |||
Litigation | (163) | (2,515) | - | |||
Stock-based compensation expense | 1,109 | 1,559 | 168 | |||
Amortization of intangible assets | 1,785 | 1,783 | 1,786 | |||
Business reorganization costs | 5 | - | - | |||
Non-GAAP gross profit | $ 56,964 | $ 126,062 | $ 24,651 | |||
GAAP gross margin (%) | 8.3% | 15.8% | -10.7% | |||
Non-GAAP gross margin (%) | 12.5% | 20.8% | 6.0% | |||
Adjustments to Net income (loss): | ||||||
THREE MONTHS ENDED | ||||||
Mar. 29, | Dec. 29, | Mar. 31, | ||||
2020 | 2019 | 2019 | ||||
GAAP net income (loss) attributable to stockholders | $ (1,431) | $ 5,440 | $ (89,724) | |||
Adjustments based on IFRS: | ||||||
Legacy utility and power plant projects | (34) | - | 116 | |||
Legacy sale-leaseback transactions | 20 | (75) | 4,911 | |||
Mark-to-market gain on equity investments | (47,871) | (28,250) | (33,000) | |||
Other adjustments: | ||||||
Business process improvements costs | 2,464 | 1,091 | - | |||
Construction revenue on solar services contracts | 4,735 | 1,966 | (3,740) | |||
(Gain) loss on sale and impairment of residential lease assets | (722) | (3,366) | 8,313 | |||
Impairment of property, plant and equipment | - | 4,053 | - | |||
Cost of above-market polysilicon | 10,043 | 27,549 | 49,428 | |||
Litigation | 321 | (2,509) | - | |||
Stock-based compensation expense | 6,867 | 8,006 | 5,666 | |||
Amortization of intangible assets | 1,786 | 1,783 | 1,786 | |||
Gain on business divestiture | - | - | (6,114) | |||
Transaction-related costs | 481 | 1,723 | 1,422 | |||
Business reorganization costs | 6,193 | 10,696 | 2,649 | |||
Non-cash interest expense | - | 3 | 10 | |||
Restructuring charges (credits) | 1,576 | 8,039 | (665) | |||
Gain on convertible debt repurchased | (2,956) | - | - | |||
Tax effect | 1,247 | (384) | 1,518 | |||
Non-GAAP net income (loss) attributable to stockholders | $ (17,281) | $ 35,765 | $ (57,424) | |||
Adjustments to Net income (loss) per diluted share: | ||||||
THREE MONTHS ENDED | ||||||
Mar. 29, | Dec. 29, | Mar. 31, | ||||
2020 | 2019 | 2019 | ||||
Net income (loss) per diluted share | ||||||
Numerator: | ||||||
GAAP net income (loss) available to common stockholders | $ (1,431) | $ 5,440 | $ (89,724) | |||
Non-GAAP net income (loss) available to common stockholders | $ (17,281) | $ 35,765 | $ (57,424) | |||
Denominator: | ||||||
GAAP weighted-average shares | 168,822 | 152,439 | 141,720 | |||
Effect of dilutive securities: | ||||||
Restricted stock units | - | 3,565 | - | |||
GAAP dilutive weighted-average common shares: | 168,822 | 156,004 | 141,720 | |||
Non-GAAP weighted-average shares1 | 168,822 | 152,439 | 141,720 | |||
Effect of dilutive securities: | ||||||
Restricted stock units | - | 3,565 | - | |||
Non-GAAP dilutive weighted-average shares1 | 168,822 | 156,004 | 141,720 | |||
GAAP net income (loss) per diluted share | $ (0.01) | $ 0.03 | $ (0.63) | |||
Non-GAAP net income (loss) per diluted share | $ (0.10) | $ 0.23 | $ (0.41) | |||
1 In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.875% and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||
Adjusted EBITDA: | ||||||
THREE MONTHS ENDED | ||||||
Mar. 29, | Dec. 29, | Mar. 31, | ||||
2020 | 2019 | 2019 | ||||
GAAP net income (loss) attributable to stockholders | $ (1,431) | $ 5,440 | $ (89,724) | |||
Adjustments based on IFRS: | ||||||
Legacy utility and power plant projects | (34) | - | 116 | |||
Legacy sale-leaseback transactions | 20 | (75) | 4,911 | |||
Mark-to-market gain on equity investment | (47,871) | (28,250) | (33,000) | |||
Other adjustments: | ||||||
Business process improvement costs | 2,464 | 1,091 | - | |||
Construction revenue on solar services contracts | 4,735 | 1,966 | (3,740) | |||
(Gain) loss on sale and impairment of residential lease assets | (722) | (3,366) | 8,313 | |||
Impairment of property, plant and equipment | - | 4,053 | - | |||
Cost of above-market polysilicon | 10,043 | 27,549 | 49,428 | |||
Litigation | 321 | (2,509) | - | |||
Stock-based compensation expense | 6,867 | 8,006 | 5,666 | |||
Amortization of intangible assets | 1,786 | 1,783 | 1,786 | |||
Gain on business divestiture | - | - | (6,114) | |||
Transaction-related costs | 481 | 1,723 | 1,422 | |||
Business reorganization costs | 6,193 | 10,696 | 2,649 | |||
Non-cash interest expense | - | 3 | 10 | |||
Restructuring charges (credits) | 1,576 | 8,039 | (665) | |||
Gain on convertible debt repurchased | (2,956) | - | - | |||
Cash interest expense, net of interest income | 10,133 | 9,229 | 10,206 | |||
Provision for income taxes | 1,868 | 9,388 | 5,797 | |||
Depreciation | 15,896 | 16,773 | 19,181 | |||
Adjusted EBITDA | $ 9,369 | $ 71,539 | $ (23,758) | |||
Q2 2020 GUIDANCE
(in thousands except percentages) | Q2 2020 |
Revenue (GAAP) | $290,000-$330,000 |
Revenue (non-GAAP) | $290,000-$330,000 |
Gross margin (GAAP) | (9%) - (3%) |
Gross margin (non-GAAP)1 | 0% - 6% |
Net loss (GAAP) | $(120,000)-$(100,000) |
Adjusted EBITDA2 | $(40,000)-$(20,000) |
1. | Estimated non-GAAP amounts above for Q2 2020 include net adjustments that increase gross margin by approximately $25 million related to cost of above-market polysilicon, $1 million related to stock-based compensation expense and $2 million related to amortization of intangible assets. |
2. | Estimated Adjusted EBITDA amounts above for Q2 2020 include net adjustments that decrease net loss by approximately $25 million related to cost of above-market polysilicon, $17 million related to depreciation, $17 million in business reorganization costs and restructuring charges, $8 million related to stock-based compensation expense, $8 million related to interest expense, $3 million related to income taxes and $2 million related to amortization of intangible assets. |
SUPPLEMENTAL DATA
(In thousands, except percentages)
The following supplemental data represent the adjustments that are included or excluded from SunPower's non-GAAP revenue, gross profit/margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
SUNPOWER CORPORATION | |||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | |||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||||||
March 29, 2020 | |||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | (Gain)/loss on sale and impairment of residential lease assets | ||||||||||||||||||||||||||
GAAP | $ 289,869 | $ 248,196 | $ (88,875) | $ 30,408 | 10.5% | $ (8,933) | -3.6% | $ 15,973 | $ (1,431) | ||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (207) | - | - | (34) | - | - | - | - | - | - | - | (34) | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | 20 | - | - | - | - | - | - | - | - | 20 | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | (47,871) | - | (47,871) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 2,464 | - | - | - | - | - | - | - | 2,464 | ||||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (448) | - | - | - | - | - | (274) | - | - | (722) | ||||||||||||||||||||||
Construction revenue on solar services contracts | 5,392 | - | - | 4,735 | - | - | - | - | - | - | - | - | 4,735 | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 17,253 | (7,210) | - | - | - | - | - | - | 10,043 | ||||||||||||||||||||||
Litigation | - | - | - | - | (164) | - | - | 485 | - | - | - | - | 321 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 559 | 551 | - | 760 | 4,997 | - | - | - | - | 6,867 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,785 | - | - | - | - | - | - | - | 1,785 | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | 5 | - | 513 | 5,676 | - | - | - | - | 6,194 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 481 | - | - | - | - | 481 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 1,576 | - | - | - | 1,576 | ||||||||||||||||||||||
Gain on convertible debt repurchased | - | - | - | - | - | - | - | - | - | - | (2,956) | - | (2,956) | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | 1,247 | 1,247 | ||||||||||||||||||||||
Non-GAAP | $ 295,261 | $ 247,989 | $ (88,875) | $ 35,274 | 11.9% | $ 12,927 | 5.2% | $ 8,763 | $ (17,281) | ||||||||||||||||||||||||||
December 29, 2019 | |||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Provision for income taxes | Equity in earnings of unconsolidated investees | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | (Gain)/loss on sale and impairment of residential lease assets | ||||||||||||||||||||||||||
GAAP | $ 352,226 | $ 434,708 | $ (183,173) | $ 45,528 | 12.9% | $ 65,345 | 15.0% | $ (15,734) | $ 5,440 | ||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (44) | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (75) | - | - | - | - | - | - | - | - | - | (75) | |||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | (29,250) | - | 1,000 | (28,250) | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 1,091 | - | - | - | - | - | - | - | - | 1,091 | |||||||||||||||||||||
(Gain)/loss on sale and impairment of residential lease assets | - | - | - | (435) | - | - | - | - | - | (2,931) | - | - | - | (3,366) | |||||||||||||||||||||
Construction revenue on solar services contracts | 3,235 | - | - | 1,966 | - | - | - | - | - | - | - | - | - | 1,966 | |||||||||||||||||||||
Impairment of property, plant & equipment | - | - | - | - | - | - | - | - | - | - | - | - | 4,053 | 4,053 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 29,181 | (1,632) | - | - | - | - | - | - | - | 27,549 | |||||||||||||||||||||
Litigation | - | - | - | 709 | (3,224) | - | - | 6 | - | - | - | - | - | (2,509) | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,020 | 539 | - | 824 | 5,623 | - | - | - | - | - | 8,006 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | 1,783 | |||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 569 | 10,127 | - | - | - | - | - | 10,696 | |||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,723 | - | - | - | - | - | 1,723 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 3 | - | - | - | - | - | 3 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 8,039 | - | - | - | - | 8,039 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | (384) | - | (384) | |||||||||||||||||||||
Non-GAAP | $ 355,461 | $ 434,664 | $ (183,173) | $ 48,713 | 13.7% | $ 94,715 | 21.8% | $ (17,366) | $ 35,765 | ||||||||||||||||||||||||||
March 31, 2019 | |||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Benefit from (provision for) income taxes | Gain (Loss) attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring credits | Impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||
GAAP | $ 178,221 | $ 230,804 | $ (60,800) | $ 7,143 | 4.0% | $ (52,064) | -22.6% | $ 7,636 | $ (89,724) | ||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (171) | - | 125 | (9) | - | - | - | - | - | - | - | - | - | 116 | ||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (824) | 1 | - | - | - | - | - | - | 5,734 | - | - | 4,911 | ||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (33,000) | - | - | (33,000) | ||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (125) | - | - | - | - | - | 9,226 | - | - | - | (788) | 8,313 | ||||||||||||||||||||
Construction revenue on solar services contracts | 63,505 | - | - | 11,386 | - | - | - | - | - | - | - | - | - | (15,126) | (3,740) | ||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 49,428 | - | - | - | - | - | - | - | - | - | 49,428 | ||||||||||||||||||||
Stock-based compensation expense | - | - | - | 168 | - | - | 593 | 4,905 | - | - | - | - | - | - | 5,666 | ||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,786 | - | - | - | - | - | - | - | - | - | 1,786 | ||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (6,114) | - | - | - | (6,114) | ||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 2,649 | - | - | - | - | - | - | 2,649 | ||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,422 | - | - | - | - | - | - | 1,422 | ||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | ||||||||||||||||||||
Restructuring charges (credits) | - | - | - | - | - | - | - | - | (665) | - | - | - | - | - | (665) | ||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,518 | - | 1,518 | ||||||||||||||||||||
Non-GAAP | $ 241,726 | $ 230,633 | $ (60,800) | $ 17,873 | 7.4% | $ (858) | -0.4% | $ 7,636 | $ (57,424) | ||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
5/7/20205/5/2020 - SunPower Secures $1 Billion in Solar + Storage Financing Through New Partnership with Tech CU
SunPower Secures $1 Billion in Solar + Storage Financing Through New Partnership with Tech CU
Source: PR Newswire
SAN JOSE, Calif., May 5, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced that a new $1 billion partnership with Technology Credit Union (Tech CU) will increase financing options for qualified U.S. residential solar customers. The new partnership will give SunPower access to capital for its loan program.
There will be multiple benefits for both SunPower and its customers including:
"Our new partnership with Tech CU will diversify SunPower's funding resources while providing our customers with a streamlined process and experience," said Norm Taffe, executive vice president of North American Channels. "This $1 billion commitment will also allow for tens of thousands of SunPower solar systems to be funded over the course of the next four years."
"We are pleased to add SunPower to our growing list of solar funding partners," said Deborah Crouch, vice president of Strategic Lending Partners at Tech CU. "We look forward to working with them for many years to come."
SunPower has multiple attractive financing provisions for customers wanting to go solar with loan, lease and cash options. Last month, the company announced special promotions that can significantly reduce the upfront costs of going solar for U.S. customers.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Tech CU
Tech CU has assets in excess of $3 billion, making it one of the 20 largest credit unions in California. It serves more than 125,000 members living and working throughout the counties of Santa Clara, San Mateo, Alameda, Contra Costa, Santa Cruz, San Francisco, Sacramento, San Joaquin, Solano, Marin, Napa, Sonoma, Los Angeles, Orange and San Diego. Based in the state of California, Tech CU has a national solar lending program that it is leveraging for this partnership. As a federally insured not-for-profit organization, Tech CU invests its resources to deliver lower rates, outstanding service and member benefits. For more information, visit: www.techcu.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our expectations for cost savings, projected reductions in operating costs, and funding availability. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, changes in public policy, including the imposition and applicability of tariffs; potential disruptions to our operations that may result from epidemics or natural disasters, including Covid-19 and associated disruptions, and challenges managing our strategic relationships and partnerships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other logos and trademarks are the properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
5/5/2020SunPower Offering Home Solar Systems for $0 Down and "6 Months on Us"
Source: PR Newswire
SAN JOSE, Calif., April 24, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today introduced an unparalleled new solar promotion to provide energy savings and security to U.S. families in immediate need of payment flexibility.
For zero down and the first six payments covered by SunPower through a VISA Reward Card Rebate1, qualified customers can access the most efficient home solar panels on the market. This new offer is available on 20-year loans offered by SunPower or select SunPower leases signed by May 31, 2020. As with all SunPower® systems, homeowners will also benefit from the industry's most comprehensive 25-year warranty.
"Americans are facing a challenging environment right now and we want to make it easier for them to go solar, lowering their electric bills as soon as possible, while offsetting the cost of the system for six months," said Norm Taffe, executive vice president of North America Channels. "Through our online energy consultations, homeowners can access electricity savings without leaving the comfort and safety of their homes. Additionally, customers can rest assured that SunPower solar installations are completed in a safety conscious manner."
For customers wishing to purchase a solar system outright, or finance with a 10-year or 15-year loan, SunPower also announced a $1,036 VISA Reward Card rebate2 on qualifying systems. These offers ensure homeowners can access clean energy and solar savings, regardless of their needs.
Shopping for Solar From Home
Consumers have multiple ways to easily and quickly learn about SunPower solar through innovative digital options.
Residential Solar Business
Last year, SunPower's U.S. residential business saw annual deployment growth of more than 15 percent bringing the total number of American homes with SunPower® solar to over 319,000. The company has:
To learn more about SunPower's complete residential solar solutions, visit www.sunpower.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER EQUINOX are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other logos and trademarks are the properties of their respective owners.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected cost savings and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
1 Rebate Terms: Before rebate costs will vary, depending on system specifications. Rebate amount will be based on your monthly loan or lease payment, provided in your SunPower Loan or Lease Proposal and will not include additional fees for non-ACH payments or sales taxes. Must sign solar contract on or before 5/31/2020. Check with your SunPower installation contractor to confirm participation with this offer. Valid only on systems purchased with a 20-year loan or systems leased with a 2% escalator lease offered by SunPower. Only SunPower leases in CA, NY, NJ, CT, MA, AZ, and NV qualify. You must pay your monthly loan or lease payments as directed on your Loan or Lease Agreement. Only valid on select SunPower Equinox systems with the following modules: SPR-A420-WHT-G-AC, SPR-A415-WHT-G-AC, SPR-A410-WHT-G-AC, SPR-A400-WHT-G-AC, SPR-X22-360-WHT-E-AC, SPR-X21-350-BLK-E-AC, SPR-E20-327-WHT-E-AC, SPR-X21-335-BLK-E-AC. This offer is only available to customers who purchase a new, complete SunPower system, excluding customers who purchase a new home with existing solar installed. Rebate may not be applied to quotes on existing proposals or past purchases. Cannot be combined with other offers. Rebate form at sunpowerrebate.com must be completed and submitted to SunPower with required documentation within 90 days of the final invoice date. Allow 3-7 weeks for processing. Late submissions or those submitted without proper documentation and signatures will be subject to delay or cancellation. Void where prohibited. Reward Card: SunPower Visa Reward Card issued by MetaBank, Member FDIC, pursuant to a license from Visa U.S.A. Inc. Reward Card expires six months from the date of issuance. Reward Card is subject to MetaBank's terms, restrictions, and conditions, available at: https://www.giftcards.com/terms. The Reward Card is not redeemable for cash and cannot be applied toward your lease or loan payment. This promotion is not sponsored by or endorsed by MetaBank or Visa.
2 Rebate Terms: Before rebate costs will vary, depending on system specifications. Customer must sign solar contract between May 1, 2020 and May 31, 2020. Only valid on select SunPower Equinox systems with SPR-A420-WHT-G-AC, SPR-A415-WHT-G-AC, SPR-A410-WHT-G-AC, SPR-A400-WHT-G-AC, SPR-X22-360-WHT-E-AC, SPR-X21-350-BLK-E-AC, SPR-E20-327-WHT-E-AC, or SPR-X21-335-BLK-E-AC modules and on systems purchased with cash or 10-or 15-year loan products offered by SunPower. This offer is only available to customers who purchase a new, complete SunPower system, excluding customers who purchase a new home with existing solar installed. Rebate may not be applied to quotes on existing proposals or past purchases. Cannot be combined with other offers. Rebate form at sunpowerrebate.com must be completed and submitted to SunPower with required documentation within 90 days of the final invoice date. Allow 3-7 weeks for processing. Late submissions or those submitted without proper documentation and signatures will be subject to delay or cancellation. Void where prohibited. Reward Card: SunPower Visa Reward Card issued by MetaBank, Member FDIC, pursuant to a license from Visa U.S.A. Inc. Reward Card expires six months from the date of issuance. Reward Card is subject to MetaBanterms, restrictions, and conditions, available at: https://www.giftcards.com/terms. The Reward Card is not redeemable for cash and cannot be applied toward your lease or loan payment. This promotion is not sponsored by or endorsed by MetaBank or Visa.
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SOURCE SunPower Corp.
Article Date
4/24/2020SunPower to Announce First-Quarter Results on May 7, 2020
Source: PR Newswire
SAN JOSE, Calif., April 23, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its first-quarter results on a conference call, Thursday, May 7, at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on May 7, 2020.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/23/2020SunPower Announces Actions to Address COVID-19 Market Disruption
Source: PR Newswire
SAN JOSE, Calif., March 25, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) today announced that it is implementing a number of material initiatives to help the company prudently manage its business during the current industry uncertainty relating to the COVID-19 pandemic. The company believes these actions will position it well for when the solar industry returns to strong growth.
"During these unprecedented times, our primary focus remains on the safety and well-being of our employees, working closely with our partners and continuing to serve our customers," said Tom Werner, SunPower CEO and chairman of the board. "We are committed to taking every action within our control to manage our business and serve our customers both now and when the industry recovers. We have the industry's best technology and are continuing to invest in our innovative product suite including our storage and digital solutions. Finally, we remain on track to complete our planned company split into two independently focused pure-play solar companies by the end of the second quarter."
SunPower has immediately implemented a number of initiatives to manage its cost structure including a reduction in management salaries, the freezing of all hiring and merit increases as well as a reduction in capital expenditures. The company expects these actions will result in savings of up to $50 million in 2020. The company is also reviewing all discretionary spending as well as other programs to further reduce costs in the near-term and remains comfortable with its liquidity position.
Additionally, at this time, the company cannot fully assess the impact of the COVID-19 crisis in both its U.S. and international businesses. As a consequence, the company is withdrawing its previously provided fiscal year 2020 financial guidance. The company expects to provide additional details on its updated 2020 forecast on its first quarter 2020 earnings call in May.
The company's planned split into two independent, publicly traded companies, expected to close by the end of the second quarter of 2020, is dependent on the timing of regulatory approvals and the satisfaction of certain closing conditions.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our expectations regarding our strategic initiatives and anticipated impact on our financial performance, operations, and positioning for future success; (b) our expectations regarding industry and market factors, including demand, our expectations for the timing of recovery, and our positioning to take advantage of anticipated solar industry growth; (c) the anticipated spin-off of Maxeon Solar, including expected timing and certainty; and (d) our expectations regarding 2020 financial performance, including plans and timing for providing an updated 2020 forecast .These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, regulatory changes, and the availability of economic incentives promoting use of solar energy; (4) fluctuations in our operating results; (5) potential disruptions to our operations and market demand that may result from epidemics or natural disasters; (6) containing manufacturing and logistics difficulties that could arise; and (7) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. In addition, the proposed and the associated investment by TZS in Maxeon Solar may not be consummated within the anticipated period or at all and the ultimate results of any separation depend on a number of factors, including the development of final plans and the impact of local regulatory requirements. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K particularly under the heading "Risk Factors." Copies of this filing is available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/25/2020SunPower Expands into Energy Services with New England Auction Bid Win
Source: PR Newswire
SAN JOSE, Calif., March 16, 2020 /PRNewswire/ -- SunPower (NASDAQ:SPWR) recently executed on its plan toward becoming an energy services provider when it was selected to deliver close to 11 megawatts (MW) of direct current (DC) solar power in New England as a result of the region's 14th Forward Capacity Auction (FCA 14). The auction is held annually to ensure that the six states in ISO New England's service territory have enough resources to meet future electricity needs.
By aggregating its residential portfolio as a virtual power plant to participate in the auction, SunPower was able to offer localized, renewable capacity at lower prices. The company's capacity joins hundreds of MW of clean energy technology to deliver electricity in the region between years 2023 and 2024. According to ISO New England, the organization secured capacity at the lowest price in the auction's history.
"SunPower has a large and growing residential customer base, and we look forward to leading the transformation toward a flexible, local, and renewable grid by offering solar and storage services to key organizations like ISO New England and its constituents," said Tom Werner, SunPower CEO and chairman of the board. "This is a historic moment for SunPower and a big win for ISO New England. In the U.S., distributed solar technology is now producing reliable electricity at costs competitive to traditional energy sources like coal and gas which is a major shift from just a few years ago."
Working with its best-in-class dealer network, SunPower will sell and install approximately 1,375 home solar solutions in New England to fulfill its capacity obligations.
CPower Energy Management, a demand-side energy management company with extensive experience successfully participating in capacity markets, partnered with SunPower in this ISO New England bid. The partnership combined CPower's experience in these markets with SunPower's ability to aggregate residential solar electric systems.
"CPower is proud to partner with SunPower to generate value for their customers through leveraging the inherent supply of SunPower's residential solutions to support the stability of the grid," said Joseph Gatto, CPower Vice President and General Manager of New England.
Werner continued, "We look forward to exploring future virtual power plant opportunities with our complete Equinox home solar-plus-storage system, as SunPower expands energy services in the North American residential market."
To learn more about SunPower's complete residential solar solutions, visit www.sunpower.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About CPower
CPower connects the needs of the grid with the energy assets of the customer, creating value through financial rewards for the customer and reliability for the grid. CPower provides custom solutions that help our customers save on energy costs, earn revenue through energy curtailment, support grid reliability, and achieve sustainability goals. CPower serves all deregulated energy markets in North America and facilitates utility distribution level programs for more than 20 regulated and deregulated utilities.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, product performance, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other logos and trademarks are the properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
3/16/2020SunPower Recognizes Dealers for Excellence in Solar Project Design and Installation During Company's Annual Conference
Source: PR Newswire
SAN JOSE, Calif., March 11, 2020 /PRNewswire/ -- During the annual SunPower (NASDAQ:SPWR) Dealer Conference this week, the company recognized seven of its installation dealers for exceptionally designed and deployed solar projects commissioned last year. SunPower's installing dealer base of more than 550 small and medium-sized businesses provide localized sales, installation and support to residential and commercial customers across 49 states.
"Installing Dealers are the backbone of our business, delivering quality solar expertise and energy solutions that customers expect from SunPower," said Norm Taffe, SunPower executive vice president, North America. "It's a privilege to recognize several that went above and beyond in 2019. Looking ahead, total installed solar capacity is expected to double in the U.S. over the next five years, and our highly-qualified dealers stand ready to effectively meet increased customer interest across the country."
SunPower 2019 Intelegant Award Winners
Intelegant – a portmanteau combining "intelligent" and "elegant" to represent SunPower's smart and sleek solar solutions – defines the award recognizing residential and commercial projects that exemplify the company's commitment to outstanding system aesthetics, quality, and performance, as well as customer satisfaction. Images of the award-winning installations can be found here.
National Residential Intelegant Award
Air Sun Solar based in Visalia, Calif., earned the National Residential Intelegant Award for complementing a custom-built architect's residence with an expanded, SunPower Equinox® Solar energy system using 22 percent-efficient SunPower® panels. Known for high efficiency panels and a low-profile design, the solution helped Air Sun Solar keep this statement home center stage, while delivering substantially more savings to the homeowner.
Regional Residential Intelegant Awards
Dealers recognized for outstanding home solar projects in their respective regions included:
National Commercial Intelegant Award
Renova Energy based in Palm Desert, Calif., secured the National Commercial Intelegant Award for a 207-kilowatt SunPower® Helix® Roof system installed at a flagship Porsche dealership in Palm Springs for the indiGO Auto Group. The 22 percent-efficient solar panels help power the LEED-certified building which is also outfitted with fast chargers for the company's latest electric vehicles.
Regional Commercial Intelegant Awards
Dealers recognized for outstanding commercial solar projects in their respective regions included:
To find out if solar is right for your home or business, visit www.sunpower.com. Those interested in becoming a SunPower dealer can visit www.sunpower.com/become-a-dealer to learn more.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding product performance and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2020 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX and HELIX are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/11/20202/26/2020 - SunPower Corporation Vice President Investor Relations Bob Okunski to Speak at Raymond James Conference
SunPower Corporation Vice President Investor Relations Bob Okunski to Speak at Raymond James Conference
Source: PR Newswire
SAN JOSE, Calif., Feb. 26, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR), a leading solar technology and energy service provider, today announced that Bob Okunski, vice president, investor relations, will speak at Raymond James' 41st Annual Institutional Investors Conference on March 2, 2020 at 11:35 a.m. Eastern Standard Time. The event is being held at the JW Marriott Grand Lakes Hotel in Orlando, Florida.
The event will be webcast live from SunPower's website at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2020 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
2/26/2020SunPower Reports Fourth Quarter and Fiscal Year 2019 Results
Source: PR Newswire
SAN JOSE, Calif., Feb. 12, 2020 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its fourth quarter ended Dec. 29, 2019.
Fourth Quarter Company Highlights
SunPower Energy Services (SPES)
SunPower Technologies (SPT)
($ Millions, except percentages and per-share data) | 4th Quarter 2019 | 3rd Quarter | 4th Quarter | Fiscal Year | Fiscal Year |
GAAP revenue | $603.8 | $476.0 | $456.8 | $1,864.2 | $1,726.1 |
GAAP gross margin | 15.8% | 10.1% | (1.7%) | 6.8% | (17.2%) |
GAAP net income (loss) | $5.4 | $(15.0) | $(158.2) | $22.2 | $(811.1) |
GAAP net income (loss) per diluted share | $0.03 | $(0.11) | $(1.12) | $0.15 | $(5.76) |
Non-GAAP revenue1 | $607.0 | $491.7 | $525.4 | $1,992.1 | $1,814.9 |
Non-GAAP gross margin1 | 20.8% | 15.9% | 6.9% | 14.0% | 7.5% |
Non-GAAP net income (loss)1 | $35.8 | $10.6 | $(30.3) | $(42.2) | $(101.4) |
Non-GAAP net income (loss) per diluted share1 | $0.23 | $0.07 | $(0.21) | $(0.29) | $(0.72) |
Adjusted EBITDA1 | $71.5 | $42.0 | $13.6 | $97.8 | $111.2 |
MW Recognized | 707 | 586 | 461 | 2,455 | 1,355 |
Cash2 | $423.0 | $189.0 | $309.4 | $423.0 | $309.4 |
1 | Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
2 | Includes cash, and cash equivalents, excluding restricted cash |
Fourth Quarter 2019 Results
"Overall, we exited the year with solid fourth quarter financial performance despite execution challenges in our commercial direct business," said Tom Werner, SunPower CEO and chairman of the board. "We also achieved a number of important strategic milestones during the quarter. These included the announcement of our proposed Maxeon Solar spin-off and planned equity investment from TZS, initial installations of our residential Equinox Storage system, as well as a successful capital raise and partial convertible bond retirement to further strengthen our balance sheet."
SunPower Energy Services (SPES)
"The strategic decision to combine our residential and commercial dealer operations into a combined channels business is paying dividends as we posted strong financial results for this unit in the fourth quarter. Our residential business achieved record revenue and installation volume, and in new homes, we remain the market leader as we grew this business by more than 50 percent last year and exited 2019 with a backlog of 45,000 homes. We expect new homes volume growth to exceed 50 percent in 2020 as we leverage the current California new home solar mandate. Finally, we remain very excited about the launch of our Equinox Storage product as we added to our beta installations in the fourth quarter and see strong demand for Equinox Storage in 2020.
"In Commercial Direct, we maintained our market share lead and increased installation volume year over year. Our origination teams once again performed well, but deployment execution remained challenged. As a result of this underperformance, we have taken a number of steps to improve results including changes to our reporting structure, instituting new processes to streamline permitting and regulatory requirements and actions to improve installation execution. We now expect our commercial direct business to return to profitability in the second half of this year. Demand for our Helix Storage solution remains strong as evidenced by our plan to add 20 megawatt hours (MWh) of storage to the Chevron Lost Hills solar project, our largest commercial storage award to date. Additionally, our storage pipeline continues to expand, now exceeding 175-MW with attach rates of 35 percent.
SunPower Technologies (SPT)
"SPT posted a very strong quarter, beating our financial targets across the board including volume, revenue, margin, EBITDA, and cash flow. Growth was driven primarily by demand in the global DG markets, with DG volume up over 95 percent year-over-year. For the full year 2019, DG shipments grew approximately 75 percent. During the fourth quarter, we completed commercialization of our Maxeon 5 technology, ramping our first line-pair to full production. Customer demand for this product is strong, and the technology is ready for accelerated ramp consistent with the planned $298 million equity investment from TZS. Demand for our Performance Series (P-Series) product also remains high, comprising approximately half of our fourth quarter and full year 2019 shipment volume.
"Finally, we were pleased to announce the strategic decision to separate into two independent, complementary, strategically-aligned and publicly-traded companies: SunPower and Maxeon Solar. This separation will enable each company to focus on distinct offerings built on extensive experience across the solar value chain while, we believe, unlocking long-term shareholder value. We remain on track to complete the separation in the second quarter of fiscal 2020, subject to closing conditions," Werner concluded.
Consolidated Financials
"Our solid fourth quarter performance reflects the results of our focus on the DG market and increased operational discipline," said Manavendra Sial, SunPower chief financial officer. "In relation to the balance sheet, we increased our liquidity as we generated positive cash at the business unit level, completed a successful capital raise and retired more than $30 million of convertible debt in the first quarter of 2020. We also continued to prudently manage our expenses while meeting our cost reduction targets. We remain committed to achieving positive cash flow this year while continuing to improve our profitability throughout 2020."
Fourth quarter fiscal year 2019 non-GAAP results exclude net adjustments that, in the aggregate, increased non-GAAP earnings by $30.4 million, including $27.5 million related to the cost of above-market polysilicon, $18.7 million related to business reorganization costs and restructuring charges, $8.0 million related to stock-based compensation expense, $1.8 million related to amortization of intangible assets, and $2.6 million related to other non-recurring items, partially offset by $28.2 million related to mark-to-market gain on equity investments, and tax effect of these items.
Financial Outlook
The company's first quarter 2020 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $435 million to $470 million, gross margin of 3 percent to 6 percent and net loss of $85 million to $70 million. On a non-GAAP basis, the company expects revenue of $435 million to $470 million, gross margin of 9 percent to 12 percent, Adjusted EBITDA of ($15) million to $0 million and MW deployed in the range of 520 MW to 570 MW.
The company's fiscal year 2020 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $2.1 billion to $2.3 billion and a net loss of $195 million to $145 million. On a non-GAAP basis, revenue of $2.1 billion to $2.3 billion and operational expenses of less than $260 million. Gigawatts recognized is expected to be in the range of 2.5 GW to 2.75 GW and capital expenditures of approximately $100 million.
As a result of the restructuring of its commercial direct business, the company expects fiscal year 2020 Adjusted EBITDA guidance in the range of $125 million to $175 million.
The company will host a conference call for investors this afternoon to discuss its fourth quarter and fiscal year 2019 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its fourth quarter and fiscal year 2019 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) statements regarding the anticipated spin-off of Maxeon Solar, including timing and certainty, the associated benefits and costs to the newly separated companies, and the equity investment by TZS into Maxeon Solar and the use of proceeds from such investment; (b) our plans and expectations regarding expansion of Maxeon 5 production; (c) our expectations regarding business restructuring and anticipated impact on financial performance; (d) our expectations and plans regarding market traction, growth, demand, and volume; (e) our plans and expectations for our products and planned products, including anticipated markets and demand, cost impacts, and impacts on our financial performance and our ability to meet our targets and goals; (f) our plans and expectations for initiatives to improve execution and performance in our Commercial Direct business, including timing and anticipated impact on financial performance and the anticipated timing of returning to profitability; (g) our plans and expectations regarding manufacturing expansion, and production goals and ramps, including the timing of our Maxeon 5 and P-Series production expansion; (h) our expectations regarding 2020 financial performance, including plans to achieve positive cash flow and improve profitability; (i) our first quarter fiscal 2020 guidance, including GAAP revenue, gross margin, and net income/(loss), as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions; and (j) fiscal year 2020 guidance, including, GAAP and non-GAAP revenue, net income/(loss), non-GAAP operational expenses, non-GAAP GW deployed, non- GAAP capital expenditures, and Adjusted EBITDA, and related assumptions.
These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; (2) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (3) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (4) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (5) changes in public policy, including the imposition and applicability of tariffs; (6) regulatory changes and the availability of economic incentives promoting use of solar energy; (7) fluctuations in our operating results; (8) potential disruptions to our operation and supply chain that may result from epidemics or natural disasters; (9) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; and (10) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. In addition, the proposed and the associated investment by TZS in Maxeon Solar may not be consummated within the anticipated period or at all and the ultimate results of any separation depend on a number of factors, including the development of final plans and the impact of local regulatory requirements. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2020 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Dec. 29, | Dec. 30, | ||
2019 | 2018 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 422,955 | $ 309,407 | |
Restricted cash and cash equivalents, current portion | 26,348 | 41,762 | |
Restricted short-term marketable securities | 6,187 | - | |
Accounts receivable, net | 226,476 | 175,605 | |
Contract assets | 99,426 | 58,994 | |
Inventories | 358,257 | 308,146 | |
Advances to suppliers, current portion | 107,388 | 37,878 | |
Project assets - plants and land, current portion | 12,650 | 10,796 | |
Prepaid expenses and other current assets | 121,244 | 131,183 | |
Total current assets | 1,380,931 | 1,073,771 | |
Restricted cash and cash equivalents, net of current portion | 9,354 | 12,594 | |
Restricted long-term marketable securities | - | 5,955 | |
Property, plant and equipment, net | 323,726 | 839,871 | |
Operating lease right-of-use assets | 51,258 | - | |
Solar power systems leased and to be leased, net | 54,338 | 92,557 | |
Advances to suppliers, net of current portion | 13,993 | 133,694 | |
Long-term financing receivables, net - held for sale | - | 19,592 | |
Other intangible assets, net | 7,466 | 12,582 | |
Other long-term assets | 330,855 | 162,033 | |
Total assets | $ 2,171,921 | $ 2,352,649 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 441,759 | $ 325,550 | |
Accrued liabilities | 203,890 | 235,252 | |
Operating lease liabilities, current portion | 9,463 | - | |
Contract liabilities, current portion | 138,441 | 104,130 | |
Short-term debt | 104,856 | 40,074 | |
Total current liabilities | 898,409 | 705,006 | |
Long-term debt | 113,827 | 40,528 | |
Convertible debt | 820,259 | 818,356 | |
Operating lease liabilities, net of current portion | 46,089 | - | |
Contract liabilities, net of current portion | 67,538 | 99,509 | |
Other long-term liabilities | 204,300 | 839,136 | |
Total liabilities | 2,150,422 | 2,502,535 | |
Equity: | |||
Preferred stock | - | - | |
Common stock | 168 | 141 | |
Additional paid-in capital | 2,661,819 | 2,463,370 | |
Accumulated deficit | (2,449,679) | (2,480,988) | |
Accumulated other comprehensive loss | (9,512) | (4,150) | |
Treasury stock, at cost | (192,633) | (187,069) | |
Total stockholders' deficit | 10,163 | (208,696) | |
Noncontrolling interests in subsidiaries | 11,336 | 58,810 | |
Total deficit | 21,499 | (149,886) | |
Total liabilities and equity | $ 2,171,921 | $ 2,352,649 | |
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
(In thousands, except per share data) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Revenue: | ||||||||||
SunPower Energy Services | $ 352,226 | $ 277,688 | $ 265,427 | $ 1,019,861 | $ 1,045,614 | |||||
SunPower Technologies | 434,708 | 333,896 | 277,256 | 1,314,379 | 1,069,010 | |||||
Intersegment eliminations | (183,173) | (135,626) | (85,846) | (470,015) | (388,539) | |||||
Total revenue | 603,761 | 475,958 | 456,837 | 1,864,225 | 1,726,085 | |||||
Cost of revenue: | ||||||||||
SunPower Energy Services | 306,698 | 248,417 | 245,301 | 915,455 | 889,410 | |||||
SunPower Technologies | 369,363 | 315,293 | 296,872 | 1,285,241 | 1,496,909 | |||||
Intersegment eliminations | (167,439) | (136,003) | (77,765) | (462,376) | (363,153) | |||||
Total cost of revenue | 508,622 | 427,707 | 464,408 | 1,738,320 | 2,023,166 | |||||
Gross profit (loss) | 95,139 | 48,251 | (7,571) | 125,905 | (297,081) | |||||
Operating expenses: | ||||||||||
Research and development | 18,262 | 16,101 | 15,481 | 67,515 | 81,705 | |||||
Sales, general and administrative | 70,875 | 64,734 | 53,839 | 260,443 | 260,111 | |||||
Restructuring charges | 8,039 | 4,283 | (1,107) | 14,110 | 17,497 | |||||
Loss on sale and impairment of residential lease assets | (2,931) | 10,756 | 81,086 | 25,352 | 251,984 | |||||
Gain on business divestiture | - | - | - | (143,400) | (59,347) | |||||
Total operating expenses | 94,245 | 95,874 | 149,299 | 224,020 | 551,950 | |||||
Operating income (loss) | 894 | (47,623) | (156,870) | (98,115) | (849,031) | |||||
Other income (expense), net: | ||||||||||
Interest income | 259 | 1,025 | 777 | 2,702 | 3,057 | |||||
Interest expense | (9,489) | (10,649) | (30,214) | (53,353) | (108,011) | |||||
Other, net | 28,709 | 45,184 | 6,539 | 174,734 | 55,314 | |||||
Other income (expense), net | 19,479 | 35,560 | (22,898) | 124,083 | (49,640) | |||||
Income (loss) before income taxes and equity in losses of unconsolidated investees | 20,373 | (12,063) | (179,768) | 25,968 | (898,671) | |||||
(Provision) benefit for income taxes | (9,388) | (5,378) | 8,379 | (26,631) | (1,010) | |||||
Equity in losses of unconsolidated investees | (5,008) | (1,767) | (757) | (7,058) | (17,815) | |||||
Net income (loss) | 5,977 | (19,208) | (172,146) | (7,721) | (917,496) | |||||
Net income (loss) attributable to noncontrolling interests and redeemable noncontrolling interests | (537) | 4,191 | 13,972 | 29,880 | 106,405 | |||||
Net income (loss) attributable to stockholders | $ 5,440 | $ (15,017) | $ (158,174) | $ 22,159 | $ (811,091) | |||||
Basic net income (loss) per share attributable to stockholders | $ 0.04 | $ (0.11) | $ (1.12) | $ 0.15 | $ (5.76) | |||||
Diluted net income (loss) per share attributable to stockholders | $ 0.03 | $ (0.11) | $ (1.12) | $ 0.15 | $ (5.76) | |||||
Basic weighted-average shares | 152,439 | 142,553 | 141,136 | 144,796 | 140,825 | |||||
Diluted weighted-average shares | 156,004 | 142,553 | 141,136 | 147,525 | 140,825 | |||||
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||
(In thousands) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Cash flows from operating activities: | ||||||||||
Net income (loss) | $ 5,977 | $ (19,208) | $ (172,146) | $ (7,721) | $ (917,496) | |||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||||||||||
Depreciation and amortization | 18,059 | 15,298 | 24,060 | 80,081 | 127,204 | |||||
Stock-based compensation | 8,008 | 6,991 | 6,266 | 26,935 | 26,353 | |||||
Non-cash interest expense | 2,005 | 2,542 | 3,213 | 9,472 | 15,346 | |||||
Non-cash restructuring charges | - | 3,528 | - | 5,874 | - | |||||
Dividend from equity method investee | - | - | - | - | 3,947 | |||||
Equity in losses of unconsolidated investees | 5,008 | 1,767 | 756 | 7,058 | 17,815 | |||||
Mark-to-market (gain) loss on equity investment with readily determinable fair value | (29,250) | (28,538) | 150 | (158,288) | 6,375 | |||||
Gain on business divestiture | - | - | - | (143,400) | (59,347) | |||||
Gain on sale of investments without readily determinable fair value | - | (17,275) | (3,628) | (17,275) | (54,196) | |||||
Deferred income taxes | 4,567 | (1,545) | (9,868) | 5,067 | (6,862) | |||||
Impairment of equity method investment | - | - | - | - | - | |||||
Impairment of property, plant and equipment | - | - | - | 777 | 369,168 | |||||
(Gain) Loss on sale and impairment of residential lease assets | (2,931) | 10,755 | 81,086 | 33,778 | 251,984 | |||||
Gain on sale of assets | (3,829) | (21,383) | - | (25,212) | - | |||||
Other, net | - | - | (1,059) | - | (6,796) | |||||
Accounts receivable | (20,484) | 2,921 | 18,916 | (66,194) | (175) | |||||
Contract assets | (20,139) | (25,516) | (5,495) | (38,246) | (43,509) | |||||
Inventories | (20,311) | (45,989) | 64,617 | (128,404) | (39,174) | |||||
Project assets | 7,050 | (3,040) | 48,652 | (2,188) | 39,512 | |||||
Prepaid expenses and other assets | (10,228) | 16,967 | (17,161) | (8,746) | 22,763 | |||||
Operating lease right-of-use assets | 2,311 | 14,999 | - | 8,530 | - | |||||
Long-term financing receivables, net - held for sale | - | 481 | (31,006) | (473) | (182,937) | |||||
Advances to suppliers | 16,899 | 8,518 | 15,236 | 50,191 | 44,417 | |||||
Accounts payable and other accrued liabilities | 15,384 | 52,810 | (58,230) | 79,394 | (127,286) | |||||
Contract liabilities | 19,404 | 4,709 | 9,328 | 27,531 | (30,495) | |||||
Operating lease liabilities | (1,752) | (15,865) | - | (8,954) | - | |||||
Net cash used in operating activities | (4,252) | (36,073) | (26,313) | (270,413) | (543,389) | |||||
Cash flows from investing activities: | ||||||||||
Purchases of property, plant and equipment | (12,295) | (16,896) | (7,198) | (47,395) | (44,906) | |||||
Cash paid for solar power systems, leased, net | - | - | (12,953) | - | (68,612) | |||||
Cash paid for solar power systems | (1,458) | (8,503) | (37,468) | (53,284) | (41,808) | |||||
Cash outflow from sale of residential lease portfolio, net of cash sold | - | - | - | - | - | |||||
Proceeds from sale of cost method investment | - | - | - | - | - | |||||
Cash paid for acquisitions, net of cash acquired | - | - | (17,000) | - | (17,000) | |||||
Dividend from equity method investee | - | - | - | - | 12,952 | |||||
Proceeds from sale of investments | - | 42,957 | 35,942 | 42,957 | 453,708 | |||||
Proceeds from sale of assets | 20,000 | 39,742 | - | 59,970 | - | |||||
Proceeds from business divestiture, net of cash sold | - | - | 10,000 | 40,491 | 23,257 | |||||
Proceeds from sale of distribution rights of debt refinancing | 1,950 | - | - | 1,950 | - | |||||
Cash outflow from sale of residential lease portfolio, net of cash received | 5,474 | (16,397) | (28,004) | (10,923) | (28,004) | |||||
Cash paid for investments in unconsolidated investees | - | (2,400) | (626) | (12,400) | (14,687) | |||||
Net cash provided by (used in) investing activities | 13,671 | 38,503 | (57,307) | 21,366 | 274,900 | |||||
Cash flows from financing activities: | ||||||||||
Proceeds from bank loans and other debt | 150,439 | 87,823 | 60,199 | 381,928 | 227,676 | |||||
Repayment of 0.75% debentures due 2018, bank loans and other debt | (61,920) | (84,035) | (59,023) | (271,015) | (535,252) | |||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | - | 6,528 | 5,079 | 72,259 | 192,287 | |||||
Repayment of non-recourse residential financing | - | (1,803) | (2,427) | (2,959) | (17,358) | |||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | 4,371 | 1,842 | 43,526 | 35,790 | 151,204 | |||||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | - | - | (2,742) | (316) | (21,918) | |||||
Proceeds of common stock equity offering, net of offering costs | 171,834 | - | - | 171,834 | - | |||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | 3,004 | - | 75,754 | 3,004 | 126,020 | |||||
Repayment of non-recourse power plant and commercial financing | - | - | (26,383) | - | (31,282) | |||||
Payment for prior business combination | (30,000) | - | - | (39,000) | - | |||||
Settlement of contingent consideration arrangement, net of cash received | 802 | - | - | (1,646) | - | |||||
Purchases of stock for tax withholding obligations on vested restricted stock | (908) | (292) | (281) | (5,565) | (5,530) | |||||
Net cash provided by (used in) financing activities | 237,622 | 10,063 | 93,702 | 344,314 | 85,847 | |||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 881 | (1,510) | 1,296 | (374) | 2,068 | |||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 247,922 | 10,983 | 11,378 | 94,893 | (180,574) | |||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 210,735 | 199,752 | 352,385 | 363,763 | 544,337 | |||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period | $ 458,657 | $ 210,735 | $ 363,763 | $ 458,657 | $ 363,763 | |||||
Non-cash transactions: | ||||||||||
Stock consideration received from business divestiture | $ - | $ - | $ - | $ - | $ 42,600 | |||||
Costs of solar power systems, leased, sourced from existing inventory | $ - | $ - | $ 5,975 | $ - | $ 36,384 | |||||
Costs of solar power systems, leased, funded by liabilities | $ - | $ - | $ 3,631 | $ - | $ 3,631 | |||||
Costs of solar power systems sourced from existing inventory | $ 21,173 | $ 8,033 | $ - | $ 29,206 | $ - | |||||
Costs of solar power systems funded by liabilities | $ 2,671 | $ 3,604 | $ - | $ 2,671 | $ - | |||||
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets | $ - | $ - | $ 56,332 | $ - | $ 86,540 | |||||
Property, plant and equipment acquisitions funded by liabilities | $ 13,745 | $ 11,911 | $ 8,214 | $ 13,745 | $ 8,214 | |||||
Contractual obligations satisfied with inventory | $ - | $ - | $ 7,924 | $ - | $ 56,840 | |||||
Acquisition of noncontrolling interests funded by Mezzanine Loan proceeds | $ - | $ - | $ - | $ - | $ 12,400 | |||||
Assumption of debt by buyer upon sale of equity interest | $ - | $ - | $ - | $ - | $ 27,321 | |||||
Assumption of debt by buyer in connection with sale of residential lease assets | $ - | $ 69,076 | $ 561,588 | $ 69,076 | $ 561,588 | |||||
Acquisition funded by liabilities | $ - | $ - | $ 9,000 | $ - | $ 9,000 | |||||
Retained interest in SunStrong lease portfolio | $ - | $ - | $ 9,750 | $ - | $ 9,750 | |||||
Receivables in connection with sale of residential lease assets | $ 2,570 | $ 8,043 | $ 12,510 | $ 2,570 | $ 12,510 | |||||
Right-of-use assets obtained in exchange for lease obligations | $ 7,398 | $ 8,939 | $ - | $ 111,142 | $ - | |||||
Derecognition of financing obligations upon business divestiture | $ - | $ - | $ - | $ 590,884 | $ - | |||||
Holdback related to business divestiture | $ 1,927 | $ - | $ - | $ 1,927 | $ - | |||||
Holdback related to sale of manufacturing facility | $ - | $ 18,300 | $ - | $ - | $ - | |||||
Aged supplier financing balances reclassified from AP to short-term debt | $ 22,500 | $ 22,852 | $ - | $ 45,352 | $ - | |||||
Settlement of prior debt obligation with inventory | $ 1,701 | $ - | $ - | $ 1,701 | $ - | |||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures are useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provide investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analysis. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, legacy utility and power plant projects, legacy sale-leaseback transactions and construction services for residential customer contracts, each of which is described below. In addition to the above adjustments, non-GAAP gross margin includes adjustments relating to business process improvement costs, loss on sale and impairment of residential lease assets, impairment of property, plant, and equipment, cost of above-market polysilicon, litigation, stock-based compensation, amortization of intangible assets, and depreciation of idle equipment, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to mark to market (gain) loss on equity investments, gain on business divestiture, transaction-related costs, business reorganization costs, non-cash interest expense, restructuring charges, and tax effect of these non-GAAP adjustments, each of which is described below. In addition to the above adjustments , Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A., our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total S.A.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
(In thousands, except percentages and per share data) | ||||||||||
(Unaudited) | ||||||||||
Adjustments to Revenue: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP revenue | $ 603,761 | $ 475,958 | $ 456,837 | $ 1,864,225 | $ 1,726,085 | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | - | - | (8,588) | |||||
Legacy utility and power plant projects | (44) | (65) | (691) | (303) | (4,145) | |||||
Legacy sale-leaseback transactions | - | - | 69,254 | - | 101,581 | |||||
Other adjustments: | ||||||||||
Construction revenue on solar services contracts | 3,235 | 15,790 | - | 128,144 | - | |||||
Non-GAAP revenue | $ 606,952 | $ 491,683 | $ 525,400 | $ 1,992,066 | $ 1,814,933 | |||||
Adjustments to Gross Profit (Loss) / Margin: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP gross profit (loss) | $ 95,139 | $ 48,251 | $ (7,571) | $ 125,905 | $ (297,081) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | - | - | (8,337) | |||||
Legacy utility and power plant projects | - | (7) | (569) | 993 | (1,244) | |||||
Legacy sale-leaseback transactions | (75) | (181) | 6,132 | (4,763) | 242 | |||||
Other adjustments: | ||||||||||
Business process improvement costs | 1,091 | 2,279 | - | 3,370 | - | |||||
Construction revenue on solar service contracts | 1,966 | 1,160 | - | 20,018 | - | |||||
(Gain) loss on sale and impairment of residential lease assets | (435) | (511) | (2,163) | (1,703) | (14,847) | |||||
Impairment of property, plant and equipment | - | - | - | - | 355,107 | |||||
Cost of above-market polysilicon | 27,549 | 23,878 | 37,231 | 126,805 | 87,228 | |||||
Litigation | (2,515) | - | - | (2,515) | - | |||||
Stock-based compensation expense | 1,559 | 1,522 | 1,236 | 4,382 | 4,996 | |||||
Amortization of intangible assets | 1,783 | 1,783 | 1,889 | 7,135 | 8,966 | |||||
Depreciation of idle equipment | - | - | - | - | 721 | |||||
Non-GAAP gross profit | $ 126,062 | $ 78,174 | $ 36,185 | $ 279,627 | $ 135,751 | |||||
GAAP gross margin (%) | 15.8% | 10.1% | -1.7% | 6.8% | -17.2% | |||||
Non-GAAP gross margin (%) | 20.8% | 15.9% | 6.9% | 14.0% | 7.5% | |||||
Adjustments to Net income (loss): | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP net income (loss) attributable to stockholders | $ 5,440 | $ (15,017) | $ (158,174) | $ 22,159 | $ (811,091) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | - | - | (8,485) | |||||
Legacy utility and power plant projects | - | (7) | (569) | 993 | (1,244) | |||||
Legacy sale-leaseback transactions | (75) | (181) | 10,984 | 5,680 | 18,802 | |||||
Mark-to-market (gain) loss on equity investments | (28,250) | (27,595) | 150 | (156,345) | 6,375 | |||||
Other adjustments: | ||||||||||
Business process improvements costs | 1,091 | 2,279 | - | 3,370 | - | |||||
Construction revenue on solar services contracts | 1,966 | 1,160 | - | (7,012) | - | |||||
(Gain) Loss on sale and impairment of residential lease assets | (3,366) | 5,135 | 81,273 | 25,636 | 227,507 | |||||
Impairment of property, plant and equipment | 4,053 | - | - | 4,053 | 369,168 | |||||
Cost of above-market polysilicon | 27,549 | 23,878 | 37,231 | 126,805 | 87,228 | |||||
Litigation | (2,509) | - | - | (2,509) | - | |||||
Stock-based compensation expense | 8,006 | 6,992 | 6,424 | 26,934 | 28,215 | |||||
Amortization of intangible assets | 1,783 | 1,783 | 1,889 | 7,135 | 8,966 | |||||
Depreciation of idle equipment | - | - | - | - | 721 | |||||
Gain on business divestiture | - | - | - | (143,400) | (59,347) | |||||
Transaction-related costs | 1,723 | 976 | (3,142) | 5,294 | 17,727 | |||||
Business reorganization costs | 10,696 | 6,066 | 1,330 | 23,567 | 1,330 | |||||
Non-cash interest expense | 3 | 10 | 10 | 33 | 68 | |||||
Restructuring charges | 8,039 | 4,283 | (1,107) | 14,110 | 17,497 | |||||
Tax effect | (384) | 880 | (6,605) | 1,345 | (4,797) | |||||
Non-GAAP net loss attributable to stockholders | $ 35,765 | $ 10,642 | $ (30,306) | $ (42,152) | $ (101,360) | |||||
Adjustments to Net income (loss) per diluted share: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Net income (loss) per diluted share | ||||||||||
Numerator: | ||||||||||
GAAP net income (loss) available to common stockholders | $ 5,440 | $ (15,017) | $ (158,174) | $ 22,159 | $ (811,091) | |||||
GAAP net income (loss) available to common stockholders | $ 5,440 | $ (15,017) | $ (158,174) | $ 22,159 | $ (811,091) | |||||
Non-GAAP net income (loss) available to common stockholders | $ 35,765 | $ 10,642 | $ (30,306) | $ (42,152) | $ (101,360) | |||||
Denominator: | ||||||||||
GAAP weighted-average shares | 152,439 | 142,553 | 141,136 | 144,796 | 140,825 | |||||
Effect of dilutive securities: | ||||||||||
Restricted stock units | 3,565 | - | - | 2,729 | - | |||||
GAAP dilutive weighted-average common shares: | 156,004 | 142,553 | 141,136 | 147,525 | 140,825 | |||||
Non-GAAP weighted-average shares1 | 152,439 | 142,533 | 141,136 | 144,796 | 140,825 | |||||
Effect of dilutive securities: | ||||||||||
Restricted stock units | 3,565 | 4,826 | - | - | - | |||||
Non-GAAP weighted-average shares1 | 156,004 | 147,379 | 141,136 | 144,796 | 140,835 | |||||
GAAP net income (loss) per diluted share | $ 0.03 | $ (0.11) | $ (1.12) | $ 0.15 | $ (5.76) | |||||
Non-GAAP net loss per diluted share | $ 0.23 | $ 0.07 | $ (0.21) | $ (0.29) | $ (0.72) | |||||
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||||||
Adjusted EBITDA: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 29, | Sep. 29, | Dec. 30, | Dec. 29, | Dec. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP net income (loss) attributable to stockholders | $ 5,440 | $ (15,017) | $ (158,174) | $ 22,159 | $ (811,091) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | - | - | (8,485) | |||||
Legacy utility and power plant projects | - | (7) | (569) | 993 | (1,244) | |||||
Legacy sale-leaseback transactions | (75) | (181) | 10,984 | 5,680 | 18,802 | |||||
Mark-to-market (gain) loss on equity investment | (28,250) | (27,595) | 150 | (156,345) | 6,375 | |||||
Other adjustments: | ||||||||||
Business process improvement costs | 1,091 | 2,279 | - | 3,370 | - | |||||
Construction revenue on solar services contracts | 1,966 | 1,160 | - | (7,012) | - | |||||
(Gain) loss on sale and impairment of residential lease assets | (3,366) | 5,135 | 81,273 | 25,636 | 227,507 | |||||
Impairment of property, plant and equipment | 4,053 | - | - | 4,053 | 369,168 | |||||
Cost of above-market polysilicon | 27,549 | 23,878 | 37,231 | 126,805 | 87,228 | |||||
Litigation | (2,509) | - | - | (2,509) | - | |||||
Stock-based compensation expense | 8,006 | 6,992 | 6,424 | 26,934 | 28,215 | |||||
Amortization of intangible assets | 1,783 | 1,783 | 1,889 | 7,135 | 8,966 | |||||
Depreciation of idle equipment | - | - | - | - | 721 | |||||
Gain on business divestiture | - | - | - | (143,400) | (59,347) | |||||
Transaction-related costs | 1,723 | 976 | (3,142) | 5,294 | 17,727 | |||||
Business reorganization costs | 10,696 | 6,066 | 1,330 | 23,567 | 1,330 | |||||
Non-cash interest expense | 3 | 10 | 10 | 33 | 68 | |||||
Restructuring charges | 8,039 | 4,283 | (1,107) | 14,110 | 17,497 | |||||
Cash interest expense, net of interest income | 9,229 | 9,624 | 24,584 | 40,207 | 86,394 | |||||
Provision for income taxes | 9,388 | 5,378 | (8,379) | 26,631 | 1,010 | |||||
Depreciation | 16,773 | 17,205 | 21,054 | 74,445 | 120,367 | |||||
Adjusted EBITDA | $ 71,539 | $ 41,969 | $ 13,558 | $ 97,786 | $ 111,208 | |||||
FY 2020 GUIDANCE
(in thousands except percentages) | Q1 2020 | FY 2020 |
Revenue (GAAP) | $435,000-$470,000 | $2,100,000-$2,300,000 |
Revenue (non-GAAP) | $435,000-$470,000 | $2,100,000-$2,300,000 |
Gross margin (GAAP) | 3% - 6% | N/A |
Gross margin (non-GAAP)1 | 9% - 12% | N/A |
Net loss (GAAP) | $(85,000)-$(70,000) | $(195,000)-$(145,000) |
Adjusted EBITDA2 | $(15,000)-$0 | $125,000-$175,000 |
1. | Estimated non-GAAP amounts above for Q1 2020 include net adjustments that increase gross margin by approximately $22 million related to cost of above-market polysilicon, $1 million related to stock-based compensation expense, and $2 million related to amortization of intangible assets. |
2. | Estimated Adjusted EBITDA amounts above for Q1 2020 include net adjustments that decrease net loss by approximately $22 million related to cost of above-market polysilicon, $16 million related to depreciation, $10 million in business reorganization costs, $10 million related to stock-based compensation expense, $8 million related to interest expense, $2 million related to amortization of intangible assets, $1 million related to restructuring charges, and $1 million related to income taxes. Estimated non-GAAP amounts above for fiscal 2020 include net adjustments that decrease net loss by approximately $115 million related to cost of above-market polysilicon, $64 million related to depreciation, $40 million related to stock-based compensation expense, $37 million related to interest expense, $37 million related to business reorganization charges, $15 million related to income taxes, $8 million related to amortization of intangible assets, and $4 million related to restructuring charges. |
SUNPOWER CORPORATION | ||||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||||||
December 29, 2019 | ||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Net income (loss) attributable to non-controlling interests | |||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Loss on sale and impairment of residential lease assets | Other income (expense), net | Provision for income taxes | Equity in earnings of unconsolidated investees | ||||||||||||||||||||||||
GAAP | $ 352,226 | $ 434,708 | $ (183,173) | $ 45,528 | 12.9% | $ 65,345 | 15.0% | $ (15,734) | $ 5,440 | |||||||||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (44) | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (75) | - | - | - | - | - | - | - | - | - | (75) | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | (29,250) | - | 1,000 | (28,250) | ||||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 1,091 | - | - | - | - | - | - | - | - | 1,091 | ||||||||||||||||||||||
Loss on sale and impairment of residential lease assets | - | - | - | (435) | - | - | - | - | - | (2,931) | - | - | - | (3,366) | ||||||||||||||||||||||
Construction revenue on solar services contracts | 3,235 | - | - | 1,966 | - | - | - | - | - | - | - | - | - | 1,966 | ||||||||||||||||||||||
Impairment of property, plant & equipment | - | - | - | - | - | - | - | - | - | - | - | - | 4,053 | 4,053 | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 29,181 | (1,632) | - | - | - | - | - | - | - | 27,549 | ||||||||||||||||||||||
Litigation | - | - | - | 709 | (3,224) | - | - | 6 | - | - | - | - | - | (2,509) | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,020 | 539 | - | 824 | 5,623 | - | - | - | - | - | 8,006 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | (0) | - | - | - | - | - | 1,783 | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 569 | 10,127 | - | - | - | - | - | 10,696 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,723 | - | - | - | - | - | 1,723 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 3 | - | - | - | - | - | 3 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 8,039 | - | - | - | - | 8,039 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | (384) | - | (384) | ||||||||||||||||||||||
Non-GAAP | $ 355,461 | $ 434,664 | $ (183,173) | $ 48,713 | 13.7% | $ 94,715 | 21.8% | $ (17,366) | $ 35,765 | |||||||||||||||||||||||||||
September 29, 2019 | ||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Loss on sale and impairment of residential lease assets | Other income (expense), net | Benefit from income taxes | Equity in earnings of unconsolidated investees | Loss attributable to non-controlling interests | Net income (loss) attributable to stockholders | ||||||||||||||||||||||
GAAP | $ 277,688 | $ 333,896 | $ (135,626) | $ 29,271 | 10.5% | $ 18,603 | 5.6% | $ 377 | $ (15,017) | |||||||||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (65) | - | (7) | - | - | - | - | - | - | - | - | - | - | (7) | |||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (181) | - | - | - | - | - | - | - | - | - | - | (181) | |||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | (28,548) | - | 953 | - | (27,595) | |||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 2,279 | - | - | - | - | - | - | - | - | - | 2,279 | |||||||||||||||||||||
Loss on sale and impairment of residential lease assets | - | - | - | (511) | - | - | - | - | - | 10,756 | - | - | - | (5,110) | 5,135 | |||||||||||||||||||||
Construction revenue on solar services contracts | 15,790 | - | - | 1,160 | - | - | - | - | - | - | - | - | - | - | 1,160 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 29,633 | (5,755) | - | - | - | - | - | - | - | - | 23,878 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 741 | 781 | - | 903 | 4,567 | - | - | - | - | - | - | 6,992 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | - | 1,783 | |||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 6,066 | - | - | - | - | - | - | 6,066 | |||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 976 | - | - | - | - | - | - | 976 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 4,283 | - | - | - | - | - | 4,283 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | 880 | - | - | 880 | |||||||||||||||||||||
Non-GAAP | $ 293,478 | $ 333,831 | $ (135,626) | $ 30,473 | 10.4% | $ 53,079 | 15.9% | $ (5,378) | $ 10,642 | |||||||||||||||||||||||||||
December 30, 2018 | ||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | ||||||||||||||||||||||||||||||||||
SPES | SPT | Intersegment revenue eliminations | SPES | SPT | Intersegment revenue eliminations | Research and | Sales, general | Restructuring charges | Loss on sale and impairment and sale of residential lease asset | Other income (expense), net | Benefit from income taxes | Loss attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||
GAAP | $ 265,427 | $ 277,256 | $ (85,846) | $ 20,126 | 7.6% | $ (19,616) | -7.1% | $ (8,081) | $ (158,174) | |||||||||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | (240) | (451) | - | (472) | (97) | - | - | - | - | - | - | - | - | (569) | ||||||||||||||||||||||
Legacy sale-leaseback transactions | 69,254 | - | - | 6,113 | 19 | - | - | - | - | - | 4,852 | - | - | 10,984 | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | 150 | - | - | 150 | ||||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||
Loss on sale and impairment of residential lease assets | - | - | - | (2,163) | - | - | - | - | - | 81,086 | - | - | 2,350 | 81,273 | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | 2,055 | 35,176 | - | - | - | - | - | - | - | - | 37,231 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 610 | 626 | - | 907 | 4,281 | - | - | - | - | - | 6,424 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | 616 | 1,273 | - | - | - | - | - | - | - | - | 1,889 | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 1,330 | - | - | - | - | - | 1,330 | ||||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | (3,142) | - | - | - | - | - | (3,142) | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | (1,107) | - | - | - | - | (1,107) | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | (6,605) | - | (6,605) | ||||||||||||||||||||||
Non-GAAP | $ 334,441 | $ 276,805 | $ (85,846) | $ 26,885 | 8.0% | $ 17,381 | 6.3% | $ (8,081) | $ (30,306) | |||||||||||||||||||||||||||
TWELVE MONTHS ENDED | ||||||||||||||||||||||||||||||||||||
December 29, 2019 | ||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Benefit from (provision for) income taxes | Equity in losses of unconsolidated investees | Loss attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Loss on sale and impairment of residential lease assets | Gain on business divestiture | ||||||||||||||||||||||||||
GAAP | $ 1,019,861 | $ 1,314,379 | $ (470,015) | $ 104,406 | 10.2% | $ 29,138 | 2.2% | $ (7,639) | $ 22,159 | |||||||||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||
8point3 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||
Legacy utility and power plant projects | - | (303) | - | 118 | 875 | - | - | - | - | - | - | - | - | - | - | 993 | ||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (4,764) | 1 | - | - | - | - | - | - | 10,443 | - | - | - | 5,680 | ||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (158,298) | - | 1,953 | - | (156,345) | ||||||||||||||||||||
Other adjustments: | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
Business process improvement costs | - | - | - | - | 3,370 | - | - | - | - | - | - | - | - | - | - | 3,370 | ||||||||||||||||||||
Intersegment mark-up | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||
Loss on sale and impairment of residential lease assets | - | - | - | (1,703) | - | - | - | - | - | 33,779 | - | - | - | - | (6,440) | 25,636 | ||||||||||||||||||||
Construction revenue on solar services contracts | 128,144 | - | - | 20,018 | - | - | - | - | - | - | - | - | - | - | (27,030) | (7,012) | ||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 132,117 | (5,312) | - | - | - | - | - | - | - | - | - | 126,805 | ||||||||||||||||||||
Litigation | - | - | - | 709 | (3,224) | - | - | 6 | - | - | - | - | - | - | - | (2,509) | ||||||||||||||||||||
Impairment of property, plant & equipment | - | - | - | - | - | - | - | - | - | - | - | - | - | 4,053 | - | 4,053 | ||||||||||||||||||||
Stock-based compensation expense | - | - | - | 2,389 | 1,993 | - | 3,199 | 19,353 | - | - | - | - | - | - | - | 26,934 | ||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 7,135 | - | - | (0) | - | - | - | - | - | - | - | 7,135 | ||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (143,400) | - | - | - | - | (143,400) | ||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 1,346 | 22,221 | - | - | - | - | - | - | - | 23,567 | ||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 5,294 | - | - | - | - | - | - | - | 5,294 | ||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 33 | - | - | - | - | - | - | - | 33 | ||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 14,110 | - | - | - | - | - | - | 14,110 | ||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,345 | - | - | 1,345 | ||||||||||||||||||||
Non-GAAP | $ 1,148,005 | $ 1,314,076 | $ (470,015) | $ 121,173 | 10.6% | $ 171,405 | 13.0% | $ (12,951) | $ (42,152) | |||||||||||||||||||||||||||
December 30, 2018 | ||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Benefit from (provision for) income taxes | Equity in earnings of unconsolidated investees | Loss attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||
SPES | SPT | Intersegment revenue eliminations | SPES | SPT | Intersegment revenue eliminations | Research and | Sales, general | Restructuring charges | Impairment and sale of residential lease asset | Gain on business divestitures | ||||||||||||||||||||||||||
GAAP | $ 1,045,614 | $ 1,069,010 | $ (388,539) | $ 156,204 | 14.9% | $ (427,899) | -40.0% | $ (25,386) | $ (811,091) | |||||||||||||||||||||||||||
Adjustments based on IFRS: | ||||||||||||||||||||||||||||||||||||
8point3 | (2,400) | (6,188) | - | (2,149) | (6,188) | - | - | - | - | - | - | - | - | (148) | - | (8,485) | ||||||||||||||||||||
Legacy utility and power plant projects | (828) | (3,317) | - | (787) | (457) | - | - | - | - | - | - | - | - | - | - | (1,244) | ||||||||||||||||||||
Sale-leaseback transactions | 101,581 | - | - | 661 | (419) | - | - | - | - | - | - | 18,560 | - | - | - | 18,802 | ||||||||||||||||||||
Mark-to-market loss on equity investments | - | - | - | - | - | - | - | - | - | - | - | 6,375 | - | - | - | 6,375 | ||||||||||||||||||||
Other adjustments: | ||||||||||||||||||||||||||||||||||||
Loss on sale and impairment and sale of residential lease assets | - | - | - | (14,847) | - | - | - | - | - | 251,984 | - | - | - | - | (9,630) | 227,507 | ||||||||||||||||||||
Impairment of property, plant and equipment | - | - | - | 33 | 355,074 | - | 12,832 | 1,229 | - | - | - | - | - | - | - | 369,168 | ||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (3,795) | 91,023 | - | - | - | - | - | - | - | - | - | - | 87,228 | ||||||||||||||||||||
Stock-based compensation expense | - | - | - | 2,370 | 2,626 | - | 5,496 | 17,723 | - | - | - | - | - | - | - | 28,215 | ||||||||||||||||||||
Amortization of intangible assets | - | - | - | 4,109 | 4,857 | - | - | - | - | - | - | - | - | - | - | 8,966 | ||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 1,330 | - | - | - | - | - | - | - | 1,330 | ||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 289 | 432 | - | - | - | - | - | - | - | - | - | - | 721 | ||||||||||||||||||||
Gain on business divestitures | - | - | - | - | - | - | - | - | - | - | (59,347) | - | - | - | - | (59,347) | ||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | 17,727 | - | - | - | - | - | - | - | 17,727 | ||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 7 | 61 | - | - | - | - | - | - | - | 68 | ||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 17,497 | - | - | - | - | - | - | 17,497 | ||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (4,797) | - | - | (4,797) | ||||||||||||||||||||
Non-GAAP | $ 1,143,967 | $ 1,059,505 | $ (388,539) | $ 142,088 | 12.4% | $ 19,049 | 1.8% | $ (25,386) | $ (101,360) | |||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
2/12/20201/6/2020 - CFO Named for Maxeon Solar Technologies
CFO Named for Maxeon Solar Technologies
Source: PR Newswire
SAN JOSE, Calif., Jan. 6, 2020 /PRNewswire/ -- SunPower Corporation (NASDAQ: SPWR), today announced that Joanne Solomon has been named Chief Financial Officer (CFO) of Maxeon Solar Technologies (Maxeon Solar), the planned spin-off from SunPower. A seasoned executive with more than 30 years of experience, Solomon will join the company on Jan. 6, 2020 and in her role, she'll lead Maxeon Solar's global finance, planning, accounting and information technology organizations. She will work closely with SunPower CFO Manavendra Sial throughout the transition to Maxeon Solar splitting off. SunPower announced in November plans to separate into two companies that will be complementary, strategically-aligned and focused on distinct offerings.
Solomon most recently served since 2017 as CFO for Katerra Inc. Prior to this, she worked for 16 years at Amkor Technology, Inc., one of the world's largest providers of semiconductor packaging and test services, in various roles including CFO. Solomon began her career at Price Waterhouse.
"We're pleased to have Joanne join us as we build our Maxeon Solar leadership team," said Jeff Waters, CEO of SunPower Technologies and soon-to-be CEO of Maxeon Solar. "She brings a wealth of practical and leadership experience in key areas as we work to build off of SunPower's success and become the leading global technology innovator, manufacturer and marketer of premium solar panels."
Solomon earned a Bachelor of Science in Business Accounting from Drexel University and a Master of Business Administration in International Management from Thunderbird School of Global Management.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward‐looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the anticipated spinoff of Maxeon Solar, and the business prospects of the resulting companies. These forward‐looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward‐looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges in executing transactions key to our strategic plans, including completing the separation, including regulatory and other challenges that may arise. A detailed discussion of the factors noted herein and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10‐K and Form 10‐Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward‐looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward‐looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
1/6/202012/19/2019 - SunPower Wins Solar Industry Sustainability Award
SunPower Wins Solar Industry Sustainability Award
Source: PR Newswire
SAN JOSE, Calif., Dec. 19, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) announced that it received pv magazine's 2019 Sustainability Award, recognizing outstanding sustainability leadership in the solar industry. The award merits were judged by an independent panel of experts.
The achievement, the first awarded by the global trade publication, adds to SunPower's legacy of leadership in sustainable practices:
"While there is always more to be done, we are proud of the innovations that have led to this award," said Jeff Waters, CEO of SunPower's Technologies business unit, which designs and manufactures SunPower cells and panels. "We aim to produce panels as clean as the energy they produce. The same panels that lead the industry in efficiency and reliability are also the most sustainably made."
SunPower® panels also deliver ancillary sustainability benefits through their power and reliability attributes. For example, because Maxeon panels have industry leading efficiency, system owners can generate the same power as conventional arrays with fewer panels. Designed for longevity, Maxeon panels have a 40-year expected useful life and a 0.005 percent warranty return rate as demonstrated across more than 15 million solar panels measured.
SunPower also requires its recycling vendors to be either R2/RIOS or E-stewards certified, was a founding member of PV CYCLE, the EU's solar panel take-back and recycling program and co-led the Solar Energy Industry Association effort to develop the first USA-based industry-wide recycling program.
"SunPower's patented Maxeon cell design removes the need for dangerous chemicals such as lead, cadmium and mercury," Waters added. "As a result, our Maxeon panels can be handled more readily by recycling vendors due to the elimination of heavy metals."
For more information on SunPower's approach to solar sustainability, read here.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and MAXEON are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. LEED GOLD is a trademark owned by the U.S. Green Building Council. All other logos and trademarks are properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
12/19/2019SunPower Announces Pricing of Public Offering of Common Stock
Source: PR Newswire
SAN JOSE, Calif., Nov. 20, 2019 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR) today announced the pricing of an underwritten public offering of 22 million shares of its common stock at a price of $7.00 per share. SunPower also granted the underwriters a 30-day option to purchase up to an additional 3.3 million shares of its common stock in the public offering on the same terms and conditions. SunPower expects to receive net proceeds from the offering of approximately $147.2 million after underwriting discounts and commissions and estimated offering expenses (or approximately $169.6 million if the underwriters exercise their option to purchase additional shares). The offering is expected to close on Nov. 25, 2019, subject to customary closing conditions.
SunPower intends to use the net proceeds from the offering for general corporate purposes, which may include partially funding the repayment of its 0.875% senior convertible debentures due in 2021.
Goldman Sachs & Co. LLC and BofA Securities are serving as joint book-running managers and representatives of the underwriters for the offering. Baird is also acting as a co-manager for the offering. A registration statement relating to these securities has been filed with the Securities and Exchange Commission (SEC) and is effective. The offering will be made only by means of the prospectus in that registration statement and the related prospectus supplement. These documents may be accessed for free by visiting the SEC's website at www.sec.gov. Alternatively, SunPower, any underwriter or any dealer participating in the offering will arrange to send the prospectus and the related prospectus supplement by contacting SunPower at 51 Rio Robles, San Jose, CA 95134, Attention: Investor Relations or calling 408/240-5447; by contacting Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, calling 866/471-2526, faxing 212/902-9316 or emailing Prospectus-ny@ny.email.gs.com; or by contacting BofA Securities, NC1-004-03-43, 200 North College Street, 3rd Floor, Charlotte, NC 28255-0001, Attention: Prospectus Department, calling 800/294-1322 or emailing dg.prospectus_requests@bofa.com.
This press release does not constitute an offer to sell or the solicitation of an offer to buy SunPower's common stock nor shall there be any sale of such common stock in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About SunPower Corporation
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements related to the use of the net proceeds of the offering. These forward-looking statements are based on current assumptions, expectations and beliefs of SunPower and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to SunPower's strategic plans, including regulatory and other challenges that may arise; (2) the success of SunPower's ongoing research and development efforts and SunPower's ability to commercialize new products and services, including products and services developed through strategic partnerships; (3) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (4) SunPower's liquidity, substantial indebtedness, and ability to obtain additional financing for SunPower's projects and customers; (5) changes in public policy, including the imposition and applicability of tariffs; (6) regulatory changes and the availability of economic incentives promoting use of solar energy; (7) fluctuations in SunPower's operating results; (8) appropriately sizing SunPower's manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (9) challenges managing SunPower's acquisitions, joint ventures and partnerships, including SunPower's ability to successfully manage acquired assets and supplier relationships; and (10) risks and uncertainties related to SunPower's proposed separation of its SunPower Technologies business unit into a new stand-alone company, including the associated benefits and costs. A detailed discussion of these factors and other risks that affect SunPower's business is included in filings SunPower makes with the SEC from time to time, including SunPower's most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of the Company's Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to SunPower, and SunPower assumes no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
11/21/201911/18/2019 - SunPower Announces Public Offering of Common Stock
SunPower Announces Public Offering of Common Stock
Source: PR Newswire
SAN JOSE, Calif., Nov. 18, 2019 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR) today announced that it is offering to sell, subject to market and other conditions, 22 million shares of its common stock through an underwritten public offering. SunPower also intends to grant the underwriters an option, exercisable for 30 days after the date of the final prospectus supplement, to purchase up to an additional 3.3 million shares of its common stock on the same terms and conditions.
SunPower intends to use the net proceeds from the offering for general corporate purposes, which may include partially funding the repayment of its 0.875% senior convertible debentures due 2021.
Goldman Sachs & Co. LLC and BofA Securities are serving as joint book-running managers and representatives of the underwriters for the offering. Baird is also acting as a co-manager for the offering. A registration statement relating to these securities has been filed with the Securities and Exchange Commission (SEC) and is effective. The offering will be made only by means of the prospectus in that registration statement and the related prospectus supplement. These documents may be accessed for free by visiting the SEC's website at www.sec.gov. Alternatively, SunPower, any underwriter or any dealer participating in the offering will arrange to send the prospectus and the related prospectus supplement by contacting SunPower at 51 Rio Robles, San Jose, CA 95134, Attention: Investor Relations or calling 408/240-5447; by contacting Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, calling 866/471-2526, faxing 212/902-9316 or emailing Prospectus-ny@ny.email.gs.com; or by contacting BofA Securities, NC1-004-03-43, 200 North College Street, 3rd Floor, Charlotte, NC 28255-0001, Attention: Prospectus Department, calling 800/294-1322 or emailing dg.prospectus_requests@bofa.com.
This press release does not constitute an offer to sell or the solicitation of an offer to buy SunPower's common stock nor shall there be any sale of such common stock in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About SunPower Corporation
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements related to the use of the net proceeds of the offering. These forward-looking statements are based on current assumptions, expectations and beliefs of SunPower and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to SunPower's strategic plans, including regulatory and other challenges that may arise; (2) the success of SunPower's ongoing research and development efforts and SunPower's ability to commercialize new products and services, including products and services developed through strategic partnerships; (3) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (4) SunPower's liquidity, substantial indebtedness, and ability to obtain additional financing for SunPower's projects and customers; (5) changes in public policy, including the imposition and applicability of tariffs; (6) regulatory changes and the availability of economic incentives promoting use of solar energy; (7) fluctuations in SunPower's operating results; (8) appropriately sizing SunPower's manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (9) challenges managing SunPower's acquisitions, joint ventures and partnerships, including SunPower's ability to successfully manage acquired assets and supplier relationships; and (10) risks and uncertainties related to SunPower's proposed separation of its SunPower Technologies business unit into a new stand-alone company, including the associated benefits and costs. A detailed discussion of these factors and other risks that affect SunPower's business is included in filings SunPower makes with the SEC from time to time, including SunPower's most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of the Company's Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to SunPower, and SunPower assumes no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
11/18/2019SunPower To Create Two Independent, Industry-Leading, Publicly-Traded Companies
Source: PR Newswire
SAN JOSE, Calif., Nov. 11, 2019 SunPower (NASDAQ:SPWR) today announced plans to separate into two independent, complementary, strategically-aligned and publicly-traded companies – SunPower and Maxeon Solar Technologies (Maxeon Solar). Each company will focus on distinct offerings built on extensive experience across the solar value chain.
Concurrent with the transaction, an equity investment of $298 million will be made in Maxeon Solar by long-time partner Tianjin Zhonghuan Semiconductor Co., Ltd. (TZS), a premier global supplier of silicon wafers, to help finance the scale‐up of Maxeon® 5 production capacity.
"We believe that the solar industry is entering a period of extended growth where success will be driven by value chain specialization, technology innovation and economies of scale," said Tom Werner, president and CEO of SunPower. "This new structure and investment will create two focused businesses, each with unique expertise to excel in their part of the value chain."
SunPower: Pure Play, Focused DG Energy Services Company Leveraging the World's Best Solar Platform
Tom Werner will continue as CEO and chairman of the board of SunPower and the company will maintain its corporate headquarters in Silicon Valley (Calif.), as well as its employee and economic investment footprint across the U.S. and Canada, and its large, exclusive dealer network.
SunPower will focus on product innovation, downstream high-efficiency solar systems plus high-growth storage and energy services. The company also will continue its commitment to American manufacturing with its Hillsboro, Ore., Performance Series module assembly facility. At the time of the separation, SunPower and Maxeon Solar will have entered into a multi-year exclusive supply agreement covering sales within the U.S. and Canada of products manufactured by Maxeon Solar. Under the new structure, SunPower will continue to develop its dealer network, which represents the largest residential and light commercial franchise in the industry.
The two companies will cooperate to develop and commercialize next generation solar panel technologies, with early stage research conducted by SunPower's Silicon Valley-based research and development group, and deployment-focused innovation and scale-up carried out by Maxeon Solar.
Maxeon Solar: Advanced Technologies Deployed at Scale
Jeff Waters, currently chief executive officer of SunPower's Technologies business unit, has been named Maxeon Solar's CEO. Maxeon Solar has been incorporated and will be headquartered in Singapore and its ordinary shares are expected to be traded on NASDAQ. Maxeon Solar will own and operate solar cell and panel manufacturing facilities located in France, Malaysia, Mexico and the Philippines. It will also maintain its R&D, marketing and sales footprint outside of the U.S. and Canada.
Maxeon Solar will focus on continuing to bring its industry leading panel technology to high volume scale. It will market its high-efficiency solar panels under the SunPower brand into the global marketplace, and into the U.S. and Canada via a multi-year exclusive supply agreement to be entered into with SunPower at the time of separation. Maxeon Solar will maintain 20 percent ownership of the Performance Series manufacturing joint venture (Huansheng Photovoltaic [Jiangsu] Company, Ltd.) and will continue to market those panels globally.
Investment to Accelerate Next Generation Solar Panel Technology
"TZS's $298 million investment into Maxeon Solar will catalyze continued scale-up of Maxeon 5® capacity at our manufacturing facility in Malaysia, allowing us to increase our distributed generation market share and accelerate profit growth," said Jeff Waters, Maxeon Solar CEO. "This investment validates our industry-leading technology, brand and global channels to market."
"TZS was chosen as the best investment partner for Maxeon following an exhaustive three-year independent search," Waters said. "They bring not only the capital necessary to fast-track scale-up our Maxeon® 5 technology, but also have deep experience across the upstream Asia supply chain. SunPower has a long strategic relationship with TZS, having cooperated on seven joint ventures and joint development projects since 2012."
"In the past eight years, TZS and SunPower have established a great and long-term partnership and the rapid scale-up of Performance Series technology to multi-gigawatt capacity has already demonstrated the power and synergy of our cooperation," said Haoping Shen, chairman and general manager of TZS. We share with Total the consensus on business philosophy and are happy to become a shareholder of Maxeon Solar Technologies and look forward to supporting the scale-up of Maxeon technologies and the deployment of future technology innovations."
"During the last years, SunPower has successfully adapted the company and its products in a challenging global solar market," said Patrick Pouyanné, Total CEO. "As the main shareholder of Sunpower, we support this transaction which will bring clarity and focus for both entities on their respective activities. We welcome TZS as partner in Maxeon Solar Technologies which will be able to further develop its highly differentiated PV technology platforms and SunPower will focus on developing its leadership position in distributed generation in Northern America. Total intends to remain shareholder of both Sunpower and Maxeon Solar Technologies."
The separation is expected to occur through a spin‐off of all of the shares of Maxeon Solar held by SunPower to SunPower shareholders, followed by the TZS investment. It is intended to be tax-free to SunPower shareholders. After the completion of the transactions, TZS will own approximately 28.848 percent of the diluted ordinary shares of Maxeon Solar with approximately 71.152 percent will be owned by SunPower shareholders, as of the record date of the spin-off. SunPower expects to complete the separation and Maxeon Solar capital injection in the second quarter of 2020, subject to the satisfaction of various closing conditions.
SunPower's Board of Directors and a special committee of independent directors unanimously approved this transaction.
Investors Conference Call Today - Monday, Nov. 11, 2019 at 5:30 a.m. Pacific
SunPower will host a conference call for investors to discuss today's announcement at 5:30 a.m., Pacific Time. The dial-in for the call is (877) 371-5747, passcode SunPower. It also will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm. The slide presentation can be accessed at this same site beginning at 4 a.m. Pacific time.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About TZS
Tianjin Zhonghuan Semiconductor Co., Ltd. (TZS) is a Tianjin-based company listed in Shenzhen Stock Exchange (Stock code: 002129.SZ), with a registered capital of RMB 724,244,412. TZS is an integrated high-tech enterprise with research, production, operation and venture capital functions, and is committed to the manufacturing of monocrystalline silicon materials and other related products. As one of the first monocrystalline silicon wafer manufacturers in the solar industry in China, TZS has been engaged in the research and production of monocrystalline silicon wafer since 1981. As of June 30th, 2019, TZS has 30GW annual production capacity of monocrystalline silicon wafer. With ongoing development of major facilities, TZS will expand its monocrystalline silicon wafer capacity to over 56GW. Beside solar products, TZS's other products are also widely applied in smart grid transmission, new-energy vehicles, high-speed railways, inverters for wind power, integrated circuits, consumer electronics, aerospace, and other areas.
About Total
Total is a major energy player that produces and markets fuels, natural gas and low-carbon electricity. Our 100,000 employees are committed to better energy that is safer, more affordable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.
SunPower's Forward-Looking Statements
This press release contains "forward‐looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, (a) statements regarding the anticipated separation of our international SunPower Technologies business into a new stand‐alone company and the associated benefits and costs to the newly separated companies, (b) the expected timetable for completing the transaction, the equity investment by TZS into Maxeon Solar and the use of proceeds from such investment and (c) the business prospects of the resulting companies; and (d) the future prospects and growth of the solar industry. These forward‐looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward‐looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to our strategic plans, including completing the separation, including regulatory and other challenges that may arise; (2) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (3) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (4) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (5) changes in public policy, including the imposition and applicability of tariffs; (6) regulatory changes and the availability of economic incentives promoting use of solar energy; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; and (9) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. In addition, the proposed and the associated investment by TZS in Maxeon Solar may not be consummated within the anticipated period or at all and the ultimate results of any separation depend on a number of factors, including the development of final plans and the impact of local regulatory requirements. A detailed discussion of the factors noted herein and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10‐K and Form 10‐Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward‐looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward‐looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
11/11/201910/30/2019 - SunPower Reports Third Quarter 2019 Results
SunPower Reports Third Quarter 2019 Results
Source: PR Newswire
SAN JOSE, Calif., Oct. 30, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its third quarter ended Sept. 29, 2019.
Third Quarter Company Highlights
SunPower Energy Services (SPES)
SunPower Technologies (SPT)
($ Millions, except percentages and per-share data) | 3rd Quarter 2019 | 2nd Quarter 2019 | 3rd Quarter 2018 |
GAAP revenue | $476.0 | $436.3 | $428.3 |
GAAP gross margin | 10.1% | 4.5% | 2.3% |
GAAP net income (loss) | $(15.0) | $121.5 | $(89.8) |
GAAP net income (loss) per diluted share | $(0.11) | $0.75 | $(0.64) |
Non-GAAP revenue1 | $491.7 | $481.9 | $443.4 |
Non-GAAP gross margin1 | 15.9% | 10.5% | 4.7% |
Non-GAAP net income (loss)1 | $10.6 | $(31.1) | $(40.9) |
Non-GAAP net income (loss) per diluted share1 | $0.07 | $(0.22) | $(0.29) |
Adjusted EBITDA1 | $42.0 | $8.0 | $6.7 |
MW Deployed | 586 | 622 | 346 |
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
Third Quarter 2019 Results
"Our third quarter results reflect continuing execution of our strategic plan," said Tom Werner, SunPower CEO and chairman of the board. "We met our financial outlook for the quarter and demonstrated ongoing progress against our key growth initiatives including the further ramp of our Maxeon 5 technology scale-up, adding to our storage and services offerings, and expanding our digital platforms.
SunPower Energy Services (SPES)
"We executed well in our North American residential business with revenue growth of more than 12 percent year-over-year and record bookings during the quarter as we benefitted from the strength of our channel model. Also, building on the success of our commercial Helix Storage solution, we officially launched our residential Equinox Storage product in the third quarter. Our Equinox platform is the industry's only fully integrated solar and storage solution designed, engineered and warranted by one company. In new homes, we continued to expand our commanding position in the market ahead of California's 2020 new home solar mandate as we posted another record bookings and shipments quarter with a backlog now exceeding 40,000 homes.
"In Commercial, we maintained our market share lead as year-over-year deployments rose. Our channel and origination teams are executing well as our backlog continues to grow. However, project deployment execution has been disappointing and we are undertaking a number of initiatives in our direct business that we believe will drive stronger financial performance starting in the fourth quarter. Finally, demand for our Helix Storage solution remains high as our pipeline exceeds 145 megawatts (MW) with attach rates of 35 percent.
SunPower Technologies (SPT)
"SPT posted another strong quarter driven primarily by ongoing growth in our global DG supply business, especially in Europe, Korea and Australia. We also continued to build solid power plant supply agreement backlog into 2020. The ramp of our industry leading Maxeon 5 cell and panel technology continues as we commenced production on our second production line this quarter. Also, we have made progress toward finalizing a potential investment to accelerate Maxeon 5 production and expect to be in a position to announce this agreement in the fourth quarter. Finally, we are pleased to see strong escalating demand for our Performance Series (P-Series) product as we expect to ship a combined volume of over 1.3 gigawatts (GW) of P-Series panels in 2019 from our joint venture and our Oregon manufacturing facility," Werner concluded.
Consolidated Financials
"We were pleased with our third quarter financial performance," said Manavendra Sial, SunPower chief financial officer. "In relation to the balance sheet, we increased our liquidity, generating positive cash at the business unit level while further reducing our legacy liabilities. Finally, we were pleased to announce our second partnership with Hannon Armstrong that enables a highly capital efficient and flexible structure to finance our 200 MW of safe harbor inventory."
Third quarter fiscal year 2019 non-GAAP results exclude net adjustments that, in the aggregate, increased non-GAAP earnings by $25.7 million, including $23.9 million related to the cost of above-market polysilicon, $7.0 million related to stock-based compensation expense, $6.1 million related to business reorganization costs, $5.1 million related to loss on sale and impairment of residential lease assets, $4.3 million restructuring expense, $2.2 million related to business process improvement costs, $1.8 million related to amortization of intangible assets, $1.2 million related to construction revenue on solar services contracts, $1.0 million transaction-related costs, and $0.9 million related to tax effect, partially offset by $27.6 million related to mark-to-market gain on equity investment and $0.2 million related to legacy sale-leaseback transactions.
Financial Outlook
The company's fourth quarter 2019 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $520 million to $720 million, gross margin of 11 percent to 12 percent and net loss of $28 million to $8 million. On a non-GAAP basis, the company expects revenue of $520 million to $720 million, gross margin of 16 percent to 19 percent, Adjusted EBITDA of $74 million to $94 million and MW deployed in the range of 445 MW to 645 MW.
The company's fiscal year 2019 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $1.8 billion to $2.0 billion and a net loss of $20 million to $0 million. On a non-GAAP basis, revenue of $1.9 billion to $2.1 billion and operational expenses of less than $270 million. Gigawatts deployed is expected to be in the range of 2.1 GW to 2.3 GW in addition to the company's safe harbor program and capital expenditures of approximately $65 million. The company's fourth quarter and fiscal year 2019 guidance includes approximately $20 million in gross margin attributable to certain legacy power plant projects.
The company is maintaining its fiscal year 2019 Adjusted EBITDA guidance to the range of $100 million to $120 million.
The company will host a conference call for investors this afternoon to discuss its third quarter 2019 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its third quarter 2019 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our plans and expectations regarding potential investment to expand Maxeon 5 production, including timing, certainty and impact; (b) our expectations and plans regarding market traction, growth, demand, and volume; (c) our plans and expectations for our products and planned products, including anticipated markets and demand, cost impacts, and impacts on our financial performance and our ability to meet our targets and goals; (d) our plans and expectations for initiatives to improve execution and performance in our commercial business, including timing and anticipated impact on financial performance; (e) our plans and expectations regarding manufacturing expansion, and production goals and ramps, including the timing of our ramp of Maxeon 5 and P-Series production expansion; (f) our plans and expectations for our safe harbor program and our joint venture with Hannon Armstrong; (g) the expected sale of certain legacy power plant projects, including timing and impact on financial statements; (h) our positioning for future success and profitability and long-term competitiveness, and our ability to achieve our financial and strategic goals; (i) our fourth quarter fiscal 2019 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions; and (j) fiscal year 2019 guidance, including, GAAP and non-GAAP revenue, net loss, non-GAAP operational expenses, non-GAAP GW deployed, non- GAAP capital expenditures, and Adjusted EBITDA, and related assumptions.
These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges in executing transactions key to our strategic plans, including regulatory and other challenges that may arise; (2) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (3) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (4) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (5) changes in public policy, including the imposition and applicability of tariffs; (6) regulatory changes and the availability of economic incentives promoting use of solar energy; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; and (9) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2019 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Sep. 29, | Dec. 30, | ||
2019 | 2018 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 188,983 | $ 309,407 | |
Restricted cash and cash equivalents, current portion | 10,097 | 41,762 | |
Restricted short-term marketable securities | 6,033 | - | |
Accounts receivable, net | 205,667 | 175,605 | |
Contract assets | 78,868 | 58,994 | |
Inventories | 388,508 | 308,146 | |
Advances to suppliers, current portion | 75,366 | 37,878 | |
Project assets - plants and land, current portion | 20,260 | 10,796 | |
Prepaid expenses and other current assets | 132,643 | 131,183 | |
Total current assets | 1,106,425 | 1,073,771 | |
Restricted cash and cash equivalents, net of current portion | 11,655 | 12,594 | |
Restricted long-term marketable securities | - | 5,955 | |
Property, plant and equipment, net | 335,375 | 839,871 | |
Operating lease right-of-use assets | 46,283 | - | |
Solar power systems leased and to be leased, net | 55,444 | 92,557 | |
Advances to suppliers, net of current portion | 62,914 | 133,694 | |
Long-term financing receivables, net - held for sale | - | 19,592 | |
Other intangible assets, net | 9,504 | 12,582 | |
Other long-term assets | 262,072 | 162,033 | |
Total assets | $ 1,889,672 | $ 2,352,649 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 440,267 | $ 325,550 | |
Accrued liabilities | 194,367 | 235,252 | |
Operating lease liabilities, current portion | 8,644 | - | |
Contract liabilities, current portion | 118,644 | 104,130 | |
Short-term debt | 80,297 | 40,074 | |
Total current liabilities | 842,219 | 705,006 | |
Long-term debt | 48,460 | 40,528 | |
Convertible debt | 819,783 | 818,356 | |
Operating lease liabilities, net of current portion | 44,807 | - | |
Contract liabilities, net of current portion | 67,930 | 99,509 | |
Other long-term liabilities | 226,729 | 839,136 | |
Total liabilities | 2,049,928 | 2,502,535 | |
Equity: | |||
Preferred stock | - | - | |
Common stock | 143 | 141 | |
Additional paid-in capital | 2,483,815 | 2,463,370 | |
Accumulated deficit | (2,455,119) | (2,480,988) | |
Accumulated other comprehensive loss | (3,791) | (4,150) | |
Treasury stock, at cost | (191,725) | (187,069) | |
Total stockholders' deficit | (166,677) | (208,696) | |
Noncontrolling interests in subsidiaries | 6,421 | 58,810 | |
Total deficit | (160,256) | (149,886) | |
Total liabilities and equity | $ 1,889,672 | $ 2,352,649 | |
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
(In thousands, except per share data) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Revenue: | ||||||||||
SunPower Energy Services | $ 277,688 | $ 211,726 | $ 263,576 | $ 667,635 | $ 780,187 | |||||
SunPower Technologies | 333,896 | 314,971 | 289,630 | 879,671 | 791,754 | |||||
Intersegment eliminations | (135,626) | (90,416) | (124,943) | (286,842) | (302,693) | |||||
Total revenue | 475,958 | 436,281 | 428,263 | 1,260,464 | 1,269,248 | |||||
Cost of revenue: | ||||||||||
SunPower Energy Services | 248,417 | 189,262 | 217,196 | 608,757 | 644,109 | |||||
SunPower Technologies | 315,293 | 317,717 | 307,527 | 915,878 | 1,200,037 | |||||
Intersegment eliminations | (136,003) | (90,498) | (106,337) | (294,937) | (285,388) | |||||
Total cost of revenue | 427,707 | 416,481 | 418,386 | 1,229,698 | 1,558,758 | |||||
Gross profit (loss) | 48,251 | 19,800 | 9,877 | 30,766 | (289,510) | |||||
Operating expenses: | ||||||||||
Research and development | 16,101 | 18,159 | 15,898 | 49,253 | 66,225 | |||||
Sales, general and administrative | 64,734 | 61,978 | 76,069 | 189,569 | 206,272 | |||||
Restructuring charges | 4,283 | 2,453 | 3,923 | 6,071 | 18,604 | |||||
Loss on sale and impairment of residential lease assets | 10,756 | 8,301 | 53,537 | 28,283 | 170,898 | |||||
Gain on business divestiture | - | (137,286) | (59,347) | (143,400) | (59,347) | |||||
Total operating expenses (income) | 95,874 | (46,395) | 90,080 | 129,776 | 402,652 | |||||
Operating income (loss) | (47,623) | 66,195 | (80,203) | (99,010) | (692,162) | |||||
Other income (expense), net: | ||||||||||
Interest income | 1,025 | 566 | 1,087 | 2,443 | 2,280 | |||||
Interest expense | (10,649) | (16,424) | (25,972) | (43,864) | (77,796) | |||||
Other, net | 45,184 | 67,768 | (3,643) | 146,025 | 48,775 | |||||
Other income (expense), net | 35,560 | 51,910 | (28,528) | 104,604 | (26,741) | |||||
Income (loss) before income taxes and equity in losses of unconsolidated investees | (12,063) | 118,105 | (108,731) | 5,594 | (718,903) | |||||
Provision for income taxes | (5,378) | (6,068) | (3,680) | (17,243) | (9,389) | |||||
Equity in losses of unconsolidated investees | (1,767) | (1,963) | (1,500) | (2,050) | (17,059) | |||||
Net income (loss) | (19,208) | 110,074 | (113,911) | (13,699) | (745,351) | |||||
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests | 4,191 | 11,385 | 24,085 | 30,417 | 92,434 | |||||
Net income (loss) attributable to stockholders | $ (15,017) | $ 121,459 | $ (89,826) | $ 16,718 | $ (652,917) | |||||
Basic net income (loss) per share attributable to stockholders | $ (0.11) | $ 0.85 | $ (0.64) | $ 0.12 | $ (4.64) | |||||
Diluted net income (loss) per share attributable to stockholders | $ (0.11) | $ 0.75 | $ (0.64) | $ 0.12 | $ (4.64) | |||||
Basic weighted-average shares | 142,553 | 142,471 | 141,027 | 142,248 | 140,722 | |||||
Diluted weighted-average shares | 142,553 | 166,837 | 141,027 | 144,736 | 140,722 | |||||
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||
(In thousands) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Cash flows from operating activities: | ||||||||||
Net income (loss) | $ (19,208) | $ 110,074 | $ (113,911) | $ (13,699) | $ (745,351) | |||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||||||||||
Depreciation and amortization | 15,298 | 22,534 | 24,743 | 62,022 | 103,144 | |||||
Stock-based compensation | 6,991 | 6,270 | 6,390 | 18,927 | 20,087 | |||||
Non-cash interest expense | 2,542 | 2,510 | 3,871 | 7,468 | 12,133 | |||||
Non-cash restructuring charges | 3,528 | 2,346 | - | 5,874 | - | |||||
Dividend from equity method investee | - | - | - | - | 3,947 | |||||
Equity in losses of unconsolidated investees | 1,767 | 1,963 | 1,501 | 2,050 | 17,059 | |||||
Mark-to-market (gain) loss on equity investment with readily determinable fair value | (28,538) | (67,500) | 6,225 | (129,038) | 6,225 | |||||
Gain on business divestiture | - | (137,286) | (59,347) | (143,400) | (59,347) | |||||
Gain on sale of investments without readily determinable fair value | (17,275) | - | (543) | (17,275) | (50,568) | |||||
Deferred income taxes | (1,545) | (4) | 1,575 | 500 | 3,006 | |||||
Impairment of property, plant and equipment | - | 777 | - | 777 | 369,168 | |||||
Loss on sale and impairment of residential lease assets | 10,755 | 16,728 | 53,537 | 36,709 | 170,898 | |||||
Gain on sale of assets | (21,383) | - | - | (21,383) | - | |||||
Other, net | - | - | (3,294) | - | (5,737) | |||||
Changes in operating assets and liabilities: | 10,995 | (39,473) | (82,481) | (75,694) | (361,740) | |||||
Accounts receivable | 2,921 | (60,827) | (15,057) | (45,710) | (19,090) | |||||
Contract assets | (25,516) | 5,697 | (2,639) | (18,107) | (38,014) | |||||
Inventories | (45,989) | (20,386) | (27,942) | (108,093) | (103,791) | |||||
Project assets | (3,040) | (6,974) | (20,226) | (9,238) | (9,140) | |||||
Prepaid expenses and other assets | 16,967 | (27,212) | 5,616 | 1,482 | 39,924 | |||||
Operating lease right-of-use assets | 14,999 | (11,383) | - | 6,219 | - | |||||
Long-term financing receivables, net - held for sale | 481 | 657 | (42,775) | (473) | (151,931) | |||||
Advances to suppliers | 8,518 | 11,719 | 14,059 | 33,292 | 29,181 | |||||
Accounts payable and other accrued liabilities | 52,810 | 40,018 | 10,387 | 64,009 | (69,056) | |||||
Contract liabilities | 4,709 | 17,996 | (3,904) | 8,127 | (39,823) | |||||
Operating lease liabilities | (15,865) | 11,222 | - | (7,202) | - | |||||
Net cash used in operating activities | (36,073) | (81,061) | (161,734) | (266,162) | (517,076) | |||||
Cash flows from investing activities: | ||||||||||
Purchases of property, plant and equipment | (16,896) | (11,656) | (12,346) | (35,100) | (37,708) | |||||
Cash paid for solar power systems, leased, net | - | - | (16,971) | - | (55,659) | |||||
Cash paid for solar power systems | (8,503) | (15,723) | (904) | (51,826) | (4,340) | |||||
Dividend from equity method investee | - | - | - | - | 12,952 | |||||
Proceeds from sale of investments | 42,957 | - | - | 42,957 | 417,766 | |||||
Proceeds from sale of assets | 39,742 | 228 | - | 39,970 | - | |||||
Proceeds from business divestiture, net of cash sold | - | 30,814 | 13,257 | 40,491 | 13,257 | |||||
Cash outflow from the sale of residential lease portfolio | (16,397) | - | - | (16,397) | - | |||||
Cash paid for investments in unconsolidated investees | (2,400) | (10,000) | - | (12,400) | (14,061) | |||||
Net cash provided by (used in) investing activities | 38,503 | (6,337) | (16,964) | 7,695 | 332,207 | |||||
Cash flows from financing activities: | ||||||||||
Proceeds from bank loans and other debt | 87,823 | 75,687 | 51,018 | 231,489 | 167,477 | |||||
Repayment of 0.75% debentures due 2018, bank loans and other debt | (84,035) | (66,688) | (56,702) | (209,095) | (476,229) | |||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | 6,528 | 43,476 | 120,099 | 72,259 | 187,208 | |||||
Repayment of non-recourse residential financing | (1,803) | (1,156) | (5,032) | (2,959) | (14,931) | |||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | 1,842 | 8,590 | 34,388 | 31,413 | 107,678 | |||||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | - | (316) | (6,594) | (316) | (19,176) | |||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | - | - | 27,980 | - | 50,266 | |||||
Repayment of non-recourse power plant and commercial financing | - | - | (221) | - | (4,899) | |||||
Payment for prior business combination | - | (9,000) | - | (9,000) | - | |||||
Settlement of contingent consideration arrangement | - | - | - | (2,448) | - | |||||
Purchases of stock for tax withholding obligations on vested restricted stock | (292) | (493) | (349) | (4,657) | (5,249) | |||||
Net cash provided by (used in) financing activities | 10,063 | 50,100 | 164,587 | 106,686 | (7,855) | |||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | (1,510) | 147 | 1,896 | (1,247) | 772 | |||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 10,983 | (37,151) | (12,215) | (153,028) | (191,952) | |||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 199,752 | 236,903 | 364,600 | 363,763 | 544,337 | |||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period | $ 210,735 | $ 199,752 | $ 352,385 | $ 210,735 | $ 352,385 | |||||
Non-cash transactions: | ||||||||||
Costs of solar power systems, leased, sourced from existing inventory | $ - | $ - | $ 8,769 | $ - | $ 30,409 | |||||
Costs of solar power systems, leased, funded by liabilities | $ - | $ - | $ 4,903 | $ - | $ 4,903 | |||||
Costs of solar power systems sourced from existing inventory | $ 8,033 | $ 4,767 | $ - | $ 29,206 | $ - | |||||
Costs of solar power systems funded by liabilities | $ 3,604 | $ 4,529 | $ - | $ 3,604 | $ - | |||||
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets | $ - | $ - | $ 14,628 | $ - | $ 30,208 | |||||
Property, plant and equipment acquisitions funded by liabilities | $ 11,911 | $ 22,560 | $ 11,453 | $ 11,911 | $ 11,453 | |||||
Contractual obligations satisfied with inventory | $ - | $ - | $ 8,035 | $ - | $ 48,916 | |||||
Accounts receivable due to business divestiture | $ - | $ - | $ 10,000 | $ - | $ 10,000 | |||||
Acquisition of noncontrolling interests funded by Mezzanine Loan proceeds | $ - | $ - | $ 12,400 | $ - | $ 12,400 | |||||
Accounts reivable due to disposal of shares in joint venture | $ - | $ - | $ 4,635 | $ - | $ 4,635 | |||||
Stock consideration received due to business divestiture | $ - | $ - | $ 42,600 | $ - | $ 42,600 | |||||
Assumption of debt by buyer upon sale of equity interest | $ - | $ - | $ - | $ - | $ 27,321 | |||||
Assumption of debt by buyer in connection with sale of residential lease assets | $ 69,076 | $ - | $ - | $ 69,076 | $ - | |||||
Receivables in connection with sale of residential lease portfolio | $ 8,043 | $ - | $ - | $ 8,043 | $ - | |||||
Right-of-use assets obtained in exchange for lease obligations | $ 8,939 | $ 13,280 | $ - | $ 103,744 | $ - | |||||
Derecognition of financing obligations upon business divestiture | $ - | $ 590,884 | $ - | $ 590,884 | $ - | |||||
Holdback related to business divestiture | $ - | $ 2,425 | $ - | $ 2,425 | $ - | |||||
Holdback related to sale of assets | $ 18,300 | $ - | $ - | $ 18,300 | $ - | |||||
Aged supplier financing balances reclassified from AP to short-term debt | $ 22,852 | $ - | $ - | $ 22,852 | $ - | |||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures are useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provide investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analysis. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, legacy utility and power plant projects, legacy sale-leaseback transactions and construction services for residential customer contracts, each of which is described below. In addition to the above adjustments, non-GAAP gross margin includes adjustments relating to impairment and sale of residential lease assets, impairment of property, plant, and equipment, cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, and depreciation of idle equipment, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to gain on business divestiture, transaction-related costs, business reorganization costs, non-cash interest expense, restructuring expense, the tax effect of these non-GAAP adjustments, and other items, each of which is described below. In addition to the above adjustments as non-GAAP net loss, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A., our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total S.A.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | |||||||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | |||||||||||
(In thousands, except percentages and per share data) | |||||||||||
(Unaudited) | |||||||||||
Adjustments to Revenue: | |||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | ||||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | |||||||
2019 | 2019 | 2018 | 2019 | 2018 | |||||||
GAAP revenue | $ 475,958 | $ 436,281 | $ 428,263 | $ 1,260,464 | $ 1,269,248 | ||||||
Adjustments based on IFRS: | |||||||||||
8point3 | - | - | - | - | (8,588) | ||||||
Legacy utility and power plant projects | (65) | (23) | (361) | (259) | (3,454) | ||||||
Legacy sale-leaseback transactions | - | - | 15,529 | - | 32,327 | ||||||
Other adjustments: | |||||||||||
Construction revenue on solar services contracts | 15,790 | 45,614 | - | 124,909 | - | ||||||
Non-GAAP revenue | $ 491,683 | $ 481,872 | $ 443,431 | $ 1,385,114 | $ 1,289,533 | ||||||
Adjustments to Gross Profit (Loss) / Margin: | |||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | ||||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | |||||||
2019 | 2019 | 2018 | 2019 | 2018 | |||||||
GAAP gross profit (loss) | $ 48,251 | $ 19,800 | $ 9,877 | $ 30,766 | $ (289,510) | ||||||
Adjustments based on IFRS: | |||||||||||
8point3 | - | - | - | - | (8,337) | ||||||
Legacy utility and power plant projects | (7) | 884 | 162 | 993 | (675) | ||||||
Legacy sale-leaseback transactions | (181) | (3,684) | (2,492) | (4,688) | (5,890) | ||||||
Other adjustments: | |||||||||||
Business process improvement costs | 2,279 | - | - | 2,279 | - | ||||||
Loss on sale and impairment of residential lease assets | (511) | (632) | (4,679) | (1,268) | (12,683) | ||||||
Construction revenue on solar service contracts | 1,160 | 5,506 | - | 18,052 | - | ||||||
Impairment of property, plant and equipment | - | - | - | - | 355,106 | ||||||
Cost of above-market polysilicon | 23,878 | 25,950 | 14,628 | 99,256 | 49,997 | ||||||
Stock-based compensation expense | 1,522 | 1,133 | 1,239 | 2,823 | 3,760 | ||||||
Amortization of intangible assets | 1,783 | 1,783 | 2,142 | 5,352 | 7,077 | ||||||
Depreciation of idle equipment | - | - | - | - | 721 | ||||||
Non-GAAP gross profit | $ 78,174 | $ 50,740 | $ 20,877 | $ 153,565 | $ 99,566 | ||||||
GAAP gross margin (%) | 10.1% | 4.5% | 2.3% | 2.4% | -22.8% | ||||||
Non-GAAP gross margin (%) | 15.9% | 10.5% | 4.7% | 11.1% | 7.7% | ||||||
Adjustments to Net income (loss): | |||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | ||||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | |||||||
2019 | 2019 | 2018 | 2019 | 2018 | |||||||
GAAP net income (loss) attributable to stockholders | $ (15,017) | $ 121,459 | $ (89,826) | $ 16,718 | $ (652,917) | ||||||
Adjustments based on IFRS: | |||||||||||
8point3 | - | - | - | - | (8,485) | ||||||
Legacy utility and power plant projects | (7) | 884 | 162 | 993 | (675) | ||||||
Legacy sale-leaseback transactions | (181) | 1,025 | 2,258 | 5,755 | 7,818 | ||||||
Mark-to-market (gain) loss on equity investments | (27,595) | (67,500) | 6,225 | (128,095) | 6,225 | ||||||
Other adjustments: | |||||||||||
Business process improvements | 2,279 | - | - | 2,279 | - | ||||||
Loss on sale and impairment of residential lease assets | 5,135 | 15,554 | 50,735 | 29,002 | 146,234 | ||||||
Construction revenue on solar services contracts | 1,160 | (6,398) | - | (8,978) | - | ||||||
Impairment of property, plant and equipment | - | - | - | - | 369,168 | ||||||
Cost of above-market polysilicon | 23,878 | 25,950 | 14,628 | 99,256 | 49,997 | ||||||
Stock-based compensation expense | 6,992 | 6,270 | 6,390 | 18,928 | 21,791 | ||||||
Amortization of intangible assets | 1,783 | 1,783 | 2,142 | 5,352 | 7,077 | ||||||
Depreciation of idle equipment | - | - | - | - | 721 | ||||||
Gain on business divestiture | - | (137,286) | (59,347) | (143,400) | (59,347) | ||||||
Transaction-related costs | 976 | 1,173 | 20,869 | 3,571 | 20,869 | ||||||
Business reorganization costs | 6,066 | 4,156 | - | 12,871 | - | ||||||
Non-cash interest expense | 10 | 10 | 13 | 30 | 58 | ||||||
Restructuring charges | 4,283 | 2,453 | 3,923 | 6,071 | 18,604 | ||||||
Tax effect | 880 | (669) | 906 | 1,729 | 1,808 | ||||||
Non-GAAP net loss attributable to stockholders | $ 10,642 | $ (31,136) | $ (40,922) | $ (77,918) | $ (71,054) | ||||||
Adjustments to Net income (loss) per diluted share: | |||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | ||||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | |||||||
2019 | 2019 | 2018 | 2019 | 2018 | |||||||
Net income (loss) per diluted share | |||||||||||
Numerator: | |||||||||||
GAAP net income (loss) available to common stockholders | $ (15,017) | $ 121,459 | $ (89,826) | $ 16,718 | $ (652,917) | ||||||
Add: Interest expense on 4.00% debenture due 2023, net of tax | - | 3,358 | - | - | - | ||||||
Add: Interest expense on 0.875%% debenture due 2021, net of tax | - | 691 | - | - | - | ||||||
GAAP net income (loss) available to common stockholders | $ (15,017) | $ 125,508 | $ (89,826) | $ 16,718 | $ (652,917) | ||||||
Non-GAAP net income (loss) available to common stockholders | $ 10,642 | $ (31,136) | $ (40,922) | $ (77,918) | $ (71,054) | ||||||
Denominator: | |||||||||||
GAAP weighted-average shares | 142,553 | 142,471 | 141,027 | 142,248 | 140,722 | ||||||
Effect of dilutive securities: | |||||||||||
Restricted stock units | - | 2,241 | - | 2,488 | - | ||||||
0.875% debentures due 2021 | - | 13,922 | - | - | - | ||||||
4.00% debentures due 2023 | - | 8,203 | - | - | - | ||||||
GAAP dilutive weighted-average common shares: | 142,553 | 166,837 | 141,027 | 144,736 | 140,722 | ||||||
Non-GAAP weighted-average shares | 142,533 | 142,471 | 141,027 | 142,248 | 140,722 | ||||||
Effect of dilutive securities: | |||||||||||
Restricted stock units | 4,826 | - | - | - | - | ||||||
Non-GAAP weighted-average shares1 | 147,379 | 142,471 | 141,027 | 142,248 | 140,722 | ||||||
GAAP net income (loss) per diluted share | $ (0.11) | $ 0.75 | $ (0.64) | $ 0.12 | $ (4.64) | ||||||
Non-GAAP net income (loss) per diluted share | $ 0.07 | $ (0.22) | $ (0.29) | $ (0.55) | $ (0.50) | ||||||
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | |||||||||||
Adjusted EBITDA: | |||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | ||||||||||
Sep. 29, | Jun. 30, | Sep. 30, | Sep. 29, | Sep. 30, | |||||||
2019 | 2019 | 2018 | 2019 | 2018 | |||||||
GAAP net income (loss) attributable to stockholders | $ (15,017) | $ 121,459 | $ (89,826) | $ 16,718 | $ (652,917) | ||||||
Adjustments based on IFRS: | |||||||||||
8point3 | - | - | - | - | (8,485) | ||||||
Legacy utility and power plant projects | (7) | 884 | 162 | 993 | (675) | ||||||
Legacy sale-leaseback transactions | (181) | 1,025 | 2,258 | 5,755 | 7,818 | ||||||
Mark-to-market (gain) loss on equity investments | (27,595) | (67,500) | 6,225 | (128,095) | 6,225 | ||||||
Other adjustments: | |||||||||||
Business process improvement costs | 2,279 | - | - | 2,279 | - | ||||||
Loss on sale and impairment of residential lease assets | 5,135 | 15,554 | 50,735 | 29,002 | 146,234 | ||||||
Construction revenue on solar services contracts | 1,160 | (6,398) | - | (8,978) | - | ||||||
Impairment of property, plant and equipment | - | - | - | - | 369,168 | ||||||
Cost of above-market polysilicon | 23,878 | 25,950 | 14,628 | 99,256 | 49,997 | ||||||
Stock-based compensation expense | 6,992 | 6,270 | 6,390 | 18,928 | 21,791 | ||||||
Amortization of intangible assets | 1,783 | 1,783 | 2,142 | 5,352 | 7,077 | ||||||
Depreciation of idle equipment | - | - | - | - | 721 | ||||||
Gain on business divestiture | - | (137,286) | (59,347) | (143,400) | (59,347) | ||||||
Transaction-related costs | 976 | 1,173 | 20,869 | 3,571 | 20,869 | ||||||
Business reorganization costs | 6,066 | 4,156 | - | 12,871 | - | ||||||
Non-cash interest expense | 10 | 10 | 13 | 30 | 58 | ||||||
Restructuring charges | 4,283 | 2,453 | 3,923 | 6,071 | 18,604 | ||||||
Cash interest expense, net of interest income | 9,624 | 11,148 | 20,136 | 30,978 | 61,810 | ||||||
Provision for income taxes | 5,378 | 6,068 | 3,680 | 17,243 | 9,389 | ||||||
Depreciation | 17,205 | 21,286 | 24,754 | 57,672 | 99,313 | ||||||
Adjusted EBITDA | $ 41,969 | $ 8,035 | $ 6,742 | $ 26,246 | $ 97,650 | ||||||
Q4 2019 and FY 2019 GUIDANCE
(in thousands except percentages) | Q4 2019 | FY 2019 |
Revenue (GAAP) | $520,000-$720,000 | $1,800,000-$2,000,000 |
Revenue (non-GAAP)1 | $520,000-$720,000 | $1,900,000-$2,100,000 |
Gross margin (GAAP) | 11% - 12% | N/A |
Gross margin (non-GAAP)2 | 16% - 19% | N/A |
Net income (loss) (GAAP) | $(28,000)-$(8,000) | $(20,000)-$0 |
Adjusted EBITDA3 | $74,000-$94,000 | $100,000-$120,000 |
SUNPOWER CORPORATION | |||||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | |||||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
September 29, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy Services | SunPower Technologies | Intersegment | Research and | Sales, general | Restructuring | Loss on sale and | Other income | Benefit from | Equity in | Loss attributable to | Net income (loss) | |||||||||||||||||||||||
GAAP | $ 277,688 | $ 333,896 | $ (135,626) | $ 29,271 | 10.5% | $ 18,603 | 5.6% | $ 377 | $ (15,017) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (65) | - | (7) | - | - | - | - | - | - | - | - | - | - | (7) | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (181) | - | - | - | - | - | - | - | - | - | - | (181) | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | (28,548) | - | 953 | - | (27,595) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 2,279 | - | - | - | - | - | - | - | - | - | 2,279 | ||||||||||||||||||||||
Loss on sale and impairment of residential lease assets | - | - | - | (511) | - | - | - | - | - | 10,756 | - | - | - | (5,110) | 5,135 | ||||||||||||||||||||||
Construction revenue on solar services contracts | 15,790 | - | - | 1,160 | - | - | - | - | - | - | - | - | - | - | 1,160 | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 29,633 | (5,755) | - | - | - | - | - | - | - | - | 23,878 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 741 | 781 | - | 903 | 4,567 | - | - | - | - | - | - | 6,992 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | - | 1,783 | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 6,066 | - | - | - | - | - | - | 6,066 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 976 | - | - | - | - | - | - | 976 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 4,283 | - | - | - | - | - | 4,283 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | 880 | - | - | 880 | ||||||||||||||||||||||
Non-GAAP | $ 293,478 | $ 333,831 | $ (135,626) | $ 30,473 | 10.4% | $ 53,079 | 15.9% | $ (5,378) | $ 10,642 | ||||||||||||||||||||||||||||
June 30, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Provision for | Gain (Loss) | Net income (loss) | |||||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy Services | SunPower Technologies | Intersegment | Research and | Sales, general | Restructuring | Loss on sale and | Gain on business | |||||||||||||||||||||||||||
GAAP | $ 211,726 | $ 314,971 | $ (90,416) | $ 22,464 | 10.6% | $ (2,746) | -0.9% | $ 82 | $ 121,459 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (23) | - | - | 884 | - | - | - | - | - | - | - | - | - | 884 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (3,684) | - | - | - | - | - | - | - | 4,709 | - | - | 1,025 | ||||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (67,500) | - | - | (67,500) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Gain (loss) on sale and impairment of residential lease assets | - | - | - | (632) | - | - | - | - | - | 16,728 | - | - | - | (542) | 15,554 | ||||||||||||||||||||||
Construction revenue on solar services contracts | 45,614 | - | - | 5,506 | - | - | - | - | - | - | - | - | - | (11,904) | (6,398) | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 23,875 | 2,075 | - | - | - | - | - | - | - | - | 25,950 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 460 | 673 | - | 879 | 4,258 | - | - | - | - | - | - | 6,270 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | - | 1,783 | ||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (137,286) | - | - | - | (137,286) | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 777 | 3,379 | - | - | - | - | - | - | 4,156 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,173 | - | - | - | - | - | - | 1,173 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 2,453 | - | - | - | - | - | 2,453 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (669) | - | (669) | ||||||||||||||||||||||
Non-GAAP | $ 257,340 | $ 314,948 | $ (90,416) | $ 24,114 | 9.4% | $ 24,469 | 7.8% | $ 2,157 | $ (31,136) | ||||||||||||||||||||||||||||
September 30, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Benefit from | Gain attributable to | Net income (loss) | |||||||||||||||||||||||||||||||
SPES | SPT | Intersegment | SPES | SPT | Intersegment | Research and | Sales, general | Restructuring | Impairment of | Gain on business | |||||||||||||||||||||||||||
GAAP | $ 263,576 | $ 289,630 | $ (124,943) | $ 46,380 | 17.6% | $ (17,897) | -6.2% | $ (18,606) | $ (89,826) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | (114) | (247) | - | 141 | 21 | - | - | - | - | - | - | - | - | - | 162 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | 15,529 | - | - | (2,054) | (438) | - | - | - | - | - | - | 4,750 | - | - | 2,258 | ||||||||||||||||||||||
Mark-to-market loss on equity investments | - | - | - | - | - | - | - | - | - | - | - | 6,225 | - | - | 6,225 | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (4,679) | - | - | - | - | - | 53,537 | - | - | - | 1,877 | 50,735 | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (2,336) | 16,964 | - | - | - | - | - | - | - | - | - | 14,628 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 598 | 641 | - | 806 | 4,345 | - | - | - | - | - | - | 6,390 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | 972 | 1,170 | - | - | - | - | - | - | - | - | - | 2,142 | ||||||||||||||||||||||
Gain on business divestitures | - | - | - | - | - | - | - | - | - | - | (59,347) | - | - | - | (59,347) | ||||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | 20,869 | - | - | - | - | - | - | 20,869 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 1 | 12 | - | - | - | - | - | - | 13 | ||||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 3,923 | - | - | - | - | - | 3,923 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 906 | - | 906 | ||||||||||||||||||||||
Non-GAAP | $ 278,991 | $ 289,383 | $ (124,943) | $ 39,022 | 14.0% | $ 461 | 0.2% | $ (18,606) | $ (40,922) | ||||||||||||||||||||||||||||
NINE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
September 29, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Benefit income | Equity in earnings of | Loss attributable | Net income (loss) | ||||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy Services | SunPower Technologies | Intersegment | Research and | Sales, general | Restructuring | Loss on sale and | Gain on business | |||||||||||||||||||||||||||
GAAP | $ 667,635 | $ 879,671 | $ (286,842) | $ 58,878 | 8.8% | $ (36,207) | -4.1% | $ 8,095 | $ 16,718 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (259) | - | 118 | 875 | - | - | - | - | - | - | - | - | - | - | 993 | |||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (4,689) | 1 | - | - | - | - | - | - | 10,443 | - | - | - | 5,755 | |||||||||||||||||||||
Mark-to-market gain on equity investments | - | - | - | - | - | - | - | - | - | - | - | (129,048) | - | 953 | - | (128,095) | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Business process improvement costs | - | - | - | - | 2,279 | - | - | - | - | - | - | - | - | - | - | 2,279 | |||||||||||||||||||||
Loss on sale and impairment of residential lease assets | - | - | - | (1,268) | - | - | - | - | - | 36,710 | - | - | - | - | (6,440) | 29,002 | |||||||||||||||||||||
Construction revenue on solar services contracts | 124,909 | - | - | 18,052 | - | - | - | - | - | - | - | - | - | - | (27,030) | (8,978) | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 102,936 | (3,680) | - | - | - | - | - | - | - | - | - | 99,256 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,369 | 1,454 | - | 2,375 | 13,730 | - | - | - | - | - | - | - | 18,928 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 5,352 | - | - | - | - | - | - | - | - | - | - | 5,352 | |||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 777 | 12,094 | - | - | - | - | - | - | - | 12,871 | |||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (143,400) | - | - | - | - | (143,400) | |||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 3,571 | - | - | - | - | - | - | - | 3,571 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 30 | - | - | - | - | - | - | - | 30 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 6,071 | - | - | - | - | - | - | 6,071 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,729 | - | - | 1,729 | |||||||||||||||||||||
Non-GAAP | $ 792,544 | $ 879,412 | $ (286,842) | $ 72,460 | 9.1% | $ 76,690 | 8.7% | $ 4,415 | $ (77,918) | ||||||||||||||||||||||||||||
September 30, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Benefit from | Equity in losses of | Loss attributable | Net income (loss) | ||||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy Services | SunPower Technologies | Intersegment | Research and | Sales, general | Restructuring | Impairment of | Gain on business | |||||||||||||||||||||||||||
GAAP | $ 780,187 | $ 791,754 | $ (302,693) | $ 136,078 | 17.4% | $ (408,283) | -51.6% | $ (17,305) | $ (652,917) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | (2,400) | (6,188) | - | (2,149) | (6,188) | - | - | - | - | - | - | - | - | (148) | - | (8,485) | |||||||||||||||||||||
Legacy utility and power plant projects | (588) | (2,866) | - | (315) | (360) | - | - | - | - | - | - | - | - | - | - | (675) | |||||||||||||||||||||
Legacy sale-leaseback transactions | 32,327 | - | - | (5,452) | (438) | - | - | - | - | - | - | 13,708 | - | - | - | 7,818 | |||||||||||||||||||||
Mark-to-market loss on equity investments | - | - | - | - | - | - | - | - | - | - | - | 6,225 | - | - | - | 6,225 | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment of property, plant and equipment | - | - | - | 33 | 355,074 | - | 12,832 | 1,229 | - | - | - | - | - | - | - | 369,168 | |||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (12,684) | - | - | - | - | - | 170,898 | - | - | - | - | (11,980) | 146,234 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (5,850) | 55,847 | - | - | - | - | - | - | - | - | - | - | 49,997 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,760 | 2,000 | - | 4,589 | 13,442 | - | - | - | - | - | - | - | 21,791 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | 3,493 | 3,584 | - | - | - | - | - | - | - | - | - | - | 7,077 | |||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 289 | 432 | - | - | - | - | - | - | - | - | - | - | 721 | |||||||||||||||||||||
Gain on business divestitures | - | - | - | - | - | - | - | - | - | - | (59,347) | - | - | - | - | (59,347) | |||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | 20,869 | - | - | - | - | - | - | - | 20,869 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 7 | 51 | - | - | - | - | - | - | - | 58 | |||||||||||||||||||||
Restructuring charges | - | - | - | - | - | - | - | - | 18,604 | - | - | - | - | - | - | 18,604 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,808 | - | - | 1,808 | |||||||||||||||||||||
Non-GAAP | $ 809,526 | $ 782,700 | $ (302,693) | $ 115,203 | 14.2% | $ 1,668 | 0.2% | $ (17,305) | $ (71,054) | ||||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
10/30/201910/29/2019 - SunPower Building New 35-Megawatt DC Solar Project to Supply Renewable Energy to Chevron's Lost Hills Oil Field
SunPower Building New 35-Megawatt DC Solar Project to Supply Renewable Energy to Chevron's Lost Hills Oil Field
Source: PR Newswire
SAN JOSE, Calif., Oct. 29, 2019 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced construction is underway on the Lost Hills Solar Project. The 35-megawatt DC (29-megawatt AC) system will feature Performance Series solar panels assembled in Hillsboro, Oregon, and deliver low-carbon electricity to Chevron's (NYSE: CVX) Lost Hills oil field in Kern County, Calif., under a power purchase agreement. Over the project's term of up to 20 years, it is estimated to produce more than 1.4 billion kilowatt hours of clean solar energy, thereby reducing carbon dioxide (CO2) emissions by approximately 1 million metric tons. This is equivalent to offsetting the CO2 emissions of 118,550 homes' energy use for one year.
"For over 140 years, Chevron has delivered the energy that improves lives and enables human progress," said Allen Satterwhite, President, Chevron Pipeline & Power. "As global demand for energy continues to grow, we are committed to supporting affordable, reliable, ever-cleaner energy and to exploring increased use of renewables in support of our business. Advancing economically viable renewable energy projects which scale is part of the equation and this project represents a meaningful step in our energy journey."
The Lost Hills Oil Field has been a source of energy since it was discovered in 1910, producing more than 460 million barrels of oil equivalent over the past 40 years. Once complete in early 2020, the solar project is expected to provide power to the Lost Hills production and processing facilities and offices, meeting approximately 80 percent of its energy needs. Goldman Sachs Renewable Power (GSRP) will own the system and Chevron will receive environmental credits under the state of California's Low Carbon Fuel Standard (LCFS) program.
"Companies across industries are looking for solutions to a low carbon footprint, and the Chevron project is one more example of how organizations and influencers across industries and geographies are moving the world toward a new energy future," said Nam Nguyen, SunPower executive vice president, commercial solar. "We commend Chevron for its vision and commitment to reducing its carbon footprint and are excited to partner with Chevron to deploy SunPower's industry-leading solar solutions to this unique Lost Hills project."
SunPower is currently the No. 1 commercial solar provider in the U.S. for the second consecutive year with the most megawatts installed, according to Wood Mackenzie. For more information on why SunPower is an ideal energy partner for businesses, visit www.sunpower.com/commercial.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About GSAM Renewable Power Group
The Goldman Sachs Asset Management (GSAM) Renewable Power Group is comprised of investment professionals with leading industry expertise across transaction sourcing, financial analysis, power markets and physical asset analysis and operations. The team takes a long-term ownership approach to the operations and management of renewable assets and benefits from Goldman Sachs' extensive network of relationships, leading institutional infrastructure and in-house industry knowledge and experience. The group is part of GSAM, one of the world's leading asset managers with more than $1 trillion in assets under supervision globally as of June 30, 2019.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output, and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at https://investors.sunpower.com . All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/29/2019First SunPower® Solar Panel Installed at Gap Inc. Fresno Distribution Center
Source: PR Newswire
SAN JOSE, Calif., Oct. 28, 2019 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced that the first solar panel has been installed at a 3-megawatt SunPower® solar project for leading global retailer Gap Inc. (NYSE: GPS) at its distribution center in Fresno. Once complete, the system is expected to help Gap Inc. meet approximately 50 percent of the Fresno facility's energy needs and reduce the company's operating expenses, while supporting the company's goal to reach 100 percent renewable energy across its global owned and operated facilities by 2030.
"We're deeply committed to reducing our carbon footprint and our impact on the planet and communities where we do business," said Keith White, EVP of Global Sustainability, Gap Foundation and Loss Prevention at Gap Inc. "The renewable energy generated by this SunPower solar project is a reliable, cost-effective way to address our sustainability commitments while also contributing to the health of the local community."
The solar project is expected to offset 4,539 metric tons of carbon dioxide annually which is equivalent to removing approximately 964 passenger vehicles from the road for one year according to the U.S. Environmental Protection Agency's carbon footprint calculator. Goldman Sachs Renewable Power (GSRP) owns the system, while Gap Inc. will purchase electricity under a 20-year power purchase agreement and will retain the associated renewable energy credits.
"We commend Gap Inc. for making renewable energy a business priority, and SunPower is proud to be their solar energy partner on this project," said Nam Nguyen, SunPower executive vice president, commercial solar. "SunPower's complete energy solution is the top choice for businesses in the U.S. looking to drive down electricity costs and meet ambitious renewable energy goals with reliable, industry-leading solar technology."
The ground-mount solar energy system will feature SunPower's Performance Series solar panels assembled at the company's Hillsboro, Ore., factory. Built by RP Construction Services Inc., the project will track the sun, maximizing clean electricity production for the Gap Inc. distribution center.
The new 3-megawatt project is the second SunPower solar project installed at Gap Inc.'s Fresno location, joining a 1-megawatt ground-mount system constructed in 2008. As the No. 1 commercial solar provider in America for the second consecutive year, SunPower continues to leverage its market-leading experience to help companies like Gap maximize their renewable energy investment. To learn more, visit www.sunpower.com/commercial.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About GSAM Renewable Power Group
The Goldman Sachs Asset Management (GSAM) Renewable Power Group is comprised of investment professionals with leading industry expertise across transaction sourcing, financial analysis, power markets and physical asset analysis and operations. The team takes a long-term ownership approach to the operations and management of renewable assets and benefits from Goldman Sachs' extensive network of relationships, leading institutional infrastructure and in-house industry knowledge and experience. The group is part of GSAM, one of the world's leading asset managers with more than $1 trillion in assets under supervision globally as of June 30, 2019.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans, projected energy output and relative generating capacity, product performance, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/28/2019SunPower to Announce Third-Quarter Results on Oct. 30, 2019
Source: PR Newswire
SAN JOSE, Calif., Oct. 17, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its third-quarter 2019 financial results on a conference call, Wednesday, Oct. 30, at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on Oct. 30, 2019.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/17/2019SunPower Partners with Hannon Armstrong to Safe Harbor 200 Megawatts of Solar
Source: PR Newswire
SAN JOSE, Calif., Oct. 7, 2019 /PRNewswire/ -- SunPower (NASDAQ:SPWR) announced today that it has entered into a joint venture with Hannon Armstrong Sustainable Infrastructure Capital, Inc. (Hannon Armstrong) (NYSE: HASI), to acquire and deploy 200 megawatts (MW) of safe harbored panels, preserving the federal Investment Tax Credit (ITC) 30 percent value for third-party owned commercial and residential systems and meeting safe harbor guidelines. The companies expect to increase the volume in later years.
The federal investment tax credit is slated to step down from 30 percent at the end of this year to 26 percent in 2020, 22 percent in 2021 and then level at 10 percent for commercial customers and zero for residential customers in 2022 and beyond.
The safe harbor facility is expected to preserve 30 percent ITC value for projects placed in service from now through mid-2022.
"SunPower customers have always benefitted from our leading, innovative solar solutions and services and now they will have additional certainty of savings through our safe harbor joint venture enabling them to take advantage of the ITC 30 percent value post the step down on January 1, 2020," said Tom Werner, SunPower CEO and chairman of the board. "This flexible and highly capital efficient safe harbor facility provides us with a great opportunity to once again partner with Hannon Armstrong, who shares our clean energy future goals."
"We are pleased to broaden our offering to enable SunPower to realize additional value and flexibility in the near-term pipeline," said Jeffrey W. Eckel, Hannon Armstrong chairman and CEO. "As the market need evolves, this latest transaction expands our multi-year programmatic investments with SunPower, supporting our shared mission for a decarbonized future."
Residential Solar Business
SunPower offers its lease program through its network of residential solar dealers across the U.S., new home builders where the company holds a market-leading position, and direct sales teams. Last year, SunPower's U.S. residential business saw annual deployment growth of more than 15 percent bringing the total number of American homes with SunPower® solar to over 275,000.
The company recently announced two innovative residential solar products:
Commercial Solar Business
As the No. 1 commercial solar provider in America, SunPower continues to leverage its market-leading storage experience that enables businesses to maximize their solar investment. After more than one year on the market, interest in Helix Storage remains high with a pipeline exceeding 136 megawatts and attach rates of greater than 35 percent.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Hannon Armstrong
Hannon Armstrong (NYSE: HASI) focuses on making investments in climate change solutions by providing capital to the leading companies in the energy efficiency, renewable energy and other sustainable infrastructure markets. Our goal is to generate attractive returns for our stockholders by investing in a diversified portfolio of investments that generate long-term, recurring and predictable cash flows from proven commercial technologies. Based in Annapolis, Maryland, Hannon Armstrong is proud to be the first U.S. public company solely dedicated to investments that reduce carbon emissions or increase resilience to climate change. For more information, please visit www.hannonarmstrong.com. Follow Hannon Armstrong on LinkedIn and Twitter @HannonArmstrong.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and expected cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, and challenges in managing our joint venture relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/7/2019Contra Costa County Will Hedge Against Peak Electricity Rates and Save Millions with Solar-Plus-Storage Commitment
Source: PR Newswire
SAN JOSE, Calif., Oct. 3, 2019 /PRNewswire/ -- Contra Costa County in California recently selected SunPower (NASDAQ:SPWR) to deploy a mix of Helix® Roof and Carport solar systems at 10 locations totaling 3.7 megawatts, which is expected to offset approximately 68 percent grid electricity and save $16.5 million in energy costs over 25 years. Three of those sites will also feature Helix Storage systems that reach a combined 1.5 megawatts (3,000 kilowatt hours) and deliver significant demand charge savings to Contra Costa County.
"The electric utility system is evolving and we're confident that these solar and storage solutions from SunPower will help us adapt, reducing greenhouse gas emissions and improving the local environment while delivering energy and demand charge savings to the County," said Frank Di Massa, Energy Manager at Contra Costa County. "The solar and storage systems are a key component of our Distributed Energy Resource Action Plan and, by extension, will facilitate the expansion of the County's EV charge infrastructure and automated demand response efforts."
Solar-and-storage system design and implementation will take place over the next year. The County will buy energy produced by the project under a 25-year power purchase agreement and will own the renewable energy credits associated with the solar production which may have a monetary value in the future.
"We welcome Contra Costa County to a growing list of customers that are offsetting high demand charges with our Helix Solar and Storage solutions, allowing the County to reduce energy costs and use savings to enhance County public services," said Nam Nguyen, SunPower executive vice president, commercial solar. "As the U.S. commercial solar leader, SunPower is committed to simplifying the solar and storage process for energy buyers like Contra Costa County with intelligent solutions that provide safe and reliable access to renewable energy."
Demand for SunPower's value-generating Helix solutions remains high, with a Helix Storage pipeline exceeding 135 megawatts and attach rates of over 35 percent. The company has leveraged this proven success to develop Equinox Storage, a residential storage solution for homeowners announced recently. To learn more about solar-plus-storage for government organizations, visit www.sunpower.com/commercial.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output and relative generating capacity, product performance, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/3/2019SunPower Offers Energy Independence with Equinox® Storage
Source: PR Newswire
SAN JOSE, Calif., Sept. 18, 2019 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today introduced Equinox Storage, the next major advancement in the company's Equinox energy platform, giving homeowners more freedom from utility outages, grid uncertainty, and peak energy rates. Homeowners with Equinox Storage can choose to store energy for full- or partial-home backup during blackouts, reduce daily peak electricity consumption, or any combination that best fits their needs.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/8252056-sunpower-energy-independence-equinox-storage/
"We're entering a new solar decade as storage adoption increases with the advancement of battery technologies, and with accompanying services becoming standard," said Norm Taffe, SunPower executive vice president, residential solar. "For homeowners, Equinox Storage provides energy certainty and the power to make electricity allocation decisions, easing concerns with scheduled power outages, prolonged wildfire seasons, and unpredictable energy rates that are becoming more common."
High-Efficiency Solar, Now Featuring High-Impact Storage
Equinox Storage is made specifically for the company's Equinox Solar solution, the only fully-integrated residential solar system designed, engineered, and warranted by one company.
"With up to 12 kilowatt hours of storage capacity, Equinox Storage gives homeowners the ability to keep lights on, essential appliances operating, internet connected, and more, which can be critical during an outage," Taffe continued. "Equinox Storage also automatically manages energy supply based on solar production, home electricity consumption, and utility rates to make the most efficient use of stored power every day."
With a low-profile design, Equinox Storage occupies less space than competing solutions, while leaving room for future storage capacity expansion. SunPower has matched hardware aesthetics with next-generation software capabilities to give homeowners direct control of how and when they use stored solar energy.
And as always, SunPower offers a single point of contact with the company's industry-leading Complete Confidence Warranty for both solar and storage customers.
Industrial-Strength Storage Experience
Equinox Storage builds on SunPower's experience helping commercial customers like Whole Foods and Cabot Corporation lower peak energy demand from the grid with Helix™ Storage. The company has more than 15 megawatts of Helix Storage operating or under contract, and a pipeline of 136 megawatts.
"Helix Storage has helped our commercial customers reduce demand charges and save on electricity costs, while supporting the grid by reducing strain on distribution and transmission networks for operational efficiencies," said Taffe. "We've used the same industrial-strength software and data platform to create our residential storage solution for homeowners."
Availability
Eligible SunPower® Equinox Solar customers in California can pre-order Equinox Storage beginning in November with installation expected in the first half of next year. In addition to purchasing with cash, qualified customers will be able to finance Equinox Storage with a loan from one of SunPower's lending partners. SunPower expects to expand availability nationwide throughout 2020.
SunPower at Solar Power International (SPI)
SunPower will showcase Equinox Storage at next week's SPI, part of North America Smart Energy Week in Salt Lake City, Utah. Attendees can visit booth 4329 to see Equinox Storage and the new SunPower Design Studio application, as well as speak with an energy expert. Interested homeowners can also visit www.sunpower.com/equinoxstorage to learn more, or check out the Design Studio web application to explore custom solar and storage solutions for their own homes.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding product performance, project plans and timelines, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content:http://www.prnewswire.com/news-releases/sunpower-offers-energy-independence-with-equinox-storage-300920386.html
SOURCE SunPower Corp.
Article Date
9/18/2019Sony Pictures Entertainment Puts Solar Centerstage with 1.6-Megawatt Project Planned for Legendary Studio Lot in Culver City
Source: PR Newswire
SAN JOSE, Calif., Sept. 11, 2019 /PRNewswire/ -- Sony Pictures Entertainment (SPE) today announced a commitment to generate clean, solar electricity with SunPower (NASDAQ:SPWR) technology at its historic studio lot in Culver City, Calif. The 1.6-megawatt project is expected to generate over 58 million kilowatt hours of solar power over 25 years, counteracting greenhouse gas emissions from over 9,000 passenger cars for a year according to the EPA Greenhouse Gas Equivalencies Calculator. When combined with the lot's existing solar capacity, 1.83 megawatts of solar will generate clean, onsite power and account for approximately 8.5 percent of the studio lot's electricity use.
"Sony Pictures has long prioritized sustainability to reduce our environmental impact, while delivering the creative, entertaining content we're recognized for around the world," said Craig Schwartz, EVP Global Real Estate, Facilities & SEHS, Sony Pictures Entertainment. "We look forward to integrating SunPower's solar technology into our energy portfolio as we work toward our sustainability goals."
As a RE100 member, Sony Group Companies including SPE are committed to reaching 100 percent renewable power. Efforts to go solar also contribute toward parent-company Sony Corporation's Road to Zero, a global environmental plan that aims to achieve a zero environmental footprint by the year 2050.
SunPower designed and is installing complete rooftop solar solutions across eight Sony Pictures sound stages, including Stage 30 which is best known for its massive 90-by-100-foot water tank and where iconic productions like TriStar Pictures' Hook and Columbia Pictures hits Spider-Man™ II, Men in Black™ II and The Amazing Spider-Man were filmed. Solar project construction is expected to begin later this month and reach full operation in early 2020.
"We commend Sony Pictures for its sustainability leadership within the entertainment industry," said Nam Nguyen, SunPower executive vice president, commercial solar. "SunPower's energy solutions are designed to deliver reliable, clean electricity, and as the leader in U.S. commercial solar, we look forward to supporting Sony Pictures in its renewable energy efforts for years to come."
For more on Sony Pictures' sustainability efforts, visit http://www.sonypicturesgreenerworld.com/. And for more on how SunPower is helping commercial energy buyers reach their sustainability goals, visit www.sunpower.com/commercial.
About Sony Pictures Entertainment
Sony Pictures Entertainment (SPE) is a subsidiary of Tokyo-based Sony Corporation. SPE's global operations encompass motion picture production, acquisition, and distribution; television production, acquisition, and distribution; television networks; digital content creation and distribution; operation of studio facilities; and development of new entertainment products, services and technologies. SPE's Motion Picture Group production organizations include Columbia Pictures, Screen Gems, TriStar Pictures, Sony Pictures Animation, Stage 6 Films, AFFIRM Films, and Sony Pictures Classics. For additional information, visit http://www.sonypictures.com/corp/divisions.html.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output, and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
9/11/2019SunPower Design Studio Enables Millions of Future Solar Homeowners to Create Custom Solar Designs Instantly
Source: PR Newswire
SAN JOSE, Calif., Sept. 9, 2019 /PRNewswire/ -- Following the introduction of Instant Design at Google Cloud Next '19, SunPower (NASDAQ:SPWR) today launched its Design Studio, a web application that combines Instant Design technology, Google Cloud, and Google Sunroof data to deliver customizable home solar designs in seconds.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/8252055-sunpower-design-studio-custom-solar-designs/
Historically, understanding a home's solar potential required talking to a sales consultant or compromising with one-size-fits-all online calculators. Starting today, SunPower Design Studio gives U.S. homeowners the power to create their own solar system design automatically. In less than 30 seconds, SunPower Design Studio provides a panel layout based on the home's unique roof, shading, and energy potential. Homeowners can modify their design based on their energy needs, resulting in more accurate predictions of electricity bill and energy savings.
"With SunPower Design Studio, we've created a new solar buying experience," said Jake Wachman, vice president, digital, SunPower. "We're making solar accessible by enabling homeowners nationwide to envision solar on their home and understand savings at lightning-fast speeds. With SunPower Design Studio, we're changing how homeowners go solar."
SunPower Design Studio Experience
From a mobile phone or computer, homeowners enter their address and estimated monthly electric bill into the SunPower Design Studio web app. The application then presents a customized SunPower Equinox® solar design, including panels, a battery storage system, and energy production estimates.
Homeowners have the freedom to change the number of SunPower® panels on their roof, guided by a color code that identifies which panels will receive the most sun and therefore provide the most energy. As the homeowner adds panels – if anticipating an electric vehicle purchase in the future, for example – or removes them to meet current energy needs, projected energy production and potential electricity bill savings update in real time. Visit the SunPower blog to see how it works.
SunPower solar experts are available via chat or phone throughout the SunPower Design Studio experience to answer any questions as they arise. When homeowners want to bring their design to life, SunPower will connect them with a local dealer from its nationwide network of certified installers.
New Technology Drives Continuous Solar Design Improvement
SunPower Design Studio is powered by the company's proprietary Instant Design technology. By combining SunPower's decades of solar system sales and design experience with data from Google Maps and Google Project Sunroof, Instant Design uses machine learning and high-resolution imagery to design solar power systems for residential roofs in seconds. After entering an address, SunPower machine learning algorithms draw the home's roof, detect obstructions such as skylights and vents, and determine solar exposure for every point on the roof. The software automatically places SunPower solar panels according to local construction code.
As with other SunPower-developed software, the company will release Design Studio to select dealers to enable greater marketing reach, improve homeowner understanding of solar, and shorten sales cycles. As the application learns with each new design, SunPower also expects to reduce system design costs compared to manual methods.
For a deeper dive into SunPower Instant Design technology, read SunPower's guest post on Google Cloud's blog.
Untapped Solar Potential, Now Accessible to Everyone
While the United States has surpassed two million solar installations according to the Solar Energy Industries Association, only 2 percent of eligible homeowners have installed solar. There are roughly 100 million future solar homeowners in the United States.
"At the current rate, we would need a century to create designs manually for all American homeowners who don't yet have solar," Wachman continued. "With SunPower Design Studio, we have the capability to deliver thousands of customized solar roof designs quickly, direct to the homeowner, drastically simplifying the solar experience, and encouraging more consumers to explore solar as a reliable, cost-effective energy option."
To create a home solar design today, visit www.sunpower.com/design. Solar Power International 2019 attendees can also visit booth 4329 for a live demonstration with a solar expert.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER EQUINOX are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
9/9/20197/31/2019 - SunPower Reports Second Quarter 2019 Results
SunPower Reports Second Quarter 2019 Results
Source: PR Newswire
SAN JOSE, Calif., July 31, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its second quarter ended June 30, 2019.
Second Quarter Highlights
($ Millions, except percentages and per-share data) | 2nd Quarter 2019 | 1st Quarter 2019 | 2nd Quarter 2018 |
GAAP revenue | $436.3 | $348.2 | $449.1 |
GAAP gross margin | 4.5% | (10.7)% | (69.0)% |
GAAP net income (loss) | $121.5 | $(89.7) | $(447.1) |
GAAP net income (loss) per diluted share | $0.75 | $(0.63) | $(3.17) |
Non-GAAP revenue1 | $481.9 | $411.6 | $447.1 |
Non-GAAP gross margin1 | 10.5% | 6.0% | 11.7% |
Non-GAAP net income (loss)1 | $(31.1) | $(57.4) | $(1.9) |
Non-GAAP net loss per diluted share1 | $(0.22) | $(0.41) | $(0.01) |
Adjusted EBITDA1 | $8.0 | $(23.8) | $58.6 |
MW Deployed | 622 | 455 | 385 |
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"In the second quarter, we continued to see the benefits of our corporate transformation as we met or exceeded our financial guidance metrics while positioning the company for significant profitability improvement in the second half of the year," said Tom Werner, SunPower CEO and chairman of the board.
SunPower Energy Services (SPES) - North American Residential and Commercial Businesses
"We executed well in our North American residential business, with demand strength driving sequential deployment growth of more than 30 percent. Customer and dealer response to the launch of our new 415-watt, Maxeon 5, A-Series residential panel last quarter has been very favorable and we expect this to continue in the second half of the year. We expanded our new homes leadership position with backlog now in excess of 38,000 homes, and our loan offering continues to gain traction, accounting for 30 percent of our residential revenue in the second quarter. We continue to lead in the development of financial products, recently closing an innovative residential lease fund with Bank of America Merrill Lynch that will improve economics and help us meet our lease funding needs into 2020. Finally, we remain on plan to launch our Equinox residential storage and services platform later this year.
"In Commercial, we expanded our market leadership position during the quarter, with deployments up more than 50 percent compared to the first quarter. We added significantly to our backlog and are now 75 percent booked for the balance of the year with a pipeline that remains in excess of $3 billion. Specifically, interest in our Helix solar-plus-storage solution remains high as our storage pipeline now exceeds 135 MW with attach rates of approximately 30 percent. We also successfully executed on our customer commitments for the quarter including the recent commissioning of our largest solar, storage and services project, a multi-site enterprise solution for Whole Foods.
SunPower Technologies (SPT) - Manufacturing, International DG / Power Plant Panel Businesses
"We were pleased with SPT's performance, exceeding our volume targets while continuing to execute on our technology and cost roadmaps. Demand in the global DG market remains strong, especially in Europe, where customer response to our recently launched residential products remains very favorable. We expect to remain on allocation in this market for the balance of the year. In power plants, we met our panel delivery schedules, added to our backlog and remain fully booked for the second half of the year. Operationally, the ramp of our industry leading Maxeon 5 cell and panel technology continues and we expect to start production on a second Maxeon 5 manufacturing line this quarter. Finally, we are seeing strong traction for our Performance Series product with increasing volume from both our Oregon and DZS factories," Werner concluded.
Consolidated Financials
"Given our solid performance in the second quarter as well as continued positive industry trends, we are well positioned to meet our second half financial and operational targets," said Manavendra Sial, SunPower chief financial officer. "We also prudently managed our expenses while further investing in our growth initiatives. Additionally, we expanded our leadership in project finance, signing agreements to improve our residential lease economics, as well as reducing our working capital requirements in our commercial business. We remain committed to achieving positive cash flow at the business unit level in the second half of the year while continuing to improve our profitability throughout 2019."
Second quarter fiscal year 2019 non-GAAP results exclude net adjustments that, in the aggregate, decreased non-GAAP earnings by $152.6 million, including $26.0 million related to the cost of above-market polysilicon, $15.6 million related to impairment and sale of residential lease assets, $6.3 million related to stock-based compensation expense, $4.2 million related to business reorganization costs, $2.5 million restructuring charge, $1.8 million related to intangibles, $1.2 million transaction-related costs, $1.0 million related to legacy sale-leaseback transactions, and $0.9 million related to utility and power plant projects, partially offset by $137.3 million related to gain on business divestiture, $67.5 million related to unrealized gain on equity investment, $6.4 million related to construction revenue on solar services contracts, and $0.7 million related to tax effect.
Financial Outlook
The company continues to expect financial performance to improve on a quarterly basis throughout fiscal year 2019.
The company's third quarter 2019 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $430 million to $470 million, gross margin of 8 percent to 12 percent and net loss of $55 million to $35 million. On a non-GAAP basis, the company expects revenue of $450 million to $490 million, gross margin of 14 percent to 17 percent, Adjusted EBITDA of $30 million to $50 million and MW deployed in the range of 550 MW to 600 MW.
The company's fiscal year 2019 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $1.8 billion to $2.0 billion and a net loss of $20 million to $0 million. On a non-GAAP basis, revenue of $1.9 billion to $2.1 billion and operational expenses of less than $270 million. Gigawatts deployed is expected to be in the range of 2.05 GW to 2.25 GW in addition to the company's safe harbor program and capital expenditures of approximately $65 million.
The company is also raising its fiscal year 2019 Adjusted EBITDA guidance to the range of $100 million to $120 million compared to previous guidance of $90 million to $110 million.
The company will host a conference call for investors this afternoon to discuss its second quarter 2019 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its second quarter 2019 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate MW on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our expectations regarding our future financial performance, including with respect to profitability, cash flow, and margins; (b) our plans and expectations regarding manufacturing expansion, and production goals and ramps, including the timing of our ramp of Maxeon and P-Series production expansion and planned shipments; (c) our plans and expectations for our products and planned products, including product allocation, anticipated customer adoption and cost impacts, launch timing, and impacts on our financial performance and our ability to meet our targets and goals; (d) our expectations and plans regarding growth, demand, revenue, and volume; (e) our plans and expectations regarding fab utilization and our safe harbor program; (f) the anticipated timing and financial impact of future closings under our commercial lease portfolio sale; (g) our plans and expectations for strategic DG financing programs, including their impact on capital efficiency and margins; (h) our positioning for future success and profitability and long-term competitiveness, and our ability to achieve our financial and strategic goals; (g) our expectations regarding financial performance improvement and timing during fiscal year 2019; (h) our second quarter fiscal 2019 guidance, including GAAP revenue, gross margin, and net income, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions; and (i) fiscal year 2019 guidance, including, GAAP and non-GAAP revenue, non-GAAP GW deployed, non-GAAP operational expenses, non- GAAP capital expenditures, and Adjusted EBITDA, and related assumptions. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition and applicability of tariffs; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) challenges inherent in constructing certain of our large projects, including regulatory hurdles and other difficulties that may arise; (6) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (9) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships; (10) challenges in executing transactions key to our strategic plans; and (11) our ability to successfully implement actions to complete our restructuring plan and associated initiatives, including plans to streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2019 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Jun. 30, | Dec. 30, | ||
2019 | 2018 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 167,253 | $ 309,407 | |
Restricted cash and cash equivalents, current portion | 13,139 | 41,762 | |
Accounts receivable, net | 211,921 | 175,605 | |
Contract assets | 53,701 | 58,994 | |
Inventories | 350,575 | 308,146 | |
Advances to suppliers, current portion | 83,884 | 37,878 | |
Project assets - plants and land, current portion | 17,219 | 10,796 | |
Prepaid expenses and other current assets | 113,748 | 131,183 | |
Total current assets | 1,011,440 | 1,073,771 | |
Restricted cash and cash equivalents, net of current portion | 19,360 | 12,594 | |
Restricted long-term marketable securities | 6,126 | 5,955 | |
Property, plant and equipment, net | 434,011 | 839,871 | |
Operating lease right-of-use assets | 41,329 | - | |
Solar power systems leased and to be leased, net | 72,317 | 92,557 | |
Advances to suppliers, net of current portion | 62,914 | 133,694 | |
Long-term financing receivables, net - held for sale | 18,388 | 19,592 | |
Other intangible assets, net | 11,698 | 12,582 | |
Other long-term assets | 261,344 | 162,033 | |
Total assets | $ 1,938,927 | $ 2,352,649 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 398,071 | $ 325,550 | |
Accrued liabilities | 192,412 | 235,252 | |
Operating leases liabilities, current portion | 8,321 | - | |
Contract liabilities, current portion | 109,118 | 104,130 | |
Short-term debt | 62,874 | 40,074 | |
Total current liabilities | 770,796 | 705,006 | |
Long-term debt | 102,347 | 40,528 | |
Convertible debt | 819,308 | 818,356 | |
Operating leases liabilities, net of current portion | 38,938 | - | |
Contract liabilities, net of current portion | 75,934 | 99,509 | |
Other long-term liabilities | 228,249 | 839,136 | |
Total liabilities | 2,035,572 | 2,502,535 | |
Equity: | |||
Common stock | 143 | 141 | |
Additional paid-in capital | 2,476,788 | 2,463,370 | |
Accumulated deficit | (2,440,102) | (2,480,988) | |
Accumulated other comprehensive loss | (3,885) | (4,150) | |
Treasury stock, at cost | (191,434) | (187,069) | |
Total stockholders' deficit | (158,490) | (208,696) | |
Noncontrolling interests in subsidiaries | 61,845 | 58,810 | |
Total deficit | (96,645) | (149,886) | |
Total liabilities and equity | $ 1,938,927 | $ 2,352,649 | |
SUNPOWER CORPORATION | ||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
(In thousands, except per share data) | ||||||||||
(Unaudited) | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Revenue: | ||||||||||
SunPower Energy Services revenue | $ 211,726 | $ 178,221 | $ 269,683 | $ 389,947 | $ 516,611 | |||||
SunPower Technologies revenue | 314,971 | 230,804 | 248,290 | 545,775 | 502,124 | |||||
Intersegment eliminations | (90,416) | (60,800) | (68,876) | (151,216) | (177,750) | |||||
Total revenue | 436,281 | 348,225 | 449,097 | 784,506 | 840,985 | |||||
Cost of revenue: | ||||||||||
SunPower Energy Services | 189,262 | 171,078 | 220,910 | 360,340 | 426,913 | |||||
SunPower Technologies | 317,717 | 282,868 | 614,469 | 600,585 | 892,510 | |||||
Intersegment eliminations | (90,498) | (68,436) | (76,321) | (158,934) | (179,051) | |||||
Total cost of revenue | 416,481 | 385,510 | 759,058 | 801,991 | 1,140,372 | |||||
Gross profit (loss) | 19,800 | (37,285) | (309,961) | (17,485) | (299,387) | |||||
Operating expenses: | ||||||||||
Research and development | 18,159 | 14,993 | 31,275 | 33,152 | 50,327 | |||||
Sales, general and administrative | 61,978 | 62,857 | 64,908 | 124,835 | 130,203 | |||||
Restructuring charges (credits) | 2,453 | (665) | 3,504 | 1,788 | 14,681 | |||||
Gain on sale and impairment of residential lease assets | 8,301 | 9,226 | 68,269 | 17,527 | 117,361 | |||||
Gain on business divestiture | (137,286) | (6,114) | - | (143,400) | - | |||||
Total operating expenses (income) | (46,395) | 80,297 | 167,956 | 33,902 | 312,572 | |||||
Operating income (loss) | 66,195 | (117,582) | (477,917) | (51,387) | (611,959) | |||||
Other income (expense), net: | ||||||||||
Interest income | 566 | 852 | 664 | 1,418 | 1,193 | |||||
Interest expense | (16,424) | (16,791) | (26,718) | (33,215) | (51,824) | |||||
Other, net | 67,768 | 33,073 | 36,624 | 100,841 | 52,418 | |||||
Other income, net | 51,910 | 17,134 | 10,570 | 69,044 | 1,787 | |||||
Income (loss) before income taxes and equity in losses of unconsolidated investees | 118,105 | (100,448) | (467,347) | 17,657 | (610,172) | |||||
Provision for income taxes | (6,068) | (5,797) | (3,081) | (11,865) | (5,709) | |||||
Equity in earnings (losses) of unconsolidated investees | (1,963) | 1,680 | (13,415) | (283) | (15,559) | |||||
Net income (loss) | 110,074 | (104,565) | (483,843) | 5,509 | (631,440) | |||||
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests | 11,385 | 14,841 | 36,726 | 26,226 | 68,349 | |||||
Net income (loss) attributable to stockholders | $ 121,459 | $ (89,724) | $ (447,117) | $ 31,735 | $ (563,091) | |||||
Basic net income (loss) per share attributable to stockholders | $ 0.85 | $ (0.63) | $ (3.17) | $ 0.22 | $ (4.01) | |||||
Diluted net income (loss) per share attributable to stockholders | $ 0.75 | $ (0.63) | $ (3.17) | $ 0.22 | $ (4.01) | |||||
Basic weighted-average shares | 142,471 | 141,720 | 140,926 | 142,095 | 140,569 | |||||
Diluted weighted-average shares | 166,837 | 141,720 | 140,926 | 143,062 | 140,569 | |||||
SUNPOWER CORPORATION | |||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
(In thousands) | |||||||||
(Unaudited) | |||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | ||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | |||||
2019 | 2019 | 2018 | 2019 | 2018 | |||||
Cash flows from operating activities: | |||||||||
Net income (loss) | $ 110,074 | $ (104,565) | $ (483,843) | $ 5,509 | $ (631,440) | ||||
Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||
Depreciation and amortization | 22,534 | 24,190 | 38,568 | 46,724 | 78,401 | ||||
Stock-based compensation | 6,270 | 5,666 | 6,644 | 11,936 | 13,697 | ||||
Non-cash interest expense | 2,510 | 2,415 | 3,819 | 4,925 | 8,262 | ||||
Non-cash restructuring charges | 2,346 | - | - | 2,346 | |||||
Dividend from equity method investees | - | - | (1,452) | - | 3,947 | ||||
Equity in (earnings) losses of unconsolidated investees | 1,963 | (1,680) | 13,414 | 283 | 15,559 | ||||
Unrealized (gain) loss on equity investments with readily determinable fair value | (67,500) | (33,000) | - | (100,500) | - | ||||
Gain on business divestiture | (137,286) | (6,114) | - | (143,400) | - | ||||
Gain on sale of equity investments, net | - | - | (34,449) | - | (50,025) | ||||
Deferred income taxes | (4) | 2,048 | 1,775 | 2,044 | 1,431 | ||||
Impairment of property, plant and equipment | 777 | - | 369,168 | 777 | 369,168 | ||||
Gain on sale and impairment of residential lease assets | 16,728 | 9,226 | 68,269 | 25,954 | 117,361 | ||||
Other, net | - | - | (3,415) | - | (2,443) | ||||
Changes in operating assets and liabilities: | |||||||||
Accounts receivable | (60,827) | 12,196 | (17,957) | (48,631) | (4,033) | ||||
Contract assets | 5,697 | 1,712 | (11,814) | 7,409 | (35,375) | ||||
Inventories | (20,386) | (41,718) | (41,654) | (62,104) | (75,849) | ||||
Project assets | (6,974) | 776 | (9,398) | (6,198) | 11,086 | ||||
Prepaid expenses and other assets | (27,212) | 11,727 | 23,423 | (15,485) | 34,308 | ||||
Operating lease right-of-use assets | (11,383) | 2,603 | - | (8,780) | - | ||||
Long-term financing receivables, net | 657 | (1,611) | (71,042) | (954) | (109,156) | ||||
Advances to suppliers | 11,719 | 13,055 | 9,973 | 24,774 | 15,122 | ||||
Accounts payable and other accrued liabilities | 40,018 | (28,819) | 20,713 | 11,199 | (79,444) | ||||
Contract liabilities | 17,996 | (14,578) | (2,822) | 3,418 | (35,919) | ||||
Operating lease liabilities | 11,222 | (2,559) | - | 8,663 | - | ||||
Net cash used in operating activities | (81,061) | (149,030) | (122,080) | (230,091) | (355,342) | ||||
Cash flows from investing activities: | |||||||||
Purchases of property, plant and equipment | (11,656) | (6,548) | (16,503) | (18,204) | (25,362) | ||||
Cash paid for solar power systems, leased, net | - | - | (14,901) | - | (38,688) | ||||
Cash paid for solar power systems | (15,723) | (27,600) | (832) | (43,323) | (3,436) | ||||
Dividend from equity method investee | - | - | 10,258 | - | 12,952 | ||||
Proceeds from sale of equity method investments | - | - | 390,484 | - | 417,766 | ||||
Proceeds from business divestiture | 30,814 | 9,677 | - | 40,491 | - | ||||
Proceeds from the sale of property, plant and equipment | 228 | - | - | 228 | - | ||||
Cash paid for investments in unconsolidated investees | (10,000) | - | (7,712) | (10,000) | (14,061) | ||||
Net cash provided by (used in) investing activities | (6,337) | (24,471) | 360,794 | (30,808) | 349,171 | ||||
Cash flows from financing activities: | |||||||||
Proceeds from bank loans and other debt | 75,687 | 67,979 | 66,665 | 143,666 | 116,459 | ||||
Repayment of bank loans and other debt | (66,688) | (58,372) | (368,475) | (125,060) | (419,527) | ||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | 43,476 | 22,255 | 34,422 | 65,731 | 67,109 | ||||
Repayment of non-recourse residential financing | (1,156) | - | (6,118) | (1,156) | (9,899) | ||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | 8,590 | 20,987 | 36,564 | 29,577 | 73,290 | ||||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | (316) | - | (7,160) | (316) | (12,582) | ||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | - | - | 13,182 | - | 22,286 | ||||
Repayment of non-recourse power plant and commercial financing | - | - | (3,788) | - | (4,678) | ||||
Payment to Solar World for asset purchase agreement | (9,000) | - | - | (9,000) | - | ||||
Settlement of contingenet consideration arrangement | - | (2,448) | - | (2,448) | - | ||||
Purchases of stock for tax withholding obligations on vested restricted stock | (493) | (3,872) | (374) | (4,365) | (4,900) | ||||
Net cash (used in) provided by financing activities | 50,100 | 46,529 | (235,082) | 96,629 | (172,442) | ||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 147 | 112 | (1,601) | 259 | (1,124) | ||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | (37,151) | (126,860) | 2,031 | (164,011) | (179,737) | ||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 236,903 | 363,763 | 362,569 | 363,763 | 544,337 | ||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period | $ 199,752 | $ 236,903 | $ 364,600 | $ 199,752 | $ 364,600 | ||||
Non-cash transactions: | |||||||||
Costs of solar power systems, leased and to be leased, sourced from existing inventory | $ - | $ - | $ 7,286 | $ - | $ 21,640 | ||||
Costs of solar power systems, leased and to be leased, funded by liabilities | $ - | $ - | $ 5,166 | $ - | $ 5,166 | ||||
Costs of solar power systems sourced from existing inventory | $ 4,767 | $ 16,406 | $ - | $ 21,173 | $ - | ||||
Costs of solar power systems funded by liabilities | $ 4,529 | $ 4,553 | $ - | $ 4,529 | $ - | ||||
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets | $ - | $ - | $ 5,789 | $ - | $ 15,580 | ||||
Property, plant and equipment acquisitions funded by liabilities | $ 22,560 | $ 10,792 | $ 15,954 | $ 22,560 | $ 15,954 | ||||
Contractual obligations satisfied with inventory | $ - | $ - | $ 23,364 | $ - | $ 40,881 | ||||
Assumption of debt by buyer upon sale of equity interest | $ - | $ - | $ - | $ - | $ 27,321 | ||||
Transaction fees funded by liability due to the sale of equity method investees | $ - | $ - | $ 3,911 | $ - | $ 3,911 | ||||
Right-of-use assets obtained in exchange for lease obligations | $ 13,280 | $ 81,525 | $ - | $ 94,805 | $ - | ||||
Derecognition of financing obligations upon business divestiture | $ 590,884 | $ - | $ - | $ 590,884 | $ - | ||||
Holdback LCR - Related to Prject Bang De-Consolidation | $ 2,425 | $ - | $ - | $ 2,425 | $ - | ||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analysis. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, legacy utility and power plant projects, legacy sale-leaseback transactions and construction services for residential customer contracts, each of which described below. In addition to the above adjustments, non-GAAP gross margin includes adjustments relating to impairment and sale of residential lease assets, cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, and depreciation of idle equipment, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to gain on business divestiture, transaction-related costs, business reorganization costs, non-cash interest expense, restructuring expense, the tax effect of these non-GAAP adjustments, and other items, each of which is described below. In addition to the above adjustments as non-GAAP net loss, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A., our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total S.A.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
(In thousands, except percentages and per share data) | ||||||||||
(Unaudited) | ||||||||||
Adjustments to Revenue: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP revenue | $ 436,281 | $ 348,225 | $ 449,097 | $ 784,506 | $ 840,985 | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | (8,337) | - | (8,588) | |||||
Legacy utility and power plant projects | (23) | (171) | (1,301) | (194) | (3,093) | |||||
Legacy sale-leaseback transactions | - | - | 7,695 | - | 16,798 | |||||
Construction revenue on solar services contracts | 45,614 | 63,505 | - | 109,119 | - | |||||
Non-GAAP revenue | $ 481,872 | $ 411,559 | $ 447,154 | $ 893,431 | $ 846,102 | |||||
Adjustments to Gross Profit (Loss) / Margin: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP gross profit (loss) | $ 19,800 | $ (37,285) | $ (309,961) | $ (17,485) | $ (299,387) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | (8,337) | - | (8,337) | |||||
Legacy utility and power plant projects | 884 | 116 | (569) | 1,000 | (837) | |||||
Legacy sale-leaseback transactions | (3,684) | (823) | (359) | (4,507) | (3,398) | |||||
Other adjustments: | ||||||||||
Gain on sale and impairment of residential lease assets | (632) | (125) | (4,151) | (757) | (8,004) | |||||
Construction revenue on solar services contracts | 5,506 | 11,386 | - | 16,892 | - | |||||
Impairment of property, plant and equipment | - | - | 355,106 | - | 355,106 | |||||
Cost of above-market polysilicon | 25,950 | 49,428 | 16,669 | 75,378 | 35,369 | |||||
Stock-based compensation expense | 1,133 | 168 | 1,580 | 1,301 | 2,521 | |||||
Amortization of intangible assets | 1,783 | 1,786 | 2,443 | 3,569 | 4,935 | |||||
Depreciation of idle equipment | - | - | - | - | 721 | |||||
Non-GAAP gross profit | $ 50,740 | $ 24,651 | $ 52,421 | $ 75,391 | $ 78,689 | |||||
GAAP gross margin (%) | 4.5% | -10.7% | -69.0% | -2.2% | -35.6% | |||||
Non-GAAP gross margin (%) | 10.5% | 6.0% | 11.7% | 8.4% | 9.3% | |||||
Adjustments to Net income (loss): | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP net income (loss) attributable to stockholders | $ 121,459 | $ (89,724) | $ (447,117) | $ 31,735 | $ (563,091) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | (8,308) | - | (8,485) | |||||
Legacy utility and power plant projects | 884 | 116 | (569) | 1,000 | (837) | |||||
Legacy sale-leaseback transactions | 1,025 | 4,911 | 4,187 | 5,936 | 5,560 | |||||
Unrealized gain on equity investments | (67,500) | (33,000) | - | (100,500) | - | |||||
Other adjustments: | - | - | ||||||||
Gain on sale and impairment of residential lease assets | 15,554 | 8,313 | 50,360 | 23,867 | 95,499 | |||||
Construction revenue on solar services contracts | (6,398) | (3,740) | - | (10,138) | - | |||||
Impairment of property, plant and equipment | - | - | 369,168 | - | 369,168 | |||||
Cost of above-market polysilicon | 25,950 | 49,428 | 16,669 | 75,378 | 35,369 | |||||
Stock-based compensation expense | 6,270 | 5,666 | 6,643 | 11,936 | 15,401 | |||||
Amortization of intangible assets | 1,783 | 1,786 | 2,443 | 3,569 | 4,935 | |||||
Depreciation of idle equipment | - | - | - | - | 721 | |||||
Gain on business divestiture | (137,286) | (6,114) | - | (143,400) | - | |||||
Transaction-related costs | 1,173 | 1,422 | - | 2,595 | - | |||||
Business reorganization costs | 4,156 | 2,649 |
- | 6,805 | - | |||||
Non-cash interest expense | 10 | 10 | 23 | 20 | 45 | |||||
Restructuring charges (credits) | 2,453 | (665) | 3,504 | 1,788 | 14,681 | |||||
Tax effect | (669) | 1,518 | 1,072 | 849 | 902 | |||||
Non-GAAP net loss attributable to stockholders | $ (31,136) | $ (57,424) | $ (1,925) | $ (88,560) | $ (30,132) | |||||
Adjustments to Net income (loss) per diluted share: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
Net income (loss) per diluted share | ||||||||||
Numerator: | ||||||||||
GAAP net income (loss) available to common stockholders | $ 121,459 | $ (89,724) | $ (447,117) | $ 31,735 | $ (563,091) | |||||
Add: Interest expense on 4.00% debenture due 2023, net of tax | 3,358 | - | - | - | - | |||||
Add: Interest expense on 0.875%% debenture due 2021, net of tax | 691 | - | - | - | - | |||||
Net income (loss) available to common stockholders | $ 125,508 | $ (89,724) | $ (447,117) | $ 31,735 | $ (563,091) | |||||
Non-GAAP net loss available to common stockholders | $ (31,136) | $ (57,424) | $ (447,117) | $ (88,560) | $ (475,324) | |||||
Denominator: | ||||||||||
GAAP weighted-average shares | 142,471 | 141,720 | 140,926 | 142,095 | 140,569 | |||||
Effect of dilutive securities: | ||||||||||
Restricted stock units | 2,241 | - | - | 967 | - | |||||
0.875% debentures due 2021 | 13,922 | - | - | - | - | |||||
4.00% debentures due 2023 | 8,203 | - | - | - | - | |||||
GAAP dilutive weighted-average common shares: | 166,837 | 141,720 | 140,926 | 143,062 | 140,569 | |||||
Non-GAAP weighted-average shares1 | 142,471 | 141,720 | 140,926 | 142,095 | 140,569 | |||||
GAAP net income (loss) per diluted share | $ 0.75 | $ (0.63) | $ (3.17) | $ 0.22 | $ (4.01) | |||||
Non-GAAP net loss per diluted share | $ (0.22) | $ (0.41) | $ (0.01) | $ (0.62) | $ (0.21) | |||||
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||||||
Adjusted EBITDA: | ||||||||||
THREE MONTHS ENDED | SIX MONTHS ENDED | |||||||||
Jun. 30, | Mar. 31, | Jul. 1, | Jun. 30, | Jul. 1, | ||||||
2019 | 2019 | 2018 | 2019 | 2018 | ||||||
GAAP net income (loss)attributable to stockholders | $ 121,459 | $ (89,724) | $ (447,117) | $ 31,735 | $ (563,091) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | (8,308) | - | (8,485) | |||||
Legacy utility and power plant projects | 884 | 116 | (569) | 1,000 | (837) | |||||
Legacy sale-leaseback transactions | 1,025 | 4,911 | 4,187 | 5,936 | 5,560 | |||||
Unrealized gain on equity investments | (67,500) | (33,000) | - | (100,500) | - | |||||
Other adjustments: | ||||||||||
Gain on sale and impairment of residential lease assets | 15,554 | 8,313 | 50,360 | 23,867 | 95,499 | |||||
Construction revenue on solar services contracts | (6,398) | (3,740) | - | (10,138) | - | |||||
Impairment of property, plant and equipment | - | - | 369,168 | - | 369,168 | |||||
Cost of above-market polysilicon | 25,950 | 49,428 | 16,669 | 75,378 | 35,369 | |||||
Stock-based compensation expense | 6,270 | 5,666 | 6,643 | 11,936 | 15,401 | |||||
Amortization of intangible assets | 1,783 | 1,786 | 2,443 | 3,569 | 4,935 | |||||
Depreciation of idle equipment | - | - | - | - | 721 | |||||
Gain on business divestiture | (137,286) | (6,114) | - | (143,400) | - | |||||
Transaction-related costs | 1,173 | 1,422 | - | 2,595 | - | |||||
Business reorganization costs | 4,156 | 2,649 | - | 6,805 | - | |||||
Non-cash interest expense | 10 | 10 | 23 | 20 | 45 | |||||
Restructuring charges (credits) | 2,453 | (665) | 3,504 | 1,788 | 14,681 | |||||
Cash interest expense, net of interest income | 11,148 | 10,206 | 21,509 | 21,354 | 41,674 | |||||
Provision for income taxes | 6,068 | 5,797 | 3,081 | 11,865 | 5,709 | |||||
Depreciation | 21,286 | 19,181 | 36,983 | 40,467 | 74,559 | |||||
Adjusted EBITDA | $ 8,035 | $ (23,758) | $ 58,576 | $ (15,723) | $ 90,908 | |||||
Q3 2019 and FY 2019 GUIDANCE | ||
(in thousands except percentages) | Q3 2019 | FY 2019 |
Revenue (GAAP) | $430,000-$470,000 | $1,800,000-$2,000,000 |
Revenue (non-GAAP)1 | $450,000-$490,000 | $1,900,000-$2,100,000 |
Gross margin (GAAP) | 8% - 12% | N/A |
Gross margin (non-GAAP)2 | 14% - 17% | N/A |
Net income (loss) (GAAP) | $(55,000)-$(35,000) | $(20,000)-$0 |
Adjusted EBITDA3 | $30,000-$50,000 | $100,000-$120,000 |
1. | Estimated non-GAAP amounts above for Q3 2019 and fiscal 2019 include net adjustments that increase revenue by approximately $20 million and $130 million, respectively, related to construction revenue on solar services contracts. |
2. | Estimated non-GAAP amounts above for Q3 2019 include net adjustments that increase gross margin by approximately $27 million related to cost of above-market polysilicon, $2 million related to construction revenue on solar services contracts, $1 million related to stock-based compensation expense, and $2 million related to amortization of intangible assets. |
3. | Estimated Adjusted EBITDA amounts above for Q3 2019 include net adjustments that decrease (increase) net income by approximately $27 million related to cost of above-market polysilicon, $15 million related to depreciation, $7 million related to impairment of lease assets, $10 million related to interest expense, $10 million related to stock-based compensation expense, $6 million related to income taxes, $5 million related to business reorganization costs, $2 million related to amortization of intangible assets, and $3 million related to restructuring. Estimated non-GAAP amounts above for fiscal 2019 include net adjustments that decrease (increase) net loss by approximately $137 million related to cost of above-market polysilicon, $72 million related to depreciation, $40 million related to interest expense, $32 million related to impairment of lease assets, $31 million related to stock-based compensation expense, $20 million related to income taxes, $19 million related to business reorganization costs, $8 million related to amortization of intangible assets, $5 million related to restructuring, $3 million related to transaction-related costs, $(101) million related to unrealized gain on equity investment, $(145) million related to the gain on business divestiture, and $(1) million related to construction revenue on solar services contracts. |
SUNPOWER CORPORATION | |||||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | |||||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
June 30, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Provision for | Gain (Loss) | Net income (loss) | |||||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy | SunPower Technologies | Intersegment | Research and | Sales, general | Restructuring | Gain on sale and | Gain on business | |||||||||||||||||||||||||||
GAAP | $ 211,726 | $ 314,971 | $ (90,416) | $ 22,464 | 10.6% | $ (2,746) | -0.9% | $ 82 | $ 121,459 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (23) | - | - | 884 | - | - | - | - | - | - | - | - | - | 884 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (3,684) | - | - | - | - | - | - | - | 4,709 | - | - | 1,025 | ||||||||||||||||||||||
Unrealized loss/(gain) on equity investments | - | - | - | - | - | - | - | - | - | - | - | (67,500) | - | - | (67,500) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Gain on sale and impairment of residential lease assets | - | - | - | (632) | - | - | - | - | - | 16,728 | - | - | - | (542) | 15,554 | ||||||||||||||||||||||
Construction revenue on solar services contracts | 45,614 | - | - | 5,506 | - | - | - | - | - | - | - | - | - | (11,904) | (6,398) | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 23,875 | 2,075 | - | - | - | - | - | - | - | - | 25,950 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 460 | 673 | - | 879 | 4,258 | - | - | - | - | - | - | 6,270 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,783 | - | - | - | - | - | - | - | - | - | 1,783 | ||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (137,286) | - | - | - | (137,286) | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 777 | 3,379 | - | - | - | - | - | - | 4,156 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,173 | - | - | - | - | - | - | 1,173 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 2,453 | - | - | - | - | - | 2,453 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (669) | - | (669) | ||||||||||||||||||||||
Non-GAAP | $ 257,340 | $ 314,948 | $ (90,416) | $ 24,114 | 9.4% | $ 24,469 | 7.8% | $ 2,157 | $ (31,136) | ||||||||||||||||||||||||||||
March 31, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Benefit from income taxes | Loss attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring credits | Impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 178,221 | $ 230,804 | $ (60,800) | $ 7,143 | 4.0% | $ (52,064) | -22.6% | $ 7,636 | $ (89,724) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (171) | - | 125 | (9) | - | - | - | - | - | - | - | - | - | 116 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (824) | 1 | - | - | - | - | - | - | 5,734 | - | - | 4,911 | ||||||||||||||||||||||
Unrealized loss/(gain) on equity investments | - | - | - | - | - | - | - | - | - | - | - | (33,000) | - | - | (33,000) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (125) | - | - | - | - | - | 9,226 | - | - | - | (788) | 8,313 | ||||||||||||||||||||||
Construction revenue on solar services contracts | 63,505 | 11,386 | - | - | - | - | - | - | - | - | - | (15,126) | (3,740) | ||||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 49,428 | - | - | - | - | - | - | - | - | - | 49,428 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 168 | - | - | 593 | 4,905 | - | - | - | - | - | - | 5,666 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,786 | - | - | - | - | - | - | - | - | - | 1,786 | ||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (6,114) | - | - | - | (6,114) | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 2,649 | - | - | - | - | - | - | 2,649 | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,422 | - | - | - | - | - | - | 1,422 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | (665) | - | - | - | - | - | (665) | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,518 | - | 1,518 | ||||||||||||||||||||||
Non-GAAP | $ 241,726 | $ 230,633 | $ (60,800) | $ 17,873 | 7.4% | $ (858) | -0.4% | $ 7,636 | $ (57,424) | ||||||||||||||||||||||||||||
July 1, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Impairment of residential lease assets | Other income | Benefit from | Equity in losses of | Loss attributable | Net income (loss) attributable to stockholders | |||||||||||||||||||||||
GAAP | $ 269,683 | $ 248,290 | $ (68,876) | $ 48,773 | -18.1% | $ (366,179) | -147.5% | $ 7,445 | $ (447,117) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | (2,149) | (6,188) | - | (2,149) | (6,188) | - | - | - | - | - | - | - | 29 | - | (8,308) | ||||||||||||||||||||||
Legacy utility and power plant projects | (82) | (1,219) | - | (6) | (563) | - | - | - | - | - | - | - | - | - | (569) | ||||||||||||||||||||||
Legacy sale-leaseback transactions | 7,695 | - | - | (359) | - | - | - | - | - | - | 4,546 | - | - | - | 4,187 | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment of property, plant and equipment | - | - | - | 33 | 355,074 | - | 12,832 | 1,229 | - | - | 369,168 | ||||||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (4,152) | - | - | - | - | 68,269 | - | - | - | (13,757) | 50,360 | |||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (3,514) | 20,183 | - | - | - | - | - | - | - | - | - | 16,669 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 801 | 779 | - | 906 | 4,157 | - | - | - | - | - | - | 6,643 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | 1,119 | 1,324 | - | - | - | - | - | - | - | - | - | 2,443 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 3 | 20 | - | - | - | - | - | - | 23 | ||||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 3,504 | - | - | - | - | - | 3,504 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | 1,072 | - | - | 1,072 | ||||||||||||||||||||||
Non-GAAP | $ 275,147 | $ 240,883 | $ (68,876) | $ 40,546 | 14.7% | $ 4,430 | 1.8% | $ 7,445 | $ (1,925) | ||||||||||||||||||||||||||||
SIX MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
June 30, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income (expense), net | Benefit from income taxes | Gain (Loss) attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Gain on sale and impairment of residential lease assets | Gain on business divestiture | |||||||||||||||||||||||||||
GAAP | $ 389,947 | $ 545,775 | $ (151,216) | $ 29,607 | 7.6% | $ (54,810) | -10.0% | $ 7,718 | $ 31,735 | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||
Legacy utility and power plant projects | - | (194) | - | 125 | 875 | - | - | - | - | - | - | - | - | - | 1,000 | ||||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (4,508) | 1 | - | - | - | - | - | - | 10,443 | - | - | 5,936 | ||||||||||||||||||||||
Unrealized loss/(gain) on equity investments | - | - | - | - | - | - | - | - | - | - | - | (100,500) | - | - | (100,500) | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Intersegment mark-up | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||
Gain on sale and impairment of residential lease assets | - | - | - | (757) | - | - | - | - | - | 25,954 | - | - | - | (1,330) | 23,867 | ||||||||||||||||||||||
Impairment of property, plant and equipment | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||
Construction revenue on solar services contracts | 109,119 | - | - | 16,892 | - | - | - | - | - | - | - | - | - | (27,030) | (10,138) | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 73,303 | 2,075 | - | - | - | - | - | - | - | - | 75,378 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 628 | 673 | - | 1,472 | 9,163 | - | - | - | - | - | - | 11,936 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 3,569 | - | - | - | - | - | - | - | - | - | 3,569 | ||||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | 777 | 6,028 | - | - | - | - | - | - | 6,805 | ||||||||||||||||||||||
Depreciation of idle equipment | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | - | - | - | (143,400) | - | - | - | (143,400) | ||||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 2,595 | - | - | - | - | - | - | 2,595 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 20 | - | - | - | - | - | - | 20 | ||||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 1,788 | - | - | - | - | - | 1,788 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 849 | - | 849 | ||||||||||||||||||||||
Non-GAAP | $ 499,066 | $ 545,581 | $ (151,216) | $ 41,987 | 8.4% | $ 23,611 | 4.3% | $ 9,793 | $ (88,560) | ||||||||||||||||||||||||||||
July 1, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SunPower Energy Services | SunPower Technologies | Intersegment eliminations | SunPower Energy Services | SunPower Technologies | Intersegment eliminations | Research and | Sales, general | Restructuring charges | Impairment of residential lease assets | Other income, net | Benefit from income taxes | Equity in earnings of unconsolidated investees | Gain (Loss) attributable to non-controlling interests | Net income (loss) attributable to stockholders | |||||||||||||||||||||||
GAAP | $ 516,611 | $ 502,124 | $ (177,750) | $ 89,698 | 17.4% | $ (390,386) | -75.6% | $ 1,301 | $ (563,091) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | (2,400) | (6,188) | - | (2,149) | (6,188) | - | - | - | - | - | - | - | (148) | - | (8,485) | ||||||||||||||||||||||
Legacy utility and power plant projects | (474) | (2,619) | - | (456) | (381) | - | - | - | - | - | - | - | - | - | (837) | ||||||||||||||||||||||
Legacy sale-leaseback transactions | 16,798 | - | - | (3,398) | - | - | - | - | - | - | 8,958 | - | - | - | 5,560 | ||||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment of property, plant and equipment | - | - | - | 33 | 355,074 | - | 12,832 | 1,229 | - | - | - | - | - | - | 369,168 | ||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (8,005) | - | - | - | - | - | 117,361 | - | - | - | (13,857) | 95,499 | ||||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (3,514) | 38,883 | - | - | - | - | - | - | - | - | - | 35,369 | ||||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,162 | 1,359 | - | 3,783 | 9,097 | - | - | - | - | - | - | 15,401 | ||||||||||||||||||||||
Amortization of intangible assets | - | - | - | 2,521 | 2,414 | - | - | - | - | - | - | - | - | - | 4,935 | ||||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 289 | 432 | - | - | - | - | - | - | - | - | - | 721 | ||||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 6 | 39 | - | - | - | - | - | - | 45 | ||||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 14,681 | - | - | - | - | - | 14,681 | ||||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | 902 | - | - | 902 | ||||||||||||||||||||||
Non-GAAP | $ 530,535 | $ 493,317 | $ (177,750) | $ 76,181 | 14.4% | $ 1,207 | 0.2% | $ 1,301 | $ (30,132) | ||||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
7/31/2019SunPower to Announce Second-Quarter Results on July 31, 2019
Source: PR Newswire
SAN JOSE, Calif., July 18, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its second-quarter 2019 financial results on a conference call, Wednesday, July 31, at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on July 31, 2019.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content to download multimedia:http://www.prnewswire.com/news-releases/sunpower-to-announce-second-quarter-results-on-july-31-2019-300887649.html
SOURCE SunPower Corp.
Article Date
7/18/2019SunPower, Hannon Armstrong and SunStrong Secure Attractive Financing for Residential Solar Lease Business Into 2020
Source: PR Newswire
SAN JOSE, Calif., June 19, 2019 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced that with Hannon Armstrong Sustainable Infrastructure Capital, Inc. (NYSE:HASI) and SunStrong Capital Holdings, LLC, it has secured financing commitments for its residential solar lease program that will help meet SunPower's expected customer demand into 2020. SunPower has provided solar lease financing options to customers since 2010. The attractive financing provisions with this new fund will supplement the solar loan and cash sale alternatives currently offered by the company.
The new fund is structured as a levered tax equity partnership with a multi-party forward purchase commitment, allowing generation of upfront cash margins for residential solar leases. The financing commitments for this new fund are being provided largely from a repeat group of loan and equity providers that continue to have strong long-term relationships with SunPower and Hannon Armstrong.
Bank of America Merrill Lynch (NYSE: BAC) acted as the sole structuring and placement agent for the cash equity and multi-draw term loan, as well as the sole tax equity investor. Additional equity capital was provided by SunPower, Hannon Armstrong and their joint venture SunStrong, which holds equity interests in more than 55,000 residential solar energy systems.
"SunPower's strong suite of acquisition options, and our technologically superior solar energy solutions, allows us to continue meeting growing customer demand," said Tom Werner, SunPower CEO and chairman of the board. "Thanks to our financing partners, who share our clean energy future goals, we're able to ensure funding to meet the needs of those customers who desire a leasing option."
"This latest fund continues our multi-year programmatic investment with SunPower, helping to decarbonize the residential sector using solar, one of the climate solutions essential to mitigating climate change," said Jeffrey Eckel, Hannon Armstrong president and CEO. "We are especially pleased with the expansion of SunStrong's role in this innovative fund as it demonstrates the increased financial capabilities of this new joint venture with SunPower."
Residential Solar Business
SunPower offers its lease program through its network of residential solar dealers across the U.S., new home builders where the company holds a market-leading position, and direct sales teams. Last year, SunPower's U.S. residential business saw annual deployment growth of more than 15 percent, bringing the total number of American homes with SunPower® solar to over 275,000 consumers.
SunStrong Acquires Capital Dynamics Residential Lease Portfolio
Additionally, the company announced that SunStrong has acquired a residential lease portfolio from Capital Dynamics. This transaction adds to SunStrong's existing high-quality asset portfolio with the addition of more than 41 MW and 5,100 residential systems.
"This transaction reinforces SunStrong's belief in the long-term value of owning high quality solar systems and SunPower's commitment to providing on-going products and services to our customers," said Werner.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Hannon Armstrong
Hannon Armstrong (NYSE: HASI) focuses on making investments in climate change solutions by providing capital to the leading companies in the energy efficiency, renewable energy and other sustainable infrastructure markets. Our goal is to generate attractive returns for our stockholders by investing in a diversified portfolio of investments that generate long-term, recurring and predictable cash flows from proven commercial technologies. Based in Annapolis, Maryland, Hannon Armstrong is proud to be the first U.S. public company solely dedicated to investments that reduce carbon emissions or increase resilience to climate change. For more information, please visit www.hannonarmstrong.com. Follow Hannon Armstrong on LinkedIn and Twitter @HannonArmstrong.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected demand and our ability to meet it, and our plans regarding product and services offerings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, and challenges in managing our joint venture relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/19/2019West Valley-Mission Community College District Commits to Solar Expansion Project with SunPower that Includes Battery Storage
Source: PR Newswire
SAN JOSE, Calif., June 13, 2019 /PRNewswire/ -- West Valley-Mission Community College District (WVMCCD) recently selected SunPower (NASDAQ:SPWR) to deploy a fully integrated solar and storage project across its West Valley and Mission College campuses in the heart of California's Silicon Valley. SunPower® Helix® Carport systems installed will total 5.4 megawatts, allowing the District to offset approximately 75 percent of grid electricity use with solar energy. A Helix Storage system will be installed at each campus, totaling a combined 2 megawatts (3,800 kilowatt hours) and delivering significant demand charge savings to WVMCCD.
This SunPower solar initiative will be the second for WVMCCD. Since 2011, 2.2 megawatts of highly-customized SunPower solar carports operating at both West Valley and Mission Colleges have generated an estimated $860,000 in electricity savings each year to the District. In addition to renewable energy, the colleges are home to a total of five U.S. Green Building Council LEED certified buildings, and feature drought tolerant landscaping and bioswales across campuses.
"Our district has a long-standing commitment to creating environmentally responsible and highly sustainable campuses for students, faculty and staff," said Ed Maduli, Vice Chancellor of Administrative Services, West Valley-Mission Community College District. "Renewable energy from SunPower has proven to be a valuable investment and a critical component to reaching our goals, and we look forward to building on our efforts with storage which will allow us to avoid expensive utility demand charges for years to come."
Solar-and-storage system construction is planned to commence this fall, with completion expected in 2020. The project is funded through local Measure W which authorizes the District to issue bonds to finance facility and technology updates. The District will own its solar power system, with SunPower providing operations and maintenance, as well as a performance guarantee for 25 years.
"We congratulate West Valley-Mission Community College District for leading by example and taking control of energy costs with reliable solar and storage solutions from SunPower," said Nam Nguyen, SunPower executive vice president, commercial solar. "We look forward to helping the District maximize its new solar investment and increase demand charge savings with Helix Storage."
SunPower continues to leverage its market-leading solar-plus-storage experience, enabling customers like WVMCCD to save more on electricity bills. After a little over one year on the market, interest in Helix Storage remains high with pipeline exceeding 110 megawatts and attach rates of over 35 percent.
To learn more about solar-plus-storage for higher education, visit SunPower's webpage here or stop by booth 46 at the California Higher Education Sustainability Conference from July 8 – 11, 2019.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output and relative generating capacity, product performance, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and HELIX are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/13/20195/9/2019 - SunPower Reports First Quarter 2019 Results
SunPower Reports First Quarter 2019 Results
Source: PR Newswire
SAN JOSE, Calif., May 9, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its first quarter ended March 31, 2019.
First Quarter Highlights
($ Millions, except percentages and per-share | 1st Quarter | 4th Quarter | 1st Quarter |
GAAP revenue | $348.2 | $456.8 | $391.9 |
GAAP gross margin | (10.7)% | (1.7)% | 2.6% |
GAAP net loss | $(89.7) | $(158.2) | $(116.0) |
GAAP net loss per diluted share | $(0.63) | $(1.12) | $(0.83) |
Non-GAAP revenue1 | $411.6 | $525.4 | $398.9 |
Non-GAAP gross margin1 | 6.0% | 6.9% | 6.5% |
Non-GAAP net loss1 | $(57.4) | $(30.3) | $(28.2) |
Non-GAAP net loss per diluted share1 | $(0.41) | $(0.21) | $(0.20) |
Adjusted EBITDA1 | $(23.8) | $13.6 | $32.3 |
MW Deployed | 455 | 441 | 326 |
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"We executed well as we met or exceeded our key financial guidance metrics for the first quarter while laying the foundation for improved profitability in the second half of the year," said Tom Werner, SunPower CEO and chairman of the board.
"Demand in our global DG business remains strong and we expanded shipments into the international power plant market. In the first quarter, we introduced exciting new products in both the upstream and downstream parts of the value chain. Upstream, we introduced a new portfolio of residential Maxeon and P-Series panels for both U.S. and international residential markets and we are already seeing significant demand for these new products in our global DG business. We also began shipment of P-Series panels from our Oregon factory and the ramp of our 25 percent efficient Maxeon Gen 5 cell technology in Fab 3 is continuing. In our downstream business we unveiled a revolutionary online, instant design platform for our North American residential market that will improve customer experience while reducing costs.
SunPower Energy Services (SPES) - North American Residential and Commercial Businesses
"In the first quarter, our residential business was impacted by unusually severe weather and related installation delays in several key markets which limited MW volume. However, we offset this impact due to our prudent management of expenses, improved operational efficiency and a stable pricing environment. Customer response to the launch of our new A-Series panel, the industry's first 415-watt residential module, has been very strong and we expect to allocate all of our capacity for this product to the U.S. market at least through the end of 2019. Additionally, we continued to see further traction for our loan product as deployed MW tripled year over year. With forecasted MW growth of 15 percent, our New Homes backlog of 35,000 customers and the launch of both our Equinox storage and services platform and our instant design digital application in the second half of the year, we are confident in our ability to meet our residential installation targets in 2019.
"In Commercial, we continued to build on our market leadership position, adding both new and existing customers to our 1.3 gigawatt (GW) installed base. Interest in our Helix solar-plus-storage solution remains high as our storage pipeline now exceeds 110-MW with attach rates in excess of 35 percent. We are also well positioned for significant growth in the second half of the year given our first quarter bookings, with more than 80 percent of our 2019 volume forecast now in backlog.
SunPower Technologies (SPT) - Manufacturing, International DG / Power Plant panel businesses
"SunPower Technologies, which manufactures, designs and sells the world's most efficient solar cells and panels, also posted solid financial performance for the quarter, exceeding revenue and shipment forecasts. The ramp of our Maxeon Gen 5 solar cell and panel technology is continuing and we recently commenced tool installation for our second manufacturing line which will bring nameplate Maxeon Gen 5 capacity to approximately 250 MW by the end of the year. Additionally, the ramp of P-Series production in Oregon is also continuing with U.S. shipments planned for up to 150 MW this year. In our panel sales business, we are benefitting from our new, DG-focused international channel strategy as Europe, Japan and Australia all exceeded their revenue and shipment plans in the first quarter. Customer response in our core international DG markets to our new 400-watt Maxeon and new P-19 residential panels has been very strong, and we are currently fully allocated for both of these products in the second quarter with bookings now building for the second half of 2019. We are also executing on our robust pipeline of P-19 demand for the global power plant business, where we are fully booked for the balance of 2019. Finally, we are operating our fabs at 100 percent utilization to meet the strong demand for our products as well as the production of up to 200 MW of panels for our 2019 U.S. safe harbor program," Werner concluded.
"Solid execution enabled us to meet or exceed our key financial guidance targets for the quarter as we positioned ourselves for a strong second half of the year," said Manavendra Sial, SunPower chief financial officer. "We continued our focus on improving cash flow while further investing in our growth initiatives. We also expect to receive $87 million from closings under the previously announced sale of our commercial sale-leaseback portfolio in the second quarter, as well as finalizing certain strategic DG financing programs that we believe are more capital efficient while improving margins. We remain committed to achieving positive cash flow at the business unit level in the second half of the year while improving our profitability throughout 2019."
First quarter fiscal year 2019 non-GAAP results exclude net adjustments that, in the aggregate, improved non-GAAP earnings by $32.3 million, including $49.4 million related to cost of above-market polysilicon, $8.3 million related to impairment and sale of residential lease assets, $5.7 million related to stock-based compensation expense, $4.9 million related to legacy sale-leaseback transactions, $2.6 million related to business reorganization costs, $1.8 million related to intangibles, $1.5 million related to tax effect, $1.4 million transaction-related costs, and $0.1 million related to utility and power plant projects, partially offset by $33.0 million related to unrealized gain on equity investment, $6.1 million related to gain on business divestiture, $3.7 million related to construction revenue on solar services contracts, and $0.6 million related to restructuring expense.
Financial Outlook
The company continues to expect financial performance to improve on a quarterly basis throughout fiscal year 2019 with performance weighted towards the second half of the year.
The company's second quarter 2019 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $370 million to $410 million, gross margin of 0 percent to 3 percent and net income of $0 million to $20 million. On a non-GAAP basis, the company expects revenue of $420 million to $460 million, gross margin of 7 percent to 10 percent, Adjusted EBITDA of $(5) million to $15 million and MW deployed in the range of 550 MW to 600 MW.
The company's fiscal year 2019 GAAP and non-GAAP guidance is as follows: on a GAAP basis, revenue of $1.8 billion to $1.9 billion and a net loss of $120 million to $100 million. On a non-GAAP basis, revenue of $1.9 billion to $2.0 billion and operational expenses of less than $270 million. Gigawatts deployed is expected to be in the range of 1.9 GW to 2.1 GW in addition to the company's safe harbor program and capital expenditures of approximately $65 million.
The company is also raising its fiscal year 2019 Adjusted EBITDA guidance to the range of $90 million to $110 million compared to previous guidance of $80 million to $110 million.
The company will also host a conference call for investors this afternoon to discuss its first quarter 2019 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2019 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate MW on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our expectations regarding our future financial performance, including with respect to profitability, cash flow, and margins; (b) our plans and expectations regarding manufacturing expansion, and production goals and ramps, including the timing of our ramp of Maxeon and P-Series production expansion and planned shipments; (c) our plans and expectations for our products and planned products, including product allocation, anticipated customer adoption and cost impacts, launch timing, and impacts on our financial performance and our ability to meet our targets and goals; (d) our expectations and plans regarding growth, demand, revenue, and volume; (e) our plans and expectations regarding fab utilization and our safe harbor program; (f) the anticipated timing and financial impact of future closings under our commercial lease portfolio sale; (g) our plans and expectations for strategic DG financing programs, including their impact on capital efficiency and margins; (h) our positioning for future success and profitability and long-term competitiveness, and our ability to achieve our financial and strategic goals; (g) our expectations regarding financial performance improvement and timing during fiscal year 2019; (h) our second quarter fiscal 2019 guidance, including GAAP revenue, gross margin, and net income, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions; and (i) fiscal year 2019 guidance, including, GAAP and non-GAAP revenue, non-GAAP GW deployed, non-GAAP operational expenses, non- GAAP capital expenditures, and Adjusted EBITDA, and related assumptions. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition and applicability of tariffs; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) challenges inherent in constructing certain of our large projects, including regulatory hurdles and other difficulties that may arise; (6) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (9) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships; (10) challenges in executing transactions key to our strategic plans; and (11) our ability to successfully implement actions to complete our restructuring plan and associated initiatives, including plans to streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2019 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
March 31, | December 30, | ||
2019 | 2018 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 185,554 | $ 309,407 | |
Restricted cash and cash equivalents, current portion | 864 | 41,762 | |
Accounts receivable, net | 156,445 | 175,605 | |
Contract assets | 57,282 | 58,994 | |
Inventories | 334,390 | 308,146 | |
Advances to suppliers, current portion | 95,603 | 37,878 | |
Project assets - plants and land, current portion | 10,246 | 10,796 | |
Prepaid expenses and other current assets | 99,675 | 131,183 | |
Assets held for sale | 550,073 | - | |
Total current assets | 1,490,132 | 1,073,771 | |
Restricted cash and cash equivalents, net of current portion | 13,345 | 12,594 | |
Restricted long-term marketable securities | 5,948 | 5,955 | |
Property, plant and equipment, net | 413,347 | 839,871 | |
Operating lease right-of-use assets | 32,638 | - | |
Solar power systems leased and to be leased, net | 74,134 | 92,557 | |
Advances to suppliers, net of current portion | 62,914 | 133,694 | |
Long-term financing receivables, net - held for sale | 19,044 | 19,592 | |
Other intangible assets, net | 10,858 | 12,582 | |
Other long-term assets | 185,371 | 162,033 | |
Total assets | $ 2,307,731 | $ 2,352,649 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 347,233 | $ 325,550 | |
Accrued liabilities | 190,095 | 235,252 | |
Operating lease liabilities, current portion | 8,502 | - | |
Contract liabilities, current portion | 92,621 | 104,130 | |
Short-term debt | 41,838 | 40,074 | |
Liabilities held for sale | 619,538 | - | |
Total current liabilities | 1,299,827 | 705,006 | |
Long-term debt | 71,593 | 40,528 | |
Convertible debt | 818,832 | 818,356 | |
Operating lease liabilities, net of current portion | 29,490 | - | |
Contract liabilities, net of current portion | 75,059 | 99,509 | |
Other long-term liabilities | 234,386 | 839,136 | |
Total liabilities | 2,529,187 | 2,502,535 | |
Equity: | |||
Preferred stock | - | - | |
Common stock | 142 | 141 | |
Additional paid-in capital | 2,469,998 | 2,463,370 | |
Accumulated deficit | (2,561,561) | (2,480,988) | |
Accumulated other comprehensive loss | (4,051) | (4,150) | |
Treasury stock, at cost | (190,940) | (187,069) | |
Total stockholders' deficit | (286,412) | (208,696) | |
Noncontrolling interests in subsidiaries | 64,956 | 58,810 | |
Total equity deficit | (221,456) | (149,886) | |
Total liabilities and equity | $ 2,307,731 | $ 2,352,649 | |
SUNPOWER CORPORATION | ||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||
(In thousands, except per share data) | ||||||
(Unaudited) | ||||||
THREE MONTHS ENDED | ||||||
March 31, | December 30, | April 1, | ||||
2019 | 2018 | 2018 | ||||
Revenue: | ||||||
SunPower Energy Services | $ 178,221 | $ 265,427 | $ 246,928 | |||
SunPower Technologies | 230,804 | 277,256 | 253,834 | |||
Intersegment eliminations | (60,800) | (85,846) | (108,874) | |||
Total revenue | 348,225 | 456,837 | 391,888 | |||
Cost of revenue: | ||||||
SunPower Energy Services | 171,078 | 245,301 | 206,003 | |||
SunPower Technologies | 282,868 | 296,872 | 278,041 | |||
Intersegment eliminations | (68,436) | (77,765) | (102,730) | |||
Total cost of revenue | 385,510 | 464,408 | 381,314 | |||
Gross profit (loss) | (37,285) | (7,571) | 10,574 | |||
Operating expenses: | ||||||
Research and development | 14,993 | 15,481 | 19,052 | |||
Sales, general and administrative | 62,857 | 53,839 | 65,295 | |||
Restructuring charges (credits) | (665) | (1,107) | 11,177 | |||
Impairment and sale of residential lease assets | 9,226 | 81,086 | 49,092 | |||
Gain on business divestiture | (6,114) | - | - | |||
Total operating expenses | 80,297 | 149,299 | 144,616 | |||
Operating loss | (117,582) | (156,870) | (134,042) | |||
Other income (expense), net: | ||||||
Interest income | 852 | 777 | 529 | |||
Interest expense | (16,791) | (30,214) | (25,106) | |||
Other, net | 33,073 | 6,539 | 15,794 | |||
Other income (expense), net | 17,134 | (22,898) | (8,783) | |||
Loss before income taxes and equity in losses of unconsolidated investees | (100,448) | (179,768) | (142,825) | |||
Benefit from (provision for) income taxes | (5,797) | 8,379 | (2,628) | |||
Equity in earnings (losses) of unconsolidated investees | 1,680 | (757) | (2,144) | |||
Net loss | (104,565) | (172,146) | (147,597) | |||
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests | 14,841 | 13,972 | 31,623 | |||
Net loss attributable to stockholders | $ (89,724) | $ (158,174) | $ (115,974) | |||
Basic and diluted net loss per share attributable to stockholders | $ (0.63) | $ (1.12) | $ (0.83) | |||
Basic and diluted weighted-average shares | 141,720 | 141,136 | 140,212 | |||
SUNPOWER CORPORATION | |||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||
(In thousands) | |||||
(Unaudited) | |||||
THREE MONTHS ENDED | |||||
March 31, | December 30, | April 1, | |||
2019 | 2018 | 2018 | |||
Cash flows from operating activities: | |||||
Net loss | $ (104,565) | $ (172,146) | $ (147,597) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | |||||
Depreciation and amortization | 24,190 | 24,060 | 39,833 | ||
Stock-based compensation | 5,666 | 6,266 | 7,053 | ||
Non-cash interest expense | 2,415 | 3,213 | 4,443 | ||
Dividend from equity method investee | - | - | 5,399 | ||
Equity in (earnings) losses of unconsolidated investees | (1,680) | 756 | 2,144 | ||
Unrealized (gain) loss on equity investment with readily determinable fair value | (33,000) | 150 | - | ||
Gain on business divestiture | (6,114) | - | - | ||
Gain on sale of equity investments, net | - | (3,628) | (15,576) | ||
Deferred income taxes | 2,048 | (9,868) | (344) | ||
Loss on sale and impairment of residential lease assets | 9,226 | 81,086 | 49,092 | ||
Other, net | - | (1,059) | 972 | ||
Changes in operating assets and liabilities: | |||||
Accounts receivable | 12,196 | 18,916 | 13,924 | ||
Contract assets | 1,712 | (5,495) | (23,561) | ||
Inventories | (41,718) | 64,617 | (34,195) | ||
Project assets | 776 | 48,652 | 20,484 | ||
Prepaid expenses and other assets | 11,727 | (17,161) | 10,885 | ||
Operating lease right-of-use assets | 2,603 | - | - | ||
Long-term financing receivables, net | (1,611) | (31,006) | (38,114) | ||
Advances to suppliers | 13,055 | 15,236 | 5,149 | ||
Accounts payable and other accrued liabilities | (28,819) | (58,230) | (100,156) | ||
Contract liabilities | (14,578) | 9,328 | (33,097) | ||
Operating lease liabilities | (2,559) | - | - | ||
Net cash used in operating activities | (149,030) | (26,313) | (233,262) | ||
Cash flows from investing activities: | |||||
Purchases of property, plant and equipment | (6,548) | (7,198) | (8,859) | ||
Cash paid for solar power systems, leased, net | - | (12,953) | (23,787) | ||
Cash paid for solar power systems | (27,600) | (37,468) | (2,604) | ||
Cash outflow from sale of residential lease portfolio, net of cash sold | - | (28,004) | - | ||
Proceeds from the sale of cost method investments | - | 33,402 | - | ||
Cash paid for acquisitions, net of cash acquired | - | (17,000) | - | ||
Dividend from equity method investee | - | - | 2,694 | ||
Proceeds from sale of equity method investments | - | 2,540 | 27,282 | ||
Proceeds from business divestiture | 9,677 | 10,000 | - | ||
Cash paid for investments in unconsolidated investees | - | (626) | (6,349) | ||
Net cash used in investing activities | (24,471) | (57,307) | (11,623) | ||
Cash flows from financing activities: | |||||
Proceeds from bank loans and other debt | 67,979 | 60,199 | 49,794 | ||
Repayment of bank loans and other debt | (58,372) | (59,023) | (51,052) | ||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | 22,255 | 5,079 | 32,687 | ||
Repayment of non-recourse residential financing | - | (2,427) | (3,781) | ||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | 20,987 | 43,526 | 36,726 | ||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | - | (2,742) | (5,422) | ||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | - | 75,754 | 9,104 | ||
Repayment of non-recourse power plant and commercial financing | - | (26,383) | (890) | ||
Settlement of contingenet consideration arrangement | (2,448) | - | - | ||
Purchases of stock for tax withholding obligations on vested restricted stock | (3,872) | (281) | (4,526) | ||
Net cash provided by financing activities | 46,529 | 93,702 | 62,640 | ||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 112 | 1,296 | 477 | ||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | (126,860) | 11,378 | (181,768) | ||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 363,763 | 352,385 | 544,337 | ||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period | $ 236,903 | $ 363,763 | $ 362,569 | ||
Non-cash transactions: | |||||
Costs of solar power systems, leased, sourced from existing inventory | $ - | $ 5,975 | $ 14,354 | ||
Costs of solar power systems, leased, funded by liabilities | $ - | $ 3,631 | $ 5,835 | ||
Costs of solar power systems sourced from existing inventory | $ 16,406 | $ - | $ - | ||
Costs of solar power systems funded by liabilities | $ 4,553 | $ - | $ - | ||
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets | $ - | $ 56,332 | $ 9,791 | ||
Property, plant and equipment acquisitions funded by liabilities | $ 10,792 | $ 8,214 | $ 12,768 | ||
Acquisition funded by liabilities | $ - | $ 9,000 | $ - | ||
Contractual obligations satisfied with inventory | $ - | $ 7,924 | $ 17,517 | ||
Assumption of debt by buyer upon sale of equity interest | $ - | $ - | $ 27,321 | ||
Assumption of mezzanine loan by SunStrong in connection with sale of residential lease assets | $ - | $ 106,958 | $ - | ||
Assumption of back leverage loans by SunStrong in connection with sale of residential lease assets | $ - | $ 454,630 | $ - | ||
Retained interest in SunStrong lease portfolio | $ - | $ 9,750 | $ - | ||
Receivables in connection with sale of residential lease portfolio | $ - | $ 12,510 | $ - | ||
Right-of-use assets obtained in exchange for lease obligations | $ 81,525 | $ - | $ - | ||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures. The specific non-GAAP measures listed below are: revenue; gross margin; net loss; net loss per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; and therefore, should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, legacy utility and power plant projects, legacy sale-leaseback transactions and construction services for residential customer contracts, each of which described below. In addition to the above adjustments, non-GAAP gross margin includes adjustments relating to impairment and sale of residential lease assets, cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, and depreciation of idle equipment, each of which is described below. In addition to the above adjustments, non-GAAP net loss and non-GAAP net loss per diluted share are adjusted for adjustments relating to gain on business divestiture, transaction-related costs, business reorganization costs, non-cash interest expense, restructuring expense, the tax effect of these non-GAAP adjustments, and other items, each of which is described below. In addition to the above adjustments as non-GAAP net loss, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments under IFRS that are consistent with the adjustments made in connection with the company's internal reporting process as part of its status as a consolidated subsidiary of Total S.A., our controlling shareholder and a foreign public registrant that reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's performance, and assists in aligning the perspectives of the management with those of Total S.A.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||
(In thousands, except percentages and per share data) | ||||||
(Unaudited) | ||||||
Adjustments to Revenue: | ||||||
THREE MONTHS ENDED | ||||||
March 31, | December 30, | April 1, | ||||
2019 | 2018 | 2018 | ||||
GAAP revenue | $ 348,225 | $ 456,837 | $ 391,888 | |||
Adjustments based on IFRS: | ||||||
8point3 | - | - | (251) | |||
Legacy utility and power plant projects | (171) | (691) | (1,792) | |||
Legacy sale-leaseback transactions | - | 69,254 | 9,103 | |||
Construction revenue on solar services contracts | 63,505 | - | - | |||
Non-GAAP revenue | $ 411,559 | $ 525,400 | $ 398,948 | |||
Adjustments to Gross Profit (Loss) / Margin: | ||||||
THREE MONTHS ENDED | ||||||
March 31, | December 30, | April 1, | ||||
2019 | 2018 | 2018 | ||||
GAAP gross profit (loss) | $ (37,285) | $ (7,571) | $ 10,574 | |||
Adjustments based on IFRS: | ||||||
Legacy utility and power plant projects | 116 | (569) | (268) | |||
Legacy sale-leaseback transactions | (823) | 6,132 | (3,039) | |||
Other adjustments: | ||||||
Impairment and sale of residential lease assets | (125) | (2,163) | (3,853) | |||
Construction revenue on solar services contracts | 11,386 | - | - | |||
Cost of above-market polysilicon | 49,428 | 37,231 | 18,700 | |||
Stock-based compensation expense | 168 | 1,236 | 941 | |||
Amortization of intangible assets | 1,786 | 1,889 | 2,492 | |||
Depreciation of idle equipment | - | - | 721 | |||
Non-GAAP gross profit | $ 24,651 | $ 36,185 | $ 26,268 | |||
GAAP gross margin (%) | (10.7)% | (1.7)% | 2.7% | |||
Non-GAAP gross margin (%) | 6.0% | 6.9% | 6.6% | |||
Adjustments to Net income (loss): | ||||||
THREE MONTHS ENDED | ||||||
March 31, | December 30, | April 1, | ||||
2019 | 2018 | 2018 | ||||
GAAP net loss attributable to stockholders | $ (89,724) | $ (158,174) | $ (115,974) | |||
Adjustments based on IFRS: | ||||||
8point3 | - | - | (177) | |||
Legacy utility and power plant projects | 116 | (569) | (268) | |||
Legacy sale-leaseback transactions | 4,911 | 10,984 | 1,373 | |||
Unrealized (gain) loss on equity investment | (33,000) | 150 | - | |||
Other adjustments: | ||||||
Impairment and sale of residential lease assets | 8,313 | 81,273 | 45,139 | |||
Construction revenue on solar services contracts | (3,740) | - | - | |||
Cost of above-market polysilicon | 49,428 | 37,231 | 18,700 | |||
Stock-based compensation expense | 5,666 | 6,424 | 8,758 | |||
Amortization of intangible assets | 1,786 | 1,889 | 2,492 | |||
Depreciation of idle equipment | - | - | 721 | |||
Gain on business divestiture | (6,114) | - | - | |||
Transaction-related costs | 1,422 | (3,142) | - | |||
Business reorganization costs | 2,649 | 1,330 | - | |||
Non-cash interest expense | 10 | 10 | 22 | |||
Restructuring charges (credits) | (665) | (1,107) | 11,177 | |||
Tax effect | 1,518 | (6,605) | (170) | |||
Non-GAAP net loss attributable to stockholders | $ (57,424) | $ (30,306) | $ (28,207) | |||
Adjustments to Net income (loss) per diluted share: | ||||||
THREE MONTHS ENDED | ||||||
March 31, | December 30, | April 1, | ||||
2019 | 2018 | 2018 | ||||
Net loss per diluted share | ||||||
Numerator: | ||||||
GAAP net loss available to common stockholders1 | $ (89,724) | $ (158,174) | $ (115,974) | |||
Non-GAAP net loss available to common stockholders1 | $ (57,424) | $ (30,306) | $ (28,207) | |||
Denominator: | ||||||
GAAP weighted-average shares | 141,720 | 141,136 | 140,212 | |||
Effect of dilutive securities: | ||||||
Restricted stock units | - | - | - | |||
Upfront warrants (held by Total) | - | - | - | |||
Non-GAAP weighted-average shares1 | 141,720 | 141,136 | 140,212 | |||
GAAP net loss per diluted share | $ (0.63) | $ (1.12) | $ (0.83) | |||
Non-GAAP net loss per diluted share | $ (0.41) | $ (0.21) | $ (0.20) | |||
1In accordance with the if-converted method, net loss available to common stockholders excludes interest expense related to the 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net loss per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net loss per diluted share. | ||||||
Adjusted EBITDA: | ||||||
THREE MONTHS ENDED | ||||||
March 31, | December 30, | April 1, | ||||
2019 | 2018 | 2018 | ||||
GAAP net loss attributable to stockholders | $ (89,724) | $ (158,174) | $ (115,974) | |||
Adjustments based on IFRS: | ||||||
8point3 | - | - | (177) | |||
Legacy utility and power plant projects | 116 | (569) | (268) | |||
Legacy sale-leaseback transactions | 4,911 | 10,984 | 1,373 | |||
Unrealized (gain) loss on equity investment | (33,000) | 150 | - | |||
Other adjustments: | ||||||
Impairment and sale of residential lease assets | 8,313 | 81,273 | 45,139 | |||
Construction revenue on solar services contracts | (3,740) | - | - | |||
Cost of above-market polysilicon | 49,428 | 37,231 | 18,700 | |||
Stock-based compensation expense | 5,666 | 6,424 | 8,758 | |||
Amortization of intangible assets | 1,786 | 1,889 | 2,492 | |||
Depreciation of idle equipment | - | - | 721 | |||
Gain on business divestiture | (6,114) | - | - | |||
Transaction-related costs | 1,422 | (3,142) | - | |||
Business reorganization costs | 2,649 | 1,330 | - | |||
Non-cash interest expense | 10 | 10 | 22 | |||
Restructuring charges (credits) | (665) | (1,107) | 11,177 | |||
Cash interest expense, net of interest income | 10,206 | 24,584 | 20,165 | |||
Provision for (benefit from) income taxes | 5,797 | (8,379) | 2,628 | |||
Depreciation | 19,181 | 21,054 | 37,576 | |||
Adjusted EBITDA | $ (23,758) | $ 13,558 | $ 32,332 | |||
(in thousands except percentages) | Q2 2019 | FY 2019 |
Revenue (GAAP) | $370,000-$410,000 | $1,800,000-$1,900,000 |
Revenue (non-GAAP)1 | $420,000-$460,000 | $1,900,000-$2,000,000 |
Gross margin (GAAP) | 0% - 3% | N/A |
Gross margin (non-GAAP)2 | 7% - 10% | N/A |
Net income (loss) (GAAP) | $0-$20,000 | $(120,000)-$(100,000) |
Adjusted EBITDA3 | $(5,000)-$15,000 | $90,000-$110,000 |
1. | Estimated non-GAAP amounts above for Q2 2019 and fiscal 2019 include net adjustments that increase revenue by approximately $50 million and $114 million, respectively, related to construction revenue on solar services contracts. |
2. | Estimated non-GAAP amounts above for Q2 2019 include net adjustments that increase gross margin by approximately $24 million related to cost of above-market polysilicon, $4 million related to construction revenue on solar services contracts, $2 million related to stock-based compensation expense, and $2 million related to amortization of intangible assets. |
3. | Estimated Adjusted EBITDA amounts above for Q2 2019 include net adjustments that increase (decrease) net income by approximately $24 million related to cost of above-market polysilicon, $17 million related to depreciation, $15 million related to impairment of lease assets, $10 million related to interest expense, $8 million related to stock-based compensation expense, $6 million related to income taxes, $5 million related to business reorganization costs, $2 million related to amortization of intangible assets, $2 million related to restructuring, $(91) million related to the gain on sale of our membership interest in the commercial sale-leaseback portfolio, and $(3) million related to construction revenue on solar services contracts. Estimated non-GAAP amounts above for fiscal 2019 include net adjustments that decrease (increase) net loss by approximately $132 million related to cost of above-market polysilicon, $70 million related to depreciation, $40 million related to interest expense, $32 million related to impairment of lease assets, $30 million related to stock-based compensation expense, $16 million related to income taxes, $16 million related to business reorganization costs, $8 million related to amortization of intangible assets, $4 million related to restructuring, $2 million related to transaction-related costs, $(97) million related to the gain on sale of our membership interest in the commercial sale-leaseback portfolio, $(33) million related to unrealized gain on equity investment, $(6) million related to gain on sale of previously impaired project assets, and $(4) million related to construction revenue on solar services contracts. |
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
March 31, 2019 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Benefit from | Equity in | Gain (Loss) | Net income (loss) | ||||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy | SunPower | Intersegment | Research and | Sales, general | Restructuring | Impairment of | Gain on business | |||||||||||||||||||||||||||
GAAP | $ 178,221 | $ 230,804 | $ (60,800) | $ 7,143 | 4.0% | $ (52,064) | - 22.6% | $ 7,636 | $ (89,724) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | - | (171) | - | 125 | (9) | - | - | - | - | - | - | - | - | - | - | 116 | |||||||||||||||||||||
Legacy sale-leaseback transactions | - | - | - | (824) | 1 | - | - | - | - | - | - | 5,734 | - | - | - | 4,911 | |||||||||||||||||||||
Unrealized gain on equity investment | - | - | - | - | - | - | - | - | - | - | - | (33,000) | - | - | - | (33,000) | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (125) | - | - | - | - | - | 9,226 | - | - | - | - | (788) | 8,313 | |||||||||||||||||||||
Construction revenue on solar services contracts | 63,505 | - | - | 11,386 | - | - | - | - | - | - | - | - | - | - | (15,126) | (3,740) | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 49,428 | - | - | - | - | - | - | - | - | - | - | 49,428 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 168 | - | - | 593 | 4,905 | - | - | - | - | - | - | - | 5,666 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | - | 1,786 | - | - | - | - | - | - | - | - | - | - | 1,786 | |||||||||||||||||||||
Gain on business divestiture | - | - | - | - | - | - | - | (6,114) | - | - | - | - | - | - | - | (6,114) | |||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 2,649 | - | - | - | - | - | - | - | 2,649 | |||||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | 1,422 | - | - | - | - | - | - | - | 1,422 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | - | - | 10 | |||||||||||||||||||||
Restructuring credits | - | - | - | - | - | - | - | - | (665) | - | - | - | - | - | - | (665) | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 1,518 | - | - | 1,518 | |||||||||||||||||||||
Non-GAAP | $ 241,726 | $ 230,633 | $ (60,800) | $ 17,873 | 7.4% | $ (858) | -0.4% | $ 7,636 | $ (57,424) | ||||||||||||||||||||||||||||
December 30, 2018 | |||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Benefit from | Gain (Loss) | Net income (loss) | |||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy | SunPower | Intersegment | Research and | Sales, general | Restructuring | Impairment and | ||||||||||||||||||||||||
GAAP | $ 265,427 | $ 277,256 | $ (85,846) | $ 20,126 | 7.6% | $ (19,616) | -7.1% | $ (8,081) | $ (158,174) | ||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | (240) | (451) | - | (472) | (97) | - | - | - | - | - | - | - | - | (569) | |||||||||||||||||||
Legacy sale-leaseback transactions | 69,254 | - | - | 6,113 | 19 | - | - | - | - | - | 4,852 | - | - | 10,984 | |||||||||||||||||||
Unrealized loss on equity investment | - | - | - | - | - | - | - | - | - | - | 150 | - | - | 150 | |||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||
Impairment and sale of residential lease assets | - | - | - | (2,163) | - | - | - | - | - | 81,086 | - | - | 2,350 | 81,273 | |||||||||||||||||||
Cost of above-market polysilicon | - | - | - | 2,055 | 35,176 | - | - | - | - | - | - | - | - | 37,231 | |||||||||||||||||||
Stock-based compensation expense | - | - | - | 610 | 626 | - | 907 | 4,281 | - | - | - | - | - | 6,424 | |||||||||||||||||||
Amortization of intangible assets | - | - | - | 616 | 1,273 | - | - | - | - | - | - | - | - | 1,889 | |||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 1,330 | - | - | - | - | - | 1,330 | |||||||||||||||||||
Transaction-related costs | - | - | - | - | - | - | - | (3,142) | - | - | - | - | - | (3,142) | |||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | - | 10 | - | - | - | - | - | 10 | |||||||||||||||||||
Restructuring credits | - | - | - | - | - | - | - | - | (1,107) | - | - | - | - | (1,107) | |||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | (6,605) | - | (6,605) | |||||||||||||||||||
Non-GAAP | $ 334,441 | $ 276,805 | $ (85,846) | $ 26,885 | 8.0% | $ 17,381 | 6.3% | $ (8,081) | $ (30,306) | ||||||||||||||||||||||||
April 1, 2018 | |||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | Other income | Benefit from | Equity in | Gain (Loss) | Net income (loss) | ||||||||||||||||||||||||||||
SunPower Energy | SunPower | Intersegment | SunPower Energy | SunPower | Intersegment | Research and | Sales, general | Restructuring | Impariment of | ||||||||||||||||||||||||||
GAAP | $ 246,928 | $ 253,834 | $ (108,874) | $ 40,925 | 16.6% | $ (24,207) | -9.5% | $ (6,144) | $ (115,974) | ||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||
8point3 | (251) | - | - | - | - | - | - | - | - | - | - | - | (177) | - | (177) | ||||||||||||||||||||
Legacy utility and power plant projects | (392) | (1,400) | - | (450) | 182 | - | - | - | - | - | - | - | - | - | (268) | ||||||||||||||||||||
Legacy sale-leaseback transactions | 9,103 | - | - | (3,039) | - | - | - | - | - | - | 4,412 | - | - | - | 1,373 | ||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||
Impairment of residential lease assets | - | - | - | (3,853) | - | - | - | - | - | 49,092 | - | - | - | (100) | 45,139 | ||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | - | 18,700 | - | - | - | - | - | - | - | - | - | 18,700 | ||||||||||||||||||||
Stock-based compensation expense | - | - | - | 361 | 580 | - | 2,877 | 4,940 | - | - | - | - | - | - | 8,758 | ||||||||||||||||||||
Amortization of intangible assets | - | - | - | 1,402 | 1,090 | - | - | - | - | - | - | - | - | - | 2,492 | ||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 289 | 432 | - | - | - | - | - | - | - | - | - | 721 | ||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 3 | 19 | - | - | - | - | - | - | 22 | ||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 11,177 | - | - | - | - | - | 11,177 | ||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | (170) | - | - | (170) | ||||||||||||||||||||
Non-GAAP | $ 255,388 | $ 252,434 | $ (108,874) | $ 35,635 | 14.0% | $ (3,223) | -1.3% | $ (6,144) | $ (28,207) | ||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
5/9/2019SunPower to Announce First-Quarter Results on May 9, 2019
Source: PR Newswire
SAN JOSE, Calif., April 25, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its first-quarter 2019 financial results on a conference call, Thursday, May 9, 2019 at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on May 9, 2019.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content to download multimedia:http://www.prnewswire.com/news-releases/sunpower-to-announce-first-quarter-results-on-may-9-2019-300838800.html
SOURCE SunPower Corp.
Article Date
4/25/2019SunPower Commemorates Decade-Long Bed Bath & Beyond® Partnership this Earth Day with Completion of Second Solar Project at Retailer's Headquarters
Source: PR Newswire
SAN JOSE, Calif., April 22, 2019 /PRNewswire/ -- In 2010, SunPower (NASDAQ:SPWR) installed a 1.2-megawatt solar power system at the Bed Bath & Beyond® headquarters in Union, New Jersey. One decade later, with over 21 megawatts of SunPower® solar deployed at 41 locations across six states, Bed Bath & Beyond is continuing to expand its commitment to renewable energy by adding a nearly 500-kilowatt SunPower system at its corporate office.
To date, the Bed Bath & Beyond 41 SunPower® systems have generated over 125 million kilowatt hours (kWh) of clean, solar energy, offsetting over 88,000 metric tons of carbon dioxide emissions. This is equivalent to the carbon sequestered by 1.4 million tree seedlings grown for 10 years. Over their 25-year lifespan, it is expected that these solar projects will produce over 1 billion kWh.
"Bed Bath & Beyond continues to demonstrate a commitment to renewable energy for its business and the communities in which it operates, and we're proud to have them as such a visionary solar partner," said Nam Nguyen, SunPower Executive Vice President, Commercial Americas. "More corporations across the U.S. are choosing solar to cost-effectively meet electricity demand, and SunPower's complete solar solutions are designed to maximize value for these customers."
As Bed Bath & Beyond celebrates their 10th Earth Day as a beneficiary of clean, solar energy, the company's commitment to renewable energy remains strong. Solar power is good for the environment, while providing cost savings benefits as well, which allows improvements to operations that help Bed Bath & Beyond better serve their customers.
In 2017, Bed Bath & Beyond ranked 12th for corporate solar users in the U.S., reflecting the company's commitment to offsetting electricity consumption with renewable solar power. Over the course of 10 years, SunPower has operated and maintained the 21 megawatts of solar projects and their performance can be monitored in real-time by Bed Bath & Beyond via SunPower's EnergyLink® monitoring software. For project photos and more, visit https://access.sunpower.com/BBBearthday.
SunPower is currently the No. 1 commercial solar provider in the U.S. for the second consecutive year with the most megawatts installed according to Wood Mackenzie (formerly GTM Research). For more on why SunPower is an ideal energy partner for businesses, visit https://us.sunpower.com/commercial-solar.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Bed Bath & Beyond Inc.
Bed Bath & Beyond Inc. and subsidiaries (the "Company") is an omnichannel retailer selling a wide assortment of domestics merchandise and home furnishings which operates under the names Bed Bath & Beyond, Christmas Tree Shops, Christmas Tree Shops andThat! or andThat!, Harmon, Harmon Face Values or Face Values, buybuy BABY and World Market, Cost Plus World Market or Cost Plus. Customers can purchase products either in-store, online, with a mobile device or through a customer contact center. The Company generally has the ability to have customer purchases picked up in-store or shipped direct to the customer from the Company's distribution facilities, stores or vendors. In addition, the Company operates Of a Kind, an e-commerce website that features specially commissioned, limited edition items from emerging fashion and home designers; One Kings Lane, an authority in home décor and design, offering a unique collection of select home goods, designer and vintage items; PersonalizationMall.com, an industry-leading online retailer of personalized products; and Decorist, an online interior design platform that provides personalized home design services. The Company also operates Linen Holdings, a provider of a variety of textile products, amenities and other goods to institutional customers in the hospitality, cruise line, healthcare and other industries. Additionally, the Company is a partner in a joint venture which operates retail stores in Mexico under the name Bed Bath & Beyond.
The Company operates websites at bedbathandbeyond.com, bedbathandbeyond.ca, worldmarket.com, buybuybaby.com, buybuybaby.ca, christmastreeshops.com, andthat.com, harmondiscount.com, facevalues.com, ofakind.com, onekingslane.com, personalizationmall.com, decorist.com, harborlinen.com, and t-ygroup.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other company logos and trademarks are the properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
4/22/2019Sub-Zero Group, Inc. Installs 3.94 Megawatt SunPower System From Sun Valley Solar Solutions at Goodyear Facility
Source: PR Newswire
GOODYEAR, Ariz., April 16, 2019 /PRNewswire/ -- Sub-Zero Group, Inc., the industry leader in premium refrigeration, cooking equipment and dishwashing appliances, recently commissioned a 3.94-megawatt SunPower (NASDAQ: SPWR) solar energy system, designed and installed by Chandler-based Sun Valley Solar Solutions. In the first year of operation, the system is expected to provide more than 30 percent of the facility's total energy that would otherwise be purchased from the local utility, while locking in significant savings over the system's conservatively estimated 30-year lifespan.
"Adding solar to one of our larger manufacturing sites brings us significantly closer to achieving our corporate goals of integrating sustainability initiatives throughout Sub-Zero Group, Inc. while striving to produce the highest quality of luxury appliances possible," said Sara Northouse, sustainability project leader for Sub-Zero Group, Inc. "Solar is a long-term investment that will deliver meaningful benefits for decades to come. As a company, we are mindful of our energy consumption and are excited to demonstrate our commitment to a more balanced, sustainable future for our customers and their communities."
The solar addition is part of a 250,000-square-foot facility and manufacturing line expansion at the company's Goodyear facility. The massive rooftop installation incorporates more than 11,000 highly reliable SunPower® Performance Series solar panels on a custom ballasted racking system that helps avoid roof penetrations for maximum roof integrity. Positioning the panels at a 20-degree angle ensures maximum sunlight capture and peak production throughout the day.
"We're extremely proud to have helped Sub-Zero Group, Inc. with this important initiative," said Russ Patzer, CEO of Sun Valley Solar Solutions. "Adding them to our growing customer list of successful, forward-thinking organizations is a huge step in helping other companies understand how going solar is the best way to ensure a healthier bottom line and a healthier environment."
Over the lifespan of the array, the new SunPower system is expected to offset over 205 million kilowatt-hours of electricity use.
About Sub-Zero Group, Inc.
Sub-Zero Group, Inc., headquartered in Madison, Wis., manufactures best-in-class appliance brands Sub-Zero, Wolf, and Cove. Founded in 1945, Sub-Zero is the leading America-based manufacturer of refrigeration, freezer and wine storage products. Sub-Zero, the preservation specialist, pioneered the concept of dual refrigeration, ensuring that food stays fresher longer. With the acquisition of Wolf Range Company in 2000, Sub-Zero Group, Inc. added the industry specialist in residential cooking appliances, with products including ranges, cooktops, wall ovens, warming drawers and ventilation equipment. In 2018, Sub-Zero Group, Inc. launched the Cove brand of dishwashers, the specialist in all things clean. Cove joins Sub-Zero and Wolf, establishing the brands as corporate companions and a complete kitchen family. In its third generation of family ownership, the privately held company operates manufacturing facilities in Fitchburg, Wis., and Goodyear, Ariz. Sub-Zero Group, Inc. is continually recognized for the highest achievements in appliance innovation and customer satisfaction. For more information about Sub-Zero, Wolf, and Cove, visit subzero-wolf.com or follow us at facebook.com/subzerowolf, on Twitter @subzerowolf or on Instagram @subzeroandwolf. For Sub-Zero, Wolf, and Cove Customer Care, call 800-222-7820.
About Sun Valley Solar Solutions
Since 2006, Sun Valley Solar Solutions has been helping Arizona homeowners and businesses turn the state's most abundant natural resource into immediate savings and a cleaner tomorrow. The company is accredited as a SunPower Elite Dealer by SunPower Corp., holds an A+ rating with the Better Business Bureau and a five-star rating on Yelp, has won the Angie's List Super Service Award five times, and was ranked #1 Solar Installer by Ranking Arizona – The Best of Arizona Business. Sun Valley Solar Solutions is NABCEP-certified and a member of the Solar Energy Industries Association, AMICUS, the Electric League of Arizona, the U.S. Green Building Council, and LOCAL FIRST. For more information, visit sunvalleysolar.com.
*Estimated production data compiled by using the United States Environmental Protection Agency's greenhouse gas equivalencies calculator.
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SOURCE Sub-Zero Group, Inc.
Article Date
4/16/2019SunPower Led U.S. Solar Industry in 2018 for Second Consecutive Year as the No. 1 Commercial Solar Provider and a Top Residential Solar Panel Supplier
Source: PR Newswire
SAN JOSE, Calif., March 26, 2019 /PRNewswire/ -- While solar adoption in the U.S. ticks upward according to the U.S. Energy Information Administration, SunPower (NASDAQ: SPWR) continues to capture a large share of the distributed generation solar market. In Wood Mackenzie's latest U.S. PV Leaderboard report made available this month, SunPower remained the No. 1 provider of commercial solar solutions for a second year running. And as an essential partner to its nationwide residential dealer network, the company also maintained a leadership position as one of the top residential solar panel manufacturers for the second consecutive year.
"As a leading solar technology and energy services provider in a market that we expect will continue to grow, we pride ourselves on helping SunPower's residential and commercial customers meet their energy needs with the industry's most efficient solar panels available today," said Tom Werner, SunPower CEO and chairman of the board. "Our 34 years of experience, innovative technology, and complete solar and storage solutions have helped SunPower become a longstanding leader in solar."
Commercial Solar Business
An innovator in the space, SunPower is focused on being the top distributed energy company in North America. SunPower focuses on integrating its high performance solar systems with storage and intelligent software to deliver maximum value to customers, including demand charge savings, monitoring, data analytics and optimization, energy management and over time wholesale grid services.
As a result, SunPower has a commercial solar installed base of 1.6 gigawatts across its unique go-to-market platform of direct and indirect channels, with a number of Fortune 500 customers. Eight of the top 10 corporate solar buyers in America identified by the Solar Energy Industries Association are SunPower customers – including Ikea, Macy's, and Target – contributing to SunPower's position as the market share leader. To date, the company has installed 9 megawatt hours of storage at over 20 customer sites.
Residential Solar Business
Last year, SunPower's U.S. residential business saw annual deployment growth of more than 15 percent bringing the total number of American homes with SunPower® solar to over 236,000. The company has recognized an increased demand for its Equinox™ platform – the only fully integrated residential solution designed, engineered and warranted by one manufacturer; expanded its leadership position in the new homes channel, partnering with 18 of the top 20 California new-home builders; and earlier this month, once again raised the bar by launching the most powerful residential solar panel in the world. Called A-Series – and built using the company's Next Generation Technology – the panel delivers up to 415 watts for U.S. homeowners.
"This year, SunPower is focused on maintaining our leadership positions by continuing to invest in our Next Generation Technology, solar-plus-storage solutions, digital platforms, and energy services offerings, which we believe offer the best opportunities for growth in the U.S. solar market," Werner concluded.
SunPower will further discuss its strategic outlook at its Capital Markets Day to be held on March 27, 2019 in New York City starting at 9:00 a.m. Eastern Time. The event will be webcast and relevant materials will be posted to the company's website prior to the event. To register for and listen to the webcast, visit the company's Events and Presentations section of the SunPower Investor Relations page at http://investors.sunpower.com/events.cfm prior to the start time.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our expectations for strategy, including market and product focus; energy output; future product performance; and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy; competition in the solar and general energy industry; our ability to commercialize new products and services; and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/26/2019Sierra Club and SunPower Partner to Help Create a Sustainable Future
Source: PR Newswire
SAN JOSE, Calif., March 12, 2019 /PRNewswire/ -- Grassroots environmental organization Sierra Club, one of the most enduring and influential in the United States, is providing an opportunity for its more than 3.5 million members and supporters to go solar with SunPower (NASDAQ:SPWR). As part of the new program, participating Sierra Club members or supporters who purchase or lease a SunPower® home solar system can receive a $1,000 mail-in rebate and SunPower will give Sierra Club $1,000 to support the organization's mission.
"Our climate is in crisis, and it is our mutual responsibility to protect the planet for this and future generations," said Michael Brune, executive director of the Sierra Club. "This partnership with SunPower offers our members a meaningful and cost-effective opportunity to reduce harmful carbon emissions, potentially save on home electricity bills and move the country towards clean energy."
Over the last four years the Sierra Club has helped over 100 towns and cities across the country commit to achieving 100 percent clean energy, from communities like Abita Springs, La., and Georgetown, Texas, to metropolises like Salt Lake City, Cincinnati, and St. Petersburg – as well as the states of California and Hawaii, and the District of Columbia. This new alliance between SunPower and the Sierra Club will help further the Sierra Club's overall efforts to advance climate solutions and move the U.S. toward 100 percent renewable energy.
One of the reasons that the Sierra Club selected SunPower for this program was the solar industry leader's deep commitment to sustainable and responsible solar panel manufacturing.
"By making solar more accessible to Sierra Club members, we're advancing the organization's efforts to protect our natural environment while also continuing SunPower's work to change the way our world is powered," said Norm Taffe, SunPower executive vice president, residential solar. "SunPower offers industry-leading solar technology that generates 60 percent more energy in the same space than conventional panels over the first 25 years, which means more savings on electricity bills and a lower carbon footprint for customers."
For several years running, SunPower solar panels have ranked No. 1 in the Silicon Valley Toxics Coalition's sustainability scorecard. Its direct current E-Series and X-Series solar panels were the first in the world to achieve Cradle to Cradle Certified™ Silver designation, demonstrating the product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness – areas of importance to Sierra Club and its supporters. These same solar panels are made in a SunPower facility that has qualified for Leadership in Energy and Environmental Design (LEED® Gold) based on the environmental attributes of the building's construction, maintenance and operations. The same manufacturing facility has also received Landfill-Free Verification by NSF for achieving less than 1 percent of waste to landfill.
Sierra Club members interested in the program will work with SunPower and its dealer network to determine if solar is a good fit for their home, as well as explore a variety of financing options which may include cash purchase, loan, or lease.
For more information about this program and Sierra Club's work to advance clean energy and healthier communities, visit this special webpage.
About Sierra Club
The Sierra Club believes in the transformative power of people working together. It is the largest and most influential grassroots environmental organization in the U.S., and for more than 126 years has helped shape the way people participate in local, state, and national advocacy and policy work. The Sierra Club's more than 3.5 million members and supporters have helped make real change in advancing climate solutions, protecting lands, air, water, and wildlife, acting for justice, and getting people outdoors. For more information, visit www.sierraclub.org.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected energy output, product performance, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. LEED GOLD is a trademark owned by the U.S. Green Building Council. All other logos and trademarks are the properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
3/12/2019SunPower Launches Industry's First 400-Plus-Watt Home Solar Panels, the Most Powerful Residential Solar Panels in the World
Source: PR Newswire
SAN JOSE, Calif., March 5, 2019 /PRNewswire/ -- SunPower (NASDAQ:SPWR) has once again raised the bar by introducing the highest-power solar panels available today for the residential market. In the United States, the company has launched its Next Generation Technology home solar panel called A-Series, delivering 400 and 415 watts of power. In Europe and Australia, homeowners can also now order a 400-watt solar panel from SunPower called Maxeon® 3. Each is the first home solar panel to deliver more than 400 watts in its region and is designed to deliver 60 percent more energy in the same amount of roof space over the first 25 years compared to conventional solar.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/8252054-sunpower-a-series-next-gen-solar-panels/
"SunPower is introducing the world's first 400-watt residential solar panels as most in the industry are just crossing the 300-watt threshold for home solar," said Jeff Waters, CEO of the SunPower Technologies business unit. "Our record-breaking cell technology and innovative research and development efforts have enabled us to fit more power capacity on rooftops than we ever have before. Our growing panel portfolio is delivering unprecedented value across global markets that goes unmatched by any other residential solar technology currently available."
A-Series Solar Panel Engineered from SunPower's Next Generation Technology
SunPower is well known for its patented Maxeon solar cells built on a solid copper foundation for high reliability and performance. They make SunPower® solar panels virtually impervious to the corrosion and cracking that typically cause conventional panels to break down. In fact, SunPower solar panels are shown to have the lowest degradation rate in the industry.
A-Series panels are built with SunPower's fifth-generation Maxeon solar cells, called Gen 5, which were perfected at the company's Silicon Valley Research Facility. This breakthrough Next Generation Technology required new materials, tools and processes, and resulted in a 65 percent larger cell than previous generations that absorbs more sunlight and ultimately offers more savings to homeowners.
Combined with Maxeon Gen 5 solar cells is one of the industry's highest-powered, factory-integrated microinverter, making A-Series ideal for use with SunPower's Equinox™ platform: the only fully integrated residential solution designed, engineered and warranted by one manufacturer.
Delivering up to 415 watts of electricity, A-Series is the most powerful solar panel that customers in America can buy for their home today.
Maxeon 3 is Most Powerful Home Solar Panel in Europe and Australia
SunPower also broke the 400-watt, residential solar panel barrier for homeowners in Europe and Australia with the company's new Maxeon 3 panel which delivers 400 watts of power from its third-generation Maxeon solar cells. In SunPower's core international distributed generation markets – which include Europe and Australia – the company is a leading solar provider, increasing volume at a compound annual growth rate of more than 60 percent since 2016. SunPower has had particular success in Europe, doubling its market share.
A Robust Solar Panel Portfolio
A-Series and Maxeon 3 join SunPower's robust residential and commercial solar panel portfolio that includes Performance Series panels. These expanded options provide SunPower's extensive dealer network with a range of power and efficiencies to suit specific customer needs. All SunPower panels are backed by its industry-leading 25-year Combined Power and Product Warranty.
"SunPower solar panels are designed to maximize power production and energy savings for our customers, and we're only scratching the surface of what's possible in home solar," Waters continued. "With our innovative solar solutions and services, and our established channels to market, SunPower will continue building on its strong leadership position in distributed generation around the world."
More than 10.3 gigawatts of the company's high-reliability solar technology are installed to date at residential, commercial and utility-scale projects globally. Collectively, these SunPower® systems are expected to produce approximately 470 billion kilowatt hours of solar electricity over their first 25 years, offsetting carbon emissions from approximately 30 million tons of coal burned.
To learn more about A-Series, visit www.sunpower.com/nextgentechnology or our latest blog post here.
For those interested in Maxeon 3, visit www.sunpowercorp.co.uk/maxeon.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected energy output, product performance, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, EQUINOX, and MAXEON are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/5/2019SunPower Reports Fourth Quarter and Fiscal Year 2018 Results
Source: PR Newswire
SAN JOSE, Calif., Feb. 13, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its fourth quarter ended December 30, 2018.
Fourth Quarter Highlights
($ Millions, except percentages and per-share data) | 4th Quarter 2018 | 3rd Quarter 2018 | 4th Quarter 20173 | FY 2018 | FY 20173 |
GAAP revenue | $456.8 | $428.3 | $651.1 | $1,726.1 | $1,794.0 |
GAAP gross margin | (1.7%) | 2.3% | (2.0%) | (17.2%)4 | (1.0%) |
GAAP net loss | $(158.2) | $(89.8) | $(572.7) | $(811.1)4 | $(929.9) |
GAAP net loss per diluted share | $(1.12) | $(0.64) | $(4.1) | $(5.76)4 | $(6.67) |
Non-GAAP revenue1 | $525.4 | $443.4 | $824.0 | $1,814.9 | $2,128.6 |
Non-GAAP gross margin1,2 | 6.9% | 4.7% | 11.9% | 7.5% | 11.1% |
Non-GAAP net income (loss)1,2 | $(30.3) | $(40.9) | $35.8 | $(101.4) | $(34.4) |
Non-GAAP net income (loss) per diluted share1,2 | $(0.21) | $(0.29) | $0.25 | $(0.72) | $(0.25) |
Adjusted EBITDA1,2 | $13.6 | $6.7 | $100.3 | $111.2 | $189.7 |
Net debt | $589.6 | $1,254.4 | $1,169.8 | $589.6 | $1,169.8 |
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
2Excludes polysilicon costs related to its above market polysilicon contracts |
3The company adopted the new revenue recognition standard effective January 1, 2018. The prior periods presented here have been restated to reflect adoption of the new standard. |
4Includes impairment charges of approximately $369.2 million for legacy manufacturing assets of which $355.1 million is recorded in GAAP gross margin in second quarter 2018. |
"I'm pleased we were able to post solid financial performance for the quarter while achieving a number of strategic milestones including re-segmenting our business structure to improve transparency and accountability, the initial production of our NGT cell and panel technology, as well as further delevering our balance sheet through the successful deconsolidation of our residential lease portfolio," said Tom Werner, SunPower CEO and chairman of the board.
SunPower Energy Services (SPES) – North American Residential and Commercial Businesses
"We executed well in our North American distributed generation (DG) business as demand remained strong in the fourth quarter. In particular, our U.S. residential business saw annual deployment growth of more than 15 percent. We saw increased demand for our complete residential Equinox solution , further traction for our loan product, and expanded our leadership position in the new homes channel with partnerships with 17 of the top 20 U.S. new home builders. Finally, we continue to see strong interest in our residential storage and services offerings and remain on plan to launch our Equinox residential storage solution this year.
"In Commercial, we remain the market share leader. For the quarter, we posted record bookings from both new and repeat customers including Cabot and Walmart. With the addition of these orders, we now have material revenue and volume visibility for the second half of 2019 with more than 80 percent of our 2019 commercial forecast already in backlog.
"We also continue to see significant interest in our Helix solar-plus-storage solution with attach rates of 35 percent. With the continuing success of the rollout of our Helix storage solution, we see significant opportunity in bringing this industry leading technology to our commercial installed base of more than 1.3 gigawatts (GW).
SunPower Technologies (SPT) – Manufacturing, International DG / Power Plant panel businesses
"First, we were pleased to appoint Jeff Waters as our new SPT business unit CEO during the quarter. Jeff brings a wealth of technology, operational and international business expertise to our team and we look forward to working together as he leads our manufacturing, research and development (R&D) and international downstream activities.
"We made significant progress on NGT as we started initial customer shipments for this industry leading technology in the fourth quarter of 2018. Additionally, we have already started the process to ramp our second manufacturing line which will more than double our NGT name plate capacity to approximately 250 MW by the end of 2019. Also, we recently began production of our P-Series technology at our manufacturing facility in Oregon and expect to ship up to 150 MW of P-Series from this facility this year, expanding our DG product offering in the U.S.
"SPT demand also remained solid in the quarter as we saw continued strength in our EMEA DG business and increased bookings in our international power plant supply agreement business. With these orders, we now have more than 750 MW of our 2019 international business in backlog.
Business Segmentation
"Finally, we materially completed our corporate transformation efforts during the quarter. As we have mentioned, over the last year, we have successfully simplified our business model, delevered our balance sheet and reduced operating expenses. We focused our investments in those areas that we believe offer the best opportunities for growth including our industry leading NGT cell and panel technology, solar-plus-storage solutions for our DG business, our digital platform to improve customer service and satisfaction, as well our energy services offerings," Werner concluded.
"Strong execution enabled us to achieve our strategic initiatives for the quarter," said Manavendra Sial, SunPower chief financial officer. "With the sale and deconsolidation of our residential lease portfolio during the quarter, we have simplified our financial statements and reduced our net debt by more than 50 percent to less than $600 million by the end of the year. Additionally, we improved our cash position and prudently managed our operating expenses while further investing in our growth initiatives. With the completion of our strategic transformation, DG-focused strategy and commitment to technological innovation, we are well positioned for sustainable profitability in 2019."
Fourth quarter fiscal year 2018 non-GAAP results exclude net adjustments that, in the aggregate, improved non-GAAP earnings by $127.9 million, including $81.3 million related to impairment and sale of residential lease assets, $37.2 million related to cost of above-market polysilicon, $11.0 million related to sale-leaseback transactions, $6.4 million related to stock-based compensation expense, $1.9 million related to intangibles, $1.3 million related to business reorganization costs and, partially offset by $6.6 million related to tax effect, $3.1 million acquisition-related and other costs, $1.1 million related to restructuring expense, and $0.5 million related to utility and power plant projects.
Financial Outlook
The company expects financial performance to improve on a quarterly basis throughout fiscal year 2019 with performance weighted towards the second half of the year given its record commercial bookings in the fourth quarter of 2018 as well as normal seasonality in its residential business. The company also expects fiscal year 2019 adjusted EBITDA to increase approximately 60 percent on a normalized basis adjusting for non-controlling interest due to the sale of its residential lease portfolio, as well as the impact of Section 201 tariffs paid during the year, both of which will not occur in 2019. The company believes that the change in its leasing business structure will improve lease economics starting in 2019. The company will provide additional details on its 2019 financial guidance at its Capital Markets Day on March 27, 2019.
Specifically, the company's first quarter fiscal year 2019 GAAP and non-GAAP guidance is as follows: On a GAAP basis, revenue of $290 million to $330 million, gross margin of (3) percent to 0 percent and a net loss of $70 million to $50 million. On a non-GAAP basis, the company expects revenue of $350 million to $390 million, gross margin of 3 percent to 5 percent, Adjusted EBITDA of $(40) million to $(20) million and MW deployed in the range of 360 MW to 400 MW.
The company's fiscal year 2019 GAAP and non-GAAP guidance is as follows: revenue of $1.8 billion to $1.9 billion on a GAAP basis and $1.9 billion to $2.0 billion on a non-GAAP basis, GW deployed in the range of 1.9 GW to 2.1 GW, non-GAAP operational expenses of less than $280 million, capital expenditures of approximately $75 million and Adjusted EBITDA of $80 million to $110 million.
Capital Markets Day
SunPower will discuss its strategic outlook as well as provide additional details related to its fiscal year 2019 financial performance at its Capital Markets Day to be held on March 27, 2019 in New York City starting at 9:00 a.m. Eastern Time. Please note that the entire event will be webcast and relevant materials will be posted to the company's website prior to the event. To register for and listen to the webcast, investors are encouraged to visit the company's Events and Presentations section of the SunPower Investor Relations page at http://investors.sunpower.com/events.cfm prior to the event.
The company will also host a conference call for investors this afternoon to discuss its fourth quarter 2018 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its fourth quarter 2018 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate MW on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our plans and expectations regarding manufacturing expansion, and production goals and ramps, including the timing of our ramp of NGT production and planned product shipments, and plans for P-Series manufacturing and product shipments from our facility in Oregon; (b) the impact of our corporate transformation initiatives, including efforts to delever our balance sheet, simplify our financial statements, and re-segment our business structure, on our transparency, profitability, financial performance, and results of operations; (c) our expectations and plans regarding demand, revenue and volume, market opportunity, product focus and adoption, and market share growth; (d) our expected areas of focus, including with respect to specific products and offerings and lines of business; (e) our expectations regarding our future financial performance, including with respect to EBITDA, margins, profitability, and tariff impact; (f) predictions regarding trends and seasonality in our overall results and those of our business lines; (g) our positioning for future success and profitability and long-term competitiveness, and our ability to achieve our financial and strategic goals; (h) our plans for a Capital Markets Day and the topics we expect to discuss; (i) our first quarter fiscal 2019 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, and related assumptions; and (j) fiscal year 2019 guidance, including expected quarterly performance improvement and weighting, GAAP revenue, gross margin, and net loss, as well as non-GAAP GW deployed, Adjusted EBITDA, non-GAAP revenue, gross margin, Adjusted EBITDA and MW deployed, and related assumptions. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition and applicability of tariffs; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) challenges inherent in constructing certain of our large projects, including regulatory hurdles and other difficulties that may arise; (6) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (9) challenges managing our acquisitions, joint ventures and partnerships, including our ability to successfully manage acquired assets and supplier relationships; (10) challenges in executing transactions key to our strategic plans; and (11) our ability to successfully implement actions to complete our restructuring plan and associated initiatives, including plans to streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2019 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SUNPOWER CORPORATION | |||
CONSOLIDATED BALANCE SHEETS | |||
(In thousands) | |||
(Unaudited) | |||
Dec. 30, | Dec. 31, | ||
2018 | 2017 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 309,407 | $ 435,097 | |
Restricted cash and cash equivalents, current portion | 41,762 | 43,709 | |
Accounts receivable, net | 175,605 | 204,966 | |
Contract assets | 58,994 | 35,074 | |
Inventories | 308,146 | 352,829 | |
Advances to suppliers, current portion | 37,878 | 30,689 | |
Project assets - plants and land, current portion | 10,796 | 103,063 | |
Prepaid expenses and other current assets | 131,183 | 146,209 | |
Total current assets | 1,073,771 | 1,351,636 | |
Restricted cash and cash equivalents, net of current portion | 12,594 | 65,531 | |
Restricted long-term marketable securities | 5,955 | 6,238 | |
Property, plant and equipment, net | 839,871 | 1,147,845 | |
Solar power systems leased and to be leased, net | 92,557 | 369,218 | |
Advances to suppliers, net of current portion | 133,694 | 185,299 | |
Long-term financing receivables, net | 19,592 | 330,672 | |
Other intangible assets, net | 12,582 | 25,519 | |
Other long-term assets | 162,033 | 546,698 | |
Total assets | $ 2,352,649 | $ 4,028,656 | |
Liabilities and Equity | |||
Current liabilities: | |||
Accounts payable | $ 325,550 | $ 406,902 | |
Accrued liabilities | 235,252 | 231,771 | |
Contract liabilities, current portion | 104,130 | 101,723 | |
Short-term debt | 40,074 | 58,131 | |
Convertible debt, current portion | - | 299,685 | |
Total current liabilities | 705,006 | 1,098,212 | |
Long-term debt | 40,528 | 430,634 | |
Convertible debt, net of current portion | 818,356 | 816,454 | |
Contract liabilities, net of current portion | 99,509 | 133,390 | |
Other long-term liabilities | 839,136 | 842,342 | |
Total liabilities | 2,502,535 | 3,321,032 | |
Redeemable noncontrolling interests in subsidiaries | - | 15,236 | |
Equity: | |||
Preferred stock | - | - | |
Common stock | 141 | 140 | |
Additional paid-in capital | 2,463,370 | 2,442,513 | |
Accumulated deficit | (2,480,988) | (1,669,897) | |
Accumulated other comprehensive loss | (4,150) | (3,008) | |
Treasury stock, at cost | (187,069) | (181,539) | |
Total stockholders' equity | (208,696) | 588,209 | |
Noncontrolling interests in subsidiaries | 58,810 | 104,179 | |
Total equity | (149,886) | 692,388 | |
Total liabilities and equity | $ 2,352,649 | $ 4,028,656 | |
SUNPOWER CORPORATION | |||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||
(In thousands, except per share data) | |||||||||||
(Unaudited) | |||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | ||||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | |||||||
2018 | 2018 | 2017 | 2018 | 2017 | |||||||
Revenue: | |||||||||||
SunPower Energy Services revenue | $ 265,427 | $ 263,576 | $ 259,260 | $ 1,045,614 | $ 910,206 | ||||||
SunPower Technologies revenue | 277,256 | 289,630 | 541,415 | 1,069,010 | 1,350,790 | ||||||
Intersegment eliminations | (85,846) | (124,943) | (149,541) | (388,539) | (466,949) | ||||||
Total revenue | 456,837 | 428,263 | 651,134 | 1,726,085 | 1,794,047 | ||||||
Cost of revenue: | |||||||||||
SunPower Energy Services cost of revenue | 245,301 | 217,196 | 249,688 | 889,410 | 820,628 | ||||||
SunPower Technologies cost of revenue | 296,872 | 307,527 | 553,222 | 1,496,909 | 1,430,539 | ||||||
Intersegment eliminations | (77,765) | (106,337) | (138,999) | (363,153) | (438,475) | ||||||
Total cost of revenue | 464,408 | 418,386 | 663,911 | 2,023,166 | 1,812,692 | ||||||
Gross profit (loss) | (7,571) | 9,877 | (12,777) | (297,081) | (18,645) | ||||||
Operating expenses: | |||||||||||
Research and development | 15,481 | 15,898 | 20,400 | 81,705 | 82,247 | ||||||
Sales, general and administrative | 53,839 | 76,069 | 72,765 | 260,111 | 278,645 | ||||||
Restructuring charges | (1,107) | 3,923 | 2,769 | 17,497 | 21,045 | ||||||
Impairment and sale of residential lease assets | 81,086 | 53,537 | 624,335 | 251,984 | 624,335 | ||||||
Gain on business divestitures | - | (59,347) | - | (59,347) | - | ||||||
Total operating expenses | 149,299 | 90,080 | 720,269 | 551,950 | 1,006,272 | ||||||
Operating loss | (156,870) | (80,203) | (733,046) | (849,031) | (1,024,917) | ||||||
Other income (expense), net: | |||||||||||
Interest income | 777 | 1,087 | 139 | 3,057 | 2,100 | ||||||
Interest expense | (30,214) | (25,973) | (24,851) | (108,011) | (90,288) | ||||||
Other, net | 6,539 | (3,642) | 1,468 | 55,314 | (87,645) | ||||||
Other expense, net | (22,898) | (28,528) | (23,244) | (49,640) | (175,833) | ||||||
Loss before income taxes and equity in earnings (losses) of unconsolidated investees | (179,768) | (108,731) | (756,290) | (898,671) | (1,200,750) | ||||||
Benefit from (provision for) income taxes | 8,379 | (3,680) | 2,870 | (1,010) | 3,944 | ||||||
Equity in earnings (losses) of unconsolidated investees | (757) | (1,500) | (146) | (17,815) | 25,938 | ||||||
Net loss | (172,146) | (113,911) | (753,566) | (917,496) | (1,170,868) | ||||||
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests | 13,972 | 24,085 | 180,915 | 106,405 | 241,747 | ||||||
Net loss attributable to stockholders | $ (158,174) | $ (89,826) | $ (572,651) | $ (811,091) | $ (929,121) | ||||||
Net loss per share attributable to stockholders: | |||||||||||
- Basic | $ (1.12) | $ (0.64) | $ (4.10) | $ (5.76) | $ (6.67) | ||||||
- Diluted | $ (1.12) | $ (0.64) | $ (4.10) | $ (5.76) | $ (6.67) | ||||||
Weighted-average shares: | |||||||||||
- Basic | 141,136 | 141,027 | 139,613 | 140,825 | 139,370 | ||||||
- Diluted | 141,136 | 141,027 | 139,613 | 140,825 | 139,370 | ||||||
SUNPOWER CORPORATION | |||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
(In thousands) | |||||||||
(Unaudited) | |||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | ||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | |||||
2018 | 2018 | 2017 | 2018 | 2017 | |||||
Cash flows from operating activities: | |||||||||
Net loss | $ (172,146) | $ (113,911) | $ (753,566) | $ (917,497) | $ (1,170,868) | ||||
Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||
Depreciation and amortization | 24,060 | 24,743 | 54,292 | 127,204 | 185,283 | ||||
Stock-based compensation | 6,266 | 6,390 | 9,294 | 26,353 | 34,674 | ||||
Non-cash interest expense | 3,213 | 3,871 | 5,837 | 15,346 | 18,390 | ||||
Dividend from equity method investees | - | - | 7,859 | 3,947 | 30,091 | ||||
Equity in (earnings) losses of unconsolidated investees | 756 | 1,501 | 145 | 17,815 | (25,939) | ||||
Gain on sale of equity investments, net | 2,212 | (543) | (5,346) | (48,356) | (5,346) | ||||
Gain on sale of cost method investment | (5,840) | - | - | (5,840) | - | ||||
Gain on business divestitures | - | (59,347) | - | (59,347) | - | ||||
Deferred income taxes | (9,868) | 1,575 | (8,541) | (6,862) | (6,966) | ||||
Unrealized loss on equity investments with readily determinable fair value | 150 | 6,225 | - | 6,375 | - | ||||
Impairment of equity method investment | - | - | 7,993 | - | 89,564 | ||||
Impairment of property, plant and equipment | - | - | - | 369,168 | |||||
Loss on sale and impairment of residential lease assets | 81,086 | 53,537 | 624,335 | 251,984 | 624,335 | ||||
Other, net | (1,059) | (3,294) | (3,881) | (6,796) | 1,299 | ||||
Changes in operating assets and liabilities: | |||||||||
Accounts receivable | 18,916 | (15,057) | (40,469) | (174) | (1,191) | ||||
Contract assets | (5,495) | (2,639) | 7,104 | (43,509) | 10,660 | ||||
Inventories | 64,617 | (27,942) | 28,776 | (39,174) | (38,236) | ||||
Project assets | 48,652 | (20,226) | 71,536 | 39,512 | 2,393 | ||||
Prepaid expenses and other assets | (17,161) | 5,616 | 14,103 | 22,763 | 110,530 | ||||
Long-term financing receivables, net | (31,006) | (42,775) | (32,308) | (182,937) | (123,674) | ||||
Advances to suppliers | 15,236 | 14,059 | 16,075 | 44,417 | 68,767 | ||||
Accounts payable and other accrued liabilities | (58,230) | 10,387 | 4,281 | (127,286) | (216,349) | ||||
Contract liabilities | 9,328 | (3,904) | 40,373 | (30,495) | 145,171 | ||||
Net cash used in operating activities | (26,313) | (161,734) | 47,892 | (543,389) | (267,412) | ||||
Cash flows from investing activities: | |||||||||
Purchases of property, plant and equipment | (7,198) | (12,346) | (12,177) | (44,906) | (69,791) | ||||
Cash paid for solar power systems, leased and to be leased | (12,953) | (16,971) | (22,007) | (68,612) | (86,539) | ||||
Cash paid for solar power systems | (37,468) | (904) | (88,306) | (41,808) | (126,548) | ||||
Cash paid for acquisitions, net of cash acquired | (17,000) | - | - | (17,000) | - | ||||
Purchases of marketable securities | - | - | - | - | (1,306) | ||||
Dividend from equity method investees | - | - | 882 | 12,952 | 3,773 | ||||
Proceeds from business divestiture | 10,000 | 13,257 | - | 23,257 | - | ||||
Proceeds from sale of cost method investment | 33,402 | - | - | 33,402 | - | ||||
Proceeds from sale of equity method investments | 2,540 | - | 5,954 | 420,306 | 5,954 | ||||
Proceeds from sale of equity interest in residential lease portfolio, net of transaction costs | (28,004) | - | - | (28,004) | - | ||||
Cash paid for investments in unconsolidated investees | (626) | - | (2,680) | (14,687) | (18,627) | ||||
Net cash provided by (used in) investing activities | (57,307) | (16,964) | (118,334) | 274,900 | (293,084) | ||||
Cash flows from financing activities: | |||||||||
Proceeds from bank loans and other debt | 60,199 | 51,018 | 56,104 | 227,676 | 339,253 | ||||
Repayment of 0.75% debentures due 2018, bank loans and other debt | (59,023) | (56,702) | (54,755) | (535,252) | (358,317) | ||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | 5,079 | 120,099 | 6,435 | 192,287 | 89,612 | ||||
Repayment of non-recourse residential financing | (2,427) | (5,032) | (2,133) | (17,358) | (6,888) | ||||
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | 43,526 | 34,388 | 55,591 | 151,204 | 196,628 | ||||
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects | (2,742) | (6,594) | (5,200) | (21,918) | (18,228) | ||||
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs | 75,754 | 27,980 | 209,222 | 126,020 | 527,897 | ||||
Repayment of non-recourse power plant and commercial financing | (26,383) | (221) | (27,463) | (31,282) | (176,069) | ||||
Contributions from noncontrolling interests attributable to power plant and commercial projects | - | - | - | - | 800 | ||||
Purchases of stock for tax withholding obligations on vested restricted stock | (281) | (349) | (366) | (5,530) | (4,756) | ||||
Net cash (used in) provided by financing activities | 93,702 | 164,587 | 237,435 | 85,847 | 589,932 | ||||
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 1,296 | 1,896 | (609) | 2,068 | 689 | ||||
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 11,378 | (12,215) | 166,384 | (180,574) | 30,125 | ||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period | 352,385 | 364,600 | 377,953 | 544,337 | 514,212 | ||||
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period | $ 363,763 | $ 352,385 | $ 544,337 | $ 363,763 | $ 544,337 | ||||
Non-cash transactions: | |||||||||
Assignment of residential lease receivables to third parties | $ - | $ - |
$ - | $ - | $ 129 | ||||
Stock consideration received due to business divestiture |
$ - | $ 42,600 | $ - | $ 42,600 | $ - | ||||
Costs of solar power systems, leased and to be leased, sourced from existing inventory | $ 5,975 | $ 8,769 | $ 15,296 | $ 36,384 | $ 57,688 | ||||
Costs of solar power systems, leased and to be leased, funded by liabilities | $ 3,631 | $ 4,903 | $ 5,527 | $ 3,631 | $ 5,527 | ||||
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets | $ 54,967 | $ 14,628 | $ 44,490 | $ 87,307 | $ 110,375 | ||||
Property, plant and equipment acquisitions funded by liabilities | $ 8,214 | $ 11,453 | $ 15,706 | $ 46,863 | $ 15,706 | ||||
Contractual obligations satisfied with inventory | $ 7,924 | $ 8,035 | $ 14,820 | $ 56,840 | $ 34,675 | ||||
Accounts receivable due to business divestiture | $ - | $ 10,000 | $ - | $ - | $ - | ||||
Acquisition of noncontrolling interests funded by Mezzanine Loan proceeds | $ - | $ 12,400 | $ - | $ 12,400 | $ - | ||||
Assumption of debt by buyer upon sale of equity interest | $ - | $ - | $ - | $ 27,321 | $ - | ||||
Assumption of mezzanine loan by SunStrong in connection with sale of residential lease assets | $ 106,958 | $ - | $ - | $ 106,958 | $ - | ||||
Assumption of back leverage loans by SunStrong in connection with sale of residential lease assets | $ 454,630 | $ - | $ - | $ 454,630 | $ - | ||||
Acquisition funded by liabilities | $ 9,000 | $ - | $ - | $ 9,000 | $ - | ||||
Retained interest in SunStrong lease portfolio | $ 9,750 | $ - | $ - | $ 9,750 | $ - | ||||
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group | $ - | $ - | $ - | $ - | $ 4,918 | ||||
Assumption of debt by buyer upon sale of projects | $ - | $ - | $ 196,104 | $ - | $ 196,104 | ||||
Receivables in connection with sale of residential lease portfolio | $ 12,510 | $ - | $ - | $ 12,510 | $ - | ||||
Supplemental information: | |||||||||
Cash paid for interest, net of amount capitalized | $ 54,996 | $ - | $ - |
$ 54,996 | $ 59,885 | ||||
Cash paid for income taxes | $ 6,710 | $ - | $ - | $ 6,710 | $ 12,795 | ||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross profit/margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, legacy utility and power plant projects, sale-leaseback transactions and unrealized loss on equity investments, each as described below. In addition to those same adjustments, Non-GAAP gross profit/margin includes adjustments relating to impairment of property, plant and equipment, impairment and sale of residential lease assets, cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, depreciation of idle equipment, and non-cash interest expense, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to gain on business divestiture, acquisition-related and other costs, business reorganization costs, restructuring expense, IPO-related costs, the tax effect of these non-GAAP adjustments, and other items, each as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
SUNPOWER CORPORATION | ||||||||||
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
(In thousands, except percentages and per share data) | ||||||||||
(Unaudited) | ||||||||||
Adjustments to Revenue: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | ||||||
2018 | 2018 | 2017 | 2018 | 2017 | ||||||
GAAP revenue | $ 456,837 | $ 428,263 | $ 651,134 | $ 1,726,085 | $ 1,794,047 | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | - | (8,588) | 7,198 | |||||
Legacy utility and power plant projects | (691) | (361) | 9,024 | (4,145) | 54,659 | |||||
Sale-leaseback transactions | 69,254 | 15,529 | 163,837 | 101,581 | 272,654 | |||||
Non-GAAP revenue | $ 525,400 | $ 443,431 | $ 823,995 | $ 1,814,933 | $ 2,128,558 | |||||
Adjustments to Gross Profit (Loss) / Margin: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | ||||||
2018 | 2018 | 2017 | 2018 | 2017 | ||||||
GAAP gross profit (loss) | $ (7,571) | $ 9,877 | $ (12,777) | $ (297,081) | $ (18,645) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | (62) | (8,337) | (2,656) | |||||
Legacy utility and power plant projects | (569) | 162 | (3,538) | (1,244) | 41,746 | |||||
Sale-leaseback transactions | 6,132 | (2,492) | 25,839 | 242 | 31,094 | |||||
Other adjustments: | ||||||||||
Impairment and sale of residential lease assets | (2,163) | (4,679) | - | (14,847) | - | |||||
Impairment of property, plant and equipment | - | - | - | 355,107 | - | |||||
Cost of above-market polysilicon | 37,231 | 14,628 | 81,804 | 87,228 | 166,906 | |||||
Stock-based compensation expense | 1,236 | 1,239 | 2,145 | 4,996 | 5,489 | |||||
Amortization of intangible assets | 1,889 | 2,142 | 2,505 | 8,966 | 10,206 | |||||
Depreciation of idle equipment | - | - | 2,300 | 721 | 2,300 | |||||
Non-cash interest expense | - | - | 2 | - | 32 | |||||
Non-GAAP gross profit | $ 36,185 | $ 20,877 | $ 98,218 | $ 135,751 | $ 236,472 | |||||
GAAP gross margin (%) | -1.7% | 2.3% | -2.0% | -17.2% | -1.0% | |||||
Non-GAAP gross margin (%) | 6.9% | 4.7% | 11.9% | 7.5% | 11.1% | |||||
Adjustments to Net income (loss): | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | ||||||
2018 | 2018 | 2017 | 2018 | 2017 | ||||||
GAAP net loss attributable to stockholders | $ (158,174) | $ (89,826) | $ (572,651) | $ (811,091) | $ (929,121) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | 8,130 | (8,485) | 78,990 | |||||
Legacy utility and power plant projects | (569) | 162 | (3,538) | (1,244) | 41,746 | |||||
Sale-leaseback transactions | 10,984 | 2,258 | 28,491 | 18,802 | 39,318 | |||||
Unrealized loss on equity investments | 150 | 6,225 | - | 6,375 | - | |||||
Other adjustments: | ||||||||||
Impairment and sale of residential lease assets | 81,273 | 50,735 | 473,709 | 227,507 | 473,709 | |||||
Impairment of property, plant and equipment | - | - | - | 369,168 | - | |||||
Cost of above-market polysilicon | 37,231 | 14,628 | 81,804 | 87,228 | 166,906 | |||||
Stock-based compensation expense | 6,424 | 6,390 | 9,294 | 28,215 | 34,674 | |||||
Amortization of intangible assets | 1,889 | 2,142 | 8,769 | 8,966 | 19,048 | |||||
Depreciation of idle equipment | - | - | 2,300 | 721 | 2,300 | |||||
Gain on business divestitures | - | (59,347) | - | (59,347) | - | |||||
Acquisition-related and other costs | (3,142) | 20,869 | - | 17,727 | - | |||||
Business reorganization costs | 1,330 | - | - | 1,330 | - | |||||
Non-cash interest expense | 10 | 13 | 25 | 68 | 128 | |||||
Restructuring expense | (1,107) | 3,923 | 2,769 | 17,497 | 21,045 | |||||
IPO-related costs | - | - | - | - | (82) | |||||
Tax effect | (6,605) | 906 | (3,338) | (4,797) | 16,932 | |||||
Non-GAAP net income (loss) attributable to stockholders | $ (30,306) | $ (40,922) | $ 35,764 | $ (101,360) | $ (34,407) | |||||
Adjustments to Net income (loss) per diluted share: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | ||||||
2018 | 2018 | 2017 | 2018 | 2017 | ||||||
Net income (loss) per diluted share | ||||||||||
Numerator: | ||||||||||
GAAP net loss available to common stockholders1 | $ (158,174) | $ (89,826) | $ (572,651) | $ (811,091) | $ (929,121) | |||||
Non-GAAP net income (loss) available to common stockholders1 | $ (30,306) | $ (40,922) | $ 35,764 | $ (101,360) | $ (34,407) | |||||
Denominator: | ||||||||||
GAAP weighted-average shares | 141,136 | 141,027 | 139,613 | 140,825 | 139,370 | |||||
Effect of dilutive securities: | ||||||||||
Restricted stock units | - | - | 1,570 | - | - | |||||
Upfront warrants (held by Total) | - | - | 49 | - | - | |||||
Non-GAAP weighted-average shares1 | 141,136 | 141,027 | 141,232 | 140,825 | 139,370 | |||||
GAAP net loss per diluted share | $ (1.12) | $ (0.64) | $ (4.10) | $ (5.76) | $ (6.67) | |||||
Non-GAAP net income (loss) per diluted share | $ (0.21) | $ (0.29) | $ 0.25 | $ (0.72) | $ (0.25) | |||||
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||||||
Adjusted EBITDA: | ||||||||||
THREE MONTHS ENDED | TWELVE MONTHS ENDED | |||||||||
Dec. 30, | Sep. 30, | Dec. 31, | Dec. 30, | Dec. 31, | ||||||
2018 | 2018 | 2017 | 2018 | 2017 | ||||||
GAAP net loss attributable to stockholders | $ (158,174) | $ (89,826) | $ (572,651) | $ (811,091) | $ (929,121) | |||||
Adjustments based on IFRS: | ||||||||||
8point3 | - | - | 8,130 | (8,485) | 78,990 | |||||
Legacy utility and power plant projects | (569) | 162 | (3,538) | (1,244) | 41,746 | |||||
Sale-leaseback transactions | 10,984 | 2,258 | 28,491 | 18,802 | 39,318 | |||||
Unrealized loss on equity securities | 150 | 6,225 | - | 6,375 | - | |||||
Other adjustments: | ||||||||||
Impairment and sale of residential lease assets | 81,273 | 50,735 | 473,709 | 227,507 | 473,709 | |||||
Impairment of property, plant and equipment | - | - | - | 369,168 | - | |||||
Cost of above-market polysilicon | 37,231 | 14,628 | 81,804 | 87,228 | 166,906 | |||||
Stock-based compensation expense | 6,424 | 6,390 | 9,294 | 28,215 | 34,674 | |||||
Amortization of intangible assets | 1,889 | 2,142 | 8,769 | 8,966 | 19,048 | |||||
Depreciation of idle equipment | - | - | 2,300 | 721 | 2,300 | |||||
Gain on business divestitures | - | (59,347) | - | (59,347) | - | |||||
Acquisition-related and other costs | (3,142) | 20,869 | - | 17,727 | - | |||||
Business reorganization costs | 1,330 | - | - | 1,330 | - | |||||
Non-cash interest expense | 10 | 13 | 25 | 68 | 128 | |||||
Restructuring expense | (1,107) | 3,923 | 2,769 | 17,497 | 21,045 | |||||
IPO-related costs | - | - | - | - | (82) | |||||
Cash interest expense, net of interest income | 24,584 | 20,136 | 22,058 | 86,394 | 79,965 | |||||
Provision for (benefit from) income taxes | (8,379) | 3,680 | (2,870) | 1,010 | (3,943) | |||||
Depreciation | 21,054 | 24,754 | 41,960 | 120,367 | 164,970 | |||||
Adjusted EBITDA | $ 13,558 | $ 6,742 | $ 100,250 | $ 111,208 | $ 189,653 | |||||
Q1 2019 and FY 2019 GUIDANCE
(in thousands except percentages) | Q1 2019 | FY 2019 |
Revenue (GAAP) | $290,000-$330,000 | $1,800,000-$1,900,000 |
Revenue (non-GAAP)1 | $350,000-$390,000 | $1,900,000-$2,000,000 |
Gross margin (GAAP) | (3)% - 0% | N/A |
Gross margin (non-GAAP)2 | 3% - 5% | N/A |
Net loss (GAAP) | $50,000-$70,000 | $150,000-$175,000 |
Adjusted EBITDA3 | $(40,000)-$(20,000) | $80,000-$110,000 |
1. | Estimated non-GAAP amounts above for Q1 2019 and fiscal 2019 include net adjustments that increase revenue by approximately $60 million and $100 million, respectively related to construction services for residential customer contracts. |
2. | Estimated non-GAAP amounts above for Q1 2019 include net adjustments that increase (decrease) gross margin by approximately $(1) million related to construction services for residential customer contracts, $22 million related to cost of above-market polysilicon, $2 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. |
3. | Estimated Adjusted EBITDA amounts above for Q1 2019 include net adjustments that decrease (increase) net loss by approximately $(12) million related to construction services for residential customer contracts, $(40) million related to sale-leaseback transactions, $22 million related to cost of above-market polysilicon, $9.5 million related to impairment of lease assets, $8 million related to stock-based compensation expense, $15 million related to depreciation, $1 million related to amortization of intangible assets, $13 million related to restructuring, $10.5 million related to interest expense, and $3 million related to income taxes. Estimated non-GAAP amounts above for fiscal 2019 include net adjustments that decrease (increase) net loss by approximately $(10) million related to construction services for residential customer contracts, $(40) million related to sale-leaseback transactions, $(6) million related to impairment of property, plant and equipment, $120 million related to cost of above-market polysilicon, $9.5 million related to impairment of lease assets, $31 million related to stock-based compensation expense, $60 million related to depreciation, $7 million related to amortization of intangible assets, $32 million related to restructuring, $36 million related to interest expense, and $18 million related to income taxes. |
SUNPOWER CORPORATION | |||||||||||||||||||||||||||||||||||||
(In thousands, except percentages) | |||||||||||||||||||||||||||||||||||||
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
December 30, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SPES | SPT | Intersegment | SPES | SPT | Intersegment | Research and | Sales, general | Restructuring | Impairment and | Gain on business | Other income | Benefit from | Equity in | Gain (Loss) | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 265,427 | $ 277,256 | $ (85,846) | $ 20,126 | 7.6% | $ (19,616) | -7.1% | $ (8,081) | $ (158,174) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | (240) | (451) | - | (472) | (97) | - | - | - | - | - | - | - | - | - | - | (569) | |||||||||||||||||||||
Sale-leaseback transactions | 69,254 | - | - | 6,113 | 19 | - | - | - | - | - | - | 4,852 | - | - | - | 10,984 | |||||||||||||||||||||
Unrealized loss on equity investments | - | - | - | - | - | - | - | - | - | - | - | 150 | - | - | - | 150 | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment and sale of residential lease assets | - | - | - | (2,163) | - | - | - | - | - | 81,086 | - | - | - | - | 2,350 | 81,273 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | 2,055 | 35,176 | - | - | - | - | - | - | - | - | - | - | 37,231 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 610 | 626 | - | 907 | 4,281 | - | - | - | - | - | - | - | 6,424 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | 616 | 1,273 | - | - | - | - | - | - | - | - | - | - | 1,889 | |||||||||||||||||||||
Business reorganization costs | - | 1,330 | - | - | - | - | - | - | - | 1,330 | |||||||||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | (3,142) | - | - | - | - | - | - | - | (3,142) | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 10 | - | - | - | - | - | - | - | 10 | ||||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | (1,107) | - | - | - | - | - | - | (1,107) | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (6,605) | - | - | (6,605) | |||||||||||||||||||||
Non-GAAP | $ 334,441 | $ 276,805 | $ (85,846) | $ 26,885 | 8.0% | $ 17,381 | 6.3% | $ (8,081) | $ (30,306) | ||||||||||||||||||||||||||||
September 30, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SPES | SPT | Intersegment | SPES | SPT | Intersegment | Research and | Sales, general | Restructuring charges | Impairment and sale of residential lease asset | Gain on business divestitures | Other income (expense), net | Benefit from (provision for) income taxes | Equity in earnings of unconsolidated investees | Gain (Loss) attributable to non-controlling interests | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 263,576 | $ 289,630 | $ (124,943) | $ 46,380 | 17.6% | $ (17,897) | -6.2% | $ (18,606) | $ (89,826) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
Legacy utility and power plant projects | (114) | (247) | - | 141 | 21 | - | - | - | - | - | - | - | - | - | - | 162 | |||||||||||||||||||||
Sale-leaseback transactions | 15,529 | - | - | (2,054) | (438) | - | - | - | - | - | - | 4,750 | - | - | - | 2,258 | |||||||||||||||||||||
Unrealized loss on equity investments | - | - | - | - | - | - | - | - | - | - | - | 6,225 | - | - | - | 6,225 | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment and sale of residential lease assets | - | - | - | (4,679) | - | - | - | - | - | 53,537 | - | - | - | - | 1,877 | 50,735 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (2,336) | 16,964 | - | - | - | - | - | - | - | - | - | - | 14,628 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 598 | 641 | - | 806 | 4,345 | - | - | - | - | - | - | - | 6,390 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | 972 | 1,170 | - | - | - | - | - | - | - | - | - | - | 2,142 | |||||||||||||||||||||
Gain on business divestitures | - | - | - | - | - | - | - | - | - | - | (59,347) | - | - | - | - | (59,347) | |||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | 20,869 | - | - | - | - | - | - | - | 20,869 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 1 | 12 | - | - | - | - | - | - | - | 13 | |||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 3,923 | - | - | - | - | - | - | 3,923 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 906 | - | - | 906 | |||||||||||||||||||||
Non-GAAP | $ 278,991 | $ 289,383 | $ (124,943) | $ 39,022 | 14.0% | $ 461 | 0.2% | $ (18,606) | $ (40,922) | ||||||||||||||||||||||||||||
December 31, 2017 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SPES | SPT | Intersegment | SPES | SPT | Intersegment | Research and | Sales, general | Restructuring charges | Impairment and sale of residential lease asset | Gain on business divestitures | Other income (expense), net | Benefit from (provision for) income taxes | Equity in earnings of unconsolidated investees | Gain (Loss) attributable to non-controlling interests | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 259,260 | $ 541,415 | $ (149,541) | $ 9,572 | 3.7% | $ (11,807) | -2.2% | $ (10,542) | $ (572,651) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | - | - | - | (62) | - | - | - | - | - | - | - | 8,086 | - | 106 | - | 8,130 | |||||||||||||||||||||
Legacy utility and power plant projects | 10,344 | (1,320) | - | 373 | (3,911) | - | - | - | - | - | - | - | - | - | - | (3,538) | |||||||||||||||||||||
Sale-leaseback transactions | 163,837 | - | - | 25,839 | - | - | - | - | - | - | - | 2,652 | - | - | - | 28,491 | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment and sale of residential lease assets | - | - | - | - | - | - | - | - | - | 624,335 | - | - | - | - | (150,626) | 473,709 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | 4 | 81,800 | - | - | - | - | - | - | - | - | - | - | 81,804 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 1,105 | 1,040 | - | 1,565 | 5,584 | - | - | - | - | - | - | - | 9,294 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | 1,390 | 1,115 | - | - | 6,264 | - | - | - | - | - | - | - | 8,769 | |||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 930 | 1,370 | - | - | - | - | - | - | - | - | - | - | 2,300 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | 1 | 1 | - | 4 | 19 | - | - | - | - | - | - | - | 25 | |||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 2,769 | - | - | - | - | - | - | 2,769 | |||||||||||||||||||||
IPO-related costs | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
Other | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (3,338) | - | - | (3,338) | |||||||||||||||||||||
Non-GAAP | $ 433,441 | $ 540,095 | $ (149,541) | $ 39,152 | 9.0% | $ 69,608 | 12.9% | $ (10,542) | $ 35,764 | ||||||||||||||||||||||||||||
TWELVE MONTHS ENDED | |||||||||||||||||||||||||||||||||||||
December 30, 2018 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SPES | SPT | Intersegment | SPES | SPT | Intersegment | Research and | Sales, general | Restructuring charges | Impairment and sale of residential lease asset | Gain on business divestitures | Other income (expense), net | Benefit from (provision for) income taxes | Equity in earnings of unconsolidated investees | Gain (Loss) attributable to non-controlling interests | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 1,045,614 | $ 1,069,010 | $ (388,539) | $ 156,204 | 14.9% | $ (427,899) | -40.0% | $ (25,386) | $ (811,091) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | (2,400) | (6,188) | - | (2,149) | (6,188) | - | - | - | - | - | - | - | - | (148) | - | (8,485) | |||||||||||||||||||||
Legacy utility and power plant projects | (828) | (3,317) | - | (787) | (457) | - | - | - | - | - | - | - | - | - | - | (1,244) | |||||||||||||||||||||
Sale-leaseback transactions | 101,581 | - | - | 661 | (419) | - | - | - | - | - | - | 18,560 | - | - | - | 18,802 | |||||||||||||||||||||
Unrealized loss on equity investments | - | - | - | - | - | - | - | - | - | - | - | 6,375 | - | - | - | 6,375 | |||||||||||||||||||||
Other adjustments: | - | - | |||||||||||||||||||||||||||||||||||
Impairment and sale of residential lease assets | - | - | - | (14,847) | - | - | - | - | - | 251,984 | - | - | - | - | (9,630) | 227,507 | |||||||||||||||||||||
Impairment of property, plant and equipment | - | - | - | 33 | 355,074 | - | 12,832 | 1,229 | - | - | - | - | - | - | - | 369,168 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (3,795) | 91,023 | - | - | - | - | - | - | - | - | - | - | 87,228 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 2,370 | 2,626 | - | 5,496 | 17,723 | - | - | - | - | - | - | - | 28,215 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | 4,109 | 4,857 | - | - | - | - | - | - | - | - | - | - | 8,966 | |||||||||||||||||||||
Business reorganization costs | - | - | - | - | - | - | - | 1,330 | - | - | - | - | - | - | - | 1,330 | |||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 289 | 432 | - | - | - | - | - | - | - | - | - | - | 721 | |||||||||||||||||||||
Gain on business divestitures | - | - | - | - | - | - | - | - | - | - | (59,347) | - | - | - | - | (59,347) | |||||||||||||||||||||
Acquisition-related and other costs | - | - | - | - | - | - | - | 17,727 | - | - | - | - | - | - | - | 17,727 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | - | - | - | 7 | 61 | - | - | - | - | - | - | - | 68 | |||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 17,497 | - | - | - | - | - | - | 17,497 | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | (4,797) | - | - | (4,797) | |||||||||||||||||||||
Non-GAAP | $ 1,143,967 | $ 1,059,505 | $ (388,539) | $ 142,088 | 12.4% | $ 19,049 | 1.8% | $ (25,386) | $ (101,360) | ||||||||||||||||||||||||||||
December 31, 2017 | |||||||||||||||||||||||||||||||||||||
Revenue | Gross profit / margin | Operating expenses | |||||||||||||||||||||||||||||||||||
SPES | SPT | Intersegment | SPES | SPT | Intersegment | Research and | Sales, general | Restructuring charges | Impairment and sale of residential lease asset | Gain on business divestitures | Other income (expense), net | Benefit from (provision for) income taxes | Equity in earnings of unconsolidated investees | Gain (Loss) attributable to non-controlling interests | Net income (loss) | ||||||||||||||||||||||
GAAP | $ 910,206 | $ 1,350,790 | $ (466,949) | $ 89,578 | 9.8% | $ (79,749) | -5.9% | $ (28,474) | $ (929,121) | ||||||||||||||||||||||||||||
Adjustments based on IFRS: | |||||||||||||||||||||||||||||||||||||
8point3 | 7,164 | 34 | - | (2,553) | (103) | - | - | - | - | - | - | 86,050 | - | (4,404) | - | 78,990 | |||||||||||||||||||||
Legacy utility and power plant projects | 10,665 | 43,994 | - | 1,443 | 40,303 | - | - | - | - | - | - | - | - | - | - | 41,746 | |||||||||||||||||||||
Sale-leaseback transactions | 242,217 | 30,437 | - | 31,573 | (479) | - | - | - | - | - | - | 8,224 | - | - | - | 39,318 | |||||||||||||||||||||
Other adjustments: | |||||||||||||||||||||||||||||||||||||
Impairment and sale of residential lease assets | - | - | - | - | - | - | - | - | - | 624,335 | - | - | - | - | (150,626) | 473,709 | |||||||||||||||||||||
Cost of above-market polysilicon | - | - | - | (1) | 166,907 | - | - | - | - | - | - | - | - | - | - | 166,906 | |||||||||||||||||||||
Stock-based compensation expense | - | - | - | 2,600 | 2,889 | - | 6,448 | 22,737 | - | - | - | - | - | - | - | 34,674 | |||||||||||||||||||||
Amortization of intangible assets | - | - | - | 5,790 | 4,416 | - | 1,201 | 7,641 | - | - | - | - | - | - | - | 19,048 | |||||||||||||||||||||
Depreciation of idle equipment | - | - | - | 930 | 1,370 | - | - | - | - | - | - | - | - | - | - | 2,300 | |||||||||||||||||||||
Non-cash interest expense | - | - | - | 13 | 19 | - | 16 | 80 | - | - | - | - | - | - | - | 128 | |||||||||||||||||||||
Restructuring expense | - | - | - | - | - | - | - | - | 21,045 | - | - | - | - | - | - | 21,045 | |||||||||||||||||||||
IPO-related costs | - | - | - | - | - | - | - | (82) | - | - | - | - | - | - | - | (82) | |||||||||||||||||||||
Tax effect | - | - | - | - | - | - | - | - | - | - | - | - | 16,932 | - | - | 16,932 | |||||||||||||||||||||
Non-GAAP | $ 1,170,252 | $ 1,425,255 | $ (466,949) | $ 129,373 | 11.1% | $ 135,573 | 9.5% | $ (28,474) | $ (34,407) | ||||||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
2/13/2019SunPower's New Oregon Facility Now Producing Performance Series Solar Panels, Solidifying Commitment to American Manufacturing
Source: PR Newswire
SAN JOSE, Calif., Feb. 7, 2019 /PRNewswire/ -- In October 2018, SunPower (NASDAQ: SPWR) acquired the SolarWorld Americas facility in Hillsboro, Oregon, making good on its commitment to invest in American manufacturing. Just four months later, SunPower is assembling its high-quality 19-percent efficient Performance Series solar panel (P19 or P-Series) for commercial customers in the U.S. factory, leveraging U.S.-made automated stringing equipment and a workforce of about 200.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/8252053-sunpower-p-series-solar-panels-american-manufacturing/
"Today we celebrate the revival of American solar panel manufacturing as SunPower's high-quality P19 product starts coming off the line in Oregon," said Tom Werner, SunPower CEO and chairman of the board. "Now that we're in full production, we look forward to meeting our strong U.S. commercial market demand with these high-performance American-assembled panels."
SunPower will begin fulfilling commercial customer orders and shipping P19 solar panels from Oregon in the coming weeks. Several high-ranking Fortune 500 companies, an auto dealer in Texas, and a church in Missouri are just some of the customers who will soon benefit from SunPower® panels that were assembled in America. SunPower is currently the No. 1 commercial solar provider in the U.S. with the most megawatts installed according to Wood Mackenzie (formerly GTM Research). Incorporating P19 into a comprehensive high-efficiency product portfolio that includes SunPower's Maxeon®-based X- and E-Series solar panels – as well as the company's newly-developed Next Generation Technology coming this year – will enable SunPower to maintain this leadership position.
SunPower's P19 solar panel architecture leverages a unique cell interconnect technology developed by a U.S.-based company called Cogenra Solar and funded in part by the U.S. Department of Energy (DOE) SunShot Initiative. SunPower acquired Cogenra in 2015 and introduced P-Series solar panels that same year.
Now made in several geographies, P-Series panels are currently the most deployed shingled cell solar panels in the world and are highly reliable. For the second year running, DNV GL – a global independent energy expert and certification body – has named the P-Series solar panel a top performer in all five DNV GL tests that measured reliability through thermal cycling, damp heat, humidity-freeze, dynamic mechanical load and potential induced degradation.
"As a leading solar technology and energy services provider, we pride ourselves on offering the industry's most efficient solar panels available today that we design, engineer and manufacture ourselves," Werner continued. "With strong U.S. solar demand expected to continue, we are committed to offering our customers the option to buy industry-leading SunPower solar panels assembled right here at home."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and deliverables, cost savings, and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2019 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and MAXEON are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
2/7/2019SunPower to Announce 2018 Fourth-Quarter and Year-End Results on February 13, 2019
Source: PR Newswire
SAN JOSE, Calif., Jan. 31, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its fourth-quarter and year-end 2018 financial results on a conference call, Wednesday, February 13, 2019 at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on February 13, 2019.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
1/31/2019Experienced Global Business, Operations and Sales Leader Joins SunPower as CEO of Technologies Business Unit
Source: PR Newswire
SAN JOSE, Calif., Jan. 8, 2019 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR), a leading solar technology and energy services provider, today announced that it has named proven global executive Jeff Waters as CEO of the SunPower Technologies business unit. This group includes the company's global manufacturing, research and development (R&D) and SunPower Solutions. Waters begins his new role immediately.
"We're pleased to welcome someone of Jeff's caliber to lead our global manufacturing operations, R&D work, and our ongoing, successful cost reduction activities," said Tom Werner, SunPower CEO and chairman of the board. "SunPower is a known solar technology leader with the highest reliability and efficiency solar panels on the market. With Jeff at the helm, we expect to continue to hold this leadership mantle, especially as we ramp our game changing Next Generation Technology (NGT) cells and modules and deliver on our commitment to American manufacturing."
Waters joins SunPower from Isola, where he worked from Silicon Valley as the company's president and CEO. Isola is a leading material sciences company that designs, develops, manufactures and markets copper-clad laminates and dielectric prepregs used to fabricate advanced multilayer printed circuit boards. Like SunPower, Isola has a significant global footprint with manufacturing, R&D and offices in Asia, Europe and the U.S.
Prior to Isola, Waters was senior vice president and general manager with Altera Corporation and also with Texas Instruments/National Semiconductor in both the U.S. and Japan for 18 years in a variety of executive positions, including global sales. He holds a bachelor's degree in engineering from the University of Notre Dame, a master's degree in engineering from Santa Clara University and a MBA from Northwestern University.
SunPower's NGT cells and modules will offer customers similar performance to its X-Series products with significantly lower manufacturing costs. Panels with a 72-cell format at 450 watts have been UL certified and will be delivered to initial commercial customer sites in the first quarter of 2019.
"When we reach full production, we expect that the cost per watt of the world's highest efficiency NGT cells and modules will be similar to mono-PERC technology, but with superior levelized cost of energy due to higher performance and durability," Werner said. "With the recent funding of our second NGT manufacturing line, we will now have approximately 250 megawatts of nameplate NGT capacity by the end of 2019 and plan to deliver meaningful volumes this year, as well."
In addition to ramping NGT, SunPower will begin full production in the coming weeks of its Performance Series (P-Series) solar panels at the recently acquired SolarWorld Americas facility in Hillsboro, Ore.
SunPower also announced that Bill Mulligan, executive vice president of operations will transition out of his role over the course of 2019.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected cost reduction, product focus and timelines, projected energy output, efficiency and cost savings, anticipated cost per watt and levelized cost of energy, and the timing and success of production ramps. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy; the success of our ongoing research and development efforts and our ability to commercialize new products and services; and our ability to contain manufacturing and logistics difficulties that could arise. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2019 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
1/8/201911/28/2018 - SunStrong Capital Holdings, LLC Successfully Completes $400 Million Asset Backed Securitization
SunStrong Capital Holdings, LLC Successfully Completes $400 Million Asset Backed Securitization
Source: PR Newswire
SAN JOSE, Calif. and ANNAPOLIS, Md., Nov. 28, 2018 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR) and Hannon Armstrong Sustainable Infrastructure Capital, Inc. (NYSE: HASI) today announced that their joint venture, SunStrong Capital Holdings, LLC (SunStrong), successfully closed its $400 million Solar Asset Backed Notes, Series 2018-1. The Notes were priced at a fixed interest rate of 5.68 percent per annum and received a rating of A (sf) from KBRA and a Green Bond Assessment of GB1, the highest rating, by Moody's Investor Services. The anticipated repayment date is in November 2028, with a rated final maturity date in November 2048.
"As one of the largest renewable industry securitizations, this transaction is a testament to the high-quality asset portfolio of SunStrong," said Manavendra Sial, SunPower Executive Vice President and Chief Financial Officer. "With the formation of this joint venture with Hannon Armstrong, we have now fully deconsolidated our existing leveraged residential lease portfolio, successfully continuing SunPower's work to simplify our business. Specifically, this deconsolidation materially delevers our balance sheet, further improves our net debt position due to the accelerated placement of lease assets in the portfolio and reduces our interest expense while enabling us to maintain strong customer relationships through our asset management responsibilities. With a partner who is a leading capital and services provider to the sustainable infrastructure market, SunStrong is well positioned for future success."
"Hannon Armstrong is pleased to facilitate SunPower achieving its financial goals while further executing on our strategy of expanding the programmatic financing arrangements with industry leaders in energy efficiency and renewable energy," said Brendan Herron, Hannon Armstrong Executive Vice President and Chief Financial Officer.
The Notes were issued by a special purpose entity, SunStrong 2018-1 Issuer, LLC (SunStrong Issuer), an indirectly wholly-owned subsidiary of SunStrong. The Notes are secured by, and payable from, the cash flow generated by the managing member interests owned by SunStrong Issuer in certain indirectly owned subsidiary project companies, which own more than 37,500 residential solar leases originated by SunPower. The proceeds will primarily be used to refinance the existing debt obligations associated with SunStrong's residential lease portfolio. SunStrong Issuer will be the sole obligor of the Notes and the Notes will not be obligations of SunStrong or any of its other subsidiaries, or of SunPower, Hannon Armstrong, or any of their respective subsidiaries. SunPower will continue to service the leases underlying the Notes.
The Notes will not be registered under the Securities Act of 1933, as amended (Securities Act), or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from, or a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws. The Notes were offered and are only being sold to qualified institutional buyers under Rule 144A under the Securities Act and to persons outside the United States pursuant to Regulation S under the Securities Act. This announcement is neither an offer to sell nor a solicitation of an offer to buy any securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Hannon Armstrong
With over 30 years of experience, Hannon Armstrong (NYSE: HASI) is a capital provider focused on reducing the impact of, or increasing resiliency to, climate change. Hannon Armstrong manages over $5 billion of efficiency, renewable energy and resiliency assets that generate long-term, recurring and largely predictable cash flows or cost savings from proven technologies. With scientific consensus that climate warming trends are linked to human activities, Hannon Armstrong believes it is well positioned to generate better risk-adjusted returns by investing in the assets that reduce carbon emissions. For more information on Hannon Armstrong, visit www.HannonArmstrong.com.
Forward-Looking Statements – for SunPower and Hannon Armstrong Investors
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our positioning for future success and profitability and long-term competitiveness, and our ability to achieve our financial goals; and (b) SunPower's corporate transformation plans, including plans to delever its balance sheet, simplify its financial statements, and the timing and impact of these initiatives on its liquidity, financial performance, and results of operations. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Investors are cautioned against placing undue reliance on such statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (2) changes in public policy, including the imposition and applicability of tariffs; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; and (4) fluctuations in our operating results. A detailed discussion of these factors and other risks that affect our business is included in filings that SunPower and Hannon Armstrong make with the Securities and Exchange Commission ("SEC") from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com and at investors.hannonarmstrong.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All rights reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.; Hannon Armstrong Sustainable Infrastructure Capital, Inc.
Article Date
11/28/2018Cabot Corporation and SunPower Announce Helix® Solar-Plus-Storage Agreement
Source: PR Newswire
SAN JOSE, Calif., Nov. 14, 2018 /PRNewswire/ -- Today, Cabot Corporation (NYSE: CBT) announced that it has reached an agreement to have SunPower (NASDAQ:SPWR) install a 1.12-megawatt solar project paired with a 470-kilowatt (940-kilowatt hour) integrated energy storage system at Cabot's Business and Technology Center in Billerica, Massachusetts. This commitment is a first for Cabot and will contribute to its long-term sustainability efforts by helping to advance solar development in the state and meet Massachusetts' renewable energy commitments.
Start of construction is targeted for summer 2019. The integrated solar parking canopy project will feature high-efficiency SunPower® solar panels installed across multiple solar parking canopies, and is expected to produce enough electricity to offset approximately 20 percent of the facility's energy needs thereby reducing Cabot's grid energy costs. The energy storage system installed with the project will provide additional savings by decreasing electricity demand charges during peak hours.
"At Cabot, we are committed to sustainability and recognize that renewable energy plays an important role in building a more sustainable future," said Karen Rankin, Director of Sustainability and Regulatory Affairs, Cabot Corporation. "We're thrilled to bring this project to one of our main hubs for technology innovation, as this investment helps demonstrate the value of renewable energy while also delivering the added benefit of providing solar parking canopies and automobile charging stations for our employees."
Cabot is financing the Helix® solar-plus-storage project through a power purchase agreement (PPA) arranged by SunPower, allowing Cabot to buy power at competitive prices and hedge against future utility rate increases. The project will also be supported by the new Solar Massachusetts Renewable Target (SMART) Program which was established by Massachusetts Department of Energy Resources (DOER) to encourage development of solar in the state.
"We congratulate Cabot for investing in this innovative solar and storage project to help offset consumption of traditional energy sources in the company's home state of Massachusetts," said Nam Nguyen, SunPower Executive Vice President, Commercial Americas. "More corporations across the U.S. are choosing solar to cost-effectively meet electricity demand, and SunPower's complete Helix solar and storage solutions are designed to maximize value for these customers."
SunPower, the No. 1 commercial solar provider in America with the most megawatts installed according to Wood Mackenzie (formerly GTM Research), has a footprint across the U.S. including Massachusetts and New England. For more on how SunPower is helping corporate customers in the area drive down electricity costs while generating reliable energy over the long term, visit www.SunPower.com/Massachusetts.
About Cabot Corporation
Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance materials company, headquartered in Boston, Massachusetts. The company is a leading provider of rubber and specialty carbons, activated carbon, inkjet colorants, cesium formate drilling fluids, fumed silica and aerogel. For more information on Cabot, please visit the company's website at: http://www.cabotcorp.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other logos and trademarks are properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
11/14/201810/29/2018 - SunPower Partners with innogy and BELECTRIC on Australia's Largest Solar Power Plant near Balranald, New South Wales
SunPower Partners with innogy and BELECTRIC on Australia's Largest Solar Power Plant near Balranald, New South Wales
Source: PR Newswire
SAN JOSE, Calif., Oct. 29, 2018 /PRNewswire/ -- SunPower (NASDAQ:SPWR) announced today that it is supplying 349 megawatts of SunPower high efficiency solar panels for the Limondale solar power plant, Australia's largest solar project to date.
"We commend innogy and BELECTRIC for this milestone project, and for using high-performance SunPower® technology to ensure long-term value," said SunPower Executive Vice President Peter Aschenbrenner. "Customers worldwide rely on SunPower solar panels for proven performance and reliability."
SunPower is supplying its Performance Series (P-Series) solar panels for the project, which is expected to be fully operational in mid-2020.
The company's 19 percent efficient P-Series solar panels deliver value as a result of a unique shingled design that improves reliability and efficiency, and outperforms conventional panel yield in real-world conditions such as partial shading and elevated temperatures. It is part of a comprehensive high-efficiency product portfolio that includes SunPower's X- and E-Series panels, and, beginning in 2019, will include its newly developed next generation technology.
innogy is constructing the solar power plant. The company's subsidiary, BELECTRIC, is the Engineering, Procurement and Construction (EPC) contractor, as well as the Operation and Maintenance (O&M) service provider. BELECTRIC is an experienced company in the global solar market with nearly 2 gigawatts of executed projects globally, including projects in Australia.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output, and product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/29/2018SunPower to Announce Third-Quarter Results on October 30, 2018
Source: PR Newswire
SAN JOSE, Calif., Oct. 18, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its third-quarter 2018 financial results on a conference call, Tuesday, October 30, 2018 at 1:30 p.m. Pacific Time. The call-in number is (877) 371-5747 passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on October 30, 2018.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/18/201810/11/2018 - High Efficiency SunPower® Solar Project Now Operating at Bose Corporation's Global Headquarters in Massachusetts
High Efficiency SunPower® Solar Project Now Operating at Bose Corporation's Global Headquarters in Massachusetts
Source: PR Newswire
SAN JOSE, Calif., Oct. 11, 2018 /PRNewswire/ -- A 1.7-megawatt solar installation from SunPower (NASDAQ:SPWR) is now fully operational at Bose Corporation's headquarters in Framingham, Mass. SunPower designed, constructed, financed, and will operate and maintain the fixed-tilt, ground-mount system along the southern hillside of what is commonly known as "The Mountain."
Nearly 4,000 high-quality SunPower® solar panels are expected to generate 2.4 million kilowatt hours of energy annually, bringing enough electricity onto the grid to supply a substantial portion of the Bose campus through a 20-year power purchase agreement.
"Corporate renewable energy programs are growing, especially in Massachusetts where Bose is headquartered," said Nam Nguyen, SunPower executive vice president, commercial solar. "We're proud to be working with Bose to further advance solar development in the Commonwealth, and to support the company's commitment to long-term sustainability as a leading global brand."
SunPower, the No. 1 commercial solar provider in America with the most megawatts installed according to Wood Mackenzie (formerly GTM Research), has a footprint across the U.S. including Massachusetts and New England. Learn more here about how SunPower is helping corporate customers in the area drive down electricity costs while generating reliable energy over the long term.
About Bose Corporation
Bose Corporation was founded in 1964 by Dr. Amar G. Bose, then a professor of electrical engineering at the Massachusetts Institute of Technology. Today, the company is driven by its founding principles, investing in long-term research to develop new technologies with real customer benefits. Bose innovations have spanned decades and industries, creating and transforming categories in audio and beyond. Bose products for the home, in the car, on the go and in public spaces have become iconic, changing the way people listen to music.
Bose Corporation is privately held. The company's spirit of invention, passion for excellence, and commitment to extraordinary experiences can be found around the world — everywhere Bose does business.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding relative generating capacity and projected cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
10/11/2018SunPower Begins A New Chapter in American Solar Manufacturing
Source: PR Newswire
SAN JOSE, Calif., Oct. 1, 2018 /PRNewswire/ -- Following up on its commitment last spring to invest in American manufacturing, SunPower (NASDAQ:SPWR) today announced that it has completed its acquisition of certain assets of SolarWorld Americas, including its Hillsboro, Oregon facilities and its predominantly manufacturing workforce of more than 200 employees. SunPower has already begun to inject fresh capital into the factory as it executes plans to implement its leading-edge high efficiency P-Series solar panel manufacturing technology.
"This acquisition is an important step in helping to reshape solar manufacturing in America," said Tom Werner, SunPower CEO and chairman of the board. "With a dedicated and experienced Hillsboro workforce and our advanced P-Series solar panel manufacturing technology, invented and perfected in Silicon Valley, we'll be able to sell high-performance American-assembled panels to serve our strong U.S. market demand."
SunPower has already begun implementing its plans to move relevant equipment to Hillsboro and rapidly convert existing module capacity to manufacture 19 percent efficient P-Series technology. Product shipments are expected to begin by the first quarter of next year. During this transition, Hillsboro employees will continue to produce SolarWorld Americas product over the next several months before refocusing on manufacturing SunPower P-Series products.
SunPower, a leader in the residential and commercial markets, will sell 19 percent efficient P-Series panels as part of a comprehensive high-efficiency product portfolio that includes X- and E-Series, and, beginning in 2019, will include its newly developed next generation technology.
The purchase price for the SolarWorld Americas assets was not disclosed.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding capital injections, manufacturing and production plans, product focus, and transition timing. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: competition and market conditions in the solar and general energy industry, our ability to commercialize new products and services, appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise, and difficulties that may arise in managing our strategic relationships. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
10/2/2018Four Megawatts of SunPower® Solar Panels Powering Arab Jordan Investment Bank
Source: PR Newswire
SAN JOSE, Calif., Aug. 7, 2018 /PRNewswire/ -- SunPower (NASDAQ:SPWR) announced today that the company supplied four megawatts of high efficiency SunPower® E-Series solar panels for a ground-mounted solar power system in Amman, Jordan. The system is generating power for Arab Jordan Investment Bank's (AJIB) headquarters, and branches in the Amman area. Designed and constructed by Wathba Energy, it was commissioned in July 2018 and is expected to generate seven gigawatt hours of electricity in the first year of operation.
"There is tremendous growth potential in Jordan's solar market, and we congratulate AJIB for its leadership in the use of this affordable, renewable power source," said Dr. Feras Batarseh, general manager of Wathba Energy. "SunPower's high performance solar panels will optimize the value of this project for AJIB, by maximizing energy production and helping AJIB achieve its financial and operational goals."
"Customers worldwide rely on SunPower solar panels for proven performance and reliability," said SunPower Executive Vice President Peter Aschenbrenner. "Backed by a strong SunPower product and power warranty, the panels installed on the ground-mounted system can generate long-term value and cost-competitive solar power for 25 years or more."
SunPower E-Series panels deliver an average 20.4 percent efficiency to maximize energy production in space constrained areas. Compared to conventional solar panels, E-Series panels produce up to 36 percent more power per panel, and 60 percent more energy per square foot over 25 years.
About AJIB
For more than four decades, the Arab Jordan Investment Bank (AJIB) has built a legacy of excellence and leadership as one of Jordan's leading investment and commercial banks.
As part of its long-standing commitment to excel in achieving its clients' satisfaction, AJIB ensures that it delivers superior service and best-in-class product offerings that meet all of the investment, commercial and private banking needs of our clients. AJIB continuously updates and develops its human resources, best practices and technologies to fulfill the ever-growing needs of corporate, high net-worth individuals and sophisticated clients in Jordan and the region.
About Wathba Energy
Wathba Energy is a division of Wathba Investment Company, which was established in 1996 as a supplier of electro-mechanical systems for domestic, commercial and industrial applications. It provides systems on a turnkey basis including design, supply, installation, commissioning, operation and maintenance of photovoltaic solar systems for electricity generation based on net-metering and wheeling concepts.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Forward Looking Statements:
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans, relative generating capacity, projected energy output and expected cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, competition and market conditions in the solar and general energy industry, and overall market dynamics. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
8/7/2018Sonnedix Japan K.K. Selects High-Efficiency SunPower® Solar Panels for 46.6-Megawatt Tono Solar Project
Source: PR Newswire
SAN JOSE, Calif., Aug. 6, 2018 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced that it is supplying its high efficiency solar panels for the Sonnedix 46.6-megawatt (MW) Tono project in Iwate prefecture, Japan. Construction on the site is currently underway, with commercial operation expected in early 2020.
The Tono project was developed, and will be asset-managed and operated by Sonnedix Japan on behalf of Sonnedix Power Holdings Limited, an Independent Solar Power Producer (IPP) with a proven track record of delivering high performance, cost competitive solar photovoltaic (PV) plants around the world. Sonnedix Power Holdings Limited now has 211 MW of solar in operation or under construction in Japan, with more than 93 MW featuring SunPower® solar technology.
The Tono project, which NEC Networks and System Integration Corporation is contracted to construct, will use a fixed-tilt ground mount system and feature SunPower® E-Series 435-watt solar panels that offer efficiencies in excess of 20 percent. Compared to conventional solar panels, SunPower® E-Series panels produce up to 36 percent more power per panel, and 60 percent more energy per square foot over 25 years.
When complete, the Tono project is expected to generate over 53,000 megawatt hours of clean energy annually, equivalent to the amount of electricity consumed by approximately 17,650 households.
"Customers like Sonnedix Japan rely on SunPower's high performance solar panels to deliver long-term value over the life of their systems," said SunPower Executive Vice President Peter Aschenbrenner. "And with SunPower solar panels backed by our industry-leading 25-year warranty, this significant project will offer high power and product quality for a quarter century or more."
SunPower has operated in Japan since 2009, providing residential, commercial and power plant customers with high performance solar solutions well-suited to the Japanese market. With the completion of the Tono project, SunPower will have supplied more than one gigawatt of panels to solar projects in Japan.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Sonnedix Japan
Sonnedix Japan is a developer, asset manager, and operator of mega-solar projects in Japan, and the Japanese operator for investments made by Sonnedix Power Holdings Limited (Sonnedix), an Independent Solar Power Producer (IPP) with a proven track record delivering high performance, cost competitive solar photovoltaic plants around the world.
For more information about Sonnedix Japan, please visit www.sonnedix.jp. For more information about Sonnedix, please visit www.sonnedix.com.
SunPower Forward-Looking Statements:
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans, product performance, and expected energy output. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
8/6/20187/30/2018 - SunPower Reports Second Quarter Results
SunPower Reports Second Quarter Results
Source: PR Newswire
SAN JOSE, Calif., July 30, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its second quarter ended July 1, 2018.
Second Quarter Highlights
|
($ Millions, except percentages and per-share data) |
2nd Quarter |
1st Quarter |
2nd Quarter |
|
GAAP revenue |
$449.1 |
$391.9 |
$328.0 |
|
GAAP gross margin4 |
(69.1)% |
2.6% |
4.9% |
|
GAAP net loss4 |
$(447.1) |
$(116.0) |
$(90.5) |
|
GAAP net loss per diluted share4 |
$(3.17) |
$(0.83) |
$(0.65) |
|
Non-GAAP revenue1 |
$447.2 |
$398.9 |
$341.5 |
|
Non-GAAP gross margin1,2 |
11.7% |
6.5% |
12.2% |
|
Non-GAAP net income (loss)1,2 |
$(1.9) |
$(28.2) |
$(49.3) |
|
Non-GAAP net income (loss) per diluted share1,2 |
$(0.01) |
$(0.20) |
$(0.35) |
|
Adjusted EBITDA1,2 |
$58.6 |
$32.3 |
$13.5 |
|
Net Debt |
$1,082.6 |
$1,347.3 |
$1,466.0 |
|
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
|
2Excludes polysilicon costs related to its above market polysilicon contracts. |
|
3The company adopted the new revenue recognition standard effective January 1, 2018. The prior periods presented here have been restated to reflect adoption of the new standard. |
|
4Includes impairment charges of approximately $369.2 million for legacy manufacturing assets of which $355.1 million is recorded in GAAP gross margin. |
"Strong customer demand in our global DG business, combined with our continuing cost control initiatives, enabled us to exceed our forecasts for the quarter," said Tom Werner, SunPower CEO and chairman of the board. "We also made significant progress on our previously announced efforts to delever our balance sheet and simplify our business model with the monetization of our ownership stake in 8point3 Energy Partners and the planned sale of our microinverter assets to Enphase, as previously announced. Strategically, we remain committed to achieving sustainable profitability, scaling our NGT and improving cash flow.
"We expect to transition to our new upstream and downstream segmentation by the first quarter of 2019. This decision will allow us to focus our downstream efforts on the higher-margin U.S. DG business while growing global sales of our upstream solar panel business through our SunPower Solutions group. Also, this structure will provide the resources to invest in those areas that offer the highest differentiation and growth potential including our industry-leading NGT cell and panel technology, solar-plus-storage solutions, as well as expanding our grid-services offerings," concluded Werner.
"Demand for our industry-leading solutions, as well as the prudent management of our expenses, enabled us to surpass our forecasts," said Manavendra Sial, SunPower chief financial officer. "We were also pleased with the completion of the first phase of our asset monetization strategy as we expect these transactions, as well as others, will provide us with the resources we need to invest in our core growth opportunities that especially enhance our DG business. Additionally, in preparation for our new segmentation, we successfully implemented several lean corporate expense initiatives which will streamline our decision-making processes and reduce future corporate run rate costs. With our cash flow focused strategy, improved balance sheet and the benefits of the transition to our new segmentation in the fourth quarter, we are well positioned to achieve our financial goals this year."
Also, the company continues to execute on its technology roadmaps, including the ramp of its NGT cell and panel technology which is ahead of plan. As a result of this progress the company has made the decision to transition its existing interdigitated back contact (IBC) capacity to NGT cell and panel technology. Accordingly, the company expects to upgrade certain equipment associated with its manufacturing operations for the production of NGT over the next several years. In connection with this evaluation, and other factors, the company recognized non-cash impairment charges of approximately $369.2 million in the second quarter related to the value of its legacy manufacturing assets. Additionally, SunPower remains committed to expanding its U.S. manufacturing footprint and is continuing to work to complete its planned acquisition of SolarWorld Americas. Following closing, which is subject to certain conditions, the company plans to manufacture its proprietary P-Series technology at the SolarWorld Americas Oregon plant.
Second quarter fiscal year (FY) 2018 non-GAAP results exclude net adjustments that, in the aggregate, improved non-GAAP earnings by $445.2 million, including $369.2 million related to the impairment of property, plant and equipment, $50.4 million related to impairment of residential lease assets, $16.7 million related to cost of above market polysilicon, $6.6 million related to stock-based compensation expense, $4.2 million related to sale-leaseback transactions, $3.5 million related to restructuring expense, $2.4 million related to intangibles, and $1.1 million related to tax effect, partially offset by $8.3 million related to 8point3 Energy Partners tax indemnifications and $0.6 million related to utility and power plant projects.
Financial Outlook
The company's third quarter and FY 2018 GAAP and non-GAAP guidance reflects the impact related to the section 201 trade case.
The company's third quarter GAAP guidance is as follows: revenue of $425 million to $475 million, gross margin of negative 1.0 percent to positive 1.0 percent and a net loss of $215 million to $195 million. Third quarter 2018 GAAP guidance includes the impact of revenue and timing deferrals due to sale-leaseback transactions as well as charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $450 million to $500 million, gross margin of 6 percent to 8 percent, Adjusted EBITDA of negative $10 million to positive $10 million and megawatts (MW) deployed in the range of 400 MW to 430 MW. Third quarter guidance excludes the impact of the company's proposed acquisition of SolarWorld Americas as well as the potential financial impact of timing differences related to its previously announced proposed asset sales. Additionally, third quarter Adjusted EBITDA guidance assumes an approximate $10 million inventory charge related to the company's second quarter impairment of legacy manufacturing assets.
For FY 2018, the company now expects Adjusted EBITDA to be in the range of $95 million to $125 million compared to its previous guidance of $75 million to $125 million. Additionally, as a result of the asset impairment charge in the second quarter of 2018, the company expects its FY 2018 GAAP net loss to be in the range of $830 million to $860 million. The balance of the company's FY 2018 non-GAAP guidance remains unchanged.
The company will host a conference call for investors this afternoon to discuss its second quarter 2018 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its second quarter 2018 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate MW on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our plans and expectations regarding manufacturing expansion, production goals and production ramps, including the timing of our planned ramp of NGT production, and cost reduction efforts; (b) our plans to delever our balance sheet, simplify our business model, achieve sustainable profitability, provide corporate transparency, streamline decision making, and the impact of these initiatives on our liquidity, financial performance, cash flow, and operating expenses; (c) our plans to invest in technologies and strategic initiatives and allocate resources; (d) our ability to successfully complete key strategic transactions, including the sale of our remaining power plant development assets, our planned monetization of our lease portfolio and associated accounting charges, the sale of our microinverter business, and our expectations regarding the timing and proceeds of such transactions, and their impact on our financial statements; (e) our plans to align into upstream and downstream business units and transition our segmentation accordingly, and the timing and financial impacts of such plans; (f) our strategic goals and plans, and our ability to achieve them, including our plans to expand of our U.S. distributed generation and SunPower Solutions business lines, and our ability to meet global demand; (g) our expectations and plans regarding product focus, growth and market share, profitability, margins, and financial performance in each of our business lines;(h) our ability to fund our planned growth initiatives; (i) the effect of our corporate initiatives to streamline decision-making and reduce costs; (j) our positioning for future success, long-term competitiveness, and our ability to achieve our financial goals; (k) our plans and expectations with respect to acquisition and expansion activities, including the planned SolarWorld Americas acquisition and the planned sale of our microinverter assets to Enphase; (l) our third quarter fiscal 2018 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, including related assumptions; and (m) fiscal year 2018 guidance, including Adjusted EBITDA, including related assumptions and projected year over year growth. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition and applicability of tariffs pursuant to the Section 201 trade action and the process for exemptions; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges in executing transactions key to our strategic plans; and (10) our ability to successfully implement actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring plan and associated initiatives, including plans to sell projects, monetize assets, and streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||||||
|
CONSOLIDATED BALANCE SHEETS | |||||||
|
(In thousands) | |||||||
|
(Unaudited) | |||||||
|
July 1, 2018 |
December 31, 2017 | ||||||
|
Assets |
|||||||
|
Current assets: |
|||||||
|
Cash and cash equivalents |
$ |
256,689 |
$ |
435,097 |
|||
|
Restricted cash and cash equivalents, current portion |
36,941 |
43,709 |
|||||
|
Accounts receivable, net |
205,795 |
204,966 |
|||||
|
Contract assets |
70,449 |
35,074 |
|||||
|
Inventories |
368,407 |
352,829 |
|||||
|
Advances to suppliers, current portion |
83,771 |
30,689 |
|||||
|
Project assets - plants and land, current portion |
76,347 |
103,063 |
|||||
|
Prepaid expenses and other current assets |
121,348 |
146,209 |
|||||
|
Total current assets |
1,219,747 |
1,351,636 |
|||||
|
Restricted cash and cash equivalents, net of current portion |
70,970 |
65,531 |
|||||
|
Restricted long-term marketable securities |
5,838 |
6,238 |
|||||
|
Property, plant and equipment, net |
757,071 |
1,147,845 |
|||||
|
Solar power systems leased and to be leased, net |
359,095 |
369,218 |
|||||
|
Advances to suppliers, net of current portion |
117,096 |
185,299 |
|||||
|
Long-term financing receivables, net |
379,076 |
330,672 |
|||||
|
Other intangible assets, net |
20,878 |
25,519 |
|||||
|
Other long-term assets |
140,039 |
546,698 |
|||||
|
Total assets |
$ |
3,069,810 |
$ |
4,028,656 |
|||
|
Liabilities and Equity |
|||||||
|
Current liabilities: |
|||||||
|
Accounts payable |
$ |
349,819 |
$ |
406,902 |
|||
|
Accrued liabilities |
196,405 |
229,208 |
|||||
|
Contract liabilities, current portion |
91,794 |
104,286 |
|||||
|
Short-term debt |
58,194 |
58,131 |
|||||
|
Convertible debt, current portion |
— |
299,685 |
|||||
|
Total current liabilities |
696,212 |
1,098,212 |
|||||
|
Long-term debt |
463,696 |
430,634 |
|||||
|
Convertible debt, net of current portion |
817,405 |
816,454 |
|||||
|
Contract liabilities, net of current portion |
148,182 |
171,610 |
|||||
|
Other long-term liabilities |
799,339 |
804,122 |
|||||
|
Total liabilities |
2,924,834 |
3,321,032 |
|||||
|
Redeemable noncontrolling interests in subsidiaries |
14,335 |
15,236 |
|||||
|
Equity: |
|||||||
|
Preferred stock |
— |
— |
|||||
|
Common stock |
141 |
140 |
|||||
|
Additional paid-in capital |
2,455,813 |
2,442,513 |
|||||
|
Accumulated deficit |
(2,232,988) |
(1,669,897) |
|||||
|
Accumulated other comprehensive loss |
(1,676) |
(3,008) |
|||||
|
Treasury stock, at cost |
(186,439) |
(181,539) |
|||||
|
Total stockholders' equity |
34,851 |
588,209 |
|||||
|
Noncontrolling interests in subsidiaries |
95,790 |
104,179 |
|||||
|
Total equity |
130,641 |
692,388 |
|||||
|
Total liabilities and equity |
$ |
3,069,810 |
$ |
4,028,656 |
|||
|
SUNPOWER CORPORATION | ||||||||||||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||||||
|
(In thousands, except per share data) | ||||||||||||||||||||
|
(Unaudited) | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
Revenue: |
||||||||||||||||||||
|
Residential |
$ |
205,181 |
$ |
169,432 |
$ |
155,806 |
$ |
374,613 |
$ |
290,500 |
||||||||||
|
Commercial |
127,872 |
123,336 |
91,826 |
251,208 |
197,272 |
|||||||||||||||
|
Power Plant |
116,044 |
99,120 |
80,349 |
215,164 |
169,304 |
|||||||||||||||
|
Total revenue |
449,097 |
391,888 |
327,981 |
840,985 |
657,076 |
|||||||||||||||
|
Cost of revenue: |
||||||||||||||||||||
|
Residential |
254,451 |
141,390 |
130,143 |
395,841 |
250,063 |
|||||||||||||||
|
Commercial |
229,013 |
118,023 |
88,616 |
347,036 |
194,216 |
|||||||||||||||
|
Power Plant |
275,848 |
122,227 |
93,055 |
398,075 |
242,214 |
|||||||||||||||
|
Total cost of revenue |
759,312 |
381,640 |
311,814 |
1,140,952 |
686,493 |
|||||||||||||||
|
Gross profit (loss) |
(310,215) |
10,248 |
16,167 |
(299,967) |
(29,417) |
|||||||||||||||
|
Operating expenses: |
||||||||||||||||||||
|
Research and development |
31,210 |
18,891 |
19,754 |
50,101 |
40,269 |
|||||||||||||||
|
Selling, general and administrative |
64,719 |
65,130 |
68,703 |
129,849 |
136,106 |
|||||||||||||||
|
Restructuring charges |
3,504 |
11,177 |
4,969 |
14,681 |
14,759 |
|||||||||||||||
|
Impairment of residential lease assets |
68,269 |
49,092 |
— |
117,361 |
— |
|||||||||||||||
|
Total operating expenses |
167,702 |
144,290 |
93,426 |
311,992 |
191,134 |
|||||||||||||||
|
Operating loss |
(477,917) |
(134,042) |
(77,259) |
(611,959) |
(220,551) |
|||||||||||||||
|
Other income (expense), net: |
||||||||||||||||||||
|
Interest income |
664 |
529 |
387 |
1,193 |
1,325 |
|||||||||||||||
|
Interest expense |
(26,718) |
(25,106) |
(22,505) |
(51,824) |
(43,407) |
|||||||||||||||
|
Other, net |
36,624 |
15,794 |
(14,684) |
52,418 |
(88,772) |
|||||||||||||||
|
Other income (expense), net |
10,570 |
(8,783) |
(36,802) |
1,787 |
(130,854) |
|||||||||||||||
|
Loss before income taxes and equity in earnings (losses) of unconsolidated investees |
(467,347) |
(142,825) |
(114,061) |
(610,172) |
(351,405) |
|||||||||||||||
|
Provision for income taxes |
(3,081) |
(2,628) |
(2,353) |
(5,709) |
(4,384) |
|||||||||||||||
|
Equity in earnings (losses) of unconsolidated investees |
(13,415) |
(2,144) |
6,837 |
(15,559) |
9,325 |
|||||||||||||||
|
Net loss |
(483,843) |
(147,597) |
(109,577) |
(631,440) |
(346,464) |
|||||||||||||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
36,726 |
31,623 |
19,062 |
68,349 |
36,223 |
|||||||||||||||
|
Net loss attributable to stockholders |
$ |
(447,117) |
$ |
(115,974) |
$ |
(90,515) |
$ |
(563,091) |
$ |
(310,241) |
||||||||||
|
Net loss per share attributable to stockholders: |
||||||||||||||||||||
|
- Basic |
$ |
(3.17) |
$ |
(0.83) |
$ |
(0.65) |
$ |
(4.01) |
$ |
(2.23) |
||||||||||
|
- Diluted |
$ |
(3.17) |
$ |
(0.83) |
$ |
(0.65) |
$ |
(4.01) |
$ |
(2.23) |
||||||||||
|
Weighted-average shares: |
||||||||||||||||||||
|
- Basic |
140,926 |
140,212 |
139,448 |
140,569 |
139,175 |
|||||||||||||||
|
- Diluted |
140,926 |
140,212 |
139,448 |
140,569 |
139,175 |
|||||||||||||||
|
SUNPOWER CORPORATION | ||||||||||||||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
|
(In thousands) | ||||||||||||||||||||
|
(Unaudited) | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
Cash flows from operating activities: |
||||||||||||||||||||
|
Net loss |
$ |
(483,843) |
$ |
(147,597) |
$ |
(109,577) |
$ |
(631,440) |
$ |
(346,464) |
||||||||||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
||||||||||||||||||||
|
Depreciation and amortization |
38,568 |
39,833 |
44,424 |
78,401 |
85,671 |
|||||||||||||||
|
Stock-based compensation |
6,644 |
7,053 |
8,606 |
13,697 |
15,981 |
|||||||||||||||
|
Non-cash interest expense |
3,819 |
4,443 |
4,777 |
8,262 |
7,735 |
|||||||||||||||
|
Dividend from 8point3 Energy Partners LP |
(1,452) |
5,399 |
7,409 |
3,947 |
14,601 |
|||||||||||||||
|
Equity in (earnings) losses of unconsolidated investees |
13,414 |
2,144 |
(6,836) |
15,559 |
(9,325) |
|||||||||||||||
|
Gain on sale of equity method investment |
(34,449) |
(15,576) |
— |
(50,025) |
— |
|||||||||||||||
|
Deferred income taxes |
1,775 |
(344) |
1,058 |
1,431 |
1,285 |
|||||||||||||||
|
Impairment of equity method investment |
— |
— |
8,607 |
— |
81,571 |
|||||||||||||||
|
Impairment of property, plant and equipment |
369,168 |
— |
— |
369,168 |
— |
|||||||||||||||
|
Impairment of residential lease assets |
68,269 |
49,092 |
— |
117,361 |
— |
|||||||||||||||
|
Other, net |
(3,415) |
972 |
(617) |
(2,443) |
4,160 |
|||||||||||||||
|
Changes in operating assets and liabilities: |
||||||||||||||||||||
|
Accounts receivable |
(17,957) |
13,924 |
(23,169) |
(4,033) |
27,482 |
|||||||||||||||
|
Contract assets |
(11,814) |
(23,561) |
(2,220) |
(35,375) |
10,181 |
|||||||||||||||
|
Inventories |
(41,654) |
(34,195) |
(36,440) |
(75,849) |
(76,444) |
|||||||||||||||
|
Project assets |
(9,398) |
20,484 |
(105,957) |
11,086 |
(73,697) |
|||||||||||||||
|
Prepaid expenses and other assets |
23,423 |
10,885 |
52,101 |
34,308 |
85,365 |
|||||||||||||||
|
Long-term financing receivables, net |
(71,042) |
(38,114) |
(31,821) |
(109,156) |
(62,405) |
|||||||||||||||
|
Advances to suppliers |
9,973 |
5,149 |
19,081 |
15,122 |
32,782 |
|||||||||||||||
|
Accounts payable and other accrued liabilities |
20,713 |
(100,156) |
5,296 |
(79,444) |
(193,612) |
|||||||||||||||
|
Contract liabilities |
(2,822) |
(33,097) |
3,479 |
(35,919) |
106,441 |
|||||||||||||||
|
Net cash used in operating activities |
(122,080) |
(233,262) |
(161,799) |
(355,342) |
(288,692) |
|||||||||||||||
|
Cash flows from investing activities: |
||||||||||||||||||||
|
Purchases of property, plant and equipment |
(16,503) |
(8,859) |
(17,246) |
(25,362) |
(45,123) |
|||||||||||||||
|
Cash paid for solar power systems, leased and to be leased |
(14,901) |
(23,787) |
(22,811) |
(38,688) |
(41,028) |
|||||||||||||||
|
Cash paid for solar power systems |
(832) |
(2,604) |
(3,407) |
(3,436) |
(8,012) |
|||||||||||||||
|
Dividend from equity method investees |
10,258 |
2,694 |
1,421 |
12,952 |
1,421 |
|||||||||||||||
|
Proceeds from sale of equity method investment |
390,484 |
27,282 |
— |
417,766 |
— |
|||||||||||||||
|
Cash paid for investments in unconsolidated investees |
(7,712) |
(6,349) |
(1,461) |
(14,061) |
(11,603) |
|||||||||||||||
|
Net cash provided by (used in) investing activities |
360,794 |
(11,623) |
(43,504) |
349,171 |
(104,345) |
|||||||||||||||
|
Cash flows from financing activities: |
||||||||||||||||||||
|
Proceeds from bank loans and other debt |
66,665 |
49,794 |
90,637 |
116,459 |
201,400 |
|||||||||||||||
|
Repayment of 0.75% debentures due 2018, bank loans and other debt |
(368,475) |
(51,052) |
(99,913) |
(419,527) |
(228,940) |
|||||||||||||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
34,422 |
32,687 |
10,062 |
67,109 |
30,642 |
|||||||||||||||
|
Repayment of non-recourse residential financing |
(6,118) |
(3,781) |
(1,726) |
(9,899) |
(3,024) |
|||||||||||||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
36,564 |
36,726 |
47,595 |
73,290 |
96,625 |
|||||||||||||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(7,160) |
(5,422) |
(4,691) |
(12,582) |
(8,454) |
|||||||||||||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
13,182 |
9,104 |
104,843 |
22,286 |
226,661 |
|||||||||||||||
|
Repayment of non-recourse power plant and commercial financing |
(3,788) |
(890) |
(3,057) |
(4,678) |
(32,021) |
|||||||||||||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(374) |
(4,526) |
(153) |
(4,900) |
(4,215) |
|||||||||||||||
|
Net cash (used in) provided by financing activities |
(235,082) |
62,640 |
143,597 |
(172,442) |
278,674 |
|||||||||||||||
|
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents |
(1,601) |
477 |
386 |
(1,124) |
1,174 |
|||||||||||||||
|
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents |
2,031 |
(181,768) |
(61,320) |
(179,737) |
(113,189) |
|||||||||||||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
362,569 |
544,337 |
462,343 |
544,337 |
514,212 |
|||||||||||||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ |
364,600 |
$ |
362,569 |
$ |
401,023 |
$ |
364,600 |
$ |
401,023 |
||||||||||
|
Non-cash transactions: |
||||||||||||||||||||
|
Transaction fees funded by liability related to the sale of equity method investees |
$ |
3,911 |
$ |
— |
$ |
— |
$ |
3,911 |
$ |
— |
||||||||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
$ |
7,286 |
$ |
14,354 |
$ |
14,078 |
$ |
21,640 |
$ |
27,467 |
||||||||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
$ |
5,166 |
$ |
5,835 |
$ |
7,016 |
$ |
5,166 |
$ |
7,016 |
||||||||||
|
Costs of solar power systems under sale-leaseback financing arrangements sourced, from project assets |
$ |
5,789 |
$ |
9,791 |
$ |
2,702 |
$ |
15,580 |
$ |
55,619 |
||||||||||
|
Property, plant and equipment acquisitions funded by liabilities |
$ |
15,954 |
$ |
17,218 |
$ |
40,669 |
$ |
15,954 |
$ |
40,669 |
||||||||||
|
Contractual obligations satisfied with inventory |
$ |
23,364 |
$ |
17,517 |
$ |
— |
$ |
40,881 |
$ |
6,668 |
||||||||||
|
Assumption of debt by buyer upon sale of equity interest |
$ |
— |
$ |
27,321 |
$ |
— |
$ |
27,321 |
$ |
— |
||||||||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross profit/margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross profit/margin includes adjustments relating to impairment of property, plant and equipment, impairment of residential lease assets, cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, depreciation of idle equipment, and non-cash interest expense, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to restructuring expense, IPO-related costs, the tax effect of these non-GAAP adjustments, and other items, each as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 previously based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. Prior to the adoption of ASC 606, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. The company adopted ASC 606 on January 1, 2018, using the full retrospective method, which required the company to restate each prior period presented. The company recorded a material amount of deferred profit associated with projects sold to 8point3 in 2015, the majority of which had previously been deferred under real estate accounting. Accordingly, the company's carrying value in the 8point3 materially increased upon adoption which required the company to evaluate its investment in 8point3 for other-than-temporary impairment ("OTTI"). In accordance with such evaluation, the company recognized a non-cash impairment charge on the 8point3 investment balance in the prior periods that were affected. On June 19, 2018, the company sold its equity interest in 8point3.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||||||||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||||||||||||
|
(In thousands, except percentages and per share data) | ||||||||||||||||||||
|
(Unaudited) | ||||||||||||||||||||
|
Adjustments to Revenue: | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
GAAP revenue |
$ |
449,097 |
$ |
391,888 |
$ |
327,981 |
$ |
840,985 |
$ |
657,076 |
||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||
|
8point3 |
(8,337) |
— |
8,126 |
(8,337) |
13,644 |
|||||||||||||||
|
Utility and power plant projects |
(1,301) |
(2,043) |
1,451 |
(3,344) |
42,847 |
|||||||||||||||
|
Sale-leaseback transactions |
7,695 |
9,103 |
3,927 |
16,798 |
57,405 |
|||||||||||||||
|
Non-GAAP revenue |
$ |
447,154 |
$ |
398,948 |
$ |
341,485 |
$ |
846,102 |
$ |
770,972 |
||||||||||
|
Adjustments to Gross Profit (Loss) / Margin: | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
GAAP gross profit (loss) |
$ |
(310,215) |
$ |
10,248 |
$ |
16,167 |
$ |
(299,967) |
$ |
(29,417) |
||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||
|
8point3 |
(8,337) |
— |
(831) |
(8,337) |
(507) |
|||||||||||||||
|
Utility and power plant projects |
(569) |
(268) |
3,147 |
(837) |
45,838 |
|||||||||||||||
|
Sale-leaseback transactions |
(359) |
(3,039) |
(2,270) |
(3,398) |
(5,414) |
|||||||||||||||
|
Other adjustments: |
||||||||||||||||||||
|
Impairment of property, plant and equipment |
355,106 |
— |
— |
355,106 |
— |
|||||||||||||||
|
Impairment of residential lease assets |
(4,151) |
(3,853) |
— |
(8,004) |
— |
|||||||||||||||
|
Cost of above-market polysilicon |
16,669 |
18,700 |
21,826 |
35,369 |
51,641 |
|||||||||||||||
|
Stock-based compensation expense |
1,627 |
1,057 |
1,052 |
2,684 |
2,236 |
|||||||||||||||
|
Amortization of intangible assets |
2,443 |
2,492 |
2,567 |
4,935 |
5,134 |
|||||||||||||||
|
Depreciation of idle equipment |
— |
721 |
— |
721 |
— |
|||||||||||||||
|
Non-cash interest expense |
— |
— |
10 |
— |
20 |
|||||||||||||||
|
Non-GAAP gross profit |
$ |
52,214 |
$ |
26,058 |
$ |
41,668 |
$ |
78,272 |
$ |
69,531 |
||||||||||
|
GAAP gross margin (%) |
(69.1) |
% |
2.6 |
% |
4.9 |
% |
(35.7) |
% |
(4.5) |
% | ||||||||||
|
Non-GAAP gross margin (%) |
11.7 |
% |
6.5 |
% |
12.2 |
% |
9.3 |
% |
9.0 |
% | ||||||||||
|
Adjustments to Net income (loss): | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
GAAP net loss attributable to stockholders |
$ |
(447,117) |
$ |
(115,974) |
$ |
(90,515) |
$ |
(563,091) |
$ |
(310,241) |
||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||
|
8point3 |
(8,308) |
(177) |
(1,691) |
(8,485) |
76,007 |
|||||||||||||||
|
Utility and power plant projects |
(569) |
(268) |
3,147 |
(837) |
45,838 |
|||||||||||||||
|
Sale-leaseback transactions |
4,187 |
1,373 |
(38) |
5,560 |
(1,747) |
|||||||||||||||
|
Other adjustments: |
||||||||||||||||||||
|
Impairment of property, plant and equipment |
369,168 |
— |
— |
369,168 |
— |
|||||||||||||||
|
Impairment of residential lease assets |
50,360 |
45,139 |
— |
95,499 |
— |
|||||||||||||||
|
Cost of above-market polysilicon |
16,669 |
18,700 |
21,826 |
35,369 |
51,641 |
|||||||||||||||
|
Stock-based compensation expense |
6,643 |
8,758 |
8,606 |
15,401 |
15,981 |
|||||||||||||||
|
Amortization of intangible assets |
2,443 |
2,492 |
4,227 |
4,935 |
7,253 |
|||||||||||||||
|
Depreciation of idle equipment |
— |
721 |
— |
721 |
— |
|||||||||||||||
|
Non-cash interest expense |
23 |
22 |
35 |
45 |
70 |
|||||||||||||||
|
Restructuring expense |
3,504 |
11,177 |
4,969 |
14,681 |
14,759 |
|||||||||||||||
|
IPO-related costs |
— |
— |
(196) |
— |
(82) |
|||||||||||||||
|
Tax effect |
1,072 |
(170) |
350 |
902 |
863 |
|||||||||||||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ |
(1,925) |
$ |
(28,207) |
$ |
(49,280) |
$ |
(30,132) |
$ |
(99,658) |
||||||||||
|
Adjustments to Net income (loss) per diluted share: | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
Net income (loss) per diluted share |
||||||||||||||||||||
|
Numerator: |
||||||||||||||||||||
|
GAAP net loss available to common stockholders1 |
$ |
(447,117) |
$ |
(115,974) |
$ |
(90,515) |
$ |
(563,091) |
$ |
(310,241) |
||||||||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ |
(1,925) |
$ |
(28,207) |
$ |
(49,280) |
$ |
(30,132) |
$ |
(99,658) |
||||||||||
|
Denominator: |
||||||||||||||||||||
|
GAAP weighted-average shares |
140,926 |
140,212 |
139,448 |
140,569 |
139,175 |
|||||||||||||||
|
Effect of dilutive securities: |
||||||||||||||||||||
|
Stock options |
— |
— |
— |
— |
— |
|||||||||||||||
|
Restricted stock units |
— |
— |
— |
— |
— |
|||||||||||||||
|
Upfront Warrants (held by Total) |
— |
— |
— |
— |
— |
|||||||||||||||
|
Warrants (under the CSO2015) |
— |
— |
— |
— |
— |
|||||||||||||||
|
0.75% debentures due 2018 |
— |
— |
— |
— |
— |
|||||||||||||||
|
Non-GAAP weighted-average shares1 |
140,926 |
140,212 |
139,448 |
140,569 |
139,175 |
|||||||||||||||
|
GAAP net loss per diluted share |
$ |
(3.17) |
$ |
(0.83) |
$ |
(0.65) |
$ |
(4.01) |
$ |
(2.23) |
||||||||||
|
Non-GAAP net income (loss) per diluted share |
$ |
(0.01) |
$ |
(0.20) |
$ |
(0.35) |
$ |
(0.21) |
$ |
(0.72) |
||||||||||
|
1 |
In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875% and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. |
|
Adjusted EBITDA: | ||||||||||||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||||||||||||
|
July 1, 2018 |
April 1, 2018 |
July 2, 2017 |
July 1, 2018 |
July 2, 2017 | ||||||||||||||||
|
GAAP net loss attributable to stockholders |
$ |
(447,117) |
$ |
(115,974) |
$ |
(90,515) |
$ |
(563,091) |
$ |
(310,241) |
||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||
|
8point3 |
(8,308) |
(177) |
(1,691) |
(8,485) |
76,007 |
|||||||||||||||
|
Utility and power plant projects |
(569) |
(268) |
3,147 |
(837) |
45,838 |
|||||||||||||||
|
Sale-leaseback transactions |
4,187 |
1,373 |
(38) |
5,560 |
(1,747) |
|||||||||||||||
|
Other adjustments: |
||||||||||||||||||||
|
Impairment of property, plant and equipment |
369,168 |
— |
— |
369,168 |
— |
|||||||||||||||
|
Impairment of residential lease assets |
50,360 |
45,139 |
— |
95,499 |
— |
|||||||||||||||
|
Cost of above-market polysilicon |
16,669 |
18,700 |
21,826 |
35,369 |
51,641 |
|||||||||||||||
|
Stock-based compensation expense |
6,643 |
8,758 |
8,606 |
15,401 |
15,981 |
|||||||||||||||
|
Amortization of intangible assets |
2,443 |
2,492 |
4,227 |
4,935 |
7,253 |
|||||||||||||||
|
Depreciation of idle equipment |
— |
721 |
— |
721 |
— |
|||||||||||||||
|
Non-cash interest expense |
23 |
22 |
35 |
45 |
70 |
|||||||||||||||
|
Restructuring expense |
3,504 |
11,177 |
4,969 |
14,681 |
14,759 |
|||||||||||||||
|
IPO-related costs |
— |
— |
(196) |
— |
(82) |
|||||||||||||||
|
Cash interest expense, net of interest income |
21,509 |
20,165 |
19,886 |
41,674 |
38,415 |
|||||||||||||||
|
Provision for (benefit from) income taxes |
3,081 |
2,628 |
2,353 |
5,709 |
4,384 |
|||||||||||||||
|
Depreciation |
36,983 |
37,576 |
40,917 |
74,559 |
79,849 |
|||||||||||||||
|
Adjusted EBITDA |
$ |
58,576 |
$ |
32,332 |
$ |
13,526 |
$ |
90,908 |
$ |
22,127 |
||||||||||
Q3 2018 and FY 2018 GUIDANCE
|
(in thousands except percentages) |
Q3 2018 |
FY 2018 |
|
Revenue (GAAP) |
$425,000-$475,000 |
$1,600,000-$2,000,000 |
|
Revenue (non-GAAP)1 |
$450,000-$500,000 |
$1,800,000-$2,200,000 |
|
Gross margin (GAAP) |
(1)% - 1% |
N/A |
|
Gross margin (non-GAAP)2 |
6%-8% |
N/A |
|
Net loss (GAAP) |
$195,000-$215,000 |
$830,000-$860,000 |
|
Adjusted EBITDA3 |
$(10,000)-$10,000 |
$95,000-$125,000 |
|
1. |
Estimated non-GAAP amounts above for Q3 2018 include net adjustments that increase revenue by approximately $25 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2018 include net adjustments that increase (decrease) revenue by approximately $210 million related to sale-leaseback transactions, $(8) million related to 8point3 tax indemnifications and $(2) million related to utility and power plant projects. |
|
2. |
Estimated non-GAAP amounts above for Q3 2018 include net adjustments that increase (decrease) gross margin by approximately $2 million related to sale-leaseback transactions, $31 million related to cost of above-market polysilicon, $(4) million related to impairment of lease assets, $2 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. |
|
3. |
Estimated Adjusted EBITDA amounts above for Q3 2018 include net adjustments that decrease net loss by approximately $5 million related to sale-leaseback transactions, $31 million related to cost of above-market polysilicon, $97 million related to impairment of lease assets, $7 million related to stock-based compensation expense, $26 million related to depreciation, $3 million related to amortization of intangible assets, $7 million related to restructuring, $24 million related to interest expense, and $5 million related to income taxes. Estimated non-GAAP amounts above for fiscal 2018 include net adjustments that decrease (increase) net loss by approximately $14 million related to sale-leaseback transactions, $(8) million related to 8point3 tax indemnifications, $(2) million related to utility and power plant projects, $364 million related to impairment of property, plant and equipment, $105 million related to cost of above-market polysilicon, $190 million related to impairment of lease assets, $32 million related to stock-based compensation expense, $110 million related to depreciation, $11 million related to amortization of intangible assets, $27 million related to restructuring, $93 million related to interest expense, and $19 million related to income taxes. |
SUPPLEMENTAL DATA
(In thousands, except percentages)
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross profit/margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
THREE MONTHS ENDED |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
July 1, 2018 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Revenue |
Gross Profit / Margin |
Operating expenses |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
Other income |
Benefit from (provision for) income taxes |
Equity in unconsolidated |
Gain (Loss) |
Net income (loss) |
|||||||||||||||||||||||||||||||||||||||||||||
|
GAAP |
$ |
205,181 |
$ |
127,872 |
$ |
116,044 |
$ |
(49,270) |
(24.0) |
% |
$ |
(101,141) |
(79.1) |
% |
$ |
(159,804) |
(137.7) |
% |
$ |
(447,117) |
||||||||||||||||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
8point3 |
— |
(2,149) |
(6,188) |
— |
(2,149) |
(6,188) |
— |
— |
— |
— |
— |
29 |
— |
(8,308) |
||||||||||||||||||||||||||||||||||||||||||||
|
Utility and power plant projects |
— |
(82) |
(1,219) |
— |
(319) |
(250) |
— |
— |
— |
— |
— |
— |
— |
(569) |
||||||||||||||||||||||||||||||||||||||||||||
|
Sale-leaseback transactions |
— |
7,695 |
— |
— |
(398) |
39 |
— |
— |
— |
4,546 |
— |
— |
— |
4,187 |
||||||||||||||||||||||||||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Impairment of property, plant and equipment |
— |
— |
— |
92,543 |
103,759 |
158,804 |
12,832 |
1,230 |
— |
— |
— |
— |
— |
369,168 |
||||||||||||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
— |
— |
— |
(4,151) |
— |
— |
— |
68,269 |
— |
— |
— |
— |
(13,758) |
50,360 |
||||||||||||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
— |
— |
— |
4,276 |
7,043 |
5,350 |
— |
— |
— |
— |
— |
— |
— |
16,669 |
||||||||||||||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
— |
— |
— |
471 |
570 |
586 |
1,054 |
3,962 |
— |
— |
— |
— |
— |
6,643 |
||||||||||||||||||||||||||||||||||||||||||||
|
Amortization of intangible assets |
— |
— |
— |
922 |
698 |
823 |
— |
— |
— |
— |
— |
— |
2,443 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Non-cash interest expense |
— |
— |
— |
— |
— |
— |
3 |
20 |
— |
— |
— |
— |
— |
23 |
||||||||||||||||||||||||||||||||||||||||||||
|
Restructuring expense |
— |
— |
— |
— |
— |
— |
— |
— |
3,504 |
— |
— |
— |
— |
3,504 |
||||||||||||||||||||||||||||||||||||||||||||
|
Tax effect |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
1,072 |
— |
— |
1,072 |
||||||||||||||||||||||||||||||||||||||||||||
|
Non-GAAP |
$ |
205,181 |
$ |
133,336 |
$ |
108,637 |
$ |
44,791 |
21.8 |
% |
$ |
8,063 |
6.0 |
% |
$ |
(640) |
(0.6) |
% |
$ |
(1,925) |
||||||||||||||||||||||||||||||||||||||
|
April 1, 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Revenue |
Gross Profit / Margin |
Operating expenses |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
Other income |
Benefit from (provision for) income taxes |
Equity in |
Gain (Loss) |
Net income (loss) |
|||||||||||||||||||||||||||||||||||||||||||||
|
GAAP |
$ |
169,432 |
$ |
123,336 |
$ |
99,120 |
$ |
28,042 |
16.6 |
% |
$ |
5,313 |
4.3 |
% |
$ |
(23,107) |
(23.3) |
% |
$ |
(115,974) |
||||||||||||||||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
8point3 |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
(177) |
— |
(177) |
||||||||||||||||||||||||||||||||||||||||||||
|
Utility and power plant projects |
— |
(643) |
(1,400) |
— |
(450) |
182 |
— |
— |
— |
— |
— |
— |
— |
(268) |
||||||||||||||||||||||||||||||||||||||||||||
|
Sale-leaseback transactions |
— |
9,103 |
— |
— |
(2,920) |
(119) |
— |
— |
— |
4,412 |
— |
— |
— |
1,373 |
||||||||||||||||||||||||||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
— |
— |
— |
(3,853) |
— |
— |
— |
49,092 |
— |
— |
— |
— |
(100) |
45,139 |
||||||||||||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
— |
— |
— |
5,802 |
5,057 |
7,841 |
— |
— |
— |
— |
— |
— |
— |
18,700 |
||||||||||||||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
— |
— |
— |
195 |
383 |
479 |
2,946 |
4,755 |
— |
— |
— |
— |
— |
8,758 |
||||||||||||||||||||||||||||||||||||||||||||
|
Amortization of intangible assets |
— |
— |
— |
1,047 |
735 |
710 |
— |
— |
— |
— |
— |
— |
2,492 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Depreciation of idle equipment |
— |
— |
— |
224 |
216 |
281 |
— |
— |
— |
— |
— |
— |
— |
721 |
||||||||||||||||||||||||||||||||||||||||||||
|
Non-cash interest expense |
— |
— |
— |
— |
— |
— |
3 |
19 |
— |
— |
— |
— |
— |
22 |
||||||||||||||||||||||||||||||||||||||||||||
|
Restructuring expense |
— |
— |
— |
— |
— |
— |
— |
— |
11,177 |
— |
— |
— |
— |
11,177 |
||||||||||||||||||||||||||||||||||||||||||||
|
Tax effect |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
(170) |
— |
— |
(170) |
||||||||||||||||||||||||||||||||||||||||||||
|
Non-GAAP |
$ |
169,432 |
$ |
131,796 |
$ |
97,720 |
$ |
31,457 |
18.6 |
% |
$ |
8,334 |
6.3 |
% |
$ |
(13,733) |
(14.1) |
% |
$ |
(28,207) |
||||||||||||||||||||||||||||||||||||||
|
July 2, 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Revenue |
Gross Profit / Margin |
Operating expenses |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
Other income |
Benefit from (provision for) income taxes |
Equity in |
Net income (loss) |
||||||||||||||||||||||||||||||||||||||||||||||
|
GAAP (As Reported) |
$ |
157,125 |
$ |
100,105 |
$ |
80,216 |
$ |
26,138 |
16.6 |
% |
$ |
2,575 |
2.6 |
% |
$ |
(13,478) |
(16.8) |
% |
$ |
(93,760) |
||||||||||||||||||||||||||||||||||||||
|
Adoption of ASC 606 |
(1,319) |
(8,279) |
133 |
(475) |
635 |
772 |
— |
— |
— |
925 |
— |
1,388 |
3,245 |
|||||||||||||||||||||||||||||||||||||||||||||
|
GAAP (As Adjusted) |
$ |
155,806 |
$ |
91,826 |
$ |
80,349 |
$ |
25,663 |
16.5 |
% |
$ |
3,210 |
3.5 |
% |
$ |
(12,706) |
(15.8) |
% |
$ |
(90,515) |
||||||||||||||||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
8point3 |
— |
9,748 |
(1,622) |
(2) |
255 |
(1,084) |
— |
— |
— |
— |
— |
(860) |
(1,691) |
|||||||||||||||||||||||||||||||||||||||||||||
|
Utility and power plant projects |
— |
328 |
1,123 |
— |
328 |
2,819 |
— |
— |
— |
— |
— |
— |
3,147 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Sale-leaseback transactions |
— |
3,927 |
— |
— |
(2,225) |
(45) |
— |
— |
— |
2,232 |
— |
— |
(38) |
|||||||||||||||||||||||||||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
— |
— |
— |
314 |
293 |
445 |
1,036 |
6,518 |
— |
— |
— |
— |
8,606 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Amortization of intangible assets |
— |
— |
— |
870 |
672 |
1,025 |
1,201 |
459 |
— |
— |
— |
— |
4,227 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Non-cash interest expense |
— |
— |
— |
2 |
2 |
6 |
4 |
21 |
— |
— |
— |
— |
35 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Restructuring expense |
— |
— |
— |
— |
— |
— |
— |
— |
4,969 |
— |
— |
— |
4,969 |
|||||||||||||||||||||||||||||||||||||||||||||
|
IPO-related costs |
— |
— |
— |
— |
— |
— |
— |
(196) |
— |
— |
— |
— |
(196) |
|||||||||||||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
— |
— |
— |
4,731 |
5,000 |
12,095 |
— |
— |
— |
— |
— |
— |
21,826 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Tax effect |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
350 |
— |
350 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Non-GAAP |
$ |
155,806 |
$ |
105,829 |
$ |
79,850 |
$ |
31,578 |
20.3 |
% |
$ |
7,535 |
7.1 |
% |
$ |
2,555 |
3.2 |
% |
$ |
(49,280) |
||||||||||||||||||||||||||||||||||||||
|
SIX MONTHS ENDED | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
July 1, 2018 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Revenue |
Gross Profit / Margin |
Operating expenses |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
Other income |
Benefit from (provision for) income taxes |
Equity in |
Gain (Loss) |
Net income (loss) |
|||||||||||||||||||||||||||||||||||||||||||||
|
GAAP |
$ |
374,613 |
$ |
251,208 |
$ |
215,164 |
$ |
(21,228) |
(5.7) |
% |
$ |
(95,828) |
(38.1) |
% |
$ |
(182,911) |
(85.0) |
% |
$ |
(563,091) |
||||||||||||||||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
8point3 |
— |
(2,149) |
(6,188) |
— |
(2,149) |
(6,188) |
— |
— |
— |
— |
— |
(148) |
— |
(8,485) |
||||||||||||||||||||||||||||||||||||||||||||
|
Utility and power plant projects |
— |
(725) |
(2,619) |
— |
(769) |
(68) |
— |
— |
— |
— |
— |
— |
— |
(837) |
||||||||||||||||||||||||||||||||||||||||||||
|
Sale-leaseback transactions |
— |
16,798 |
— |
— |
(3,318) |
(80) |
— |
— |
— |
8,958 |
— |
— |
— |
5,560 |
||||||||||||||||||||||||||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Impairment of property, plant and equipment |
— |
— |
— |
92,543 |
103,759 |
158,804 |
12,832 |
1,230 |
— |
— |
— |
— |
— |
369,168 |
||||||||||||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
— |
— |
— |
(8,004) |
— |
— |
— |
117,361 |
— |
— |
— |
— |
(13,858) |
95,499 |
||||||||||||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
— |
— |
— |
10,078 |
12,100 |
13,191 |
— |
— |
— |
— |
— |
— |
— |
35,369 |
||||||||||||||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
— |
— |
— |
666 |
953 |
1,065 |
4,000 |
8,717 |
— |
— |
— |
— |
— |
15,401 |
||||||||||||||||||||||||||||||||||||||||||||
|
Amortization of intangible assets |
— |
— |
— |
1,969 |
1,433 |
1,533 |
— |
— |
— |
— |
— |
— |
— |
4,935 |
||||||||||||||||||||||||||||||||||||||||||||
|
Depreciation of idle equipment |
— |
— |
— |
224 |
216 |
281 |
— |
— |
— |
— |
— |
— |
— |
721 |
||||||||||||||||||||||||||||||||||||||||||||
|
Non-cash interest expense |
— |
— |
— |
— |
— |
— |
6 |
39 |
— |
— |
— |
— |
— |
45 |
||||||||||||||||||||||||||||||||||||||||||||
|
Restructuring expense |
— |
— |
— |
— |
— |
— |
— |
— |
14,681 |
— |
— |
— |
— |
14,681 |
||||||||||||||||||||||||||||||||||||||||||||
|
Tax effect |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
902 |
— |
— |
902 |
||||||||||||||||||||||||||||||||||||||||||||
|
Non-GAAP |
$ |
374,613 |
$ |
265,132 |
$ |
206,357 |
$ |
76,248 |
20.4 |
% |
$ |
16,397 |
6.2 |
% |
$ |
(14,373) |
(7.0) |
% |
$ |
(30,132) |
||||||||||||||||||||||||||||||||||||||
|
July 2, 2017 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Revenue |
Gross Profit / Margin |
Operating expenses |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
Other income |
Benefit from (provision for) income taxes |
Equity in |
Net income (loss) |
||||||||||||||||||||||||||||||||||||||||||||||
|
GAAP (As Reported) |
$ |
293,156 |
$ |
208,368 |
$ |
234,998 |
$ |
41,412 |
14.1 |
% |
$ |
209 |
0.1 |
% |
$ |
(57,318) |
(24.4) |
% |
$ |
(228,239) |
||||||||||||||||||||||||||||||||||||||
|
Adoption of ASC 606 |
(2,656) |
(11,096) |
(65,694) |
(975) |
2,847 |
(15,592) |
— |
— |
— |
(71,106) |
— |
2,824 |
(82,002) |
|||||||||||||||||||||||||||||||||||||||||||||
|
GAAP (As Adjusted) |
$ |
290,500 |
$ |
197,272 |
$ |
169,304 |
$ |
40,437 |
13.9 |
% |
$ |
3,056 |
1.5 |
% |
$ |
(72,910) |
(43.1) |
% |
$ |
(310,241) |
||||||||||||||||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
8point3 |
— |
15,232 |
(1,588) |
(5) |
(264) |
(238) |
— |
— |
— |
77,964 |
— |
(1,450) |
76,007 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Utility and power plant projects |
— |
328 |
42,519 |
— |
328 |
45,510 |
— |
— |
— |
— |
— |
— |
45,838 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Sale-leaseback transactions |
— |
26,968 |
30,437 |
— |
(4,890) |
(524) |
— |
— |
— |
3,667 |
— |
— |
(1,747) |
|||||||||||||||||||||||||||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
— |
— |
— |
9,082 |
12,132 |
30,427 |
— |
— |
— |
— |
— |
— |
51,641 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
— |
— |
— |
524 |
542 |
1,170 |
2,564 |
11,181 |
— |
— |
— |
— |
15,981 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Amortization of intangible assets |
— |
— |
— |
2,084 |
1,508 |
1,542 |
1,201 |
918 |
— |
— |
— |
7,253 |
||||||||||||||||||||||||||||||||||||||||||||||
|
Non-cash interest expense |
— |
— |
— |
6 |
5 |
9 |
8 |
42 |
— |
— |
— |
— |
70 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Restructuring expense |
— |
— |
— |
— |
— |
— |
— |
— |
14,759 |
— |
— |
— |
14,759 |
|||||||||||||||||||||||||||||||||||||||||||||
|
IPO-related costs |
(82) |
— |
(82) |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Tax effect |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
863 |
— |
863 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Non-GAAP |
$ |
290,500 |
$ |
239,800 |
$ |
240,672 |
$ |
52,128 |
17.9 |
% |
$ |
12,417 |
5.2 |
% |
$ |
4,986 |
2.1 |
% |
$ |
(99,658) |
||||||||||||||||||||||||||||||||||||||
View original content:http://www.prnewswire.com/news-releases/sunpower-reports-second-quarter-results-300688694.html
SOURCE SunPower Corp.
Article Date
7/30/20186/20/2018 - SolarStratos Aims to Reach Stratosphere More Than 80,000 Feet Above Earth Using SunPower® Solar Technology
SolarStratos Aims to Reach Stratosphere More Than 80,000 Feet Above Earth Using SunPower® Solar Technology
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., June 20, 2018 /PRNewswire/ -- SunPower (NASDAQ:SPWR), one of the world's most innovative and sustainable energy companies headquartered in California's Silicon Valley, has joined the Mission SolarStratos expedition as the exclusive solar cell provider for its aircraft. Within the next two years, SolarStratos is expected to be the first solar-powered plane to soar above the Earth's troposphere and into the stratosphere – flying twice as high as a commercial airliner's typical cruising altitude – without a drop of fossil fuel.
"SolarStratos has an opportunity to push the limits of what we think is humanly possible and prove that renewable energy has the capacity to power our lives while preserving our planet," said SolarStratos President and Pilot Raphael Domjan. "We are fortunate to energize SolarStratos with SunPower's industry-leading solar technology and look forward to further showcasing the value of innovative and reliable solar solutions for the world to see."
A passionate, award-winning adventurer with experience bringing record-breaking projects to fruition, Domjan was the founder and the expedition leader of PlanetSolar – also powered by SunPower solar technology – which became the first boat to sail around the world on solar energy alone in 2012. This September, Domjan will attempt his first world-record flight, reaching 33,000 feet in a SolarStratos prototype plane.
SunPower® Maxeon® solar cells were selected for SolarStratos aircrafts because they are highly efficient, durable, lightweight, and about as thin as a human hair. On the next generation SolarStratos plane, SunPower's 24-percent efficient cells will be incorporated into the wings and horizontal stabilizer to power an electrical engine and charge a 20-kilowatt hour (kWh) lithium-ion battery for energy supply when the sun is out of sight.
Next Generation SolarStratos Plane at a Glance
"Soaring at such heights requires an unprecedented level of solar performance and durability, making SunPower's unique solar technology a natural choice for SolarStratos," said Tom Werner, SunPower CEO and chairman of the board. "The plane features the same extraordinary cells as those found in our high efficiency solar panels powering homes and businesses here on land – a true testament to our innovation as a solar leader."
In addition to supporting SolarStratos and the solar boat PlanetSolar, SunPower has a pioneering legacy of powering unique solar projects. In 1993, SunPower's high-efficiency solar cells drove a Honda solar car to win the World Solar Challenge from Darwin to Adelaide in Australia a full day ahead of the second-place finisher. The company also worked with NASA to develop the unmanned Helios solar plane that flew to a record altitude of 96,863 feet, also powered by SunPower high-efficiency solar cells. Most recently, SunPower helped Solar Impulse 2 – a single-seater solar plane – complete its groundbreaking flight around the world with zero fuel, the first for an aircraft of its kind.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, product performance and efficiency, and project plans and timeline. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." A copy of this filing is available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and MAXEON are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks and logos are properties of their respective owners.
View original content with multimedia:http://www.prnewswire.com/news-releases/solarstratos-aims-to-reach-stratosphere-more-than-80-000-feet-above-earth-using-sunpower-solar-technology-300668144.html
SOURCE SunPower Corp.
Article Date
6/20/2018SunPower Introduces its Record-Breaking Efficiency Solar Panel for Residential Customers During Intersolar Europe 2018
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., June 18, 2018 /PRNewswire/ -- SunPower (NASDAQ:SPWR), one of the world's most innovative and sustainable energy companies, will formally introduce its highest efficiency X-Series residential solar panel this week during Intersolar Europe in Munich, Germany. At 370-watts and 22.7-percent efficiency, it is the most efficient solar panel that customers can buy for their home today.
"Building on over 30 years of experience and more than 9 gigawatts of solar generating clean energy worldwide, SunPower continues to raise the bar with record-setting solar technology," said Gabi Bunea, SunPower vice president, research and development. "By engineering greater efficiency solar panels, we can fit more watts on the roof in the same amount of space when compared to conventional solar, offering customers the best value for energy."
The 370-watt X-Series solar panel offers 60 percent more power than a conventional solar panel from the same amount of roof space over 25 years. It only takes 15 SunPower panels to produce as much energy as 22 conventional panels, which means homeowners require fewer panels to generate an equal amount of electricity. Made with third-generation SunPower® Maxeon® solar cells that are built on a solid metal foundation for high reliability and performance, SunPower panels are virtually impervious to the corrosion and cracking that typically degrade conventional panels allowing the company to offer an industry-leading 25-year Combined Power and Product Warranty.
"In mature solar markets such as Europe, our customers expect high-quality, proven technology, and we're meeting those demands with SunPower's record-setting solar panels," said Chris de Jong, director of Netherlands' Isogoed Duurzaam Besparen B.V. and one of SunPower's 1,400 installation partners operating around the world. "We look forward to helping more homeowners save on monthly electric bills with a growing range of high-efficiency, reliable solar solutions from SunPower."
In addition, this year SunPower is expanding its suite of residential solar solutions for homeowners in EMEA and parts of APAC with the P-19 Series (P-19) solar panel offering 19 percent efficiency, which is currently available to commercial customers in select APAC markets. Engineered with the same innovative shingled cell design as the 17-percent efficient P-Series solar panel used in commercial applications, P-19 uses monocrystaline PERC solar cells to generate up to 32 percent more energy in the same space over 25 years when compared to conventional panels. The P-19 solar panel is a lower cost option compared to SunPower's E-Series and X-Series panels, yet still delivers high quality and reliability to customers, and is also backed by SunPower's 25-year Combined Power and Product Warranty.
Visit booth A2.171 at Intersolar Europe in Germany from June 20 to 22 to speak with a SunPower expert or view the solar technology in person. To find out if the new 370-watt X-Series and P-19 solar panels are available in your area, contact your nearest SunPower installer or visit www.sunpower.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, cost savings, and product performance availability and efficiency. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." A copy of this filing is available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and MAXEON are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks and logos are properties of their respective owners.
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-introduces-its-record-breaking-efficiency-solar-panel-for-residential-customers-during-intersolar-europe-2018-300667146.html
SOURCE SunPower Corp.
Article Date
6/18/2018New sonnen and SunPower Program Brings Innovation and Superior Solar + Storage Technology Solutions to Residential Customers
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
LOS ANGELES, June 13, 2018 /PRNewswire/ -- sonnen, the global market leader in intelligent residential energy storage, today announced a program with SunPower, one of the world's most innovative and sustainable energy companies. The program sets a new standard in clean energy by offering the highest quality pairing of SunPower® Equinox™ home solar energy systems + sonnen's intelligent energy storage now available to residential customers across the U.S. through SunPower's participating installation contractors.
Both companies focus on quality, performance, innovation and customer satisfaction as the keys to enhancing the rapid adoption of clean energy technology. sonnen identified SunPower as one of the best-performing solar "full system" providers on the market with products like Equinox, a highly-efficient, all-in-one solar system that generates up to 60 percent more energy than conventional solar in the same space over a 25-year period.
With over 30,000 energy storage systems installed, sonnen's systems are smart, safe, the battery technology is warrantied to last significantly longer than most other energy storage systems, thus serving as the foundation for the company's energy management innovations. By combining sonnen + SunPower Equinox solar energy systems, homeowners are able to store energy, manage electricity usage and gain peace of mind with the ability to power their homes and even their communities with clean energy, even during power outages.
"SunPower is the solar industry's gold standard for superior solar products and services which fits perfectly with sonnen's leadership in developing intelligent and high performing residential energy storage systems," said Blake Richetta, Senior Vice President and head of sonnen's U.S. division. "This new program is an ideal marriage between two innovative companies who possess a similar vision to provide premium technology that leads us to a clean and reliable energy future. We are eager to integrate our products and systems with Equinox and offer a premier and comprehensive solution for the growing solar + storage marketplace."
"sonnen's high quality, intelligent residential storage solution is an industry leading product that passed SunPower's rigorous testing for compatibility with Equinox," said Norm Taffe, SunPower executive vice president, residential solar. "By enabling our dealer network to pair sonnen's reliable battery storage with SunPower's leading Equinox system, we are confident in our ability to meet growing consumer demand for solar-plus-storage and further adoption of sustainable technologies by homeowners across the country."
The program with SunPower marks yet another milestone achievement for sonnen, already recognized as the global leader in smart home energy management with over 30,000 systems installed. Recently, sonnen and Shell Ventures disclosed a $71 million USD strategic investment designed to meet the vision and goals of both companies to accelerate the global expansion and delivery of cleaner energy solutions. The relationship with SunPower follows this trend of sonnen identifying companies of the highest caliber to collaborate with in the advancement of renewable energy technologies and capabilities for broad-scale consumer adoption.
In order to accelerate the adoption of innovative solar + storage products in the U.S. market, sonnen relies on premier solar companies, such as SunPower, who provide customers with access to premium products, a highly-qualified dealer network, and a world-class customer experience. sonnen's all-in-one design not only seamlessly integrates into modern and tech-savvy homes, but also provides life-saving power to areas of critical need, such as hurricane ravaged Puerto Rico. sonnen is revolutionizing the way new homes are built across the U.S. by providing Virtual Power Plant (VPP) software that uniquely enables solar-powered neighborhoods to join together and pool clean energy resources, forming the sonnenCommunity.
About sonnen
At sonnen, we believe clean, affordable, and reliable energy for all is one of the greatest challenges of our time. sonnen is a proven global leader in intelligent energy management solutions that provide greater energy control for residential customers through increased solar self-consumption, reduced peak energy usage and reliable backup power during outages – contributing to a cleaner and more reliable energy future. sonnen has won several awards for its energy innovations, including the 2017 Zayed Future Energy Prize, MIT's Technology Review's 50 Smartest Companies in 2016, Global Cleantech 100 for 2015-2017, Greentech Media's 2016 Grid Edge Award for innovation, and Cleantech's 2015 Company of the Year Award in both Israel and Europe. www.sonnen-batterie.com
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, product performance, and ability to meet consumer demand. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." A copy of this filing is available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and EQUINOX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks and logos are properties of their respective owners.
View original content with multimedia:http://www.prnewswire.com/news-releases/new-sonnen-and-sunpower-program-brings-innovation-and-superior-solar--storage-technology-solutions-to-residential-customers-300665693.html
SOURCE sonnen
Article Date
6/13/2018US Residential Customers Can Now Choose from Several Battery Storage Options to Complement the SunPower® Equinox(TM) System
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., June 5, 2018 /PRNewswire/ -- According to an industry survey of nearly 600 solar installers across the United States, 30 percent of home solar shoppers in 2017 were also interested in battery storage. Researchers like IHS Markit expect that interest to grow, estimating that the installed base of U.S. residential battery energy storage will increase fourfold from 2018 to 2022. To meet current and future customer demand, SunPower (NASDAQ: SPWR) today announced that its all-in-one SunPower® Equinox™ home solar energy system is currently compatible with battery storage solutions from sonnen and Tesla through participating dealers.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/8252051-sunpower-equinox-home-solar-energy-system/
"By adding storage, homeowners can rest assured that they'll have a reliable source of backup energy to power essential devices and appliances during grid outages, and the opportunity to maximize electricity cost savings year-round," said Norm Taffe, SunPower executive vice president, residential solar. "While there are many energy storage products on the market, we have hand-picked sonnen and Tesla and ensured that they work harmoniously with the SunPower Equinox solution to deliver more dependable power and design appeal, giving our customers and dealers an opportunity to choose the battery option that best suits their needs."
New, innovative digital tool helps homeowners explore personalized solar and storage options
SunPower is also introducing an intuitive, quick, and easy-to-use solar-plus-storage calculator allowing interested customers to determine if solar and storage together is a fit for their lifestyle. Found at www.sunpower.com/residentialstorage or on participating dealer websites, the calculator will suggest the number of solar panels and batteries required to reach a homeowner's electric bill savings, energy mix, or backup power goals based on monthly electricity use. Homeowners can virtually add or remove solar panels and batteries to assess various system configurations, while savings estimates update in near real-time based on local utility rates.
"As a leader in residential solar, SunPower is committed to simplifying solar for customers, whether it's with innovative systems like SunPower Equinox, or new digital tools like the solar-and-storage calculator which, in an industry-first, allows customers to see how future or current electric vehicle charging will affect system size and savings," Taffe continued.
More than 50,000 SunPower Equinox systems are currently installed and operating in the US
Compared to conventional solar, a SunPower Equinox system generates up to 60 percent more energy in the same space over 25 years using the world's most efficient solar panels available. Since its launch in 2016, over 50,000 Equinox systems have been installed and commissioned with nearly 60 percent of those deployed within the last year – more than 75 per day. Recent upgrades include higher-efficiency 350 and 370-watt solar panels with smart microinverters that meet code requirements in all 50 states and allow for advanced grid interaction. About 500 Equinox solutions have been paired with storage to date.
"SunPower has a decade of experience monitoring nearly 1.7 gigawatts of solar projects to best understand how they perform, giving us a unique advantage when maximizing the value of solar-plus-storage solutions for our customers," Taffe said. "We've used these key learnings to ensure that SunPower Equinox delivers maximum savings and uptime to residential customers when combined with storage."
Initially, SunPower Equinox will be compatible with sonnen storage solutions in the continental U.S. and Tesla storage solutions nationwide. Interested customers should contact their local SunPower installation contractor to explore available storage options. SunPower Equinox systems are backed by a 25-year industry-leading, complete confidence warranty. Storage warranties will vary by manufacturer.
For more, visit the latest SunPower blog post, "Bottle the Sun™ With Home Solar-Plus-Storage," or visit www.sunpower.com/residentialstorage.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SUNPOWER FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected product performance, cost savings, and energy output. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and EQUINOX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are the properties of their respective owners.
View original content:http://www.prnewswire.com/news-releases/us-residential-customers-can-now-choose-from-several-battery-storage-options-to-complement-the-sunpower-equinox-system-300659556.html
SOURCE SunPower Corp.
Article Date
6/5/2018PowerOptions, SunPower Offer Cutting-Edge Solar-Plus-Storage Program Bringing Savings and Opportunity to Nonprofits, Public Entities
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., May 31, 2018 /PRNewswire/ -- PowerOptions and SunPower (NASDAQ:SPWR) announced an innovative program today that will provide solar power and battery storage solutions to nonprofit and government institutions in New England, allowing them to maximize energy cost savings as well as store the electricity produced by solar and use it when it's needed most.
As part of the new program, SunPower will construct and operate solar facilities on customer sites and provide power from the facilities under a 20-year power purchase agreement (PPA). Customers will have no upfront costs or maintenance responsibilities and pay a fixed price for the electricity, which is typically below the utility-delivered price for power. State and federal incentives will also help minimize the price of electricity under a contract with strong customer protections.
Customers will also have an option for battery storage with SunPower's Helix™ Storage solution to store solar energy for use during peak periods to help further protect members against paying high utility demand charges.
"This is a huge step forward for our solar efforts and an innovative solution that helps nonprofits get access to the least expensive energy when they need it most," said PowerOptions President and CEO Cynthia Arcate. "Under our past programs, we developed about 65 megawatts of solar for our members. This agreement allows us to continue that work but with the added benefit of energy storage with the leading commercial solar provider in the nation. We're very pleased to be working with SunPower on this very important program."
"By working with PowerOptions, SunPower looks forward to offering members reliable, fully-integrated solar and storage solutions designed to maximize their energy savings," said Chris Cantone, SunPower's commercial director for the East Coast. "New England is a progressive market for renewable energy and SunPower is invested in its growth with an office in Boston, home to about 20 solar experts that help customers in the Northeast see the complete benefits of solar."
PowerOptions members include some of the most prestigious area nonprofit institutions, such as hospitals, universities and museums, as well as social service agencies, housing authorities, and cities and towns.
"The City of Melrose has been considering a solar canopy for the parking lot at Melrose High School, and this new PowerOptions program provides an opportunity for us to move quickly with our project to take advantage of current incentives," said Melrose Energy Manager Martha Grover. "Since 2012, PowerOptions has worked with the city to save money on our energy supply, and we trust their negotiating skills and expertise to offer us a program with a good price and beneficial contract terms."
PowerOptions selected SunPower in a competitive RFP procurement process. "We reviewed proposals from many of the biggest area solar providers, and SunPower demonstrated a commitment to partner with PowerOptions members, both large and small, to provide optimal solar solutions and the qualifications to complete these large projects, from design through construction to completion," added Arcate.
About PowerOptions
Established in 1998, PowerOptions is a nonprofit energy buying consortium that delivers cost savings and predictability to nonprofits and the public sector in Massachusetts, Connecticut and Rhode Island. With nearly 500 members, our collective strength yields optimal pricing and stability for our entire membership of organizations both large and small. Any nonprofit or public entity is eligible to join PowerOptions and benefit from our programs for electricity supply, natural gas supply and solar. For more information, go to www.poweroptions.org.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SUNPOWER FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans, product performance, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are the properties of their respective owners.
View original content with multimedia:http://www.prnewswire.com/news-releases/poweroptions-sunpower-offer-cutting-edge-solar-plus-storage-program-bringing-savings-and-opportunity-to-nonprofits-public-entities-300657014.html
SOURCE SunPower Corp.
Article Date
5/31/20185/8/2018 - SunPower Reports First Quarter Results
SunPower Reports First Quarter Results
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., May 8, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its first quarter ended April 1, 2018.
|
($ Millions, except percentages and per-share data) |
1st Quarter 2018 |
4th Quarter 20173 |
1st Quarter 20173 |
|
GAAP revenue |
$391.9 |
$651.1 |
$329.1 |
|
GAAP gross margin |
2.6% |
(2.1)% |
(13.9)% |
|
GAAP net loss |
$(116.0) |
$(572.7) |
$(219.7) |
|
GAAP net loss per diluted share |
$(0.83) |
$(4.10) |
$(1.58) |
|
Non-GAAP revenue1 |
$398.9 |
$824.0 |
$429.5 |
|
Non-GAAP gross margin1,2 |
6.5% |
11.9% |
6.5% |
|
Non-GAAP net income (loss)1,2 |
$(28.2) |
$35.8 |
$(50.4) |
|
Non-GAAP net income (loss) per diluted share1,2 |
$(0.20) |
$0.25 |
$(0.36) |
|
Adjusted EBITDA1,2 |
$32.3 |
$100.3 |
$8.6 |
|
Operating cash flow |
$(233.3) |
$47.9 |
$(126.9) |
|
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
|
2 Excludes polysilicon costs related to above market polysilicon contracts. |
|
3 The company adopted the new revenue recognition standard effective January 1, 2018. The prior periods presented here have been restated to reflect adoption of the new standard. |
"Our solid execution, ability to meet project deadlines and commitment to controlling costs enabled us to exceed our forecasts across all of our business segments," said Tom Werner, SunPower CEO and chairman of the board. "In our distributed generation business (DG), we continued to gain share in both our residential and commercial end markets as we saw strong demand throughout the quarter. In commercial, we completed and sold a number of key projects including our 7-megawatt (MW) Joint Base Anacostia-Bolling (JBAB) project as well as our 4-MW carport, rooftop and ground system for Campbell Soup. Additionally, interest in our recently launched Helix commercial storage solution remained strong as we added to our pipeline during the quarter. Demand for our high quality, industry leading residential solutions was also robust as we exceeded plan in all core markets with our U.S. residential business posting record first quarter results. In our power plant business, we executed well as we met our project milestones including the sale of our 126-MW Guajiro development project in Mexico to Atlas Renewables. Finally, we further expanded the global footprint of our SunPower Solutions (SPS) group as first quarter shipments exceeded 100 MW and we remain on plan to deploy up to 1 gigawatt (GW) in SPS this year.
"In our upstream business, we achieved our cost reduction targets and our Fabs remain at 100 percent utilization. We also continued tool installation for our first full-scale Next Generation Technology (NGT) production line at Fab 3 with first silicon expected in June and volume production planned in the fourth quarter.
"Over a year ago, we embarked on a program to transform the company through the implementation of a number of key operational and strategic initiatives. Operationally, our goal was to improve cash flow, delever the balance sheet, divest certain assets, reduce operating expenses and simplify our financial reporting. Strategically, our initiatives have focused on improving our competitive position in a challenging industry environment while structuring the company for sustained profitability. As a result, we made the decision to sell our remaining power plant development assets, expand our global equipment sales business through our SPS group and reallocate resources to our faster growing, higher margin global DG business. Additionally, we committed to investing in those areas that offer further differentiation and growth potential including our industry leading cell and panel technology, our solar-plus-storage offerings, as well as our complete solutions product suite.
"Given the strong progress of our transformation initiatives over the last 12 months, we have now turned our efforts to the next phase of our strategy: optimizing our corporate structure to further reduce costs, improve financial transparency and better position the company for sustained profitability. As a result of these efforts, we believe that a model that more closely aligns us towards an upstream and downstream business unit structure offers us significant opportunities to maximize our core strengths in manufacturing, technology and products while streamlining decision making and simplifying our financial reporting.
"Specifically, in upstream we will focus our efforts on further leveraging our proprietary back contact cell technology, including NGT, as well as the continued ramp of our unique P-Series product which we expect to reach multi-GW scale by the end of this year. Also, with the recent announcement of our planned acquisition of SolarWorld Americas, we expect to expand our U.S. manufacturing footprint, adding additional cell and module capacity to serve growing demand in North America. With a broad portfolio of high efficiency, high quality DG product offerings, we believe we can capture greater market share and superior margins in the residential and commercial segments due to our differentiated technology attributes. In relation to the downstream, we plan on increasing investment in our U.S. DG business while leveraging our SPS group to continue to meet the demand of our global power plant and DG customer base. With the DG industry forecasted to grow by 40 percent over the next five years, our extensive product portfolio, solar-plus-storage offerings and a strong global power plant and rooftop channel strategy through SPS, we believe the transition to our new business unit structure will position us to drive long term, sustained financial success for our shareholders.
"Finally, we are progressing on our corporate initiatives to delever our balance sheet. For example, the sale of our ownership stake in 8point3 Energy Partners remains on plan with the shareholder vote on the proposed transaction scheduled for May 23, 2018. Also, we expect to monetize more than 400 MW of SunPower leases that we currently hold on our balance sheet over the coming quarters. In addition, we are in the process of actively divesting our North America power plant development assets in order to focus exclusively on leveraging our SPS group for power plant equipment sales. We believe these actions, as well as others, will materially increase our liquidity, improve cash flow and simplify our financial statements," concluded Werner.
"Our strong first quarter performance was driven by solid execution in all markets while prudently managing expenses," said Chuck Boynton, SunPower chief financial officer. "Financially, our efforts remain focused on improving cash flow, managing our working capital and executing on our restructuring initiatives. With our asset monetization plans on track and continued cost control, we are well positioned to retire our $300 million convert in June as well as having the resources to fund our growth plans this year."
First quarter fiscal 2018 non-GAAP results exclude net adjustments that, in the aggregate, improved non-GAAP earnings by $87.8 million, including $1.4 million related to sale-leaseback transactions, $45.1 million related to impairment of residential lease assets, $18.7 million related to cost of above market polysilicon, $11.2 million related to restructuring expense, $8.8 million related to stock-based compensation expense, and $2.6 million related to intangibles.
Financial Outlook
The company's second quarter GAAP guidance is as follows: revenue of $360 million to $410 million, gross margin of 2.5 percent to 4.5 percent and a net loss of $125 million to $100 million. Second quarter 2018 GAAP guidance includes the impact of revenue and timing deferrals due to sale-leaseback transactions as well as charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $375 million to $425 million, gross margin of 6 percent to 8 percent, Adjusted EBITDA of $10 million to $35 million and megawatts deployed in the range of 350 MW to 380 MW. Second quarter non-GAAP guidance reflects timing differences related to the revenue recognition of certain power plant projects during the quarter.
Also, the company now expects fiscal year 2018 Adjusted EBITDA to be in the range of $75 to $125 million. Fiscal year 2018 Adjusted EBITDA guidance assumes a $55 million negative impact related to tariffs associated with the section 201 trade case as well as a reduction of approximately $50 million of non-controlling interest income resulting from the anticipated sale of the company's lease portfolio in the second half of the year. On a comparative basis under the same assumptions, the company expects 10 to 15 percent year-over-year growth in 2018 Adjusted EBITDA.
The company will host a conference call for investors this afternoon to discuss its first quarter 2018 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2018 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) expectations regarding demand and project and order pipelines; (b) our plans and expectations regarding manufacturing expansion, production goals, product focus and production ramps, and cost reduction efforts; (c) our strategic goals and plans, and our ability to achieve them; (d) our plans to optimize our corporate structure, reduce and control costs, improve financial transparency, maximize our core strengths, position our company for sustained profitability, streamline decision making, and the impact of these initiatives on our financial performance; (e) our expectations and plans regarding product focus, growth and market share, profitability, margins, and financial performance in each of our business lines; (f) our plans expansion of our U.S. distributed generation and SunPower Solutions business lines, and our ability to meet global demand; (g) our plans to invest in technologies and strategic initiatives and allocate resources; (h) our plans to align into upstream and downstream business units, and the financial impacts of such plans; (i) our expectations regarding our restructuring plan and associated initiatives, including plans to delever our balance sheet and complete planned divestiture transactions, and the impact of these initiatives on our liquidity, financial performance, cash flow, and operating expenses; (j) our ability to successfully complete key strategic transactions, including the sale of our remaining power plant development assets, the sale of our interest in 8point3 Partners, our planned monetization of our lease portfolio and associated accounting charges, and our expectations regarding the timing and proceeds of such transactions, and their impact on our liquidity, cash flow, and financial statements; (k) our plans and expectations with respect to acquisition and expansion activities, including the planned SolarWorld Americas acquisition; (l) our positioning for future success, long-term competitiveness, and our ability to return to sustained profitability; (m) our ability to retire our 2018 convertible bonds, and fund our planned growth initiatives; (n) our expectations for the solar industry and the markets we serve, including market conditions, tariff and associated impacts, demand and focus, and long-term prospects; (o) our second quarter fiscal 2018 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed, including related assumptions; and (p) fiscal year 2018 guidance, Adjusted EBITDA, including related assumptions and projected year over year growth. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition and applicability of tariffs pursuant to the Section 201 trade action and the process for exemptions; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that we may not be able to successfully monetize our interest in 8point3 Energy Partners; and (12) our ability to successfully implement actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring plan and associated initiatives, including plans to sell projects, monetize assets, and streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Apr. 1, |
Dec. 31, | ||
|
2018 |
2017 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 260,672 |
$ 435,097 | |
|
Restricted cash and cash equivalents, current portion |
34,667 |
43,709 | |
|
Accounts receivable, net |
190,795 |
204,966 | |
|
Contract assets |
58,636 |
35,074 | |
|
Inventories |
354,611 |
352,829 | |
|
Advances to suppliers, current portion |
93,744 |
30,689 | |
|
Project assets - plants and land, current portion |
72,767 |
103,063 | |
|
Prepaid expenses and other current assets |
139,071 |
146,209 | |
|
Total current assets |
1,204,963 |
1,351,636 | |
|
Restricted cash and cash equivalents, net of current portion |
67,230 |
65,531 | |
|
Restricted long-term marketable securities |
5,959 |
6,238 | |
|
Property, plant and equipment, net |
1,137,083 |
1,147,845 | |
|
Solar power systems leased and to be leased, net |
377,012 |
369,218 | |
|
Advances to suppliers, net of current portion |
117,096 |
185,299 | |
|
Long-term financing receivables, net |
341,619 |
330,672 | |
|
Goodwill and other intangible assets, net |
23,512 |
25,519 | |
|
Other long-term assets |
508,249 |
546,698 | |
|
Total assets |
$ 3,782,723 |
$ 4,028,656 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 334,201 |
$ 406,902 | |
|
Accrued liabilities |
184,846 |
229,208 | |
|
Contract liabilities, current portion |
86,226 |
104,286 | |
|
Short-term debt |
59,583 |
58,131 | |
|
Convertible debt, current portion |
299,875 |
299,685 | |
|
Total current liabilities |
964,731 |
1,098,212 | |
|
Long-term debt |
431,655 |
430,634 | |
|
Convertible debt |
816,930 |
816,454 | |
|
Contract liabilities, net of current portion |
156,510 |
171,610 | |
|
Other long-term liabilities |
817,540 |
804,122 | |
|
Total liabilities |
3,187,366 |
3,321,032 | |
|
Redeemable noncontrolling interests in subsidiaries |
14,105 |
15,236 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
141 |
140 | |
|
Additional paid-in capital |
2,449,907 |
2,442,513 | |
|
Accumulated deficit |
(1,785,927) |
(1,669,897) | |
|
Accumulated other comprehensive loss |
(897) |
(3,008) | |
|
Treasury stock, at cost |
(186,065) |
(181,539) | |
|
Total stockholders' equity |
477,159 |
588,209 | |
|
Noncontrolling interests in subsidiaries |
104,093 |
104,179 | |
|
Total equity |
581,252 |
692,388 | |
|
Total liabilities and equity |
$ 3,782,723 |
$ 4,028,656 | |
|
SUNPOWER CORPORATION | ||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||
|
(In thousands, except per share data) | ||||||
|
(Unaudited) | ||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | ||||
|
2018 |
2017 |
2017 | ||||
|
Revenue: |
||||||
|
Residential |
$ 169,432 |
$ 174,322 |
$ 134,694 | |||
|
Commercial |
123,336 |
144,003 |
105,446 | |||
|
Power Plant |
99,120 |
332,809 |
88,955 | |||
|
Total revenue |
391,888 |
651,134 |
329,095 | |||
|
Cost of revenue: |
||||||
|
Residential |
141,390 |
164,817 |
119,920 | |||
|
Commercial |
118,023 |
171,221 |
105,600 | |||
|
Power Plant |
122,227 |
328,689 |
149,159 | |||
|
Total cost of revenue |
381,640 |
664,727 |
374,679 | |||
|
Gross profit (loss) |
10,248 |
(13,593) |
(45,584) | |||
|
Operating expenses: |
||||||
|
Research and development |
18,891 |
19,823 |
20,515 | |||
|
Selling, general and administrative |
65,130 |
72,526 |
67,403 | |||
|
Restructuring charges |
11,177 |
2,769 |
9,790 | |||
|
Impairment of residential lease assets |
49,092 |
624,335 |
- | |||
|
Total operating expenses |
144,290 |
719,453 |
97,708 | |||
|
Operating loss |
(134,042) |
(733,046) |
(143,292) | |||
|
Other income (expense), net: |
||||||
|
Interest income |
529 |
139 |
938 | |||
|
Interest expense |
(25,106) |
(24,851) |
(20,902) | |||
|
Other, net |
15,794 |
1,468 |
(74,088) | |||
|
Other expense, net |
(8,783) |
(23,244) |
(94,052) | |||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(142,825) |
(756,290) |
(237,344) | |||
|
Benefit from (provision for) income taxes |
(2,628) |
2,870 |
(2,031) | |||
|
Equity in earnings (loss) of unconsolidated investees |
(2,144) |
(146) |
2,488 | |||
|
Net loss |
(147,597) |
(753,566) |
(236,887) | |||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
31,623 |
180,915 |
17,161 | |||
|
Net loss attributable to stockholders |
$ (115,974) |
$ (572,651) |
$ (219,726) | |||
|
Net loss per share attributable to stockholders: |
||||||
|
- Basic |
$ (0.83) |
$ (4.10) |
$ (1.58) | |||
|
- Diluted |
$ (0.83) |
$ (4.10) |
$ (1.58) | |||
|
Weighted-average shares: |
||||||
|
- Basic |
140,212 |
139,613 |
138,902 | |||
|
- Diluted |
140,212 |
139,613 |
138,902 | |||
|
SUNPOWER CORPORATION | |||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
|
(In thousands) | |||||||
|
(Unaudited) | |||||||
|
THREE MONTHS ENDED | |||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | |||||
|
2018 |
2017 |
2017 | |||||
|
Cash flows from operating activities: |
|||||||
|
Net loss |
$ (147,597) |
$ (753,566) |
$ (236,887) | ||||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|||||||
|
Depreciation and amortization |
39,833 |
54,291 |
41,247 | ||||
|
Stock-based compensation |
7,053 |
9,294 |
7,375 | ||||
|
Non-cash interest expense |
4,443 |
5,837 |
2,958 | ||||
|
Impairment of equity method investment |
- |
7,993 |
72,964 | ||||
|
Dividend from 8point3 Energy Partners LP |
5,399 |
7,859 |
7,192 | ||||
|
Equity in earnings of unconsolidated investees |
2,144 |
146 |
(2,488) | ||||
|
Gain on sale of equity method investment |
(15,576) |
(5,346) |
- | ||||
|
Deferred income taxes |
(344) |
(8,541) |
227 | ||||
|
Impairment of residential lease assets |
49,092 |
624,335 |
- | ||||
|
Other, net |
972 |
(3,881) |
4,777 | ||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||||
|
Accounts receivable |
13,924 |
(40,469) |
50,651 | ||||
|
Contract assets |
(23,561) |
7,104 |
12,401 | ||||
|
Inventories |
(34,195) |
28,776 |
(40,004) | ||||
|
Project assets |
20,484 |
71,536 |
32,260 | ||||
|
Prepaid expenses and other assets |
10,885 |
14,103 |
33,264 | ||||
|
Long-term financing receivables, net |
(38,114) |
(32,308) |
(30,584) | ||||
|
Advances to suppliers |
5,149 |
16,075 |
13,701 | ||||
|
Accounts payable and other accrued liabilities |
(100,156) |
4,281 |
(198,909) | ||||
|
Contract liabilities |
(33,097) |
40,373 |
102,962 | ||||
|
Net cash provided by (used in) operating activities |
(233,262) |
47,892 |
(126,893) | ||||
|
Cash flows from investing activities: |
|||||||
|
Purchases of property, plant and equipment |
(8,859) |
(12,177) |
(27,877) | ||||
|
Cash paid for solar power systems, leased and to be leased |
(23,787) |
(22,007) |
(18,217) | ||||
|
Cash paid for solar power systems |
(2,604) |
(88,306) |
(4,605) | ||||
|
Dividend from 8point3 Energy Partners LP |
2,694 |
- |
- | ||||
|
Dividend from equity method investees |
- |
882 |
- | ||||
|
Proceeds from sale of equity method investment |
27,282 |
5,954 |
- | ||||
|
Cash paid for investments in unconsolidated investees |
(6,349) |
(2,680) |
(10,142) | ||||
|
Net cash used in investing activities |
(11,623) |
(118,334) |
(60,841) | ||||
|
Cash flows from financing activities: |
|||||||
|
Proceeds from bank loans and other debt |
49,794 |
56,104 |
110,763 | ||||
|
Repayment of bank loans and other debt |
(51,052) |
(54,755) |
(129,027) | ||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
32,687 |
6,435 |
20,580 | ||||
|
Repayment of non-recourse residential financing |
(3,781) |
(2,133) |
(1,298) | ||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
36,726 |
55,591 |
49,030 | ||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(5,422) |
(5,200) |
(3,763) | ||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
9,104 |
209,222 |
121,818 | ||||
|
Repayment of non-recourse power plant and commercial financing |
(890) |
(27,463) |
(28,964) | ||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(4,526) |
(366) |
(4,062) | ||||
|
Net cash provided by financing activities |
62,640 |
237,435 |
135,077 | ||||
|
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents |
477 |
(609) |
788 | ||||
|
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents |
(181,768) |
166,384 |
(51,869) | ||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
544,337 |
377,953 |
514,212 | ||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 362,569 |
$ 544,337 |
$ 462,343 | ||||
|
Non-cash transactions: |
|||||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
$ 14,354 |
$ 15,296 |
$ 13,389 | ||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
$ 5,835 |
$ 5,527 |
$ 3,169 | ||||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
$ 9,791 |
$ 44,490 |
$ 52,917 | ||||
|
Property, plant and equipment acquisitions funded by liabilities |
$ 12,768 |
$ 15,706 |
$ 44,966 | ||||
|
Contractual obligations satisfied with inventory |
$ 17,517 |
$ 14,820 |
$ - | ||||
|
Assumption of debt by buyer upon sale of equity interest |
$ 27,321 |
$ - |
$ - | ||||
|
Assumption of debt by buyer upon sale of projects |
$ - |
$ 196,104 |
$ - | ||||
Impact to Previously Reported Results
Adoption of ASC 606 impacted our previously reported results as follows:
|
SUNPOWER CORPORATION | ||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||
|
(In thousands, except per share data) | ||||||
|
(Unaudited) | ||||||
|
Three Months Ended December 31, 2017 | ||||||
|
As Reported |
Adoption of ASC 606 |
As Adjusted | ||||
|
Revenue: |
||||||
|
Residential |
$ 175,652 |
$ (1,330) |
$ 174,322 | |||
|
Commercial |
147,559 |
(3,556) |
144,003 | |||
|
Power Plant |
334,889 |
(2,080) |
332,809 | |||
|
Total revenue |
658,100 |
(6,966) |
651,134 | |||
|
Cost of revenue: |
||||||
|
Residential |
165,683 |
(866) |
164,817 | |||
|
Commercial |
174,948 |
(3,727) |
171,221 | |||
|
Power Plant |
332,701 |
(4,012) |
328,689 | |||
|
Total cost of revenue |
673,332 |
(8,605) |
664,727 | |||
|
Gross profit (loss) |
(15,232) |
1,639 |
(13,593) | |||
|
Operating loss |
(734,685) |
1,639 |
(733,046) | |||
|
Other expense, net |
(16,179) |
(7,065) |
(23,244) | |||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(750,864) |
(5,426) |
(756,290) | |||
|
Equity in earnings (loss) of unconsolidated investees |
(1,598) |
1,452 |
(146) | |||
|
Net loss |
(749,592) |
(3,974) |
(753,566) | |||
|
Net loss attributable to stockholders |
$ (568,677) |
$ (3,974) |
$ (572,651) | |||
|
Net loss per share attributable to stockholders: |
||||||
|
- Basic |
$ (4.07) |
$ (0.03) |
$ (4.10) | |||
|
- Diluted |
$ (4.07) |
$ (0.03) |
$ (4.10) | |||
|
Three Months Ended October 1, 2017 | ||||||
|
As Reported |
Adoption of ASC 606 |
As Adjusted | ||||
|
Revenue: |
||||||
|
Residential |
$ 153,258 |
$ (1,345) |
$ 151,913 | |||
|
Commercial |
106,005 |
8,407 |
114,412 | |||
|
Power Plant |
217,928 |
1,583 |
219,511 | |||
|
Total revenue |
477,191 |
8,645 |
485,836 | |||
|
Cost of revenue: |
||||||
|
Residential |
126,614 |
(867) |
125,747 | |||
|
Commercial |
99,988 |
6,718 |
106,706 | |||
|
Power Plant |
234,931 |
(2,837) |
232,094 | |||
|
Total cost of revenue |
461,533 |
3,014 |
464,547 | |||
|
Gross profit |
15,658 |
5,631 |
21,289 | |||
|
Operating loss |
(76,953) |
5,631 |
(71,322) | |||
|
Other expense, net |
(22,668) |
936 |
(21,732) | |||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(99,621) |
6,567 |
(93,054) | |||
|
Equity in earnings (loss) of unconsolidated investees |
15,308 |
1,451 |
16,759 | |||
|
Net loss |
(78,856) |
8,018 |
(70,838) | |||
|
Net loss attributable to stockholders |
$ (54,247) |
$ 8,018 |
$ (46,229) | |||
|
Net loss per share attributable to stockholders: |
||||||
|
- Basic |
$ (0.39) |
$ 0.06 |
$ (0.33) | |||
|
- Diluted |
$ (0.39) |
$ 0.06 |
$ (0.33) | |||
|
Three Months Ended July 2, 2017 | ||||||
|
As Reported |
Adoption of ASC 606 |
As Adjusted | ||||
|
Revenue: |
||||||
|
Gross profit |
$ 157,125 |
$ (1,319) |
$ 155,806 | |||
|
Commercial |
100,105 |
(8,279) |
91,826 | |||
|
Power Plant |
80,216 |
133 |
80,349 | |||
|
Total revenue |
337,446 |
(9,465) |
327,981 | |||
|
Cost of revenue: |
||||||
|
Residential |
130,987 |
(844) |
130,143 | |||
|
Commercial |
97,530 |
(8,914) |
88,616 | |||
|
Power Plant |
93,694 |
(639) |
93,055 | |||
|
Total cost of revenue |
322,211 |
(10,397) |
311,814 | |||
|
Gross profit |
15,235 |
932 |
16,167 | |||
|
Operating loss |
(78,191) |
932 |
(77,259) | |||
|
Other expense, net |
(37,727) |
925 |
(36,802) | |||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(115,918) |
1,857 |
(114,061) | |||
|
Equity in earnings (loss) of unconsolidated investees |
5,449 |
1,388 |
6,837 | |||
|
Net loss |
(112,822) |
3,245 |
(109,577) | |||
|
Net loss attributable to stockholders |
$ (93,760) |
$ 3,245 |
$ (90,515) | |||
|
Net loss per share attributable to stockholders: |
||||||
|
- Basic |
$ (0.67) |
$ 0.02 |
$ (0.65) | |||
|
- Diluted |
$ (0.67) |
$ 0.02 |
$ (0.65) | |||
|
SUNPOWER CORPORATION | |||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||
|
(In thousands, except per share data) | |||||
|
(Unaudited) | |||||
|
Three Months Ended December 31, 2017 | |||||
|
As Reported |
Adoption of ASC 606 |
As Adjusted | |||
|
Net loss |
$ (749,592) |
$ (3,974) |
$ (753,566) | ||
|
Adjustments to reconcile net loss to net cash provided by operating activities: |
|||||
|
Depreciation and amortization |
55,157 |
(866) |
54,291 | ||
|
Impairment of equity method investment |
- |
7,993 |
7,993 | ||
|
Equity in loss (earnings) of unconsolidated investees |
1,598 |
(1,452) |
146 | ||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||
|
Accounts receivable |
(35,234) |
(5,235) |
(40,469) | ||
|
Costs and estimated earnings in excess of billings |
1,026 |
(1,026) |
- | ||
|
Contract assets |
- |
7,104 |
7,104 | ||
|
Project assets |
81,177 |
(9,641) |
71,536 | ||
|
Prepaid expenses and other assets |
8,240 |
5,863 |
14,103 | ||
|
Long-term financing receivables, net |
(32,343) |
35 |
(32,308) | ||
|
Accounts payable and other accrued liabilities |
36,272 |
(31,991) |
4,281 | ||
|
Billings in excess of costs and estimated earnings |
270 |
(270) |
- | ||
|
Customer advances |
6,913 |
(6,913) |
- | ||
|
Contract liabilities |
- |
40,373 |
40,373 | ||
|
Net cash provided by operating activities |
47,892 |
- |
47,892 | ||
|
Net increase in cash, cash equivalents, restricted cash and restricted cash equivalents |
166,384 |
- |
166,384 | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
377,953 |
- |
377,953 | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 544,337 |
$ - |
$ 544,337 | ||
|
Three Months Ended October 1, 2017 | |||||
|
As Reported |
Adoption of ASC 606 |
As Adjusted | |||
|
Net loss |
$ (78,856) |
$ 8,018 |
$ (70,838) | ||
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|||||
|
Depreciation and amortization |
46,188 |
(868) |
45,320 | ||
|
Equity in earnings of unconsolidated investees |
(15,308) |
(1,451) |
(16,759) | ||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||
|
Accounts receivable |
10,331 |
1,465 |
11,796 | ||
|
Costs and estimated earnings in excess of billings |
394 |
(394) |
- | ||
|
Contract assets |
- |
(6,625) |
(6,625) | ||
|
Project assets |
(2,194) |
6,748 |
4,554 | ||
|
Prepaid expenses and other assets |
11,525 |
(463) |
11,062 | ||
|
Long-term financing receivables, net |
(28,984) |
23 |
(28,961) | ||
|
Accounts payable and other accrued liabilities |
(20,495) |
(6,523) |
(27,018) | ||
|
Billings in excess of costs and estimated earnings |
(3,269) |
3,269 |
- | ||
|
Customer advances |
1,556 |
(1,556) |
- | ||
|
Contract liabilities |
- |
(1,643) |
(1,643) | ||
|
Net cash used in operating activities |
(26,612) |
- |
(26,612) | ||
|
Net decrease in cash, cash equivalents, restricted cash and restricted cash equivalents |
(23,070) |
- |
(23,070) | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
401,023 |
- |
401,023 | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 377,953 |
$ - |
$ 377,953 | ||
|
Three Months Ended July 2, 2017 | |||||
|
As Reported |
Adoption of ASC 606 |
As Adjusted | |||
|
Net loss |
$ (112,822) |
$ 3,245 |
$ (109,577) | ||
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|||||
|
Depreciation and amortization |
45,269 |
(845) |
44,424 | ||
|
Equity in earnings of unconsolidated investees |
(5,449) |
(1,387) |
(6,836) | ||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||
|
Accounts receivable |
(27,224) |
4,055 |
(23,169) | ||
|
Costs and estimated earnings in excess of billings |
1,859 |
(1,859) |
- | ||
|
Contract assets |
- |
(2,220) |
(2,220) | ||
|
Project assets |
(97,022) |
(8,935) |
(105,957) | ||
|
Prepaid expenses and other assets |
53,852 |
(1,751) |
52,101 | ||
|
Long-term financing receivables, net |
(31,872) |
51 |
(31,821) | ||
|
Accounts payable and other accrued liabilities |
(9,754) |
15,050 |
5,296 | ||
|
Billings in excess of costs and estimated earnings |
(4,411) |
4,411 |
- | ||
|
Customer advances |
13,294 |
(13,294) |
- | ||
|
Contract liabilities |
- |
3,479 |
3,479 | ||
|
Net cash used in operating activities |
(161,799) |
- |
(161,799) | ||
|
Net decrease in cash, cash equivalents, restricted cash and restricted cash equivalents |
(61,320) |
- |
(61,320) | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
462,343 |
- |
462,343 | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 401,023 |
$ - |
$ 401,023 | ||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross profit/margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross profit/margin includes adjustments relating to impairment of residential lease assets, cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, depreciation of idle equipment, and non-cash interest expense, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to, restructuring expense, IPO-related costs, the tax effect of these non-GAAP adjustments, and other items, each as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 previously based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. Prior to the adoption of ASC 606, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. The company adopted ASC 606 on January 1, 2018, using the full retrospective method, which required the company to restate each prior period presented. The company recorded a material amount of deferred profit associated with projects sold to 8point3 in 2015, the majority of which had previously been deferred under real estate accounting. Accordingly, the company's carrying value in the 8point3 materially increased upon adoption which required the company to evaluate its investment in 8point3 for other-than-temporary impairment ("OTTI"). In accordance with such evaluation, the company recognized a non-cash impairment charge on the 8point3 investment balance in the prior periods that were affected.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||
|
(In thousands, except percentages and per share data) | ||||||
|
(Unaudited) | ||||||
|
Adjustments to Revenue: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | ||||
|
2018 |
2017 |
2017 | ||||
|
GAAP revenue |
$ 391,888 |
$ 651,134 |
$ 329,095 | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
- |
(114) |
5,518 | |||
|
Utility and power plant projects |
(2,043) |
9,138 |
41,396 | |||
|
Sale-leaseback transactions |
9,103 |
163,837 |
53,478 | |||
|
Non-GAAP revenue |
$ 398,948 |
$ 823,995 |
$ 429,487 | |||
|
Adjustments to Gross Profit (Loss) / Margin: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | ||||
|
2018 |
2017 |
2017 | ||||
|
GAAP gross profit (loss) |
$ 10,248 |
$ (13,593) |
$ (45,584) | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
- |
(62) |
324 | |||
|
Utility and power plant projects |
(268) |
(3,538) |
42,691 | |||
|
Sale-leaseback transactions |
(3,039) |
25,839 |
(3,144) | |||
|
Other adjustments: |
||||||
|
Impairment of residential lease assets |
(3,853) |
- |
- | |||
|
Cost of above-market polysilicon |
18,700 |
81,804 |
29,815 | |||
|
Stock-based compensation expense |
1,057 |
2,783 |
1,184 | |||
|
Amortization of intangible assets |
2,492 |
2,505 |
2,567 | |||
|
Depreciation of idle equipment |
721 |
2,300 |
- | |||
|
Non-cash interest expense |
- |
2 |
10 | |||
|
Non-GAAP gross profit |
$ 26,058 |
$ 98,040 |
$ 27,863 | |||
|
GAAP gross margin (%) |
2.6% |
-2.1% |
-13.9% | |||
|
Non-GAAP gross margin (%) |
6.5% |
11.9% |
6.5% | |||
|
Adjustments to Net income (loss): |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | ||||
|
2018 |
2017 |
2017 | ||||
|
GAAP net loss attributable to stockholders |
$ (115,974) |
$ (572,651) |
$ (219,726) | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
(177) |
8,130 |
77,698 | |||
|
Utility and power plant projects |
(268) |
(3,538) |
42,691 | |||
|
Sale-leaseback transactions |
1,373 |
28,491 |
(1,709) | |||
|
Other adjustments: |
||||||
|
Impairment of residential lease assets |
45,139 |
473,709 |
- | |||
|
Cost of above-market polysilicon |
18,700 |
81,804 |
29,815 | |||
|
Stock-based compensation expense |
8,758 |
9,294 |
7,375 | |||
|
Amortization of intangible assets |
2,492 |
8,769 |
3,026 | |||
|
Depreciation of idle equipment |
721 |
2,300 |
- | |||
|
Non-cash interest expense |
22 |
25 |
35 | |||
|
Restructuring expense |
11,177 |
2,769 |
9,790 | |||
|
IPO-related costs |
- |
- |
114 | |||
|
Tax effect |
(170) |
(3,338) |
513 | |||
|
Non-GAAP net income (loss) attributable to stockholders |
$ (28,207) |
$ 35,764 |
$ (50,378) | |||
|
Adjustments to Net income (loss) per diluted share: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | ||||
|
2018 |
2017 |
2017 | ||||
|
Net income (loss) per diluted share |
||||||
|
Numerator: |
||||||
|
GAAP net loss available to common stockholders1 |
$ (115,974) |
$ (572,651) |
$ (219,726) | |||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ (28,207) |
$ 35,764 |
$ (50,378) | |||
|
Denominator: |
||||||
|
GAAP weighted-average shares |
140,212 |
139,613 |
138,902 | |||
|
Effect of dilutive securities: |
||||||
|
Stock options |
- |
- |
- | |||
|
Restricted stock units |
- |
1,570 |
- | |||
|
Upfront warrants (held by Total) |
- |
49 |
- | |||
|
Warrants (under the CSO2015) |
- |
- |
- | |||
|
0.75% debentures due 2018 |
- |
- |
- | |||
|
Non-GAAP weighted-average shares1 |
140,212 |
141,232 |
138,902 | |||
|
GAAP net loss per diluted share |
$ (0.83) |
$ (4.10) |
$ (1.58) | |||
|
Non-GAAP net income (loss) per diluted share |
$ (0.20) |
$ 0.25 |
$ (0.36) | |||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||
|
Adjusted EBITDA: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 1, |
Dec. 31, |
Apr. 2, | ||||
|
2018 |
2017 |
2017 | ||||
|
GAAP net loss attributable to stockholders |
$ (115,974) |
$ (572,651) |
$ (219,726) | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
(177) |
8,130 |
77,698 | |||
|
Utility and power plant projects |
(268) |
(3,538) |
42,691 | |||
|
Sale-leaseback transactions |
1,373 |
28,491 |
(1,709) | |||
|
Other adjustments: |
||||||
|
Impairment of residential lease assets |
45,139 |
473,709 |
- | |||
|
Cost of above-market polysilicon |
18,700 |
81,804 |
29,815 | |||
|
Stock-based compensation expense |
8,758 |
9,294 |
7,375 | |||
|
Amortization of intangible assets |
2,492 |
8,769 |
3,026 | |||
|
Depreciation of idle equipment |
721 |
2,300 |
- | |||
|
Non-cash interest expense |
22 |
25 |
35 | |||
|
Restructuring expense |
11,177 |
2,769 |
9,790 | |||
|
IPO-related costs |
- |
- |
114 | |||
|
Cash interest expense, net of interest income |
20,165 |
22,058 |
18,529 | |||
|
Provision for (benefit from) income taxes |
2,628 |
(2,870) |
2,031 | |||
|
Depreciation |
37,576 |
41,960 |
38,932 | |||
|
Adjusted EBITDA |
$ 32,332 |
$ 100,250 |
$ 8,601 | |||
Q2 2018 and FY2018 GUIDANCE
|
(in thousands except percentages) |
Q2 2018 |
FY 2018 |
|
Revenue (GAAP) |
$360,000-$410,000 |
$1,600,000-$2,000,000 |
|
Revenue (non-GAAP) (1) |
$375,000-$425,000 |
$1,800,000-$2,200,000 |
|
Gross margin (GAAP) |
2.5%-4.5% |
N/A |
|
Gross margin (non-GAAP) (2) |
6%-8% |
N/A |
|
Net loss (GAAP) |
$100,000-$125,000 |
$370,000-$420,000 |
|
Adjusted EBITDA (3) |
$10,000-$35,000 |
$75,000-$125,000 |
|
(1) |
Estimated non-GAAP amounts above for Q2 2018 include net adjustments that increase (decrease) revenue by approximately $22 million related to sale-leaseback transactions, $(5) million related to 8point3 and $(2) million related to utility and power plant projects. Estimated non-GAAP amounts above for fiscal 2018 include net adjustments that increase revenue by approximately $200 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q2 2018 include net adjustments that increase (decrease) gross margin by approximately $2 million related to sale-leaseback transactions, $(5) million related to 8point3, $(2) million related to utility and power plant projects, $19 million related to cost of above-market polysilicon, $3 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q2 2018 include net adjustments that decrease (increase) net loss by approximately $58 million related to impairment of lease assets, $2 million related to sale-leaseback transactions, $(24) million related to 8point3, $(2) million related to utility and power plant projects, $19 million related to cost of above-market polysilicon, $8 million related to stock-based compensation expense, $3 million related to amortization of intangible assets, $7 million related to restructuring, $26 million related to interest expense, $2 million related to income taxes, and $36 million related to depreciation. Estimated non-GAAP amounts above for fiscal 2018 include net adjustments that decrease (increase) net loss by approximately $107 million related to impairment of lease assets, $20 million related to sale-leaseback transactions, $(24) million related to 8point3, $(9) million related to utility and power plant projects, $96 million related to cost of above-market polysilicon, $34 million related to stock-based compensation expense, $12 million related to amortization of intangible assets, $31 million related to restructuring, $83 million related to interest expense, $16 million related to income taxes, and $129 million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross profit/margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||||
|
April 1, 2018 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Gain (Loss) attributable to non-controlling interests |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP |
$ 169,432 |
$ 123,336 |
$ 99,120 |
$ 28,042 |
16.6% |
$ 5,313 |
4.3% |
$ (23,107) |
-23.3% |
$ (115,974) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(177) |
- |
(177) | ||||||||||||||||||||
|
Utility and power plant projects |
- |
(643) |
(1,400) |
- |
(450) |
182 |
- |
- |
- |
- |
- |
- |
- |
(268) | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
9,103 |
- |
- |
(2,920) |
(119) |
- |
- |
- |
4,412 |
- |
- |
- |
1,373 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
- |
- |
- |
(3,853) |
- |
- |
- |
49,092 |
- |
- |
- |
- |
(100) |
45,139 | ||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
5,802 |
5,057 |
7,841 |
- |
- |
- |
- |
- |
- |
- |
18,700 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
195 |
383 |
479 |
2,946 |
4,755 |
- |
- |
- |
- |
- |
8,758 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,047 |
735 |
710 |
- |
- |
- |
- |
- |
- |
- |
2,492 | ||||||||||||||||||||
|
Depreciation of idle equipment |
- |
- |
- |
224 |
216 |
281 |
- |
- |
- |
- |
- |
- |
- |
721 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
- |
- |
- |
3 |
19 |
- |
- |
- |
- |
- |
22 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
11,177 |
- |
- |
- |
- |
11,177 | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(170) |
- |
- |
(170) | ||||||||||||||||||||
|
Non-GAAP |
$ 169,432 |
$ 131,796 |
$ 97,720 |
$ 31,457 |
18.6% |
$ 8,334 |
6.3% |
$ (13,733) |
-14.1% |
$ (28,207) | ||||||||||||||||||||||||
|
December 31, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Gain (Loss) attributable to non-controlling interests |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP (As Reported) |
$ 175,652 |
$ 147,559 |
$ 334,889 |
$ 9,969 |
5.7% |
$ (27,389) |
-18.6% |
$ 2,188 |
0.7% |
$ (568,677) | ||||||||||||||||||||||||
|
Adoption of ASC 606 |
(1,330) |
(3,556) |
(2,080) |
(464) |
171 |
1,932 |
- |
- |
- |
(7,065) |
- |
1,452 |
- |
(3,974) | ||||||||||||||||||||
|
GAAP (As Adjusted) |
$ 174,322 |
$ 144,003 |
$ 332,809 |
$ 9,505 |
5.5% |
$ (27,218) |
-18.9% |
$ 4,120 |
1.2% |
$ (572,651) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
- |
- |
(114) |
(3) |
- |
(59) |
- |
- |
- |
8,086 |
- |
106 |
- |
8,130 | ||||||||||||||||||||
|
Utility and power plant projects |
- |
10,344 |
(1,206) |
- |
313 |
(3,851) |
- |
- |
- |
- |
- |
- |
- |
(3,538) | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
163,837 |
- |
- |
25,956 |
(117) |
- |
- |
- |
2,652 |
- |
- |
- |
28,491 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
- |
- |
- |
- |
- |
- |
- |
624,335 |
- |
- |
- |
- |
(150,626) |
473,709 | ||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
17,674 |
30,056 |
34,074 |
- |
- |
- |
- |
- |
- |
- |
81,804 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
482 |
810 |
1,491 |
1,131 |
5,380 |
- |
- |
- |
- |
- |
9,294 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
852 |
873 |
780 |
- |
6,264 |
- |
- |
- |
- |
- |
8,769 | ||||||||||||||||||||
|
Depreciation of idle equipment |
- |
- |
- |
533 |
834 |
933 |
- |
- |
- |
- |
- |
- |
- |
2,300 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
- |
1 |
1 |
4 |
19 |
- |
- |
- |
- |
- |
25 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
2,769 |
- |
- |
- |
- |
2,769 | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(3,338) |
- |
- |
(3,338) | ||||||||||||||||||||
|
Non-GAAP |
$ 174,322 |
$ 318,184 |
$ 331,489 |
$ 29,043 |
16.7% |
$ 31,625 |
9.9% |
$ 37,372 |
11.3% |
$ 35,764 | ||||||||||||||||||||||||
|
April 2, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Gain (Loss) attributable to non-controlling interests |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP (As Reported) |
$ 136,031 |
$ 108,263 |
$ 154,782 |
$ 15,274 |
11.2% |
$ (2,366) |
-2.2% |
$ (43,840) |
-28.3% |
$ (134,479) | ||||||||||||||||||||||||
|
Adoption of ASC 606 |
(1,337) |
(2,817) |
(65,827) |
(500) |
2,212 |
(16,364) |
- |
- |
- |
(72,031) |
- |
1,436 |
- |
(85,247) | ||||||||||||||||||||
|
GAAP (As Adjusted) |
$ 134,694 |
$ 105,446 |
$ 88,955 |
$ 14,774 |
11.0% |
$ (154) |
-0.1% |
$ (60,204) |
-67.7% |
$ (219,726) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
- |
5,484 |
34 |
(3) |
(519) |
846 |
- |
- |
- |
77,964 |
- |
(590) |
- |
77,698 | ||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
41,396 |
- |
- |
42,691 |
- |
- |
- |
- |
- |
- |
- |
42,691 | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
23,041 |
30,437 |
- |
(2,665) |
(479) |
- |
- |
- |
1,435 |
- |
- |
- |
(1,709) | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,351 |
7,132 |
18,332 |
- |
- |
- |
- |
- |
- |
- |
29,815 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
210 |
249 |
725 |
1,528 |
4,663 |
- |
- |
- |
- |
- |
7,375 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,214 |
836 |
517 |
- |
459 |
- |
- |
- |
- |
- |
3,026 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
4 |
3 |
3 |
4 |
21 |
- |
- |
- |
- |
- |
35 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
9,790 |
- |
- |
- |
- |
9,790 | ||||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
114 |
- |
- |
- |
- |
- |
114 | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
513 |
- |
- |
513 | ||||||||||||||||||||
|
Non-GAAP |
$ 134,694 |
$ 133,971 |
$ 160,822 |
$ 20,550 |
15.3% |
$ 4,882 |
3.6% |
$ 2,431 |
1.5% |
$ (50,378) | ||||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
5/8/2018SunPower CFO Announces Departure, New CFO Named
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., May 2, 2018 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR) today announced that Chief Financial Officer (CFO) Chuck Boynton will transition out of SunPower to spend time with his family, in advance of pursuing career opportunities later this year. Boynton agreed to continue as Chief Executive Officer (CEO) of 8point3 Energy Partners through the sale.
The company has named Manavendra Sial, an experienced business, operations and financial leader, as its new CFO, effective following the filing of SunPower's first-quarter 10-Q. He will lead SunPower's global finance, planning and accounting organizations. Boynton will transition responsibilities to Sial over the next couple months.
"During his eight years with SunPower, Chuck has worked tirelessly, providing strong leadership during a period of industry change and helping SunPower grow significantly," said SunPower CEO and Chairman of the Board Tom Werner. "Chuck has been an invaluable partner to me, leading many strategic transactions, providing thought leadership and disciplined financial acumen to SunPower. He will conclude his time with SunPower closing the sale of 8point3 Energy Partners along with completing the sale of other assets, which will improve our liquidity, allow us to delever our balance sheet and provide the resources necessary to further invest in our core growth initiatives. We thank him for his many contributions to SunPower and wish him the best with his future endeavors."
Sial, SunPower's newly named CFO, brings more than 20 years of global experience, including in operational finance, general management and financial planning and analysis. He most recently served as CFO for VECTRA, a $1 billion technology-driven diversified industry business, which was a portfolio company of certain funds managed by affiliates of Apollo Global Management, LLC. During his time with VECTRA, Sial leveraged his organizational expertise to drive top-line growth, increase margins and improve cash generation, while implementing initiatives to simplify the company's decision-making processes.
"Manavendra brings a great breadth of experience to SunPower, with a track record of driving top-line growth, and improving margins and cash," Werner said. "His knowledge of the energy business will allow him to bring value to the position on day one and continue our prioritization of financial operations and cost savings programs."
Prior to VECTRA, Sial was with SunEdison in various global finance and operations leadership roles from 2011 to 2015 including CFO of MEMC's solar energy and materials divisions. He spent 11 years with General Electric (GE) in a variety of roles, from FP&A leader for the Energy Services unit to CFO of Power Delivery for GE's Transmission and Distribution group.
He earned his MBA from Duke University's Fuqua School of Business and his Bachelor of Commerce from Delhi University in India.
Year-to-date, SunPower has made significant strides to simplify its business, improve liquidity and return to sustained profitability. The company continues to see tremendous growth potential and is structuring the business to profitably capitalize on this. For the first-quarter 2018, SunPower exceeded its revenue, gross margin and Adjusted EBITDA guidance. The company will provide additional details related to financial performance on its May 8, 2018 earnings call.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statement
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding transition timing and expectations, our expectations regarding our strategic transactions and initiatives, and our expectations regarding growth and profitability. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to the continued contributions of our key personnel, challenges managing our joint ventures and partnerships, the risk that we may not be able to successfully monetize our interest in 8point3 Energy Partners, our ability to successfully implement actions to streamline our business and focus, competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing, our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers, and changes in public policy, including the imposition and applicability of tariffs pursuant to the Section 201 trade action and the process for exemptions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
5/2/2018SunPower to Announce First-Quarter Results on May 8, 2018
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., April 27, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its first-quarter 2018 financial results on a conference call on Tuesday, May 8, 2018 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on May 8, 2018.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/27/20184/18/2018 - SunPower Invests in American Solar Manufacturing
SunPower Invests in American Solar Manufacturing
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., April 18, 2018 /PRNewswire/ -- A new chapter in American solar panel manufacturing is set to unfold with SunPower and SolarWorld Americas announcing SunPower's agreement to acquire 100 percent of the Hillsboro, Oregon-based SolarWorld Americas. A long-time solar industry pioneer, SolarWorld Americas is the leading American manufacturer of solar panels. Consistent with the desire to revitalize the U.S. high-technology manufacturing sector, SunPower (NASDAQ:SPWR) plans to inject fresh capital into the SolarWorld Americas facility and implement leading-edge, high-efficiency P-Series solar panel manufacturing technology.
"We are thrilled to announce this agreement to acquire SolarWorld Americas, one of the most respected manufacturers of high-quality solar panels for more than 40 years," said Tom Werner, SunPower CEO and chairman of the board. "The time is right for SunPower to invest in U.S. manufacturing, and SolarWorld Americas provides a great platform for us to implement our advanced P-Series solar panel manufacturing technology right here in our home market. P-Series technology was invented and perfected in Silicon Valley, and will now be built in SolarWorld Americas' factory, helping to reshape solar manufacturing in America."
"SunPower is the solar industry technology leader," said Jürgen Stein, CEO of SolarWorld Americas. "We are delighted that SunPower has agreed to inject fresh capital and their industry leading P-Series technology into SolarWorld Americas operations here in Hillsboro. Our hundreds of long-time employees are excited to be part of this next chapter in SolarWorld Americas' long history. We are thrilled about this acquisition as it means quite simply, that our company can look forward to redoubled strength as it continues to innovate and expand into the future. This outcome is ideal for SolarWorld Americas and its employees."
SunPower plans to ramp SolarWorld Americas operations to capitalize on strong U.S. market demand. The company will invest in factory improvements and increased working capital, while retrofitting a portion of the facility to produce P-Series solar panels, in addition to continuing to produce and ship SolarWorld Americas' legacy products. Like SolarWorld Americas, SunPower has spent decades perfecting its technology and manufacturing processes, and this announcement marks the company's return to U.S. manufacturing. The agreement is subject to necessary U.S. and German regulatory approvals and other closing conditions. At closing, which is expected in the next several months, SunPower will become the largest U.S. solar panel manufacturer.
The purchase price was not disclosed.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About SolarWorld Americas
SolarWorld Americas Inc., the largest U.S. crystalline-silicon solar manufacturer for more than 42 years, produces and sells high-tech solar power solutions and, in doing so, contributes to a cleaner energy supply throughout the Americas. The company maintains 430 megawatts of annual capacity to produce solar cells and 550 MW of capacity to manufacture solar modules. The company's brand stands for a proven track record of quality and reliability, and SolarWorld is the only producer whose industrial lineage has outlived its products' 25- and 30-year performance guarantees. SolarWorld upholds high social standards and commits itself to resource- and energy-efficient production. Connect with SolarWorld on Facebook, Twitter, LinkedIn, Instagram and www.solarworld-usa.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the likelihood and timing of the planned closing of the transaction, our expectations and plans regarding growth and market share, our plans for capital injection and manufacturing expansion, our strategic goals and plans for the acquisition and our ability to achieve them, our projections of market demand, and our plans for SWA following the completion of the acquisition. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; and (4) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
4/18/20184/10/2018 - Vandenberg Air Force Base's 28-Megawatt Solar Power System from SunPower Now Fully Operational
Vandenberg Air Force Base's 28-Megawatt Solar Power System from SunPower Now Fully Operational
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., April 10, 2018 /PRNewswire/ -- At a ribbon cutting event on April 10, SunPower Corp. (NASDAQ:SPWR), the U.S. Air Force Civil Engineer Center, Vandenberg Air Force Base, and Defense Logistics Agency Energy marked the commencement of operations for a 28-megawatt solar photovoltaic system at Vandenberg Air Force Base near Lompoc, California. The power generated by the system is expected to meet about 35 percent of the base's energy needs.
"Access to reliable, resilient electricity to meet operational needs is a priority for the U.S. Air Force, and this solar project enables us to increase our own energy security at Vandenberg with competitively priced, dependable solar energy from SunPower," said Ken Domako, Chief of Portfolio Optimization at Vandenberg Air Force Base.
The base will purchase electricity under a 25-year power purchase agreement, providing Vandenberg with competitive, fixed electricity rates, and the Air Force will retain all of the associated environmental credits. Alabama-headquartered Regions Bank provided the capital required for the solar project, eliminating the need for capital expenditures by the Air Force. Cornerstone Financial Advisors, LLC served as financial advisor to Regions Bank on this transaction.
The onsite system is the largest Air Force solar project in which the Air Force consumes all of the energy produced.
"The Air Force is committed to incorporating modern, clean energy technology like solar to provide diverse energy sources for our warfighter," said Dan Soto, Air Force Civil Engineer Center rates and renewables division chief. "With support on this project from solar technology innovator SunPower, we're improving energy resiliency, optimizing demand, and assuring supply at Vandenberg over the long term."
The project features SunPower® Oasis® power plant technology which is a fully-integrated, modular solar power block system engineered for rapid deployment and land use optimization. The Vandenberg system is generating solar electricity from land that has gone unused for over decade and is a former Air Force housing site. The system is expected to provide 54,500 megawatt hours of energy annually – equivalent to offsetting carbon dioxide emissions from 8,600 cars for one year according to the U.S. Environmental Protection Agency.
"Our government customers clearly understand the environmental and economic value in transitioning from traditional to renewable energy sources, and SunPower is pleased to support the U.S. Air Force's progress with our high-performing solar technology," said Nam Nguyen, SunPower executive vice president, commercial solar. "With a SunPower system designed to cost-effectively maximize power generation, Vandenberg can expect to see energy savings for decades."
SunPower is a solar advisor to various federal government agencies, deploying solar power systems at military facilities nationwide including more than 28 megawatts at Nellis Air Force Base in Nevada; 10 megawatts of solar and 1 megawatt of energy storage at the U.S. Army's Redstone Arsenal in Alabama; 13.78 megawatts at Naval Air Weapons Station China Lake; as well as 5.6 megawatts at the Air Force Academy in Colorado Springs.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, relative generating capacity, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/10/2018New 10-Megawatt SunPower® Solar Plant Generating Power for OG&E
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
OKLAHOMA CITY and SAN JOSE, Calif., March 8, 2018 /PRNewswire/ -- OGE Energy Corp. (NYSE: OGE) electric utility subsidiary Oklahoma Gas & Electric (OG&E) and SunPower Corp. (NASDAQ:SPWR) today announced completion of a 10-megawatt (AC) solar photovoltaic power plant in Covington, Okla. Approximately 85 jobs were created during peak construction of the facility.
"With Covington online, we now have 12.5-megawatts of solar generation in our portfolio, all of which has been presold to customers who want the benefits of solar power," said OG&E Chief Operating Officer Keith Mitchell. "Along with our solar facility in Mustang, Oklahoma, Covington helps us continue to learn how solar can complement our other generation sources to provide reliable and low-cost power to our customers."
A SunPower® Oasis® Power Plant system was installed at the 80-acre site by Moss Solar, a division of the construction firm Moss. The Oasis system is a complete power plant solution that installs quickly to maximize value for customers. Product features include 50 percent fewer parts than conventional solar tracking systems, an integrated design that streamlines construction and reduces operations and maintenance costs, and cost-effective, high efficiency SunPower® P-Series solar panels, which produce more energy than conventional solar panels over the lifetime of the system.
"The SunPower Oasis platform and SunPower P-Series solar panels are optimizing the cost-competitive solar power generated for OG&E customers," said Tom Werner, SunPower president and CEO. "We commend OG&E for its commitment to solar, and for selecting high performance SunPower technology to ensure a long-term return on investment."
SunPower is now providing operations and maintenance services at the site.
The Covington solar plant is anticipated to generate enough electricity to serve the needs of over 1,000 average Oklahoma homes, based on estimates provided by the Solar Energy Industries Association.
OG&E owns the renewable energy credits associated with the system.
About OG&E
Oklahoma Gas & Electric Company, a subsidiary of OGE Energy Corp. (NYSE: OGE), is Oklahoma's largest electric utility. For more than a century, the company has provided customers in Oklahoma and western Arkansas the safe, reliable electricity needed to power their businesses and homes at rates below the national average. Our employees are committed to generating and delivering electricity, protecting the environment and providing excellent service to our more than 840,000 customers. OG&E has 6,700 MW of electric generation capacity fueled by low-sulfur coal, natural gas, wind and solar. OG&E is recognized as a leader in smart grid technology, leveraging this platform to provide customers with the award-winning SmartHours® program and setting the stage for an electric vehicle program that will include some level of public charging infrastructure, and advanced LED street and security lighting. OG&E employees live, work and volunteer in the communities we serve. For more information about OG&E, visit us on the Internet at http://www.oge.com or follow us on Facebook: www.facebook.com/ogepower and Twitter: @OGandE.
About SunPower Corp.
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Moss
Moss (www.mosscm.com) is a national privately held construction firm providing innovative solutions resulting in award-winning projects. With regional offices across the United States, Moss focuses on construction management at-risk, design-build and public-private partnerships. The company's diverse portfolio encompasses a wide range of sectors, including luxury high-rise residential, landmark mixed-use developments, hospitality, primary and higher education, justice and solar energy. Moss prides itself on a strong entrepreneurial culture that honors safety, quality, client engagement and employee development. Its employees consistently rank Moss as one of the best places to work. Its employees consistently rank Moss as one of the best places to work. For more information about Moss, visit www.mosscm.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, expected cost savings, and anticipated product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/8/2018SunPower Corporation Vice President Investor Relations Bob Okunski to Speak at Raymond James and ROTH Conferences
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., March 6, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR), a leading solar technology and energy service provider, today announced that Bob Okunski, vice president investor relations, will speak at Raymond James 39th Annual Institutional Investors Conference on March 7, 2018 at 9:50 a.m. Eastern Standard Time. The event is being held at the JW Marriott Grand Lakes Hotel in Orlando, Florida. Okunski will also be speaking at the 30th Annual ROTH Conference on March 12, 2018 at 1:00 p.m. Pacific Standard Time. This event is being held at the Ritz Carlton in Dana Point, California.
Both events will be webcast live from SunPower's website at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/6/20183/1/2018 - With Helix(TM) Storage, SunPower Maximizes Value of Solar and Storage for Commercial Customers
With Helix(TM) Storage, SunPower Maximizes Value of Solar and Storage for Commercial Customers
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., March 1, 2018 /PRNewswire/ -- SunPower today introduced Helix™ Storage, a new solution that combines energy storage with intelligent software to manage electricity costs for commercial solar customers. An increase in manufacturing capacity and economies of scale have caused tremendous advancements in energy storage with costs dropping 73 percent since 2010 according to Bloomberg New Energy Finance. Integrating with SunPower's existing commercial solar solutions, Helix Storage significantly reduces electricity expenses for customers while increasing the benefits of solar.
"SunPower has a decade of experience monitoring nearly 1.7 gigawatts of commercial solar projects to best understand how they perform, giving us a unique advantage when maximizing the value of a complete solar-plus-storage solution," said Norm Taffe, SunPower executive vice president, products. "We've used these key learnings to develop an intuitive, reliable storage offering for our commercial customers, further maximizing the benefits of SunPower's roof, carport and ground-mount solar solutions."
The integrated Helix Storage solution from SunPower includes:
"With Helix Storage, SunPower continues to raise the bar with innovative energy solutions for its customers," Taffe continued. "We've invested heavily in growing SunPower's software capabilities to develop a more robust and flexible control platform, and are now applying that to manage solar and storage. Helix Storage uses predictive analytics to dispatch stored solar energy at times when electricity costs are highest, maximizing savings for our customers."
Helix Storage is an extension of SunPower's Helix solar offering, the world's first turnkey commercial solar solution, available since 2015.
With more than 30 years of solar experience, SunPower has delivered reliable solar and storage solutions to business, government, and education customers throughout the U.S. For more on SunPower's storage solutions, visit www.sunpower.com/storage.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected product performance and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/1/20182/26/2018 - SunPower Completes 10-Megawatt Solar and 1-Megawatt Storage Project at U.S. Army's Redstone Arsenal
SunPower Completes 10-Megawatt Solar and 1-Megawatt Storage Project at U.S. Army's Redstone Arsenal
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Feb. 26, 2018 /PRNewswire/ -- At a ribbon-cutting event recently, Redstone Arsenal and SunPower Corp. (NASDAQ:SPWR) marked the commencement of operations for a 10-megawatt solar photovoltaic and 1-megawatt energy storage system at the U.S. Army post in Alabama. The solar array and storage project was designed, built and will be operated and maintained by SunPower, with financing provided by Birmingham-headquartered Regions Bank. The solar array, combined with a storage component that maximizes clean electricity use at Redstone, is expected to improve the Army's energy resilience, reduce electricity costs, and provide energy diversity.
"Through innovative collaboration between the Army, Team Redstone, and industry partners, we've cost-effectively built a reliable, home-grown renewable energy project that is expected to deliver savings for decades, allowing us to invest more resources in protecting the nation and those we serve," said Lt. Gen. Edward M. Daly, Senior Commander, Redstone Arsenal.
This project is a collaboration between the U.S. Army Office of Energy Initiatives, Redstone Arsenal, the U.S. Army Corps of Engineers, and SunPower, and features a SunPower® Oasis® Power Plant system. The fully integrated, modular solar power block is engineered and built for compatibility with a future micro-grid, and is paired with storage to reduce peak power-related demand charges for Redstone Arsenal.
"Demand for solar-and-storage technology continues to rise, delivering significant savings to customers with high electricity demand, like the U.S. military," said Nam Nguyen, SunPower executive vice president. "We congratulate the Army and Redstone Arsenal for seeing the value in a resilient energy project from SunPower that will help lower operational costs and free up more funds to support their mission."
The Army is purchasing 100 percent of the electricity generated by the project through a 27-year power purchase agreement (PPA) at rates competitive with traditional energy sources. Regions Bank is providing the capital required for the solar and storage project, eliminating the need for capital expenditure by the Army. Cornerstone Financial Advisors, LLC served as financial advisor to Region Bank on this transaction.
"Regions Bank supports the development of innovative clean energy generation by providing efficient financing solutions that take into consideration advances in technology, such as this project's energy storage system," said Frank Conley, Senior Vice President Solar Finance for Regions. "We are very pleased to team up with SunPower on the Redstone Arsenal solar facility and have a role in reducing the Army's electricity costs while enhancing its clean energy utilization."
SunPower is a trusted solar advisor to federal government agencies such as the Department of Energy and the Department of Defense, having deployed solar power systems at military facilities nationwide including more than 28 megawatts at Nellis Air Force Base in Nevada, 13.78 megawatts at Naval Air Weapons Station China Lake and 28 megawatts at Vandenberg Air Force Base in California, as well as 5.6 megawatts at the Air Force Academy in Colorado Springs.
For more information on how solar and storage solutions can benefit federal agencies, read SunPower's blog post here or visit www.sunpower.com/government.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, expected cost savings, and project and financing plans. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." A copy of this filing is available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-completes-10-megawatt-solar-and-1-megawatt-storage-project-at-us-armys-redstone-arsenal-300603877.html
SOURCE SunPower Corp.
Article Date
2/26/2018SunPower Reports Fourth Quarter and FY 2017 Results
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Feb. 14, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its fourth quarter ended December 31, 2017.
|
($ Millions, except percentages and per-share data) |
4th Quarter 2017 |
3rd Quarter 2017 |
4th Quarter 2016 |
FY 2017 |
FY 2016 |
|
GAAP revenue |
$658.1 |
$477.2 |
$1,024.9 |
$1,871.8 |
$2,559.6 |
|
GAAP gross margin |
(2.3%) |
3.3% |
(3.1%) |
(0.8%) |
7.4% |
|
GAAP net loss |
($568.7) |
($54.2) |
($275.1) |
($851.2) |
($471.1) |
|
GAAP net loss per diluted share |
($4.07) |
($0.39) |
($1.99) |
($6.11) |
($3.41) |
|
Non-GAAP revenue1 |
$824.0 |
$533.6 |
$1,097.3 |
$2,128.6 |
$2,702.9 |
|
Non-GAAP gross margin1,2 |
11.9% |
12.8% |
6.4% |
11.1% |
14.5% |
|
Non-GAAP net income (loss)1,2 |
$35.8 |
$29.5 |
$3.3 |
($34.4) |
$85.0 |
|
Non-GAAP net income (loss) per diluted share1,2 |
$0.25 |
$0.21 |
$0.02 |
($0.25) |
$0.60 |
|
Adjusted EBITDA1,2 |
$100.3 |
$67.3 |
$71.4 |
$189.7 |
$311.9 |
|
Operating cash flow |
$47.9 |
($26.6) |
$486.1 |
($267.4) |
($312.3) |
|
1 Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
|
2 Excludes polysilicon costs related to above market polysilicon contracts. |
"We are pleased with our results for the quarter, which were the product of solid execution across all business segments," said Tom Werner, SunPower president and CEO. "In our distributed generation business, demand remained strong through the end of the year, enabling SunPower to gain share in both our residential and commercial segments. Our solid performance in commercial reflected the completion of a number of key projects including the 28-megawatt (MW) Vandenberg Air Force project while expanding our footprint in storage and booking of our first Helix storage project. Demand for our high quality, industry leading residential solutions remained robust as we exceeded plan in all core markets. For the full year, our residential MW deployments grew more than 25 percent, reinforcing our market leadership position in this segment. In our power plant business, we completed and sold the 110-MW El Pelicano project in Chile in the fourth quarter generating significant cash and delevering the balance sheet. We are seeing continued growth in our SunPower Solutions group as well, including the recent award of 115 MW of rooftop projects in the latest French tender.
"In our upstream business, we are on track to achieve our long-term cost reduction targets and our Fabs remain at 100 percent utilization. We are particularly pleased with the progress of our next generation solar cell and module technology and are proceeding with installation of the first full-scale Next Generation Technology (NGT) manufacturing line at Fab 3 with volume production planned in the second half of this year.
"We executed well against our 2017 strategic goals, significantly improving cash flow, continuing our restructuring efforts and reducing operating expenses. In our power plant business, we remain focused on transitioning from project development to equipment supply through our SunPower Solutions group in order to improve capital investment returns as well as reduce SunPower's risk profile. We are also continuing with our plans to identify and monetize assets as evidenced by our recent announcement on the proposed sale of our ownership stake in 8point3 Energy Partners. Additionally, we expect to monetize more than 400 MW of SunPower leases that we currently hold on our balance sheet. Combined, both of these actions will materially improve our liquidity, delever our balance sheet and simplify our financial statements. Also, we will utilize these additional resources to further invest in our core growth initiatives including our next generation cell and panel technology, our digital platform, energy storage and our distributed generation business.
"In relation to the 201 solar tariff decision, the product exclusion process was published today. We will continue to work through this process with the Administration to convey that only SunPower can make a copper-plated, interdigitated back contact solar cells and that with an exclusion, SunPower can further invest in research and development to improve on its market-leading efficiency and performance while demonstrating America's continuing leadership in solar energy innovation. Unfortunately, we are already seeing a negative near-term impact from the ruling as the increased costs due to import tariffs have delayed certain 2018 projects and made other projects uneconomical. We have also put our planned $20 million U.S. employment expansion on hold and are considering other significant cost saving initiatives to lower our overall expense structure and improve our financial performance. Given the early stages of this review, we are not prepared to discuss specific actions at this time but expect to communicate our plans on or before our next earnings call. Our focus has been, and will continue to be, on driving cash flow, strengthening our balance sheet and positioning the company for sustained profitability."
"Our solid project execution in all market segments and prudent management of expenses enabled us to achieve our fourth quarter goals," said Chuck Boynton, SunPower chief financial officer. "Financially, we benefitted from our restructuring efforts as operating expenses declined more than 20 percent year over year. We posted positive cash flow for the quarter and exited the year with more than $450 million in cash, ahead of our forecasts. With our current liquidity, the pending sale of our ownership position in 8point3 and the expected monetization of approximately 400 MW of lease assets later this year, we are confident we will have the resources available to retire our $300 million convertible bond in June and fund areas of growth in 2018."
As mentioned above, the company, in accordance with its announced strategic review, made the decision in the fourth quarter to monetize its interests in its high-quality lease portfolio. The company currently holds approximately 400 MW of leases with more than 45,000 customers representing more than $1.4 billion of long-term receivables. This decision, which is expected to generate at least $200 million in proceeds, in line with the company's efforts to improve its liquidity. While the lease assets are performing at, or better than our expectations, due to our decision to monetize and deconsolidate the portfolio, the company determined it was necessary to evaluate the potential for impairment in its ability to recover the carrying amount of its lease portfolio on a discounted cash flow basis. In accordance with such evaluation, the company recorded a $474 million non-cash GAAP charge driven primarily by the difference of lease accounting treatment and the applied discount rate for lease assets that would be held to maturity versus the rate applied to the sale of assets before maturity. The company expects to incur additional charges in the first quarter as it adds leases through the close of the proposed transaction. SunPower believes that this transaction will drive significant cash proceeds, a reduction in invested capital as well as a more transparent presentation of its financial statements.
Fourth quarter fiscal 2017 non-GAAP results exclude net adjustments that, in the aggregate, improved non-GAAP earnings by $604.4 million, including $28.4 million related to sale-leaseback transactions, $473.7 million related to impairment of residential lease assets, $81.8 million related to cost of above market polysilicon, $9.3 million related to stock-based compensation expense, $8.8 million related to intangibles, and $2.4 million of other non-GAAP adjustments.
Financial Outlook
The company's first quarter GAAP guidance is as follows: revenue of $280 million to $330 million, gross margin of (2.5) percent to (0.5) percent and a net loss of $110 million to $90 million. First quarter 2018 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to sale-leaseback transactions as well as the impact of charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $300 million to $350 million, gross margin of 4 percent to 6 percent, Adjusted EBITDA of $5 million to $25 million and megawatts deployed in the range of 275 MW to 305 MW.
Fiscal year 2018 guidance includes the anticipated impact of the recent 201 decision and is as follows. The company expects revenue of $1.6 billion to $2.0 billion on a GAAP basis and $1.8 billion to $2.2 billion on a non-GAAP basis, gigawatts (GW) deployed in the range of 1.5 GW to 1.9 GW, non-GAAP operational expenses of less than $290 million, capital expenditures of approximately $100 million and positive EBITDA for the year.
The company will host a conference call for investors this afternoon to discuss its fourth quarter 2017 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its fourth quarter 2017 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our expectations and plans regarding growth and market share, profitability, investment returns, risk profile, and financial performance in each of our business lines; (b) our expectations regarding our cost reduction efforts, product and manufacturing expansion plans, and production goals; (c) our strategic goals and plans, and our ability to achieve them; (d) our ability to successfully complete key strategic transactions, including the sale of our interest in 8point3 Partners, our planned monetization of our lease portfolio and associated accounting charges, and our expectations regarding the proceeds of such transactions; (e) our expectations regarding our restructuring plan and associated initiatives, including plans to shift our focus, simplify our business model and financials, and identify and monetize non-core assets, and the impact of these initiatives on our liquidity, financial performance, cash flow, and operating expenses; (f) our plans to invest in technologies and strategic initiatives and allocate resources; (g) the impact of tariffs imposed pursuant to the Section 201 trade action on our business, our expectations for the product exclusion process, and our response plans and their anticipated effectiveness; (h) our plans for hiring, expansion, and cost savings initiatives, and the expected financial impact and timing thereof; (i) our positioning for future success, long-term competitiveness, and our ability to return to sustained profitability; (j) our ability to retire our 2018 convertible bonds, strengthen our balance sheet, complete planned project sales, deleverage our balance sheet, and generate additional cash proceeds to fund our planned growth initiatives; (k) our expectations for the solar industry and the markets we serve, including market conditions, tariff and associated impacts, and long-term prospects; (l) our first quarter fiscal 2018 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed; and (m) fiscal year 2018 guidance, including GAAP and non-GAAP revenue, GW deployed, operational expenditures, capital expenditures, and Adjusted EBITDA. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition and applicability of tariffs pursuant to the Section 201 trade action and the process for exemptions; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) challenges inherent in constructing certain of our large projects; (6) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing and logistics difficulties that could arise; (9) challenges managing our joint ventures and partnerships; (10) challenges executing on our HoldCo and YieldCo strategies, including the risk that we may not be able to successfully monetize our interest in 8point3 Energy Partners; (11) fluctuations or declines in the performance of our solar panels and other products and solutions; and (12) our ability to successfully implement actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring plan and associated initiatives, including plans to sell projects, monetize assets, and streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Dec. 31, |
Jan. 1, | ||
|
2017 |
2017 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 435,097 |
$ 425,309 | |
|
Restricted cash and cash equivalents, current portion |
43,709 |
33,657 | |
|
Accounts receivable, net |
215,479 |
219,638 | |
|
Costs and estimated earnings in excess of billings |
18,203 |
32,780 | |
|
Inventories |
352,829 |
401,707 | |
|
Advances to suppliers, current portion |
30,689 |
111,479 | |
|
Project assets - plants and land, current portion |
103,063 |
374,459 | |
|
Prepaid expenses and other current assets |
152,444 |
315,670 | |
|
Total current assets |
1,351,513 |
1,914,699 | |
|
Restricted cash and cash equivalents, net of current portion |
65,531 |
55,246 | |
|
Restricted long-term marketable securities |
6,238 |
4,971 | |
|
Property, plant and equipment, net |
1,148,042 |
1,027,066 | |
|
Solar power systems leased and to be leased, net |
428,149 |
621,267 | |
|
Project assets - plants and land, net of current portion |
- |
33,571 | |
|
Advances to suppliers, net of current portion |
185,299 |
173,277 | |
|
Long-term financing receivables, net |
338,877 |
507,333 | |
|
Goodwill and other intangible assets, net |
25,519 |
44,218 | |
|
Other long-term assets |
80,146 |
185,519 | |
|
Total assets |
$ 3,629,314 |
$ 4,567,167 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 406,902 |
$ 540,295 | |
|
Accrued liabilities |
267,760 |
391,226 | |
|
Billings in excess of costs and estimated earnings |
8,708 |
77,140 | |
|
Short-term debt |
58,131 |
71,376 | |
|
Convertible debt, current portion |
299,685 |
- | |
|
Customer advances, current portion |
54,999 |
10,138 | |
|
Total current liabilities |
1,096,185 |
1,090,175 | |
|
Long-term debt |
430,634 |
451,243 | |
|
Convertible debt |
816,454 |
1,113,478 | |
|
Customer advances, net of current portion |
69,062 |
298 | |
|
Other long-term liabilities |
954,646 |
721,032 | |
|
Total liabilities |
3,366,981 |
3,376,226 | |
|
Redeemable noncontrolling interests in subsidiaries |
15,236 |
103,621 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
140 |
139 | |
|
Additional paid-in capital |
2,442,513 |
2,410,395 | |
|
Accumulated deficit |
(2,115,188) |
(1,218,681) | |
|
Accumulated other comprehensive loss |
(3,008) |
(7,238) | |
|
Treasury stock, at cost |
(181,539) |
(176,783) | |
|
Total stockholders' equity |
142,918 |
1,007,832 | |
|
Noncontrolling interests in subsidiaries |
104,179 |
79,488 | |
|
Total equity |
247,097 |
1,087,320 | |
|
Total liabilities and equity |
$ 3,629,314 |
$ 4,567,167 | |
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
|
(In thousands, except per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | ||||||
|
2017 |
2017 |
2017 |
2017 |
2017 | ||||||
|
Revenue: |
||||||||||
|
Residential |
$ 175,652 |
$ 153,258 |
$ 220,464 |
$ 622,066 |
$ 720,331 | |||||
|
Commercial |
147,559 |
106,005 |
146,874 |
461,932 |
436,915 | |||||
|
Power Plant |
334,889 |
217,928 |
657,551 |
787,815 |
1,402,316 | |||||
|
Total revenue |
658,100 |
477,191 |
1,024,889 |
1,871,813 |
2,559,562 | |||||
|
Cost of revenue: |
||||||||||
|
Residential |
165,683 |
126,614 |
207,604 |
544,041 |
603,559 | |||||
|
Commercial |
174,948 |
99,988 |
171,344 |
483,095 |
438,711 | |||||
|
Power Plant |
332,701 |
234,931 |
678,014 |
859,948 |
1,327,326 | |||||
|
Total cost of revenue |
673,332 |
461,533 |
1,056,962 |
1,887,084 |
2,369,596 | |||||
|
Gross margin |
(15,232) |
15,658 |
(32,073) |
(15,271) |
189,966 | |||||
|
Operating expenses: |
||||||||||
|
Research and development |
19,823 |
20,693 |
23,860 |
80,785 |
116,130 | |||||
|
Selling, general and administrative |
72,526 |
68,401 |
66,517 |
277,033 |
329,061 | |||||
|
Restructuring charges |
2,769 |
3,517 |
175,774 |
21,045 |
207,189 | |||||
|
Impairment of residential lease assets |
624,335 |
- |
- |
624,335 |
- | |||||
|
Total operating expenses |
719,453 |
92,611 |
266,151 |
1,003,198 |
652,380 | |||||
|
Operating loss |
(734,685) |
(76,953) |
(298,224) |
(1,018,469) |
(462,414) | |||||
|
Other income (expense), net: |
||||||||||
|
Interest income |
139 |
636 |
519 |
2,100 |
2,652 | |||||
|
Interest expense |
(24,717) |
(21,898) |
(18,091) |
(89,754) |
(60,735) | |||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
- |
- |
- |
- |
203,252 | |||||
|
Loss on equity method investment in connection with acquisition |
- |
- |
- |
- |
(90,946) | |||||
|
Goodwill impairment |
- |
- |
- |
- |
(147,365) | |||||
|
Other, net |
8,399 |
(1,406) |
8,184 |
(10,941) |
(9,039) | |||||
|
Other expense, net |
(16,179) |
(22,668) |
(9,388) |
(98,595) |
(102,181) | |||||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(750,864) |
(99,621) |
(307,612) |
(1,117,064) |
(564,595) | |||||
|
Benefit from (provision for) income taxes |
2,870 |
5,457 |
9,559 |
3,943 |
(7,319) | |||||
|
Equity in earnings of unconsolidated investees |
(1,598) |
15,308 |
3,714 |
20,211 |
28,070 | |||||
|
Net loss |
(749,592) |
(78,856) |
(294,339) |
(1,092,910) |
(543,844) | |||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
180,915 |
24,609 |
19,221 |
241,747 |
72,780 | |||||
|
Net loss attributable to stockholders |
$ (568,677) |
$ (54,247) |
$ (275,118) |
$ (851,163) |
$ (471,064) | |||||
|
Net loss per share attributable to stockholders: |
||||||||||
|
- Basic |
$ (4.07) |
$ (0.39) |
$ (1.99) |
$ (6.11) |
$ (3.41) | |||||
|
- Diluted |
$ (4.07) |
$ (0.39) |
$ (1.99) |
$ (6.11) |
$ (3.41) | |||||
|
Weighted-average shares: |
||||||||||
|
- Basic |
139,613 |
139,517 |
138,442 |
139,370 |
137,985 | |||||
|
- Diluted |
139,613 |
139,517 |
138,442 |
139,370 |
137,985 | |||||
|
SUNPOWER CORPORATION | |||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
|
(In thousands) | |||||||||
|
(Unaudited) | |||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | |||||
|
2017 |
2017 |
2017 |
2017 |
2017 | |||||
|
Cash flows from operating activities: |
|||||||||
|
Net loss |
$ (749,592) |
$ (78,856) |
$ (294,339) |
$ (1,092,910) |
$ (543,844) | ||||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|||||||||
|
Depreciation and amortization |
55,157 |
46,188 |
51,367 |
188,698 |
174,209 | ||||
|
Stock-based compensation |
9,294 |
9,399 |
12,596 |
34,674 |
61,498 | ||||
|
Non-cash interest expense |
5,837 |
4,818 |
94 |
18,390 |
1,057 | ||||
|
Non-cash restructuring charges |
- |
- |
148,791 |
- |
166,717 | ||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
- |
- |
- |
- |
(203,252) | ||||
|
Impairment of equity method investment |
- |
- |
- |
8,607 |
90,946 | ||||
|
Goodwill impairment |
- |
- |
- |
- |
147,365 | ||||
|
Dividend from 8point3 Energy Partners LP |
7,859 |
7,631 |
6,949 |
30,091 |
6,949 | ||||
|
Equity in earnings of unconsolidated investees |
1,598 |
(15,308) |
(3,714) |
(20,211) |
(28,070) | ||||
|
Gain on sale of equity method investment |
(5,346) |
- |
- |
(5,346) |
- | ||||
|
Excess tax benefit from stock-based compensation |
- |
- |
(1,588) |
- |
(2,810) | ||||
|
Deferred income taxes |
(8,541) |
290 |
(9,402) |
(6,966) |
(6,611) | ||||
|
Impairment of residential lease assets |
624,335 |
- |
- |
624,335 |
- | ||||
|
Other, net |
(3,881) |
1,020 |
988 |
1,299 |
4,793 | ||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||||||
|
Accounts receivable |
(35,234) |
10,331 |
3,097 |
(458) |
(33,466) | ||||
|
Costs and estimated earnings in excess of billings |
1,026 |
394 |
(7,381) |
14,577 |
6,198 | ||||
|
Inventories |
28,776 |
9,432 |
30,698 |
(38,236) |
(70,448) | ||||
|
Project assets |
81,177 |
(2,194) |
467,893 |
19,153 |
33,248 | ||||
|
Prepaid expenses and other assets |
8,240 |
11,525 |
(20,535) |
158,868 |
48,758 | ||||
|
Long-term financing receivables, net |
(32,343) |
(28,984) |
(35,999) |
(123,842) |
(172,542) | ||||
|
Advances to suppliers |
16,075 |
19,910 |
29,338 |
68,767 |
74,341 | ||||
|
Accounts payable and other accrued liabilities |
36,272 |
(20,495) |
132,056 |
(192,096) |
(12,146) | ||||
|
Billings in excess of costs and estimated earnings |
270 |
(3,269) |
(22,325) |
(68,432) |
(38,204) | ||||
|
Customer advances |
6,913 |
1,556 |
(2,529) |
113,626 |
(16,969) | ||||
|
Net cash provided by (used in) operating activities |
47,892 |
(26,612) |
486,055 |
(267,412) |
(312,283) | ||||
|
Cash flows from investing activities: |
|||||||||
|
Purchases of property, plant and equipment |
(12,177) |
(12,491) |
(37,619) |
(69,791) |
(187,094) | ||||
|
Cash paid for solar power systems, leased and to be leased |
(22,007) |
(23,504) |
(19,872) |
(86,539) |
(84,289) | ||||
|
Cash paid for solar power systems |
(88,306) |
(30,230) |
(36,464) |
(126,548) |
(38,746) | ||||
|
Proceeds from sales or maturities marketable securities |
- |
- |
- |
- |
6,210 | ||||
|
Payments to 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
- |
- |
- |
- |
(9,838) | ||||
|
Purchases of marketable securities |
- |
(1,306) |
(4,955) |
(1,306) |
(4,955) | ||||
|
Cash paid for acquisitions, net of cash acquired |
- |
- |
- |
- |
(24,003) | ||||
|
Dividend from equity method investee |
882 |
1,470 |
- |
3,773 |
- | ||||
|
Cash received for sale of investment in joint ventures and non-public companies |
5,954 |
- |
- |
5,954 |
- | ||||
|
Cash paid for investments in unconsolidated investees |
(2,680) |
(4,344) |
(501) |
(18,627) |
(11,547) | ||||
|
Cash paid for intangibles |
- |
- |
(521) |
- |
(521) | ||||
|
Net cash used in investing activities |
(118,334) |
(70,405) |
(99,932) |
(293,084) |
(354,783) | ||||
|
Cash flows from financing activities: |
|||||||||
|
Cash paid for acquisitions |
- |
- |
(5,714) |
- |
(5,714) | ||||
|
Proceeds from bank loans and other debt |
56,104 |
81,749 |
113,645 |
339,253 |
113,645 | ||||
|
Repayment of bank loans and other debt |
(54,755) |
(74,622) |
(128,029) |
(358,317) |
(143,601) | ||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
6,435 |
52,535 |
41,128 |
89,612 |
183,990 | ||||
|
Repayment of non-recourse residential financing |
(2,133) |
(1,731) |
(1,225) |
(6,888) |
(37,932) | ||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
55,591 |
44,412 |
54,611 |
196,628 |
146,334 | ||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(5,200) |
(4,574) |
(5,620) |
(18,228) |
(19,039) | ||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
209,222 |
92,014 |
136,536 |
527,897 |
738,822 | ||||
|
Repayment of non-recourse power plant and commercial financing |
(27,463) |
(116,585) |
(537,671) |
(176,069) |
(795,209) | ||||
|
Contributions from noncontrolling interests attributable to power plant and commercial projects |
- |
800 |
- |
800 |
- | ||||
|
Excess tax benefit from stock-based compensation |
- |
- |
(1,222) |
- |
- | ||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(366) |
(175) |
(564) |
(4,756) |
(21,517) | ||||
|
Net cash provided by (used in) financing activities |
237,435 |
73,823 |
(334,125) |
589,932 |
159,779 | ||||
|
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents |
(609) |
124 |
(745) |
689 |
735 | ||||
|
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents |
166,384 |
(23,070) |
51,253 |
30,125 |
(506,552) | ||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
377,953 |
401,023 |
462,959 |
514,212 |
1,020,764 | ||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 544,337 |
$ 377,953 |
$ 514,212 |
$ 544,337 |
$ 514,212 | ||||
|
Non-cash transactions: |
|||||||||
|
Assignment of residential lease receivables to third parties |
$ 39 |
$ 65 |
$ 568 |
$ 129 |
$ 4,290 | ||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
$ 15,296 |
$ 14,925 |
$ 13,439 |
$ 57,688 |
$ 57,422 | ||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
$ 5,527 |
$ 5,298 |
$ 3,026 |
$ 5,527 |
$ 3,026 | ||||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
$ 44,490 |
$ 10,266 |
$ 20,596 |
$ 110,375 |
$ 27,971 | ||||
|
Property, plant and equipment acquisitions funded by liabilities |
$ 15,706 |
$ 32,367 |
$ 43,817 |
$ 15,706 |
$ 43,817 | ||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
$ - |
$ 445 |
$ 2,274 |
$ 4,918 |
$ 45,862 | ||||
|
Exchange of receivables for an investment in an unconsolidated investee |
$ - |
$ - |
$ - |
$ - |
$ 2,890 | ||||
|
Contractual obligations satisfied with inventory |
$ 14,820 |
$ 13,187 |
$ - |
$ 34,675 |
$ - | ||||
|
Assumption of debt by buyer upon sale of project |
$ 196,104 |
$ - |
$ - |
$ 196,104 |
$ - | ||||
|
Acquisition funded by liabilities |
$ - |
$ - |
$ 103,354 |
$ - |
$ 103,354 | ||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross profit/margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross profit/margin includes adjustments relating to cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, depreciation of idle equipment, non-cash interest expense, and arbitration ruling, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to impairment of residential lease assets, goodwill impairment, restructuring expense, IPO-related costs, the tax effect of these non-GAAP adjustments, and other items, each as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. With certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | |||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | |||||||||||
|
(In thousands, except percentages and per share data) | |||||||||||
|
(Unaudited) | |||||||||||
|
Adjustments to Revenue: |
|||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | |||||||
|
2017 |
2017 |
2017 |
2017 |
2017 | |||||||
|
GAAP revenue |
$ 658,100 |
$ 477,191 |
$ 1,024,889 |
$ 1,871,813 |
$ 2,559,562 | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
(1,248) |
(899) |
44,991 |
(1,657) |
61,718 | ||||||
|
Utility and power plant projects |
3,306 |
5,887 |
(4,047) |
(14,252) |
9,443 | ||||||
|
Sale of operating lease assets |
- |
- |
(34,406) |
- |
(6,396) | ||||||
|
Sale-leaseback transactions |
163,837 |
51,412 |
65,887 |
272,654 |
78,533 | ||||||
|
Non-GAAP revenue |
$ 823,995 |
$ 533,591 |
$ 1,097,314 |
$ 2,128,558 |
$ 2,702,860 | ||||||
|
Adjustments to Gross Profit / Margin: |
|||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | |||||||
|
2017 |
2017 |
2017 |
2017 |
2017 | |||||||
|
GAAP gross profit |
$ (15,232) |
$ 15,658 |
$ (32,073) |
$ (15,271) |
$ 189,966 | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
(432) |
(377) |
1,576 |
1,250 |
10,512 | ||||||
|
Utility and power plant projects |
(1,529) |
3,367 |
2,542 |
31,390 |
10,274 | ||||||
|
Sale of operating lease assets |
- |
- |
(10,105) |
- |
(1,942) | ||||||
|
Sale-leaseback transactions |
25,839 |
10,669 |
8,278 |
31,094 |
11,351 | ||||||
|
Other adjustments: |
|||||||||||
|
Cost of above-market polysilicon |
81,804 |
33,461 |
92,235 |
166,906 |
148,265 | ||||||
|
Stock-based compensation expense |
2,783 |
2,875 |
4,959 |
7,894 |
20,577 | ||||||
|
Amortization of intangible assets |
2,505 |
2,567 |
2,568 |
10,206 |
7,679 | ||||||
|
Depreciation of idle equipment |
2,300 |
- |
- |
2,300 |
- | ||||||
|
Non-cash interest expense |
2 |
10 |
70 |
32 |
956 | ||||||
|
Arbitration ruling |
- |
- |
- |
- |
(5,852) | ||||||
|
Non-GAAP gross profit |
$ 98,040 |
$ 68,230 |
$ 70,050 |
$ 235,801 |
$ 391,786 | ||||||
|
GAAP gross margin (%) |
-2.3% |
3.3% |
-3.1% |
-0.8% |
7.4% | ||||||
|
Non-GAAP gross margin (%) |
11.9% |
12.8% |
6.4% |
11.1% |
14.5% | ||||||
|
Adjustments to Net income (loss): |
|||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | |||||||
|
2017 |
2017 |
2017 |
2017 |
2017 | |||||||
|
GAAP net loss attributable to stockholders |
$ (568,677) |
$ (54,247) |
$ (275,118) |
$ (851,163) |
$ (471,064) | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
2,281 |
(916) |
6,301 |
11,924 |
54,379 | ||||||
|
Utility and power plant projects |
(1,529) |
3,367 |
2,542 |
31,390 |
10,274 | ||||||
|
Sale of operating lease assets |
- |
- |
(10,086) |
- |
(1,889) | ||||||
|
Sale-leaseback transactions |
28,357 |
12,440 |
8,435 |
38,782 |
11,700 | ||||||
|
Other adjustments: |
|||||||||||
|
Impairment of residential lease assets |
473,709 |
- |
- |
473,709 |
- | ||||||
|
Cost of above-market polysilicon |
81,804 |
33,461 |
92,235 |
166,906 |
148,265 | ||||||
|
Stock-based compensation expense |
9,294 |
9,399 |
12,596 |
34,674 |
61,498 | ||||||
|
Amortization of intangible assets |
8,769 |
3,026 |
3,018 |
19,048 |
17,369 | ||||||
|
Depreciation of idle equipment |
2,300 |
- |
- |
2,300 |
- | ||||||
|
Non-cash interest expense |
25 |
33 |
94 |
128 |
1,057 | ||||||
|
Goodwill impairment |
- |
- |
- |
- |
57,765 | ||||||
|
Restructuring expense |
2,769 |
3,517 |
175,774 |
21,045 |
207,189 | ||||||
|
Arbitration ruling |
- |
- |
- |
- |
(5,852) | ||||||
|
IPO-related costs |
- |
- |
(339) |
(82) |
(304) | ||||||
|
Other |
- |
- |
- |
- |
(31) | ||||||
|
Tax effect |
(3,338) |
19,407 |
(12,200) |
16,932 |
(5,315) | ||||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ 35,764 |
$ 29,487 |
$ 3,252 |
$ (34,407) |
$ 85,041 | ||||||
|
Adjustments to Net income (loss) per diluted share: |
|||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | |||||||
|
2017 |
2017 |
2017 |
2017 |
2017 | |||||||
|
Net income (loss) per diluted share |
|||||||||||
|
Numerator: |
|||||||||||
|
GAAP net loss available to common stockholders1 |
$ (568,677) |
$ (54,247) |
$ (275,118) |
$ (851,163) |
$ (471,064) | ||||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ 35,764 |
$ 29,487 |
$ 3,252 |
$ (34,407) |
$ 85,041 | ||||||
|
Denominator: |
|||||||||||
|
GAAP weighted-average shares |
139,613 |
139,517 |
138,442 |
139,370 |
137,985 | ||||||
|
Effect of dilutive securities: |
|||||||||||
|
Stock options |
- |
- |
- |
- |
- | ||||||
|
Restricted stock units |
1,570 |
1,863 |
66 |
- |
530 | ||||||
|
Upfront warrants (held by Total) |
49 |
1,406 |
- |
- |
3,721 | ||||||
|
Warrants (under the CSO2015) |
- |
- |
- |
- |
- | ||||||
|
0.75% debentures due 2018 |
- |
- |
- |
- |
- | ||||||
|
Non-GAAP weighted-average shares1 |
141,232 |
142,786 |
138,508 |
139,370 |
142,236 | ||||||
|
GAAP net loss per diluted share |
$ (4.07) |
$ (0.39) |
$ (1.99) |
$ (6.11) |
$ (3.41) | ||||||
|
Non-GAAP net income (loss) per diluted share |
$ 0.25 |
$ 0.21 |
$ 0.02 |
$ (0.25) |
$ 0.60 | ||||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | |||||||||||
|
Adjusted EBITDA: |
|||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||||
|
Dec. 31, |
Oct. 1, |
Jan. 1, |
Dec. 31, |
Jan. 1, | |||||||
|
2017 |
2017 |
2017 |
2017 |
2017 | |||||||
|
GAAP net loss attributable to stockholders |
$ (568,677) |
$ (54,247) |
$ (275,118) |
$ (851,163) |
$ (471,064) | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
2,281 |
(916) |
6,301 |
11,924 |
54,379 | ||||||
|
Utility and power plant projects |
(1,529) |
3,367 |
2,542 |
31,390 |
10,274 | ||||||
|
Sale of operating lease assets |
- |
- |
(10,086) |
- |
(1,889) | ||||||
|
Sale-leaseback transactions |
28,357 |
12,440 |
8,435 |
38,782 |
11,700 | ||||||
|
Other adjustments: |
|||||||||||
|
Impairment of residential lease assets |
473,709 |
- |
- |
473,709 |
- | ||||||
|
Cost of above-market polysilicon |
81,804 |
33,461 |
92,235 |
166,906 |
148,265 | ||||||
|
Stock-based compensation expense |
9,294 |
9,399 |
12,596 |
34,674 |
61,498 | ||||||
|
Amortization of intangible assets |
8,769 |
3,026 |
3,018 |
19,048 |
17,369 | ||||||
|
Depreciation of idle equipment |
2,300 |
- |
- |
2,300 |
- | ||||||
|
Non-cash interest expense |
25 |
33 |
94 |
128 |
1,057 | ||||||
|
Goodwill impairment |
- |
- |
- |
- |
57,765 | ||||||
|
Restructuring expense |
2,769 |
3,517 |
175,774 |
21,045 |
207,189 | ||||||
|
Arbitration ruling |
- |
- |
- |
- |
(5,852) | ||||||
|
IPO-related costs |
- |
- |
(339) |
(82) |
(304) | ||||||
|
Other |
- |
- |
- |
- |
(31) | ||||||
|
Cash interest expense, net of interest income |
22,058 |
19,492 |
17,416 |
79,965 |
57,734 | ||||||
|
Provision for (benefit from) income taxes |
(2,870) |
(5,457) |
(9,559) |
(3,943) |
7,319 | ||||||
|
Depreciation |
41,960 |
43,161 |
48,099 |
164,970 |
156,464 | ||||||
|
Adjusted EBITDA |
$ 100,250 |
$ 67,276 |
$ 71,408 |
$ 189,653 |
$ 311,873 | ||||||
|
Q1 2018 and FY 2018 GUIDANCE | ||
|
(in thousands except percentages) |
Q1 2018 |
FY 2018 |
|
Revenue (GAAP) |
$280,000-$330,000 |
$1,600,000-$2,000,000 |
|
Revenue (non-GAAP) (1) |
$300,000-$350,000 |
$1,800,000-$2,200,000 |
|
Gross margin (GAAP) |
(2.5)%-(0.5)% |
N/A |
|
Gross margin (non-GAAP) (2) |
4%-6% |
N/A |
|
Net loss (GAAP) |
$90,000-$110,000 |
N/A |
|
Adjusted EBITDA (3) |
$5,000-$25,000 |
N/A |
|
(1) |
Estimated non-GAAP amounts above for Q1 2018 include net adjustments that increase revenue by approximately $20 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2018 include net adjustments that increase revenue by approximately $200 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q1 2018 include net adjustments that increase gross margin by approximately $20 million related to cost of above-market polysilicon, $3 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q1 2018 include net adjustments that decrease net loss by approximately $20 million related to impairment of lease assets, $20 million related to cost of above-market polysilicon, $9 million related to stock-based compensation expense, $3 million related to amortization of intangible assets, $1 million related to restructuring, $24 million related to interest expense, $2 million related to income taxes, and $36 million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross profit/margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||||
|
December 31, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Gain (Loss) |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||||
|
GAAP |
$ 175,652 |
$ 147,559 |
$ 334,889 |
$ 9,969 |
5.7% |
$ (27,389) |
-18.6% |
$ 2,188 |
0.7% |
$ (568,677) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
(1,330) |
- |
82 |
(467) |
- |
35 |
- |
- |
- |
1,155 |
- |
1,558 |
- |
2,281 | ||||||||||||||||||||
|
Utility and power plant projects |
- |
6,788 |
(3,482) |
- |
484 |
(2,013) |
- |
- |
- |
- |
- |
- |
- |
(1,529) | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
163,837 |
- |
- |
25,956 |
(117) |
- |
- |
- |
2,518 |
- |
- |
- |
28,357 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
- |
- |
- |
- |
- |
- |
- |
624,335 |
- |
- |
- |
- |
(150,626) |
473,709 | ||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
17,674 |
30,056 |
34,074 |
- |
- |
- |
- |
- |
- |
- |
81,804 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
482 |
810 |
1,491 |
1,131 |
5,380 |
- |
- |
- |
- |
- |
9,294 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
852 |
873 |
780 |
- |
6,264 |
- |
- |
- |
- |
- |
8,769 | ||||||||||||||||||||
|
Depreciation of idle equipment |
- |
- |
- |
533 |
834 |
933 |
- |
- |
- |
- |
- |
- |
- |
2,300 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
- |
1 |
1 |
4 |
19 |
- |
- |
- |
- |
- |
25 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
2,769 |
- |
- |
- |
- |
2,769 | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(3,338) |
- |
- |
(3,338) | ||||||||||||||||||||
|
Non-GAAP |
$ 174,322 |
$ 318,184 |
$ 331,489 |
$ 29,043 |
16.7% |
$ 31,625 |
9.9% |
$ 37,372 |
11.3% |
$ 35,764 | ||||||||||||||||||||||||
|
October 1, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings |
Gain (Loss) |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP |
$ 153,258 |
$ 106,005 |
$ 217,928 |
$ 26,644 |
17.4% |
$ 6,017 |
5.7% |
$ (17,003) |
-7.8% |
$ (54,247) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
(1,345) |
334 |
112 |
(480) |
212 |
(109) |
- |
- |
- |
1,070 |
- |
(1,609) |
- |
(916) | ||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
5,887 |
- |
- |
3,367 |
- |
- |
- |
- |
- |
- |
- |
3,367 | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
51,412 |
- |
- |
10,701 |
(32) |
- |
- |
- |
1,771 |
- |
- |
- |
12,440 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,751 |
6,996 |
21,714 |
- |
- |
- |
- |
- |
- |
- |
33,461 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
869 |
750 |
1,256 |
1,661 |
4,863 |
- |
- |
- |
- |
- |
9,399 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
847 |
821 |
899 |
- |
459 |
- |
- |
- |
- |
- |
3,026 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
2 |
3 |
5 |
4 |
19 |
- |
- |
- |
- |
- |
33 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
3,517 |
- |
- |
- |
- |
3,517 | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
19,407 |
- |
- |
19,407 | ||||||||||||||||||||
|
Non-GAAP |
$ 151,913 |
$ 157,751 |
$ 223,927 |
$ 32,633 |
21.5% |
$ 25,500 |
16.2% |
$ 10,097 |
4.5% |
$ 29,487 | ||||||||||||||||||||||||
|
January 1, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings |
Gain (Loss) |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP |
$ 220,464 |
$ 146,874 |
$ 657,551 |
$ 12,860 |
5.8% |
$ (24,470) |
-16.7% |
$ (20,463) |
-3.1% |
$ (275,118) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
(1,313) |
2,189 |
44,115 |
(503) |
1,410 |
669 |
- |
- |
- |
1,075 |
- |
3,650 |
- |
6,301 | ||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(4,047) |
- |
- |
2,542 |
- |
- |
- |
- |
- |
- |
- |
2,542 | ||||||||||||||||||||
|
Sale of operating lease assets |
(34,406) |
- |
- |
(10,105) |
- |
- |
- |
- |
- |
19 |
- |
- |
- |
(10,086) | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
65,887 |
- |
- |
8,278 |
- |
- |
- |
- |
157 |
- |
- |
- |
8,435 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
28,377 |
28,306 |
35,552 |
- |
- |
- |
- |
- |
- |
- |
92,235 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
902 |
1,093 |
2,964 |
2,141 |
5,496 |
- |
- |
- |
- |
- |
12,596 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,109 |
957 |
502 |
- |
450 |
- |
- |
- |
- |
- |
3,018 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
26 |
24 |
20 |
3 |
21 |
- |
- |
- |
- |
- |
94 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
175,774 |
- |
- |
- |
- |
175,774 | ||||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(339) |
- |
- |
- |
- |
- |
(339) | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(12,200) |
- |
- |
(12,200) | ||||||||||||||||||||
|
Non-GAAP |
$ 184,745 |
$ 214,950 |
$ 697,619 |
$ 32,666 |
17.7% |
$ 15,598 |
7.3% |
$ 21,786 |
3.1% |
$ 3,252 | ||||||||||||||||||||||||
|
TWELVE MONTHS ENDED | ||||||||||||||||||||||||||||||||||
|
December 31, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings |
Gain (Loss) |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP |
$ 622,066 |
$ 461,932 |
$ 787,815 |
$ 78,025 |
12.5% |
$ (21,163) |
-4.6% |
$ (72,133) |
-9.2% |
$ (851,163) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
(5,331) |
4,471 |
(797) |
(1,927) |
2,796 |
381 |
- |
- |
- |
9,351 |
- |
1,323 |
- |
11,924 | ||||||||||||||||||||
|
Utility and power plant projects |
- |
7,115 |
(21,367) |
- |
811 |
30,579 |
- |
- |
- |
- |
- |
- |
- |
31,390 | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
242,217 |
30,437 |
- |
31,767 |
(673) |
- |
- |
- |
7,688 |
- |
- |
- |
38,782 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Impairment of residential lease assets |
- |
- |
- |
- |
- |
- |
- |
624,335 |
- |
- |
- |
- |
(150,626) |
473,709 | ||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
31,507 |
49,184 |
86,215 |
- |
- |
- |
- |
- |
- |
- |
166,906 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,875 |
2,102 |
3,917 |
5,356 |
21,424 |
- |
- |
- |
- |
- |
34,674 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
3,783 |
3,202 |
3,221 |
1,201 |
7,641 |
- |
- |
- |
- |
- |
19,048 | ||||||||||||||||||||
|
Depreciation of idle equipment |
- |
- |
- |
533 |
834 |
933 |
- |
- |
- |
- |
- |
- |
- |
2,300 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
8 |
9 |
15 |
16 |
80 |
- |
- |
- |
- |
- |
128 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
21,045 |
- |
- |
- |
- |
21,045 | ||||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(82) |
- |
- |
- |
- |
- |
(82) | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
16,932 |
- |
- |
16,932 | ||||||||||||||||||||
|
Non-GAAP |
$ 616,735 |
$ 715,735 |
$ 796,088 |
$ 113,804 |
18.5% |
$ 69,542 |
9.7% |
$ 52,455 |
6.6% |
$ (34,407) | ||||||||||||||||||||||||
|
January 1, 2017 | ||||||||||||||||||||||||||||||||||
|
Revenue |
Gross profit / margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings |
Gain (Loss) |
Net income (loss) | |||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||||
|
GAAP |
$ 720,331 |
$ 436,915 |
$ 1,402,316 |
$ 116,772 |
16.2% |
$ (1,796) |
-0.4% |
$ 74,990 |
5.3% |
$ (471,064) | ||||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||||
|
8point3 |
(5,248) |
5,370 |
61,596 |
(1,657) |
3,751 |
8,418 |
- |
- |
- |
4,260 |
- |
39,607 |
- |
54,379 | ||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
9,443 |
- |
- |
10,274 |
- |
- |
- |
- |
- |
- |
- |
10,274 | ||||||||||||||||||||
|
Sale of operating lease assets |
(6,396) |
- |
- |
(1,942) |
- |
- |
- |
- |
- |
53 |
- |
- |
- |
(1,889) | ||||||||||||||||||||
|
Sale-leaseback transactions |
- |
78,533 |
- |
- |
11,351 |
- |
- |
- |
- |
349 |
- |
- |
- |
11,700 | ||||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
41,311 |
37,868 |
69,086 |
- |
- |
- |
- |
- |
- |
- |
148,265 | ||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
5,464 |
4,234 |
10,879 |
11,073 |
29,848 |
- |
- |
- |
- |
- |
61,498 | ||||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
2,965 |
3,059 |
1,655 |
3,007 |
6,683 |
- |
- |
- |
- |
- |
17,369 | ||||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
227 |
199 |
530 |
17 |
84 |
- |
- |
- |
- |
- |
1,057 | ||||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
- |
57,765 | ||||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
207,189 |
- |
- |
- |
- |
207,189 | ||||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
- |
(5,852) | ||||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(304) |
- |
- |
- |
- |
- |
(304) | ||||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(32) |
- |
1 |
- |
- |
- |
(31) | ||||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(5,315) |
- |
- |
(5,315) | ||||||||||||||||||||
|
Non-GAAP |
$ 708,687 |
$ 520,818 |
$ 1,473,355 |
$ 161,795 |
22.8% |
$ 57,744 |
11.1% |
$ 172,247 |
11.7% |
$ 85,041 | ||||||||||||||||||||||||
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-reports-fourth-quarter-and-fy-2017-results-300598936.html
SOURCE SunPower Corp.
Article Date
2/14/2018SunPower® Solar Panels Powering Three Solar Carports in Grenoble
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
LA-TOUR-DE-SALVAGNY, France, Feb. 12, 2018 /PRNewswire/ -- SunPower (NASDAQ:SPWR) announced today that 750 kilowatts of high efficiency SunPower® E-Series solar panels are powering three new carports in Grenoble. The project was led by regional utility GEG, in coordination with OSER and Grenoble Alpes Metropole, as part of its PARKOSOL program. PARKOSOL develops solar carport projects to serve the greater Grenoble area.
"Solar carports make sense because they provide electricity as well as shade," said GEG Production Director Daniel Besson. "High efficiency SunPower solar panels were the best choice for our carports because they maximize electricity output in space-constrained areas, and are recognized for high performance and reliability. The panels are manufactured sustainably, which enables these projects to meet environmental standards set by CRE, France's energy regulatory commission."
"Compared to conventional panels, SunPower E-Series solar panels produce 45 percent more energy in the same space over 25 years, and offer the solar industry's best warranty, guaranteeing power and product quality for 25 years," said SunPower Executive Vice President Peter Aschenbrenner. "SunPower is proud to partner with GEG on its innovative PARKOSOL program, promoting the increased use of cost-competitive, emission-free solar power in the Grenoble area."
SunPower's direct current E-Series solar panels, as well as its X-Series solar panels, are Cradle to Cradle Certified™ Silver. SunPower is the first solar panel manufacturer in the world to achieve this designation, which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness.
SunPower is a majority-owned subsidiary of Total SA.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-solar-panels-powering-three-solar-carports-in-grenoble-300596844.html
SOURCE SunPower Corp.
Article Date
2/12/20188point3, the Joint-Venture Yieldco of First Solar and SunPower, Enters into a Definitive Agreement to be Acquired by Capital Dynamics
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
TEMPE, Ariz. and SAN JOSE, Calif., Feb. 5, 2018 /PRNewswire/ -- First Solar, Inc. (NASDAQ:FSLR) ("First Solar") and SunPower Corporation (NASDAQ:SPWR) ("SunPower" and, together with First Solar, the "Sponsors") today announced that their joint-venture yieldco, 8point3 Energy Partners LP ("8point3" or the "Partnership"), has entered into an Agreement and Plan of Merger and Purchase Agreement (the "Merger Agreement") with CD Clean Energy and Infrastructure V JV, LLC, an investment fund managed by Capital Dynamics, Inc., and certain other co-investors (collectively, "Capital Dynamics"), pursuant to which Capital Dynamics will acquire 8point3 through an acquisition of 8point3 General Partner, LLC (the "General Partner"), the general partner of the Partnership (such transaction, the "GP Transfer"), all of the outstanding Class A shares in the Partnership and all of the outstanding common and subordinated units and incentive distribution rights in 8point3 Operating Company, LLC ("OpCo"), the Partnership's operating company (the "Proposed Transactions").
Pursuant to the Proposed Transactions, the Partnership's Class A shareholders and the Sponsors, as holders of common and subordinated units in OpCo, will receive $12.35 per share or per unit in cash, plus a preset daily amount representing cash expected to be generated from December 1, 2017 through closing less any distributions received after the execution of the Merger Agreement. No consideration will be received by the Sponsors for the incentive distribution rights and the GP Transfer pursuant to the Proposed Transactions.
The completion of the Proposed Transactions is subject to a number of closing conditions, including approval by a majority of the outstanding 8point3 public Class A shareholders, the expiration of the waiting period under the Hart-Scott-Rodino (HSR) Antitrust Improvements Act of 1976, Federal Energy Regulatory Commission (FERC) Section 203 approval and the approval of the Committee on Foreign Investment in the United States (CFIUS). The Sponsors, which are the indirect owners of the General Partner and approximately 64.5 percent of OpCo's outstanding units, have executed an agreement to vote in support of the Proposed Transactions. Additionally, the Proposed Transactions are subject to certain other customary closing conditions.
8point3 will host a conference call for investors to discuss the Proposed Transactions at 2:30 p.m., Pacific Time, on February 5, 2018. The call will be webcast and can be accessed from 8point3's website at http://ir.8point3energypartners.com.
About First Solar, Inc.
First Solar, Inc. (NASDAQ:FSLR) is a leading global provider of comprehensive photovoltaic (PV) solar systems that use its advanced module and system technology. First Solar's integrated power plant solutions deliver an economically attractive alternative to fossil-fuel electricity generation. From raw material sourcing through end-of-life module recycling, First Solar's renewable energy systems protect and enhance the environment. For more information about First Solar, please visit www.firstsolar.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way the world is powered, visit www.sunpower.com.
About 8point3
8point3 Energy Partners LP (NASDAQ:CAFD) is a limited partnership formed by First Solar, Inc. and SunPower Corporation to own, operate and acquire solar energy generation projects. The Partnership owns interests in projects in the United States that generate long-term contracted cash flows and serve utility, commercial and residential customers. For more information about 8point3, please visit: www.8point3energypartners.com.
About Capital Dynamics
Capital Dynamics, Inc. is an independent, global asset manager, investing in private equity, private credit and clean energy infrastructure. Capital Dynamics is client-focused, tailoring solutions to meet investor requirements. The Firm manages investments through a broad range of products and opportunities including separate account solutions, investment funds and structured private equity products. Capital Dynamics currently has $15 billion in assets under management and advisement.
Forward-Looking Statements
For First Solar Investors
This press release includes various "forward-looking statements" which are made pursuant to safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are often characterized by the use of words such as "estimate," "expect," "anticipate," "project," "plan," "intend," "seek," "believe," "forecast," "foresee," "likely," "may," "should," "goal," "target," "might," "will," "could," "predict," "continue" and the negative or plural of these words and other comparable terminology. Forward-looking statements are only predictions based on First Solar's current expectations and First Solar's projections about future events. You should not place undue reliance on these forward-looking statements. First Solar undertakes no obligation to update any of these forward-looking statements for any reason. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause First Solar's actual results, levels of activity, performance or achievements to differ materially from those expressed or implied by these statements. These factors include, but are not limited to, the expected timing and likelihood of completion of the Proposed Transactions, including the timing, receipt and terms and conditions of any required governmental approvals of the Proposed Transactions that could cause the parties to abandon the Proposed Transactions; the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger Agreement; the risk of failure of Partnership's shareholders to approve the Proposed Transactions; the risk that the parties may not be able to satisfy the conditions to the Proposed Transactions in a timely manner or at all; and the matters discussed in Item 1A. "Risk Factors," of First Solar's most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC.
For SunPower Investors
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to statements regarding: (a) the expected timing and likelihood of completion of the Proposed Transactions; (b) the timing and anticipated receipt of required shareholder, governmental, or other approvals of the Proposed Transactions; and (c) expected transaction proceeds and value. These forward-looking statements are based on SunPower's current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) the timing, receipt, and terms and conditions of any required governmental approvals of the Proposed Transactions that could cause the parties to abandon the Proposed Transactions; (2) the occurrence of any event, change, or other circumstances that could give rise to the termination of the Merger Agreement; (3) the risk of failure of the Partnership's shareholders to approve the Proposed Transactions; and (4) the risk that the parties may not be able to satisfy the conditions to the Proposed Transactions in a timely manner or at all. A detailed discussion of certain of these factors and other risks that affect SunPower's business is included in SunPower's filings makes with the SEC from time to time, including SunPower's most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of SunPower's Investor Relations website at http://investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to SunPower, and SunPower assumes no obligation to update these forward-looking statements in light of new information or future events.
ADDITIONAL INFORMATION AND WHERE TO FIND IT
This press release contains information about the Proposed Transactions involving the Partnership and its subsidiaries and affiliates of Capital Dynamics. In connection with the Proposed Transactions, the Partnership will file with the SEC and furnish to the Partnership's shareholders a proxy statement and other relevant documents. BEFORE MAKING ANY VOTING DECISION, THE PARTNERSHIP'S SHAREHOLDERS ARE URGED TO READ THE PROXY STATEMENT WHEN IT BECOMES AVAILABLE AND ANY OTHER DOCUMENTS TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTIONS OR INCORPORATED BY REFERENCE IN THE PROXY STATEMENT BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTIONS. Investors and shareholders will be able to obtain, free of charge, a copy of the proxy statement (when available) and other relevant documents filed with the SEC from the SEC's website at www.sec.gov. In addition, the proxy statement and the Partnership's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and amendments to those reports filed or furnished pursuant to Section 13(a) or 14(d) of the Exchange Act will be available free of charge through the Partnership's website at www.8point3energypartners.com/ as soon as reasonably practicable after they are electronically filed with, or furnished to, the SEC.
PARTICIPANTS IN THE SOLICITATION
The Partnership and the General Partner's directors and executive officers, and First Solar and SunPower and their respective directors and executive officers, are deemed to be participants in the solicitation of proxies from the shareholders of the Partnership in respect of the Proposed Transactions. Information regarding the directors and executive officers of the General Partner, First Solar and SunPower is contained in the Partnership's 2017 Form 10-K filed with the SEC on February 5, 2018, First Solar's 2016 Form 10-K filed with the SEC on February 22, 2017 and SunPower's 2016 Form 10-K filed with the SEC on February 17, 2017, respectively. Free copies of these documents may be obtained from the sources described above.
View original content with multimedia:http://www.prnewswire.com/news-releases/8point3-the-joint-venture-yieldco-of-first-solar-and-sunpower-enters-into-a-definitive-agreement-to-be-acquired-by-capital-dynamics-300593758.html
SOURCE SunPower Corp.; First Solar, Inc.
Article Date
2/5/20188point3 Enters into a Definitive Agreement to be Acquired by Capital Dynamics
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Feb. 5, 2018 /PRNewswire/ -- 8point3 Energy Partners LP (NASDAQ:CAFD) ("8point3" or the "Partnership") today announced it has entered into an Agreement and Plan of Merger and Purchase Agreement (the "Merger Agreement") with CD Clean Energy and Infrastructure V JV, LLC, an investment fund managed by Capital Dynamics, Inc., and certain other co-investors (collectively, "Capital Dynamics"), pursuant to which Capital Dynamics will acquire 8point3 through an acquisition of 8point3 General Partner, LLC (the "General Partner"), the general partner of the Partnership (such transaction, the "GP Transfer"), all of the outstanding Class A shares in the Partnership and all of the outstanding common and subordinated units and incentive distribution rights in 8point3 Operating Company, LLC ("OpCo"), the Partnership's operating company (the "Proposed Transactions").
Pursuant to the Proposed Transactions, the Partnership's Class A shareholders and First Solar, Inc. (NASDAQ: FSLR) ("First Solar") and SunPower Corporation (NASDAQ: SPWR) ("SunPower" and, together with First Solar, the "Sponsors"), as holders of common and subordinated units in OpCo, will receive $12.35 per share or per unit in cash, plus a preset daily amount representing cash expected to be generated from December 1, 2017 through closing less any distributions received after the execution of the Merger Agreement and prior to closing. No consideration will be received by the Sponsors for the incentive distribution rights and the GP Transfer.
The completion of the Proposed Transactions is subject to a number of closing conditions, including approval by a majority of the outstanding 8point3 public Class A shareholders, the expiration of the waiting period under the Hart-Scott-Rodino (HSR) Antitrust Improvements Act of 1976, Federal Energy Regulatory Commission (FERC) Section 203 approval and the approval of the Committee on Foreign Investment in the United States (CFIUS). The Sponsors, which are the indirect owners of our General Partner and approximately 64.5 percent of OpCo's outstanding units, have executed an agreement to vote in support of the Proposed Transactions. Additionally, the Proposed Transactions are subject to certain other customary closing conditions.
"The Partnership announced today that the Sponsors' strategic review has concluded with the signing of a definitive agreement for the Partnership to be acquired by Capital Dynamics," said Chuck Boynton, CEO of 8point3. "This transaction is the culmination of a thorough and comprehensive strategic review process that determined that Capital Dynamics's offer was the most compelling proposal for all shareholders relative to other options, including the option to continue as a stand-alone company."
The Partnership was formed to be a growth-oriented limited partnership, owning, operating and acquiring solar energy generation projects, with the primary objective of generating predictable cash distributions that grow at a sustainable rate. The Partnership intended to achieve this objective by acquiring high-quality solar assets primarily developed by its Sponsors.
For the last several quarters, the ability of the Partnership to execute on its growth strategy has been very limited. The evolving nature of the solar industry has enabled the Sponsors' strategies of recycling capital faster and more efficiently by selling projects at a stage of construction and development that is earlier than best suited for the Partnership. In addition, the Partnership's higher cost of capital and difficulty in accessing the capital markets on a consistent basis resulted in several replacements of projects under the Right of First Offer (ROFO) arrangements, as well as the Partnership later waiving its rights to acquire a number of ROFO projects from the Sponsors, with such waived projects subsequently acquired by third party buyers at purchase prices higher than those offered to the Partnership. These challenges, among others, present strategic and financial implications for the Partnership's operations and prospects as a stand-alone public company without the Sponsors, and its resulting competitive position in the market for renewable energy assets.
Goldman Sachs is acting as financial advisor to SunPower, and BofA Merrill Lynch is acting as financial advisor to First Solar, and Evercore is acting as financial advisor to the Conflicts Committee. Baker Botts L.L.P. is acting as legal counsel to SunPower, Skadden, Arps, Slate, Meagher & Flom, LLP is acting as legal counsel to First Solar and Richards, Layton & Finger P.A. is acting as legal counsel to the Conflicts Committee.
Fourth Quarter 2017 Results
The Partnership also announced its fourth quarter and fiscal year 2017 results. 8point3 reported revenue of $15.8 million and $70.1 million, net income of $8.8 million and $39.2 million, Adjusted EBITDA of $26.2 million and $121.3 million, and cash available for distribution (CAFD) of $37.8 million and $111.9 million, respectively.
The Board of Directors of the General Partner also declared a cash distribution for its Class A shares of $0.2802 per share for the fourth quarter, which was paid January 12, 2018 to shareholders of record on January 2, 2018.
The Partnership did not utilize its $125 million at-the-market (ATM) equity offering program during the fourth quarter of fiscal year 2017.
Guidance
The Partnership's first quarter 2018 guidance is as follows: revenue of $9.0 million to $10.0 million, net income of $1.5 million to $3.5 million, Adjusted EBITDA of $7.5 million to $9.5 million, CAFD of $14.5 million to $16.5 million and a distribution of $0.2802 per share. The Partnership's first quarter 2018 guidance includes approximately $3.0 million in expenses related to the Proposed Transactions and approximately $12.3 million tax benefit from the Tax Cuts and Jobs Act signed into law December 22, 2017.
During the pendency of the Proposed Transactions, we intend to make quarterly distributions of $0.2802 per share, which maintains the distribution level at the end of the fiscal year ended November 30, 2017.
8point3 will host a conference call for investors to discuss the Proposed Transactions at 2:30 p.m. Pacific Time, on February 5, 2018. Investors can access the call by either dialing 517.623.4618 with the passcode 8point3 or listening to the webcast through 8point3's website at http://ir.8point3energypartners.com.
About 8point3
8point3 Energy Partners LP (NASDAQ:CAFD) is a limited partnership formed by First Solar, Inc. and SunPower Corporation to own, operate and acquire solar energy generation projects. The Partnership owns interests in projects in the United States that generate long-term contracted cash flows and serve utility, commercial and residential customers. For more information about 8point3, please visit: www.8point3energypartners.com.
About Capital Dynamics
Capital Dynamics, Inc. is an independent, global asset manager, investing in private equity, private credit and clean energy infrastructure. We are client-focused, tailoring solutions to meet investor requirements. The Firm manages investments through a broad range of products and opportunities including separate account solutions, investment funds and structured private equity products. Capital Dynamics currently has $15 billion in assets under management and advisement.
For 8point3 Investors
This press release includes various "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements expressing management's expectations, beliefs, estimates, forecasts, projections and assumptions. You can identify our forward looking statements by words such as "anticipate", "believe", "estimate", "expect", "forecast", "goals", "objectives", "outlook", "intend", "plan", "predict", "project", "risks", "schedule", "seek", "target", "could", "may", "will", "should" or "would" or other similar expressions that convey the uncertainty of future events or outcomes. In accordance with "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, these statements are accompanied by cautionary language identifying important factors, though not necessarily all such factors, which could cause future outcomes to differ materially from those set forth in forward-looking statements. In particular, expressed or implied statements concerning the Sponsors' ownership interest in the Partnership, expectations of plans, strategies, objectives and growth and anticipated financial and operational performance of the Partnership and its subsidiaries, including guidance regarding the Partnership's revenue, net income, adjusted EBITDA, cash available for distribution and distributions, other future actions, conditions or events such as the commercial operation dates of projects, future operating results or the ability to generate sales, income or cash flow or to make distributions are forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future actions, conditions or events and future results of operations may differ materially from those expressed in these forward-looking statements. Forward-looking statements speak only as of the date hereof, February 5, 2018, and we disclaim any obligation to update such statements for any reason, except as required by law. All forward-looking statements contained in this press release are expressly qualified in their entirety by the cautionary statements contained or referred to in this paragraph. Many of the factors that will determine these results are beyond our ability to control or predict. These factors include the risk factors described under "Risk Factors" in our 2017 Form 10-K filed with the Securities and Exchange Commission (the "SEC") on February 5, 2018. If any of those risks occur, it could cause our actual results to differ materially from those contained in any forward-looking statement. Because of these risks and uncertainties, you should not place undue reliance on any forward-looking statement.
Furthermore, among other risks and uncertainties, there can be no guarantee that the Proposed Transactions will be completed, or if they are completed, the time frame in which they will be completed. The Proposed Transactions are subject to the satisfaction of certain conditions contained in the Merger Agreement. The failure to complete the Proposed Transactions could disrupt certain of 8point3's plans, operations, business and employee relationships.
ADDITIONAL INFORMATION AND WHERE TO FIND IT
This press release contains information about the Proposed Transactions involving the Partnership and its subsidiaries and affiliates of Capital Dynamics. In connection with the Proposed Transactions, the Partnership will file with the SEC a proxy statement for the Partnership's shareholders. The Partnership will mail the final proxy statement to its shareholders. INVESTORS AND SHAREHOLDERS OF THE PARTNERSHIP ARE URGED TO READ THE PROXY STATEMENT AND OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC CAREFULLY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PARTNERSHIP, CAPITAL DYNAMICS, THE PROPOSED TRANSACTIONS AND RELATED MATTERS. Investors and shareholders of the Partnership will be able to obtain free copies of the proxy statement and other documents filed with the SEC by the Partnership through the website maintained by the SEC at www.sec.gov. In addition, investors and shareholders of the Partnership will be able to obtain free copies of documents filed by the Partnership with the SEC from the Partnership's website, www.8point3energypartners.com, under the heading "SEC Filings" in the "Investor Relations" tab.
PARTICIPANTS IN THE SOLICITATION
The Partnership and our General Partner's directors and executive officers, and First Solar and SunPower and their respective directors and executive officers, are deemed to be participants in the solicitation of proxies from the shareholders of the Partnership in respect of the Proposed Transactions. Information regarding the directors and executive officers of our General Partner, First Solar and SunPower is contained in our 2017 Form 10-K filed with the SEC on February 5, 2018, First Solar's 2016 Form 10-K filed with the SEC on February 22, 2017 and SunPower's 2016 Form 10-K filed with the SEC on February 17, 2017, respectively. Free copies of these documents may be obtained from the sources described above.
Non-GAAP Financial Information
This earnings release includes certain financial measures that are not defined under U.S. generally accepted accounting principles (GAAP), including Adjusted EBITDA and CAFD. Such non-GAAP financial measures should be considered only as supplemental to, and not as superior to, financial measures prepared in accordance with GAAP. We reconcile these non-GAAP financial measures to the most directly comparable financial measure prepared in accordance with GAAP in the tables that accompany this release. In the introduction to such reconciliation tables that accompany this release, we disclose the reasons why we believe our use of the non-GAAP financial measures in this release provides useful information. Please read "Non-GAAP Financial Measures" below for further details on our use of non-GAAP financial measures.
|
8point3 Energy Partners LP | |||||||
|
Consolidated Balance Sheets | |||||||
|
(In thousands, except share data) | |||||||
|
November 30, 2017 |
November 30, 2016 | ||||||
|
Assets |
|||||||
|
Current assets: |
|||||||
|
Cash and cash equivalents |
$ |
13,528 |
$ |
14,261 |
|||
|
Accounts receivable and short-term financing receivables, net |
5,572 |
5,401 |
|||||
|
Prepaid and other current assets1 |
16,990 |
15,745 |
|||||
|
Total current assets |
36,090 |
35,407 |
|||||
|
Property and equipment, net |
713,284 |
720,132 |
|||||
|
Long-term financing receivables, net |
76,201 |
80,014 |
|||||
|
Investments in unconsolidated affiliates |
768,258 |
475,078 |
|||||
|
Other long-term assets |
15,372 |
24,432 |
|||||
|
Total assets |
$ |
1,609,205 |
$ |
1,335,063 |
|||
|
Liabilities and Equity |
|||||||
|
Current liabilities: |
|||||||
|
Accounts payable and other current liabilities1 |
$ |
4,394 |
$ |
23,771 |
|||
|
Short-term debt and financing obligations1 |
2,229 |
1,964 |
|||||
|
Deferred revenue, current portion |
1,025 |
870 |
|||||
|
Total current liabilities |
7,648 |
26,605 |
|||||
|
Long-term debt and financing obligations1 |
689,847 |
384,436 |
|||||
|
Deferred revenue, net of current portion |
123 |
308 |
|||||
|
Deferred tax liabilities |
37,318 |
30,733 |
|||||
|
Asset retirement obligations |
14,970 |
13,448 |
|||||
|
Other long-term liabilities |
1,945 |
— |
|||||
|
Total liabilities |
751,851 |
455,530 |
|||||
|
Redeemable noncontrolling interests |
17,346 |
17,624 |
|||||
|
Equity: |
|||||||
|
Class A shares, 28,088,673 and 28,072,680 issued and outstanding as of November 30, 2017 and November 30, 2016, respectively |
249,363 |
249,138 |
|||||
|
Class B shares, 51,000,000 issued and outstanding as of November 30, 2017 and November 30, 2016 |
— |
— |
|||||
|
Accumulated earnings |
4,595 |
22,440 |
|||||
|
Total shareholders' equity attributable to 8point3 Energy Partners LP |
253,958 |
271,578 |
|||||
|
Noncontrolling interests |
586,050 |
590,331 |
|||||
|
Total equity |
840,008 |
861,909 |
|||||
|
Total liabilities and equity |
$ |
1,609,205 |
$ |
1,335,063 |
|||
|
1The Partnership has related-party balances for transactions made with the Sponsors and tax equity investors. Related-party balances recorded within "Prepaid and other current assets" in the consolidated balance sheets were $0.7 million and $0.9 million as of November 30, 2017 and November 30, 2016, respectively. Related-party balances recorded within "Accounts payable and other current liabilities" in the consolidated balance sheets were $0.1 million and $19.7 million due to Sponsors as of November 30, 2017 and November 30, 2016, respectively, and $0.9 million and $1.0 million due to tax equity investors as of November 30, 2017 and November 30, 2016, respectively. Related-party balances recorded within "Short-term debt and financing obligations" and "Long-term debt and financing obligations" in the consolidated balance sheets were $2.2 million and $47.4 million, respectively, as of November 30, 2017, and $2.0 million and zero, respectively, as of November 30, 2016. |
|
8point3 Energy Partners LP | |||||||||||
|
Consolidated Statements of Operations | |||||||||||
|
(In thousands, except per share data) | |||||||||||
|
Year Ended |
Eleven Months Ended | ||||||||||
|
November 30, 2017 |
November 30, 2016 |
November 30, 2015 | |||||||||
|
Revenues: |
|||||||||||
|
Operating revenues1 |
$ |
70,089 |
$ |
61,198 |
$ |
10,660 |
|||||
|
Total revenues |
70,089 |
61,198 |
10,660 |
||||||||
|
Operating costs and expenses1: |
|||||||||||
|
Cost of operations |
8,450 |
6,959 |
2,624 |
||||||||
|
Cost of operations—SunPower, prior to IPO |
— |
— |
468 |
||||||||
|
Selling, general and administrative |
9,732 |
7,003 |
10,702 |
||||||||
|
Depreciation and accretion |
28,070 |
22,792 |
4,291 |
||||||||
|
Acquisition-related transaction costs |
56 |
2,271 |
212 |
||||||||
|
Total operating costs and expenses |
46,308 |
39,025 |
18,297 |
||||||||
|
Operating income (loss) |
23,781 |
22,173 |
(7,637) |
||||||||
|
Other expense (income): |
|||||||||||
|
Interest expense |
23,497 |
12,081 |
1,860 |
||||||||
|
Interest income |
(1,198) |
(1,203) |
(1,470) |
||||||||
|
Other expense (income) |
(971) |
(1,518) |
12,536 |
||||||||
|
Total other expense, net |
21,328 |
9,360 |
12,926 |
||||||||
|
Income (loss) before income taxes and equity in earnings of unconsolidated investees |
2,453 |
12,813 |
(20,563) |
||||||||
|
Income tax provision |
(6,587) |
(18,244) |
(12,503) |
||||||||
|
Equity in earnings of unconsolidated investees |
43,379 |
18,341 |
9,055 |
||||||||
|
Net income (loss) |
39,245 |
12,910 |
(24,011) |
||||||||
|
Less: Predecessor loss prior to IPO on June 24, 2015 |
— |
— |
(20,095) |
||||||||
|
Net income (loss) subsequent to IPO |
39,245 |
12,910 |
(3,916) |
||||||||
|
Less: Net income (loss) attributable to noncontrolling interests and redeemable noncontrolling interests |
27,838 |
(14,191) |
(22,642) |
||||||||
|
Net income attributable to 8point3 Energy Partners LP Class A shares |
$ |
11,407 |
$ |
27,101 |
$ |
18,726 |
|||||
|
Net income per Class A share: |
|||||||||||
|
Basic |
$ |
0.41 |
$ |
1.27 |
$ |
0.94 |
|||||
|
Diluted |
$ |
0.41 |
$ |
1.27 |
$ |
0.94 |
|||||
|
Distributions per Class A share: |
$ |
1.04 |
$ |
0.91 |
$ |
0.16 |
|||||
|
Weighted average number of Class A shares: |
|||||||||||
|
Basic |
28,079 |
21,420 |
20,002 |
||||||||
|
Diluted |
43,579 |
36,920 |
35,034 |
||||||||
|
1The Partnership has related-party activities for transactions made with the Sponsors. Related party transactions recorded within "Operating revenues" in the consolidated statement of operations were $5.2 million, $5.2 million and $2.3 million in fiscal 2017, 2016 and 2015, respectively. Related party transactions recorded within "Operating costs and expenses" in the consolidated statement of operations were $8.4 million, $7.0 million and $1.4 million in fiscal 2017, 2016 and 2015, respectively. Related party transactions recorded within "Other expense (income)" in the consolidated statement of operations were $0.3 million in fiscal 2017, and zero in both fiscal 2016 and 2015. |
|
8point3 Energy Partners LP | |||||||||||
|
Consolidated Statements of Cash Flows | |||||||||||
|
(In thousands) | |||||||||||
|
Year Ended |
Eleven Months Ended | ||||||||||
|
November 30, 2017 |
November 30, 2016 |
November 30, 2015 | |||||||||
|
Cash flows from operating activities: |
|||||||||||
|
Net income (loss) |
$ |
39,245 |
$ |
12,910 |
$ |
(24,011) |
|||||
|
Adjustments to reconcile net income (loss) to net cash provided by operating activities: |
|||||||||||
|
Depreciation, amortization and accretion |
28,500 |
22,880 |
4,291 |
||||||||
|
Unrealized loss (gain) on interest rate swap |
(706) |
(1,508) |
611 |
||||||||
|
Interest expense on financing obligation |
— |
— |
1,193 |
||||||||
|
Loss on termination of financing obligation |
— |
— |
6,477 |
||||||||
|
Reserve for rebates receivable |
— |
— |
1,338 |
||||||||
|
Distributions from unconsolidated investees |
43,379 |
18,075 |
6,766 |
||||||||
|
Equity in earnings of unconsolidated investees |
(43,379) |
(18,341) |
(9,055) |
||||||||
|
Deferred income taxes |
6,585 |
18,242 |
12,491 |
||||||||
|
Share-based compensation |
225 |
224 |
112 |
||||||||
|
Amortization of debt issuance costs |
983 |
626 |
— |
||||||||
|
Other, net |
131 |
370 |
328 |
||||||||
|
Changes in operating assets and liabilities: |
|||||||||||
|
Accounts receivable and financing receivable, net |
3,801 |
1,481 |
46 |
||||||||
|
Cash grants receivable |
— |
— |
146 |
||||||||
|
Rebates receivable |
— |
— |
(121) |
||||||||
|
Solar power systems to be leased under sales type leases |
— |
— |
197 |
||||||||
|
Prepaid and other assets |
7,827 |
(1,435) |
(4,258) |
||||||||
|
Deferred revenue |
(21) |
(59) |
(118) |
||||||||
|
Accounts payable and other liabilities |
2,098 |
1,171 |
5,403 |
||||||||
|
Net cash provided by operating activities |
88,668 |
54,636 |
1,836 |
||||||||
|
Cash flows from investing activities: |
|||||||||||
|
Cash provided by (used in) purchases of property and equipment, net |
(346) |
1,167 |
(223,688) |
||||||||
|
Cash paid for acquisitions |
(317,558) |
(284,797) |
— |
||||||||
|
Distributions from unconsolidated investees |
36,908 |
11,629 |
4,672 |
||||||||
|
Net cash used in investing activities |
(280,996) |
(272,001) |
(219,016) |
||||||||
|
Cash flows from financing activities: |
|||||||||||
|
Proceeds from issuance of Class A shares, net of issuance costs |
— |
113,325 |
393,750 |
||||||||
|
Proceeds from issuance of bank loans, net of issuance costs |
284,008 |
86,567 |
461,192 |
||||||||
|
Proceeds from issuance of Short-Term Note to First Solar |
— |
— |
1,964 |
||||||||
|
Repayment of bank loans |
(27,000) |
— |
(264,143) |
||||||||
|
Repayment of Short-Term Note to First Solar |
(1,964) |
— |
— |
||||||||
|
Capital contributions from SunPower |
— |
9,973 |
341,694 |
||||||||
|
Capital distributions to SunPower |
— |
— |
(3,163) |
||||||||
|
Cash distribution to First Solar at IPO |
— |
— |
(283,697) |
||||||||
|
Cash distribution to SunPower at IPO |
— |
— |
(371,527) |
||||||||
|
Cash distribution to SunPower for the remaining purchase price payments of initial projects |
— |
— |
(202,680) |
||||||||
|
Cash distribution to Class A shareholders |
(29,252) |
(20,241) |
(3,146) |
||||||||
|
Cash distributions to Sponsors as OpCo unitholders |
(53,132) |
(12,271) |
— |
||||||||
|
Cash contributions from noncontrolling interests and redeemable noncontrolling interests - tax equity investors |
28,388 |
3,671 |
203,717 |
||||||||
|
Cash distributions to noncontrolling interests and redeemable noncontrolling interests - tax equity investors |
(9,453) |
(6,179) |
— |
||||||||
|
Net cash provided by financing activities |
191,595 |
174,845 |
273,961 |
||||||||
|
Net increase (decrease) in cash and cash equivalents |
(733) |
(42,520) |
56,781 |
||||||||
|
Cash and cash equivalents, beginning of period |
14,261 |
56,781 |
— |
||||||||
|
Cash and cash equivalents, end of period |
$ |
13,528 |
$ |
14,261 |
$ |
56,781 |
|||||
|
Non-cash transactions: |
|||||||||||
|
Assignment of financing receivables to a third-party financial institution |
$ |
— |
$ |
— |
$ |
1,279 |
|||||
|
Property and equipment acquisitions funded by liabilities |
— |
19,538 |
— |
||||||||
|
Property and equipment additions funded by SunPower post-IPO |
— |
— |
50,683 |
||||||||
|
Settlement of related party payable by capital contribution from tax equity investor |
— |
46,837 |
— |
||||||||
|
Predecessor liabilities assumed by SunPower |
— |
— |
48,588 |
||||||||
|
Accrued distributions to noncontrolling interests and redeemable noncontrolling interests - tax equity investors |
909 |
975 |
— |
||||||||
|
Issuance by OpCo of OpCo common units, subordinated units and IDRs for acquisition of interests in First Solar Project Entities |
— |
— |
408,820 |
||||||||
|
Issuance by OpCo of promissory note to First Solar in connection with the Stateline Acquisition |
49,631 |
— |
— |
||||||||
|
Supplemental disclosures: |
|||||||||||
|
Cash paid for interest, net of amounts capitalized |
22,000 |
11,525 |
437 |
||||||||
Non-GAAP Financial Measures
Our management uses a variety of financial metrics to analyze our performance. The key financial metrics we evaluate are Adjusted EBITDA and CAFD.
Adjusted EBITDA.
We define Adjusted EBITDA as net income (loss) plus interest expense, net of interest income, income tax provision, depreciation, amortization and accretion, including our proportionate share of net interest expense, interest income, income taxes and depreciation, amortization and accretion from our unconsolidated affiliates that are accounted for under the equity method, and share-based compensation and transaction costs incurred for our acquisitions of projects; and excluding the effect of certain other non-cash or non-recurring items that we do not consider to be indicative of our ongoing operating performance such as, but not limited to, mark to market adjustments to the fair value of derivatives related to our interest rate hedges. Adjusted EBITDA is a non-U.S. GAAP financial measure. This measurement is not recognized in accordance with U.S. GAAP and should not be viewed as an alternative to U.S. GAAP measures of performance. The U.S. GAAP measure most directly comparable to Adjusted EBITDA is net income (loss). The presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items.
We believe Adjusted EBITDA is useful to investors in evaluating our operating performance because securities analysts and other interested parties use such calculations as a measure of financial performance and borrowers' ability to service debt. In addition, Adjusted EBITDA is used by our management for internal planning purposes including certain aspects of our consolidated operating budget and capital expenditures. It is also used by investors to assess the ability of our assets to generate sufficient cash flows to make distributions to our Class A shareholders.
However, Adjusted EBITDA has limitations as an analytical tool because it does not reflect our cash expenditures or future requirements for capital expenditures or contractual commitments, does not reflect changes in, or cash requirements for, working capital, does not reflect significant interest expense or the cash requirements necessary to service interest or principal payments on our outstanding debt or cash distributions on tax equity, does not reflect payments made or future requirements for income taxes, and excludes the effect of certain other cash flow items, all of which could have a material effect on our financial condition and results of operations. Adjusted EBITDA is a non-U.S. GAAP measure and should not be considered an alternative to net income (loss) or any other performance measure determined in accordance with U.S. GAAP, nor is it indicative of funds available to fund our cash needs. In addition, our calculations of Adjusted EBITDA are not necessarily comparable to EBITDA as calculated by other companies. Investors should not rely on these measures as a substitute for any U.S. GAAP measure, including net income (loss).
Cash Available for Distribution.
We use CAFD, which we define as Adjusted EBITDA less equity in earnings of unconsolidated affiliates, cash interest paid, cash income taxes paid, maintenance capital expenditures, cash distributions to noncontrolling interests and principal amortization payments on any project-level indebtedness plus cash distributions from unconsolidated affiliates, indemnity payments and promissory notes from Sponsors, test electricity generation, cash proceeds from sales-type residential leases, state and local rebates and cash proceeds for reimbursable network upgrade costs. Our cash flow is generated from distributions we receive from OpCo each quarter. OpCo's cash flow is generated primarily from distributions from the Project Entities. As a result, our ability to make distributions to our Class A shareholders depends primarily on the ability of the Project Entities to make cash distributions to OpCo and the ability of OpCo to make cash distributions to its unitholders.
We believe CAFD is useful to investors in evaluating our operating performance because securities analysts and other interested parties use such calculations as a measure of our ability to generate sustainable distributions. In addition, when evaluating a potential acquisition, our management team projects expected CAFD to determine whether to make such acquisition. The U.S. GAAP measure most directly comparable to CAFD is net income (loss).
However, CAFD has limitations as an analytical tool because it does not capture the level of capital expenditures necessary to maintain the operating performance of our projects, does not include changes in operating assets and liabilities and excludes the effect of certain other cash flow items, all of which could have a material effect on our financial condition and results from operations. CAFD is a non-U.S. GAAP measure and should not be considered an alternative to net income (loss) or any other performance measure determined in accordance with U.S. GAAP, nor is it indicative of funds available to fund our cash needs. In addition, our calculations of CAFD are not necessarily comparable to CAFD as calculated by other companies. Investors should not rely on these measures as a substitute for any U.S. GAAP measure, including net income (loss).
The following table presents a reconciliation of net income (loss) to Adjusted EBITDA and CAFD:
|
8point3 Energy Partners LP |
|||||||||||||||||||||||
|
Reconciliation of Net Income (Loss) to Adjusted EBITDA and CAFD |
|||||||||||||||||||||||
|
(Unaudited) |
|||||||||||||||||||||||
|
Three Months Ended |
Year Ended |
Eleven Months Ended | |||||||||||||||||||||
|
(in thousands) |
November 30, 2017 |
August 31, 2017 |
November 30, 2016 |
November 30, 2017 |
November 30, 2016 |
November 30, 2015 | |||||||||||||||||
|
Net income (loss) |
$ |
8,760 |
$ |
28,662 |
$ |
4,250 |
$ |
39,245 |
$ |
12,910 |
$ |
(24,011) |
|||||||||||
|
Add (Less): |
|||||||||||||||||||||||
|
Interest expense, net of interest income |
5,739 |
5,756 |
2,664 |
22,299 |
10,870 |
390 |
|||||||||||||||||
|
Income tax provision (benefit) |
(1,273) |
5,012 |
2,963 |
6,587 |
18,244 |
12,503 |
|||||||||||||||||
|
Depreciation, amortization and accretion |
7,302 |
7,327 |
6,556 |
28,500 |
22,880 |
4,291 |
|||||||||||||||||
|
Share-based compensation |
57 |
56 |
56 |
225 |
224 |
112 |
|||||||||||||||||
|
Acquisition-related transaction costs (1) |
6 |
19 |
10 |
56 |
2,271 |
212 |
|||||||||||||||||
|
Selling, general and administrative (2) |
— |
— |
— |
— |
— |
6,372 |
|||||||||||||||||
|
Loss on cash flow hedges related to Quinto interest rate swaps |
— |
— |
— |
— |
— |
5,448 |
|||||||||||||||||
|
Loss on termination of residential financing obligations |
— |
— |
— |
— |
— |
6,477 |
|||||||||||||||||
|
Unrealized loss (gain) on derivatives (3) |
(357) |
284 |
(972) |
(706) |
(1,508) |
611 |
|||||||||||||||||
|
Add proportionate share from equity method investments (4) |
|||||||||||||||||||||||
|
Interest expense, net of interest income |
(351) |
141 |
(375) |
89 |
(524) |
(165) |
|||||||||||||||||
|
Depreciation, amortization and accretion |
6,335 |
6,224 |
3,142 |
25,007 |
10,825 |
5,212 |
|||||||||||||||||
|
Adjusted EBITDA |
$ |
26,218 |
$ |
53,481 |
$ |
18,294 |
$ |
121,302 |
$ |
76,192 |
$ |
17,452 |
|||||||||||
|
Less: |
|||||||||||||||||||||||
|
Equity in earnings of unconsolidated affiliates, net with (4) above (5) |
(16,076) |
(29,687) |
(7,604) |
(68,475) |
(28,642) |
(14,102) |
|||||||||||||||||
|
Cash interest paid (6) |
(5,838) |
(5,930) |
(3,000) |
(22,195) |
(12,176) |
(4,502) |
|||||||||||||||||
|
Maintenance capital expenditures |
(25) |
(177) |
(50) |
(202) |
(50) |
— |
|||||||||||||||||
|
Cash distributions to non-controlling interests |
(2,693) |
(2,599) |
(2,412) |
(9,453) |
(6,142) |
— |
|||||||||||||||||
|
Short-Term Note (9) |
— |
— |
— |
(1,964) |
— |
— |
|||||||||||||||||
|
Add: |
|||||||||||||||||||||||
|
Cash distributions from unconsolidated affiliates (7) |
33,820 |
17,169 |
14,054 |
80,287 |
30,129 |
10,902 |
|||||||||||||||||
|
Indemnity payment from Sponsors (8) |
50 |
41 |
279 |
183 |
10,316 |
3,900 |
|||||||||||||||||
|
Short-Term Note (9) |
— |
— |
— |
— |
— |
1,964 |
|||||||||||||||||
|
Test electricity generation (10) |
— |
1 |
— |
33 |
421 |
5,576 |
|||||||||||||||||
|
Cash proceeds from sales-type residential leases, net (11) |
765 |
746 |
647 |
2,877 |
2,548 |
2,730 |
|||||||||||||||||
|
State and local rebates (12) |
— |
— |
— |
— |
299 |
— |
|||||||||||||||||
|
Cash proceeds for reimbursable network upgrade costs (13) |
1,626 |
125 |
222 |
9,504 |
222 |
— |
|||||||||||||||||
|
CAFD |
$ |
37,847 |
$ |
33,170 |
$ |
20,430 |
$ |
111,897 |
$ |
73,117 |
$ |
23,920 |
|||||||||||
|
(1) |
Represents acquisition-related financial advisory, legal and accounting fees associated with ROFO Project interests purchased and expected to be purchased by us in the future. |
|
(2) |
Represents the allocation of the Predecessor's corporate overhead in selling, general and administrative expenses. Costs incurred by the Partnership as a result of the strategic evaluation of the Proposed Transactions totaling $2.1 million in fiscal 2017 was not excluded to calculate Adjusted EBITDA and CAFD. |
|
(3) |
Represents the changes in fair value of interest rate swaps that were not designated as cash flow hedges. |
|
(4) |
Represents our proportionate share of net interest expense, depreciation, amortization and accretion from our unconsolidated affiliates that are accounted for under the equity method. |
|
(5) |
Equity in earnings of unconsolidated affiliates represents the earnings from the Solar Gen 2 Project, the North Star Project, the Lost Hills Blackwell Project, the Henrietta Project, and the Stateline Project and is included on our consolidated statements of operations. |
|
(6) |
Represents cash interest payments related to OpCo's senior secured credit facility and the Stateline Promissory Note. The interest payments for the Quinto Credit Facility on the Predecessor's combined carve-out financial statements were excluded as they were funded by one of our Sponsors. |
|
(7) |
Cash distributions from unconsolidated affiliates represent the cash received by OpCo with respect to its 49% interest in the Solar Gen 2 Project, the North Star Project, the Lost Hills Blackwell Project, and the Henrietta Project and its 34% interest in the Stateline Project. |
|
(8) |
Represents indemnity payments from the Sponsors owed to OpCo in accordance with the Omnibus Agreement. |
|
(9) |
Represents the Short-Term Note, a promissory note from First Solar. |
|
(10) |
For fiscal 2017, test electricity generation represents the sale of electricity that was generated prior to COD by the Macy's Maryland Project. For fiscal 2016, test electricity generation represents the sale of electricity that was generated prior to COD by the Kingbird Project. For fiscal 2015, test electricity generation represents the sale of electricity that was generated prior to COD by the Quinto Project, the RPU Project, the UC Davis Project and the Macy's California Project. Solar power systems may begin generating electricity prior to COD as a result of the installation and interconnection of individual solar modules, which occurs over time during the construction and commission period. The sale of test electricity generation is accounted for as a reduction in the asset carrying value rather than operating revenue prior to COD, even though it generates cash for the related Project Entity. |
|
(11) |
Cash proceeds from sales-type residential leases, net, represent gross rental cash receipts for sales-type leases, less sales-type revenue and lease interest income that is already reflected in net income (loss) during the period. The corresponding revenue for such leases was recognized in the period in which such lease was placed in service, rather than in the period in which the rental payment was received, due to the characterization of these leases under U.S. GAAP. |
|
(12) |
State and local rebates represent cash received from state or local governments for owning certain solar power systems. The receipt of state and local rebates is accounted for as a reduction in the asset carrying value rather than operating revenue. |
|
(13) |
Cash proceeds from a utility company related to reimbursable network upgrade costs associated with the Quinto Project and the Kingbird Project. |
|
8point3 Energy Partners LP | ||||||||
|
FY 2018 Q1 Guidance | ||||||||
|
Reconciliation of Net Income to Adjusted EBITDA and CAFD | ||||||||
|
(in millions) |
Low |
High | ||||||
|
Net income |
$ |
1.5 |
$ |
3.5 |
||||
|
Add (Less): |
||||||||
|
Interest expense, net of interest income |
6.1 |
6.1 |
||||||
|
Income tax benefit |
(13.7) |
(13.7) |
||||||
|
Depreciation, amortization and accretion |
7.2 |
7.2 |
||||||
|
Share-based compensation |
0.1 |
0.1 |
||||||
|
Add proportionate share from equity method investments (1): |
||||||||
|
Depreciation, amortization and accretion |
6.3 |
6.3 |
||||||
|
Adjusted EBITDA |
$ |
7.5 |
$ |
9.5 |
||||
|
Less: |
||||||||
|
Equity in earnings of unconsolidated affiliates, net with (1) |
(6.2) |
(6.2) |
||||||
|
Cash interest paid |
(6.1) |
(6.1) |
||||||
|
Cash distributions to non-controlling interests |
(2.1) |
(2.1) |
||||||
|
Add: |
||||||||
|
Cash distributions from unconsolidated affiliates |
17.6 |
17.6 |
||||||
|
Cash proceeds for reimbursable network upgrade costs |
3.1 |
3.1 |
||||||
|
Cash proceeds from sales-type residential leases |
0.7 |
0.7 |
||||||
|
CAFD |
$ |
14.5 |
$ |
16.5 |
||||
|
(1) |
Represents our proportionate share of net interest expense, depreciation, amortization and accretion from our unconsolidated affiliates that are accounted for under the equity method. |
View original content with multimedia:http://www.prnewswire.com/news-releases/8point3-enters-into-a-definitive-agreement-to-be-acquired-by-capital-dynamics-300593750.html
SOURCE 8point3 Energy Partners LP
Article Date
2/5/2018Actis Acquires 110-Megawatt Solar Plant in Chile From SunPower
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
LONDON, and SAN JOSE, Calif., Jan. 25, 2018 /PRNewswire/ -- Actis and SunPower Corp. (NASDAQ:SPWR) announced today that Actis has acquired the 110-megawatt (DC) El Pelicano Solar Plant in Chile, which uses SunPower® Oasis® power plant technology. It is expected to deliver 300 gigawatt hours per year of electricity to Metro de Santiago, Santiago's underground railway system. The project is in the municipality of La Higuera (Coquimbo Region) near Vallenar (Atacama Region), and commenced commercial operation on November 17, 2017.
"With a supportive regulatory environment and abundant solar resource, Chile is a market we know extremely well through our investments in the Aela Energía and Atlas Renewables platforms," said Javier Areitio, director at Actis. "We are confident that in partnership with Metro de Santiago and SunPower, the El Pelicano plant will be a terrific illustration of clean, sustainable energy for many years to come."
On January 11, Metro de Santiago celebrated completion of the plant with an event at the site, attended by Chilean President Michelle Bachelet and Metro de Santiago President Rodrigo Azocar. Metro de Santiago will buy the power generated by the plant under a power purchase agreement. SunPower is providing operations and maintenance services for the facility under a long-term contract.
"Actis is focused on sustainable value, which makes the El Pelicano Solar Plant a great fit for its portfolio," said Chuck Boynton, SunPower chief financial officer. "High performance SunPower Oasis technology is designed to cost-effectively maximize power generation for decades. Forward-looking organizations like Actis and Metro de Santiago are a global model for the development of solar power, reducing reliance on unsustainable energy sources."
The SunPower Oasis system is a fully-integrated, modular solar power block that is engineered for rapid deployment and optimizing land use. The high-efficiency SunPower solar panels installed at the site will be cleaned using SunPower's proprietary robotic solar panel cleaning technology, which uses 75 percent less water than traditional cleaning methods and can help improve system performance by up to 15 percent.
Worldwide, more than 4.6 gigawatts of solar power plants operate today using SunPower's leading solar technology.
About Actis
Actis is a leading investor in growth markets with over US$13 billion raised since inception. Actis targets consistent, competitive returns delivered responsibly through insights gained from trusted relationships and local knowledge, set within a culture of active ownership across Asia, Africa and Latin America.
In the power sector, Actis has committed US$5 billion to 33 energy infrastructure companies across 25+ countries generating 18 gigawatts of energy capacity and directly impacted 80 million consumers. Actis' investments in Chile include 1.2GW Pan-Latin American renewable energy platform, Atlas Renewable Energy and Chilean renewable platform Aela Energía which is targeting 330 megawatts of installed capacity.
Actis is a signatory to the United Nations backed Principles for Responsible Investment (PRI). Actis was awarded an A+, the highest grade attainable, in the PRI's latest assessment.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and deliverables, projected energy output, anticipated product performance, cost savings, and continuity of business plans and strategies. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
1/25/2018SunPower to Announce Fourth-Quarter Results on February 14, 2018
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Jan. 22, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its fourth-quarter and fiscal year 2017 financial results on a conference call on Wednesday, February 14, 2018 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on February 14, 2018.
The company also will provide its initial comments on federal policy-related issues that will affect SunPower's business, including the 201 solar trade case and new tax legislation.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
1/22/2018SunPower Oasis Power Plant Begins Operation at Total's La Mède Refinery
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
PARIS, Jan. 18, 2018 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced that an 8-megawatt SunPower® Oasis® Power Plant was recently completed and is now operating at Total's La Mède refinery in Châteauneuf-les-Martigues, France.
"Total Solar is proud of the start-up of its photovoltaic power plant in La Mède. The project was completed in a very short time and in accordance with the strict safety standards specific to a refinery," said Julien Pouget, senior vice president Renewables at Total. "It demonstrates our willingness to continue to actively help drive the growth of solar power in France through the solarisation of industrial sites."
"SunPower delivers cost-competitive solar energy through innovative, integrated complete solutions such as our Oasis platform," said Tom Werner, SunPower president and CEO. "We commend Total for this forward-thinking, milestone project, and for using high performance SunPower technology to ensure long-term value."
The SunPower Oasis platform is a fully integrated power plant solution designed to streamline construction, reduce operations and maintenance costs, and maximize value for customers. The high efficiency SunPower® E-Series solar panels that are mounted on the Oasis solar trackers at the La Mède facility produce 30 percent more energy than conventional solar panels in the first year of operation.
SunPower is a majority-owned subsidiary of Total SA.
About SunPower Corp.
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, expected cost savings, projected energy output and future product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: competition and market conditions in the solar and general energy industry, regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2018 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in Europe, the U.S. and other countries as well. All other trademarks are properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
1/18/201812/18/2017 - SunPower Solar System to Power Net-Zero Energy "Bridge House" Project by Award-Winning Architect Dan Brunn
SunPower Solar System to Power Net-Zero Energy "Bridge House" Project by Award-Winning Architect Dan Brunn
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Dec. 18, 2017 /PRNewswire/ -- In partnership with leading architect Dan Brunn, SunPower (NASDAQ:SPWR) today announced the installation of a 10-kilowatt (KW) solar power system for the Los Angeles-based, award-winning architect's personal residence, Bridge House. A showcase for green building possibilities, the home is being built to be net-zero energy compliant, in advance of the California Residential Zero Net Energy Target of 2020, resulting in the amount of energy provided by the rooftop solar system to be equal to the amount of energy consumed by the building on an annual basis. In 2017, more than one-third of homebuilders said green building was a significant share of their overall activity. By 2022, this number is expected to increase to one-half, proving that trends of green construction and building are here to stay.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/7706158-sunpower-bridge-house/
"Beautiful, clean energy systems are the way of the future in custom homes," said Brunn. "SunPower's Equinox home solar system on Bridge House effortlessly complements the creation of a waste-free, net-zero energy home. The unique and holistic solar solution naturally fits the home's design integrity, while powering my day-to-day activities with the sun."
Bridge House, located in historic Hancock Park, Los Angeles, stretches 200 feet across the grounds and straddles a brook in an architectural feat that gives the project its name. When complete in 2018, the 4,500-square-foot home will serve as a demonstration of innovative and clean building processes. The green home will educate builders and the public about futuristic, custom home building practices.
SunPower joins several other partners including Dwell magazine and companies such as BONE Structure® and Bosch, to empower Bridge House to act as a social and educational venue. The solar project will be completed by early next year, and includes the game-changing SunPower Equinox system.
Key components of the SunPower Equinox system include high-efficiency SunPower solar panels, integrated SunPower microinverters, the low-profile, all-black SunPower InvisiMount® mounting system for optimal aesthetics, SunPower's EnergyLink™ ecosystem to monitor energy production in real-time, all complete with industry-leading product and power warranty.
Brunn, known for his international, experimental and modern approach to design, prides himself on efficiency and choreography of interiors empathetically designed for the human body. The creation of Bridge House is also intended to showcase ease of eco-friendly design and building.
"SunPower is proud to power Bridge House with the most efficient panels on the market, mirroring Brunn's minimalist approach with sleek and powerful solar," said Martin DeBono, SunPower executive vice president, residential solar. "Our goal is to deliver unbeatable solar power, long-term performance, and elegant curb appeal for all of our residential customers."
Learn more about SunPower's Equinox solution by visiting www.sunpower.com/equinox. Get started on your home solar system design by finding a local SunPower dealer partner near you.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans, timeline, and projected energy output. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX, and INVISIMOUNT are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are properties of their respective owners.
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SOURCE SunPower Corp.
Article Date
12/18/2017Gavilan College Selects SunPower to Deliver Combined Solar and Storage Project
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Nov. 16, 2017 /PRNewswire/ -- Gavilan College recently selected SunPower (NASDAQ:SPWR) to deploy a fully integrated solar and storage project at its campus in Gilroy, Calif. A SunPower® Helix™ Carport system totaling about 1.4 megawatts will be installed across two of the college's largest parking lots, enhanced by a 250-kilowatt (500 kilowatt-hour) energy storage solution from Stem, Inc. to help deliver significant demand charge savings.
System construction is currently underway, with completion expected before the end of 2017. To help finance the project, Gavilan Joint Community College District secured U.S. Department of Treasury clean renewable energy bonds (CREBs) with a 1.05 percent interest rate after a federal tax credit, which allow public sector entities to fund renewable energy projects. The district will own the solar power system along with the associated renewable energy credits.
"Investing in cleaner energy while providing covered parking for our students with this solar carport system made complete sense for us," said Frederick E. Harris, Vice President of Administrative Services at Gavilan College. "Together with SunPower, we have designed a unique system that will offset approximately 75 percent of our electricity use on the Gilroy campus, include a storage system allowing us to avoid expensive utility demand charges, feature enhanced parking lot lighting, and incorporate up to 102 electric car charging stations in compliance with the California Green Building Code."
SunPower's complete carport solution features high-efficiency solar panels that maximize energy production, delivering 45 percent more electricity in the same amount of space over 25 years compared to conventional solar panels. They are also backed by an industry-leading power and product warranty, providing customer confidence over the life of the contract. Stem, Inc. will provide an AI-driven energy storage solution to help maximize the value of the solar project.
"We're especially excited about SunPower's 25-year Demand Assurance Guarantee that covers product performance, energy production, operation and maintenance," Harris continued. "Combined with system monitoring capabilities and innovative classroom curriculum that SunPower has developed, we'll have the ability to create valuable instructional opportunities for our students and community members."
SunPower has long been a trusted solar partner for colleges and schools in California given the company's extensive experience delivering innovative energy solutions to education customers.
"We congratulate Gavilan College for taking control of energy costs with reliable solar and storage solutions from SunPower," said Nam Nguyen, SunPower executive vice president. "With more than 32 years of experience in solar, colleges across the country rely on SunPower to deliver leading renewable energy solutions that best fit their needs. We look forward to helping Gavilan College reduce energy costs over the long term, delivering more value over the system's useful life."
To learn more about solar for higher education, visit SunPower's webpage here.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
About Stem, Inc.
Stem creates innovative technology services that transform the way energy is distributed and consumed. AthenaTM by Stem is the first AI for energy storage and virtual power plants. It optimizes the timing of energy use and facilitates consumers' participation in energy markets, yielding economic and societal benefits while decarbonizing the grid. The company's mission is to build and operate the smartest and largest digitally-connected energy storage network for our customers. Headquartered in Millbrae, California, Stem is funded by a consortium of leading investors including Angeleno Group, Iberdrola (Inversiones Financieras Perseo), GE Ventures, Constellation Technology Ventures, Total Energy Ventures, Mitsui & Co. LTD., RWE Supply & Trading, and Mithril Capital Management. Visit www.stem.com for more information.
About Gavilan College
Gavilan College is one of California's 114 community colleges, serving a 2,700- square-mile area from South San Jose through most of San Benito County. The main campus, with a park-like setting, is located in Gilroy, CA. Additional instructional sites are located in Coyote Valley, Morgan Hill, San Martin (Aviation Maintenance Technology), and Hollister. Gavilan College offers courses and programs that satisfy the transfer requirements of four-year colleges and universities; job skill and career training programs; Basic Skills and English as a Second Language (ESL); Noncredit and Community Education.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected cost savings, projected energy output, relative generating capacity, project plans and deliverables, expected timelines, and anticipated product performance and ancillary capabilities, . These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: competition and market conditions in the solar and general energy industry, regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
|
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are properties of their respective owners. |
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SOURCE SunPower Corp.
Article Date
11/16/2017SunPower Solar Carport Solutions Earn Spot on BuildingGreen's Top 10 Products for 2018
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Nov. 10, 2017 /PRNewswire/ -- BuildingGreen – a trusted, independent source among builders for over 30 years – has long recognized green building products that help transform the industry by conserving energy and water, reducing emissions, and improving the overall environmental impact of physical structures. Today, SunPower (NASDAQ:SPWR) announces that its solar carport solutions are being recognized as one of BuildingGreen's top 10 recommended products for 2018.
"Our annual, Top 10 Green Building Products list represents the most exciting new innovations and biggest breakthroughs in health and environmental performance across all major building product sectors," said Brent Ehrlich, BuildingGreen's products and materials specialist. "We selected SunPower's carport solutions for their use of underutilized spaces, and for their multi-functional structural designs that can incorporate graywater and EV charging. SunPower's efficient solar panels are also Cradle to Cradle Certified™ Silver and can count toward LEED credits."
Drawing on decades of experience, SunPower has designed and engineered a suite of commercial solar carport solutions that efficiently monetize available space such as ground-level parking lots and the tops of parking garages. SunPower® E-Series or X-Series direct current solar panels can be affixed to the top of the carports, generating clean electricity and providing shade to vehicles underneath. These top-performing solar panels generate 45 percent more energy in the same space over 25 years when compared to conventional panels, contributing up to 35 percent of the credits required for the U.S. Green Building Council's LEED certification. They are also the first and only solar panels to receive Cradle to Cradle Certified™ Silver designation which demonstrates a product's quality based on five categories: material health, material reutilization, renewable energy use, water stewardship and social fairness.
"Our carports are sustainable, innovative solutions for companies looking to achieve reliable energy cost savings with solar while optimizing land use and adding an elegant, multi-functional feature to campuses that employees benefit from as well," said Norm Taffe, SunPower's executive vice president of products. "We are proud to see SunPower's solar carport offerings recognized by reputable experts knowledgeable in sustainable building and design, and look forward to delivering superior performance and value to more customers with our leading energy solutions."
SunPower's integrated carport designs also offer add-on features including water management, energy storage, electric vehicle charging, and energy-efficient lighting, giving customers more ways to enhance corporate sustainability efforts. To see how SunPower's broad range of carport solutions are meeting unique customer needs nationwide, visit www.sunpower.com/carport.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, cost savings, and anticipated product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
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SOURCE SunPower Corp.
Article Date
11/10/201711/6/2017 - SunPower Corporation CFO Chuck Boynton to Speak at Baird 2017 Global Industrial Conference in Chicago, Ill.
SunPower Corporation CFO Chuck Boynton to Speak at Baird 2017 Global Industrial Conference in Chicago, Ill.
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Nov. 6, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced that Chuck Boynton, SunPower chief financial officer, will speak at Baird 2017 Global Industrial Conference on November 7 at 3:30 p.m. Central Standard Time. The event is being held at the Four Seasons Hotel in Chicago, Illinois and will be webcast live from SunPower's website at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
11/6/201711/2/2017 - SunPower Reports Third Quarter 2017 Results
SunPower Reports Third Quarter 2017 Results
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Nov. 2, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its third quarter ended October 1, 2017.
|
($ Millions, except percentages and per-share data) |
3rd Quarter 2017 |
2nd Quarter 2017 |
3rd Quarter 2016 |
|
GAAP revenue |
$477.2 |
$337.4 |
$729.3 |
|
GAAP gross margin |
3.3% |
4.5% |
17.7% |
|
GAAP net loss |
($54.2) |
($93.8) |
($40.5) |
|
GAAP net loss per diluted share |
($0.39) |
($0.67) |
($0.29) |
|
Non-GAAP revenue1 |
$533.6 |
$341.5 |
$770.1 |
|
Non-GAAP gross margin1,2 |
12.8% |
12.2% |
23.6% |
|
Non-GAAP net income (loss)1,2 |
$29.5 |
($49.3) |
$124.4 |
|
Non-GAAP net income (loss) per diluted share1,2 |
$0.21 |
($0.35) |
$0.88 |
|
Adjusted EBITDA1,2 |
$67.3 |
$13.5 |
$175.6 |
|
Operating cash flow |
($26.6) |
($161.8) |
($128.3) |
|
1 Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
|
2 Excludes polysilicon costs related to above market polysilicon contracts. |
"We were pleased with our overall results as our diversified model and solid execution enabled us to exceed our financial forecasts for the quarter," said Tom Werner, SunPower president and CEO. "Our distributed generation business performed well as customer demand for our complete solution products remained strong. As expected, we are seeing continued momentum in our commercial segment as we are realizing the benefits from our investments over the last year. Our third quarter performance reflected the completion of our Toyota headquarters project while traction for our SunPower Helix product continued with bookings from both new and repeat customers. Demand for our high quality, industry leading solutions in our residential business remains robust and is supported by our ability to offer customers multiple financing alternatives for their systems. In power plant, we benefitted from the completion and sale of our 69-megawatt (MW) Gala project while executing on our commitments for the fourth quarter including our 100-MW El Pelicano project in Chile which we expect to be sold this year, and demand in our SunPower Solutions group remains strong, with bookings now exceeding 500 MW.
"Operationally, we achieved our cost reduction targets for the quarter and our Fabs remain 100 percent utilized. Also, we further invested in our next generation cell and module technology with the goal of volume production of these products in the second half of 2018. We remain committed to improving our competitive position, strengthening our balance sheet and returning to long-term sustained profitability starting in the second half of 2018."
"Strategically, we have made significant progress in our restructuring program which remains on track to be completed in the first half of next year. Our focus continues to be on maximizing cash flow through project sales, reducing operating expenses and the potential monetization of non-core assets. In relation to the 201 trade case proceedings, we remain committed to advocating our belief that SunPower should be differentially treated or excluded from all remedies as we are a U.S. based company with more than 1,000 direct employees and an employment network exceeding 17,500 people through our indirect dealer channel, supply chain partners, as well as site installation workers across 40 states. Additionally, our industry leading, high efficiency technology, the result of approximately $500 million in U.S. research and development spending, is fundamentally different than the industry standard. Also, our premium pricing and proprietary products serve a distinct subset of the market and do not compete directly with offerings from the petitioners so our exclusion will not hurt their ability to grow their business. We will continue to work with the Trump Administration to ensure all parties are aware of our consistent investment in U.S. jobs, product innovation and the U.S. solar industry and are confident that the President will take these facts into account in the final decision," concluded Werner.
"Our third quarter results reflect our continued ability to execute on our model while benefitting from our corporate restructuring and cash generating initiatives," said Chuck Boynton, SunPower chief financial officer. "Financially, our focus remains on prudently managing our working capital and strengthening our balance sheet. To that end, we were pleased to secure nearly $200 million in incremental financings to facilitate further growth in our residential and commercial businesses. Given our strong execution and focus on cash flow, we are well positioned to achieve our strategic goals."
Third quarter fiscal 2017 non-GAAP results exclude net adjustments that, in the aggregate, improved non-GAAP earnings by $83.7 million, including $12.4 million related to sale-leaseback transactions, $33.5 million related to cost of above market polysilicon, $9.4 million related to stock-based compensation expense, $19.4 million related to tax effect, and $9.0 million of other non-GAAP adjustments.
Financial Outlook
The company's fourth quarter 2017 guidance assumes the expected sale of the company's 100-MW El Pelicano project in Chile this year as well as the impact of the third quarter recognition of certain projects originally anticipated to close in the fourth quarter.
The company's fourth quarter GAAP guidance is as follows: revenue of $635 million to $685 million, gross margin of 6.5 percent to 8.5 percent and a net loss of $80 million to $55 million. Fourth quarter 2017 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting as well as the impact of charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $800 million to $850 million, gross margin of 13 percent to 15 percent, Adjusted EBITDA of $75 million to $100 million and megawatts deployed in the range of 420 MW to 450 MW.
For fiscal year 2017, the company expects revenue of $1.85 billion to $1.90 billion on a GAAP basis and $2.10 billion to $2.15 billion on a non-GAAP basis, gigawatts (GW) deployed in the range of 1.37 GW to 1.40 GW, non-GAAP operational expenses of $330 million to $340 million, lower capital expenditures now forecasted to be in the range of $100 million to $120 million and to exit the year with more than $300 million in cash excluding any proceeds from the potential divestiture of non-core assets.
Additionally, the company is now forecasting 2017 Adjusted EBITDA guidance to be in the range of $165 million to $190 million with positive operating cash flow for the full year 2017.
The company will host a conference call for investors this morning to discuss its third quarter 2017 performance at 5:30 a.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its third quarter 2017 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) anticipated project and sale timelines; (b) our product plans and production goals; (c) our positioning for future success, long-term competitiveness, and our ability to return to sustained profitability; (d) our expectations for the timing, success, and financial impact of our restructuring plan and associated initiatives, including plans to sell projects and monetize certain non-core assets, and the impact of these initiatives on our financial performance, cash flow, and operating expenses; (d) our expectations regarding the outcome of the Section 201 trade action, the impact of any remedies imposed thereunder, and our advocacy and response plans; (e) plans for growth in our residential and commercial businesses, and our ability to achieve our strategic goals; (f) our ability to complete planned project sales, deleverage our balance sheet, retire our 2018 convertible bonds, strengthen our balance sheet, and generate additional cash proceeds to fund our planned growth initiatives; (g) our plans to invest in technologies and strategic initiatives and allocate resources; (h) our expectations for the solar industry and the markets we serve, including market conditions, recovery, and long-term prospects for improvement; (i) our fourth quarter fiscal 2017 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed ;and (j) full year fiscal 2017 guidance, including GAAP and non-GAAP revenue, gigawatts deployed, operational expenditures, capital expenditures, ending cash, and Adjusted EBITDA, and cash flow. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) changes in public policy, including the imposition of remedies pursuant to the Section 201 trade action currently before the International Trade Commission; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) challenges inherent in constructing certain of our large projects; (6) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (7) fluctuations in our operating results; (8) appropriately sizing our manufacturing capacity and containing manufacturing difficulties that could arise; (9) challenges managing our joint ventures and partnerships; (10) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful, or that we may not be able to successfully monetize our interest in 8point3 Energy Partners; (11) fluctuations or declines in the performance of our solar panels and other products and solutions; and (12) our ability to successfully implement actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring plan and associated initiatives, including plans to sell projects, monetize assets, streamline our business and focus. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Oct. 1, |
Jan. 1, | ||
|
2017 |
2017 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 275,004 |
$ 425,309 | |
|
Restricted cash and cash equivalents, current portion |
41,738 |
33,657 | |
|
Accounts receivable, net |
186,230 |
219,638 | |
|
Costs and estimated earnings in excess of billings |
19,229 |
32,780 | |
|
Inventories |
408,212 |
401,707 | |
|
Advances to suppliers, current portion |
46,096 |
111,479 | |
|
Project assets - plants and land, current portion |
364,165 |
374,459 | |
|
Prepaid expenses and other current assets |
164,420 |
315,670 | |
|
Total current assets |
1,505,094 |
1,914,699 | |
|
Restricted cash and cash equivalents, net of current portion |
61,211 |
55,246 | |
|
Restricted long-term marketable securities |
6,131 |
4,971 | |
|
Property, plant and equipment, net |
1,052,834 |
1,027,066 | |
|
Solar power systems leased and to be leased, net |
707,534 |
621,267 | |
|
Project assets - plants and land, net of current portion |
42,311 |
33,571 | |
|
Advances to suppliers, net of current portion |
185,968 |
173,277 | |
|
Long-term financing receivables, net |
598,832 |
507,333 | |
|
Goodwill and other intangible assets, net |
33,686 |
44,218 | |
|
Other long-term assets |
115,040 |
185,519 | |
|
Total assets |
$ 4,308,641 |
$ 4,567,167 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 408,430 |
$ 540,295 | |
|
Accrued liabilities |
251,127 |
391,226 | |
|
Billings in excess of costs and estimated earnings |
8,438 |
77,140 | |
|
Short-term debt |
57,453 |
71,376 | |
|
Convertible debt, current portion |
299,495 |
- | |
|
Customer advances, current portion |
45,273 |
10,138 | |
|
Total current liabilities |
1,070,216 |
1,090,175 | |
|
Long-term debt |
601,070 |
451,243 | |
|
Convertible debt |
815,978 |
1,113,478 | |
|
Customer advances, net of current portion |
71,877 |
298 | |
|
Other long-term liabilities |
795,943 |
721,032 | |
|
Total liabilities |
3,355,084 |
3,376,226 | |
|
Redeemable noncontrolling interests in subsidiaries |
125,860 |
103,621 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
140 |
139 | |
|
Additional paid-in capital |
2,434,428 |
2,410,395 | |
|
Accumulated deficit |
(1,546,511) |
(1,218,681) | |
|
Accumulated other comprehensive loss |
(4,109) |
(7,238) | |
|
Treasury stock, at cost |
(181,174) |
(176,783) | |
|
Total stockholders' equity |
702,774 |
1,007,832 | |
|
Noncontrolling interests in subsidiaries |
124,923 |
79,488 | |
|
Total equity |
827,697 |
1,087,320 | |
|
Total liabilities and equity |
$ 4,308,641 |
$ 4,567,167 | |
|
SUNPOWER CORPORATION | |||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||
|
(In thousands, except per share data) | |||||||||
|
(Unaudited) | |||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | |||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||
|
Revenue: |
|||||||||
|
Residential |
$ 153,258 |
$ 157,125 |
$ 170,345 |
$ 446,414 |
$ 499,867 | ||||
|
Commercial |
106,005 |
100,105 |
139,954 |
314,373 |
290,041 | ||||
|
Power Plant |
217,928 |
80,216 |
419,047 |
452,926 |
744,765 | ||||
|
Total revenue |
477,191 |
337,446 |
729,346 |
1,213,713 |
1,534,673 | ||||
|
Cost of revenue: |
|||||||||
|
Residential |
126,614 |
130,987 |
138,836 |
378,358 |
395,955 | ||||
|
Commercial |
99,988 |
97,530 |
132,618 |
308,147 |
267,367 | ||||
|
Power Plant |
234,931 |
93,694 |
328,684 |
527,247 |
649,312 | ||||
|
Total cost of revenue |
461,533 |
322,211 |
600,138 |
1,213,752 |
1,312,634 | ||||
|
Gross margin |
15,658 |
15,235 |
129,208 |
(39) |
222,039 | ||||
|
Operating expenses: |
|||||||||
|
Research and development |
20,693 |
19,754 |
28,153 |
60,962 |
92,270 | ||||
|
Selling, general and administrative |
68,401 |
68,703 |
80,070 |
204,507 |
262,544 | ||||
|
Restructuring charges |
3,517 |
4,969 |
31,202 |
18,276 |
31,415 | ||||
|
Total operating expenses |
92,611 |
93,426 |
139,425 |
283,745 |
386,229 | ||||
|
Operating loss |
(76,953) |
(78,191) |
(10,217) |
(283,784) |
(164,190) | ||||
|
Other income (expense), net: |
|||||||||
|
Interest income |
636 |
387 |
630 |
1,961 |
2,133 | ||||
|
Interest expense |
(21,898) |
(22,370) |
(15,813) |
(65,037) |
(42,644) | ||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
- |
- |
203,252 |
- |
203,252 | ||||
|
Loss on equity method investment in connection with acquisition |
- |
- |
(90,946) |
- |
(90,946) | ||||
|
Goodwill impairment |
- |
- |
(147,365) |
- |
(147,365) | ||||
|
Other, net |
(1,406) |
(15,744) |
(5,169) |
(19,340) |
(17,223) | ||||
|
Other expense, net |
(22,668) |
(37,727) |
(55,411) |
(82,416) |
(92,793) | ||||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(99,621) |
(115,918) |
(65,628) |
(366,200) |
(256,983) | ||||
|
Benefit from (provision for) income taxes |
5,457 |
(2,353) |
(7,049) |
1,073 |
(16,878) | ||||
|
Equity in earnings of unconsolidated investees |
15,308 |
5,449 |
16,770 |
21,809 |
24,356 | ||||
|
Net loss |
(78,856) |
(112,822) |
(55,907) |
(343,318) |
(249,505) | ||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
24,609 |
19,062 |
15,362 |
60,832 |
53,559 | ||||
|
Net loss attributable to stockholders |
$ (54,247) |
$ (93,760) |
$ (40,545) |
$ (282,486) |
$ (195,946) | ||||
|
Net loss per share attributable to stockholders: |
|||||||||
|
- Basic |
$ (0.39) |
$ (0.67) |
$ (0.29) |
$ (2.03) |
$ (1.42) | ||||
|
- Diluted |
$ (0.39) |
$ (0.67) |
$ (0.29) |
$ (2.03) |
$ (1.42) | ||||
|
Weighted-average shares: |
|||||||||
|
- Basic |
139,517 |
139,448 |
138,209 |
139,289 |
137,832 | ||||
|
- Diluted |
139,517 |
139,448 |
138,209 |
139,289 |
137,832 | ||||
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||
|
(In thousands) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | ||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | ||||||
|
Cash flows from operating activities: |
||||||||||
|
Net loss |
$ (78,856) |
$ (112,822) |
$ (55,907) |
$ (343,318) |
$ (249,505) | |||||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
||||||||||
|
Depreciation and amortization |
46,188 |
45,269 |
39,827 |
133,541 |
122,842 | |||||
|
Stock-based compensation |
9,399 |
8,606 |
15,907 |
25,380 |
48,902 | |||||
|
Non-cash interest expense |
4,818 |
4,777 |
308 |
12,553 |
963 | |||||
|
Non-cash restructuring charges |
- |
- |
17,926 |
- |
17,926 | |||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
- |
- |
(203,252) |
- |
(203,252) | |||||
|
Impairment of equity method investment |
- |
8,607 |
90,946 |
8,607 |
90,946 | |||||
|
Goodwill impairment |
- |
- |
147,365 |
- |
147,365 | |||||
|
Dividend from 8point3 Energy Partners LP |
7,631 |
7,409 |
- |
22,232 |
- | |||||
|
Equity in earnings of unconsolidated investees |
(15,308) |
(5,449) |
(16,770) |
(21,809) |
(24,356) | |||||
|
Excess tax benefit from stock-based compensation |
- |
- |
(1,222) |
- |
(1,222) | |||||
|
Deferred income taxes |
290 |
1,058 |
1,852 |
1,575 |
2,791 | |||||
|
Other, net |
1,020 |
(617) |
2,006 |
5,180 |
3,805 | |||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
- |
|||||||||
|
Accounts receivable |
10,331 |
(27,224) |
(13,268) |
34,776 |
(36,563) | |||||
|
Costs and estimated earnings in excess of billings |
394 |
1,859 |
7,278 |
13,551 |
13,579 | |||||
|
Inventories |
9,432 |
(36,440) |
13,901 |
(67,012) |
(101,146) | |||||
|
Project assets |
(2,194) |
(97,022) |
(1,262) |
(62,024) |
(434,645) | |||||
|
Prepaid expenses and other assets |
11,525 |
53,852 |
20,674 |
150,628 |
69,293 | |||||
|
Long-term financing receivables, net |
(28,984) |
(31,872) |
(41,424) |
(91,499) |
(136,543) | |||||
|
Advances to suppliers |
19,910 |
19,081 |
4,434 |
52,692 |
45,003 | |||||
|
Accounts payable and other accrued liabilities |
(20,495) |
(9,754) |
(156,279) |
(228,368) |
(144,202) | |||||
|
Billings in excess of costs and estimated earnings |
(3,269) |
(4,411) |
7,170 |
(68,702) |
(15,879) | |||||
|
Customer advances |
1,556 |
13,294 |
(8,556) |
106,713 |
(14,440) | |||||
|
Net cash used in operating activities |
(26,612) |
(161,799) |
(128,346) |
(315,304) |
(798,338) | |||||
|
Cash flows from investing activities: |
||||||||||
|
Purchases of property, plant and equipment |
(12,491) |
(17,246) |
(56,150) |
(57,614) |
(149,475) | |||||
|
Cash paid for solar power systems, leased and to be leased |
(23,504) |
(22,811) |
(18,261) |
(64,532) |
(64,417) | |||||
|
Cash paid for solar power systems |
(30,230) |
(3,407) |
- |
(38,242) |
(2,282) | |||||
|
Proceeds from sales or maturities marketable securities |
- |
- |
6,210 |
- |
6,210 | |||||
|
Payments to 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
- |
- |
- |
- |
(9,838) | |||||
|
Purchases of marketable securities |
(1,306) |
- |
- |
(1,306) |
- | |||||
|
Cash paid for acquisitions, net of cash acquired |
- |
- |
(24,003) |
- |
(24,003) | |||||
|
Dividend from equity method investee |
1,470 |
1,421 |
- |
2,891 |
- | |||||
|
Cash paid for investments in unconsolidated investees |
(4,344) |
(1,461) |
(737) |
(15,947) |
(11,046) | |||||
|
Net cash used in investing activities |
(70,405) |
(43,504) |
(92,941) |
(174,750) |
(254,851) | |||||
|
Cash flows from financing activities: |
||||||||||
|
Proceeds from bank loans and other debt |
81,749 |
90,637 |
- |
283,149 |
- | |||||
|
Repayment of bank loans and other debt |
(74,622) |
(99,913) |
(7,685) |
(303,562) |
(15,572) | |||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
52,535 |
10,062 |
89,634 |
83,177 |
142,862 | |||||
|
Repayment of non-recourse residential financing |
(1,731) |
(1,726) |
(34,541) |
(4,755) |
(36,707) | |||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
44,412 |
47,595 |
34,558 |
141,037 |
91,723 | |||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(4,574) |
(4,691) |
(6,514) |
(13,028) |
(13,419) | |||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
92,014 |
104,843 |
168,794 |
318,675 |
602,286 | |||||
|
Repayment of non-recourse power plant and commercial financing |
(116,585) |
(3,057) |
(220,186) |
(148,606) |
(257,538) | |||||
|
Contributions from noncontrolling interests attributable to power plant and commercial projects |
800 |
- |
- |
800 |
- | |||||
|
Excess tax benefit from stock-based compensation |
- |
- |
1,222 |
- |
1,222 | |||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(175) |
(153) |
(1,282) |
(4,390) |
(20,953) | |||||
|
Net cash provided by financing activities |
73,823 |
143,597 |
24,000 |
352,497 |
493,904 | |||||
|
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents |
124 |
386 |
1,173 |
1,298 |
1,480 | |||||
|
Net decrease in cash, cash equivalents, restricted cash and restricted cash equivalents |
(23,070) |
(61,320) |
(196,114) |
(136,259) |
(557,805) | |||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
401,023 |
462,343 |
659,073 |
514,212 |
1,020,764 | |||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 377,953 |
$ 401,023 |
$ 462,959 |
$ 377,953 |
$ 462,959 | |||||
|
Non-cash transactions: |
||||||||||
|
Assignment of residential lease receivables to third parties |
$ 65 |
$ 7 |
$ 1,246 |
$ 90 |
$ 3,722 | |||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
$ 14,925 |
$ 14,078 |
$ 14,092 |
$ 42,392 |
$ 43,983 | |||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
$ 5,298 |
$ 7,016 |
$ 6,226 |
$ 5,298 |
$ 6,226 | |||||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
$ 10,266 |
$ 2,702 |
$ - |
$ 65,885 |
$ 7,375 | |||||
|
Property, plant and equipment acquisitions funded by liabilities |
$ 32,367 |
$ 40,669 |
$ 85,994 |
$ 32,367 |
$ 85,994 | |||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
$ 445 |
$ 1,858 |
$ 34,862 |
$ 4,918 |
$ 43,588 | |||||
|
Exchange of receivables for an investment in an unconsolidated investee |
$ - |
$ - |
$ - |
$ - |
$ 2,890 | |||||
|
Contractual obligations satisfied with inventory |
$ 13,187 |
$ 6,668 |
$ - |
$ 19,855 |
$ - | |||||
|
Acquisition funded by liabilities |
$ - |
$ - |
$ 100,550 |
$ - |
$ 100,550 | |||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross margin includes adjustments relating to cost of above-market polysilicon, stock-based compensation, amortization of intangible assets, non-cash interest expense, and arbitration ruling, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to goodwill impairment, restructuring expense, IPO-related costs, the tax effect of these non-GAAP adjustments, and other items, each as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
Other Non-GAAP Adjustments
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | |||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | |||||||||
|
(In thousands, except percentages and per share data) | |||||||||
|
(Unaudited) | |||||||||
|
Adjustments to Revenue: |
|||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | |||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||
|
GAAP revenue |
$ 477,191 |
$ 337,446 |
$ 729,346 |
$ 1,213,713 |
$ 1,534,673 | ||||
|
Adjustments based on IFRS: |
|||||||||
|
8point3 |
(899) |
(223) |
33,301 |
(409) |
16,727 | ||||
|
Utility and power plant projects |
5,887 |
335 |
37 |
(17,558) |
13,490 | ||||
|
Sale of operating lease assets |
- |
- |
7,424 |
- |
28,010 | ||||
|
Sale-leaseback transactions |
51,412 |
3,927 |
- |
108,817 |
12,646 | ||||
|
Non-GAAP revenue |
$ 533,591 |
$ 341,485 |
$ 770,108 |
$ 1,304,563 |
$ 1,605,546 | ||||
|
Adjustments to Gross Profit/Margin: |
|||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | |||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||
|
GAAP gross profit |
$ 15,658 |
$ 15,235 |
$ 129,208 |
$ (39) |
$ 222,039 | ||||
|
Adjustments based on IFRS: |
|||||||||
|
8point3 |
(377) |
870 |
13,788 |
1,682 |
8,936 | ||||
|
Utility and power plant projects |
3,367 |
2,378 |
47 |
32,919 |
7,732 | ||||
|
Sale of operating lease assets |
- |
- |
2,085 |
- |
8,163 | ||||
|
Sale-leaseback transactions |
10,669 |
(2,270) |
85 |
5,255 |
3,073 | ||||
|
Other adjustments: |
|||||||||
|
Cost of above-market polysilicon |
33,461 |
21,826 |
27,415 |
85,102 |
56,030 | ||||
|
Stock-based compensation expense |
2,875 |
1,052 |
6,029 |
5,111 |
15,618 | ||||
|
Amortization of intangible assets |
2,567 |
2,567 |
2,567 |
7,701 |
5,111 | ||||
|
Non-cash interest expense |
10 |
10 |
283 |
30 |
886 | ||||
|
Arbitration ruling |
- |
- |
- |
- |
(5,852) | ||||
|
Non-GAAP gross profit |
$ 68,230 |
$ 41,668 |
$ 181,507 |
$ 137,761 |
$ 321,736 | ||||
|
GAAP gross margin (%) |
3.3% |
4.5% |
17.7% |
0.0% |
14.5% | ||||
|
Non-GAAP gross margin (%) |
12.8% |
12.2% |
23.6% |
10.6% |
20.0% | ||||
|
Adjustments to Net income (loss): |
|||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | |||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||
|
GAAP net loss attributable to stockholders |
$ (54,247) |
$ (93,760) |
$ (40,545) |
$ (282,486) |
$ (195,946) | ||||
|
Adjustments based on IFRS: |
|||||||||
|
8point3 |
(916) |
2,458 |
19,320 |
9,643 |
48,078 | ||||
|
Utility and power plant projects |
3,367 |
2,378 |
47 |
32,919 |
7,732 | ||||
|
Sale of operating lease assets |
- |
- |
2,098 |
- |
8,197 | ||||
|
Sale-leaseback transactions |
12,440 |
(173) |
277 |
10,425 |
3,265 | ||||
|
Other adjustments: |
|||||||||
|
Cost of above-market polysilicon |
33,461 |
21,826 |
27,415 |
85,102 |
56,030 | ||||
|
Stock-based compensation expense |
9,399 |
8,606 |
15,907 |
25,380 |
48,902 | ||||
|
Amortization of intangible assets |
3,026 |
4,227 |
3,018 |
10,279 |
14,351 | ||||
|
Non-cash interest expense |
33 |
35 |
308 |
103 |
963 | ||||
|
Goodwill impairment |
- |
- |
57,765 |
- |
57,765 | ||||
|
Restructuring expense |
3,517 |
4,969 |
31,202 |
18,276 |
31,415 | ||||
|
Arbitration ruling |
- |
- |
- |
- |
(5,852) | ||||
|
IPO-related costs |
- |
(196) |
- |
(82) |
35 | ||||
|
Other |
- |
- |
(20) |
- |
(31) | ||||
|
Tax effect |
19,407 |
350 |
7,655 |
20,270 |
6,885 | ||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ 29,487 |
$ (49,280) |
$ 124,447 |
$ (70,171) |
$ 81,789 | ||||
|
Adjustments to Net income (loss) per diluted share: |
|||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | |||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||
|
Net income (loss) per diluted share |
|||||||||
|
Numerator: |
|||||||||
|
GAAP net loss available to common stockholders1 |
$ (54,247) |
$ (93,760) |
$ (40,545) |
$ (282,486) |
$ (195,946) | ||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ 29,487 |
$ (49,280) |
$ 124,447 |
$ (70,171) |
$ 81,789 | ||||
|
Denominator: |
|||||||||
|
GAAP weighted-average shares |
139,517 |
139,448 |
138,209 |
139,289 |
137,832 | ||||
|
Effect of dilutive securities: |
|||||||||
|
Restricted stock units |
1,863 |
- |
384 |
- |
684 | ||||
|
Upfront warrants (held by Total) |
1,406 |
- |
3,179 |
- |
4,962 | ||||
|
0.75% debentures due 2018 |
- |
- |
- |
- |
- | ||||
|
Non-GAAP weighted-average shares1 |
142,786 |
139,448 |
141,772 |
139,289 |
143,478 | ||||
|
GAAP net loss per diluted share |
$ (0.39) |
$ (0.67) |
$ (0.29) |
$ (2.03) |
$ (1.42) | ||||
|
Non-GAAP net income (loss) per diluted share |
$ 0.21 |
$ (0.35) |
$ 0.88 |
$ (0.50) |
$ 0.57 | ||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. |
|
Adjusted EBITDA: |
|||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 1, |
Jul. 2, |
Oct. 2, |
Oct. 1, |
Oct. 2, | |||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||
|
GAAP net loss attributable to stockholders |
$ (54,247) |
$ (93,760) |
$ (40,545) |
$ (282,486) |
$ (195,946) | ||||
|
Adjustments based on IFRS: |
|||||||||
|
8point3 |
(916) |
2,458 |
19,320 |
9,643 |
48,078 | ||||
|
Utility and power plant projects |
3,367 |
2,378 |
47 |
32,919 |
7,732 | ||||
|
Sale of operating lease assets |
- |
- |
2,098 |
- |
8,197 | ||||
|
Sale-leaseback transactions |
12,440 |
(173) |
277 |
10,425 |
3,265 | ||||
|
Other adjustments: |
|||||||||
|
Cost of above-market polysilicon |
33,461 |
21,826 |
27,415 |
85,102 |
56,030 | ||||
|
Stock-based compensation expense |
9,399 |
8,606 |
15,907 |
25,380 |
48,902 | ||||
|
Amortization of intangible assets |
3,026 |
4,227 |
3,018 |
10,279 |
14,351 | ||||
|
Non-cash interest expense |
33 |
35 |
308 |
103 |
963 | ||||
|
Goodwill impairment |
- |
- |
57,765 |
- |
57,765 | ||||
|
Restructuring expense |
3,517 |
4,969 |
31,202 |
18,276 |
31,415 | ||||
|
Arbitration ruling |
- |
- |
- |
- |
(5,852) | ||||
|
IPO-related costs |
- |
(196) |
- |
(82) |
35 | ||||
|
Other |
- |
- |
(20) |
- |
(31) | ||||
|
Cash interest expense, net of interest income |
19,492 |
19,886 |
14,990 |
57,907 |
40,318 | ||||
|
Provision for (benefit from) income taxes |
(5,457) |
2,353 |
7,049 |
(1,073) |
16,878 | ||||
|
Depreciation |
43,161 |
40,917 |
36,809 |
123,010 |
108,365 | ||||
|
Adjusted EBITDA |
$ 67,276 |
$ 13,526 |
$ 175,640 |
$ 89,403 |
$ 240,465 | ||||
Q4 2017 and FY 2017 GUIDANCE
|
(in thousands except percentages) |
Q4 2017 |
FY 2017 |
|
Revenue (GAAP) |
$635,000-$685,000 |
$1,850,000-$1,900,000 |
|
Revenue (non-GAAP) (1) |
$800,000-$850,000 |
$2,100,000-$2,150,000 |
|
Gross margin (GAAP) |
6.5%-8.5% |
N/A |
|
Gross margin (non-GAAP) (2) |
13%-15% |
N/A |
|
Net loss (GAAP) |
$55,000-$80,000 |
$337,000-$362,000 |
|
Adjusted EBITDA (3) |
$75,000-$100,000 |
$165,000-$190,000 |
|
(1) |
Estimated non-GAAP amounts above for Q4 2017 include net adjustments that increase revenue by approximately $165 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2017 include net adjustments that increase (decrease) revenue by approximately $(20) million related to utility and power plant projects, and $270 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q4 2017 include net adjustments that increase gross margin by approximately $7 million related to utility and power plant projects, $21 million related to sale-leaseback transactions, $36 million related to cost of above-market polysilicon, $3 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q4 2017 include net adjustments that decrease net loss by approximately $7 million related to utility and power plant projects, $21 million related to sale-leaseback transactions, $36 million related to cost of above-market polysilicon, $11 million related to stock-based compensation expense, $3 million related to amortization of intangible assets, $3 million related to restructuring, $24 million related to interest expense, $9 million related to income taxes, and $41 million related to depreciation. Estimated Adjusted EBITDA amounts above for fiscal 2017 include net adjustments that decrease net loss by approximately $41 million related to utility and power plant projects, $33 million related to sale-leaseback transactions, $121 million related to cost of above-market polysilicon, $36 million related to stock-based compensation expense, $13 million related to amortization of intangible assets, $24 million related to restructuring, $90 million related to interest expense, $7 million related to income taxes, and $162 million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
October 1, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 153,258 |
$ 106,005 |
$ 217,928 |
$ 26,644 |
17.4% |
$ 6,017 |
5.7% |
$ (17,003) |
-7.8% |
$ (54,247) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,345) |
334 |
112 |
(480) |
212 |
(109) |
- |
- |
- |
1,070 |
- |
(1,609) |
(916) | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
5,887 |
- |
- |
3,367 |
- |
- |
- |
- |
- |
- |
3,367 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
51,412 |
- |
- |
10,701 |
(32) |
- |
- |
- |
1,771 |
- |
- |
12,440 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,751 |
6,996 |
21,714 |
- |
- |
- |
- |
- |
- |
33,461 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
869 |
750 |
1,256 |
1,661 |
4,863 |
- |
- |
- |
- |
9,399 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
847 |
821 |
899 |
- |
459 |
- |
- |
- |
- |
3,026 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
2 |
3 |
5 |
4 |
19 |
- |
- |
- |
- |
33 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
3,517 |
- |
- |
- |
3,517 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
19,407 |
- |
19,407 | |||||||||||||||||||
|
Non-GAAP |
$ 151,913 |
$ 157,751 |
$ 223,927 |
$ 32,633 |
21.5% |
$ 25,500 |
16.2% |
$ 10,097 |
4.5% |
$ 29,487 | ||||||||||||||||||||||
|
July 2, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 157,125 |
$ 100,105 |
$ 80,216 |
$ 26,138 |
16.6% |
$ 2,575 |
2.6% |
$ (13,478) |
-16.8% |
$ (93,760) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,319) |
1,470 |
(374) |
(477) |
891 |
456 |
- |
- |
- |
1,060 |
- |
528 |
2,458 | |||||||||||||||||||
|
Utility and power plant projects |
- |
327 |
8 |
- |
327 |
2,051 |
- |
- |
- |
- |
- |
- |
2,378 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
3,927 |
- |
- |
(2,225) |
(45) |
- |
- |
- |
2,097 |
- |
- |
(173) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,731 |
5,000 |
12,095 |
- |
- |
- |
- |
- |
- |
21,826 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
314 |
293 |
445 |
1,036 |
6,518 |
- |
- |
- |
- |
8,606 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
870 |
672 |
1,025 |
1,201 |
459 |
- |
- |
- |
- |
4,227 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
2 |
2 |
6 |
4 |
21 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
4,969 |
- |
- |
- |
4,969 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(196) |
- |
- |
- |
- |
(196) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
350 |
- |
350 | |||||||||||||||||||
|
Non-GAAP |
$ 155,806 |
$ 105,829 |
$ 79,850 |
$ 31,578 |
20.3% |
$ 7,535 |
7.1% |
$ 2,555 |
3.2% |
$ (49,280) | ||||||||||||||||||||||
|
October 2, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings of |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 170,345 |
$ 139,954 |
$ 419,047 |
$ 31,509 |
18.5% |
$ 7,336 |
5.2% |
$ 90,363 |
21.6% |
$ (40,545) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,336) |
3,181 |
31,456 |
(250) |
2,162 |
11,876 |
- |
- |
- |
1,062 |
- |
4,470 |
19,320 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
37 |
- |
- |
47 |
- |
- |
- |
- |
- |
- |
47 | |||||||||||||||||||
|
Sale of operating lease assets |
7,424 |
- |
- |
2,085 |
- |
- |
- |
- |
- |
13 |
- |
- |
2,098 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
- |
- |
- |
85 |
- |
- |
- |
- |
192 |
- |
- |
277 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
5,880 |
5,492 |
16,043 |
- |
- |
- |
- |
- |
- |
27,415 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
2,083 |
1,744 |
2,202 |
2,935 |
6,943 |
- |
- |
- |
- |
15,907 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
869 |
868 |
830 |
- |
451 |
- |
- |
- |
- |
3,018 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
67 |
84 |
132 |
4 |
21 |
- |
- |
- |
- |
308 | |||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
57,765 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
31,202 |
- |
- |
- |
31,202 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(33) |
- |
13 |
- |
- |
(20) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
7,655 |
- |
7,655 | |||||||||||||||||||
|
Non-GAAP |
$ 176,433 |
$ 143,135 |
$ 450,540 |
$ 42,243 |
23.9% |
$ 17,771 |
12.4% |
$ 121,493 |
27.0% |
$ 124,447 | ||||||||||||||||||||||
|
NINE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
October 1, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings of |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 446,414 |
$ 314,373 |
$ 452,926 |
$ 68,056 |
15.2% |
$ 6,226 |
2.0% |
$ (74,321) |
-16.4% |
$ (282,486) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(4,001) |
4,471 |
(879) |
(1,460) |
2,796 |
346 |
- |
- |
- |
8,196 |
- |
(235) |
9,643 | |||||||||||||||||||
|
Utility and power plant projects |
- |
327 |
(17,885) |
- |
327 |
32,592 |
- |
- |
- |
- |
- |
- |
32,919 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
78,380 |
30,437 |
- |
5,811 |
(556) |
- |
- |
- |
5,170 |
- |
- |
10,425 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
13,833 |
19,128 |
52,141 |
- |
- |
- |
- |
- |
- |
85,102 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,393 |
1,292 |
2,426 |
4,225 |
16,044 |
- |
- |
- |
- |
25,380 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
2,931 |
2,329 |
2,441 |
1,201 |
1,377 |
- |
- |
- |
- |
10,279 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
8 |
8 |
14 |
12 |
61 |
- |
- |
- |
- |
103 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
18,276 |
- |
- |
- |
18,276 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(82) |
- |
- |
- |
- |
(82) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
20,270 |
- |
20,270 | |||||||||||||||||||
|
Non-GAAP |
$ 442,413 |
$ 397,551 |
$ 464,599 |
$ 84,761 |
19.2% |
$ 37,917 |
9.5% |
$ 15,083 |
3.2% |
$ (70,171) | ||||||||||||||||||||||
|
October 2, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings of |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 499,867 |
$ 290,041 |
$ 744,765 |
$ 103,912 |
20.8% |
$ 22,674 |
7.8% |
$ 95,453 |
12.8% |
$ (195,946) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(3,935) |
3,181 |
17,481 |
(1,154) |
2,341 |
7,749 |
- |
- |
- |
3,185 |
- |
35,957 |
48,078 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
13,490 |
- |
- |
7,732 |
- |
- |
- |
- |
- |
- |
7,732 | |||||||||||||||||||
|
Sale of operating lease assets |
28,010 |
- |
- |
8,163 |
- |
- |
- |
- |
- |
34 |
- |
- |
8,197 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
3,073 |
- |
- |
- |
- |
192 |
- |
- |
3,265 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
12,934 |
9,562 |
33,534 |
- |
- |
- |
- |
- |
- |
56,030 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
4,562 |
3,141 |
7,915 |
8,932 |
24,352 |
- |
- |
- |
- |
48,902 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,856 |
2,102 |
1,153 |
3,007 |
6,233 |
- |
- |
- |
- |
14,351 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
201 |
175 |
510 |
14 |
63 |
- |
- |
- |
- |
963 | |||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
57,765 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
31,415 |
- |
- |
- |
31,415 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
(5,852) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
35 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(32) |
- |
1 |
- |
- |
(31) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
6,885 |
- |
6,885 | |||||||||||||||||||
|
Non-GAAP |
$ 523,942 |
$ 305,868 |
$ 775,736 |
$ 129,129 |
24.6% |
$ 42,146 |
13.8% |
$ 150,461 |
19.4% |
$ 81,789 | ||||||||||||||||||||||
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-reports-third-quarter-2017-results-300548237.html
SOURCE SunPower Corp.
Article Date
11/2/201710/30/2017 - SunPower is First to Receive Automated Access for Drone Flights in U.S. FAA Controlled Airspace
SunPower is First to Receive Automated Access for Drone Flights in U.S. FAA Controlled Airspace
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Oct. 30, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) announced today that it is the first company to receive approval from the U.S. Federal Aviation Agency (FAA) for automatic access to operate a drone in regulated airspace over controlled airports.
The new access category, called Low Altitude Authorization Capability (LAANC), was released this month in a beta test at four airports including San Jose (SJC), Cincinnati International Airport (CVG), Reno (RNO), and Lincoln (LNK). SunPower received LAANC authorization through Skyward, an FAA-approved vendor.
"Leading through innovation, SunPower is proud to be the first company granted the new LAANC access, enabling us to aerially evaluate a broader range of potential project sites for our customers more quickly and comprehensively," said SunPower CEO and President Tom Werner. "As part of the SunPower Oasis Power Plant platform, drone flights enable us to efficiently generate solar power plant system layouts to optimize site use and reduce project cost."
SunPower uses drones as part of the SunPower® Oasis® Power Plant platform to survey potential solar power plant sites for customers. Information and images gathered by the drones is used to quickly develop solar plant layouts to optimize site use and achieve customers' project goals.
"Digital, automated, free access to controlled airspace, in the form of LAANC, is one of the greatest moment we've experienced in the U.S. commercial drone industry so far," said Skyward Co-President Jonathan Evans. "I'm excited for SunPower and the company's customers, who will get to benefit from LAANC right away."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-is-first-to-receive-automated-access-for-drone-flights-in-us-faa-controlled-airspace-300545266.html
SOURCE SunPower Corp.
Article Date
10/30/2017AES Distributed Energy Selects SunPower(R) Oasis(R) Power Plant Platform to Power Innovative Solar Plus Storage Plant in Kaua i
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
BOULDER, Colo. and SAN JOSE, Calif., Oct. 25, 2017 /PRNewswire/ -- AES Distributed Energy, Inc. (AES DE), a subsidiary of The AES Corporation (AES), and SunPower Corp. (NASDAQ:SPWR) today announced that a SunPower® Oasis® Power Plant platform with an innovative solar plus storage facility is under development by AES DE on the Hawaiian island of Kaua‛i .
AES DE will construct a 28-megawatt SunPower Oasis system at the site, as well as a 20-megawatt five-hour duration energy storage system. AES DE expects the project will be the largest solar-plus-utility-scale-battery system in the state of Hawai‛i, and one of the largest solar electricity storage systems in the world. The power generated and stored at the plant will serve customers of the Kaua‛i Island Utility Cooperative (KIUC).
"As the result of a competitive bid process, SunPower Oasis Power Plant technology was selected to optimize the cost-competitive solar power generated for KIUC customers at this facility," said Woody Rubin, President of AES DE. "The combined solution of energy storage and SunPower solar technology will provide KIUC with the flexibility and reliability to meet their peak demand."
"We commend AES DE and KIUC for this forward-thinking, milestone project, and for using high performance SunPower technology to ensure long-term value," said Tom Werner, SunPower president and CEO. "Innovation and proven performance are hallmarks of SunPower technology, which powers more than three gigawatts of solar power plants around the world today."
The SunPower Oasis platform is a fully integrated power plant solution designed to streamline construction, reduce operations and maintenance costs, and maximize value for customers. The high efficiency SunPower® E-Series solar panels that will be mounted on the Oasis solar trackers at the Kaua‛i facility produce 30 percent more energy than conventional solar panels in the first year of operation.
AES DE will be the long-term owner and operator of the project, which is expected to be operational by the end of 2018.
SunPower has served the Hawai‛i solar market since 1999, with more than 100 megawatts of SunPower solar technology installed in the state to date.
About AES Distributed Energy, Inc. and The AES Corporation
The AES Corporation (NYSE: AES) is a Fortune 200 global power company providing affordable, sustainable energy to 17 countries through its diverse portfolio of distribution businesses as well as thermal and renewable generation facilities. AES Distributed Energy is one of ten businesses that make up the AES U.S. Strategic Business Unit ("SBU") providing renewable energy solutions to a diverse customer base including utilities, corporations, and governmental entities. With a workforce of 3,600 people, the U.S. SBU is committed to operational excellence and meeting the changing power needs of the United States. To learn more, please visit www.aes.com.
About SunPower Corp.
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, projected energy output, anticipated product performance, cost savings, projected optimization of renewable energy platforms, and expected project scale and size relative to other systems in the marketplace. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are properties of their respective owners.
View original content with multimedia:http://www.prnewswire.com/news-releases/aes-distributed-energy-selects-sunpower-oasis-power-plant-platform-to-power-innovative-solar-plus-storage-plant-in-kauai-300542798.html
SOURCE SunPower Corp.
Article Date
10/25/2017SunPower to Announce Third-Quarter Results on November 2, 2017
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
SAN JOSE, Calif., Oct. 23, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its third-quarter 2017 financial results on a conference call on Thursday, November 2 at 5:30 a.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 5:05 a.m. Pacific Time on November 2, 2017.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and THE POWER OF ONE are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-to-announce-third-quarter-results-on-november-2-2017-300541310.html
SOURCE SunPower Corp.
Article Date
10/23/201710/18/2017 - SunPower To Supply 291 Megawatts in Second Round CRE4 French Tenders for Solar Projects
SunPower To Supply 291 Megawatts in Second Round CRE4 French Tenders for Solar Projects
Source: PR Newswire
PARIS, Oct. 18, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a majority-owned subsidiary of Total SA, announced today that it will supply 291 megawatts of its high-efficiency solar panels to projects awarded in the second round of France's CRE tender process, which includes ground mount, carport and roof top projects in continental France and storage and self-consumption in the country's ZNI (non-interconnected zones).
"With these awards, the total capacity of SunPower® solar panels supplied to ground, carport and rooftop, and ZNI projects awarded in this year's first and second round tender process is 505 megawatts, more than any other solar panel brand," said SunPower Executive Vice President Peter Aschenbrenner. "SunPower solar panels deliver cost-competitive power and proven long-term reliability, and we are proud to play a significant role in serving France's goals for clean, renewable solar power."
Compared to conventional panels, E-Series solar panels produce 30 percent more energy in the same space over the first 25 years. SunPower's direct current E-Series solar panels, as well as its X-Series solar panels, are Cradle to Cradle Certified™ Silver. SunPower is the only solar panel manufacturer in the world to achieve this designation, which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans, timeline, projected energy output and future product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks of SunPower Corporation in the European Union, the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-to-supply-291-megawatts-in-second-round-cre4-french-tenders-for-solar-projects-300538582.html
SOURCE SunPower Corp.
Article Date
10/18/2017SunPower Completes 8.79-Megawatt Solar Project at Toyota Motor North America
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Oct. 11, 2017 /PRNewswire/ -- In under six months, SunPower (NASDAQ:SPWR) completed the installation of a Texas-sized, 8.79-megawatt solar system spanning across four parking garages at Toyota Motor North America's new 100-acre headquarters in Plano, Texas. SunPower was also responsible for the original design of the solar system.
"Toyota's new campus serves as a model for corporate sustainability and an inspiration for others looking to reduce their own carbon emissions and environmental footprints," said Nam Nguyen, SunPower executive vice president. "With SunPower's carport solutions, our experienced design and construction teams delivered long-span, garage top solar canopies that fully incorporate the Plano site's unique structural conditions. As the trusted solar partner for 70 percent of the top 20 commercial solar users nationwide, SunPower is proud to work with a world-class company like Toyota on this groundbreaking project."
The solar installation marks an important step toward meeting Toyota's Environmental Challenge 2050, which aims to eliminate carbon emissions in the company's operations. Toyota demonstrates an increasing trend of growing renewable energy investment among corporations, as reaffirmed by an Apex Clean Energy and GreenBiz 2017 State of Corporate Renewable Energy Procurement report. According to the report, 84 percent of large corporate respondents plan to be active in the renewable energy market within the next decade to meet sustainability goals.
In an effort to achieve LEED® Platinum certification from the U.S. Green Building Council (USBGC), Toyota designed its campus for sustainability, focusing on energy planning for emissions reduction, sustainable landscaping and repurposed rain water for water conservation, and recycling.
To meet its goals in energy planning, Toyota selected SunPower to install more than 20,000 of its high-efficiency E-Series solar panels that produce 30 percent more energy from the same space over the first 25 years when compared to conventional solar panels. SunPower® E-Series panels are Cradle to Cradle Certified™ Silver which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness. By installing E-Series panels, Toyota is not only able to meet approximately 33 percent of its on-site energy needs with solar, but the company also had a significant advantage in reaching its LEED® Platinum goal, achieved for its new campus as announced just last month. Cradle to Cradle certification helps maximize the number of LEED credits that could be earned for a solar system. On typical commercial projects, SunPower panels help contribute up to 35 percent of the credits required for LEED certification.
"At Toyota, we demonstrate our commitment to sustainability, our culture of respect, and continuous improvement in everything that we do, whether its designing a new car or our new campus," said Doug Beebe, general manager of Toyota's real estate and facilities/corporate security and fire services for North America. "Thanks in part to SunPower and their products and capabilities, Toyota's headquarters campus achieved LEED Platinum certification – something that we know our team and community are proud of."
At 8.79 megawatts, Toyota's system is the Lone Star State's largest corporate office on-site solar installation among non-utility companies, and Toyota's fourth solar project completed with SunPower. For more on Toyota's holistic sustainability efforts, see SunPower's Business Feed article here.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, relative generating capacity, and anticipated product performance. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. LEED PLATINUM is a trademark owned by the U.S. Green Building Council. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
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SOURCE SunPower Corp.
Article Date
10/11/2017SunPower Collaborates with True Green Capital Management to Finance $140 Million of U.S. Commercial Solar Projects
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Oct. 5, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced a collaboration with True Green Capital Management LLC (TGC) – a privately owned, specialized energy infrastructure asset management firm –to establish a $140 million fund expected to finance approximately 50 megawatts of SunPower® solar energy systems. Projects of interest are likely to include those with solar renewable energy credits, as well as integrated storage components, in California, Connecticut, Maryland, Massachusetts, New Jersey, and Washington, D.C. To date, 5 megawatts of SunPower installations destined for the fund are under construction in Massachusetts, and an extensive pipeline of commercial projects are in development.
"While U.S. electricity demand is on the rise, many U.S. states face closures of old coal and nuclear power plants, so we see huge potential in meeting that need with distributed solar power, especially in the Eastern U.S. where states are aggressively investing in solar photovoltaics," said Panos Ninios, True Green Capital managing partner. "We're excited to partner with SunPower, a U.S.-headquartered industry leader that is uniquely positioned to excel in the commercial solar market with its differentiating solar solutions, and its proven experience deploying them for commercial, industrial, and public customers across the nation."
As part of the three-year agreement, SunPower will deliver turn-key distributed solar electric power projects for commercial and public sector customers that will be acquired by TGC. SunPower will be responsible for engineering, procurement and construction (EPC) of distributed generation solar projects for the partnership, and will also provide operations and management (O&M) services to the projects.
"We're pleased to team up with TGC to advance the growth of the U.S. commercial solar market in states where there is enormous potential for businesses, universities and municipalities to benefit from clean and cost effective solar energy delivered by SunPower's market leading solar solutions," said Nam Nguyen, SunPower executive vice president. "TGC brings innovative financing capabilities that will enable us to offer competitive and creative financing to our customers in the Northeast."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About True Green Capital Management
True Green Capital Management LLC ("TGC") is a specialized energy infrastructure asset management firm based in Westport, Connecticut with several private equity funds under management. TGC has invested into a distributed solar power generation portfolio across nine states including New Jersey, California, Massachusetts, Idaho, Rhode Island, Connecticut, New York, Tennessee, and Vermont. The firm was founded in July 2011 and is led by a team of investment professionals with a proven investment track record and a demonstrated capacity to originate, finance, construct and operate distributed power generation investments.
True Green Capital is currently focused on the approximately $2 trillion distributed power generation market with an emphasis on the sub utility scale solar power segment. Thanks to rapid advancements in technology, the cost of distributed power generation, including solar, is now on par with traditional electricity generation sources and in many U.S. states it represents one of the few sources of new power generation infrastructure that can be added to the power network quickly, reliably and cost efficiently. TGC believes the continued increase of power prices and decreasing entry costs of distributed power generation technology will continue to lead to compelling investment opportunities which provide a stable cash flow stream with little to no correlation to the broader markets. For more information, please visit: www.truegreencapital.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding business plans and strategies, project plans and deliverables, timelines, projected financing of future projects, anticipated product allocation, and expected customer financing capabilities. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: competition and market conditions in the solar and general energy industry, regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/5/20179/25/2017 - Transelec and SunPower Finalize Acquisition of Switchyard Interconnecting 100MW El Pelicano Solar Project
Transelec and SunPower Finalize Acquisition of Switchyard Interconnecting 100MW El Pelicano Solar Project
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SANTIAGO, Chile, Sept. 25, 2017 /PRNewswire/ -- Transelec S.A. and SunPower (NASDAQ:SPWR) announced today that Transelec S.A. has acquired the switchyard that interconnects the 100-megawatt El Pelicano solar project with the Integrated Central System (SIC) of Chile. The switchyard, called Don Héctor, has additional capacity to accommodate interconnection for future projects in the area.
The Don Héctor switchyard is located 6.5 kilometers from El Pelicano, which SunPower is constructing in Chile's commune of La Higuera (Coquimbo Region). El Pelicano is expected to be operational by the end of 2017, and will supply 300 gigawatt hours per year of energy to Metro de Santiago, the city of Santiago's underground railway network.
"SunPower foresees enhancing Chile's energy landscape with clean, reliable solar power," said SunPower CFO Chuck Boyton who attended an event commemorating the acquisition. "We're pleased that Transelec also sees the value in investing in solar."
"This purchase completes a process that we have been executing with SunPower, starting with engineering and operation of the Don Héctor Switchyard and culminating in this acquisition with an investment of US$ 17.9 million," said Transelec General Manager Andrés Kuhlmann. "It is important for Transelec to have an asset that will enable the transmission of renewable energy and also has substantial growth potential in a region that is at the forefront of solar energy generation in Chile."
Under construction at the El Pelicano site is a SunPower® Oasis® solar power plant system, which is an innovative, fully-integrated solar solution engineered for rapid and cost-effective deployment while optimizing land use. The technology includes robotic solar panel cleaning capability that uses 75 percent less water than traditional cleaning methods and can help improve system performance by up to 15 percent.
About Transelec S.A.
Transelec is the leading power transmission company in Chile, transmitting power that lights the homes of 97% of Chile's population between Arica and Chiloé.
The company owns 78% of the national power transmission lines in the Central Interconnected System (SIC) and 100% of the national power transmission lines in the Far North Interconnected System (SING), with nearly 10,000 kilometers of transmission lines and 57 substations throughout the country.
The company is 100% owned by the Canadian consortium led by Brookfield Asset Management (BAM), Canadian Pension Plan Investment Board (CPP), British Columbia Investment Management Corp. (bcIMC) and Public Sector Pension Investment Board (PSP)
About SunPower Corp.
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding business plans and strategies, project plans and timelines, projected energy output, anticipated product performance, cost savings, and projected growth and optimization of renewable energy models. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, competition and market conditions in the solar and general energy industry, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in Chile, the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
9/25/2017SunPower Strengthens Its Industry-Leading Power and Product Warranty
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Sept. 5, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced the launch of the solar industry's best warranty, guaranteeing power performance and product quality for 25 years, through extreme weather, wide-ranging temperatures, panel aging and more. The new warranty makes SunPower® E- and X-Series solar panels among the safest long-term energy investments for businesses, homeowners and utilities thanks to the industry's lowest power degradation rate, meaning that SunPower panels deliver more electricity – and consequently more savings – over time.
Because SunPower panels are built to work reliably for decades, the company now guarantees at least 98 percent power for the first year, followed by a maximum degradation rate of 0.25 percent each year thereafter for 24 years. This results in an unprecedented 92 percent power level at the end of 25 years compared to conventional solar panels which guarantee only 80 percent after 25 years.
SunPower pioneered the industry's first 25-year Combined Power and Product Warranty in 2012, and continues to back the high power, reliability and value of its products.
"We believe the best warranty starts with having the best product," said Tom Werner, SunPower President and CEO. "Our proven performance is validated by our customers' results, as well as extensive field testing under a wide range of real-world conditions, well beyond traditional industry specifications. SunPower stands behind its products so that customers have confidence and peace of mind when they choose SunPower to go solar."
In partnership with the National Renewable Energy Laboratory (NREL), the U.S. Department of Energy's primary national laboratory for renewable energy and energy efficiency research and development, SunPower has developed a robust method to calculate solar panel degradation. Degradation is something all solar panels experience, but at varying rates. When this method was applied to eight years of energy performance data from 264 SunPower solar systems operating at various locations worldwide, it shows that SunPower panels degrade less than 0.25 percent per year – 50 percent less than the annual degradation rate for conventional panels.
With a long-term investment like solar, an efficient, reliable product backed by a best-in-class warranty shortens the payback period, providing an attractive offering and peace of mind for customers, partners and financiers.
"Bank of America Merrill Lynch has a strong commitment to advancing renewable energy generation and plays a leading role in funding solar projects that help our world transition to a low-carbon economy," said Todd Karas, head of Renewable Energy Finance at Bank of America Merrill Lynch. "When selecting solar technology to finance, a reliable product supported by a robust warranty is of critical importance."
Unlike conventional solar warranties that typically cover just the panels, SunPower's Complete Confidence Warranty also includes the servicing needed to repair or replace defective parts when panels are installed by one of SunPower's 1,300 Authorized Installers worldwide.
For residential solar customers, the new coverage provides 25-year protection for every core component of the SunPower Equinox™ system. Introduced in 2016, the Equinox system is the nation's first home solar solution in which every major component has been designed and engineered by one company to work seamlessly together, delivering unbeatable power, long-term performance and premium curb appeal. This includes panels with integrated microinverters and racking, as well as 10-year coverage for monitoring hardware.
SunPower's Complete Confidence Warranty is effective as of July 1, 2017 and is available to all customers for their SunPower E- and X-Series solar panels. For more on why quality solar products and warranties matter, visit the SunPower blog post here.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER EQUINOX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
9/5/2017Auto Dealers Race Toward Energy Savings with SunPower Solar
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Aug. 30, 2017 /PRNewswire/ -- According to the National Auto Dealers Association (NADA), energy costs can be a car dealership's third highest operating expense. With lighted parking lots, electric tool-filled repair shops, and technology-enhanced show rooms, auto dealers on average consume 18 percent more energy than a typical office building, collectively facing nearly $2 billion in electricity costs annually – a hefty price for local, family-owned businesses that make up roughly 80 percent of the industry.
Across the country, SunPower® solar dealers – many of which are also locally-owned small and medium-sized businesses themselves – have helped auto dealerships put empty rooftops and expansive parking lots to better use with high-efficiency solar energy systems. Oftentimes, these systems serve a dual purpose: While generating enough energy to significantly reduce an auto dealership's electricity costs, they also offer protection to whatever is underneath – be it a newly constructed roof or a fleet of new cars.
"Solar just makes good business sense in today's energy environment, and has become integral to many of our facilities' energy-efficient designs," said Linda McGinty, Vice President of Real Estate, Luther Auto Group. "Over the last five years, we've worked with Energy Concepts to install over 450 kilowatts of high-efficiency SunPower solar at 10 of our dealerships across Minnesota, and have seen significant energy savings as a result."
Featured automotive companies with SunPower solar include:
Luther Auto Group in Minnesota. As the largest privately owned automotive group in the Midwest, Luther now has 454 kilowatts of solar installed across 10 locations. SunPower dealer Energy Concepts sold, designed and installed the systems which combined are projected to generate more than $2.1 million in electricity cost savings over 25 years.
Covert Auto in Texas. Serving the Central Texas community for five generations, Covert now has 125.6 kilowatts installed across the roofs of its Ford and Chevy dealerships in Hutto. Freedom Solar Power sold, designed and installed the systems which combined meet 53 percent of the company's electricity needs and are expected to generate more than $500,000 in energy savings over 25 years.
Boulder Nissan in Colorado. More than 50 kilowatts of rooftop solar is currently installed at Boulder Nissan, well known in the community for its leadership advancing the adoption of electric vehicles. SunPower dealer Independent Power Systems sold, designed and installed the system which meets 20 percent of the company's electricity needs and is expected to generate $384,000 in energy savings over 25 years when combined with the dealership's upgrade to LED lighting throughout the facility.
"It's inspiring to help auto dealers see a return on their solar investment in five to seven years, with some becoming cash-flow positive in as little as one month," said Ryan Ferrero, CEO of Ignyte Lab which partnered with Independent Power Systems, a SunPower dealer. "When we can show auto dealership owners the financial benefits of using renewable energy and adopting sustainable business practices, high-quality solar energy solutions end up selling themselves. And with more than 17,000 new car dealers across the U.S., there's a huge opportunity to help more in the industry save on electricity costs with solar."
Like car dealers, global automakers recognize the benefits of investing in solar as well. In Plano, Texas, SunPower is working with Toyota to install an 8.79-megawatt system at the Toyota Motor North America's new headquarters. When complete, it is expected to be the Lone Star State's largest corporate office on-site solar installation among non-utility companies.
"It's no surprise that an increasing number of auto customers find solar to be a reliable, effective way to reduce electric bills while freeing up operating capital and improving their environment with emission-free energy," said Nam Nguyen, SunPower executive vice president. "Through relentless innovation, SunPower has created smart, simple, and cost-effective solar systems that allow businesses in any industry maximize their investment, earning more savings over time."
There are currently more than 17 megawatts of SunPower solar under construction or operating at auto companies across the U.S. To learn more about the benefits of solar from car customers with SunPower systems, visit the SunPower blog here or webpage here.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected electricity cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
8/30/20178/29/2017 - Santa Rosa Junior College Selects SunPower to Deliver Combined Solar and Storage Project
Santa Rosa Junior College Selects SunPower to Deliver Combined Solar and Storage Project
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Aug. 29, 2017 /PRNewswire/ -- Santa Rosa Junior College (SRJC) recently selected SunPower (NASDAQ:SPWR) to deploy a fully-integrated solar and storage project. The 100-acre campus in Santa Rosa will feature the SunPower® Helix™ Carport system and SunPower's Garage Top Carport system totaling about 2.6 megawatts, coupled with a 1.3-megawatt (2 megawatt-hour) energy storage system from Stem, Inc. The 40-acre Petaluma campus will also install a 1.3 megawatt Helix Carport system.
Designed with customers like schools in mind, the Helix Carport system features SunPower's high-efficiency solar panels that maximize energy production, a simplified electrical and cable management system to secure and conceal wires, as well as monitoring software that communicates real-time insights for better energy management. By adding Stem's software-driven energy storage, Santa Rosa Junior College is expected to see significant demand charge savings.
"As a large community college that believes strongly in sustainability, SRJC wants to maximize the value of our solar energy system with energy storage," said Dr. Frank Chong, Superintendent and President at SRJC. "This will cut our energy costs even further to improve our economics, benefit our students, and use taxpayer dollars as wisely as possible."
The college will own the new solar and energy storage systems, which were financed by Measure H bond funds. When complete in 2018, the project will add to a 77-kilowatt SunPower system that has been operating on top of Frank P. Doyle Library since 2007. The SunPower systems combined are expected to deliver significant energy cost savings during their decades of useful life.
SunPower will be responsible for design, engineering and procurement of materials for the solar and storage project, and will operate and maintain the solar system. The storage system will be operated using Stem's software.
"With SunPower headquartered in the San Francisco Bay Area, it's rewarding to see local colleges install solar to save on energy costs, while demonstrating the importance of sustainability to students in our communities," said Nam Nguyen, SunPower executive vice president. "We look forward to helping Santa Rosa Junior College maximize the value of its solar and storage investment with SunPower's comprehensive, cost-effective energy solutions."
SunPower has long been a trusted solar partner for community colleges and schools in California given the company's extensive experience delivering innovative energy solutions to education customers. To learn more, visit the company's solar for higher education webpage here.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
About Santa Rosa Junior College
Santa Rosa Junior College (SRJC) is known for academic excellence, superb faculty and staff, comprehensive student services and beautiful facilities. This beloved community institution, turning 100 years old in 2018, enrolls approximately 26,000 students each semester. SRJC is dedicated to making higher education accessible and successful for all. Student life is vibrant, with over 50 clubs, conference-winning athletic teams, nationally ranked speech and debate teams, and outstanding theatre arts, music and dance programs. The College has campuses in Santa Rosa and Petaluma, as well as Shone Farm, Southwest Santa Rosa Center and the Public Safety Training Center. A 2015 study found that the local economic impact of SRJC totaled $1.6 billion and over 26,000 local jobs.
About Stem, Inc.
Stem creates innovative technology services that transform the way energy is distributed and consumed. The company's mission is to build and operate the largest digitally connected energy storage network for our customers. Our world class analytics optimize the value of customers' energy assets and facilitate their participation in energy markets, yielding economic and societal benefits while decarbonizing the grid. Headquartered in Millbrae, California, Stem is funded by a consortium of leading investors including Angeleno Group, Iberdrola (Inversiones Financieras Perseo), GE Ventures, Constellation Technology Ventures, Total Energy Ventures, Mitsui & Co. LTD., RWE Supply & Trading, and Mithril Capital Management. Visit www.stem.com for more information.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project plans and timelines, relative generating capacity, anticipated performance of products, and projected electricity cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, HELIX and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
8/29/20178/24/2017 - The Solar Program Named a SunPower Elite Dealer
The Solar Program Named a SunPower Elite Dealer
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
OLD BRIDGE, N.J., Aug. 24, 2017 /PRNewswire/ -- The Solar Program, a New York- founded full service solar installation company has announced its elevation to SunPower Elite dealer status by SunPower Corp. (NASDAQ: SPWR), a leading solar technology and global energy services provider based in Silicon Valley, Calif. The Solar Program, now headquartered in Old Bridge NJ, is rapidly expanding in the state. Since inception, The Solar Program has helped more than 5,000 homeowners go solar with SunPower on the east coast.
To earn Elite Dealer accreditation, a SunPower dealer must achieve a 90 percent or greater customer satisfaction score on past installations and successfully complete two advanced certification courses in topics such as the installation and design of a high efficiency SunPower system. The Solar Program has demonstrated its dedication to customer service with positive customer satisfaction results and completion of a post-installation site inspection program.
Unlike other solar companies, The Solar Program exclusively offers customers only SunPower panels. "We believe in offering homeowners in NY and NJ only the best option available in solar," said Keith Finkel, CEO of The Solar Program Due to our success, we are able to offer homeowners the lowest possible energy cost in the state.
The Solar Program has already successfully serviced hundreds of homeowners in New Jersey since coming to the state in 2017 and is continuing to expand at an accelerated rate. This is due to their unique process of educating homeowners on how their programs are different, and how their customers save the most money.
"Elite status only validates our commitment to the homeowners of New York and New Jersey and our commitment to the SunPower brand," said Kathy Monahan, President of The Solar Program.
SunPower dealers handle all aspects of a solar installation, from helping customers determine the most appropriate system configuration and financing approach for their needs, through design and installation, permitting, rebate processing and system maintenance. SunPower selectively accepts dealers into its network, requiring them to provide customers with superior levels of service and regular training in the specifications and installation of SunPower products.
About The Solar Program
The Solar Program is a privately held company focused on saving homeowners money while educating them on the eco-friendliness of renewable clean solar power. Since inception, The Solar Program has offered homeowners SunPower products. They are a back-to-back award winning SunPower top producer of solar. The Solar Program is headquartered in New Jersey, with offices in Staten Island and New Jersey. For more information, visit www.thesolarprogram.com or call 1-866-SAVETHEMOST.
Contact:
Josh VanDusky
Info@thesolarprogram.com
732-707-4407
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SOURCE The Solar Program
Article Date
8/24/2017U.S. Army Invests in 1-Megawatt Energy Storage System to Complement 10-Megawatt SunPower Solar Power Plant at Redstone Arsenal
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Aug. 23, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) has broken ground on a 10-megawatt solar photovoltaic system at the Redstone Arsenal U.S. Army post in Alabama which is expected to create more than 200 jobs at peak of construction. With a newly added 1-megawatt energy storage system, the project is designed to strengthen energy security and resilience at Redstone Arsenal, supporting the Army's efforts to reduce electricity costs at installations while also making them more energy independent.
"This project reinforces the Army's commitment to advancing adoption of reliable, cost-effective, home-grown renewable energy at Redstone Arsenal," said Col. Thomas Holliday, Garrison Commander, Redstone Arsenal. "We're continually looking for ways to grow our capability and reduce our cost to provide the nation with a more efficient defense."
Developed by the U.S. Army Office of Energy Initiatives, Redstone Arsenal's Directorate of Public Works, and the U.S. Army Corps of Engineers Huntsville Center's Energy Division, the innovative project was financed by a power purchase agreement (PPA), allowing the Army to buy 100 percent of the power generated without having to pay for the power plant's construction, maintenance and operation. The Army continues to collaborate with private-sector partners and utilities to build clean, alternative energy projects including onsite power generation, electricity storage, and energy control.
"Solar is cost-competitive with traditional energy sources today, and is helping the U.S. military reduce operational costs," said Nam Nguyen, SunPower executive vice president. "We commend Redstone Arsenal for managing its significant energy demand with abundant, renewable solar power. The high performance solar and storage technology we are installing for the agency will substantially increase the value of energy produced by the solar plant over the long term."
SunPower designed and is installing a SunPower® Oasis® Power Plant system at the site, which is a fully-integrated, modular solar power block engineered and built for compatibility with a future micro-grid, further contributing to the overall energy security of the installation.
As a trusted solar advisor to federal government agencies and the Department of Defense, SunPower has designed and installed solar power systems at a number of military facilities including more than 28 megawatts at Nellis Air Force Base in Nevada and 13.78 megawatts at Naval Air Weapons Station China Lake in California, as well as 28 megawatts currently under construction at Vandenberg Air Force Base.
For more information on how solar and storage solutions can benefit federal agencies, visit www.sunpower.com/government.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, anticipated cost savings, projected energy output, and projected job creation. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, manufacturing challenges that could arise, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Forms 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
|
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well. |
View original content with multimedia:http://www.prnewswire.com/news-releases/us-army-invests-in-1-megawatt-energy-storage-system-to-complement-10-megawatt-sunpower-solar-power-plant-at-redstone-arsenal-300508217.html
SOURCE SunPower Corp.
Article Date
8/23/20178/14/2017 - SunPower Unveils Silicon Valley Pilot Manufacturing Line for High Efficiency Solar Panels
SunPower Unveils Silicon Valley Pilot Manufacturing Line for High Efficiency Solar Panels
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Aug. 14, 2017 /PRNewswire/ -- Solar technology design, manufacturing and installation methods have come a long way in just 20 years, and as a trailblazing solar energy company, SunPower has witnessed the trajectory first-hand. Globally, there is now 305 gigawatts (GW) of solar capacity, up from around 50 GW in 2010 and virtually nothing at the turn of the millennium.
Experience the interactive Multichannel News Release here: https://www.multivu.com/players/English/7706157-sunower-silicon-vallery-next-gen-solar-cells/
Innovation is central to SunPower's DNA, and with years of experience, researchers have been emboldened to create new manufacturing technologies and processes while continuing to break solar panel efficiency records that fuel creative solar applications – from solar power racecars to airplanes. The nucleus of SunPower's technological solar panel expertise is headquartered in San Jose, Calif., on the SunPower Campus.
"We continue to make the world's best solar panels with technology developed and tested right here in Silicon Valley," said Tom Werner, SunPower president and CEO. "These efforts result in domestic job creation, capital investments from our equipment manufacturers and dealers, and more affordable solar energy options for homes and businesses across the U.S. and around the world."
This summer, SunPower engineers began producing the company's latest generation of solar cells in a pilot production line installed in the heart of Silicon Valley. The research facility, which runs from silicon to panel, utilizes a revolutionary manufacturing approach. The cells extend on the leading X-Series technology which currently achieves a record 25 percent efficiency in mass production, further positioning SunPower on the cutting edge of innovation. The line, which has begun production, will ultimately ramp to producing cells and panels used in both residential and commercial applications. First planned customers include school districts interested in carport applications and residential rooftops. Construction and installation is slated for later this year.
SunPower has a long history of developing and ramping world-record breaking technologies in California and is investing even further to make solar cost-competitive with all U.S. power sources. The SunPower® Signature™ Black solar panels, which are researched, developed, and now also produced at SunPower's research facility, are being extensively tested to ensure it is the world's most reliable product, backed by SunPower's industry-leading 25-year Combined Power and Product Warranty.
The new pilot manufacturing location will enhance SunPower's ability to quickly and cost-effectively scale and supply panels to solar installations at homes, businesses and schools throughout the growing U.S. solar market.
Silicon Valley Research Facility Quick Facts
SunPower's Economic Footprint Across the Country
Solar as an Affordable Clean Energy Source
Over the past decade, the cost of solar in general has dramatically reduced with scale by more than 50 percent. New manufacturing techniques employed in SunPower's Silicon Valley research facility aim to instill customer centricity by focusing on efficiency and performance of the panel while cutting overall cost to the consumer.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding future production and allocation plans. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes, manufacturing challenges that could arise, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
View original content:http://www.prnewswire.com/news-releases/sunpower-unveils-silicon-valley-pilot-manufacturing-line-for-high-efficiency-solar-panels-300503504.html
SOURCE SunPower Corp.
Article Date
8/14/20178/1/2017 - SunPower Reports Second Quarter 2017 Results
SunPower Reports Second Quarter 2017 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Aug. 1, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its second quarter ended July 2, 2017.
|
($ Millions, except percentages and per-share data) |
2nd Quarter 2017 |
1st Quarter 2017 |
2nd Quarter 2016 |
|
GAAP revenue |
$337.4 |
$399.1 |
$420.5 |
|
GAAP gross margin |
4.5% |
(7.8%) |
9.8% |
|
GAAP net loss |
($93.8) |
($134.5) |
($70.0) |
|
GAAP net loss per diluted share |
($0.67) |
($0.97) |
($0.51) |
|
Non-GAAP revenue1 |
$341.5 |
$429.5 |
$401.8 |
|
Non-GAAP gross margin1,2 |
12.2% |
6.5% |
17.0% |
|
Non-GAAP net loss1,2 |
($49.3) |
($50.4) |
($14.2) |
|
Non-GAAP net loss per diluted share1,2 |
($0.35) |
($0.36) |
($0.10) |
|
Adjusted EBITDA1,2 |
$13.5 |
$8.6 |
$45.8 |
|
Operating cash flow |
($161.8) |
($126.9) |
($300.1) |
|
1 Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
|
2 Excludes polysilicon costs related to above market polysilicon contracts. |
"Our strong execution enabled us to meet our financial goals for the quarter despite the continued challenging industry conditions," said Tom Werner, SunPower president and CEO. "Our distributed generation business remains a key driver of our performance as demand for our complete solution products in both our residential and commercial segments remains robust. In power plant, we expect to deliver more than 500 MW of projects in the second half of this year. We are also seeing growing traction in our global SunPower® Solutions business as we booked or contracted more than 250 megawatts (MW) of agreements in the quarter. Operationally, we achieved our cost reduction targets for the quarter. Fab utilization is at 100 percent and we expect to remain fully utilized for the balance of the year. We also continued the successful ramp of our P-Series product in Mexico while starting initial P-Series production at our recently announced Chinese joint venture facility. Finally, we are benefitting from our investments in our next generation cell and module technology as we recently produced our first panels utilizing this technology on our new, leading-edge manufacturing line at our Silicon Valley research facility.
"Strategically, we continue to believe that our restructuring program will enable us to successfully navigate the current market transition while positioning us for improved financial performance. In the near-term, our focus remains on maximizing cash flow through project sales, lower operating expenses, and the potential monetization of non-core assets. In relation to 8point3 Energy Partners, our strategic review process is continuing, but we have received significant initial interest in the acquisition of our general partnership stake or in the sale of the entire partnership. Thus, we have made the decision not to actively seek a replacement partner for First Solar and to focus our efforts on the monetization of our ownership stake in the partnership. In the event we complete a sale of our ownership stake in 8point3, we believe the proceeds will provide us with additional resources to deleverage our balance sheet and retire our 2018 convertible bonds to minimize shareholder dilution and continue to execute on our restructuring plan. Additionally, depending on market conditions, we may have the opportunity to refinance our 2018 convertible bonds as well. We have also recently offered our Boulder Solar 1 project to 8point3 and potentially will offer other Right of First Offer (ROFO) projects to the partnership as well. In the event the partnership waives its rights to acquire these projects, we would sell them to third parties. In either case, we expect the sale of these ROFO projects to generate additional cash proceeds to fund our growth initiatives.
"Looking forward, we will continue to invest in innovative technologies and allocate resources to those areas that offer significant growth opportunities including our next generation cell and module technology, our complete solution product suite, energy storage, digital platforms and Smart Energy strategy, as we believe these initiatives will best position the company for long-term success. Also, our more focused approach to our power plant development activities will allow us to further invest in our leadership position in our distributed generation segments while building continuing momentum in our SunPower Solutions business. We expect these initiatives will improve our competitive position, strengthen our balance sheet and enable us to return to long-term sustained profitability." concluded Werner.
"Our second quarter results reflect our ability to execute on our diversified model in a challenging industry environment while benefitting from our corporate restructuring initiatives," said Chuck Boynton, SunPower chief financial officer. "In the near term, we continue to remain focused on prudently managing our working capital and strengthening our balance sheet. With our decision to monetize our ownership of 8point3 and expected additional non-core asset sales, we anticipate having the resources to retire our 2018 convertible bond while continuing to invest in our strategic initiatives. Given our restructuring, flexible business model and demonstrated continued support from Total, we believe we are well positioned for the future."
Second quarter fiscal 2017 non-GAAP results include net adjustments that, in the aggregate, decreased (increased) non-GAAP net loss by $44.5 million, including $2.5 million related to 8point3 Energy Partners, $2.4 million related to utility and power plant projects, $8.6 million related to stock-based compensation expense, $4.2 million related to amortization of intangible assets, $5.0 million related to restructuring expense, $21.8 million related to cost of above-market polysilicon, $(0.4) million related to other adjustments, and $0.4 million related to tax effect.
Financial Outlook
The company is updating its fiscal year 2017 revenue and gigawatt (GW) deployed guidance. The company now expects revenue of $1.9 billion to $2.1 billion on a GAAP basis and $2.1 billion to $2.3 billion on a non-GAAP basis with GW deployed in the range of 1.3 GW to 1.45 GW. This change is due to project schedule adjustments in Mexico to allow for improved project economics. Additionally, the company now expects lower than forecasted GAAP restructuring charges which will be in the range of $20 million to $60 million for the year. The balance of the company's previously disclosed fiscal year 2017 guidance remains unchanged: non-GAAP operational expenses of less than $350 million and capital expenditures of approximately $120 million. Additionally, the company continues to expect to generate positive operating cash flow through the end of fiscal year 2017 and exit the year with approximately $300 million in cash excluding any proceeds from the potential divestiture of non-core assets. The company is also forecasting positive Adjusted EBITDA for the full year 2017 and continues to believe that cash flow and liquidity remain the key evaluation metrics for investors in the near term.
The company's third quarter fiscal 2017 GAAP guidance is as follows: revenue of $300 million to $350 million, gross margin of negative 3 percent to negative 1 percent and net loss of $120 million to $100 million. Third quarter 2017 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting as well as the impact of charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $320 million to $370 million, gross margin of 5 percent to 7 percent, Adjusted EBITDA of breakeven to $20 million and megawatts deployed in the range of 405 MW to 435 MW.
The company expects to deliver more than 500 MW of power plant projects in the second half of the year with a significant majority to be recognized in the fourth quarter of 2017.
The company will host a conference call for investors this afternoon to discuss its second quarter 2017 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2017 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) anticipated project timelines; (b) expected fab utilization; (c) our expectations for the timing, success, and financial impact of our restructuring plan and associated initiatives, including plans to sell projects and monetize certain non-core assets, and the impact of these initiatives on our financial performance, cash flow, and operating expenses; (c) the outcome of our ongoing strategic review of options for 8point3, our ability to complete a sale of our ownership stake in 8point3, and our plans for the proceeds of such a sale; (d) our ability to complete planned project sales, deleverage our balance sheet, retire our 2018 convertible bonds, strengthen our balance sheet, and generate additional cash proceeds to fund our planned growth initiatives; (e) our plans to invest in technologies and strategic initiatives and allocate resources; (f) our positioning for future success, long-term competitiveness, and our ability to return to sustained profitability; (g) our expectations regarding future support from Total; (h) our expectations for the solar industry and the markets we serve, including market conditions, recovery, and long-term prospects for improvement; (i) full year fiscal 2017 guidance, including GAAP and non-GAAP revenue, gigawatts deployed, operational expenditures, capital expenditures, restructuring charges, cash flow and ending cash, and Adjusted EBITDA; and (j) our third quarter fiscal 2017 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, cash flow, and MW deployed. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) appropriately sizing our manufacturing capacity and containing manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful, or that we may not be able to successfully monetize our interest in 8point3 Energy Partners; (10) fluctuations or declines in the performance of our solar panels and other products and solutions; and (11) our ability to identify and successfully implement concrete actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring plan and associated initiatives, including plans to sell projects, monetize assets, streamline our business and focus investment and resources. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Jul. 2, |
Jan. 1, | ||
|
2017 |
2017 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 327,281 |
$ 425,309 | |
|
Restricted cash and cash equivalents, current portion |
20,313 |
33,657 | |
|
Accounts receivable, net |
195,871 |
219,638 | |
|
Costs and estimated earnings in excess of billings |
19,623 |
32,780 | |
|
Inventories |
444,990 |
401,707 | |
|
Advances to suppliers, current portion |
106,820 |
111,479 | |
|
Project assets - plants and land, current portion |
373,751 |
374,459 | |
|
Prepaid expenses and other current assets |
175,005 |
315,670 | |
|
Total current assets |
1,663,654 |
1,914,699 | |
|
Restricted cash and cash equivalents, net of current portion |
53,429 |
55,246 | |
|
Restricted long-term marketable securities |
4,860 |
4,971 | |
|
Property, plant and equipment, net |
1,049,856 |
1,027,066 | |
|
Solar power systems leased and to be leased, net |
677,515 |
621,267 | |
|
Project assets - plants and land, net of current portion |
40,771 |
33,571 | |
|
Advances to suppliers, net of current portion |
145,154 |
173,277 | |
|
Long-term financing receivables, net |
569,848 |
507,333 | |
|
Goodwill and other intangible assets, net |
36,713 |
44,218 | |
|
Other long-term assets |
114,920 |
185,519 | |
|
Total assets |
$ 4,356,720 |
$ 4,567,167 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 425,909 |
$ 540,295 | |
|
Accrued liabilities |
243,254 |
391,226 | |
|
Billings in excess of costs and estimated earnings |
11,707 |
77,140 | |
|
Short-term debt |
127,565 |
71,376 | |
|
Convertible debt, current portion |
299,235 |
- | |
|
Customer advances, current portion |
41,261 |
10,138 | |
|
Total current liabilities |
1,148,931 |
1,090,175 | |
|
Long-term debt |
550,973 |
451,243 | |
|
Convertible debt |
815,503 |
1,113,478 | |
|
Customer advances, net of current portion |
74,331 |
298 | |
|
Other long-term liabilities |
785,549 |
721,032 | |
|
Total liabilities |
3,375,287 |
3,376,226 | |
|
Redeemable noncontrolling interests in subsidiaries |
114,045 |
103,621 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
139 |
139 | |
|
Additional paid-in capital |
2,426,134 |
2,410,395 | |
|
Accumulated deficit |
(1,492,264) |
(1,218,681) | |
|
Accumulated other comprehensive loss |
(6,635) |
(7,238) | |
|
Treasury stock, at cost |
(180,998) |
(176,783) | |
|
Total stockholders' equity |
746,376 |
1,007,832 | |
|
Noncontrolling interests in subsidiaries |
121,012 |
79,488 | |
|
Total equity |
867,388 |
1,087,320 | |
|
Total liabilities and equity |
$ 4,356,720 |
$ 4,567,167 | |
|
SUNPOWER CORPORATION | |||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||
|
(In thousands, except per share data) | |||||||||||
|
(Unaudited) | |||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | |||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||||
|
Revenue: |
|||||||||||
|
Residential |
$ 157,125 |
$ 136,031 |
$ 177,715 |
$ 293,156 |
$ 329,522 | ||||||
|
Commercial |
100,105 |
108,263 |
97,846 |
208,368 |
150,087 | ||||||
|
Power Plant |
80,216 |
154,782 |
144,891 |
234,998 |
325,718 | ||||||
|
Total revenue |
337,446 |
399,076 |
420,452 |
736,522 |
805,327 | ||||||
|
Cost of revenue: |
|||||||||||
|
Residential |
130,987 |
120,757 |
138,959 |
251,744 |
257,119 | ||||||
|
Commercial |
97,530 |
110,629 |
89,523 |
208,159 |
134,749 | ||||||
|
Power Plant |
93,694 |
198,622 |
150,676 |
292,316 |
320,628 | ||||||
|
Total cost of revenue |
322,211 |
430,008 |
379,158 |
752,219 |
712,496 | ||||||
|
Gross margin |
15,235 |
(30,932) |
41,294 |
(15,697) |
92,831 | ||||||
|
Operating expenses: |
|||||||||||
|
Research and development |
19,754 |
20,515 |
31,411 |
40,269 |
64,117 | ||||||
|
Selling, general and administrative |
68,703 |
67,403 |
84,683 |
136,106 |
182,474 | ||||||
|
Restructuring charges |
4,969 |
9,790 |
117 |
14,759 |
213 | ||||||
|
Total operating expenses |
93,426 |
97,708 |
116,211 |
191,134 |
246,804 | ||||||
|
Operating loss |
(78,191) |
(128,640) |
(74,917) |
(206,831) |
(153,973) | ||||||
|
Other income (expense), net: |
|||||||||||
|
Interest income |
387 |
938 |
806 |
1,325 |
1,503 | ||||||
|
Interest expense |
(22,370) |
(20,769) |
(13,950) |
(43,139) |
(26,831) | ||||||
|
Other, net |
(15,744) |
(2,190) |
(5,822) |
(17,934) |
(12,054) | ||||||
|
Other expense, net |
(37,727) |
(22,021) |
(18,966) |
(59,748) |
(37,382) | ||||||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(115,918) |
(150,661) |
(93,883) |
(266,579) |
(191,355) | ||||||
|
Provision for income taxes |
(2,353) |
(2,031) |
(6,648) |
(4,384) |
(9,829) | ||||||
|
Equity in earnings of unconsolidated investees |
5,449 |
1,052 |
8,350 |
6,501 |
7,586 | ||||||
|
Net loss |
(112,822) |
(151,640) |
(92,181) |
(264,462) |
(193,598) | ||||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
19,062 |
17,161 |
22,189 |
36,223 |
38,197 | ||||||
|
Net loss attributable to stockholders |
$ (93,760) |
$ (134,479) |
$ (69,992) |
$ (228,239) |
$ (155,401) | ||||||
|
Net loss per share attributable to stockholders: |
|||||||||||
|
- Basic |
$ (0.67) |
$ (0.97) |
$ (0.51) |
$ (1.64) |
$ (1.13) | ||||||
|
- Diluted |
$ (0.67) |
$ (0.97) |
$ (0.51) |
$ (1.64) |
$ (1.13) | ||||||
|
Weighted-average shares: |
|||||||||||
|
- Basic |
139,448 |
138,902 |
138,084 |
139,175 |
137,644 | ||||||
|
- Diluted |
139,448 |
138,902 |
138,084 |
139,175 |
137,644 | ||||||
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||
|
(In thousands) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | ||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | ||||||
|
Cash flows from operating activities: |
||||||||||
|
Net loss |
$ (112,822) |
$ (151,640) |
$ (92,181) |
$ (264,462) |
$ (193,598) | |||||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
||||||||||
|
Depreciation and amortization |
45,269 |
42,084 |
40,898 |
87,353 |
83,015 | |||||
|
Stock-based compensation |
8,606 |
7,375 |
16,475 |
15,981 |
32,995 | |||||
|
Non-cash interest expense |
4,777 |
2,958 |
309 |
7,735 |
655 | |||||
|
Impairment of equity method investment |
8,607 |
- |
- |
8,607 |
- | |||||
|
Dividend from 8point3 Energy Partners LP |
7,409 |
7,192 |
- |
14,601 |
- | |||||
|
Equity in earnings of unconsolidated investees |
(5,449) |
(1,052) |
(8,350) |
(6,501) |
(7,586) | |||||
|
Deferred income taxes |
1,058 |
227 |
1,701 |
1,285 |
939 | |||||
|
Other, net |
(617) |
4,777 |
909 |
4,160 |
1,799 | |||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
||||||||||
|
Accounts receivable |
(27,224) |
51,669 |
(35,856) |
24,445 |
(23,295) | |||||
|
Costs and estimated earnings in excess of billings |
1,859 |
11,298 |
23,826 |
13,157 |
6,301 | |||||
|
Inventories |
(29,772) |
(40,004) |
(96,799) |
(69,776) |
(115,047) | |||||
|
Project assets |
(97,022) |
37,192 |
(254,007) |
(59,830) |
(433,383) | |||||
|
Prepaid expenses and other assets |
53,852 |
85,251 |
94,060 |
139,103 |
48,619 | |||||
|
Long-term financing receivables, net |
(31,872) |
(30,643) |
(51,108) |
(62,515) |
(95,119) | |||||
|
Advances to suppliers |
19,081 |
13,701 |
28,656 |
32,782 |
40,569 | |||||
|
Accounts payable and other accrued liabilities |
(16,422) |
(198,119) |
82,051 |
(214,541) |
12,077 | |||||
|
Billings in excess of costs and estimated earnings |
(4,411) |
(61,022) |
(49,915) |
(65,433) |
(23,049) | |||||
|
Customer advances |
13,294 |
91,863 |
(760) |
105,157 |
(5,884) | |||||
|
Net cash used in operating activities |
(161,799) |
(126,893) |
(300,091) |
(288,692) |
(669,992) | |||||
|
Cash flows from investing activities: |
||||||||||
|
Purchases of property, plant and equipment |
(17,246) |
(27,877) |
(46,281) |
(45,123) |
(93,325) | |||||
|
Cash paid for solar power systems, leased and to be leased |
(22,811) |
(18,217) |
(22,918) |
(41,028) |
(46,156) | |||||
|
Cash paid for solar power systems |
(3,407) |
(4,605) |
(2,282) |
(8,012) |
(2,282) | |||||
|
Payments to 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
- |
- |
130 |
- |
(9,838) | |||||
|
Dividend from equity method investee |
1,421 |
- |
- |
1,421 |
- | |||||
|
Cash paid for investments in unconsolidated investees |
(1,461) |
(10,142) |
(557) |
(11,603) |
(10,309) | |||||
|
Net cash used in investing activities |
(43,504) |
(60,841) |
(71,908) |
(104,345) |
(161,910) | |||||
|
Cash flows from financing activities: |
||||||||||
|
Proceeds from bank loans and other debt |
90,637 |
110,763 |
- |
201,400 |
- | |||||
|
Repayment of bank loans and other debt |
(99,913) |
(129,027) |
(162) |
(228,940) |
(7,887) | |||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
10,062 |
20,580 |
24,889 |
30,642 |
53,228 | |||||
|
Repayment of non-recourse residential financing |
(1,726) |
(1,298) |
(1,101) |
(3,024) |
(2,166) | |||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
47,595 |
49,030 |
33,083 |
96,625 |
57,165 | |||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(4,691) |
(3,763) |
(1,596) |
(8,454) |
(6,905) | |||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
104,843 |
121,818 |
354,052 |
226,661 |
433,492 | |||||
|
Repayment of non-recourse power plant and commercial financing |
(3,057) |
(28,964) |
(51) |
(32,021) |
(37,352) | |||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(153) |
(4,062) |
(795) |
(4,215) |
(19,671) | |||||
|
Net cash provided by financing activities |
143,597 |
135,077 |
408,319 |
278,674 |
469,904 | |||||
|
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents |
386 |
788 |
(467) |
1,174 |
307 | |||||
|
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents |
(61,320) |
(51,869) |
35,853 |
(113,189) |
(361,691) | |||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
462,343 |
514,212 |
623,220 |
514,212 |
1,020,764 | |||||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 401,023 |
$ 462,343 |
$ 659,073 |
$ 401,023 |
$ 659,073 | |||||
|
Non-cash transactions: |
||||||||||
|
Assignment of residential lease receivables to third parties |
$ 7 |
$ 18 |
$ 1,379 |
$ 25 |
$ 2,476 | |||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
$ 14,078 |
$ 13,389 |
$ 14,806 |
$ 27,467 |
$ 29,891 | |||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
$ 7,016 |
$ 3,169 |
$ 6,282 |
$ 7,016 |
$ 6,282 | |||||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
$ 2,702 |
$ 52,917 |
$ 7,375 |
$ 55,619 |
$ 7,375 | |||||
|
Property, plant and equipment acquisitions funded by liabilities |
$ 40,669 |
$ 44,966 |
$ 73,247 |
$ 40,669 |
$ 73,247 | |||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
$ 1,858 |
$ 2,615 |
$ - |
$ 4,473 |
$ 8,726 | |||||
|
Exchange of receivables for an investment in an unconsolidated investee |
$ - |
$ - |
$ 2,890 |
$ - |
$ 2,890 | |||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross margin includes adjustments relating to stock-based compensation, amortization of intangible assets, non-cash interest expense, arbitration ruling, cost of above-market polysilicon, and other items, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to restructuring expense, IPO-related costs, and the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. With certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | |||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | |||||||||||
|
(In thousands, except percentages and per share data) | |||||||||||
|
(Unaudited) | |||||||||||
|
Adjustments to Revenue: |
|||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | |||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||||
|
GAAP revenue |
$ 337,446 |
$ 399,076 |
$ 420,452 |
$ 736,522 |
$ 805,327 | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
(223) |
713 |
(1,400) |
490 |
(16,574) | ||||||
|
Utility and power plant projects |
335 |
(23,780) |
(40,085) |
(23,445) |
13,453 | ||||||
|
Sale of operating lease assets |
- |
- |
10,183 |
- |
20,586 | ||||||
|
Sale-leaseback transactions |
3,927 |
53,478 |
12,646 |
57,405 |
12,646 | ||||||
|
Non-GAAP revenue |
$ 341,485 |
$ 429,487 |
$ 401,796 |
$ 770,972 |
$ 835,438 | ||||||
|
Adjustments to Gross margin: |
|||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | |||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||||
|
GAAP gross margin |
$ 15,235 |
$ (30,932) |
$ 41,294 |
$ (15,697) |
$ 92,831 | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
870 |
1,189 |
(210) |
2,059 |
(4,852) | ||||||
|
Utility and power plant projects |
2,378 |
27,174 |
4,128 |
29,552 |
7,685 | ||||||
|
Sale of operating lease assets |
- |
- |
2,966 |
- |
6,078 | ||||||
|
Sale-leaseback transactions |
(2,270) |
(3,144) |
2,988 |
(5,414) |
2,988 | ||||||
|
Other adjustments: |
|||||||||||
|
Stock-based compensation expense |
1,052 |
1,184 |
5,464 |
2,236 |
9,589 | ||||||
|
Amortization of intangible assets |
2,567 |
2,567 |
1,530 |
5,134 |
2,544 | ||||||
|
Non-cash interest expense |
10 |
10 |
284 |
20 |
603 | ||||||
|
Cost of above-market polysilicon |
21,826 |
29,815 |
15,901 |
51,641 |
28,615 | ||||||
|
Arbitration ruling |
- |
- |
(5,852) |
- |
(5,852) | ||||||
|
Non-GAAP gross margin |
$ 41,668 |
$ 27,863 |
$ 68,493 |
$ 69,531 |
$ 140,229 | ||||||
|
GAAP gross margin (%) |
4.5% |
-7.8% |
9.8% |
-2.1% |
11.5% | ||||||
|
Non-GAAP gross margin (%) |
12.2% |
6.5% |
17.0% |
9.0% |
16.8% | ||||||
|
Adjustments to Net income (loss): |
|||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | |||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||||
|
GAAP net loss attributable to stockholders |
$ (93,760) |
$ (134,479) |
$ (69,992) |
$ (228,239) |
$ (155,401) | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
2,458 |
8,101 |
18,039 |
10,559 |
28,758 | ||||||
|
Utility and power plant projects |
2,378 |
27,174 |
4,128 |
29,552 |
7,685 | ||||||
|
Sale of operating lease assets |
- |
- |
2,979 |
- |
6,099 | ||||||
|
Sale-leaseback transactions |
(173) |
(1,842) |
2,988 |
(2,015) |
2,988 | ||||||
|
Other adjustments: |
|||||||||||
|
Stock-based compensation expense |
8,606 |
7,375 |
16,475 |
15,981 |
32,995 | ||||||
|
Amortization of intangible assets |
4,227 |
3,026 |
3,168 |
7,253 |
11,333 | ||||||
|
Non-cash interest expense |
35 |
35 |
309 |
70 |
655 | ||||||
|
Restructuring expense |
4,969 |
9,790 |
117 |
14,759 |
213 | ||||||
|
Arbitration ruling |
- |
- |
(5,852) |
- |
(5,852) | ||||||
|
IPO-related costs |
(196) |
114 |
35 |
(82) |
35 | ||||||
|
Cost of above-market polysilicon |
21,826 |
29,815 |
15,901 |
51,641 |
28,615 | ||||||
|
Other |
- |
- |
(12) |
- |
(11) | ||||||
|
Tax effect |
350 |
513 |
(2,454) |
863 |
(770) | ||||||
|
Non-GAAP net loss attributable to stockholders |
$ (49,280) |
$ (50,378) |
$ (14,171) |
$ (99,658) |
$ (42,658) | ||||||
|
Adjustments to Net income (loss) per diluted share: |
|||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | |||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||||
|
Net income (loss) per diluted share |
|||||||||||
|
Numerator: |
|||||||||||
|
GAAP net loss available to common stockholders1 |
$ (93,760) |
$ (134,479) |
$ (69,992) |
$ (228,239) |
$ (155,401) | ||||||
|
Non-GAAP net loss available to common stockholders1 |
$ (49,280) |
$ (50,378) |
$ (14,171) |
$ (99,658) |
$ (42,658) | ||||||
|
Denominator: |
|||||||||||
|
GAAP weighted-average shares |
139,448 |
138,902 |
138,084 |
139,175 |
137,644 | ||||||
|
Effect of dilutive securities: |
|||||||||||
|
Stock options |
- |
- |
- |
- |
- | ||||||
|
Restricted stock units |
- |
- |
- |
- |
- | ||||||
|
Upfront warrants (held by Total) |
- |
- |
- |
- |
- | ||||||
|
Warrants (under the CSO2015) |
- |
- |
- |
- |
- | ||||||
|
0.75% debentures due 2018 |
- |
- |
- |
- |
- | ||||||
|
Non-GAAP weighted-average shares1 |
139,448 |
138,902 |
138,084 |
139,175 |
137,644 | ||||||
|
GAAP net loss per diluted share |
$ (0.67) |
$ (0.97) |
$ (0.51) |
$ (1.64) |
$ (1.13) | ||||||
|
Non-GAAP net loss per diluted share |
$ (0.35) |
$ (0.36) |
$ (0.10) |
$ (0.72) |
$ (0.31) | ||||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | |||||||||||
|
Adjusted EBITDA: |
|||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 2, |
Apr. 2, |
Jul. 3, |
Jul. 2, |
Jul. 3, | |||||||
|
2017 |
2017 |
2016 |
2017 |
2016 | |||||||
|
GAAP net loss attributable to stockholders |
$ (93,760) |
$ (134,479) |
$ (69,992) |
$ (228,239) |
$ (155,401) | ||||||
|
Adjustments based on IFRS: |
|||||||||||
|
8point3 |
2,458 |
8,101 |
18,039 |
10,559 |
28,758 | ||||||
|
Utility and power plant projects |
2,378 |
27,174 |
4,128 |
29,552 |
7,685 | ||||||
|
Sale of operating lease assets |
- |
- |
2,979 |
- |
6,099 | ||||||
|
Sale-leaseback transactions |
(173) |
(1,842) |
2,988 |
(2,015) |
2,988 | ||||||
|
Other adjustments: |
|||||||||||
|
Stock-based compensation expense |
8,606 |
7,375 |
16,475 |
15,981 |
32,995 | ||||||
|
Amortization of intangible assets |
4,227 |
3,026 |
3,168 |
7,253 |
11,333 | ||||||
|
Non-cash interest expense |
35 |
35 |
309 |
70 |
655 | ||||||
|
Restructuring expense |
4,969 |
9,790 |
117 |
14,759 |
213 | ||||||
|
Arbitration ruling |
- |
- |
(5,852) |
- |
(5,852) | ||||||
|
IPO-related costs |
(196) |
114 |
35 |
(82) |
35 | ||||||
|
Cost of above-market polysilicon |
21,826 |
29,815 |
15,901 |
51,641 |
28,615 | ||||||
|
Other |
- |
- |
(12) |
- |
(11) | ||||||
|
Cash interest expense, net of interest income |
19,886 |
18,529 |
13,144 |
38,415 |
25,328 | ||||||
|
Provision for income taxes |
2,353 |
2,031 |
6,648 |
4,384 |
9,829 | ||||||
|
Depreciation |
40,917 |
38,932 |
37,730 |
79,849 |
71,556 | ||||||
|
Adjusted EBITDA |
$ 13,526 |
$ 8,601 |
$ 45,805 |
$ 22,127 |
$ 64,825 | ||||||
|
Q3 2017 and FY 2017 GUIDANCE | ||
|
(in thousands except percentages) |
Q3 2017 |
FY 2017 |
|
Revenue (GAAP) |
$300,000-$350,000 |
$1,850,000-$2,050,000 |
|
Revenue (non-GAAP) (1) |
$320,000-$370,000 |
$2,100,000-$2,300,000 |
|
Gross margin (GAAP) |
(3)%-(1)% |
N/A |
|
Gross margin (non-GAAP) (2) |
5%-7% |
N/A |
|
Net loss (GAAP) |
$(120,000)-$(100,000) |
N/A |
|
Adjusted EBITDA (3) |
$0-$20,000 |
N/A |
|
(1) |
Estimated non-GAAP amounts above for Q3 2017 include net adjustments that increase revenue by approximately $20 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2017 include net adjustments that increase (decrease) revenue by approximately $(60) million related to 8point3, and $310 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q3 2017 include net adjustments that increase gross margin by approximately $6 million related to utility and power plant projects, $3 million related to sale-leaseback transactions, $3 million related to stock-based compensation expense, $1 million related to amortization of intangible assets, and $21 million related to cost of above-market polysilicon. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q3 2017 include net adjustments that decrease net loss by approximately $6 million related to utility and power plant projects, $3 million related to sale-leaseback transactions, $10 million related to stock-based compensation expense, $3 million related to amortization of intangible assets, $1 million related to non-cash interest expense, $10 million related to restructuring, $21 million related to interest expense, $2 million related to income taxes, $43 million related to depreciation, and $21 million related to cost of above-market polysilicon. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
July 2, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 157,125 |
$ 100,105 |
$ 80,216 |
$ 26,138 |
16.6% |
$ 2,575 |
2.6% |
$ (13,478) |
-16.8% |
$ (93,760) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,319) |
1,470 |
(374) |
(477) |
891 |
456 |
- |
- |
- |
1,060 |
- |
528 |
2,458 | |||||||||||||||||||
|
Utility and power plant projects |
- |
327 |
8 |
- |
327 |
2,051 |
- |
- |
- |
- |
- |
- |
2,378 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
3,927 |
- |
- |
(2,225) |
(45) |
- |
- |
- |
2,097 |
- |
- |
(173) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
314 |
293 |
445 |
1,036 |
6,518 |
- |
- |
- |
- |
8,606 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
870 |
672 |
1,025 |
1,201 |
459 |
- |
- |
- |
- |
4,227 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
2 |
2 |
6 |
4 |
21 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
4,969 |
- |
- |
- |
4,969 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(196) |
- |
- |
- |
- |
(196) | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,731 |
5,000 |
12,095 |
- |
- |
- |
- |
- |
- |
21,826 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
350 |
- |
350 | |||||||||||||||||||
|
Non-GAAP |
$ 155,806 |
$ 105,829 |
$ 79,850 |
$ 31,578 |
20.3% |
$ 7,535 |
7.1% |
$ 2,555 |
3.2% |
$ (49,280) | ||||||||||||||||||||||
|
April 2, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 136,031 |
$ 108,263 |
$ 154,782 |
$ 15,274 |
11.2% |
$ (2,366) |
-2.2% |
$ (43,840) |
-28.3% |
$ (134,479) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,337) |
2,667 |
(617) |
(503) |
1,693 |
(1) |
- |
- |
- |
6,066 |
- |
846 |
8,101 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(23,780) |
- |
- |
27,174 |
- |
- |
- |
- |
- |
- |
27,174 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
23,041 |
30,437 |
- |
(2,665) |
(479) |
- |
- |
- |
1,302 |
- |
- |
(1,842) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
210 |
249 |
725 |
1,528 |
4,663 |
- |
- |
- |
- |
7,375 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,214 |
836 |
517 |
- |
459 |
- |
- |
- |
- |
3,026 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
4 |
3 |
3 |
4 |
21 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
9,790 |
- |
- |
- |
9,790 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
114 |
- |
- |
- |
- |
114 | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,351 |
7,132 |
18,332 |
- |
- |
- |
- |
- |
- |
29,815 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
513 |
- |
513 | |||||||||||||||||||
|
Non-GAAP |
$ 134,694 |
$ 133,971 |
$ 160,822 |
$ 20,550 |
15.3% |
$ 4,882 |
3.6% |
$ 2,431 |
1.5% |
$ (50,378) | ||||||||||||||||||||||
|
July 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 177,715 |
$ 97,846 |
$ 144,891 |
$ 38,756 |
21.8% |
$ 8,323 |
8.5% |
$ (5,785) |
-4.0% |
$ (69,992) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,287) |
- |
(113) |
(419) |
179 |
30 |
- |
# |
- |
# |
- |
# |
1,061 |
# |
- |
17,188 |
18,039 | |||||||||||||||
|
Utility and power plant projects |
- |
- |
(40,085) |
- |
- |
4,128 |
- |
# |
- |
# |
- |
# |
- |
# |
- |
- |
4,128 | |||||||||||||||
|
Sale of operating lease assets |
10,183 |
- |
- |
2,966 |
- |
- |
- |
# |
- |
# |
- |
# |
13 |
# |
- |
- |
2,979 | |||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
2,988 |
- |
- |
- |
- |
- |
- |
- |
2,988 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,652 |
745 |
3,067 |
2,965 |
8,046 |
- |
- |
- |
- |
16,475 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
576 |
608 |
346 |
1,187 |
451 |
- |
- |
- |
- |
3,168 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
63 |
52 |
169 |
3 |
22 |
- |
- |
- |
- |
309 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
117 |
- |
- |
- |
117 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
(5,852) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
35 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
3,619 |
2,531 |
9,751 |
- |
- |
- |
- |
- |
- |
15,901 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(12) |
- |
- |
(12) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(2,454) |
- |
(2,454) | |||||||||||||||||||
|
Non-GAAP |
$ 186,611 |
$ 110,492 |
$ 104,693 |
$ 45,868 |
24.6% |
$ 14,504 |
13.1% |
$ 8,121 |
7.8% |
$ (14,171) | ||||||||||||||||||||||
|
SIX MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
July 2, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 293,156 |
$ 208,368 |
$ 234,998 |
$ 41,412 |
14.1% |
$ 209 |
0.1% |
$ (57,318) |
-24.4% |
$ (228,239) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(2,656) |
4,137 |
(991) |
(980) |
2,584 |
455 |
- |
- |
- |
7,126 |
- |
1,374 |
10,559 | |||||||||||||||||||
|
Utility and power plant projects |
- |
327 |
(23,772) |
- |
327 |
29,225 |
- |
- |
- |
- |
- |
- |
29,552 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
26,968 |
30,437 |
- |
(4,890) |
(524) |
- |
- |
- |
3,399 |
- |
- |
(2,015) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
524 |
542 |
1,170 |
2,564 |
11,181 |
- |
- |
- |
- |
15,981 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
2,084 |
1,508 |
1,542 |
1,201 |
918 |
- |
- |
- |
- |
7,253 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
6 |
5 |
9 |
8 |
42 |
- |
- |
- |
- |
70 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
14,759 |
- |
- |
- |
14,759 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(82) |
- |
- |
- |
- |
(82) | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
9,082 |
12,132 |
30,427 |
- |
- |
- |
- |
- |
- |
51,641 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
863 |
- |
863 | |||||||||||||||||||
|
Non-GAAP |
$ 290,500 |
$ 239,800 |
$ 240,672 |
$ 52,128 |
17.9% |
$ 12,417 |
5.2% |
$ 4,986 |
2.1% |
$ (99,658) | ||||||||||||||||||||||
|
July 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 329,522 |
$ 150,087 |
$ 325,718 |
$ 72,403 |
22.0% |
$ 15,338 |
10.2% |
$ 5,090 |
1.6% |
$ (155,401) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(2,599) |
- |
(13,975) |
(904) |
179 |
(4,127) |
- |
- |
- |
2,123 |
- |
31,487 |
28,758 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
13,453 |
- |
- |
7,685 |
- |
- |
- |
- |
- |
- |
7,685 | |||||||||||||||||||
|
Sale of operating lease assets |
20,586 |
- |
- |
6,078 |
- |
- |
- |
- |
- |
21 |
- |
- |
6,099 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
2,988 |
- |
- |
- |
- |
- |
- |
- |
2,988 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
2,479 |
1,397 |
5,713 |
5,997 |
17,409 |
- |
- |
- |
- |
32,995 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
987 |
1,234 |
323 |
3,007 |
5,782 |
- |
- |
- |
- |
11,333 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
134 |
91 |
378 |
10 |
42 |
- |
- |
- |
- |
655 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
213 |
- |
- |
- |
213 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
(5,852) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
35 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
7,054 |
4,070 |
17,491 |
- |
- |
- |
- |
- |
- |
28,615 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
1 |
- |
(12) |
- |
- |
(11) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(770) |
- |
(770) | |||||||||||||||||||
|
Non-GAAP |
$ 347,509 |
$ 162,733 |
$ 325,196 |
$ 86,886 |
25.0% |
$ 24,375 |
15.0% |
$ 28,968 |
8.9% |
$ (42,658) | ||||||||||||||||||||||
View original content with multimedia:http://www.prnewswire.com/news-releases/sunpower-reports-second-quarter-2017-results-300497756.html
SOURCE SunPower Corp.
Article Date
8/1/20177/25/2017 - SunPower to Supply 29.9-Megawatts of High Efficiency Solar Panels for Tenergie Solar Projects in France
SunPower to Supply 29.9-Megawatts of High Efficiency Solar Panels for Tenergie Solar Projects in France
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
PARIS, July 25, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a majority-owned subsidiary of Total SA, and Tenergie, an independent renewable power producer, announced today that SunPower is supplying 29.9 megawatts (MW) of its high efficiency SunPower® E-Series solar panels for several rooftop and ground-mount solar projects that Tenergie is developing in France.
"SunPower offers powerful solar panels, with the highest reliability on the market today," said Pascal Penicaud, CEO of Tenergie. "We're pleased to develop projects in France that will generate renewable energy sustainably and over the long term."
The SunPower panels are being installed on 157 rooftop projects totaling 26.8 megawatts and two ground-mount projects totaling 3.1 megawatts. Tenergie expects to commission all of the projects before the end of next year.
"SunPower is proud to partner with Tenergie, an innovative independent power producer that shares our commitment to quality and long-term value," said SunPower Executive Vice President Peter Aschenbrenner. "Compared to conventional panels, SunPower E-Series solar panels produce 30 percent more energy in the same space."
In recent months, SunPower has been awarded contracts to supply more than 200 megawatts of SunPower solar panels for projects in France. A significant portion of the panels SunPower supplies under these contracts will be manufactured at the company's French manufacturing facilities.
SunPower's direct current E-Series solar panels, as well as its X-Series solar panels, are Cradle to Cradle Certified™ Silver. SunPower is the only solar panel manufacturer in the world to achieve this designation, which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness.
About Tenergie
Tenergie is an Independent Power Producer ("IPP") with a strong track record in developing greenfield projects or purchasing operating assets on the secondary market. Tenergie owns and operates 200MW of solar and wind power plants located in France and Italy. Tenergie is headquartered in Aix-en-Provence, France. Visit www.tenergie.fr for more information.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding energy output and expected project timelines. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks of SunPower Corporation in the European Union, U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
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SOURCE SunPower Corp.
Article Date
7/25/2017SunPower to Announce Second-Quarter Results on August 1, 2017
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., July 18, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its second-quarter 2017 financial results on a conference call on Tuesday, August 1 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on August 1, 2017.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and THE POWER OF ONE are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/18/2017OG&E and SunPower Announce 10-Megawatt Solar Plant in Oklahoma
Source: PR Newswire
OKLAHOMA CITY and SAN JOSE, Calif., July 18, 2017 /PRNewswire/ -- OGE Energy Corp. (NYSE: OGE) electric utility subsidiary Oklahoma Gas & Electric Company (OG&E) and SunPower Corp. (NASDAQ:SPWR) today announced the two companies have signed a contract to build a 10-megawatt (AC) solar photovoltaic power plant in Covington, Okla. Construction on the plant is anticipated to commence next month.
"The Covington project is a continuation of our successful pilot initiative, which launched with 2.5-megawatt solar facility in Mustang, Oklahoma, in 2015," said OG&E Chief Operating Officer Keith Mitchell.
SunPower will design and build a SunPower® Oasis® Power Plant system at the Covington site. The Oasis system is a complete power plant solution that installs quickly to maximize value for customers. Product features include 50 percent fewer parts than conventional solar plant systems, an integrated solar tracker design that streamlines construction and reduces operations and maintenance costs, and cost-effective, high efficiency SunPower P-Series solar panels, which produce more energy than conventional solar panels over the lifetime of the system.
"At the 80-acre site, SunPower Oasis Power Plant technology and SunPower P-Series solar panels will optimize the cost-competitive solar power generated for OG&E customers," said Tom Werner, SunPower president and CEO. "We commend OG&E for its commitment to including solar in its energy mix, and for selecting high performance SunPower technology to ensure reliable, long-term return on investment."
SunPower will provide operations and maintenance services once the plant begins commercial operation, which is expected in early 2018.
The Covington solar plant is anticipated to generate enough electricity to serve the needs of over 1,000 average Oklahoma homes, based on estimates provided by the Solar Energy Industries Association.
OG&E will own the renewable energy credits associated with the system.
About OG&E
Oklahoma Gas & Electric Company, a subsidiary of OGE Energy Corp. (NYSE: OGE), is Oklahoma's largest electric utility. For more than a century, we have provided customers in Oklahoma and western Arkansas the safe, reliable electricity needed to power their businesses and homes at rates below the national average. Our employees are committed to generating and delivering electricity, protecting the environment and providing excellent service to our more than 836,000 customers. OG&E has 6,700 MW of electric generation capacity fueled by low-sulfur coal, natural gas, wind and solar. OG&E is recognized as a leader in smart grid technology, leveraging this platform to provide customers with the award-winning SmartHours® program and setting the stage for an electric vehicle program that will include some level of public charging infrastructure, and advanced LED street and security lighting. OG&E employees live, work and volunteer in the communities we serve. For more information about OG&E, visit us on the Internet at http://www.oge.com or follow us on Facebook: www.facebook.com/ogepower and Twitter: @OGandE.
About SunPower Corp.
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, relative generating capacity, and projected energy output. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/18/20176/27/2017 - Top New Home Builders Choose SunPower to Advance California's Net Zero Compliance Goals Before 2020
Top New Home Builders Choose SunPower to Advance California's Net Zero Compliance Goals Before 2020
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 27, 2017 /PRNewswire/ -- Developers are building an average of 80,000 new California homes a year, but the state needs another 1.8 million by 2025 in order to keep pace with its growing population, according to a 2017 report from California Department of Housing and Community Development. As of January 1, 2017, new construction homes must meet more stringent building energy codes that require higher levels of energy-efficiency, and many builders are turning to solar to achieve these goals.
This summer, SunPower will have installed solar at its 1,000th new home community. Working with new home builders since 2005, SunPower has already enabled about 25,000 newly-built homes across the country to be more energy-efficient with high performing residential solar systems; far ahead of California's Title 24, Section 6 code change that will require solar for all newly constructed homes in California in 2020 and beyond.
"Going with SunPower was a decision made after thoughtful consideration of potential solutions to meet the new energy code," said Craig Merry, Division President of Richmond American Homes in Northern California. "Their program and products offer cost-effective solutions, while providing marketing support in our sales centers and energy savings to homebuyers. SunPower has completed over 2,000 homes for Richmond American through our valued partnership, and we trust the value of their products and their performance on our job sites."
SunPower is currently partnered with 10 of the 13 largest builders in the U.S., according to Professional Builder magazine.
This year alone, about 1,500 new construction homes have already been constructed with SunPower® high efficiency solar systems as builders respond to a growing demand for solar homes, driven by increasing awareness that solar can significantly reduce the cost of home ownership.
This week, Matt Brost, SunPower's new homes senior director, will speak at PCBC, the largest homebuilding tradeshow representing the West Coast region, to educate building industry attendees on the important role of solar in the current code. Brost will also address how the industry expects the next code update to impact new home construction in 2020, as California continues its progress toward zero energy residences.
SunPower has showcased its expertise in meeting code compliance through the SunPower Up™ program, designed to help builders cost effectively comply with energy codes like Title 24. The program keeps construction costs down and increases marketability while empowering homeowners to choose lower cost alternatives for powering their new home.
"When compared to other energy efficiency measures, solar adds greater energy savings benefits to the homeowners who will ultimately occupy the home," said Martin DeBono, SunPower executive vice president, residential solar. "Incorporating solar into the construction of a home, while it's being built, makes a lot of sense, especially when homebuyers can reap the rewards of paying less for their electricity."
The California Energy Commission's New Solar Homes Partnership (NSHP) is part of the comprehensive statewide solar program, known as the California Solar Initiative. The NSHP program has provided incentives to builders to help prepare the building industry and achieve the 2020 goal of zero net energy homes. Since the program began in 2007, nearly 27,000 new solar homes have been completed by over 450 participating installers. SunPower has completed nearly half of all these homes, according to information provided by the Commission.
"The NSHP has helped catalyze solar on new construction," said David Hochschild, California Energy Commissioner. "I'm glad to see that solar has a significant role in California energy code, which will help our state reduce pollution, build energy independence and reduce energy bills for Californians."
For more information on how solar can help builders meet coming code changes, visit SunPower on the exhibition floor during this week's 2017 PCBC Expo in San Diego, Calif. Learn about SunPower's experience helping homebuilders and homeowners go solar by visiting www.sunpower.com/home-builders. Or for tips on building a green home, see our blog here.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER UP are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
6/27/2017Sustainability-Minded University of California, Merced, Selects SunPower for 5-Megawatt Solar Energy System with Storage
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 26, 2017 /PRNewswire/ -- The University of California, Merced's precedent-setting Triple Zero Commitment aims for zero net energy use, the creation of zero net landfill waste and climate neutrality on campus by 2020, a goal that coincides with the university's expansion project to nearly double the campus's physical capacity by that same year.
In support of UC Merced's goals, the university is working with SunPower Corp. (NASDAQ:SPWR) to install a 5-megawatt solar power system featuring a carport-and-rooftop installation, complemented by a 500-kilowatt energy storage solution from Stem.
"UC Merced is a sustainability leader in higher education, and we are committed to supporting economic, socially responsible and environmentally conscious initiatives," said Colleen McCormick, the university's director of sustainability. "We have always set ambitious goals for sustainability in our campus construction and operations, and this partnership with SunPower will help us reach those goals."
The system will be UC Merced's second featuring SunPower® solar technology. A 1-megawatt ground-mounted tracker system has been in operation and exceeding performance expectations since 2009, and the two systems combined are expected to supply more than 50 percent of the campus's energy needs. UC Merced will own the renewable energy credits (RECs) associated with the new solar energy system, which is estimated to generate clean electricity equal to removing approximately 30,000 cars from the road every year for 25 years.
The 5-megawatt photovoltaic system and 500-kilowatt battery storage system will be financed by a power purchase agreement (PPA). In addition to energy cost savings from solar production, adding Stem's software-driven energy storage positions UC Merced to achieve significant demand charge savings over the first 10 years of the project.
"It's an honor to help customers like UC Merced get closer to their sustainability goals with SunPower's dependable solar solutions," said Nam Nguyen, SunPower executive vice president. "With a well-regarded reputation for delivering high-efficiency, cost effective solar solutions to schools and higher education facilities nationwide, SunPower looks forward to helping UC Merced achieve the economic and environmental value that SunPower's quality solar and storage solution enables."
SunPower has long been a solar partner with the University of California system given the company's extensive experience delivering innovative energy solutions to higher education customers. SunPower is responsible for more than 70 percent of solar under construction or operating at University of California facilities, which include systems in Berkeley, Davis, Riverside and Santa Barbara.
Attendees at this year's California Higher Education Sustainability Conference (CHESC) in Santa Barbara can visit SunPower at Booth 16 to learn more about the benefits of solar for schools.
About University of California, Merced
UC Merced opened in 2005 as the newest campus in the University of California system and the first American research university built in the 21st century. The campus enjoys a special connection with nearby Yosemite National Park, is on the cutting edge of sustainability in construction and design, and supports highly qualified first-generation and underserved students from the San Joaquin Valley and throughout California. The Merced 2020 Project, a $1.3 billion public-private partnership that is unprecedented in higher education, will nearly double the physical capacity of the campus and support enrollment growth to 10,000 students.
About Stem, Inc.
Stem creates innovative technology services that transform the way energy is distributed and consumed. The company's mission is to build and operate the largest digitally connected energy storage network for our customers. Our world class analytics optimize the value of customers' energy assets and facilitate their participation in energy markets, yielding economic and societal benefits while decarbonizing the grid. Headquartered in Millbrae, California, Stem is funded by a consortium of leading investors including Angeleno Group, Iberdrola (Inversiones Financieras Perseo), GE Ventures, Constellation Technology Ventures, Total Energy Ventures, Mitsui & Co. LTD., RWE Supply & Trading, and Mithril Capital Management. Visit www.stem.com for more information.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, relative generating capacity, expected cost savings, and projected carbon offset. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other logos and trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
6/26/2017SunPower Partners Help 10 Massachusetts Schools Reduce Energy Costs with High-Efficiency Solar Systems
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 5, 2017 /PRNewswire/ -- Ranked seventh among U.S. states for the most solar capacity, Massachusetts is adding 6.9 megawatts to its 1,487 megawatts of solar currently installed and operating. Solect Energy and Green Street – members of SunPower's reputable national dealer network – have developed two high-efficiency SunPower® solar systems that will provide electricity to 10 Massachusetts schools.
In Easton and in partnership with SunPower (NASDAQ:SPWR), Solect Energy has constructed a 2.8-megawatt SunPower solar carport system at Stonehill College. The college will buy electricity generated by the system at a competitive rate under a power purchase agreement (PPA) arranged by SunPower which requires no upfront investment. As part of the RPS Solar Carve-Out II – a market-based incentive program designed to support solar growth across the Commonwealth – the system will help meet the state's Department of Energy Resources' goal of 1,600 megawatts of solar installed by 2020. The system is expected to meet about 20 percent of the college's energy needs.
"We applaud Stonehill College for its proven commitment to sustainability," said Scott Howe, partner and senior vice president of sales at Solect Energy. "With the addition of this SunPower solar canopy system, the College now has a grand total of six megawatts of solar installed on campus – and they are able to reinvest savings earned from the solar systems into areas of need such as student scholarships, maintenance, and campus upkeep."
In Bridgewater, Green Street has developed a 4.1-megawatt SunPower® Helix™ Roof system at Ajax United Drive, LLC. Green Street will own the offsite solar power system – as well as the associated renewable energy credits – while Attleboro Public Schools will buy the power produced through a PPA, saving an estimated $3 million over 20 years. Energy from the system is expected to meet about 75 percent of electricity needs for five elementary schools, three middle schools and one high school.
"With SunPower's innovative solar solutions, we were able to transform an unused, offsite rooftop into a mini power plant that benefits a number of partners including the building owner and local school district," said Scott Kerner, CEO of Green Street. "It's incredibly rewarding to know that this SunPower solar system will deliver long-term value to the students of Attleboro by generating meaningful savings that can be reinvested into local classrooms."
Across the Commonwealth, there are more than 14,500 skilled professionals in the solar industry. A total of about 90 workers contributed to both the Stonehill College and Attleboro Public Schools installations during peak construction.
"Massachusetts solar installations grew 23 percent year over year in 2016 as an integral part of the state's commitment to creating a diverse, clean energy economy," said Nam Nguyen, SunPower executive vice president. "Working in partnership with SunPower dealers, we're proud to continue increasing solar adoption in the Commonwealth by leveraging our 30 years of experience and reliable clean energy solutions."
SunPower solar technology has helped a number of Massachusetts schools save on energy costs, including Cape Cod Community College, Clark University, Edgerly School, Harvard University, and University of Massachusetts Lowell. Visit SunPower's site for more about the benefits of solar for schools, or the company's business feed for an informational guide on commercial solar PPAs.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
About Solect Energy
Solect is a full-service solar photovoltaic (PV) project developer and installer based in Hopkinton, Massachusetts, delivering smart solar and energy management solutions to help businesses and organizations reduce energy costs. As an industry leader in commercial-scale solar energy, Solect takes a practical approach to the development, installation and on-going support of each system. We partner closely with our customers, providing strong financial insight and solar technology expertise to optimize their investment while creating a positive impact on the environment. Solect currently has installed over 57 MW (megawatts) of commercial PV systems, with a primary focus on commercial, light industrial and institutional properties in New England. For more information, visit www.solect.com or follow us on Twitter at @SolectSolar.
About Green Street
Green Street Solar Power provides solar energy systems to homes and businesses throughout the northeast. Headquartered in the Bronx, NY, Green Street has grown from two founders to more than 60 employees in less than two years. Green Street continues to experience rapid growth with 100 MW of commercial and community solar projects in development. As they expand their solar coverage, Green Street consistently provides the best available solar technology coupled with an unwavering commitment to customer service. To find out more about Green Street Solar Power, visit GreenStreetSolarPower.com.
SunPower Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project timeline, projected energy output, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, HELIX and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other logos and trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
6/5/2017SunPower To Supply 64 Megawatts in First Round French Tender for Rooftop Projects
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
PARIS, May 30, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a majority-owned subsidiary of Total SA, announced today that, in the first round of France's tender process for rooftop solar projects, the company will supply 64 megawatts of its high efficiency SunPower® E-Series solar panels, or 57 percent of the 361 awarded solar projects.
"For the second time this year in France's tender process, SunPower has been selected to supply more winning projects than any other brand," said SunPower Executive Vice President Peter Aschenbrenner. "We are proud to be the leading provider of solar panels for the solar projects announced in this first tender round, and to play a key role in promoting the use of clean, renewable solar power in France."
In March, SunPower announced that the company was the leading solar panel provider in the first round of France's tender process for large-scale solar power, supplying 31 percent of the solar panels required for the awarded solar projects. Combining the large-scale and rooftop solar tender awards, SunPower will supply 194 megawatts of solar panels to the winning large-scale and rooftop projects.
"Total is very pleased with SunPower's great achievement in this round of the French tender process," said Julien Pouget, senior vice president, Renewables, Total. "It demonstrates once again the quality and efficiency of SunPower's solar solutions, which contribute to the generation of reliable, affordable and clean energy worldwide.
A significant portion of the panels SunPower supplies will be manufactured at the company's facilities in France. Compared to conventional panels, SunPower E-Series solar panels produce 30 percent more energy in the same space over the first 25 years.
SunPower's direct current E-Series solar panels, as well as its X-Series solar panels, are Cradle to Cradle Certified™ Silver. SunPower is the only solar panel manufacturer in the world to achieve this designation, which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness.
Ninety-nine percent of the waste generated at SunPower's manufacturing facilities in Toulouse and De Vernejoul, France is diverted from landfills, earning the facilities landfill-free verification from NSF Sustainability, a division of the global public health organization NSF International. More information on the company's commitment to sustainability can be found here on SunPower's website.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks of SunPower Corporation in the European Union, U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
SOURCE SunPower Corp.
Article Date
5/30/20175/26/2017 - Consumers Energy and SunPower Collaborate to Simplify Solar Process for Michigan Homeowners
Consumers Energy and SunPower Collaborate to Simplify Solar Process for Michigan Homeowners
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., May 26, 2017 /PRNewswire/ -- In a state expected to grow its solar installations by more than 500 percent this year, Consumers Energy and SunPower (NASDAQ:SPWR) are collaborating to offer a full-service home solar solution to 100 Michiganders from 32 counties statewide. As part of the Solar Distributed Generation (DG) Pilot Program, SunPower will provide participating homeowners interested in solar with a no-cost site assessment, customized system design, quality installation, industry-leading warranty, long-term financing options and more.
"At Consumers Energy, we're rolling out new programs for Michigan residents as we all do our part for the environment," said Dennis Dobbs, Consumers Energy's vice president of enterprise project management, engineering and services. "We are pleased to respond to the growing interest we see from Michigan residents in generating their own solar energy."
Each SunPower solar energy system will be designed and sized to best meet each consumer's needs. Any excess solar energy generated by the system but not used onsite will result in a credit on the homeowner's monthly energy bill under the state's Net Metering program. Homeowners may choose to own their system through a cash purchase or loan, allowing eligible customers to take advantage of federal and state incentives while likely increasing their property value. All systems come complete with the industry's best 25-year Combined Power and Product Warranty.
"We look forward to supporting a sustainable energy future in Michigan through this program which combines SunPower's 30 years of experience delivering high-performance solar solutions with Consumers Energy's 130-year history of providing reliable electricity to Michigan homeowners," said Martin DeBono, SunPower executive vice president. "SunPower offers record-breaking solar technology that generates 60 percent more energy in the same space over the first 25 years compared to conventional panels, while looking superb on any roof."
Among SunPower's home solar offerings available through the pilot is the SunPower Equinox™ platform, the nation's first residential solar solution that has been designed and engineered by one company to work seamlessly together, delivering unbeatable power, long-term performance and curb appeal. With the Equinox system, only the solar panels and a smart energy management device are visible, reflecting the company's minimalist architectural approach at the system level. And because SunPower panels are more efficient, fewer are required to generate the same amount of energy as a system with conventional solar.
For Consumers Energy customers interested in learning more about the program with SunPower, visit www.ConsumersEnergy.com/solarpilot. Customers are free to pursue solar distributed generation equipment, installation, financing, and maintenance services through alternatives other than the Solar DG Pilot, which is not regulated by the Michigan Public Service Commission.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX, and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
5/26/2017SunPower Breaks Ground on 28-Megawatt Solar Power System at Vandenberg Air Force Base
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., May 23, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) has broken ground on a 28-megawatt solar photovoltaic system at Vandenberg Air Force Base near Lompoc, California, a project expected to create about 150 jobs at peak of construction. Upon operation, it's anticipated to be the largest behind-the-meter solar power system in the Air Force where 100 percent of the energy generated will be consumed onsite.
"A solar project that is grid-connected to the Base enables us to meet our electric demand with renewable energy and increase our energy security," said Ken Domako, Chief, Portfolio Optimization, Vandenberg Air Force Base. "We look forward to increasing the Air Force's energy independence with competitively priced, dependable solar from SunPower."
The SunPower® solar power system will be installed on land that has gone unused since 2007, just outside the gates of Vandenberg where Air Force housing once stood. The Base will purchase energy generated by the plant under a power purchase agreement (PPA), providing Vandenberg with competitive, fixed electricity rates over the next 25 years. The Air Force will retain all environmental credits associated with the system.
"The Air Force has an aggressive target to meet that requires full energy assurance for key missions," said Dan Gerdes, Air Force Civil Engineer Center rates and renewables division chief. "By diversifying our energy mix at Vandenberg to include SunPower's high efficiency solar technology, we're confident we'll have the electrons we need, when we need them, creating long-term value for our operations."
Once complete, the system will provide a projected 54,500 megawatt hours of energy annually, meeting about 35 percent of Vandenberg's total energy needs. It will also contribute to the entire Air Force's goal of meeting 25 percent of its electricity demand with renewables.
"SunPower is pleased to offer a cost- competitive renewable energy solution to the U.S. Air Force, which will provide increasing economic and environmental value to the Vandenberg Air Force Base for 25 years," said Nam Nguyen, SunPower executive vice president. "We congratulate the Air Force for its commitment to renewable energy, and are proud to help the Air Force achieve its sustainability goals with SunPower's innovative solar solutions."
As a trusted solar advisor to military agencies, SunPower has designed and installed solar power systems at dozens of federal government facilities. Most notable projects include a 13.2-megawatt and a 15-megawatt installation at Nellis Air Force Base in Nevada – operating since 2007 and 2016 respectively – as well as a 13.78-megawatt installation at NAWS China Lake in California – operating since 2012.
For more information on how solar can benefit government entities, visit SunPower at booth 2006 during this week's 2017 Joint Engineer Training Conference and Expo in Columbus, Ohio. Learn about SunPower's experience helping federal agencies go solar by visiting www.sunpower.com/government.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, relative generating capacity, and projected job creation. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
5/23/20175/9/2017 - SunPower Reports First Quarter 2017 Results
SunPower Reports First Quarter 2017 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., May 9, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its first quarter ended April 2, 2017.
|
($ Millions, except percentages and per-share data) |
1st Quarter 2017 |
4th Quarter 2016 |
1st Quarter 2016 |
|
GAAP revenue |
$399.1 |
$1,024.9 |
$384.9 |
|
GAAP gross margin |
(7.8%) |
(3.1%) |
13.4% |
|
GAAP net loss |
($134.5) |
($275.1) |
($85.4) |
|
GAAP net loss per diluted share |
($0.97) |
($1.99) |
($0.62) |
|
Non-GAAP revenue1 |
$429.5 |
$1,097.3 |
$433.6 |
|
Non-GAAP gross margin1,2 |
6.5% |
6.4% |
16.5% |
|
Non-GAAP net income (loss)1,2 |
($50.4) |
$3.3 |
($28.5) |
|
Non-GAAP net income (loss) per diluted share1,2 |
($0.36) |
$0.02 |
($0.21) |
|
Adjusted EBITDA1,2 |
$8.6 |
$71.4 |
$19.0 |
|
Operating cash flow |
($126.9) |
$484.8 |
($369.9) |
|
1 Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. | |
|
2 Excludes polysilicon costs related to above market polysilicon contracts. |
"We executed well despite a challenging industry environment and achieved our financial goals for the first quarter," said Tom Werner, SunPower president and CEO. "Demand in our distributed generation business remains solid with continued traction for our Equinox™ and Helix™ complete system solutions and strong bookings in both our residential and commercial segments. Our key power plant projects remain on track for second half 2017 delivery although competitive conditions and pricing in this segment remain quite difficult. We are seeing significant momentum in our SunPower® Solutions business with bookings and awards of 400-megawatts (MW) so far this year. Operationally, we again met our manufacturing cost reduction targets for the quarter, including for our new P-Series product, with Fab 4 consistently producing X-Series cell efficiencies in excess of 25 percent."
"Strategically, we are executing on our restructuring program, which we firmly believe will enable us to successfully navigate the current market transition while maximizing near term cash flow. We remain committed to streamlining our business structure with investment focused on significant growth opportunities and innovation in the areas of next generation cell and module technology, our complete solution product suite, energy storage, digital platforms and Smart Energy initiatives. In relation to our go-to-market strategy, given current industry conditions, we will further narrow our focus in our power plant development footprint and reallocate resources to ramping our SunPower Solutions equipment sales business, as well as our industry leading distributed generation business. We expect these initiatives will improve our long-term financial performance, strengthen our balance sheet and position the company for sustained profitability," concluded Werner.
Additionally, the company announced that it has reached an agreement with Total whereby Total will guarantee up to $100 million of the company's $300 million credit revolver facility for a period through August of 2019.
"Total is pleased that SunPower's first quarter results were in line with its guidance," said Julien Pouget, Senior Vice President Renewables, Total. "In this context, by agreeing to provide SunPower access to additional liquidity over the next two years through a guarantee of up to $100 million of its revolving credit facility, Total is expressing its continued support for SunPower in the current challenging solar environment."
"Our first quarter results were on plan, benefitting from our diversified model and the continued execution of our corporate restructuring initiatives," said Chuck Boynton, SunPower chief financial officer. "Our near term efforts remain focused on improving cash flow and prudently managing our working capital. Looking forward, with our restructuring on track, the recent continued support from Total and commitment to reducing our overall capital spending intensity, we are confident that we are well positioned for success."
SunPower's first quarter 2017 non-GAAP Cost of Goods Sold results for the company's segment reporting excludes approximately $30 million in polysilicon costs related to its previously disclosed, current, above market polysilicon contracts. SunPower believes that the exclusion of these costs on a non-GAAP basis better reflects the true performance of its business on a segment basis. As a result of this change in the treatment of its polysilicon costs this quarter, the company has provided quarterly reconciliations in this release and associated SEC filings reflecting this change on a historical basis.
First quarter fiscal 2017 non-GAAP results include net adjustments that, in the aggregate, decreased (increased) non-GAAP net loss by $84.1 million, including $8.1 million related to 8point3 Energy Partners, $27.2 million related to utility and power plant projects, $(1.8) million related to sale-leaseback transactions, $7.4 million related to stock-based compensation expense, $3.0 million related to amortization of intangible assets, $9.8 million related to restructuring expense, $29.8 million related to cost of above-market polysilicon, $0.1 million related to other adjustments, and $0.5 million related to tax effect.
Financial Outlook
The company is reiterating the following key financial metrics for 2017.
Revenue of $1.8 billion to $2.3 billion on a GAAP basis and $2.1 billion to $2.6 billion on a non-GAAP basis, non-GAAP operational expenses of less than $350 million, capital expenditures of approximately $120 million, and gigawatts (GW) deployed in the range of 1.3 GW to 1.6 GW. Also, the company expects to record GAAP restructuring charges totaling $50 million to $100 million in fiscal year 2017.
The company expects to generate positive operating cash flow through the end of fiscal year 2017 and exit the year with approximately $300 million in cash. The company is also forecasting positive Adjusted EBITDA for the full year 2017, weighted toward the second half of the year. Additionally, the company's 2017 non-GAAP guidance excludes approximately $100 million in above market polysilicon costs. The company continues to believe that cash flow and liquidity are the key evaluation metrics for investors in the near term.
The company's second quarter fiscal 2017 GAAP guidance is as follows: revenue of $275 million to $325 million, gross margin of negative 3 percent to negative 1 percent and net loss of $135 million to $110 million. Second quarter 2017 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting as well as the impact of charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $275 million to $325 million, gross margin of 2 percent to 4 percent, Adjusted EBITDA of negative $25 million to breakeven and megawatts deployed in the range of 330 MW to 360 MW. The company's second quarter non-GAAP guidance excludes approximately $13 million in above market polysilicon costs.
The company will host a conference call for investors this afternoon to discuss its first quarter 2017 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2017 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) anticipated project timelines; (b) our expectations for the timing, success and financial impact of our restructuring plan and associated initiatives, including plans to streamline our business and focus investment and resources, and the impact on our balance sheet, near- and long-term cash flow, annual operating expenses, and profitability; (c) our ability to access additional financing, improve cash flow, manage our working capital, and deleverage our balance sheet; (d) our positioning for future success and profitability; (e) our expectations for the solar industry and the markets we serve, including market conditions, recovery, and long-term prospects for improvement; (f) full year fiscal 2017 guidance, including GAAP and non-GAAP revenue, operational expenditures, capital expenditures, gigawatts deployed, restructuring charges, cash flow and ending cash, and Adjusted EBITDA; and (g) our second quarter fiscal 2017 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, cash flow, and MW deployed. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) appropriately sizing our manufacturing capacity and containing manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; (10) fluctuations or declines in the performance of our solar panels and other products and solutions; (11) our ability to identify and successfully implement concrete actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring plan and associated initiatives, including plans to streamline our business and focus investment and resources; and (12) the outcomes of previously disclosed litigation. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, EQUINOX and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Apr. 2, |
Jan. 1, | ||
|
2017 |
2017 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 387,378 |
$ 425,309 | |
|
Restricted cash and cash equivalents, current portion |
22,013 |
33,657 | |
|
Accounts receivable, net |
167,861 |
219,638 | |
|
Costs and estimated earnings in excess of billings |
21,482 |
32,780 | |
|
Inventories |
428,178 |
401,707 | |
|
Advances to suppliers, current portion |
111,850 |
111,479 | |
|
Project assets - plants and land, current portion |
285,321 |
374,459 | |
|
Prepaid expenses and other current assets |
225,611 |
315,670 | |
|
Total current assets |
1,649,694 |
1,914,699 | |
|
Restricted cash and cash equivalents, net of current portion |
52,952 |
55,246 | |
|
Restricted long-term marketable securities |
4,876 |
4,971 | |
|
Property, plant and equipment, net |
1,073,183 |
1,027,066 | |
|
Solar power systems leased and to be leased, net |
645,862 |
621,267 | |
|
Project assets - plants and land, net of current portion |
34,701 |
33,571 | |
|
Advances to suppliers, net of current portion |
159,204 |
173,277 | |
|
Long-term financing receivables, net |
537,976 |
507,333 | |
|
Goodwill and other intangible assets, net |
41,066 |
44,218 | |
|
Other long-term assets |
126,879 |
185,519 | |
|
Total assets |
$ 4,326,393 |
$ 4,567,167 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 437,671 |
$ 540,295 | |
|
Accrued liabilities |
261,471 |
391,226 | |
|
Billings in excess of costs and estimated earnings |
16,118 |
77,140 | |
|
Short-term debt |
79,613 |
71,376 | |
|
Customer advances, current portion |
20,397 |
10,138 | |
|
Total current liabilities |
815,270 |
1,090,175 | |
|
Long-term debt |
501,285 |
451,243 | |
|
Convertible debt |
1,114,143 |
1,113,478 | |
|
Customer advances, net of current portion |
81,902 |
298 | |
|
Other long-term liabilities |
774,881 |
721,032 | |
|
Total liabilities |
3,287,481 |
3,376,226 | |
|
Redeemable noncontrolling interests in subsidiaries |
104,861 |
103,621 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
139 |
139 | |
|
Additional paid-in capital |
2,417,053 |
2,410,395 | |
|
Accumulated deficit |
(1,398,504) |
(1,218,681) | |
|
Accumulated other comprehensive loss |
(10,145) |
(7,238) | |
|
Treasury stock, at cost |
(180,845) |
(176,783) | |
|
Total stockholders' equity |
827,698 |
1,007,832 | |
|
Noncontrolling interests in subsidiaries |
106,353 |
79,488 | |
|
Total equity |
934,051 |
1,087,320 | |
|
Total liabilities and equity |
$ 4,326,393 |
$ 4,567,167 | |
|
SUNPOWER CORPORATION | ||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||
|
(In thousands, except per share data) | ||||||
|
(Unaudited) | ||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | ||||
|
2017 |
2017 |
2016 | ||||
|
Revenue: |
||||||
|
Residential |
$ 136,031 |
$ 220,464 |
$ 151,807 | |||
|
Commercial |
108,263 |
146,874 |
52,241 | |||
|
Power Plant |
154,782 |
657,551 |
180,827 | |||
|
Total revenue |
399,076 |
1,024,889 |
384,875 | |||
|
Cost of revenue: |
||||||
|
Residential |
120,757 |
207,604 |
118,160 | |||
|
Commercial |
110,629 |
171,344 |
45,226 | |||
|
Power Plant |
198,622 |
678,014 |
169,952 | |||
|
Total cost of revenue |
430,008 |
1,056,962 |
333,338 | |||
|
Gross margin |
(30,932) |
(32,073) |
51,537 | |||
|
Operating expenses: |
||||||
|
Research and development |
20,515 |
23,860 |
32,706 | |||
|
Selling, general and administrative |
67,403 |
66,517 |
97,791 | |||
|
Restructuring charges |
9,790 |
175,774 |
96 | |||
|
Total operating expenses |
97,708 |
266,151 |
130,593 | |||
|
Operating loss |
(128,640) |
(298,224) |
(79,056) | |||
|
Other income (expense), net: |
||||||
|
Interest income |
938 |
519 |
697 | |||
|
Interest expense |
(20,769) |
(18,091) |
(12,881) | |||
|
Other, net |
(2,190) |
8,184 |
(6,232) | |||
|
Other expense, net |
(22,021) |
(9,388) |
(18,416) | |||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(150,661) |
(307,612) |
(97,472) | |||
|
Benefit from (provision for) income taxes |
(2,031) |
9,559 |
(3,181) | |||
|
Equity in earnings (loss) of unconsolidated investees |
1,052 |
3,714 |
(764) | |||
|
Net loss |
(151,640) |
(294,339) |
(101,417) | |||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
17,161 |
19,221 |
16,008 | |||
|
Net loss attributable to stockholders |
$ (134,479) |
$ (275,118) |
$ (85,409) | |||
|
Net loss per share attributable to stockholders: |
||||||
|
- Basic |
$ (0.97) |
$ (1.99) |
$ (0.62) | |||
|
- Diluted |
$ (0.97) |
$ (1.99) |
$ (0.62) | |||
|
Weighted-average shares: |
||||||
|
- Basic |
138,902 |
138,442 |
137,203 | |||
|
- Diluted |
138,902 |
138,442 |
137,203 | |||
|
SUNPOWER CORPORATION | |||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||
|
(In thousands) | |||||
|
(Unaudited) | |||||
|
THREE MONTHS ENDED | |||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | |||
|
2017 |
2017 |
2016 | |||
|
Cash flows from operating activities: |
|||||
|
Net loss |
$ (151,640) |
$ (294,339) |
$ (101,417) | ||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|||||
|
Depreciation and amortization |
42,084 |
51,367 |
42,117 | ||
|
Stock-based compensation |
7,375 |
12,596 |
16,520 | ||
|
Non-cash interest expense |
2,958 |
94 |
346 | ||
|
Non-cash restructuring charges |
- |
148,791 |
- | ||
|
Dividend from 8point3 Energy Partners LP |
7,192 |
6,949 |
- | ||
|
Equity in loss (earnings) of unconsolidated investees |
(1,052) |
(3,714) |
764 | ||
|
Excess tax benefit from stock-based compensation |
- |
(4,032) |
- | ||
|
Deferred income taxes |
227 |
(9,402) |
(762) | ||
|
Other, net |
4,777 |
988 |
890 | ||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||
|
Accounts receivable |
51,669 |
3,097 |
12,561 | ||
|
Costs and estimated earnings in excess of billings |
11,298 |
(7,381) |
(17,525) | ||
|
Inventories |
(40,004) |
30,698 |
(18,248) | ||
|
Project assets |
37,192 |
467,893 |
(179,376) | ||
|
Prepaid expenses and other assets |
85,251 |
(20,535) |
(45,441) | ||
|
Long-term financing receivables, net |
(30,643) |
(35,999) |
(44,011) | ||
|
Advances to suppliers |
13,701 |
29,338 |
11,913 | ||
|
Accounts payable and other accrued liabilities |
(198,119) |
133,278 |
(69,974) | ||
|
Billings in excess of costs and estimated earnings |
(61,022) |
(22,325) |
26,866 | ||
|
Customer advances |
91,863 |
(2,529) |
(5,124) | ||
|
Net cash provided by (used in) operating activities |
(126,893) |
484,833 |
(369,901) | ||
|
Cash flows from investing activities: |
|||||
|
Purchases of property, plant and equipment |
(27,877) |
(37,619) |
(47,044) | ||
|
Cash paid for solar power systems, leased and to be leased |
(18,217) |
(19,872) |
(23,238) | ||
|
Cash paid for solar power systems |
(4,605) |
(36,464) |
- | ||
|
Payments to 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
- |
- |
(9,968) | ||
|
Purchases of marketable securities |
- |
(4,955) |
- | ||
|
Cash paid for investments in unconsolidated investees |
(10,142) |
(501) |
(9,752) | ||
|
Cash paid for intangibles |
- |
(521) |
- | ||
|
Net cash used in investing activities |
(60,841) |
(99,932) |
(90,002) | ||
|
Cash flows from financing activities: |
|||||
|
Cash paid for acquisitions |
- |
(5,714) |
- | ||
|
Proceeds from bank loans and other debt |
110,763 |
113,645 |
- | ||
|
Repayment of bank loans and other debt |
(129,027) |
(128,029) |
(7,725) | ||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
20,580 |
41,128 |
28,339 | ||
|
Repayment of non-recourse residential financing |
(1,298) |
(1,225) |
(1,065) | ||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
49,030 |
54,611 |
24,082 | ||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(3,763) |
(5,620) |
(5,309) | ||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
121,818 |
136,536 |
79,440 | ||
|
Repayment of non-recourse power plant and commercial financing |
(28,964) |
(537,671) |
(37,301) | ||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(4,062) |
(564) |
(18,876) | ||
|
Net cash provided by (used in) financing activities |
135,077 |
(332,903) |
61,585 | ||
|
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents |
788 |
(745) |
774 | ||
|
Net increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents |
(51,869) |
51,253 |
(397,544) | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, beginning of period |
514,212 |
462,959 |
1,020,764 | ||
|
Cash, cash equivalents, restricted cash and restricted cash equivalents, end of period |
$ 462,343 |
$ 514,212 |
$ 623,220 | ||
|
Non-cash transactions: |
|||||
|
Assignment of residential lease receivables to third parties |
$ 18 |
$ 568 |
$ 1,097 | ||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
13,389 |
13,439 |
15,085 | ||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
3,169 |
3,026 |
9,050 | ||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
52,917 |
20,596 |
- | ||
|
Property, plant and equipment acquisitions funded by liabilities |
44,966 |
43,817 |
81,369 | ||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
2,615 |
2,274 |
8,726 | ||
|
Acquisition funded by liabilities |
- |
103,354 |
- | ||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross margin includes adjustments relating to stock-based compensation, amortization of intangible assets, non-cash interest expense, cost of above-market polysilicon, and other items, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to restructuring expense, IPO-related costs, and the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. With certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||
|
(In thousands, except percentages and per share data) | ||||||
|
(Unaudited) | ||||||
|
Adjustments to Revenue: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | ||||
|
2017 |
2017 |
2016 | ||||
|
GAAP revenue |
$ 399,076 |
$ 1,024,889 |
$ 384,875 | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
713 |
44,991 |
(15,174) | |||
|
Utility and power plant projects |
(23,780) |
(4,047) |
53,538 | |||
|
Sale of operating lease assets |
- |
(34,406) |
10,403 | |||
|
Sale-leaseback transactions |
53,478 |
65,887 |
- | |||
|
Non-GAAP revenue |
$ 429,487 |
$ 1,097,314 |
$ 433,642 | |||
|
Adjustments to Gross margin: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | ||||
|
2017 |
2017 |
2016 | ||||
|
GAAP gross margin |
$ (30,932) |
$ (32,073) |
$ 51,537 | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
1,189 |
1,576 |
(4,642) | |||
|
Utility and power plant projects |
27,174 |
2,542 |
3,557 | |||
|
Sale of operating lease assets |
- |
(10,105) |
3,112 | |||
|
Sale-leaseback transactions |
(3,144) |
8,278 |
- | |||
|
Other adjustments: |
||||||
|
Stock-based compensation expense |
1,184 |
4,959 |
4,125 | |||
|
Amortization of intangible assets |
2,567 |
2,568 |
1,014 | |||
|
Non-cash interest expense |
10 |
70 |
319 | |||
|
Cost of above-market polysilicon |
29,815 |
92,235 |
12,714 | |||
|
Non-GAAP gross margin |
$ 27,863 |
$ 70,050 |
$ 71,736 | |||
|
GAAP gross margin (%) |
-7.8% |
-3.1% |
13.4% | |||
|
Non-GAAP gross margin (%) |
6.5% |
6.4% |
16.5% | |||
|
Adjustments to Net income (loss): |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | ||||
|
2017 |
2017 |
2016 | ||||
|
GAAP net loss attributable to stockholders |
$ (134,479) |
$ (275,118) |
$ (85,409) | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
8,101 |
6,301 |
10,719 | |||
|
Utility and power plant projects |
27,174 |
2,542 |
3,557 | |||
|
Sale of operating lease assets |
- |
(10,086) |
3,120 | |||
|
Sale-leaseback transactions |
(1,842) |
8,435 |
- | |||
|
Other adjustments: |
||||||
|
Stock-based compensation expense |
7,375 |
12,596 |
16,520 | |||
|
Amortization of intangible assets |
3,026 |
3,018 |
8,165 | |||
|
Non-cash interest expense |
35 |
94 |
346 | |||
|
Restructuring expense |
9,790 |
175,774 |
96 | |||
|
IPO-related costs |
114 |
(339) |
- | |||
|
Cost of above-market polysilicon |
29,815 |
92,235 |
12,714 | |||
|
Other |
- |
- |
1 | |||
|
Tax effect |
513 |
(12,200) |
1,684 | |||
|
Non-GAAP net income (loss) attributable to stockholders |
$ (50,378) |
$ 3,252 |
$ (28,487) | |||
|
Adjustments to Net income (loss) per diluted share: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | ||||
|
2017 |
2017 |
2016 | ||||
|
Net income (loss) per diluted share |
||||||
|
Numerator: |
||||||
|
GAAP net loss available to common stockholders1 |
$ (134,479) |
$ (275,118) |
$ (85,409) | |||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ (50,378) |
$ 3,252 |
$ (28,487) | |||
|
Denominator: |
||||||
|
GAAP weighted-average shares |
138,902 |
138,442 |
137,203 | |||
|
Effect of dilutive securities: |
||||||
|
Stock options |
- |
- |
- | |||
|
Restricted stock units |
- |
- |
- | |||
|
Upfront warrants (held by Total) |
- |
- |
- | |||
|
Warrants (under the CSO2015) |
- |
- |
- | |||
|
0.75% debentures due 2018 |
- |
- |
- | |||
|
Non-GAAP weighted-average shares1 |
138,902 |
138,442 |
137,203 | |||
|
GAAP net loss per diluted share |
$ (0.97) |
$ (1.99) |
$ (0.62) | |||
|
Non-GAAP net income (loss) per diluted share |
$ (0.36) |
$ 0.02 |
$ (0.21) | |||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||
|
Adjusted EBITDA: |
||||||
|
THREE MONTHS ENDED | ||||||
|
Apr. 2, |
Jan. 1, |
Apr. 3, | ||||
|
2017 |
2017 |
2016 | ||||
|
GAAP net loss attributable to stockholders |
$ (134,479) |
$ (275,118) |
$ (85,409) | |||
|
Adjustments based on IFRS: |
||||||
|
8point3 |
8,101 |
6,301 |
10,719 | |||
|
Utility and power plant projects |
27,174 |
2,542 |
3,557 | |||
|
Sale of operating lease assets |
- |
(10,086) |
3,120 | |||
|
Sale-leaseback transactions |
(1,842) |
8,435 |
- | |||
|
Other adjustments: |
||||||
|
Stock-based compensation expense |
7,375 |
12,596 |
16,520 | |||
|
Amortization of intangible assets |
3,026 |
3,018 |
8,165 | |||
|
Non-cash interest expense |
35 |
94 |
346 | |||
|
Restructuring expense |
9,790 |
175,774 |
96 | |||
|
IPO-related costs |
114 |
(339) |
- | |||
|
Cost of above-market polysilicon |
29,815 |
92,235 |
12,714 | |||
|
Other |
- |
- |
1 | |||
|
Cash interest expense, net of interest income |
18,529 |
17,416 |
12,184 | |||
|
Provision for (benefit from) income taxes |
2,031 |
(9,559) |
3,181 | |||
|
Depreciation |
38,932 |
48,099 |
33,826 | |||
|
Adjusted EBITDA |
$ 8,601 |
$ 71,408 |
$ 19,020 | |||
|
Q2 2017 and FY 2017 GUIDANCE |
||
|
(in thousands except percentages) |
Q2 2017 |
FY 2017 |
|
Revenue (GAAP) |
$275,000-$325,000 |
$1,800,000-$2,300,000 |
|
Revenue (non-GAAP) (1) |
$275,000-$325,000 |
$2,100,000-$2,600,000 |
|
Gross margin (GAAP) |
(3)%-(1)% |
N/A |
|
Gross margin (non-GAAP) (2) |
2%-4% |
N/A |
|
Net loss (GAAP) |
$(135,000)-$(110,000) |
N/A |
|
Adjusted EBITDA (3) |
$(25,000)-$0 |
N/A |
|
(1) |
Estimated non-GAAP amounts above for fiscal 2017 include net adjustments that increase revenue by approximately $300 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q2 2017 include net adjustments that increase gross margin by approximately $1 million related to stock-based compensation expense, $1 million related to amortization of intangible assets, and $13 million related to cost of above-market polysilicon. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q2 2017 include net adjustments that decrease net loss by approximately $8 million related to stock-based compensation expense, $3 million related to amortization of intangible assets, $1 million related to non-cash interest expense, $18 million related to restructuring, $20 million related to interest expense, $3 million related to income taxes, $44 million related to depreciation, and $13 million related to cost of above-market polysilicon. |
|
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein. | ||||||||||||||||||||||||||||||||
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
April 2, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 136,031 |
$ 108,263 |
$ 154,782 |
$ 15,274 |
11.2% |
$ (2,366) |
-2.2% |
$ (43,840) |
-28.3% |
$ (134,479) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,337) |
2,667 |
(617) |
(503) |
1,693 |
(1) |
- |
- |
- |
6,066 |
- |
846 |
8,101 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(23,780) |
- |
- |
27,174 |
- |
- |
- |
- |
- |
- |
27,174 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
23,041 |
30,437 |
- |
(2,665) |
(479) |
- |
- |
- |
1,302 |
- |
- |
(1,842) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
210 |
249 |
725 |
1,528 |
4,663 |
- |
- |
- |
- |
7,375 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,214 |
836 |
517 |
- |
459 |
- |
- |
- |
- |
3,026 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
4 |
3 |
3 |
4 |
21 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
9,790 |
- |
- |
- |
9,790 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
114 |
- |
- |
- |
- |
114 | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
4,351 |
7,132 |
18,332 |
- |
- |
- |
- |
- |
- |
29,815 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
513 |
- |
513 | |||||||||||||||||||
|
Non-GAAP |
$ 134,694 |
$ 133,971 |
$ 160,822 |
$ 20,550 |
15.3% |
$ 4,882 |
3.6% |
$ 2,431 |
1.5% |
$ (50,378) | ||||||||||||||||||||||
|
January 1, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 220,464 |
$ 146,874 |
$ 657,551 |
$ 12,860 |
5.8% |
$ (24,470) |
-16.7% |
$ (20,463) |
-3.1% |
$ (275,118) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,313) |
2,189 |
44,115 |
(503) |
1,410 |
669 |
- |
- |
- |
1,075 |
- |
3,650 |
6,301 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(4,047) |
- |
- |
2,542 |
- |
- |
- |
- |
- |
- |
2,542 | |||||||||||||||||||
|
Sale of operating lease assets |
(34,406) |
- |
- |
(10,105) |
- |
- |
- |
- |
- |
19 |
- |
- |
(10,086) | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
65,887 |
- |
- |
8,278 |
- |
- |
- |
- |
157 |
- |
- |
8,435 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
902 |
1,093 |
2,964 |
2,141 |
5,496 |
- |
- |
- |
- |
12,596 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,109 |
957 |
502 |
- |
450 |
- |
- |
- |
- |
3,018 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
26 |
24 |
20 |
3 |
21 |
- |
- |
- |
- |
94 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
175,774 |
- |
- |
- |
175,774 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(339) |
- |
- |
- |
- |
(339) | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
28,377 |
28,306 |
35,552 |
- |
- |
- |
- |
- |
- |
92,235 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(12,200) |
- |
(12,200) | |||||||||||||||||||
|
Non-GAAP |
$ 184,745 |
$ 214,950 |
$ 697,619 |
$ 32,666 |
17.7% |
$ 15,598 |
7.3% |
$ 21,786 |
3.1% |
$ 3,252 | ||||||||||||||||||||||
|
April 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 151,807 |
$ 52,241 |
$ 180,827 |
$ 33,647 |
22.2% |
$ 7,015 |
13.4% |
$ 10,875 |
6.0% |
$ (85,409) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,312) |
- |
(13,862) |
(485) |
- |
(4,157) |
- |
- |
- |
1,062 |
- |
14,299 |
10,719 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
53,538 |
- |
- |
3,557 |
- |
- |
- |
- |
- |
- |
3,557 | |||||||||||||||||||
|
Sale of operating lease assets |
10,403 |
- |
- |
3,112 |
- |
- |
- |
- |
- |
8 |
- |
- |
3,120 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
827 |
652 |
2,646 |
3,032 |
9,363 |
- |
- |
- |
- |
16,520 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
411 |
626 |
(23) |
1,820 |
5,331 |
- |
- |
- |
- |
8,165 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
71 |
39 |
209 |
7 |
20 |
- |
- |
- |
- |
346 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
96 |
- |
- |
- |
96 | |||||||||||||||||||
|
Cost of above-market polysilicon |
- |
- |
- |
3,435 |
1,539 |
7,740 |
- |
- |
- |
- |
- |
- |
12,714 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
1 |
- |
- |
- |
- |
1 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
1,684 |
- |
1,684 | |||||||||||||||||||
|
Non-GAAP |
$ 160,898 |
$ 52,241 |
$ 220,503 |
$ 41,018 |
25.5% |
$ 9,871 |
18.9% |
$ 20,847 |
9.5% |
$ (28,487) | ||||||||||||||||||||||
SOURCE SunPower Corp.
Article Date
5/9/2017SunPower to Announce First-Quarter Results on May 9, 2017
Source: PR Newswire
SAN JOSE, Calif., April 25, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its first-quarter 2017 financial results on a conference call on Tuesday, May 9 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on May 9, 2017.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and THE POWER OF ONE are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
4/25/2017SunPower to Supply Equipment Solutions to Global Solar Power Plant Market
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 24, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR) announced today that it now offers the fully-integrated SunPower® Oasis® Power Plant platform directly to solar power plant developers and engineering, procurement and construction (EPC) providers through a newly formed SunPower® Solutions business unit. SunPower Solutions enables developers and EPCs to benefit from SunPower's extensive experience over the past decade developing, financing, constructing, operating and maintaining solar power plants.
"The SunPower Oasis platform delivers competitive cost of energy with the proven reliability and quality of SunPower technology in a fully pre-engineered complete solution," said Tom Werner, president and CEO of SunPower. "Through SunPower Solutions, we enable solar power plant customers around the world to achieve the same standards of excellence with respect to installation speed, quality and performance that we have demonstrated in over 1,000 large-scale solar power plant projects on six continents since 2004."
"The market for solar power plants is rapidly globalizing, with solar power now the most competitive form of new electricity generation in many countries," continued Werner. "In most emerging markets, there is not yet a significant base of installed solar capacity, and limited experience siting, designing, constructing and operating large-scale solar facilities. SunPower's fully-integrated Oasis platform allows local developers and EPC companies new to solar power to minimize risk to project construction schedules and ensure reliable operation while delivering competitive cost of energy."
SunPower Solutions has operations in more than 10 countries and has signed almost 200 megawatts of contracts this year to supply SunPower power plant technology to projects in North America, Europe and Oceania.
In September 2016, SunPower launched its third-generation Oasis Power Plant, a complete power plant solution that installs quickly and optimizes site utilization to maximize value for customers. Product features include 50 percent fewer parts than conventional solar plant systems and an integrated solar tracker design that streamlines construction and reduces operations and maintenance costs.
"Every part of the Oasis platform is engineered to maximize energy yield, delivering a more efficient, reliable solution for long-term energy production," continued Werner. "The SunPower Oasis platform uses drones and our proprietary software to quickly survey sites and select the optimal layout to achieve project financial and energy goals. Oasis trackers are designed to flexibly accommodate steeper slopes and minimize on-site grading. EPC companies appreciate that Oasis is fast and easy to install, and end customers benefit from up to 67 percent more lifetime energy density from a given site."
SunPower P-Series solar panels are cost-effective, high efficiency panels that produce more energy than conventional solar panels over the lifetime of the system. P-Series panels use proven materials, including a proprietary encapsulant that protects the solar cells from degradation caused by moisture and a novel interconnection technology that eliminates the most common solar panel failure mode.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One™ complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding market trends, future projects, and projected energy output. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER SOLUTIONS, OASIS and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
4/24/20174/21/2017 - Macy's Celebrates Completion of 21 SunPower Solar Systems During Earth Week Dedication Events
Macy's Celebrates Completion of 21 SunPower Solar Systems During Earth Week Dedication Events
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
CINCINNATI and SAN JOSE, Calif., April 21, 2017 /PRNewswire/ -- Today, several Macy's, Inc. locations will reveal their solar energy makeovers – part of a company-wide sustainability initiative – with SunPower (NASDAQ:SPWR) during dedication events at the Macy's Broadway Plaza store in Walnut Creek, Calif.; Bloomingdale's store at The Shops at Chestnut Hill in Chestnut Hill, Mass.; and the Macy's and Bloomingdale's fulfillment center in Joppa, Md. This marks the completion of 21 high-efficiency SunPower® solar energy systems installed this past year at Macy's and Bloomingdale's locations in seven states, totaling 15 megawatts and adding to the nearly 24 megawatts of SunPower solar that have been operating since 2007. Electricity generated by the new solar power systems will ultimately be sold to others.
Macy's Broadway Plaza, Walnut Creek, Calif.
Bloomingdale's at The Shops at Chestnut Hill, Chestnut Hill, Mass.
Macy's and Bloomingdale's Fulfillment Center, Joppa, Md.
In 2016, Macy's ranked fourth among corporations nationwide for installed solar according to Solar Energy Industries Association (SEIA). About 70 percent of the 102 solar power systems in the Macy's and Bloomingdale's renewable energy portfolio feature SunPower's high-efficiency technology.
"As a leading national retailer with 140,000 dedicated associates, we have the opportunity to make a meaningful difference in improving the environment," said Chuck Abt, senior vice president of operations for Macy's, Inc. "Working with SunPower, we have been able to maximize the value of unused roof areas at our stores and fulfillment centers across the country by deploying the company's high efficiency solar technology that creates more energy in less space."
Nineteen of the 21 new systems feature the SunPower® Helix™ Roof product, the world's first fully-integrated rooftop solar solution for commercial customers. The Helix platform is a pre-engineered, modular solution that is built to last, maximizes power production, and can be installed nearly three times faster than competing technology, enabling customers to scale their solar programs quickly with minimal business disruption.
In addition to solar systems, SunPower also provided Macy's with battery storage systems at three stores in Southern California. The energy storage technology is expected to help those locations further manage energy costs by offsetting demand charges incurred by commercial customers.
"Macy's continues to demonstrate extraordinary leadership in sustainability and we're honored to support the company's efforts with SunPower's dependable solar energy solutions," said Nam Nguyen, SunPower senior vice president. "Pairing SunPower's Helix Roof system with storage at some locations, we're delivering more value to Macy's through innovative solar that installs at record-breaking speed and delivers reliable energy at predictable, cost-competitive rates."
Macy's financed the majority of the SunPower solar systems on its stores through power purchase agreements, allowing it to buy power at competitive rates that act as a hedge against future utility rate increases with no upfront capital cost. Macy's does not own the renewable energy credits associated with most of the SunPower solar energy systems installed on its facilities.
To learn more about Macy's, Inc. sustainability efforts, visit macysgreenliving.com. And for more on how SunPower is leading the world with sustainable solar, read the company's latest sustainability report here.
About Macy's, Inc.
Macy's, Inc. is one of the nation's premier retailers. With fiscal 2016 sales of $25,778 billion and approximately 140,000 employees, the company operates more than 700 department stores under the nameplates Macy's and Bloomingdale's, and approximately 125 specialty stores that include Bloomingdale's The Outlet, Bluemercury and Macy's Backstage. Macy's, Inc. operates stores in 45 states, the District of Columbia, Guam and Puerto Rico, as well as macys.com, bloomingdales.com and bluemercury.com. Bloomingdale's stores in Dubai and Kuwait are operated by Al Tayer Group LLC under license agreements. Macy's, Inc. has corporate offices in Cincinnati, Ohio and New York, New York.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, HELIX, and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
4/21/2017ISE Group, Total and SunPower Start Up the Nanao Solar Power Plant in Japan
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
PARIS, April 19, 2017 /PRNewswire/ -- ISE Group, Total and SunPower have started up a 27-megawatt-peak photovoltaic power plant in Nanao on Japan's Honshu Island. Completed one year after the beginning of construction, the plant will generate clean and reliable electricity to serve thousands of Japanese households on the island.
The Nanao plant is jointly owned by ISE Group, which holds 50 percent interest, with Total and SunPower each holding a 25 percent interest.
"ISE Group is a leading company in the egg farming industry with a world-class quality and safety management system. We are committed to applying the same dedication to safety and security in our renewable energy projects," said Hikonobu Ise, Chairman of the ISE Group. "The photovoltaic power plant that has started its operations in Nanao is one of the largest in the Hokuriku region. We are pleased to partner with Total, one of the world's leading energy companies, and SunPower, which possesses the world's most efficient solar panel technology. We hope that this project will further strengthen the friendship between Japan and France."
"Total Solar is proud of the start-up of its first photovoltaic power plant in Japan. This project, launched in partnership with Japanese ISE Group and Total's affiliate SunPower, is part of our strategy to develop new projects in the fast growing solar market," said Julien Pouget, Senior Vice-President Renewables at Total. "The start-up of the Nanao photovoltaic power plant is an important milestone in the history of Total in Japan, where we have been present for 60 years. Total is committed to assisting Japan in further diversifying its energy mix to ensure a supply of affordable and clean energy through our solar and liquefied natural gas activities."
"The SunPower solar panels operating at the Nanao solar power plant maximize the power generated on site by producing 45 percent more energy in the same amount of space compared to conventional solar panels, and are recognized for long-term reliability and performance," said SunPower Vice President Shingo Tajiri. "We are pleased to partner with Total and ISE Group on our first solar power plant in Japan, a milestone that underscores SunPower's commitment to the growth of the Japanese market."
The ground-mounted solar power plant has been designed to fully meet the stringent Japanese earthquake-resistant building standards. Constructed on 25 hectares of land owned by ISE Group, the facility is now entirely connected to the electricity distribution grid and began supplying power through more than 80,000 high-efficiency SunPower solar panels.
About ISE Group
ISE Group, which started its genetic and breeding improvement business for egg-producing chickens in Takaoka City in Toyama Prefecture in 1912, celebrated its 100th year in business in 2012 thanks to its many loyal customers. As a top runner in the egg-producing industry in Japan, we are committed to improve egg sanitation by introducing the ISE Integration System for integrated management of all processes from producing feed and breeding to egg shipment. Outside Japan, we have 65% market share in six large states on the U.S. east coast and are expanding our business in China and Southeast Asia.
About Total
Total is a global integrated energy producer and provider, a leading international oil and gas company, and a major player in solar energy with SunPower and Total Solar. Our 98,000 employees are committed to better energy that is safer, cleaner, more efficient, more innovative and accessible to as many people as possible. As a responsible corporate citizen, we focus on ensuring that our operations in more than 130 countries worldwide consistently deliver economic, social and environmental benefits. total.com
About SunPower Corporation
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (Nasdaq:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower Corporation has dedicated customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SOURCE SunPower Corp.
Article Date
4/19/2017Hesperia Unified School District Invests in Students' Clean Energy Future with 5.7 Megawatts of SunPower Helix Carport Systems
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 13, 2017 /PRNewswire/ -- Located in San Bernardino County, California, Hesperia Unified School District (HUSD) will soon have more than 5.7 megawatts of high-efficiency SunPower® Helix™ carport systems generating solar power for 29 of its sites. Construction of the carports is underway at 15 locations now, and SunPower (NASDAQ:SPWR) expects to complete all installations by the end of 2017.
"We're thrilled about bringing clean energy to Hesperia Unified School District through SunPower's world-leading solar technology," said Dr. George Landon, HUSD assistant superintendent, business services. "The cost-effective solar power solution is a win-win for HUSD, improving overall district economics while demonstrating the value of a renewable energy future to our students."
Within the first year of operation, the solar carports are expected to generate 10.4 million kilowatt-hours of clean electricity which is equivalent to removing more than 1,500 cars from the road. On completion, SunPower estimates that approximately 60 percent of the district's electricity will be provided by the SunPower Helix carport systems.
"We're pleased to welcome HUSD to a growing number of school districts across the country that are seeing the economic and environmental value that reliable solar energy solutions from SunPower can generate," said Nam Nguyen, SunPower senior vice president. "Our Helix™ systems are complete with comprehensive, powerful energy intelligence software that allows the District to identify demand peaks and savings opportunities."
To finance the project, the District secured U.S. Department of Treasury clean renewable energy bonds (CREBs), which are available to entities primarily in the public sector to finance renewable energy projects. HUSD owns the solar power systems, along with the associated renewable energy credits.
A leader in delivering innovative energy solutions to schools, SunPower has installed more than 140 megawatts of solar in 32 California school districts. Attendees of this week's 2017 Annual Conference and California School Business Expo in Long Beach hosted by California Association of School Business Officials can visit SunPower at booth 1014 to learn more about the benefits of solar for schools.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding project timeline, projected energy output, and cost savings. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, HELIX and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other logos and trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
4/13/20174/12/2017 - South Mountain Company Advancing Martha's Vineyard Toward Energy Neutrality with SunPower
South Mountain Company Advancing Martha's Vineyard Toward Energy Neutrality with SunPower
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 12, 2017 /PRNewswire/ -- At just nine miles wide and a marathon-run long (or 26 miles), roughly 16,000 people call Martha's Vineyard home, but the population swells to 100,000 during the busiest summer months. On this island south of Cape Cod, local organizations like South Mountain Company – an integrated architecture, building, engineering, and renewable energy company – know that thoughtful, responsible use of natural and human resources is key to maintaining the island's vitality and beauty.
Experience the interactive Multimedia News Release here: https://www.multivu.com/players/English/7706156-sunpower-south-mountain-marthas-vineyard/
"South Mountain Company is a worker cooperative which means our employees have an ownership stake in the business, giving them the means to make lasting, valuable change where we all live and work – and installing SunPower solar is one way we choose to make an impact," said John Abrams, founder, CEO and president of South Mountain Company. "We believe that every property South Mountain Company designs and builds should be both attractive and low-impact, producing more energy than it consumes whenever possible."
Approximately 500 solar power systems – roughly 8 megawatts of capacity – are operating on Martha's Vineyard. South Mountain Company has installed about 250 of those systems for Martha's Vineyard's residential, commercial, and institutional customers.
"Over time, we have the potential to make the Vineyard energy neutral so that it's generating as much – if not more – energy than it's consuming," continued Abrams. "While we may not know when, we know it will happen one day."
Founded in 1975, South Mountain Company has integrated solar energy solutions into their residential and commercial design projects since the company's inception. They have been a dedicated SunPower dealer partner since 2007.
"Like SunPower, South Mountain Company strives to delight customers with long-lasting, reliable, and sustainable solar – without sacrificing superior design and high-quality craftsmanship," said Martin DeBono, SunPower senior vice president. "We commend South Mountain Company for the innovative work they're doing to ease electricity costs for all Martha's Vineyard residents, including low-income families, local farmers, and grocery stores with high-efficiency solar from SunPower. South Mountain Company has set a great example for communities nationwide looking to become more energy independent while also protecting the planet by using clean electricity."
Several of South Mountain Company's notable projects with SunPower solar include:
SunPower today launched the first of a three-part blog series that will run throughout April in celebration of Earth Month, an extension of the globally recognized Earth Day established on April 22, 1970. Through these SunPower blog stories, we'll highlight more of the diverse ways that South Mountain Company is providing energy stability on Martha's Vineyard with sustainable solar, and reducing the island's reliance on traditional electricity sources.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and THE POWER OF ONE are registered trademarks of SunPower Corporation in the U.S. and other countries as well. LEED PLATINUM is a trademark owned by the U.S. Green Building Council. All other logos and trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
4/12/2017SunPower Solar Installation Underway at New Toyota Headquarters
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 10, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR) today announced that construction has begun on an 8.79-megawatt SunPower® solar system at Toyota Motor North America's new headquarters in Plano, Texas, which the auto maker plans to occupy this year. Close to one megawatt larger than originally planned, it is expected to be the Lone Star State's largest corporate office on-site solar installation among non-utility companies.
About 50 certified workers are now installing high-efficiency SunPower solar panels on steel carport structures across the top of four parking garages. When complete, more than 20,000 solar panels will cover the area equal to 10 football fields, offering shade and protection to vehicles underneath. The system is expected to generate enough clean energy to offset approximately 33 percent of the headquarters' energy needs, reducing Toyota's reliance on traditional electricity from the grid.
"We are excited to see this solar power project start to really take shape on our new headquarters campus," said Kevin Butt, regional director, North American Environmental Division, Toyota. "As a long-standing solar advisor, SunPower is helping us realize Toyota's 2050 global environmental challenge to eliminate carbon emissions in all operations."
Toyota is integrating a range of energy efficient technologies and sustainable materials into the design of its state-of-the-art campus, with the intention of achieving LEED® Platinum certification by the U.S. Green Building Council (USGBC). SunPower's 20 percent efficient E-Series solar panels selected for this project are Cradle to Cradle Certified™ Silver, which may provide Toyota a significant advantage toward reaching that goal. SunPower is the only solar panel manufacturer in the world to achieve this certification, which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness.
"We're proud to partner with Toyota on this innovative solar project as the company works to achieve its ambitious sustainability goals," said Nam Nguyen, SunPower senior vice president. "The unique long-span carport design will feature SunPower's high reliability solar panels that deliver 30 percent more electricity than conventional solar, optimizing Toyota's renewable energy investment."
As a result of 14 years of partnership, SunPower solar power systems are currently operating at a number of Toyota facilities in the U.S.:
Toyota is financing the SunPower solar project installed at its Plano, Texas, location through a power purchase agreement (PPA) arranged by SunPower, which allows Toyota to buy power at competitive rates – acting as a hedge against future utility rate increases – with no upfront capital cost. Toyota will own the renewable energy credits associated with the system.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One® complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding timeline and projected energy output. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. LEED is a trademark owned by the U.S. Green Building Council. All other trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
4/10/20174/5/2017 - SunPower Comments on First Solar's Announcement Concerning Its Interests in 8point3 Energy Partners
SunPower Comments on First Solar's Announcement Concerning Its Interests in 8point3 Energy Partners
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 5, 2017 /PRNewswire/ -- SunPower Corp., (NASDAQ:SPWR) today announced that it is evaluating strategic options for its YieldCo joint venture (JV), 8point3 Energy Partners, following the announcement by its JV general partner, First Solar, that it has notified the board of directors of the partnership that it is reviewing alternatives for the sale of its interest in 8point3.
SunPower and First Solar will coordinate this review, which will include, but is not limited to, a potential replacement partner for First Solar. While SunPower believes the partnership still offers significant, long-term strategic value through the acquisition of additional high quality renewable power plants, distributed generation projects and associated cash flows, the company will undertake a review of its strategic alternatives given First Solar's decision.
"We want to thank First Solar for their strong partnership in creating the industry's first, solar-only YieldCo. After approximately two years of successful operational performance, we have proven that a diversified portfolio of high quality renewable assets is an ideal vehicle to drive stable cash flow growth for investors," said Tom Werner, SunPower president and CEO. "We will work with our financial advisors to evaluate all alternatives for our investment in 8point3, including a potential replacement partner for First Solar, as we believe 8point3 can continue to benefit from owning long-term, high quality renewable assets."
The strategic review process is in the early stages, is ongoing, and no decision on any particular alternative has been reached. In addition, the company cannot assure that any particular alternative will be pursued or effected. SunPower does not intend to disclose further developments related to this process unless required by law or otherwise deemed appropriate. The sponsor-appointed directors and officers of the general partner of 8point3 Energy Partners remain committed to prudently managing the partnership throughout this evaluation process.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our expectations regarding the future activities, performance, and strategic value of 8point3 and our plans regarding potential strategic alternatives. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) challenges managing our joint ventures and partnerships; (2) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; and (3) our ability to identify and execute successful strategic alternatives. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One™ complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER GIVING and POWERING A BRIGHTER TOMORROW are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. LEED GOLD is a trademark owned by the U.S. Green Building Council. All other logos and trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
4/5/20173/29/2017 - SunPower Releases its 2015-2016 Sustainability Highlights Report: Powering a Brighter Tomorrow®
SunPower Releases its 2015-2016 Sustainability Highlights Report: Powering a Brighter Tomorrow®
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., March 29, 2017 /PRNewswire/ -- According to Advanced Energy Economy, 71 of Fortune 100 companies set renewable energy or sustainability targets at the end of 2016. And with seven of the top 10 U.S. companies as customers, SunPower (NASDAQ:SPWR) knows firsthand the growing market need for an experienced, trusted solar advisor to help corporations efficiently and cost-effectively meet such goals. Released today, SunPower's 2015-2016 Sustainability Highlights Report provides an overview of the company's own notable sustainability achievements, as well as its progress affecting sustainability-driven business practices in the solar industry and in corporations around the world.
Experience the interactive Multimedia News Release here: https://www.multivu.com/players/English/7706155-sunpower-2015-2016-sustainability-highlights-report/
"We're proud to lead the solar industry in sustainability, which in turn creates immense value for SunPower's customers – many of whom are the top corporate solar users in the U.S. – as they work toward greening their businesses for the betterment of employees, customers, and local communities," said Erin Mulligan Nelson, SunPower executive vice president. "As leading corporations continue to push sustainability boundaries in their own organizations, SunPower is committed to providing them with reliable, clean solar solutions that positively affect their bottom line while reducing their impact on the environment."
Global automaker Toyota is one SunPower customer focused on achieving carbon neutrality. "Toyota has set a goal to eliminate carbon emissions from global operations by 2050," said Kevin Butt, regional director, North American Environmental Division, Toyota. "SunPower's high efficiency, sustainably manufactured solar solutions are helping Toyota reach this goal."
In August 2016, SunPower celebrated its first ever "triple-certified" factory in Mexicali having secured three of the industry's most stringent and prestigious certifications: Leadership in Energy and Environmental Design (LEED) Gold® certified by the U.S. Green Building Council, Landfill-Free Verification from NSF Sustainability, and Cradle to Cradle Certified™ Silver designation for its X-Series and E-Series direct current (DC) solar panels from the Cradle to Cradle Products Innovation Institute.
Additional highlights from the report:
For more on how SunPower is raising the bar for environmental and social sustainability in the solar industry, visit the related infographic here. And for an infographic on the top eight things sustainable businesses care about, visit the SunPower Business Feed here.
About SunPower
With more than 30 years of proven experience, SunPower is a global leader in solar innovation and sustainability. Our unique approach emphasizes the seamless integration of advanced SunPower technologies, delivering The Power of One™ complete solar solutions and lasting customer value. SunPower provides outstanding service and impressive electricity cost savings for residential, commercial and power plant customers. At SunPower, we are passionately committed to changing the way our world is powered. And as we continue shaping the future of Smart Energy, we are guided by our legacy of innovation, optimism, perseverance and integrity. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North America and South America. Since 2011, we've been majority-owned by Total, the fourth largest publicly-listed energy company in the world. For more information, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER GIVING and POWERING A BRIGHTER TOMORROW are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. LEED GOLD is a trademark owned by the U.S. Green Building Council. All other logos and trademarks are properties of their respective owners.
SOURCE SunPower Corp.
Article Date
3/29/2017SunPower is Leading Solar Panel Provider in First Round French Tender
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
PARIS, March 21, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR) announced today that, in the first round of France's tender process for large-scale solar power, the company will supply 31 percent of the solar panels required for the awarded solar projects, more than any other solar panel brand. In total, SunPower will provide 130 megawatts of its high efficiency SunPower® E-Series solar panels for installation at 25 ground-mount and carport solar projects.
"SunPower solar panels deliver competitive cost of energy, highest reliability and proven long-term performance," said SunPower Executive Vice President Eduardo Medina. "We are proud to be the leading provider of solar panels for the solar projects announced in this first tender round, and to play a key role in promoting the use of clean, renewable solar power in France."
A significant portion of the panels SunPower supplies will be manufactured at the company's facilities in Toulouse, France.
SunPower's direct current E-Series solar panels, as well as its X-Series solar panels, are Cradle to Cradle Certified™ Silver. SunPower is the only solar panel manufacturer in the world to achieve this designation, which demonstrates a product's quality based on rankings in five categories: material health, material reutilization, renewable energy use, water stewardship, and social fairness.
Ninety-nine percent of the waste generated at SunPower's manufacturing facilities in Toulouse and De Vernejoul, France is diverted to landfills, earning the facilities landfill-free verification from NSF Sustainability, a division of the global public health organization NSF International. More information on the company's commitment to sustainability can be found here on SunPower's website.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding timeline and projected energy output. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks of SunPower Corporation in the European Union, U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
SOURCE SunPower Corp.
Article Date
3/21/2017SunPower Corporation Vice President Investor Relations Bob Okunski to Speak at Raymond James Conference in Orlando, Florida
Source: PR Newswire
SAN JOSE, Calif., March 6, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR), a leading solar technology and energy service provider, today announced that Bob Okunski, vice president investor relations, will speak at Raymond James 38th Annual Institutional Investors Conference on March 8, 2017 at 11:35 a.m. Eastern Standard Time. The event is being held at the JW Marriott Grand Lakes Hotel in Orlando, Florida and will be webcast live from SunPower's website at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
3/6/20172/28/2017 - SunPower Introduces EDDiE(TM), its Next-Generation Digital Sales Tool and Design Engine for Home Solar
SunPower Introduces EDDiE(TM), its Next-Generation Digital Sales Tool and Design Engine for Home Solar
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 28, 2017 /PRNewswire/ -- SunPower (NASDAQ:SPWR), a leading solar technology and energy services provider, introduced today a new digital software platform designed to take the complexity out of buying and selling solar. Guided by SunPower's knowledgeable sales partners, the EDDiE sales tool offers a dynamic way for homeowners to customize their SunPower systems — from selecting solar panels with different efficiencies to placing panels on various parts of their roof — creating a simple, engaging solar process.
"SunPower is working to revolutionize the way homeowners buy solar with digital tools that change at lightning speed and deliver a best-in-class customer experience," said Martin DeBono, SunPower senior vice president. "With the intuitive, user-friendly features we've innovated into the EDDiE tool, we're enabling our sales force to help more consumers quickly and simply find a SunPower® solar solution that best complements their lifestyle."
The EDDiE Tool Features and Benefits Improve Sales and Buying Experience
The EDDiE tool will be broadly available in March 2017 for use by SunPower partners in the U.S.
"At SLR Energy we are focused on providing every customer with an extraordinary solar sales experience," said Mike Puglia, SLR Energy president. "The EDDiE tool enables us to present accurate information in a beautifully simple format. With its unique ability to tailor a SunPower solar system to fit a customer's exact needs, combined with the flexibility to make instant design and proposal adjustments in real time, EDDiE is the premier solar proposal platform."
For more, visit www.sunpower.com/eddie.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX and EDDIE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. iPad Pro, Mac, and Safari are registered trademarks of Apple Inc. Android and Google Chrome are trademarks of Google Inc. All other trademarks are the property of their respective owners.
SOURCE SunPower Corp.
Article Date
2/28/2017SunPower Starts Construction On 56-Megawatt Gala Solar Power Plant in Oregon
Source: PR Newswire
SAN JOSE, Calif., Feb. 27, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) announced today that construction has started on the 56-megawatt (AC) Gala Solar Power Plant in Crook County, Ore. The project, which is expected to be the state's largest operating solar power plant when it is completed by the end of 2017, is anticipated to create approximately 300 jobs during peak construction.
"I've often said that in Oregon, we don't believe economic development and environmental stewardship are mutually exclusive ideas," said Oregon Governor Kate Brown. "The approximately 300 jobs expected to be created by the Gala Solar Power Plant are proof we can grow our rural communities and support a vibrant and innovative renewable energy industry."
SunPower's third-generation SunPower® Oasis® platform for solar power plants will be installed on the site to maximize the project's long-term energy production. The Oasis platform is a complete power plant solution that installs quickly and optimizes site utilization to lower the cost of energy for customers. Product features include 50 percent fewer parts than conventional solar plant systems and an integrated solar tracker design that streamlines construction and reduces operations and maintenance costs.
"While solar is cost-competitive today, SunPower is continuing to drive the cost of energy down through innovation and integrated complete solutions such as our Oasis platform," said Ty Daul, SunPower vice president, Americas Power Plants. "We're pleased to contribute to economic development in Oregon with the construction of this milestone project."
"Solar power projects deliver a range of regional benefits, including job creation and affordable emission-free power," said Ann Beier, assistant planning director, Crook County Community Development. "We are proud that, working in partnership with SunPower on the Gala Solar Power Plant, Crook County is helping lead the way in Oregon in supporting increased solar development."
SunPower has contracted with Moss, an award-winning national construction firm ranked among the top building and solar contractors, as the general contractor for the project.
"We are excited about the new generation of SunPower's revolutionary Oasis tracker system," said Mike Little, executive vice president at Moss. "This system dramatically simplifies utility scale solar. SunPower has optimized every component of the power plant, reducing not only components costs, but construction installation costs."
At the Gala site, high efficiency SunPower® E-Series panels will be installed on the SunPower Oasis trackers, enabling more megawatt hours per acre to be generated compared to conventional solar technology. SunPower® E-Series panels reliably deliver excellent performance to optimize returns, and are backed by SunPower's industry-leading 25-year Combined Power and Product Warranty.
There are more than three gigawatts of SunPower solar power plants currently operating worldwide.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Moss
Moss & Associates (www.mosscm.com) is a national privately held construction firm providing innovative solutions resulting in award-winning projects. With nine regional offices from Hawai'i to the Caribbean, Moss focuses on construction management at-risk, design-build, and public-private partnerships. The company's diverse portfolio encompasses a wide range of sectors, including luxury high-rise residential, landmark mixed-use developments, hospitality, primary and higher education, justice and solar energy. Moss prides itself on a strong entrepreneurial culture that honors safety, quality, client engagement and employee development. Its employees consistently rank Moss as one of the best places to work.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, relative generating capacity, projected job creation, and anticipated performance of products under development. These forward-looking statements are based on our current assumptions, expectations, and beliefs and involve substantial risks and uncertainties that may cause results, performance, or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
2/27/2017Cajon Valley Union School District Selects SunPower for 24 Sites
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE and EL CAJON, Calif., Feb. 21, 2017 /PRNewswire/-- This spring, Cajon Valley Union School District (CVUSD) and SunPower Corp. (NASDAQ:SPWR) will begin construction of SunPower® Helix™ solar systems at 24 school sites in the El Cajon region of San Diego County. The solar installations totaling 4.6 megawatts (MW) will primarily include carports, as well as a few rooftop systems, and should be operational by the end of this year.
"With CVUSD's solar investment, we continue to enrich both our schools and our communities by generating clean, renewable energy which will help save on electricity costs and improve our local environment," said Scott Buxbaum, CVUSD Assistant Superintendent of Business Services. "After reviewing qualifications and proposals from six firms, we are very pleased to have selected SunPower's proposal as the best value to the District. Their team has been great to work with."
CVUSD owns the solar power system, along with the associated renewable energy credits. To finance a majority of the project, the District secured U.S. Department of Treasury clean renewable energy bonds (CREBs), which are available to certain entities, primarily in the public sector, to finance renewable energy projects.
"We're pleased to welcome CVUSD to a growing number of school districts across the country that are seeing the economic and environmental value that reliable solar energy solutions from SunPower can generate," said Nam Nguyen, SunPower senior vice president. "Innovative financing options like CREBs and local bonds can accelerate the return on a solar project, making it easy for schools to reinvest savings into their classrooms."
A leader in delivering innovative energy solutions to California schools, SunPower has installed more than 135 MW in 30 districts. According to the Solar Energy Industries Association (SEIA), this is enough to power 33,750 average California homes. Recently announced SunPower education customers include Bonita Unified School District, West Contra Costa Unified School District, and Colton Joint Unified School District.
Attendees of the 38th Annual Conference on School Facilities hosted by California's Coalition for Adequate School Housing in Sacramento, can visit SunPower at booth 209 to learn more about the benefits of solar for schools.
About Cajon Valley Union School District
The Cajon Valley Union School District (CVUSD) serves a diverse population of over 16,500 students from preschool through 8th grade at 27 sites. CVUSD recognizes each student enters our schools with his or her own unique strengths, interests, and values. Our schools use digital resources, technology and a blended learning environment to offer personalized programs and educational opportunities to support students' academic success and develop their strengths and interests.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
2/21/20172/15/2017 - SunPower Reports Fourth Quarter 2016 Results
SunPower Reports Fourth Quarter 2016 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 15, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its fourth quarter ended January 1, 2017.
|
($ Millions, except percentages and per-share data)2 |
4th Quarter 2016 |
3rd Quarter 2016 |
4th Quarter 2015 |
FY 2016 |
FY 2015 |
|
GAAP revenue |
$1,024.9 |
$729.3 |
$374.4 |
$2,559.6 |
$1,576.5 |
|
GAAP gross margin1 |
(3.1%) |
17.7% |
5.4% |
7.4% |
15.5% |
|
GAAP net loss1 |
($275.1) |
($40.5) |
($127.6) |
($471.1) |
($187.0) |
|
GAAP net loss per diluted share1 |
($1.99) |
($0.29) |
($0.93) |
($3.41) |
($1.39) |
|
Non-GAAP revenue2 |
$1,097.3 |
$770.1 |
$1,363.9 |
$2,702.9 |
$2,612.7 |
|
Non-GAAP gross margin1,2 |
(2.0%) |
20.0% |
28.8% |
9.0% |
23.9% |
|
Non-GAAP net income (loss)1,2 |
($89.0) |
$97.0 |
$270.4 |
($63.2) |
$337.8 |
|
Non-GAAP net income (loss) per diluted share1,2 |
($0.64) |
$0.68 |
$1.73 |
($0.46) |
$2.17 |
|
Adjusted EBITDA1,2 |
($20.8) |
$148.2 |
$379.9 |
$163.6 |
$556.5 |
|
Operating cash flow |
$484.8 |
($128.3) |
($296.9) |
($312.3) |
($726.2) |
|
1 Fourth quarter and fiscal year 2016 GAAP and non-GAAP financial results include a charge of $61 million for sale of above market polysilicon |
|
2 Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"SunPower's diversified business model enabled us to meet our revenue plan and exceed our operating cash flow target in the fourth quarter," said Tom Werner, SunPower president and CEO. "While overall industry conditions remain challenging, we are encouraged to see continued solid demand for our complete solutions offerings in all three end segments. In our upstream solar cell and panel manufacturing operations, we met our yield and cost reduction targets for the quarter, continued the ramp of our P-Series product and completed our capacity reduction with the shutdown of Fab 2. Financially, we significantly improved our cash flow as we executed on major project milestones, and we are on track with respect to our 2017 restructuring initiatives. We remain highly focused on maximizing near-term cash flow."
"Despite the difficult industry environment, our solid execution enabled us to achieve our key financial metrics for the quarter, including generating $485 million in operating cash flow, which we used to reduce our debt by approximately $500 million," said Chuck Boynton, SunPower chief financial officer. "Our focus this year remains on improving cash flow, prudently managing our working capital and deleveraging the balance sheet. We believe that this will position us well for success as the solar industry transitions through the current challenges to sustainable profitability."
The company's fourth quarter and fiscal year 2016 GAAP and non-GAAP results included a charge of approximately $61 million due to the sale of above market polysilicon as well as a GAAP restructuring charge of $176 million. As previously disclosed, the company's 2016 fiscal year guidance did not include these charges.
Also, fourth quarter fiscal 2016 non-GAAP results include net adjustments that, in the aggregate, decreased (increased) non-GAAP net loss by $186.1 million, including $6.3 million related to 8point3 Energy Partners, $2.5 million related to utility and power plant projects, $(10.1) million related to sale of operating lease assets, $8.4 million related to sale-leaseback transactions, $12.6 million related to stock-based compensation expense, $3.0 million related to amortization of intangible assets, $175.8 million related to restructuring expense, $(0.2) million related to other adjustments, and $(12.2) million related to tax effect.
Financial Outlook
The company is reiterating the following key financial metrics for 2017.
Revenue of $1.8 billion to $2.3 billion on a GAAP basis and $2.1 billion to $2.6 billion on a non-GAAP basis, non-GAAP operational expenses of less than $350 million, capital expenditures of approximately $120 million, and gigawatts (GW) deployed in the range of 1.3 GW to 1.6 GW. Also, the company expects to record GAAP restructuring charges totaling $50 million to $100 million in fiscal year 2017.
The company expects to generate positive operating cash flow through the end of fiscal year 2017 and exit the year with approximately $300 million in cash. Despite current industry conditions the company is forecasting positive Adjusted EBITDA for the full year 2017, weighted toward the second half of the year. The company believes that cash flow and liquidity are the key evaluation metrics for investors in the near term.
The company's first quarter fiscal 2017 GAAP guidance is as follows: revenue of $315 million to $365 million, gross margin of (2) percent to 0 percent and net loss of $175 million to $150 million. First quarter 2017 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting as well as the impact of charges related to the company's restructuring initiatives. On a non-GAAP basis, the company expects revenue of $370 million to $420 million, gross margin of 0 percent to 2 percent, Adjusted EBITDA of ($45) million to ($20) million and megawatts deployed in the range of 150 MW to 180 MW.
The company will host a conference call for investors this afternoon to discuss its fourth quarter 2016 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its third quarter 2016 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our expectations for the timing, success and financial impact of our restructuring plan and associated initiatives, including impact on our balance sheet, long-term cash flow and annual operating expenses; (b) our ability to improve cash flow, manage our working capital, and deleverage our balance sheet; (c) our positioning for future success and profitability; (d) our expectations for the solar industry and the markets we serve, including market conditions, recovery, and long-term prospects for improvement; (e) full year fiscal 2017 guidance, including GAAP and non-GAAP revenue, operational expenditures, capital expenditures, gigawatts deployed, cash flow and ending cash, and Adjusted EBITDA; and (f) our first quarter fiscal 2017 guidance, including GAAP revenue, gross margin, and net loss, as well as non-GAAP revenue, gross margin, Adjusted EBITDA, cash flow, and MW deployed. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) appropriately sizing our manufacturing capacity and containing manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; (10) fluctuations or declines in the performance of our solar panels and other products and solutions; (11) our ability to identify and successfully implement concrete actions to meet our cost reduction targets, reduce capital expenditures, and implement our restructuring initiatives, including the planned realignment of our manufacturing operations and power plant segment; and (12) the outcomes of previously disclosed litigation. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, HELIX and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other marks are the property of their respective owners.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Jan. 1, |
Jan. 3, | ||
|
2017 |
2016 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 425,309 |
$ 954,528 | |
|
Restricted cash and cash equivalents, current portion |
33,657 |
24,488 | |
|
Accounts receivable, net |
219,638 |
190,448 | |
|
Costs and estimated earnings in excess of billings |
32,780 |
38,685 | |
|
Inventories |
401,707 |
382,390 | |
|
Advances to suppliers, current portion |
111,479 |
85,012 | |
|
Project assets - plants and land, current portion |
374,459 |
479,452 | |
|
Prepaid expenses and other current assets |
315,670 |
359,517 | |
|
Total current assets |
1,914,699 |
2,514,520 | |
|
Restricted cash and cash equivalents, net of current portion |
55,246 |
41,748 | |
|
Restricted long-term marketable securities |
4,971 |
6,475 | |
|
Property, plant and equipment, net |
1,027,066 |
731,230 | |
|
Solar power systems leased and to be leased, net |
621,267 |
531,520 | |
|
Project assets - plants and land, net of current portion |
33,571 |
5,072 | |
|
Advances to suppliers, net of current portion |
173,277 |
274,085 | |
|
Long-term financing receivables, net |
507,333 |
334,791 | |
|
Goodwill and other intangible assets, net |
44,218 |
119,577 | |
|
Other long-term assets |
185,519 |
297,975 | |
|
Total assets |
$ 4,567,167 |
$ 4,856,993 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 540,295 |
$ 514,654 | |
|
Accrued liabilities |
391,226 |
313,497 | |
|
Billings in excess of costs and estimated earnings |
77,140 |
115,739 | |
|
Short-term debt |
71,376 |
21,041 | |
|
Customer advances, current portion |
10,138 |
33,671 | |
|
Total current liabilities |
1,090,175 |
998,602 | |
|
Long-term debt |
451,243 |
478,948 | |
|
Convertible debt |
1,113,478 |
1,110,960 | |
|
Customer advances, net of current portion |
298 |
126,183 | |
|
Other long-term liabilities |
721,032 |
564,557 | |
|
Total liabilities |
3,376,226 |
3,279,250 | |
|
Redeemable noncontrolling interests in subsidiaries |
103,621 |
69,104 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
139 |
137 | |
|
Additional paid-in capital |
2,410,395 |
2,359,917 | |
|
Accumulated deficit |
(1,218,681) |
(747,617) | |
|
Accumulated other comprehensive loss |
(7,238) |
(8,023) | |
|
Treasury stock, at cost |
(176,783) |
(155,265) | |
|
Total stockholders' equity |
1,007,832 |
1,449,149 | |
|
Noncontrolling interests in subsidiaries |
79,488 |
59,490 | |
|
Total equity |
1,087,320 |
1,508,639 | |
|
Total liabilities and equity |
$ 4,567,167 |
$ 4,856,993 | |
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
|
(In thousands, except per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | ||||||
|
2017 |
2016 |
2016 |
2017 |
2016 | ||||||
|
Revenue: |
||||||||||
|
Residential |
$ 220,464 |
$ 170,345 |
$ 172,428 |
$ 720,331 |
$ 643,520 | |||||
|
Commercial |
146,874 |
139,954 |
80,113 |
436,915 |
277,143 | |||||
|
Power Plant |
657,551 |
419,047 |
121,823 |
1,402,316 |
655,810 | |||||
|
Total revenue |
1,024,889 |
729,346 |
374,364 |
2,559,562 |
1,576,473 | |||||
|
Cost of revenue: |
||||||||||
|
Residential |
207,604 |
138,836 |
142,287 |
603,559 |
508,449 | |||||
|
Commercial |
171,344 |
132,618 |
81,541 |
438,711 |
259,600 | |||||
|
Power Plant |
678,014 |
328,684 |
130,233 |
1,327,326 |
563,778 | |||||
|
Total cost of revenue |
1,056,962 |
600,138 |
354,061 |
2,369,596 |
1,331,827 | |||||
|
Gross margin |
(32,073) |
129,208 |
20,303 |
189,966 |
244,646 | |||||
|
Operating expenses: |
||||||||||
|
Research and development |
23,860 |
28,153 |
32,362 |
116,130 |
99,063 | |||||
|
Selling, general and administrative |
66,517 |
80,070 |
105,643 |
329,061 |
345,486 | |||||
|
Restructuring charges |
175,774 |
31,202 |
335 |
207,189 |
6,391 | |||||
|
Total operating expenses |
266,151 |
139,425 |
138,340 |
652,380 |
450,940 | |||||
|
Operating loss |
(298,224) |
(10,217) |
(118,037) |
(462,414) |
(206,294) | |||||
|
Other income (expense), net: |
||||||||||
|
Interest income |
519 |
630 |
622 |
2,652 |
2,120 | |||||
|
Interest expense |
(18,091) |
(15,813) |
(10,802) |
(60,735) |
(43,796) | |||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
- |
203,252 |
- |
203,252 |
- | |||||
|
Loss on equity method investment in connection with acquisition |
- |
(90,946) |
- |
(90,946) |
- | |||||
|
Goodwill impairment |
- |
(147,365) |
- |
(147,365) |
- | |||||
|
Other, net |
8,184 |
(5,169) |
(3,102) |
(9,039) |
5,659 | |||||
|
Other expense, net |
(9,388) |
(55,411) |
(13,282) |
(102,181) |
(36,017) | |||||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(307,612) |
(65,628) |
(131,319) |
(564,595) |
(242,311) | |||||
|
Benefit from (provision for) income taxes |
9,559 |
(7,049) |
(28,778) |
(7,319) |
(66,694) | |||||
|
Equity in earnings of unconsolidated investees |
3,714 |
16,770 |
462 |
28,070 |
9,569 | |||||
|
Net loss |
(294,339) |
(55,907) |
(159,635) |
(543,844) |
(299,436) | |||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
19,221 |
15,362 |
32,014 |
72,780 |
112,417 | |||||
|
Net loss attributable to stockholders |
$ (275,118) |
$ (40,545) |
$ (127,621) |
$ (471,064) |
$ (187,019) | |||||
|
Net loss per share attributable to stockholders: |
||||||||||
|
- Basic |
$ (1.99) |
$ (0.29) |
$ (0.93) |
$ (3.41) |
$ (1.39) | |||||
|
- Diluted |
$ (1.99) |
$ (0.29) |
$ (0.93) |
$ (3.41) |
$ (1.39) | |||||
|
Weighted-average shares: |
||||||||||
|
- Basic |
138,442 |
138,209 |
136,653 |
137,985 |
134,884 | |||||
|
- Diluted |
138,442 |
138,209 |
136,653 |
137,985 |
134,884 | |||||
|
SUNPOWER CORPORATION | |||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
|
(In thousands) | |||||||||
|
(Unaudited) | |||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | |||||
|
2017 |
2016 |
2016 |
2017 |
2016 | |||||
|
Cash flows from operating activities: |
|||||||||
|
Net loss |
$ (294,339) |
$ (55,907) |
$ (159,635) |
$ (543,844) |
$ (299,436) | ||||
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|||||||||
|
Depreciation and amortization |
51,367 |
39,827 |
40,638 |
174,209 |
138,007 | ||||
|
Stock-based compensation |
12,596 |
15,907 |
16,476 |
61,498 |
58,960 | ||||
|
Non-cash interest expense |
94 |
308 |
416 |
1,057 |
6,184 | ||||
|
Non-cash restructuring charges |
148,791 |
17,926 |
- |
166,717 |
- | ||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
- |
(203,252) |
- |
(203,252) |
- | ||||
|
Loss on equity method investment in connection with acquisition |
- |
90,946 |
- |
90,946 |
- | ||||
|
Goodwill impairment |
- |
147,365 |
- |
147,365 |
- | ||||
|
Dividend from 8point3 Energy Partners LP |
6,949 |
- |
- |
6,949 |
- | ||||
|
Equity in earnings of unconsolidated investees |
(3,714) |
(16,770) |
(462) |
(28,070) |
(9,569) | ||||
|
Excess tax benefit from stock-based compensation |
(4,032) |
(1,222) |
(14,285) |
(2,810) |
(39,375) | ||||
|
Deferred income taxes |
(9,402) |
1,852 |
28,711 |
(6,611) |
50,238 | ||||
|
Gain on sale of residential lease portfolio to 8point3 Energy Partners LP |
- |
- |
- |
- |
(27,915) | ||||
|
Other, net |
988 |
2,006 |
649 |
4,793 |
2,589 | ||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||||||
|
Accounts receivable |
3,097 |
(13,268) |
19,641 |
(33,466) |
311,743 | ||||
|
Costs and estimated earnings in excess of billings |
(7,381) |
7,278 |
408 |
6,198 |
148,426 | ||||
|
Inventories |
30,698 |
13,901 |
(50,611) |
(70,448) |
(237,764) | ||||
|
Project assets |
467,893 |
(1,262) |
(263,218) |
33,248 |
(763,065) | ||||
|
Prepaid expenses and other assets |
(20,535) |
20,674 |
(96,966) |
48,758 |
(80,105) | ||||
|
Long-term financing receivables, net |
(35,999) |
(41,424) |
(34,555) |
(172,542) |
(142,973) | ||||
|
Advances to suppliers |
29,338 |
4,434 |
20,760 |
74,341 |
50,560 | ||||
|
Accounts payable and other accrued liabilities |
133,278 |
(156,279) |
160,354 |
(12,146) |
97,433 | ||||
|
Billings in excess of costs and estimated earnings |
(22,325) |
7,170 |
34,629 |
(38,204) |
30,661 | ||||
|
Customer advances |
(2,529) |
(8,556) |
179 |
(16,969) |
(20,830) | ||||
|
Net cash provided by (used in) operating activities |
484,833 |
(128,346) |
(296,871) |
(312,283) |
(726,231) | ||||
|
Cash flows from investing activities: |
|||||||||
|
Decrease (increase) in restricted cash and cash equivalents |
(9,812) |
(10,108) |
4,485 |
(22,667) |
(23,174) | ||||
|
Purchases of property, plant and equipment |
(37,619) |
(56,151) |
(97,699) |
(187,094) |
(230,051) | ||||
|
Cash paid for solar power systems, leased and to be leased |
(19,872) |
(18,261) |
(23,957) |
(84,289) |
(88,376) | ||||
|
Cash paid for solar power systems |
(36,464) |
- |
- |
(38,746) |
(10,007) | ||||
|
Proceeds from sales or maturities marketable securities |
- |
6,210 |
- |
6,210 |
- | ||||
|
Proceeds from (payments to) 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
- |
- |
175,863 |
(9,838) |
539,791 | ||||
|
Purchases of marketable securities |
(4,955) |
- |
- |
(4,955) |
- | ||||
|
Cash paid for acquisitions, net of cash acquired |
- |
(24,003) |
(5,735) |
(24,003) |
(64,756) | ||||
|
Cash paid for investments in unconsolidated investees |
(501) |
(737) |
- |
(11,547) |
(4,092) | ||||
|
Cash paid for intangibles |
(521) |
- |
(6,535) |
(521) |
(9,936) | ||||
|
Net cash provided by (used in) investing activities |
(109,744) |
(103,050) |
46,422 |
(377,450) |
109,399 | ||||
|
Cash flows from financing activities: |
|||||||||
|
Proceeds from issuance of convertible debt, net of issuance costs |
- |
- |
416,305 |
- |
416,305 | ||||
|
Cash paid for repurchase of convertible debt |
- |
- |
- |
- |
(324,352) | ||||
|
Proceeds from settlement of 4.50% Bond Hedge |
- |
- |
- |
- |
74,628 | ||||
|
Payments to settle 4.50% Warrants |
- |
- |
- |
- |
(574) | ||||
|
Cash paid for acquisitions, net of cash acquired |
(5,714) |
- |
- |
(5,714) |
- | ||||
|
Proceeds from bank loans and other debt |
113,645 |
- |
- |
113,645 |
- | ||||
|
Repayment of bank loans and other debt |
(128,029) |
(7,685) |
(231) |
(143,601) |
(16,088) | ||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
41,128 |
89,634 |
17,444 |
183,990 |
100,108 | ||||
|
Repayment of non-recourse residential financing |
(1,225) |
(34,541) |
(445) |
(37,932) |
(41,503) | ||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
54,611 |
34,558 |
47,149 |
146,334 |
180,881 | ||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(5,620) |
(6,514) |
(3,501) |
(19,039) |
(10,291) | ||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
136,536 |
168,794 |
212,709 |
738,822 |
441,775 | ||||
|
Repayment of non-recourse power plant and commercial financing |
(537,671) |
(220,186) |
(12,166) |
(795,209) |
(238,744) | ||||
|
Proceeds from 8point3 Energy Partners LP attributable to operating leases and unguaranteed sales-type lease residual values |
- |
- |
- |
- |
29,300 | ||||
|
Contributions from noncontrolling interests attributable to real estate projects |
- |
- |
12,410 |
- |
12,410 | ||||
|
Proceeds from exercise of stock options |
- |
- |
50 |
- |
517 | ||||
|
Excess tax benefit from stock-based compensation |
- |
1,222 |
14,285 |
- |
39,375 | ||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(564) |
(1,282) |
(1,373) |
(21,517) |
(43,780) | ||||
|
Net cash provided by (used in) financing activities |
(332,903) |
24,000 |
702,636 |
159,779 |
619,967 | ||||
|
Effect of exchange rate changes on cash and cash equivalents |
(745) |
1,173 |
(540) |
735 |
(4,782) | ||||
|
Net increase (decrease) in cash and cash equivalents |
41,441 |
(206,223) |
451,647 |
(529,219) |
(1,647) | ||||
|
Cash and cash equivalents, beginning of period |
383,868 |
590,091 |
502,881 |
954,528 |
956,175 | ||||
|
Cash and cash equivalents, end of period |
$ 425,309 |
$ 383,868 |
$ 954,528 |
$ 425,309 |
$ 954,528 | ||||
|
Non-cash transactions: |
|||||||||
|
Assignment of residential lease receivables to third parties |
$ 568 |
$ 1,246 |
$ 573 |
$ 4,290 |
$ 3,315 | ||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
13,439 |
14,092 |
19,309 |
57,422 |
66,604 | ||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
3,026 |
6,226 |
10,972 |
3,026 |
10,972 | ||||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
20,596 |
- |
- |
27,971 |
6,076 | ||||
|
Property, plant and equipment acquisitions funded by liabilities |
55,374 |
85,994 |
28,950 |
55,374 |
28,950 | ||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
2,274 |
34,862 |
97,272 |
45,862 |
102,333 | ||||
|
Exchange of receivables for an investment in an unconsolidated investee |
- |
- |
- |
2,890 |
- | ||||
|
Sale of residential lease portfolio in exchange for non-controlling equity interests in the 8point3 Group |
- |
- |
- |
- |
68,273 | ||||
|
Acquisition funded by liabilities |
103,354 |
100,550 |
- |
103,354 |
- | ||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income (loss); net income (loss) per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross margin includes adjustments relating to stock-based compensation, amortization of intangible assets, non-cash interest expense, arbitration ruling, and other items, each as described below. In addition to those same adjustments, non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share are adjusted for adjustments relating to goodwill impairment, restructuring expense, IPO-related costs, and the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income (loss), Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. With certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
|
(In thousands, except percentages and per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
Adjustments to Revenue: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | ||||||
|
2017 |
2016 |
2016 |
2017 |
2016 | ||||||
|
GAAP revenue |
$ 1,024,889 |
$ 729,346 |
$ 374,364 |
$ 2,559,562 |
$ 1,576,473 | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
44,991 |
33,301 |
952,115 |
61,718 |
1,011,734 | |||||
|
Utility and power plant projects |
(4,047) |
37 |
31,012 |
9,443 |
17,996 | |||||
|
Sale of operating lease assets |
(34,406) |
7,424 |
6,447 |
(6,396) |
6,447 | |||||
|
Sale-leaseback transactions |
65,887 |
- |
- |
78,533 |
- | |||||
|
Non-GAAP revenue |
$ 1,097,314 |
$ 770,108 |
$ 1,363,938 |
$ 2,702,860 |
$ 2,612,650 | |||||
|
Adjustments to Gross margin: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | ||||||
|
2017 |
2016 |
2016 |
2017 |
2016 | ||||||
|
GAAP gross margin |
$ (32,073) |
$ 129,208 |
$ 20,303 |
$ 189,966 |
$ 244,646 | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
1,576 |
13,788 |
351,661 |
10,512 |
369,957 | |||||
|
Utility and power plant projects |
2,542 |
47 |
13,079 |
10,274 |
(3,016) | |||||
|
Sale of operating lease assets |
(10,105) |
2,085 |
2,000 |
(1,942) |
2,000 | |||||
|
Sale-leaseback transactions |
8,278 |
85 |
- |
11,351 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
4,959 |
6,029 |
3,308 |
20,577 |
13,343 | |||||
|
Amortization of intangible assets |
2,568 |
2,567 |
1,733 |
7,679 |
2,334 | |||||
|
Non-cash interest expense |
70 |
283 |
391 |
956 |
2,037 | |||||
|
Arbitration ruling |
- |
- |
- |
(5,852) |
(6,459) | |||||
|
Other |
- |
- |
- |
- |
159 | |||||
|
Non-GAAP gross margin |
$ (22,185) |
$ 154,092 |
$ 392,475 |
$ 243,521 |
$ 625,001 | |||||
|
GAAP gross margin (%) |
-3.1% |
17.7% |
5.4% |
7.4% |
15.5% | |||||
|
Non-GAAP gross margin (%) |
-2.0% |
20.0% |
28.8% |
9.0% |
23.9% | |||||
|
Adjustments to Net income (loss): |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | ||||||
|
2017 |
2016 |
2016 |
2017 |
2016 | ||||||
|
GAAP net loss attributable to stockholders |
$ (275,118) |
$ (40,545) |
$ (127,621) |
$ (471,064) |
$ (187,019) | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
6,301 |
19,320 |
394,097 |
54,379 |
408,780 | |||||
|
Utility and power plant projects |
2,542 |
47 |
13,079 |
10,274 |
(3,016) | |||||
|
Sale of operating lease assets |
(10,086) |
2,098 |
2,000 |
(1,889) |
2,000 | |||||
|
Sale-leaseback transactions |
8,435 |
277 |
- |
11,700 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
12,596 |
15,907 |
16,476 |
61,498 |
58,960 | |||||
|
Amortization of intangible assets |
3,018 |
3,018 |
2,623 |
17,369 |
4,717 | |||||
|
Non-cash interest expense |
94 |
308 |
416 |
1,057 |
6,184 | |||||
|
Goodwill impairment |
- |
57,765 |
- |
57,765 |
- | |||||
|
Restructuring expense |
175,774 |
31,202 |
335 |
207,189 |
6,391 | |||||
|
Arbitration ruling |
- |
- |
- |
(5,852) |
(6,459) | |||||
|
IPO-related costs |
(339) |
- |
1,669 |
(304) |
28,033 | |||||
|
Other |
- |
(20) |
(13) |
(31) |
162 | |||||
|
Tax effect |
(12,200) |
7,655 |
(32,663) |
(5,315) |
19,033 | |||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ (88,983) |
$ 97,032 |
$ 270,398 |
$ (63,224) |
$ 337,766 | |||||
|
Adjustments to Net income (loss) per diluted share: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | ||||||
|
2017 |
2016 |
2016 |
2017 |
2016 | ||||||
|
Net income (loss) per diluted share |
||||||||||
|
Numerator: |
||||||||||
|
GAAP net loss available to common stockholders1 |
$ (275,118) |
$ (40,545) |
$ (127,621) |
$ (471,064) |
$ (187,019) | |||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ (88,983) |
$ 97,032 |
$ 270,731 |
$ (63,224) |
$ 339,492 | |||||
|
Denominator: |
||||||||||
|
GAAP weighted-average shares |
138,442 |
138,209 |
136,653 |
137,985 |
134,884 | |||||
|
Effect of dilutive securities: |
||||||||||
|
Stock options |
- |
- |
2 |
- |
24 | |||||
|
Restricted stock units |
- |
384 |
1,478 |
- |
1,781 | |||||
|
Upfront warrants (held by Total) |
- |
3,179 |
6,564 |
- |
6,801 | |||||
|
Warrants (under the CSO2015) |
- |
- |
- |
- |
913 | |||||
|
0.75% debentures due 2018 |
- |
- |
12,026 |
- |
12,026 | |||||
|
Non-GAAP weighted-average shares1 |
138,442 |
141,772 |
156,723 |
137,985 |
156,429 | |||||
|
GAAP net loss per diluted share |
$ (1.99) |
$ (0.29) |
$ (0.93) |
$ (3.41) |
$ (1.39) | |||||
|
Non-GAAP net income (loss) per diluted share |
$ (0.64) |
$ 0.68 |
$ 1.73 |
$ (0.46) |
$ 2.17 | |||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. |
||||||||||
|
Adjusted EBITDA: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 1, |
Oct. 2, |
Jan. 3, |
Jan. 1, |
Jan. 3, | ||||||
|
2017 |
2016 |
2016 |
2017 |
2016 | ||||||
|
GAAP net loss attributable to stockholders |
$ (275,118) |
$ (40,545) |
$ (127,621) |
$ (471,064) |
$ (187,019) | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
6,301 |
19,320 |
394,097 |
54,379 |
408,780 | |||||
|
Utility and power plant projects |
2,542 |
47 |
13,079 |
10,274 |
(3,016) | |||||
|
Sale of operating lease assets |
(10,086) |
2,098 |
2,000 |
(1,889) |
2,000 | |||||
|
Sale-leaseback transactions |
8,435 |
277 |
- |
11,700 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
12,596 |
15,907 |
16,476 |
61,498 |
58,960 | |||||
|
Amortization of intangible assets |
3,018 |
3,018 |
2,623 |
17,369 |
4,717 | |||||
|
Non-cash interest expense |
94 |
308 |
416 |
1,057 |
6,184 | |||||
|
Goodwill impairment |
- |
57,765 |
- |
57,765 |
- | |||||
|
Restructuring expense |
175,774 |
31,202 |
335 |
207,189 |
6,391 | |||||
|
Arbitration ruling |
- |
- |
- |
(5,852) |
(6,459) | |||||
|
IPO-related costs |
(339) |
- |
1,669 |
(304) |
28,033 | |||||
|
Other |
- |
(20) |
(13) |
(31) |
162 | |||||
|
Cash interest expense, net of interest income |
17,416 |
14,990 |
10,180 |
57,734 |
37,643 | |||||
|
Provision for (benefit from) income taxes |
(9,559) |
7,049 |
28,778 |
7,319 |
66,694 | |||||
|
Depreciation |
48,099 |
36,809 |
37,890 |
156,464 |
133,456 | |||||
|
Adjusted EBITDA |
$ (20,827) |
$ 148,225 |
$ 379,909 |
$ 163,608 |
$ 556,526 | |||||
|
Q1 2017 and FY 2017 GUIDANCE | ||
|
(in thousands except percentages) |
Q1 2017 |
FY 2017 |
|
Revenue (GAAP) |
$315,000-$365,000 |
$1,800,000-$2,300,000 |
|
Revenue (non-GAAP) (1) |
$370,000-$420,000 |
$2,100,000-$2,600,000 |
|
Gross margin (GAAP) |
(2%)-0% |
N/A |
|
Gross margin (non-GAAP) (2) |
0%-2% |
N/A |
|
Net loss (GAAP) |
($175,000)-($150,000) |
N/A |
|
Adjusted EBITDA (3) |
($45,000)-($20,000) |
N/A |
|
(1) |
Estimated non-GAAP amounts above for Q1 2017 include net adjustments that increase revenue by approximately $30 million related to utility and power plant projects and $25 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2017 include net adjustments that increase revenue by approximately $300 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q1 2017 include net adjustments that increase gross margin by approximately $3 million related to sale-leaseback transactions, $4 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q1 2017 include net adjustments that decrease net loss by approximately $3 million related to sale-leaseback transactions, $13 million related to stock-based compensation expense, $3 million related to amortization of intangible assets, $1 million related to non-cash interest expense, $35 million related to restructuring, $20 million related to interest expense, $10 million related to income taxes, and $45 million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
January 1, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 220,464 |
$ 146,874 |
$ 657,551 |
$ 12,860 |
5.8% |
$ (24,470) |
-16.7% |
$ (20,463) |
-3.1% |
$ (275,118) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,313) |
2,189 |
44,115 |
(503) |
1,410 |
669 |
- |
- |
- |
1,075 |
- |
3,650 |
6,301 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(4,047) |
- |
- |
2,542 |
- |
- |
- |
- |
- |
- |
2,542 | |||||||||||||||||||
|
Sale of operating lease assets |
(34,406) |
- |
- |
(10,105) |
- |
- |
- |
- |
- |
19 |
- |
- |
(10,086) | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
65,887 |
- |
- |
8,278 |
- |
- |
- |
- |
157 |
- |
- |
8,435 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
902 |
1,093 |
2,964 |
2,141 |
5,496 |
- |
- |
- |
- |
12,596 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,109 |
957 |
502 |
- |
450 |
- |
- |
- |
- |
3,018 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
26 |
24 |
20 |
3 |
21 |
- |
- |
- |
- |
94 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
175,774 |
- |
- |
- |
175,774 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(339) |
- |
- |
- |
- |
(339) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(12,200) |
- |
(12,200) | |||||||||||||||||||
|
Non-GAAP |
$ 184,745 |
$ 214,950 |
$ 697,619 |
$ 4,289 |
2.3% |
$ (12,708) |
-5.9% |
$ (13,766) |
-2.0% |
$ (88,983) | ||||||||||||||||||||||
|
October 2, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 170,345 |
$ 139,954 |
$ 419,047 |
$ 31,509 |
18.5% |
$ 7,336 |
5.2% |
$ 90,363 |
21.6% |
$ (40,545) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,336) |
3,181 |
31,456 |
(250) |
2,162 |
11,876 |
- |
- |
- |
1,062 |
- |
4,470 |
19,320 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
37 |
- |
- |
47 |
- |
- |
- |
- |
- |
- |
47 | |||||||||||||||||||
|
Sale of operating lease assets |
7,424 |
- |
- |
2,085 |
- |
- |
- |
- |
- |
13 |
- |
- |
2,098 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
- |
- |
- |
85 |
- |
- |
- |
- |
192 |
- |
- |
277 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
2,083 |
1,744 |
2,202 |
2,935 |
6,943 |
- |
- |
- |
- |
15,907 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
869 |
868 |
830 |
- |
451 |
- |
- |
- |
- |
3,018 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
67 |
84 |
132 |
4 |
21 |
- |
- |
- |
- |
308 | |||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
57,765 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
31,202 |
- |
- |
- |
31,202 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(33) |
- |
13 |
- |
- |
(20) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
7,655 |
- |
7,655 | |||||||||||||||||||
|
Non-GAAP |
$ 176,433 |
$ 143,135 |
$ 450,540 |
$ 36,363 |
20.6% |
$ 12,279 |
8.6% |
$ 105,450 |
23.4% |
$ 97,032 | ||||||||||||||||||||||
|
January 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 172,428 |
$ 80,113 |
$ 121,823 |
$ 30,141 |
17.5% |
$ (1,428) |
-1.8% |
$ (8,410) |
-6.9% |
$ (127,621) | ||||||||||||||||||||||
|
IFRS-based adjustments: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,443) |
54,793 |
898,765 |
(640) |
13,930 |
338,371 |
- |
- |
- |
1,057 |
- |
41,379 |
394,097 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
31,012 |
- |
- |
13,079 |
- |
- |
- |
- |
- |
- |
13,079 | |||||||||||||||||||
|
Sale of operating lease assets |
6,447 |
- |
- |
2,000 |
- |
- |
- |
- |
- |
- |
- |
- |
2,000 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,089 |
840 |
1,379 |
3,113 |
10,055 |
- |
- |
- |
- |
16,476 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
531 |
347 |
855 |
701 |
189 |
- |
- |
- |
- |
2,623 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
120 |
78 |
193 |
4 |
21 |
- |
- |
- |
- |
416 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
335 |
- |
- |
- |
335 | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
1,669 |
- |
- |
- |
- |
1,669 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(13) |
- |
- |
(13) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(32,663) |
- |
(32,663) | |||||||||||||||||||
|
Non-GAAP |
$ 177,432 |
$ 134,906 |
$ 1,051,600 |
$ 33,241 |
18.7% |
$ 13,767 |
10.2% |
$ 345,467 |
32.9% |
$ 270,398 | ||||||||||||||||||||||
|
TWELVE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
January 1, 2017 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Net income (loss) | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 720,331 |
$ 436,915 |
$ 1,402,316 |
$ 116,772 |
16.2% |
$ (1,796) |
-0.4% |
$ 74,990 |
5.3% |
$ (471,064) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(5,248) |
5,370 |
61,596 |
(1,657) |
3,751 |
8,418 |
- |
- |
- |
4,260 |
- |
39,607 |
54,379 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
9,443 |
- |
- |
10,274 |
- |
- |
- |
- |
- |
- |
10,274 | |||||||||||||||||||
|
Sale of operating lease assets |
(6,396) |
- |
- |
(1,942) |
- |
- |
- |
- |
- |
53 |
- |
- |
(1,889) | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
78,533 |
- |
- |
11,351 |
- |
- |
- |
- |
349 |
- |
- |
11,700 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
5,464 |
4,234 |
10,879 |
11,073 |
29,848 |
- |
- |
- |
- |
61,498 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
2,965 |
3,059 |
1,655 |
3,007 |
6,683 |
- |
- |
- |
- |
17,369 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
227 |
199 |
530 |
17 |
84 |
- |
- |
- |
- |
1,057 | |||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
57,765 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
207,189 |
- |
- |
- |
207,189 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
(5,852) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
(304) |
- |
- |
- |
- |
(304) | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(32) |
- |
1 |
- |
- |
(31) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(5,315) |
- |
(5,315) | |||||||||||||||||||
|
Non-GAAP |
$ 708,687 |
$ 520,818 |
$ 1,473,355 |
$ 120,484 |
17.0% |
$ 19,876 |
3.8% |
$ 103,161 |
7.0% |
$ (63,224) | ||||||||||||||||||||||
|
January 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 643,520 |
$ 277,143 |
$ 655,810 |
$ 135,071 |
21.0% |
$ 17,543 |
6.3% |
$ 92,032 |
14.0% |
$ (187,019) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(2,754) |
115,723 |
898,765 |
(1,148) |
32,734 |
338,371 |
- |
- |
- |
(2,638) |
- |
41,461 |
408,780 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
17,996 |
- |
- |
(3,016) |
- |
- |
- |
- |
- |
- |
(3,016) | |||||||||||||||||||
|
Sale of operating lease assets |
6,447 |
- |
- |
2,000 |
- |
- |
- |
- |
- |
- |
- |
- |
2,000 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
4,764 |
2,676 |
5,903 |
9,938 |
35,679 |
- |
- |
- |
- |
58,960 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
728 |
451 |
1,155 |
1,664 |
719 |
- |
- |
- |
- |
4,717 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
638 |
330 |
1,069 |
31 |
84 |
- |
4,032 |
- |
- |
6,184 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
6,391 |
- |
- |
- |
6,391 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(2,084) |
(1,697) |
(2,678) |
- |
- |
- |
- |
- |
- |
(6,459) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
12,837 |
- |
15,196 |
- |
- |
28,033 | |||||||||||||||||||
|
Other |
- |
- |
- |
41 |
33 |
85 |
- |
- |
- |
3 |
- |
- |
162 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
19,033 |
- |
19,033 | |||||||||||||||||||
|
Non-GAAP |
$ 647,213 |
$ 392,866 |
$ 1,572,571 |
$ 140,010 |
21.6% |
$ 52,070 |
13.3% |
$ 432,921 |
27.5% |
$ 337,766 | ||||||||||||||||||||||
SOURCE SunPower Corp.
Article Date
2/15/20172/9/2017 - SunPower Announces New Operations Executive
SunPower Announces New Operations Executive
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 9, 2017 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR), a leading solar technology and energy services provider, today announced that it has named solar veteran Dr. Bill Mulligan, executive vice president of global operations. In his role, Mulligan will be responsible for leading SunPower's global operations and worldwide materials sourcing.
"Bill's first-hand knowledge and intimate understanding of SunPower's leading technology and solutions, as well as a deep understanding of the competitive environment, made him the ideal choice to lead our global operations," said Tom Werner, SunPower president and chief executive officer. "He's a proven executive in the upstream solar business, commercializing and delivering innovative products, while keeping a keen eye on costs and the highest efficiencies."
Beginning in 1998, Mulligan worked at SunPower for more than 12 years as vice president of research and development. He led the development of the company's low-cost, one-sun silicon PV cell technology. Also under his leadership SunPower developed and commercialized the world's highest efficiency solar panel. He left SunPower and went to SolarBridge Technologies, serving as CEO and president. He returned to SunPower with the company's November 2014 acquisition of SolarBridge. He currently serves as the vice president of upstream strategy.
His experience also includes serving in various positions at JX Crystals, Inc., developing thermophotovoltaics; National Renewable Energy Laboratory performing doctoral research; AstroPower where he developed low cost solar cells for both terrestrial and space applications; and Fairchild/National Semiconductor working in process engineering and product marketing.
Mulligan received dual undergraduate degrees in Chemistry and History from the University of Washington, a M.S.E in Chemical Engineering from the University of Michigan and his Ph.D. in Materials Science from the Colorado School of Mines.
He replaces SunPower's current global head of operations, Marty Neese, who is leaving the company for a position in a different sector.
About SunPower As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SOURCE SunPower Corp.
Article Date
2/9/2017SunPower to Announce Fourth-Quarter Results on February 15, 2017
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 1, 2017 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its fourth-quarter 2016 financial results on a conference call on Wednesday, February 15 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on February 15, 2017.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SOURCE SunPower Corp.
Article Date
2/1/2017Bonita Unified School District Lights Campuses with SunPower® Solar
Source: PR Newswire
SAN JOSE and SAN DIMAS, Calif., Jan. 11, 2017 /PRNewswire/ -- Bonita Unified School District (BUSD) and SunPower Corp. (NASDAQ:SPWR) celebrate the near completion of multiple SunPower® Helix™ solar systems across 13 school sites in California's San Gabriel Valley with a community ribbon-cutting event at San Dimas High School today, January 11, 2017, 4 p.m. Pacific Time.
A combination of carports, shade structures and fixed-tilt systems will total 3.9 megawatts. The Helix systems are complete with SunPower® EnergyLink™ software, a comprehensive, powerful energy intelligence software (EIS) for solar which quantifies real-time demand charge savings, and identifies demand peaks and savings opportunities. BUSD expects to save more than $26 million in electricity costs over 30 years by switching to solar.
"The money saved over the next 30 years will be used to support the educational programs of the District," said Assistant Superintendent Ann Sparks. "SunPower was selected because they provide the industry's best power and product warranty, system maintenance, and value pricing. We are very happy to be working with them."
The SunPower® Helix™ systems installed at the school sites are expected to generate more than 6 million kilowatt hours of clean solar energy each year. Over 30 years, this would equate to removing nearly 26,000 cars from the road according to the EPA Greenhouse Gas Equivalencies Calculator. To finance the majority of the project, the District secured U.S. Department of Treasury clean renewable energy bonds (CREBs), which are available to certain entities, primarily in the public sector, to finance renewable energy projects. BUSD also owns the renewable energy credits associated with the systems. About $2 million of the cost will be supplied through Measure AB funds, which voters approved in 2008.
"We're thrilled to celebrate BUSD's commitment to a clean energy future with SunPower's high efficiency, high reliability solar," said Bill Kelly, SunPower vice president. "It's rewarding to see a district like BUSD reduce electricity costs through solar power, while demonstrating the incredible potential of renewable energy to their students, the energy that will power their future."
A leader in delivering innovative energy solutions to California school districts, SunPower has installed more than 135 megawatts in 30 districts. According to the Solar Energy Industries Association (SEIA), this is enough to power 33,750 average California homes.
About Bonita Unified School District
Bonita Unified School District serves 10,230 students from the La Verne, San Dimas, and surrounding communities with comprehensive educational services on thirteen campuses. The District is known for innovative educational practices, strong athletic and arts programs, and successful business practices that have saved taxpayer dollars while still providing a well-rounded education for all students.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2017 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, ENERGYLINK and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
1/11/2017Duke Energy Renewables acquires three California solar projects from SunPower
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
CHARLOTTE, N.C., Jan. 10, 2017 /PRNewswire/ -- Duke Energy Renewables announced today it has acquired three solar power projects from SunPower Corp. totaling 55 megawatts (MW).
The sites include the 20-MW Rio Bravo I, the 20-MW Rio Bravo II, and the 15-MW Wildwood Solar II solar power plants. They are located in Kern County, California, adjacent to two existing solar sites owned by Duke Energy Renewables.
"These solar projects are excellent facilities that increase our solar presence in California by 50 percent," said Rob Caldwell, president, Duke Energy Renewables and Distributed Energy Technology. "As we continue to grow our footprint in the state, we're pleased to provide cost-efficient, sustainable power systems that contribute to California's leadership in renewable energy."
The acquisition was completed in late December, the same month the facilities were placed in service. Southern California Edison is purchasing the power generated by the plants under 20-year agreements.
"Forward-thinking utilities today are diversifying their energy portfolio with increasing amounts of solar capacity," said Ty Daul, SunPower senior vice president, Americas Power Plants. "We are proud to partner with Duke Energy to serve more California customers with affordable, emission free solar power generated from these facilities."
The sites consist of high-efficiency SunPower solar panels. More than 2,600 MW of solar power plants worldwide are using SunPower's leading solar technology.
Duke Energy Renewables growing California operations
In December, Duke Energy Renewables also completed its 20-MW Longboat Solar Power Project in San Bernardino County, California, which was acquired from EDF Renewable Energy and announced in March of 2016.
The following is a summary of Duke Energy Renewables' California solar projects acquired and completed in 2016:
|
Project name Location |
In service |
Size |
Number |
Customer |
|
Rio Bravo I Kern County |
Dec. 2016 |
20 MW |
59,770 |
Southern California |
|
Rio Bravo II Kern County |
Dec. 2016 |
20 MW |
59,770 |
Southern California |
|
Wildwood II Kern County |
Dec. 2016 |
15 MW |
48,200 |
Southern California |
|
Longboat San Bernardino County |
Dec. 2016 |
20 MW |
84,000 |
Southern California |
In addition, Duke Energy Renewables has six other solar power projects in California that began operations prior to 2016:
|
Project name Location |
In service |
Size |
Customer |
|
Sunset Reservoir San Francisco |
Dec. 2010 |
5 MW |
San Francisco Public Utilities |
|
Highlander Twentynine Palms |
June 2013 |
21 MW |
Southern California Edison |
|
Pumpjack Kern County |
Dec. 2014 |
20 MW |
Southern California Edison |
|
Wildwood Kern County |
Dec. 2014 |
20 MW |
Southern California Edison |
|
Seville I Imperial County |
Dec. 2015 |
20 MW |
San Diego Gas & Electric |
|
Seville II Imperial County |
Dec. 2015 |
30 MW |
Imperial Irrigation District |
About Duke Energy Renewables
Duke Energy Renewables, part of Duke Energy's Commercial Portfolio, is a leader in developing innovative wind and solar energy generation projects for customers throughout the United States. The company's growing portfolio of commercial renewable assets includes 20 wind projects and 55 solar facilities in operation in more than a dozen states, totaling about 2,900 megawatts in electric-generating capacity.
Follow Duke Energy (NYSE: DUK) on Twitter, LinkedIn, Instagram and Facebook.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.SunPower.com. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
Contact: Duke Energy, Tammie McGee
800.559.3853
Contact: SunPower, Ingrid Ekstrom
510.260.8368, iekstrom@SunPower.com
SOURCE Duke Energy
Article Date
1/10/201712/21/2016 - Sulphur Springs Valley Electric Cooperative and SunPower Dedicate 20-Megawatt Solar Power Plant
Sulphur Springs Valley Electric Cooperative and SunPower Dedicate 20-Megawatt Solar Power Plant
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SIERRA VISTA, Ariz. and SAN JOSE, Calif., Dec. 21, 2016 /PRNewswire/ -- At an event today in Cochise County, Ariz., Sulphur Springs Valley Electric Cooperative (SSVEC) and SunPower (NASDAQ:SPWR) are dedicating a 20-megawatt (AC) solar photovoltaic power plant that is now generating clean, renewable solar power for customers in SSVEC's service territory.
SSVEC will purchase the power generated by the solar plant under a 20-year power purchase agreement with SunPower. SSVEC is retaining the renewable energy credits associated with the solar plant.
"This SunPower solar power plant supports SSVEC's commitment to our community's economic vitality and a sustainable quality of life, and is expected to help us achieve over 100 percent of our 2025 renewable energy goal, as established by the Arizona Corporation Commission," said SSVEC Chief Executive Officer Creden Huber. "SunPower brings a complete solution to solar power plant development and operation that is proven to maximize energy delivery over the long term, optimizing the cost-effective, emission-free solar power that SSVEC provides its customers."
The plant is anticipated to generate enough electricity to serve the needs of approximately 2,800 average Arizona homes over the next 20 years, based on estimates provided by the Solar Energy Industries Association.
"Today, power generated from solar power plants is cost-competitive with power from traditional, fossil fuel burning plants," said SunPower Senior Vice President Ty Daul. "SunPower commends SSVEC for its leadership in promoting solar power development, and utilizing innovative technology solutions to take full advantage of Arizona's abundant solar resource."
SunPower designed and built a SunPower® Oasis® Power Plant system at the site. The Oasis platform is SunPower's fully integrated, modular solar power block solution for utility-scale solar projects that is designed to optimize land use and is engineered for rapid, cost-effective installation.
The plant includes half a megawatt of the newest generation of the SunPower Oasis platform, just launched in September. Improvements in the Oasis platform design to optimize every system component for seamless operation generate 34 percent more energy density than conventional solar technology over 25 years.
During its six-month construction phase, the project created approximately 120 jobs.
About Sulphur Springs Valley Electric Cooperative
Sulphur Springs Valley Electric Cooperative is a not-for-profit, member-owned distribution cooperative providing electricity to more than 51,000 services over some 4,100 miles of energized line. Located in southeastern Arizona, the cooperative's service territory covers parts of Cochise, Graham, Pima and Santa Cruz Counties and includes the communities of Sierra Vista, Huachuca City, Patagonia, Elfrida, Benson, St. David, Bowie, San Simon, Willcox, Sonoita and Pearce-Sunsites. For more information, go to www.ssvec.org.
About SunPower Corp.
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output and relative generating capacity. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
12/21/201612/12/2016 - From Almonds to Pears to Cherries, Ag Industry Does More with Sunlight Using SunPower's Complete Solar Solutions
From Almonds to Pears to Cherries, Ag Industry Does More with Sunlight Using SunPower's Complete Solar Solutions
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Dec. 12, 2016 /PRNewswire/ -- In California where over one-third of the country's vegetables and two-thirds of the country's fruits and nuts are grown, businesses in the agricultural industry are looking for ways to reduce costs while continuing to deliver high quality products. In one of the nation's sunniest states, farmers, food processers, beverage suppliers and more have used complete solar solutions from SunPower (NASDAQ:SPWR) to save on one of their largest operating expenses: electricity.
Experience the interactive Multimedia News Release here: https://www.multivu.com/players/English/7706154-sunpower-solar-solutions-for-agricultural-industry
One grower-owned almond processor based in the 7-square-mile town of Buttonwillow, Calif., now offsets 90 percent of its electricity costs with a 1-megawatt SunPower® Helix™ system. Golden Empire Shelling can see up to 70 million pounds of almonds roll through its state-of-the-art facility each year. With limited land and water resources in the area, the company chose a solar solution that delivers 29 percent more energy per square foot compared to conventional systems, and can be robotically cleaned with 75 percent less water than manual methods.
"Land and water come at a premium in our valley, so it was imperative that we get the most value out of our over 4-acre solar installation," said John Wynn, general manager of Golden Empire Shelling and 20-year almond industry veteran. "With the cost-competitive solar generated by our SunPower Helix system, Golden Empire Shelling will be able to dramatically reduce electricity costs and our carbon footprint for at least the next 20 years."
Golden Empire Shelling's SunPower Helix system was installed by SunPower by Sun Solar. Celebrating its one year anniversary recently, the Helix platform is the world's first fully-integrated solar solution for commercial customers. Available for installation as a carport, on the roof, or as a ground-mounted technology, the Helix platform is a pre-engineered, modular solution designed to deliver more energy and greater reliability than conventional solar products.
"With our experience providing innovative SunPower® solar solutions and significant savings to ag customers, we were able to design a highly efficient system for Golden Empire Shelling that is expected to meet the needs of their energy intensive operation for years to come," said Jeff Periera, owner of SunPower by Sun Solar, a SunPower master dealer. "With the integrated Helix platform, every component is designed to maximize energy from the sun, perform reliably and take up less space. It's also quick and easy to install which is great for us, and ideal for our customers that have a business to run."
Hundreds of miles away in Lodi, Calif., Rivermaid Trading Co. processes and ships more than 50 percent of the state's pears and eight percent of the state's cherries. With a 1.47-megawatt SunPower system, the company expects to save more than $13 million on electricity costs over the next 25 years.
"Corporations of all sizes are embracing solar energy as a cornerstone of their operations," said Tom Werner, SunPower president and CEO. "In the United States, for example, seven of the top 10 corporate solar users have chosen SunPower. As we continue to innovate with leading efficiency panels and complete solutions, more businesses are realizing the long-term value that reliable, high quality solar technology can offer."
SunPower continues to innovate on products that create even more value for customers. The company's latest generation of the Oasis® power plant designed for large power plant installations, is a complete solution enabling dual use of sites for both electricity and food production. Greater distance between the Oasis tracker rows allows for integrated agricultural activity. SunPower is partnering with University of California, Davis, a global leader in agricultural studies, to evaluate possible crop varieties and yield.
As the number of solar installations increase around the world, the thoughtful integration of solar power systems with agricultural lands and businesses is vitally important for the future of clean energy. Read more about Golden Empire Shelling's solar experience on the SunPower blog here, or how the ag industry is going "From Farm to Table With SunPower Solar" here.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to regulatory changes and the availability of economic incentives promoting use of solar energy, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, HELIX and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
12/12/2016New Energy Solar Acquires Two SunPower Power Plants in California
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SYDNEY and SAN JOSE, Calif., Dec. 11, 2016 /PRNewswire/ -- New Energy Solar and SunPower Corp. (NASDAQ:SPWR) today announced that New Energy Solar has acquired a substantial majority interest in two large-scale solar projects, totalling over 134 megawatts (MW), that SunPower developed, designed and constructed in Kern County, California. SunPower will retain an ownership interest in the projects, which each having a capacity of 67.4 MWs, and provide ongoing operation and maintenance services.
Stanford University has a long-term agreement to purchase 100 percent of the power, as well as the renewable energy credits (RECs), generated from one of the projects, the Stanford Solar Generating Station. Turlock Irrigation District (TID) has a similar agreement to buy the power and RECs generated from the second project, the TID Solar Generating Station.
"We believe the quality of these projects, both in terms of SunPower's leading technology and their highly creditworthy off-takers make them excellent additions to our portfolio," New Energy Solar CEO Tom Kline said. "We are proud to partner with SunPower, one of the most experienced and leading developers and operators of utility-scale solar power."
Both Stanford University and TID will use the renewable power generated in Kern County to serve electricity demand approximately 300 miles away. Projects like these demonstrate the flexibility with which organizations can now take advantage of cost-effective solar power by using larger capacity off-site solar resources to reliably serve a greater percentage of demand.
"Stanford University and TID are using an innovative model called off-site solar to meet their renewable energy goals and serve their constituencies with cost-competitive emission-free solar power," said Nam Nguyen, SunPower senior vice president. "Off-site solar allows for land-constrained organizations to benefit from the economies of scale achieved with larger solar installations. We congratulate New Energy Solar on their leadership in recognizing the value of this model and thank them for their partnership."
At both sites, SunPower installed the SunPower Oasis® Power Plant technology, a fully integrated, modular solar power block that is engineered to rapidly and cost-effectively deploy large solar projects while maximizing power generation and optimizing land use.
Construction of both projects commenced in the middle of 2015. Both facilities are expected to achieve commercial operation this month.
There are more than 2.6 gigawatts of SunPower solar power plants operating worldwide.
New Energy Solar's full investment will occur upon the satisfaction of certain conditions, including, connection to the electrical grid, satisfaction of certain testing criteria, and the projects' commercial operation.
MVP Capital advised New Energy Solar on the transaction, with Foley & Lardner LLP acting as legal counsel for New Energy Solar.
Impact on New Energy Solar
These two projects are expected to generate a five-year average yield of approximately 6.5 percent per annum (before New Energy Solar's impact of borrowing and tax). With the addition of the California projects, New Energy Solar will own a portfolio of over 200MW DC of large scale solar farms underpinned by highly creditworthy off-takers and have a weighted average power purchase agreement term of 17 years.
New Energy Solar's Tom Kline said, "Once our assets in North Carolina and California are fully operational, we estimate the portfolio will generate enough power to supply 52,000 homes and abate an estimated 244,000 tonnes of carbon dioxide annually when compared with a coal-fired alternative plant; the equivalent of taking more than 57,500 cars of the road."
About New Energy Solar
New Energy Solar was established in 2015 as a sustainable investment fund.
New Energy Solar's objective is to help investors generate positive social impacts and financial returns through investment in large-scale solar assets. Financially, these assets are expected to produce stable long-term cash flows, while socially, investing in solar assets may result in significant reduction in emissions (relative to fossil fuel power).
New Energy Solar's initial focus will continue to be on acquiring and maintaining a diversified portfolio of solar energy assets in the US, Australia and select Asian markets, namely investing in large-scale, solar farms with contracted cash flows that generate emissions-free power.
New Energy Solar is an unlisted stapled entity consisting of New Energy Solar Fund (ARSN 609 154 298) and New Energy Solar Limited (ACN 159 902 708). For more information, visit the New Energy Solar website: www.newenergysolar.com.au.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines and projected energy output and allocation. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2016 SunPower Corporation and New Energy Solar. All Rights Reserved. SUNPOWER, SUNPOWER logo and OASIS are registered trademarks of SunPower Corporation in the U.S., Australia and other countries as well.
SOURCE SunPower Corp.
Article Date
12/11/201612/7/2016 - SunPower Announces Restructuring Program
SunPower Announces Restructuring Program
Source: PR Newswire
SAN JOSE, Calif., Dec. 7, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced a broad restructuring program to position the company for long term, sustainable growth.
"As we announced in our third quarter 2016 earnings release, given the current market dislocation, we have made the strategic decision to implement a broad restructuring program to position the company for sustained, long term profitability," said Tom Werner, SunPower president and CEO. "We believe that our restructuring initiatives will enable us to successfully navigate through the current market transition and maximize cash flow while successfully positioning the company for the next phase of industry growth."
The company will implement the following initiatives:
As a result of these initiatives, the company expects to incur total restructuring charges of $225 million to $275 million through the end of 2017 of which approximately 30 percent will be in cash.
"We believe these actions, which are fully supported by our board of directors, are important to position the company for sustained profitability through the current industry transition. We are committed to our diversified go to market strategy, continuing to invest in our industry leading technology and product solutions, reducing our operational and manufacturing cost structure and continuing to allocate resources to those areas that will improve our global competitive position. With solar at grid parity in many markets, we believe the long-term industry opportunity has never been greater," concluded Werner.
"This comprehensive restructuring program will enable us to successfully navigate the current challenging industry conditions while positioning us for success over the long term," said Chuck Boynton, SunPower chief financial officer. "In the short term, we remain focused on improving working capital and maximizing cash flow which will strengthen our balance sheet while providing the resources necessary to fund our strategic growth plans."
Financial Outlook
As a result of its announced and previous initiatives, the company will record restructuring charges of at least $150 million on a GAAP basis in the fourth quarter of 2016. Also, consistent with its focus on increasing cash flow, the company will record a fourth quarter GAAP and non-GAAP charge in the range of $50 million to $55 million as a result of the anticipated sale of above market polysilicon. The company's previously disclosed 2016 fiscal year guidance did not reflect the impact of these two fourth quarter charges.
Additionally, the company is providing the following key financial metrics for 2017.
Revenue of $1.8 billion to $2.3 billion on a GAAP basis and $2.1 billion to $2.6 billion on a non-GAAP basis, non-GAAP operational expenses of less than $350 million, capital expenditures of approximately $100 million, gigawatts (GW) deployed in the range of 1.3 GW to 1.6 GW. Also, the company expects to record GAAP restructuring charges totaling $75 million to $125 million in fiscal year 2017.
Additionally, the company expects to generate positive cash flow from operations through the end of fiscal year 2017 and exit the year with approximately $300 million in cash. The company believes that cash flow and liquidity are the key evaluation metrics for its investors.
The company will host a conference call for investors this morning to discuss its restructuring program and 2017 financial outlook at 5:30 a.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental slides related to today's announcement on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our positioning for future success, long-term profitability, competitive position, and our ability to successfully navigate current market conditions and succeed in the next phase of industry growth; (b) our expectations for the solar industry and the markets we serve, including near-term market conditions, the long-term fundamentals for solar power, and prospects for long-term industry growth; (c) our restructuring and cost reduction plans; (d) our expectations for the timing, success and financial impact of our restructuring and other initiatives, including impact on our balance sheet, long-term cash flow and annual operating and other expenses; (e) our ability to improve working capital, maximize cash flow, reduce costs, balance production with near-term profitable demand, lower inventory, reduce capital expenditures, improve liquidity, allocate investments, appropriately size our manufacturing and fund our strategic plans, and to meet any of our goals in respect of any of the foregoing measures; (f) anticipated restructuring and other accounting charges; and (g) key financial metrics for fiscal year 2017, including GAAP and non-GAAP revenue, operational expenses, capital expenditures and gigawatts deployed. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) appropriately sizing our manufacturing capacity and containing manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; (10) fluctuations or declines in the performance of our solar panels and other products and solutions; (11) our ability to identify and successfully implement concrete actions to meet our cost reduction targets, reduce capital expenditures, and implement our planned restructuring initiatives, including the planned realignment of our manufacturing operations and power plant segment; and (12) the outcomes of previously disclosed litigation. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, HELIX and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other marks are the property of their respective owners.
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
For more information about this non-GAAP financial measure as well as other non-GAAP financial measures used by the company, please see the company's Current Report on Form 8-K filed on November 9, 2016, and the table captioned "FY 2017 Guidance" set forth at the end of this release.
|
FY 2017 GUIDANCE |
Fiscal 2017 |
|
Revenue (GAAP) |
$1,800,000-$2,300,000 |
|
Revenue (non-GAAP) (1) |
$2,100,000-$2,600,000 |
Estimated non-GAAP amounts above for fiscal 2017 include net adjustments that increase revenue by approximately $300 million related to sale-leaseback transactions.
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
12/7/201612/1/2016 - SunPower to Provide Business Update
SunPower to Provide Business Update
Source: PR Newswire
SAN JOSE, Calif., Dec. 1, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will provide an update on its business on a conference call on Wednesday, December 7 at 5:30 a.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 5:00 a.m. Pacific Time on December 7, 2016.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
12/1/2016West Contra Costa Unified School District Goes Solar with SunPower
Source: PR Newswire
RICHMOND, Calif. and SAN JOSE, Calif., Nov. 21, 2016 /PRNewswire/ -- West Contra Costa Unified School District (WCCUSD) and SunPower Corp. (NASDAQ:SPWR) will begin construction of SunPower® Helix™ solar systems at 34 school sites in the East Bay region of the San Francisco Bay Area. The solar installations will include carports, shade structures and rooftop systems and will be constructed over the next year, with the first phase being operational in January.
The SunPower Helix systems will generate approximately 6.3 megawatts (MW) of clean power and are estimated to provide WCCUSD with more than $53 million in electricity savings over the next 25 years. On completion, SunPower estimates that 76 percent of the participating schools' electricity will be provided through the SunPower Helix carport systems. WCCUSD will buy power at a competitive rate under a power purchase agreement (PPA) with SunPower and will own the renewable energy credits associated with the systems.
"Installing solar aligns with our Green School Initiative, which emphasizes energy efficiency and reduced energy consumption. We'll be able to significantly reduce our energy costs and redirect those dollars toward other District priorities that benefit students," WCCUSD Superintendent Matt Duffy said. "Having solar at school sites also creates additional opportunities to focus on green education, environmental responsibility and clean energy, exposing our students to even more STEM-related curriculum and concepts."
"With many employees living in the district, we're thrilled that WCCUSD has chosen SunPower for their renewable energy needs. The district will gain significant value for many years to come through the combination of a power purchase agreement and the SunPower Helix systems," said Bill Kelly, SunPower vice president. "Districts are challenged to make the most of limited resources, so reducing electricity costs through innovative solutions, while at the same time letting students experience the great potential of solar power, is a win-win."
SunPower will install solar panels using SunPower's high efficiency interdigitated back contact (IBC) cell technology, the most efficient on the market today. SunPower's E-Series and X-Series DC solar panels are the world's first and only solar panels to achieve Cradle to Cradle Certified™ Silver designation for the sustainable practices and materials used in their manufacturing.
A leader in delivering innovative energy solutions to California school districts, SunPower has installed more than 135 megawatts in 30 districts. According to the Solar Energy Industries Association (SEIA), this is enough to power 33,750 average California homes.
SunPower goes the extra mile from industry-leading solar solutions to life-changing educational experiences. Committed to help inspire and educate the next generation of energy leaders, SunPower delivers a hands-on educational opportunity, the SunPower Horizons™ program, design to spark students' curiosity about science and technology, while giving them the tools they need for success in any academic pursuit. Specifically, SunPower hosted more than 35 students and 12 teachers from the West Contra Costa Unified School District in the popular Summer Solar Energy Academy, awarded a grant in 2014 for science, technology, engineering and mathematics (STEM) curriculum enhancements, and currently mentors and provides paid internships to students who are active on Richmond High School's award-winning robotics team.
About West Contra Costa Unified School District
West Contra Costa Unified School District serves a diverse student population of some 29,000 students at 52 schools in the East Bay region of the San Francisco Bay Area. The belief that all students can achieve at high levels of proficiency and that the effects of institutionalized racism can be mitigated is central to how equity is viewed in the District. As a Full Service Community Schools district, WCCUSD works with its community partners to provide the resources necessary to achieve educational success, well-being and self-efficacy for students, families and communities. Among other initiatives, the District has embarked on ensuring that every school has a college-going culture supported by the resources necessary to ensure that students are eligible for, and successful at the college of his or her choice. For more information, visit the District website, Facebook, Instagram or Twitter.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER HORIZONS and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
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SOURCE SunPower Corp.
Article Date
11/21/2016Southern Company subsidiary acquires the Boulder Solar I Facility in Nevada
Source: PR Newswire
ATLANTA, Nov. 17, 2016 /PRNewswire/ -- Southern Company subsidiary Southern Power and SunPower Corp. today announced that Southern Power has acquired a controlling interest in the 100-megawatt (MW) Boulder Solar I Facility in Nevada from SunPower, which will own the remaining interest in the project.
"Our recent acquisition of the Boulder Solar I Facility underscores Southern Power's growing success in acquiring and developing utility-scale solar across the United States," said Southern Power President and CEO Buzz Miller. "This project aligns with our business model as we strategically develop our renewable portfolio."
The Boulder Solar I Facility is located in Clark County, approximately 20 miles southeast of Las Vegas. Southern Power co-owns two additional solar facilities in Nevada, the 20-MW Apex Solar Facility and the 30-MW Spectrum Solar Facility.
"With over 30 years' experience and more than 2.6 gigawatts of innovative solar power plants operating around the world, SunPower is a global leader driving the adoption of reliable, cost-effective solar power at utility scale," said Ty Daul, SunPower Senior Vice President, Americas Power Plants. "We are proud to partner with Southern Power to deliver long-term value to Nevada customers through the Boulder Solar I Facility."
Construction of Boulder Solar I began in January 2016 and the facility is expected to begin commercial operation in December 2016. SunPower developed, designed and constructed the plant, and will operate and maintain it upon completion. NV Energy will purchase the electricity and associated portfolio energy credits generated by the facility under a 20-year power purchase agreement. Boulder Solar I operates using SunPower® Oasis® Power Plant technology, a fully integrated, modular solar power block that is engineered to rapidly and cost-effectively deploy large solar projects that maximize power generation while optimizing land use.
With the addition of the Boulder Solar I Facility, Southern Power owns more than 2,700 MW of renewable generation from 33 solar, wind and biomass facilities either announced, acquired or under construction. In total, the Southern Company system has added or announced more than 4,000 MW of renewable generation since 2012.
The Boulder Solar I project fits Southern Power's business strategy of growing its wholesale business through the acquisition and construction of generating assets substantially covered by long-term contracts.
About Southern Power
Southern Power, a subsidiary of Southern Company, is a leading U.S. wholesale energy provider meeting the electricity needs of municipalities, electric cooperatives, investor-owned utilities and other energy customers. Southern Power and its subsidiaries own or have the rights to 43 facilities operating or under construction in 11 states with more than 12,000 MW of generating capacity in Alabama, California, Florida, Georgia, Maine, Minnesota, Nevada, New Mexico, North Carolina, Oklahoma and Texas.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Southern Company
Southern Company (NYSE: SO) is America's premier energy company, with 44,000 MW of generating capacity and 1,500 billion cubic feet of combined natural gas consumption and throughput volume serving 9 million electric and gas utility customers through its subsidiaries. The company provides clean, safe, reliable and affordable energy through electric utilities in four states, natural gas distribution utilities in seven states, a competitive generation company serving wholesale customers across America and a nationally recognized provider of customized energy solutions, as well as fiber optics and wireless communications. Southern Company brands are known for excellent customer service, high reliability and affordable prices that are below the national average. Through an industry-leading commitment to innovation, Southern Company and its subsidiaries are inventing America's energy future by developing the full portfolio of energy resources, including carbon-free nuclear, 21st century coal, natural gas, renewables and energy efficiency, and creating new products and services for the benefit of customers. Southern Company has been named by the U.S. Department of Defense and G.I. Jobs magazine as a top military employer, recognized among the Top 50 Companies for Diversity by DiversityInc, listed by Black Enterprise magazine as one of the 40 Best Companies for Diversity and designated a Top Employer for Hispanics by Hispanic Network. The company has earned a National Award of Nuclear Science and History from the National Atomic Museum Foundation for its leadership and commitment to nuclear development and is continually ranked among the top utilities in Fortune's annual World's Most Admired Electric and Gas Utility rankings. Visit our website at www.southerncompany.com.
Cautionary Notes Regarding Forward-Looking Statements:
Certain information contained in this release is forward-looking information based on current expectations and plans that involve risks and uncertainties. Forward-looking information includes, among other things, statements concerning the construction and subsequent operation of the Boulder Solar I Facility. Southern Company and Southern Power caution that there are certain factors that can cause actual results to differ materially from the forward-looking information that has been provided. The reader is cautioned not to put undue reliance on this forward-looking information, which is not a guarantee of future performance and is subject to a number of uncertainties and other factors, many of which are outside the control of Southern Company and Southern Power; accordingly, there can be no assurance that such suggested results will be realized. The following factors, in addition to those discussed in each of Southern Company's and Southern Power's Annual Reports on Form 10-K for the year ended December 31, 2015, and subsequent securities filings, could cause actual results to differ materially from management expectations as suggested by such forward-looking information: the ability to control costs and avoid cost overruns during the development and construction of generating facilities, to construct facilities in accordance with the requirements of permits and licenses, and to satisfy any operational and environmental performance standards, including the requirements of tax credits and other incentives; and potential business strategies, including acquisitions or dispositions of assets or businesses, which cannot be assured to be completed or beneficial to Southern Company or Southern Power. Southern Company and Southern Power expressly disclaim any obligation to update any forward-looking information.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges inherent in constructing and maintaining certain of our large projects. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2016 Southern Company and SunPower Corporation. SUNPOWER, the SUNPOWER logo and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE Southern Company
Article Date
11/17/201611/9/2016 - SunPower Announces Executive Team Change
SunPower Announces Executive Team Change
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Nov. 9, 2016 /PRNewswire/ -- SunPower Corporation (NASDAQ:SPWR), a leading solar technology and energy services provider, today announced that Howard Wenger, president of Business Units, will be leaving the company during the next six months.
Wenger, a known leader in solar for more than 30 years, has been an executive officer at the company for almost 10 years. He was on the executive team and board of directors of PowerLight Corporation, which was acquired by SunPower in 2007. Wenger helped SunPower establish a residential business, pioneer a large scale solar business, and expand the company's global reach, entering new markets for solar. He will remain with SunPower in his current role for a period of time and ultimately as an advisor to the company to ensure a smooth transition.
"The work that Howard has done, not only at SunPower, but for the industry, has dramatically impacted how solar is utilized, sold and viewed," said Tom Werner, SunPower president and chief executive officer. "Howard helped us blaze a trail in many ways, including building different solar business segments globally, as well as leading the transition of the company to deliver complete solutions for our customers. I appreciate his dedication and commitment to helping us change the way our world is powered."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
11/9/201611/9/2016 - SunPower Reports Third Quarter 2016 Results
SunPower Reports Third Quarter 2016 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Nov. 9, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) today announced financial results for its third quarter ended October 2, 2016 and significant cost reduction initiatives to position the company for sustained profitability.
|
($ Millions, except percentages and per-share data) |
3rd Quarter 2016 |
2nd Quarter 2016 |
3rd Quarter 2015 |
|
GAAP revenue |
$729.3 |
$420.5 |
$380.2 |
|
GAAP gross margin |
17.7% |
9.8% |
16.5% |
|
GAAP net loss |
($40.5) |
($70.0) |
($56.3) |
|
GAAP net loss per diluted share |
($0.29) |
($0.51) |
($0.41) |
|
Non-GAAP revenue1 |
$770.1 |
$401.8 |
$441.4 |
|
Non-GAAP gross margin1 |
20.0% |
13.1% |
17.7% |
|
Non-GAAP net income (loss)1 |
$97.0 |
($30.1) |
$20.5 |
|
Non-GAAP net income (loss) per diluted share1 |
$0.68 |
($0.22) |
$0.13 |
|
Adjusted EBITDA1 |
$148.2 |
$29.9 |
$54.2 |
|
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"Our solid third quarter results reflect continued execution of our diversified downstream strategy as we met or exceeded our key financial targets for the quarter," said Tom Werner, SunPower president and CEO. "During the quarter, we continued to see strong demand for our SunPower Equinox residential complete solution while further building out our Helix™ solution footprint in the commercial space. We also executed on our construction commitments in our power plant segment, including the sale of our 49 percent ownership stake in our 102-megawatt (MW) Henrietta project to 8point3™ Energy Partners, and launched our third-generation Oasis® power plant complete solution that seamlessly integrates both hardware and software to maximize energy production at a given site. Operationally, we met our goals on yield and panel output and are pleased with the ramp of our P-Series product which benefits from the decline in industry cell pricing.
"While prospects for long term solar industry growth remain strong, we are seeing a significant near term market dislocation in the solar market that we expect will impact our financial performance through 2017. Our core strategy of developing innovative, complete customer solutions based on differentiated technology and deploying these solutions across a diversified portfolio of applications and geographic markets remains unchanged. However, given the current market environment, we have made the decision to implement a companywide cost reduction program, along with other proactive strategic initiatives, to focus on improving cash flow through the current market dislocation while positioning the company to succeed in the next phase of industry growth. We intend to conclude our cost reduction analysis in the near future and will formally announce our restructuring program on December 7, 2016."
The company will implement the following initiatives:
SunPower will host a conference call on December 7, 2016 to provide additional details related to the cost initiatives listed above, estimated charges related to its expected restructuring program and to provide 2017 guidance.
Total and SunPower have also agreed to deepen their solar market cooperation through a number of strategic initiatives, including the signing of a four-year, up to 200-MW supply agreement to support the solarization of Total facilities around the world. This agreement covers the supply of 150 MW of E-series panels with an option to purchase up to another 50 MW of P-Series panels, and includes pre-payment in the amount of approximately $90 million. Also, the companies are currently in discussions to expand their global power plant partnership to include potential Total project ownership opportunities in such markets as Japan, South Africa and France.
"With this cost reduction program, as well as continued strong support from Total, we believe we will be able to reduce our cost structure, more prudently allocate our product and technology investments, appropriately size our manufacturing to balance production with near term demand, and improve cash flow," continued Werner. "Combined with our realignment initiatives announced last quarter, we believe we will be well positioned for sustained profitability when market conditions improve."
"While we are pleased with our third quarter performance, we felt it was important to be proactive in positioning the company to address the difficult near term industry conditions," said Chuck Boynton, SunPower chief financial officer. "We are very focused on prudently managing our working capital and maximizing cost reduction to improve cash flow and fund our strategic plans. We believe that these initiatives will position us well to capitalize on long term industry growth."
Additionally, third quarter fiscal 2016 non-GAAP results include net adjustments that, in the aggregate, decreased non-GAAP net loss by $137.6 million, including $19.3 million related to 8point3 Energy Partners, $2.1 million related to sale of operating lease assets, $15.9 million related to stock-based compensation expense, $3.0 million related to amortization of intangible assets, $57.8 million related to goodwill impairment, $31.2 million related to restructuring expense, $0.6 million related to other adjustments, and $7.7 million related to tax effect.
Financial Outlook
As a result of near-term industry conditions and its announced cost reduction program, the company is updating its 2016 financial guidance. Specifically, the company continues to expect above market growth in its residential business but anticipates a slight moderation of the previously forecasted rate of this growth in this segment for the fourth quarter. Additionally, fourth quarter performance in the commercial segment will be impacted by the timing of certain public sector projects which have been delayed until the first half of 2017. In power plant, the pricing environment remains challenging and the company's focus is to deliver more than 400 MW of committed projects by the end of 2016. Operationally, the company expects its fiscal year 2016 performance to reflect higher than expected factory underutilization charges resulting from additional capacity reductions as well as the impact from its current cost reduction initiatives.
On a GAAP basis, the company now expects 2016 revenue of $2.43 billion to $2.63 billion, gross margin of 8 percent to 10 percent and net loss of $295 million to $320 million. Fiscal year 2016 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting, but excludes the impact of any charges related to the company's planned cost reduction initiatives.
The company's updated 2016 non-GAAP financial guidance is as follows: revenue of $2.6 billion to $2.8 billion, gross margin of 9 percent to 11 percent, Adjusted EBITDA of $185 million to $210 million, capital expenditures of $220 million to $240 million and gigawatts (GW) deployed in the range of 1.325 GW to 1.355 GW.
The company's fourth quarter fiscal 2016 GAAP guidance is as follows: revenue of $0.9 billion to $1.1 billion, gross margin of zero percent to 2 percent and net loss of $100 million to $125 million. Fourth quarter 2016 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting, but excludes the impact of any charges related to the company's planned cost reduction initiatives. On a non-GAAP basis, the company expects revenue of $1.0 billion to $1.2 billion, gross margin of 1 percent to 3 percent, Adjusted EBITDA of $0 to $25 million and megawatts deployed in the range of 235 MW to 265 MW.
In light of the circumstances noted above, the company's previously issued 2017 guidance should no longer be considered current. The company expects to issue revised 2017 guidance once its restructuring proposal is finalized and announced in December.
The company will host a conference call for investors this afternoon to discuss its third quarter 2016 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its third quarter 2016 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our positioning for future success, gains in market share, competitive advantage, and our ability to succeed in the next phase of industry growth and profitably capitalize on future market growth; (b) our expectations for the solar industry and the markets we serve, including near-term market conditions, the long-term fundamentals for solar power, and prospects for long-term industry growth; (c) our plans to develop and implement a company-wide cost reduction program; (d) our expectations for the timing, success and financial impact of our planned cost reduction and other initiatives, and our expected restructuring program, including impact on our balance sheet, long-term cash flow and annual operating expenses; (e) our ability to reduce costs, match capacity to profitable demand, lower inventory, improve cash flow, reduce capital expenditures, improve liquidity, allocate investments, appropriately size our manufacturing, manage our working capital, and fund our strategic plans, and to meet any of our goals in respect of any of the foregoing measures; (f) our project pipeline; (g) 8point3's role within our company strategy; (h) the ramp of our Helix solution and P-Series products; (i) our ability to productively expand our cooperation and partnership with Total; (j) our fourth quarter fiscal 2016 guidance, including GAAP revenue, gross margin, and net income (loss), as well as non-GAAP revenue, gross margin, Adjusted EBITDA, and MW deployed; and (k) full year fiscal 2016 guidance, including GAAP revenue, gross margin and net loss, as well as non-GAAP revenue, gross margin, capital expenditures, Adjusted EBITDA, and gigawatts deployed. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) maintaining or increasing our manufacturing capacity and containing manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; (10) fluctuations or declines in the performance of our solar panels and other products and solutions; (11) our ability to identify and successfully implement concrete actions to meet our cost reduction targets, reduce capital expenditures, and implement the planned realignment of our manufacturing operations and power plant segment; and (12) the outcomes of previously disclosed litigation. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, HELIX and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Other marks are the property of their respective owners.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Oct. 2, |
Jan. 3, | ||
|
2016 |
2016 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 383,868 |
$ 954,528 | |
|
Restricted cash and cash equivalents, current portion |
27,476 |
24,488 | |
|
Accounts receivable, net |
223,836 |
190,448 | |
|
Costs and estimated earnings in excess of billings |
25,399 |
38,685 | |
|
Inventories |
447,114 |
382,390 | |
|
Advances to suppliers, current portion |
72,968 |
85,012 | |
|
Project assets - plants and land, current portion |
828,842 |
479,452 | |
|
Prepaid expenses and other current assets |
336,683 |
359,517 | |
|
Total current assets |
2,346,186 |
2,514,520 | |
|
Restricted cash and cash equivalents, net of current portion |
51,615 |
41,748 | |
|
Restricted long-term marketable securities |
- |
6,475 | |
|
Property, plant and equipment, net |
1,125,014 |
731,230 | |
|
Solar power systems leased and to be leased, net |
618,755 |
531,520 | |
|
Project assets - plants and land, net of current portion |
111,282 |
5,072 | |
|
Advances to suppliers, net of current portion |
241,126 |
274,085 | |
|
Long-term financing receivables, net |
471,334 |
334,791 | |
|
Goodwill and other intangible assets, net |
46,965 |
119,577 | |
|
Other long-term assets |
84,393 |
297,975 | |
|
Total assets |
$ 5,096,670 |
$ 4,856,993 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 515,775 |
$ 514,654 | |
|
Accrued liabilities |
280,032 |
313,497 | |
|
Billings in excess of costs and estimated earnings |
99,465 |
115,739 | |
|
Short-term debt |
535,226 |
21,041 | |
|
Customer advances, current portion |
12,669 |
33,671 | |
|
Total current liabilities |
1,443,167 |
998,602 | |
|
Long-term debt |
455,769 |
478,948 | |
|
Convertible debt |
1,112,813 |
1,110,960 | |
|
Customer advances, net of current portion |
296 |
126,183 | |
|
Other long-term liabilities |
656,013 |
564,557 | |
|
Total liabilities |
3,668,058 |
3,279,250 | |
|
Redeemable noncontrolling interests in subsidiaries |
102,242 |
69,104 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
138 |
137 | |
|
Additional paid-in capital |
2,407,764 |
2,359,917 | |
|
Accumulated deficit |
(943,563) |
(747,617) | |
|
Accumulated other comprehensive loss |
(12,847) |
(8,023) | |
|
Treasury stock, at cost |
(176,219) |
(155,265) | |
|
Total stockholders' equity |
1,275,273 |
1,449,149 | |
|
Noncontrolling interests in subsidiaries |
51,097 |
59,490 | |
|
Total equity |
1,326,370 |
1,508,639 | |
|
Total liabilities and equity |
$ 5,096,670 |
$ 4,856,993 | |
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
|
(In thousands, except per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
Revenue: |
||||||||||
|
Residential |
$ 170,345 |
$ 177,715 |
$ 163,563 |
$ 499,867 |
$ 471,092 | |||||
|
Commercial |
139,954 |
97,846 |
84,983 |
290,041 |
197,030 | |||||
|
Power Plant |
419,047 |
144,891 |
131,672 |
744,765 |
533,987 | |||||
|
Total revenue |
729,346 |
420,452 |
380,218 |
1,534,673 |
1,202,109 | |||||
|
Cost of revenue: |
||||||||||
|
Residential |
138,836 |
138,959 |
126,411 |
395,955 |
366,162 | |||||
|
Commercial |
132,618 |
89,523 |
72,337 |
267,367 |
178,059 | |||||
|
Power Plant |
328,684 |
150,676 |
118,826 |
649,312 |
433,545 | |||||
|
Total cost of revenue |
600,138 |
379,158 |
317,574 |
1,312,634 |
977,766 | |||||
|
Gross margin |
129,208 |
41,294 |
62,644 |
222,039 |
224,343 | |||||
|
Operating expenses: |
||||||||||
|
Research and development |
28,153 |
31,411 |
24,973 |
92,270 |
66,701 | |||||
|
Selling, general and administrative |
80,070 |
84,683 |
81,109 |
262,544 |
239,843 | |||||
|
Restructuring charges |
31,202 |
117 |
726 |
31,415 |
6,056 | |||||
|
Total operating expenses |
139,425 |
116,211 |
106,808 |
386,229 |
312,600 | |||||
|
Operating loss |
(10,217) |
(74,917) |
(44,164) |
(164,190) |
(88,257) | |||||
|
Other income (expense), net: |
||||||||||
|
Interest income |
630 |
806 |
448 |
2,133 |
1,498 | |||||
|
Interest expense |
(15,813) |
(13,950) |
(8,796) |
(42,644) |
(32,994) | |||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
203,252 |
- |
- |
203,252 |
- | |||||
|
Loss on equity method investment in connection with acquisition |
(90,946) |
- |
- |
(90,946) |
- | |||||
|
Goodwill impairment |
(147,365) |
- |
- |
(147,365) |
- | |||||
|
Other, net |
(5,169) |
(5,822) |
(3,601) |
(17,223) |
8,761 | |||||
|
Other expense, net |
(55,411) |
(18,966) |
(11,949) |
(92,793) |
(22,735) | |||||
|
Loss before income taxes and equity in earnings of unconsolidated investees |
(65,628) |
(93,883) |
(56,113) |
(256,983) |
(110,992) | |||||
|
Provision for income taxes |
(7,049) |
(6,648) |
(36,224) |
(16,878) |
(37,916) | |||||
|
Equity in earnings of unconsolidated investees |
16,770 |
8,350 |
5,052 |
24,356 |
9,107 | |||||
|
Net loss |
(55,907) |
(92,181) |
(87,285) |
(249,505) |
(139,801) | |||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
15,362 |
22,189 |
30,959 |
53,559 |
80,403 | |||||
|
Net loss attributable to stockholders |
$ (40,545) |
$ (69,992) |
$ (56,326) |
$ (195,946) |
$ (59,398) | |||||
|
Net loss per share attributable to stockholders: |
||||||||||
|
- Basic |
$ (0.29) |
$ (0.51) |
$ (0.41) |
$ (1.42) |
$ (0.44) | |||||
|
- Diluted |
$ (0.29) |
$ (0.51) |
$ (0.41) |
$ (1.42) |
$ (0.44) | |||||
|
Weighted-average shares: |
||||||||||
|
- Basic |
138,209 |
138,084 |
136,473 |
137,832 |
134,294 | |||||
|
- Diluted |
138,209 |
138,084 |
136,473 |
137,832 |
134,294 | |||||
|
SUNPOWER CORPORATION | |||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
|
(In thousands) | |||||||||
|
(Unaudited) | |||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | ||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | |||||
|
2016 |
2016 |
2015 |
2016 |
2015 | |||||
|
Cash flows from operating activities: |
|||||||||
|
Net loss |
$ (55,907) |
$ (92,181) |
$ (87,285) |
$ (249,505) |
$ (139,801) | ||||
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|||||||||
|
Depreciation and amortization |
39,827 |
40,898 |
37,364 |
122,842 |
97,369 | ||||
|
Stock-based compensation |
15,907 |
16,475 |
14,898 |
48,902 |
42,484 | ||||
|
Non-cash interest expense |
308 |
309 |
517 |
963 |
5,768 | ||||
|
Non-cash restructuring charges |
17,926 |
- |
- |
17,926 |
- | ||||
|
Gain on settlement of preexisting relationships in connection with acquisition |
(203,252) |
- |
- |
(203,252) |
- | ||||
|
Loss on equity method investment in connection with acquisition |
90,946 |
- |
- |
90,946 |
- | ||||
|
Goodwill impairment |
147,365 |
- |
- |
147,365 |
- | ||||
|
Equity in earnings of unconsolidated investees |
(16,770) |
(8,350) |
(5,052) |
(24,356) |
(9,107) | ||||
|
Excess tax benefit from stock-based compensation |
(1,222) |
- |
(18,363) |
(1,222) |
(25,090) | ||||
|
Deferred income taxes |
1,210 |
2,018 |
26,115 |
2,059 |
25,748 | ||||
|
Gain on sale of residential lease portfolio to 8point3 Energy Partners LP |
- |
- |
- |
- |
(27,915) | ||||
|
Other, net |
2,006 |
909 |
563 |
3,805 |
1,940 | ||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||||||
|
Accounts receivable |
(13,268) |
(35,856) |
226,900 |
(36,563) |
292,102 | ||||
|
Costs and estimated earnings in excess of billings |
7,278 |
23,826 |
9,380 |
13,579 |
148,018 | ||||
|
Inventories |
13,901 |
(96,799) |
(56,427) |
(101,146) |
(187,153) | ||||
|
Project assets |
(1,262) |
(254,007) |
(188,073) |
(434,645) |
(499,847) | ||||
|
Prepaid expenses and other assets |
21,316 |
93,743 |
(16,785) |
70,025 |
12,640 | ||||
|
Long-term financing receivables, net |
(41,424) |
(51,108) |
(39,160) |
(136,543) |
(108,418) | ||||
|
Advances to suppliers |
4,434 |
28,656 |
4,706 |
45,003 |
29,800 | ||||
|
Accounts payable and other accrued liabilities |
(156,279) |
82,051 |
8,608 |
(144,202) |
(62,921) | ||||
|
Billings in excess of costs and estimated earnings |
7,170 |
(49,915) |
(13,298) |
(15,879) |
(3,968) | ||||
|
Customer advances |
(8,556) |
(760) |
(8,527) |
(14,440) |
(21,009) | ||||
|
Net cash used in operating activities |
(128,346) |
(300,091) |
(103,919) |
(798,338) |
(429,360) | ||||
|
Cash flows from investing activities: |
|||||||||
|
Decrease (increase) in restricted cash and cash equivalents |
(10,108) |
(941) |
748 |
(12,855) |
(27,659) | ||||
|
Purchases of property, plant and equipment |
(56,151) |
(46,280) |
(63,574) |
(149,475) |
(132,352) | ||||
|
Cash paid for solar power systems, leased and to be leased |
(18,261) |
(22,918) |
(22,587) |
(64,417) |
(64,419) | ||||
|
Cash paid for solar power systems |
- |
(2,282) |
- |
(2,282) |
(10,007) | ||||
|
Proceeds from sales or maturities of marketable securities |
6,210 |
- |
- |
6,210 |
- | ||||
|
Proceeds from (payments to) 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
- |
130 |
22,754 |
(9,838) |
363,928 | ||||
|
Cash paid for acquisitions, net of cash acquired |
(24,003) |
- |
(59,021) |
(24,003) |
(59,021) | ||||
|
Cash paid for investments in unconsolidated investees |
(737) |
(557) |
3,000 |
(11,046) |
(4,092) | ||||
|
Cash paid for intangibles |
- |
- |
(2,875) |
- |
(3,401) | ||||
|
Net cash provided by (used in) investing activities |
(103,050) |
(72,848) |
(121,555) |
(267,706) |
62,977 | ||||
|
Cash flows from financing activities: |
|||||||||
|
Cash paid for repurchase of convertible debt |
- |
- |
(79) |
- |
(324,352) | ||||
|
Proceeds from settlement of 4.50% Bond Hedge |
- |
- |
- |
- |
74,628 | ||||
|
Payments to settle 4.50% Warrants |
- |
- |
- |
- |
(574) | ||||
|
Repayment of bank loans and other debt |
(7,685) |
(162) |
(38) |
(15,572) |
(15,857) | ||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
89,634 |
24,889 |
27,834 |
142,862 |
82,664 | ||||
|
Repayment of non-recourse residential financing |
(34,541) |
(1,101) |
(256) |
(36,707) |
(41,058) | ||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
34,558 |
33,083 |
41,796 |
91,723 |
133,732 | ||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(6,514) |
(1,596) |
(2,223) |
(13,419) |
(6,790) | ||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
168,794 |
354,052 |
21,356 |
602,286 |
229,066 | ||||
|
Repayment of non-recourse power plant and commercial financing |
(220,186) |
(51) |
- |
(257,538) |
(226,578) | ||||
|
Proceeds from 8point3 Energy Partners LP attributable to operating leases and unguaranteed sales-type lease residual values |
- |
- |
- |
- |
29,300 | ||||
|
Proceeds from exercise of stock options |
- |
- |
289 |
- |
467 | ||||
|
Excess tax benefit from stock-based compensation |
1,222 |
- |
18,363 |
1,222 |
25,090 | ||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(1,282) |
(795) |
(2,081) |
(20,953) |
(42,407) | ||||
|
Net cash provided by (used in) financing activities |
24,000 |
408,319 |
104,961 |
493,904 |
(82,669) | ||||
|
Effect of exchange rate changes on cash and cash equivalents |
1,173 |
(467) |
351 |
1,480 |
(4,242) | ||||
|
Net increase (decrease) in cash and cash equivalents |
(206,223) |
34,913 |
(120,162) |
(570,660) |
(453,294) | ||||
|
Cash and cash equivalents, beginning of period |
590,091 |
555,178 |
623,043 |
954,528 |
956,175 | ||||
|
Cash and cash equivalents, end of period |
$ 383,868 |
$ 590,091 |
$ 502,881 |
$ 383,868 |
$ 502,881 | ||||
|
Non-cash transactions: |
|||||||||
|
Assignment of residential lease receivables to third parties |
$ 1,246 |
$ 1,379 |
$ 1,053 |
$ 3,722 |
$ 2,742 | ||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
14,092 |
14,806 |
16,867 |
43,983 |
47,295 | ||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
6,226 |
6,282 |
8,229 |
6,226 |
8,229 | ||||
|
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets |
- |
7,375 |
- |
7,375 |
6,076 | ||||
|
Property, plant and equipment acquisitions funded by liabilities |
85,994 |
73,247 |
43,083 |
85,994 |
43,083 | ||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
34,862 |
- |
5,061 |
43,588 |
5,061 | ||||
|
Exchange of receivables for an investment in an unconsolidated investee |
- |
2,890 |
- |
2,890 |
- | ||||
|
Sale of residential lease portfolio in exchange for non-controlling equity interests in the 8point3 Group |
- |
- |
- |
- |
68,273 | ||||
|
Acquisition of intangible assets funded by liabilities |
- |
- |
6,512 |
- |
6,512 | ||||
|
Acquisition funded by liabilities |
100,550 |
- |
- |
100,550 |
- | ||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income; net income per diluted share; and adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. In addition to those same adjustments, Non-GAAP gross margin includes adjustments relating to stock-based compensation, amortization of intangible assets, non-cash interest expense, and FPSC arbitration ruling, each as described below. In addition to those same adjustments, non-GAAP net income and non-GAAP net income per diluted share are adjusted for adjustments relating to restructuring expense, goodwill impairment, IPO-related costs, other items, and the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income, Adjusted EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
The company's non-GAAP results include adjustments to recognize revenue and profit under IFRS that are consistent with the adjustments made in connection with the company's reporting process as part of its status as a consolidated subsidiary of Total S.A., a foreign public registrant which reports under IFRS. Differences between GAAP and IFRS reflected in the company's non-GAAP results are further described below. In these situations, management believes that IFRS enables investors to better evaluate the company's revenue and profit generation performance, and assists in aligning the perspectives of our management and noncontrolling shareholders with those of Total S.A., our controlling shareholder.
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. With certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting guidance depending upon the nature of the individual asset contributed, with outcomes ranging from no, partial, or full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations. Equity in earnings of unconsolidated investees also includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
|
(In thousands, except percentages and per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
Adjustments to Revenue: |
||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP revenue |
$ 729,346 |
$ 420,452 |
$ 380,218 |
$ 1,534,673 |
$ 1,202,109 | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
33,301 |
(1,400) |
59,619 |
16,727 |
59,619 | |||||
|
Utility and power plant projects |
37 |
(40,085) |
1,567 |
13,490 |
(13,016) | |||||
|
Sale of operating lease assets |
7,424 |
10,183 |
- |
28,010 |
- | |||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
12,646 |
- | |||||
|
Non-GAAP revenue |
$ 770,108 |
$ 401,796 |
$ 441,404 |
$ 1,605,546 |
$ 1,248,712 | |||||
|
Adjustments to Gross margin: |
||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP gross margin |
$ 129,208 |
$ 41,294 |
$ 62,644 |
$ 222,039 |
$ 224,343 | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
13,788 |
(210) |
18,296 |
8,936 |
18,296 | |||||
|
Utility and power plant projects |
47 |
4,128 |
(516) |
7,732 |
(16,095) | |||||
|
Sale of operating lease assets |
2,085 |
2,966 |
- |
8,163 |
- | |||||
|
Sale-leaseback transactions |
85 |
2,988 |
- |
3,073 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
6,029 |
5,464 |
4,210 |
15,618 |
10,035 | |||||
|
Amortization of intangible assets |
2,567 |
1,530 |
601 |
5,111 |
601 | |||||
|
Non-cash interest expense |
283 |
284 |
487 |
886 |
1,646 | |||||
|
Arbitration ruling |
- |
(5,852) |
(7,500) |
(5,852) |
(6,459) | |||||
|
Other |
- |
- |
- |
- |
159 | |||||
|
Non-GAAP gross margin |
$ 154,092 |
$ 52,592 |
$ 78,222 |
$ 265,706 |
$ 232,526 | |||||
|
GAAP gross margin (%) |
17.7% |
9.8% |
16.5% |
14.5% |
18.7% | |||||
|
Non-GAAP gross margin (%) |
20.0% |
13.1% |
17.7% |
16.5% |
18.6% | |||||
|
Adjustments to Net income (loss): |
||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP net loss attributable to stockholders |
$ (40,545) |
$ (69,992) |
$ (56,326) |
$ (195,946) |
$ (59,398) | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
19,320 |
18,039 |
19,371 |
48,078 |
14,683 | |||||
|
Utility and power plant projects |
47 |
4,128 |
(516) |
7,732 |
(16,095) | |||||
|
Sale of operating lease assets |
2,098 |
2,979 |
- |
8,197 |
- | |||||
|
Sale-leaseback transactions |
277 |
2,988 |
- |
3,265 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
15,907 |
16,475 |
14,898 |
48,902 |
42,484 | |||||
|
Amortization of intangible assets |
3,018 |
3,168 |
1,098 |
14,351 |
2,094 | |||||
|
Non-cash interest expense |
308 |
309 |
517 |
963 |
5,768 | |||||
|
Goodwill impairment |
57,765 |
- |
- |
57,765 |
- | |||||
|
Restructuring expense |
31,202 |
117 |
726 |
31,415 |
6,056 | |||||
|
Arbitration ruling |
- |
(5,852) |
(7,500) |
(5,852) |
(6,459) | |||||
|
IPO-related costs |
- |
35 |
1,233 |
35 |
26,364 | |||||
|
Other |
(20) |
(12) |
16 |
(31) |
175 | |||||
|
Tax effect |
7,655 |
(2,454) |
46,959 |
6,885 |
51,696 | |||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ 97,032 |
$ (30,072) |
$ 20,476 |
$ 25,759 |
$ 67,368 | |||||
|
Adjustments to Net income (loss) per diluted share: |
||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
Net income (loss) per diluted share |
||||||||||
|
Numerator: |
||||||||||
|
GAAP net loss available to common stockholders1 |
$ (40,545) |
$ (69,992) |
$ (56,326) |
$ (195,946) |
$ (59,398) | |||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ 97,032 |
$ (30,072) |
$ 20,808 |
$ 25,759 |
$ 68,762 | |||||
|
Denominator: |
||||||||||
|
GAAP weighted-average shares |
138,209 |
138,084 |
136,473 |
137,832 |
134,294 | |||||
|
Effect of dilutive securities: |
||||||||||
|
Stock options |
- |
- |
18 |
- |
32 | |||||
|
Restricted stock units |
384 |
- |
1,170 |
684 |
1,882 | |||||
|
Upfront warrants (held by Total) |
3,179 |
- |
6,531 |
4,962 |
6,880 | |||||
|
Warrants (under the CSO2015) |
- |
- |
- |
- |
1,218 | |||||
|
0.75% debentures due 2018 |
- |
- |
12,026 |
- |
12,026 | |||||
|
Non-GAAP weighted-average shares1 |
141,772 |
138,084 |
156,218 |
143,478 |
156,332 | |||||
|
GAAP net loss per diluted share |
$ (0.29) |
$ (0.51) |
$ (0.41) |
$ (1.42) |
$ (0.44) | |||||
|
Non-GAAP net income (loss) per diluted share |
$ 0.68 |
$ (0.22) |
$ 0.13 |
$ 0.18 |
$ 0.44 | |||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||||||
|
Adjusted EBITDA: |
||||||||||
|
THREE MONTHS ENDED |
NINE MONTHS ENDED | |||||||||
|
Oct. 2, |
Jul. 3, |
Sep. 27, |
Oct. 2, |
Sep. 27, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP net loss attributable to stockholders |
$ (40,545) |
$ (69,992) |
$ (56,326) |
$ (195,946) |
$ (59,398) | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
19,320 |
18,039 |
19,371 |
48,078 |
14,683 | |||||
|
Utility and power plant projects |
47 |
4,128 |
(516) |
7,732 |
(16,095) | |||||
|
Sale of operating lease assets |
2,098 |
2,979 |
- |
8,197 |
- | |||||
|
Sale-leaseback transactions |
277 |
2,988 |
- |
3,265 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
15,907 |
16,475 |
14,898 |
48,902 |
42,484 | |||||
|
Amortization of intangible assets |
3,018 |
3,168 |
1,098 |
14,351 |
2,094 | |||||
|
Non-cash interest expense |
308 |
309 |
517 |
963 |
5,768 | |||||
|
Goodwill impairment |
57,765 |
- |
- |
57,765 |
- | |||||
|
Restructuring expense |
31,202 |
117 |
726 |
31,415 |
6,056 | |||||
|
Arbitration ruling |
- |
(5,852) |
(7,500) |
(5,852) |
(6,459) | |||||
|
IPO-related costs |
- |
35 |
1,233 |
35 |
26,364 | |||||
|
Other |
(20) |
(12) |
16 |
(31) |
175 | |||||
|
Cash interest expense, net of interest income |
14,990 |
13,144 |
8,348 |
40,318 |
27,463 | |||||
|
Provision for income taxes |
7,049 |
6,648 |
36,224 |
16,878 |
37,916 | |||||
|
Depreciation |
36,809 |
37,730 |
36,142 |
108,365 |
95,566 | |||||
|
Adjusted EBITDA |
$ 148,225 |
$ 29,904 |
$ 54,231 |
$ 184,435 |
$ 176,617 | |||||
|
Q4 2016, and FY 2016 GUIDANCE | ||
|
(in thousands except percentages) |
Q4 2016 |
FY 2016 |
|
Revenue (GAAP) |
$900,000-$1,100,000 |
$2,430,000-$2,630,000 |
|
Revenue (non-GAAP) (1) |
$1,000,000-$1,200,000 |
$2,600,000-$2,800,000 |
|
Gross margin (GAAP) |
0%-2% |
8%-10% |
|
Gross margin (non-GAAP) (2) |
1%-3% |
9%-11% |
|
Net loss (GAAP) |
$100,000-$125,000 |
$295,000-$320,000 |
|
Adjusted EBITDA (3) |
$0-$25,000 |
$185,000-$210,000 |
|
(1) |
Estimated non-GAAP amounts above for Q4 2016 include net adjustments that increase (decrease) revenue by approximately $15 million related to utility and power plant projects, ($30) million related to sale of operating lease assets, and $115 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase revenue by approximately $15 million related to 8point3, $30 million related to utility and power plant projects, and $125 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q4 2016 include net adjustments that increase (decrease) gross margin by approximately $15 million related to utility and power plant projects, ($10) million related to sale of operating lease assets, $10 million related to sale-leaseback transactions, $4 million related to stock-based compensation expense, and $1 million related to amortization of intangible assets. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase (decrease) gross margin by approximately $10 million related to 8point3, $20 million related to utility and power plant projects, $15 million related to sale-leaseback transactions, $20 million related to stock-based compensation expense, $6 million related to amortization of intangible assets, $1 million related to non-cash interest expense, and ($6) million related to arbitration ruling. |
|
(3) |
Estimated Adjusted EBITDA amounts above for Q4 2016 include net adjustments that increase (decrease) net loss by approximately ($15) million related to utility and power plant projects, $10 million related to sale of operating lease assets, ($10) million related to sale-leaseback transactions, ($15) million related to stock-based compensation expense, ($3) million related to amortization of intangible assets, ($1) million related to non-cash interest expense, ($5) million related to restructuring, ($20) million related to interest expense, ($6) million related to income taxes, and ($60) million related to depreciation. Estimated Adjusted EBITDA amounts above for fiscal 2016 include net adjustments that increase (decrease) net loss by approximately ($48) million related to 8point3, ($20) million related to utility and power plant projects, ($15) million related to sale-leaseback transactions, ($65) million related to stock-based compensation expense, ($9) million related to amortization of intangible assets, ($9) million related to non-cash interest expense, ($58) million related to goodwill impairment, ($36) million related to restructuring, $6 million related to arbitration ruling, ($60) million related to interest expense, ($23) million related to income taxes, and ($168) million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income (loss) and net income (loss) per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
October 2, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in earnings |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 170,345 |
$ 139,954 |
$ 419,047 |
$ 31,509 |
18.5% |
$ 7,336 |
5.2% |
$ 90,363 |
21.6% |
$ (40,545) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,336) |
3,181 |
31,456 |
(250) |
2,162 |
11,876 |
- |
- |
- |
1,062 |
- |
4,470 |
19,320 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
37 |
- |
- |
47 |
- |
- |
- |
- |
- |
- |
47 | |||||||||||||||||||
|
Sale of operating lease assets |
7,424 |
- |
- |
2,085 |
- |
- |
- |
- |
- |
13 |
- |
- |
2,098 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
- |
- |
- |
85 |
- |
- |
- |
- |
192 |
- |
- |
277 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
2,083 |
1,744 |
2,202 |
2,935 |
6,943 |
- |
- |
- |
- |
15,907 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
869 |
868 |
830 |
- |
451 |
- |
- |
- |
- |
3,018 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
67 |
84 |
132 |
4 |
21 |
- |
- |
- |
- |
308 | |||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
57,765 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
31,202 |
- |
- |
- |
31,202 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(33) |
- |
13 |
- |
- |
(20) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
7,655 |
- |
7,655 | |||||||||||||||||||
|
Non-GAAP |
$ 176,433 |
$ 143,135 |
$ 450,540 |
$ 36,363 |
20.6% |
$ 12,279 |
8.6% |
$ 105,450 |
23.4% |
$ 97,032 | ||||||||||||||||||||||
|
July 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 177,715 |
$ 97,846 |
$ 144,891 |
$ 38,756 |
21.8% |
$ 8,323 |
8.5% |
$ (5,785) |
-4.0% |
$ (69,992) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,287) |
- |
(113) |
(419) |
179 |
30 |
- |
- |
- |
1,061 |
- |
17,188 |
18,039 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(40,085) |
- |
- |
4,128 |
- |
- |
- |
- |
- |
- |
4,128 | |||||||||||||||||||
|
Sale of operating lease assets |
10,183 |
- |
- |
2,966 |
- |
- |
- |
- |
- |
13 |
- |
- |
2,979 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
2,988 |
- |
- |
- |
- |
- |
- |
- |
2,988 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,652 |
745 |
3,067 |
2,965 |
8,046 |
- |
- |
- |
- |
16,475 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
576 |
608 |
346 |
1,187 |
451 |
- |
- |
- |
- |
3,168 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
63 |
52 |
169 |
3 |
22 |
- |
- |
- |
- |
309 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
117 |
- |
- |
- |
117 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
(5,852) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
35 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(12) |
- |
- |
(12) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(2,454) |
- |
(2,454) | |||||||||||||||||||
|
Non-GAAP |
$ 186,611 |
$ 110,492 |
$ 104,693 |
$ 42,249 |
22.6% |
$ 11,973 |
10.8% |
$ (1,630) |
-1.6% |
$ (30,072) | ||||||||||||||||||||||
|
September 27, 2015 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 163,563 |
$ 84,983 |
$ 131,672 |
$ 37,152 |
22.7% |
$ 12,646 |
14.9% |
$ 12,846 |
9.8% |
$ (56,326) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,311) |
60,930 |
- |
(508) |
18,804 |
- |
- |
- |
- |
993 |
- |
82 |
19,371 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
1,567 |
- |
- |
(516) |
- |
- |
- |
- |
- |
- |
(516) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,541 |
917 |
1,752 |
2,172 |
8,516 |
- |
- |
- |
- |
14,898 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
197 |
104 |
300 |
321 |
176 |
- |
- |
- |
- |
1,098 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
155 |
90 |
242 |
9 |
21 |
- |
- |
- |
- |
517 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
726 |
- |
- |
- |
726 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(2,456) |
(1,299) |
(3,745) |
- |
- |
- |
- |
- |
- |
(7,500) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
1,233 |
- |
- |
- |
- |
1,233 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
- |
- |
16 |
- |
- |
16 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
46,959 |
- |
46,959 | |||||||||||||||||||
|
Non-GAAP |
$ 162,252 |
$ 145,913 |
$ 133,239 |
$ 36,081 |
22.2% |
$ 31,262 |
21.4% |
$ 10,879 |
8.2% |
$ 20,476 | ||||||||||||||||||||||
|
NINE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
October 2, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 499,867 |
$ 290,041 |
$ 744,765 |
$ 103,912 |
20.8% |
$ 22,674 |
7.8% |
$ 95,453 |
12.8% |
$ (195,946) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(3,935) |
3,181 |
17,481 |
(1,154) |
2,341 |
7,749 |
- |
- |
- |
3,185 |
- |
35,957 |
48,078 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
13,490 |
- |
- |
7,732 |
- |
- |
- |
- |
- |
- |
7,732 | |||||||||||||||||||
|
Sale of operating lease assets |
28,010 |
- |
- |
8,163 |
- |
- |
- |
- |
- |
34 |
- |
- |
8,197 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
3,073 |
- |
- |
- |
- |
192 |
- |
- |
3,265 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
4,562 |
3,141 |
7,915 |
8,932 |
24,352 |
- |
- |
- |
- |
48,902 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
1,856 |
2,102 |
1,153 |
3,007 |
6,233 |
- |
- |
- |
- |
14,351 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
201 |
175 |
510 |
14 |
63 |
- |
- |
- |
- |
963 | |||||||||||||||||||
|
Goodwill impairment |
- |
- |
- |
- |
- |
- |
- |
- |
- |
57,765 |
- |
- |
57,765 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
31,415 |
- |
- |
- |
31,415 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(1,345) |
(922) |
(3,585) |
- |
- |
- |
- |
- |
- |
(5,852) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
35 |
- |
- |
- |
- |
35 | |||||||||||||||||||
|
Other |
- |
- |
- |
- |
- |
- |
- |
(32) |
- |
1 |
- |
- |
(31) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
6,885 |
- |
6,885 | |||||||||||||||||||
|
Non-GAAP |
$ 523,942 |
$ 305,868 |
$ 775,736 |
$ 116,195 |
22.2% |
$ 32,584 |
10.7% |
$ 116,927 |
15.1% |
$ 25,759 | ||||||||||||||||||||||
|
September 27, 2015 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 471,092 |
$ 197,030 |
$ 533,987 |
$ 104,930 |
22.3% |
$ 18,971 |
9.6% |
$ 100,442 |
18.8% |
$ (59,398) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,311) |
60,930 |
- |
(508) |
18,804 |
- |
- |
- |
- |
(3,695) |
- |
82 |
14,683 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(13,016) |
- |
- |
(16,095) |
- |
- |
- |
- |
- |
- |
(16,095) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
3,675 |
1,836 |
4,524 |
6,825 |
25,624 |
- |
- |
- |
- |
42,484 | |||||||||||||||||||
|
Amortization of intangible assets |
- |
- |
- |
197 |
104 |
300 |
963 |
530 |
- |
- |
- |
- |
2,094 | |||||||||||||||||||
|
Non-cash interest expense |
- |
- |
- |
518 |
252 |
876 |
27 |
63 |
- |
4,032 |
- |
- |
5,768 | |||||||||||||||||||
|
Restructuring expense |
- |
- |
- |
- |
- |
- |
- |
- |
6,056 |
- |
- |
- |
6,056 | |||||||||||||||||||
|
Arbitration ruling |
- |
- |
- |
(2,084) |
(1,697) |
(2,678) |
- |
- |
- |
- |
- |
- |
(6,459) | |||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
11,168 |
- |
15,196 |
- |
- |
26,364 | |||||||||||||||||||
|
Other |
- |
- |
- |
41 |
33 |
85 |
- |
- |
- |
16 |
- |
- |
175 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
51,696 |
- |
51,696 | |||||||||||||||||||
|
Non-GAAP |
$ 469,781 |
$ 257,960 |
$ 520,971 |
$ 106,769 |
22.7% |
$ 38,303 |
14.8% |
$ 87,454 |
16.8% |
$ 67,368 | ||||||||||||||||||||||
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
11/9/2016SunPower and GRID Alternatives Announce Three-Year Partnership
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Nov. 7, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR), a global solar technology and energy services provider, today announced a new multi-year commitment to nonprofit GRID Alternatives, the nation's largest nonprofit solar installer. Under the partnership, SunPower will donate more than two megawatts of high efficiency solar panels over a three-year period. The commitment will provide enough solar to help power approximately 550 homes and will also provide job training in underserved communities.
SunPower's investment will also support GRID Alternatives' Solar Futures program, which provides both classroom and hands-on solar training to K-14 students, with a focus on high school juniors and seniors. GRID Alternatives has been providing solar training for high school students in California since 2010, and SunPower's support is helping to expand that work nationally.
"SunPower is proud to extend our ten-year support of GRID Alternatives for another three years, as they continue to bring access to clean energy for everyone and expand their valuable education program," said Doug Richards, SunPower executive vice president. "GRID Alternatives is helping students understand and experience solar technology first-hand in an industry that is expected to grow with the popularity of renewable energy."
SunPower has been a GRID Alternatives supporter since 2006, and a major equipment partner since 2012. Nearly 950 households have gone solar through the partnership to-date. SunPower employees have also volunteered more than 3,600 hours of their time to install solar for low-income families.
"We're so grateful to have a long-time partner like SunPower that shares our vision of an inclusive clean energy transition," said GRID Alternatives co-founder and CEO Erica Mackie. "SunPower's multi-year commitment allows us to continue growing our work nationally, helping underserved communities across the country access the clean power, financial savings and career opportunities solar provides."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About GRID Alternatives
GRID Alternatives is America's largest non-profit solar installer bringing clean energy technology and job training to low-income families and underserved communities through a network of community partners, and philanthropic supporters. GRID has installed 7600 solar electric systems with a combined installed capacity of 27MW, saving $213 million in lifetime electricity costs, preventing 600,000 tons of greenhouse gas emissions, and providing over 28,000 people with solar training. GRID has ten regional offices and affiliates serving California, Colorado, the Mid-Atlantic and New York tri-state regions, and Tribal communities nationwide. Its international program also provides off-grid solar to rural communities in Nicaragua and Nepal. For more information, visit www.gridalternatives.org.
SunPower Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected timelines and expected energy output. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to challenges inherent in constructing certain projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
11/7/2016SunPower to Announce Third-Quarter Results on November 9, 2016
Source: PR Newswire
SAN JOSE, Calif., Oct. 26, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ:SPWR) will discuss its third-quarter 2016 financial results on a conference call on Wednesday, November 9 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on November 9, 2016.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
10/26/20169/23/2016 - Colton Joint Unified School District Expected to Save Millions with SunPower® Solar and Storage
Colton Joint Unified School District Expected to Save Millions with SunPower® Solar and Storage
Source: PR Newswire
COLTON and SAN JOSE, Calif., Sept. 23, 2016 /PRNewswire/ -- Colton Joint Unified School District (CJUSD) and SunPower Corp. (Nasdaq: SPWR) are celebrating the upcoming construction of SunPower® Helix™ carport systems at 28 schools with a kickoff event at Grand Terrace High School on Saturday, Sept. 24.
The SunPower Helix carport systems will generate approximately 6.1 megawatts (MW) of clean energy and are estimated to provide CJUSD with more than $35 million in electricity savings over the next 25 years. On completion, SunPower estimates that 73 percent of the district's electricity will be provided through the SunPower Helix carport systems. CJUSD will buy power at a competitive rate under a power purchase agreement (PPA) with SunPower and will own the renewable energy credits associated with the systems.
The project also features two key elements of SunPower's Smart Energy product suite. SunPower will provide 1.1 MW of battery storage systems at seven schools to reduce the district's demand charges at these sites. SunPower will provide the battery systems under a no-money-down Battery Service Agreement that includes a guarantee of peak demand reductions. In addition to the batteries, SunPower will provide its EnergyLink™ Enterprise energy management software, giving CJUSD powerful insights about its energy use, and accurate reporting about financial savings from SunPower's solar and storage systems.
"This is a truly great project that will allow us to protect the long-term financial health of the district and redirect tens of millions of dollars in future revenue toward other district priorities," said CJUSD Superintendent Jerry Almendarez. "It also allows us to set an example of being environmentally responsible and to teach our students about clean energy and sustainability."
"Colton Joint Unified School District will gain significant value for many years to come through the powerful combination of a power purchase agreement and SunPower systems, storage and software," said Howard Wenger, SunPower president, business units. "School districts work hard to maximize every dollar, so helping reduce electricity costs through innovative solutions, while inspiring students with the great potential of solar power, is extremely rewarding."
In addition to generating power, the project will also include much-need shade for parking and shelters for students on many campuses. It also reflects the district's ongoing commitment to both fiscal and environmental responsibility. CJUSD continually works to reduce energy consumption at schools and other district facilities through its energy management program. The district has increasingly moved from more traditional landscaping such as grass to more drought-tolerant designs using elements such as native plants, concrete and artificial turf.
SunPower will install high efficiency SunPower direct current (DC) solar panels, the most efficient on the market today. They are the world's first solar panels to achieve a Cradle to Cradle Certified™ Silver designation for the sustainable practices and materials used in their manufacturing.
Construction of the carports will take place through 2017, sequenced in three phases to minimize impacts on school operations. Phase 1 schools to be completed by the end of 2016 include Bloomington High School, Grand Terrace High School, Joe Baca Middle School and Ruth Harris Middle School.
SunPower is a leader in delivering innovative energy solutions to California school districts. At 23 school districts across the state, the company has installed solar power systems totaling more than 90 megawatts which, according to the Solar Energy Industries Association (SEIA), is enough to power 22,500 average California homes.
About Colton Joint Unified School District
The Colton Joint Unified School District serves the educational needs of more than 23,000 students, grades K-12. It includes 18 elementary schools, four middle schools, three comprehensive high schools, one alternative school, one continuation high school and a preschool center. CJUSD covers an area of 48 square miles of mostly San Bernardino County in Inland Southern California and includes all or parts of seven different cities. CJUSD leadership places a high value on community involvement and collaboration between employee groups.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, ENERGYLINK and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. Cradle to Cradle Certified™ is a multi-attribute certification program that assesses products and materials for safety to human and environmental health, design for future use cycles, and sustainable manufacturing.
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SOURCE SunPower Corp.
Article Date
9/23/20169/20/2016 - 8point3 Energy Partners Enter Into Agreement to Acquire 49 Percent Stake in 102-MW Henrietta Solar Project
8point3 Energy Partners Enter Into Agreement to Acquire 49 Percent Stake in 102-MW Henrietta Solar Project
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Sept. 20, 2016 /PRNewswire/ -- 8point3 Energy Partners (NASDAQ: CAFD) today announced that it has entered into an agreement to acquire SunPower Corp.'s (NASDAQ: SPWR) 49 percent stake in its 102-megawatt (MW) Henrietta solar project for $134 million.
"Our acquisition of SunPower's 49 percent minority interest in Henrietta further re-enforces our long-term strategy of adding high quality solar projects from our sponsors, with investment grade off-takers, to our portfolio," said Chuck Boynton, CEO of 8point3 Energy Partners. "With the expected acquisition of Henrietta, our portfolio will grow to interests in 637-MW of solar projects."
The acquisition is expected to generate approximately $10.9 million in annual cash distributions and has a 20 year contract life.
The transaction is subject to a financing condition and other customary closing conditions and is expected to close on or about September 30, 2016. The partnership expects to fund the acquisition through some combination of cash on hand, borrowings under its existing credit facility and the issuance of additional equity.
Located in California's San Luis Valley, the Henrietta project will commence operations in October 2016. The project is majority owned by Southern Company. Pacific Gas and Electric is purchasing the power generated by the project under a 20 year power purchase agreement.
About 8point3 Energy Partners
8point3 Energy Partners LP (NASDAQ: CAFD) is a growth-oriented limited partnership formed by First Solar, Inc. and SunPower Corp. to own, operate and acquire solar energy generation projects. 8point3 Energy Partners' primary objective is to generate predictable cash distributions that grow at a sustainable rate. The partnership owns interests in projects in the United States that generate long-term contracted cash flows and serve utility, commercial and residential customers. For more information about 8point3 Energy Partners, please visit: www.8point3energypartners.com.
For 8point3 Energy Partners Investors
This press release includes various "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements expressing management's expectations, beliefs, estimates, forecasts, projections and assumptions. You can identify our forward-looking statements by words such as "anticipate", "believe", "estimate", "expect", "forecast", "goals", "objectives", "outlook", "intend", "plan", "predict", "project", "risks", "schedule", "seek", "target", "could", "may", "will", "should" or "would" or other similar expressions that convey the uncertainty of future events or outcomes. In accordance with "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, these statements are accompanied by cautionary language identifying important factors, though not necessarily all such factors, which could cause future outcomes to differ materially from those set forth in forward-looking statements. In particular, expressed or implied statements concerning the expectations of plans, strategies, objectives and growth and anticipated financial and operational performance of the partnership and its subsidiaries, including guidance regarding the partnership's revenue, adjusted EBITDA, cash available for distribution and distributions, other future actions, conditions or events such as the projected commercial operation dates of projects, future operating results or the ability to generate sales, income or cash flow or to make distributions are forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future actions, conditions or events and future results of operations may differ materially from those expressed in these forward-looking statements. Forward-looking statements speak only as of the date of this press release, September 20, 2016, and we disclaim any obligation to update such statements for any reason, except as required by law. All forward-looking statements contained in this press release are expressly qualified in their entirety by the cautionary statements contained or referred to in this paragraph. Many of the factors that will determine these results are beyond our ability to control or predict. These factors include the risk factors described under "Risk Factors" in the partnership's Transition Report on Form 10-K for the transition period from December 28, 2014 to November 30, 2015, filed with the Securities Exchange Commission on January 28, 2016. If any of those risks occur, it could cause our actual results to differ materially from those contained in any forward-looking statement. Because of these risks and uncertainties, you should not place undue reliance on any forward-looking statement.
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SOURCE 8point3 Energy Partners LP
Article Date
9/20/2016Drones, Robots and Fully Integrated Design: Third-Generation SunPower® Oasis® Platform Reinvents Solar Power Plants
Source: PR Newswire
SAN JOSE, Calif., Sept. 20, 2016 /PRNewswire/ -- SunPower Corp. (Nasdaq: SPWR) announced today that the third-generation SunPower® Oasis® platform for large-scale solar power plants, featuring a seamless integration of hardware and software unprecedented in the solar industry, is launching at an event today at SunPower's new research and development facility in Davis, Calif.
Experience the interactive Multimedia News Release here: https://www.multivu.com/players/English/7706153-sunpower-oasis
"The Oasis platform is a complete solution that optimizes energy production and maximizes value for our power plant customers," said Tom Werner, president and CEO of SunPower. "Integral to each Oasis component, from the automated design tools to robotic panel cleaning, is more than 30 years of solar industry innovation and experience that only SunPower offers, enabling our customers to benefit from the world's most efficient, reliable solar technology available."
With more than 700 megawatts of the third-generation Oasis platform projects awarded to date, SunPower is starting construction on solar power plants in North America and China using the technology in the next several weeks. Beginning next year, all new solar power plants from SunPower will be constructed using the third generation Oasis platform.
"SunPower Oasis allows customers to generate more value from a broader selection of potential power plant sites, at an accelerated pace," Werner continued. "An Oasis solar power plant may be designed 90 percent faster than the time required to design conventional solar power plants. While flat, rectangular-shaped sites are required for other trackers on the market, Oasis can take advantage of unused irregularly shaped areas and slopes up to ten degrees to generate up to 60 percent more energy than conventional technology installed at the same site. Each additional ten acres of usable land on a site may represent two to four more megawatts of power, which can significantly impact a project's bottom line."
From project development through operations and maintenance (O&M), the Oasis platform optimizes return on investment with the following features:
The SunPower Research and Development Ranch, where SunPower is launching the new Oasis platform today, will host concept testing for new technologies that drive continued innovation in the energy industry. SunPower anticipates the R&D Ranch will create dozens of jobs in research and technology over the next five years. A leader in solar innovation and solar R&D investment, SunPower holds more than 600 patents.
Distinguished guests expected at today's event include Dr. Charlie Gay, director of the U.S. Department of Energy's SunShot Initiative, David Olsen of the California ISO Board of Governors, and SunPower founder Dr. Richard Swanson. The event includes a panel discussion on the future of large scale solar plants, moderated by Greentech Media's Julia Pyper.
Since launching its first-generation Oasis platform in 2010, SunPower has more than three gigawatts of solar power plants installed, under contract or in construction around the world, including the world's largest operational solar photovoltaic power plant, the Solar Star Projects in California.
The original Oasis platform was the first of SunPower's three fully-integrated systems built to work together for customer goals. The SunPower® Helix™ platform for commercial rooftops, ground and carports was launched in 2016, and the SunPower Equinox platform for residential rooftops made its debut earlier this year.
More information on Oasis can be found on SunPower's blog and at www.sunpower.com/oasis.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, expected cost savings, and projected job creation. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX, HELIX, OASIS and OASIS GEO are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
9/20/2016SunPower Acquires AUO's Stake in Malaysian Joint Venture
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Sept. 19, 2016 /PRNewswire/ -- Evolving its partnership that began in 2010, SunPower Corp. announced today that it is purchasing AUO's portion of the two companies' joint venture which manufactures solar cells at an 800 megawatt (MW) fabrication facility in Melaka, Malaysia.
"The solar industry expects continued growth for the foreseeable future, as solar power becomes increasingly cost effective in many countries," said Tom Werner, SunPower President and CEO. "Acquiring AUO's stake in the Malaysian joint venture gives us sole control over our highest performing solar cell fab and will allow for technology upgrades and further expansion of our high efficiency solar cell technology as market conditions warrant."
Under the stock purchase agreement, SunPower will pay AUO $170 million over the next four years. SunPower has also signed a supply agreement with AUO for 100 MW of SunPower's E-series solar panels. AUO also will remain a wafer supplier to SunPower. This transaction resolves a dispute between the two companies.
"Consistent with our previous comments, SunPower is working to increase our future manufacturing capacity for our highest-value products while driving down costs," Werner said. "We will thoughtfully manage capacity during the current industry volatility, but we are committed to being a leading upstream industry participant over the long term, leveraging our unique, high value solar panel technologies. Purchasing AUO's portion of the Melaka joint venture is an opportunity for us to enable technology upgrades, cost reductions and future expansion consistent with this strategy."
SunPower plans to eventually upgrade the Melaka facility, which has been recognized by the International Energy Agency for its superior energy-efficient design and Leadership in Energy and Environmental Design (LEED) acknowledgement. The facility includes infrastructure built to allow for significant future capacity growth.
Contingent on various conditions, the transaction is expected to close by the end of the month.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding future expansions and upgrades, manufacturing capacity and upgrades, and expected transaction timing. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: challenges inherent in constructing certain of our large projects, maintaining or increasing our manufacturing capacity, containing associated costs, and manufacturing difficulties that could arise. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
9/20/20168/31/2016 - 4.8-Megawatt SunPower® Helix(TM) Carport System Under Construction at Cal State Long Beach
4.8-Megawatt SunPower® Helix(TM) Carport System Under Construction at Cal State Long Beach
Source: PR Newswire
LONG BEACH, Calif., Aug. 31, 2016 /PRNewswire/-- California State University, Long Beach (CSULB) and SunPower Corp. (Nasdaq: SPWR) announced today that construction is underway on a 4.8-megawatt SunPower® Helix™ Carport solar power system at two university parking areas. CSULB will purchase the solar power generated by the system under a power purchase agreement that offers competitive rates, enabling the university to offset approximately 15 percent of campus electrical load with clean, renewable solar power.
"With the cost-competitive solar generated by our SunPower® systems, the university will control electricity costs and reduce our carbon footprint, serving our goal to achieve climate neutral operations by 2030," said David Salazar, associate vice president at CSULB. "CSULB is proud to support California and the nation in our transition to clean and renewable energy sources to fight climate change and its negative effects on our students, staff and community by increasing our reliance on solar power. SunPower's experience partnering with universities is as important to us as the proven high performance of its technology."
The SunPower Helix platform is the world's first fully-integrated solar solution for commercial customers. Available for installation as a carport, on the roof, or as a ground-mounted technology, Helix is a pre-engineered, modular solution designed to deliver more energy and greater reliability than conventional solar products. The elegant design of the Helix carport can also enhance the aesthetics on campus. Since launching the product late last year, SunPower has contracted a total of 40 megawatts of Helix Carport to deliver to customers in the commercial and public sectors.
In addition to generating power, the solar carports at CSULB will provide to the campus community needed shade and electric vehicle chargers with the capacity to charge 50 cars. All of the systems are expected to be operational by the end of next year. CSULB will own the renewable energy credits associated with the systems.
"Cal State Long Beach will benefit from SunPower's extensive experience working with universities and colleges to provide innovative solar solutions and significant value," said Howard Wenger, SunPower president, business units. "With the SunPower Helix platform, our customers don't have to choose between energy, reliability or aesthetics because every component of the system is designed to maximize all three. There is no other company in the world offering this level of integration and quality, and we are very proud about the difference it makes to our customers."
SunPower estimates that one year of solar energy produced by the CSULB system, once it is operational, could power more than 2,200 electric vehicles for 30 years. According to estimates provided by the Solar Energy Industries Association, the annual power production of the system will be equivalent to the power required by 1,200 average California homes.
CSULB has three operating solar power systems on campus today, but this new SunPower project will be the largest solar power system on campus and within the 23 campus CSU system to date.
As part of its commitment to sustainability, the university's Sustainability Task Force oversees a range of activities to reduce campus environmental impact, including energy efficiency, water conservation, sustainable food service, and waste reduction and recycling.
About California State University, Long Beach
California State University, Long Beach (CSULB) is a teaching-intensive, research-driven university committed to providing highly-valued undergraduate and graduate degrees critical for success in the globally-minded 21st century. Annually ranked among the best universities in the West and among the best values in the entire nation, the university's eight colleges serve more than 37,500 students. CSULB values and is recognized for rich educational opportunities provided by excellent faculty and staff, exceptional degree programs, diversity of its student body, fiduciary and administrative responsibility and the positive contributions faculty, staff, students and more than 300,000 alumni make on society.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Forward Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
8/31/20168/9/2016 - SunPower Reports Second Quarter 2016 Results
SunPower Reports Second Quarter 2016 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Aug. 9, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) today announced financial results for its second quarter ended July 3, 2016.
|
($ Millions, except percentages and per-share data) |
2nd Quarter 2016 |
1st Quarter 2016 |
2nd Quarter 2015 |
|
GAAP revenue |
$420.5 |
$384.9 |
$381.0 |
|
GAAP gross margin |
9.8% |
13.4% |
18.6% |
|
GAAP net loss |
($70.0) |
($85.4) |
$6.5 |
|
GAAP net loss per diluted share |
($0.51) |
($0.62) |
$0.04 |
|
Non-GAAP revenue1 |
$401.8 |
$433.6 |
$376.7 |
|
Non-GAAP gross margin1 |
13.1% |
13.6% |
17.6% |
|
Non-GAAP net income (loss)1 |
($30.1) |
($41.2) |
$27.2 |
|
Non-GAAP net income (loss) per diluted share1 |
($0.22) |
($0.30) |
$0.18 |
|
EBITDA1 |
$29.9 |
$6.3 |
$63.6 |
|
1 Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"Our second quarter execution was solid as we met our financial targets and achieved key milestones across the company," said Tom Werner, SunPower president and CEO. "During the quarter we saw significant customer demand for our recently introduced Helix™ and SunPower Equinox™ complete commercial and residential solutions, respectively. We are also seeing stronger than anticipated demand and price premium for our highest efficiency, next generation X-21 and X-22 Series solar panels. In our upstream solar cell and panel manufacturing operations, we delivered strong yields and panel output in our fabs, continued our technology leadership with the announcement of our world record 24.1 percent efficient rooftop solar panel and successfully started up our first high volume, Performance Series production lines in Mexico.
"In our distributed generation business for the second quarter, we saw solid execution in both the residential and commercial segments. In commercial, our performance was above plan as we successfully ramped our Helix product deployment to approximately 20 megawatts (MW) in the second quarter while signing over 25 MW of new contracts for customers such as the U.S. Army. We were also pleased to complete the drop down of our Macy's project to 8point3 Energy Partners, and we continue to believe that 8point3 Energy Partners will be a key strategic vehicle for the company going forward. With a record pipeline of more than $1.3 billion, strong bookings, currently stable pricing and the continued successful ramp of our Helix solution, we are well positioned to gain share in the commercial market. Our residential segment also performed well, with solid fundamentals in the U.S. and improving traction in Europe and Japan. In the U.S., we are seeing a pronounced shift to our new SunPower Equinox complete solution which accounted for 50 percent of bookings by the end of the quarter. Total U.S. residential MW deployment was up approximately 25 percent year-over-year, and we continued to expand our utility channel initiatives, most recently a new solar plus storage partnership with Consolidated Edison.
"In our power plant segment, we expanded our international project backlog with the announcement of more than 250 MW of projects in Chile, bringing our total Latin America signed Power Purchase Agreement (PPA) portfolio to over 800 MW. Additionally, we secured 40 MW of innovative solar plus battery storage projects for deployment in the French overseas territories. In the U.S., we were pleased to announce the sale of a controlling interest in our 102-MW Henrietta project to Southern Company and added to our public sector footprint as we started construction of our 9.5-MW project for the California Department of Water Resources.
"However, while the long-term fundamentals for solar power remain strong, we see a number of near-term industry challenges, primarily in our power plant segment, that we expect to impact our business and financial performance in the second half of 2016. The extension of the Investment Tax Credit, as well as the bonus depreciation credit, while beneficial to the long-term health of the industry, has reduced the urgency to complete new solar projects by the end of 2016, with many customers adopting a longer-term timeline for project completion. Additionally, near-term economic returns have deteriorated due to aggressive PPA pricing by new market entrants, including a number of large, global independent power companies. We are also seeing customer project IRRs rising in the near term as buyers have increased their hurdle rates due to industry conditions. Finally, the continued market disruption in the YieldCo environment has impacted our assumptions related to monetizing deferred profits.
"As a result, we have proactively decided to streamline our power plant development segment while shifting investment to our distributed generation (DG) segments. We intend to focus our development resources on a limited number of core markets, primarily in the Americas, where we believe we have a sustainable competitive advantage and a project pipeline of over 9 gigawatts (GW). Outside these core markets, we will focus our power plant business on the sale of our new Oasis complete solution incorporating Performance Series panel technology to developers and Engineering, Procurement and Construction companies in global markets, including Total. We also plan to delay the timing of certain projects in our 2016 and 2017 pipeline to take advantage of planned cost reduction efforts over the next two years. We expect these actions to significantly lower operating expense and capital deployment in our power plant business while maintaining leadership in our core markets.
"Additionally, we are realigning our manufacturing operations to increase the relative mix of X-Series capacity due to expected strong customer demand in our DG business as well as adjusting our panel assembly capacity to be closer to our core markets. We plan to utilize equipment from some of our older solar cell manufacturing lines in Fab 2 to debottleneck capacity of our latest generation technology in order to increase the supply of X-Series panels. These initiatives will enable us to increase X-Series output by up to 100 MW by the end of 2017. Additionally, in connection with the realignment of our power plant segment principally around our core markets, we have made the decision to close our Philippine panel assembly facility and transfer the equipment to our latest generation, lower cost facilities in Mexico. This change will optimize our supply chain and move final panel assembly closer to our key markets.
"Overall, we expect these initiatives will strengthen our overall competitive position and enable us to profitably capitalize on the anticipated global growth of solar power as a long term, mainstream energy source. The core foundation of our long-term strategy remains unchanged, namely, developing innovative, complete customer solutions based on differentiated technology and deploying these solutions across a diversified portfolio of applications and geographic markets," concluded Werner.
"Our solid second quarter performance reflects the benefits of our diversified go-to-market strategy" said Chuck Boynton, SunPower Chief Financial Officer. "Our balance sheet remains strong as we exited the quarter with more than $590 million in cash. Looking forward, we believe our realignment plan will enable us to expand our leadership position in distributed generation, further strengthen our presence in our core power plant markets, improve cash flow and lower our annual operating expenses by up to 10 percent."
As a result of the announced realignment, the company expects the following:
Additionally, second quarter fiscal 2016 non-GAAP results include net adjustments that, in the aggregate, decreased (increased) non-GAAP net loss by $39.9 million, including $18.0 million related to 8point3 Energy Partners, $4.1 million related to utility and power plant projects, $3.0 million related to sale of operating lease assets, $3.0 million related to sale-leaseback transactions, $16.5 million related to stock-based compensation expense, $(2.2) million related to other adjustments, and $(2.5) million related to tax effect.
Financial Outlook
As a result of the challenges described above, the company is updating its previously disclosed fiscal year 2016 guidance, as well as providing selected forecasts for fiscal year 2017.
On a GAAP basis, the company now expects 2016 revenue of $2.8 billion to $3.0 billion, gross margin of 9.5 percent to 11.5 percent and net loss of $175 million to $125 million. Fiscal year 2016 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting.
The company's updated 2016 non-GAAP financial guidance is as follows: revenue of $3.0 billion to $3.2 billion, gross margin of 10.5 percent to 12.5 percent, EBITDA of $275 million to $325 million, capital expenditures of $225 million to $245 million and gigawatts deployed in the range of 1.45 GW to 1.65 GW.
For 2017, the company expects a GAAP net loss of $200 million to $100 million and EBITDA in the range of $300 million to $400 million. The company expects that at the lower end of the guidance range, 2017 EBITDA would be generated almost entirely from the company's DG business and believes that with the announced realignment, it will be well positioned to capitalize on the long term growth potential in the global power plant market.
The company's third quarter fiscal 2016 GAAP guidance is as follows: revenue of $700 million to $800 million, gross margin of 14.5 percent to 16.5 percent and net loss of $5 million to net income of $20 million. Third quarter 2016 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting. On a non-GAAP basis, the company expects revenue of $750 million to $850 million, gross margin of 16.5 percent to 18.5 percent, EBITDA of $115 million to $140 million and megawatts deployed in the range of 380 MW to 420 MW.
The company will host a conference call for investors this afternoon to discuss its second quarter 2016 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its second quarter 2016 performance on the Events and Presentations section of SunPower's Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our positioning for future success, gains in market share, competitive advantage, and ability to profitably capitalize on future market growth, including in our core markets; (b) the long-term fundamentals for solar power; (c) our plans for realignment of our manufacturing operations and power plant segment, including the anticipated increase in X-series output; (d) our expectations for the success and financial impact of our planned realignment, including impact on our balance sheet, long term cash flow and annual operating expenses; (e) our ability to reduce costs, including operating expense and capital deployment in our power plant business; (f) our project pipeline; (g) 8point3's role within our company strategy; (h) the ramp of our Helix solution; (i) third quarter fiscal 2016 guidance, including GAAP revenue, gross margin, and net income (loss), as well as non-GAAP revenue, gross margin, EBITDA, and MW deployed; (j) full year fiscal 2016 guidance, including GAAP revenue, gross margin and net loss, as well as non-GAAP revenue, gross margin, capital expenditures, EBITDA, and gigawatts deployed and (k) our full year fiscal 2017 selected forecasts. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the solar and general energy industry and downward pressure on selling prices and wholesale energy pricing; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) maintaining or increasing our manufacturing capacity and containing manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; (10) fluctuations or declines in the performance of our solar panels and other products and solutions; (11) our ability to meet our cost reduction targets and implement the planned realignment of our manufacturing operations and power plant segment and (12) the outcomes of previously disclosed litigation. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX, HELIX and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Jul. 3, |
Jan. 3, | ||
|
2016 |
2016 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 590,091 |
$ 954,528 | |
|
Restricted cash and cash equivalents, current portion |
23,091 |
24,488 | |
|
Accounts receivable, net |
211,753 |
190,448 | |
|
Costs and estimated earnings in excess of billings |
32,677 |
38,685 | |
|
Inventories |
467,914 |
382,390 | |
|
Advances to suppliers, current portion |
72,061 |
85,012 | |
|
Project assets - plants and land, current portion |
904,429 |
479,452 | |
|
Prepaid expenses and other current assets |
306,616 |
359,517 | |
|
Total current assets |
2,608,632 |
2,514,520 | |
|
Restricted cash and cash equivalents, net of current portion |
45,891 |
41,748 | |
|
Restricted long-term marketable securities |
6,362 |
6,475 | |
|
Property, plant and equipment, net |
818,711 |
731,230 | |
|
Solar power systems leased and to be leased, net |
594,266 |
531,520 | |
|
Project assets - plants and land, net of current portion |
26,282 |
5,072 | |
|
Advances to suppliers, net of current portion |
246,468 |
274,085 | |
|
Long-term financing receivables, net |
429,910 |
334,791 | |
|
Goodwill and other intangible assets, net |
107,547 |
119,577 | |
|
Other long-term assets |
317,095 |
297,975 | |
|
Total assets |
$ 5,201,164 |
$ 4,856,993 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 518,598 |
$ 514,654 | |
|
Accrued liabilities |
373,874 |
313,497 | |
|
Billings in excess of costs and estimated earnings |
92,295 |
115,739 | |
|
Short-term debt |
350,764 |
21,041 | |
|
Customer advances, current portion |
41,544 |
33,671 | |
|
Total current liabilities |
1,377,075 |
998,602 | |
|
Long-term debt |
578,231 |
478,948 | |
|
Convertible debt |
1,112,127 |
1,110,960 | |
|
Customer advances, net of current portion |
112,663 |
126,183 | |
|
Other long-term liabilities |
578,917 |
564,557 | |
|
Total liabilities |
3,759,013 |
3,279,250 | |
|
Redeemable noncontrolling interests in subsidiaries |
90,551 |
69,104 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
138 |
137 | |
|
Additional paid-in capital |
2,391,912 |
2,359,917 | |
|
Accumulated deficit |
(903,018) |
(747,617) | |
|
Accumulated other comprehensive loss |
(12,601) |
(8,023) | |
|
Treasury stock, at cost |
(174,937) |
(155,265) | |
|
Total stockholders' equity |
1,301,494 |
1,449,149 | |
|
Noncontrolling interests in subsidiaries |
50,106 |
59,490 | |
|
Total equity |
1,351,600 |
1,508,639 | |
|
Total liabilities and equity |
$ 5,201,164 |
$ 4,856,993 | |
|
SUNPOWER CORPORATION | |||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||
|
(In thousands, except per share data) | |||||||||||
|
(Unaudited) | |||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | ||||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | |||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | |||||||
|
Revenue: |
|||||||||||
|
Residential |
$ 177,715 |
$ 151,807 |
$ 152,205 |
$ 329,522 |
$ 307,529 | ||||||
|
Commercial |
97,846 |
52,241 |
62,984 |
150,087 |
112,047 | ||||||
|
Power Plant |
144,891 |
180,827 |
165,831 |
325,718 |
402,315 | ||||||
|
Total revenue |
420,452 |
384,875 |
381,020 |
805,327 |
821,891 | ||||||
|
Cost of revenue: |
|||||||||||
|
Residential |
138,959 |
118,160 |
116,979 |
257,119 |
239,751 | ||||||
|
Commercial |
89,523 |
45,226 |
58,842 |
134,749 |
105,722 | ||||||
|
Power Plant |
150,676 |
169,952 |
134,318 |
320,628 |
314,719 | ||||||
|
Total cost of revenue |
379,158 |
333,338 |
310,139 |
712,496 |
660,192 | ||||||
|
Gross margin |
41,294 |
51,537 |
70,881 |
92,831 |
161,699 | ||||||
|
Operating expenses: |
|||||||||||
|
Research and development |
31,411 |
32,706 |
20,560 |
64,117 |
41,728 | ||||||
|
Selling, general and administrative |
84,683 |
97,791 |
81,520 |
182,474 |
158,734 | ||||||
|
Restructuring charges |
117 |
96 |
1,749 |
213 |
5,330 | ||||||
|
Total operating expenses |
116,211 |
130,593 |
103,829 |
246,804 |
205,792 | ||||||
|
Operating loss |
(74,917) |
(79,056) |
(32,948) |
(153,973) |
(44,093) | ||||||
|
Other income (expense), net |
(18,966) |
(18,416) |
6,959 |
(37,382) |
(10,786) | ||||||
|
Loss before income taxes and equity in earnings (loss) of unconsolidated investees |
(93,883) |
(97,472) |
(25,989) |
(191,355) |
(54,879) | ||||||
|
Benefit from (provision for) income taxes |
(6,648) |
(3,181) |
659 |
(9,829) |
(1,692) | ||||||
|
Equity in earnings (loss) of unconsolidated investees |
8,350 |
(764) |
1,864 |
7,586 |
4,055 | ||||||
|
Net loss |
(92,181) |
(101,417) |
(23,466) |
(193,598) |
(52,516) | ||||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
22,189 |
16,008 |
29,975 |
38,197 |
49,444 | ||||||
|
Net income (loss) attributable to stockholders |
$ (69,992) |
$ (85,409) |
$ 6,509 |
$ (155,401) |
$ (3,072) | ||||||
|
Net income (loss) per share attributable to stockholders: |
|||||||||||
|
- Basic |
$ (0.51) |
$ (0.62) |
$ 0.05 |
$ (1.13) |
$ (0.02) | ||||||
|
- Diluted |
$ (0.51) |
$ (0.62) |
$ 0.04 |
$ (1.13) |
$ (0.02) | ||||||
|
Weighted-average shares: |
|||||||||||
|
- Basic |
138,084 |
137,203 |
134,376 |
137,644 |
133,205 | ||||||
|
- Diluted |
138,084 |
137,203 |
156,995 |
137,644 |
133,205 | ||||||
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||
|
(In thousands) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
Cash flows from operating activities: |
||||||||||
|
Net loss |
$ (92,181) |
$ (101,417) |
$ (23,466) |
$ (193,598) |
$ (52,516) | |||||
|
Adjustments to reconcile net loss to net cash used in operating activities: |
||||||||||
|
Depreciation and amortization expense |
40,898 |
42,117 |
31,442 |
83,015 |
60,005 | |||||
|
Stock-based compensation |
16,475 |
16,520 |
14,040 |
32,995 |
27,586 | |||||
|
Non-cash interest expense |
309 |
346 |
571 |
655 |
5,251 | |||||
|
Equity in loss (earnings) of unconsolidated investees |
(8,350) |
764 |
(1,864) |
(7,586) |
(4,055) | |||||
|
Excess tax benefit from stock-based compensation |
- |
- |
(6,155) |
- |
(6,727) | |||||
|
Deferred income taxes |
2,018 |
(1,169) |
6,874 |
849 |
(367) | |||||
|
Gain on sale of residential lease portfolio to 8point3 Energy Partners LP |
- |
- |
(27,915) |
- |
(27,915) | |||||
|
Other, net |
909 |
890 |
522 |
1,799 |
1,377 | |||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
||||||||||
|
Accounts receivable |
(35,856) |
12,561 |
32,467 |
(23,295) |
65,202 | |||||
|
Costs and estimated earnings in excess of billings |
23,826 |
(17,525) |
(2,332) |
6,301 |
138,638 | |||||
|
Inventories |
(96,799) |
(18,248) |
(22,654) |
(115,047) |
(130,726) | |||||
|
Project assets |
(254,007) |
(179,376) |
(218,624) |
(433,383) |
(311,774) | |||||
|
Prepaid expenses and other assets |
93,743 |
(45,034) |
54,515 |
48,709 |
29,425 | |||||
|
Long-term financing receivables, net |
(51,108) |
(44,011) |
(40,060) |
(95,119) |
(69,258) | |||||
|
Advances to suppliers |
28,656 |
11,913 |
11,191 |
40,569 |
25,094 | |||||
|
Accounts payable and other accrued liabilities |
82,051 |
(69,974) |
(21,911) |
12,077 |
(71,529) | |||||
|
Billings in excess of costs and estimated earnings |
(49,915) |
26,866 |
3,709 |
(23,049) |
9,330 | |||||
|
Customer advances |
(760) |
(5,124) |
(2,383) |
(5,884) |
(12,482) | |||||
|
Net cash used in operating activities |
(300,091) |
(369,901) |
(212,033) |
(669,992) |
(325,441) | |||||
|
Cash flows from investing activities: |
||||||||||
|
Increase in restricted cash and cash equivalents |
(941) |
(1,806) |
(9,579) |
(2,747) |
(28,407) | |||||
|
Purchases of property, plant and equipment |
(46,280) |
(47,044) |
(44,214) |
(93,324) |
(68,778) | |||||
|
Cash paid for solar power systems, leased and to be leased |
(22,918) |
(23,238) |
(22,429) |
(46,156) |
(41,832) | |||||
|
Cash paid for solar power systems |
(2,282) |
- |
(10,007) |
(2,282) |
(10,007) | |||||
|
Proceeds from (payments to) 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
130 |
(9,968) |
341,174 |
(9,838) |
341,174 | |||||
|
Cash paid for investments in unconsolidated investees |
(557) |
(9,752) |
(7,092) |
(10,309) |
(7,092) | |||||
|
Cash paid for intangibles |
- |
- |
- |
- |
(526) | |||||
|
Net cash provided by (used in) investing activities |
(72,848) |
(91,808) |
247,853 |
(164,656) |
184,532 | |||||
|
Cash flows from financing activities: |
||||||||||
|
Cash paid for repurchase of convertible debt |
- |
- |
- |
- |
(324,273) | |||||
|
Proceeds from settlement of 4.50% Bond Hedge |
- |
- |
- |
- |
74,628 | |||||
|
Payments to settle 4.50% Warrants |
- |
- |
(574) |
- |
(574) | |||||
|
Repayment of bank loans and other debt |
(162) |
(7,725) |
(7,873) |
(7,887) |
(15,819) | |||||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
24,889 |
28,339 |
54,830 |
53,228 |
54,830 | |||||
|
Repayment of non-recourse residential financing |
(1,101) |
(1,065) |
(29,858) |
(2,166) |
(40,802) | |||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
33,083 |
24,082 |
46,046 |
57,165 |
91,936 | |||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(1,596) |
(5,309) |
(2,307) |
(6,905) |
(4,567) | |||||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
354,052 |
79,440 |
116,992 |
433,492 |
207,710 | |||||
|
Repayment of non-recourse power plant and commercial financing |
(51) |
(37,301) |
(226,488) |
(37,352) |
(226,578) | |||||
|
Proceeds from 8point3 Energy Partners LP attributable to operating leases and unguaranteed sales-type lease residual values |
- |
- |
29,300 |
- |
29,300 | |||||
|
Proceeds from exercise of stock options |
- |
- |
175 |
- |
178 | |||||
|
Excess tax benefit from stock-based compensation |
- |
- |
6,155 |
- |
6,727 | |||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(795) |
(18,876) |
(1,622) |
(19,671) |
(40,326) | |||||
|
Net cash provided by (used in) financing activities |
408,319 |
61,585 |
(15,224) |
469,904 |
(187,630) | |||||
|
Effect of exchange rate changes on cash and cash equivalents |
(467) |
774 |
874 |
307 |
(4,593) | |||||
|
Net increase (decrease) in cash and cash equivalents |
34,913 |
(399,350) |
21,470 |
(364,437) |
(333,132) | |||||
|
Cash and cash equivalents, beginning of period |
555,178 |
954,528 |
601,573 |
954,528 |
956,175 | |||||
|
Cash and cash equivalents, end of period |
$ 590,091 |
$ 555,178 |
$ 623,043 |
$ 590,091 |
$ 623,043 | |||||
|
Non-cash transactions: |
||||||||||
|
Assignment of residential lease receivables to third parties |
$ 1,379 |
$ 1,097 |
$ 382 |
$ 2,476 |
$ 1,689 | |||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
14,806 |
15,085 |
15,764 |
29,891 |
30,428 | |||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
6,282 |
9,050 |
3,971 |
6,282 |
3,971 | |||||
|
Costs of solar power systems under sale-leaseback financing arrangements sourced from project assets |
7,375 |
- |
5,026 |
7,375 |
6,076 | |||||
|
Property, plant and equipment acquisitions funded by liabilities |
73,247 |
81,369 |
37,017 |
73,247 |
37,017 | |||||
|
Sale of residential lease portfolio in exchange for non-controlling equity interests in the 8point3 Group |
- |
- |
68,273 |
- |
68,273 | |||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
- |
8,726 |
- |
8,726 |
- | |||||
|
Exchange of receivables for an investment in an unconsolidated investee |
2,890 |
- |
- |
2,890 |
- | |||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income; net income per diluted share; and earnings before interest, taxes, depreciation and amortization ("EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, and sale-leaseback transactions, each as described below. Non-GAAP gross margin includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, sale-leaseback transactions, stock-based compensation, and other items, each as described below. In addition to those same adjustments, non-GAAP net income and non-GAAP net income per diluted share are adjusted for the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income, EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments Based on International Financial Reporting Standards ("IFRS")
Management utilizes IFRS guidance for non-GAAP purposes to record the revenue and profit recognition of certain transactions, each of which are further described below. In these situations, management believes that the IFRS standards enable investors to better evaluate the company's revenue and profit generation performance.
Other Non-GAAP Adjustments
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
|
(In thousands, except percentages and per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
Adjustments to Revenue: |
||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP revenue |
$ 420,452 |
$ 384,875 |
$ 381,020 |
$ 805,327 |
$ 821,891 | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
(1,400) |
(15,174) |
- |
(16,574) |
- | |||||
|
Utility and power plant projects |
(40,085) |
53,538 |
(4,313) |
13,453 |
(14,583) | |||||
|
Sale of operating lease assets |
10,183 |
10,403 |
- |
20,586 |
- | |||||
|
Sale-leaseback transactions |
12,646 |
- |
- |
12,646 |
- | |||||
|
Non-GAAP revenue |
$ 401,796 |
$ 433,642 |
$ 376,707 |
$ 835,438 |
$ 807,308 | |||||
|
Adjustments to Gross margin: |
||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP gross margin |
$ 41,294 |
$ 51,537 |
$ 70,881 |
$ 92,831 |
$ 161,699 | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
(210) |
(4,642) |
- |
(4,852) |
- | |||||
|
Utility and power plant projects |
4,128 |
3,557 |
(4,328) |
7,685 |
(15,579) | |||||
|
Sale of operating lease assets |
2,966 |
3,112 |
- |
6,078 |
- | |||||
|
Sale-leaseback transactions |
2,988 |
- |
- |
2,988 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
5,464 |
4,125 |
3,259 |
9,589 |
5,825 | |||||
|
Other |
(4,038) |
1,333 |
(3,669) |
(2,705) |
2,359 | |||||
|
Non-GAAP gross margin |
$ 52,592 |
$ 59,022 |
$ 66,143 |
$ 111,614 |
$ 154,304 | |||||
|
GAAP gross margin (%) |
9.8% |
13.4% |
18.6% |
11.5% |
19.7% | |||||
|
Non-GAAP gross margin (%) |
13.1% |
13.6% |
17.6% |
13.4% |
19.1% | |||||
|
Adjustments to Net income (loss): |
||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP net income (loss) attributable to stockholders |
$ (69,992) |
$ (85,409) |
$ 6,509 |
$ (155,401) |
$ (3,072) | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
18,039 |
10,719 |
(4,688) |
28,758 |
(4,688) | |||||
|
Utility and power plant projects |
4,128 |
3,557 |
(4,328) |
7,685 |
(15,579) | |||||
|
Sale of operating lease assets |
2,979 |
3,120 |
- |
6,099 |
- | |||||
|
Sale-leaseback transactions |
2,988 |
- |
- |
2,988 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
16,475 |
16,520 |
14,040 |
32,995 |
27,586 | |||||
|
Other |
(2,235) |
8,608 |
13,838 |
6,373 |
37,908 | |||||
|
Tax effect |
(2,454) |
1,684 |
1,797 |
(770) |
4,737 | |||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ (30,072) |
$ (41,201) |
$ 27,168 |
$ (71,273) |
$ 46,892 | |||||
|
Adjustments to Net income (loss) per diluted share: |
||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
Net income (loss) per diluted share |
||||||||||
|
Numerator: |
||||||||||
|
GAAP net income (loss) available to common stockholders1 |
$ (69,992) |
$ (85,409) |
$ 7,021 |
$ (155,401) |
$ (3,072) | |||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ (30,072) |
$ (41,201) |
$ 27,679 |
$ (71,273) |
$ 47,954 | |||||
|
Denominator: |
||||||||||
|
GAAP weighted-average shares |
138,084 |
137,203 |
156,995 |
137,644 |
133,205 | |||||
|
Effect of dilutive securities: |
||||||||||
|
Stock options |
- |
- |
- |
- |
39 | |||||
|
Restricted stock units |
- |
- |
- |
- |
2,239 | |||||
|
Upfront warrants (held by Total) |
- |
- |
- |
- |
7,055 | |||||
|
Warrants (under the CSO2015) |
- |
- |
- |
- |
1,827 | |||||
|
0.75% debentures due 2018 |
- |
- |
- |
- |
12,026 | |||||
|
Non-GAAP weighted-average shares1 |
138,084 |
137,203 |
156,995 |
137,644 |
156,391 | |||||
|
GAAP net income (loss) per diluted share |
$ (0.51) |
$ (0.62) |
$ 0.04 |
$ (1.13) |
$ (0.02) | |||||
|
Non-GAAP net income (loss) per diluted share |
$ (0.22) |
$ (0.30) |
$ 0.18 |
$ (0.52) |
$ 0.31 | |||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. | ||||||||||
|
EBITDA: |
||||||||||
|
THREE MONTHS ENDED |
SIX MONTHS ENDED | |||||||||
|
Jul. 3, |
Apr. 3, |
Jun. 28, |
Jul. 3, |
Jun. 28, | ||||||
|
2016 |
2016 |
2015 |
2016 |
2015 | ||||||
|
GAAP net income (loss) attributable to stockholders |
$ (69,992) |
$ (85,409) |
$ 6,509 |
$ (155,401) |
$ (3,072) | |||||
|
Adjustments based on IFRS: |
||||||||||
|
8point3 |
18,039 |
10,719 |
(4,688) |
28,758 |
(4,688) | |||||
|
Utility and power plant projects |
4,128 |
3,557 |
(4,328) |
7,685 |
(15,579) | |||||
|
Sale of operating lease assets |
2,979 |
3,120 |
- |
6,099 |
- | |||||
|
Sale-leaseback transactions |
2,988 |
- |
- |
2,988 |
- | |||||
|
Other adjustments: |
||||||||||
|
Stock-based compensation expense |
16,475 |
16,520 |
14,040 |
32,995 |
27,586 | |||||
|
Cash interest expense, net of interest income |
13,144 |
12,184 |
8,023 |
25,328 |
19,115 | |||||
|
Provision for (benefit from) income taxes |
6,648 |
3,181 |
(659) |
9,829 |
1,692 | |||||
|
Depreciation |
37,730 |
33,826 |
30,820 |
71,556 |
59,424 | |||||
|
Other |
(2,235) |
8,608 |
13,838 |
6,373 |
37,908 | |||||
|
EBITDA |
$ 29,904 |
$ 6,306 |
$ 63,555 |
$ 36,210 |
$ 122,386 | |||||
|
Q3 2016, FY 2016, and FY 2017 | |||
|
GUIDANCE | |||
|
(in thousands except percentages) |
Q3 2016 |
FY 2016 |
FY 2017 |
|
Revenue (GAAP) |
$700,000-$800,000 |
$2,800,000-$3,000,000 |
N/A |
|
Revenue (non-GAAP) (1) |
$750,000-$850,000 |
$3,000,000-$3,200,000 |
N/A |
|
Gross margin (GAAP) |
14.5%-16.5% |
9.5%-11.5% |
N/A |
|
Gross margin (non-GAAP) (2) |
16.5%-18.5% |
10.5%-12.5% |
N/A |
|
Net income (loss) (GAAP) |
($5,000)-$20,000 |
($175,000)-($125,000) |
($200,000)-($100,000) |
|
EBITDA (3) |
$115,000-$140,000 |
$275,000-$325,000 |
$300,000-$400,000 |
|
(1) |
Estimated non-GAAP amounts above for Q3 2016 include net adjustments that increase revenue by approximately $35 million related to 8point3, $10 million related to sale of operating lease assets, and $5 million related to sale-leaseback transactions. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase (decrease) revenue by approximately $20 million related to 8point3, $5 million related to utility and power plant projects, ($5) million related to sale of operating lease assets, and $180 million related to sale-leaseback transactions. |
|
(2) |
Estimated non-GAAP amounts above for Q3 2016 include net adjustments that increase gross margin by approximately $13 million related to 8point3, $3 million related to sale of operating lease assets, $1 million related to sale-leaseback transactions, $5 million related to stock-based compensation expense, and $1 million related to other items. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase (decrease) gross margin by approximately $15 million related to 8point3, ($2) million related to sale of operating lease assets, $20 million related to sale-leaseback transactions, and $20 million related to stock-based compensation expense. |
|
(3) |
Estimated EBITDA amounts above for Q3 2016 include net adjustments that increase (decrease) net income by approximately $16 million related to 8point3, $3 million related to sale of operating lease assets, $1 million related to sale-leaseback transactions, $17 million related to stock-based compensation expense, $20 million related to restructuring, $5 million related to other items, $15 million related to interest expense, ($2) million related to income taxes, and $45 million related to depreciation. Estimated EBITDA amounts above for fiscal 2016 include net adjustments that increase (decrease) net loss by approximately ($60) million related to 8point3, $2 million related to sale of operating lease assets, ($20) million related to sale-leaseback transactions, ($70) million related to stock-based compensation expense, ($30) million related to restructuring, ($17) million related to other items, ($55) million related to interest expense, ($20) million related to income taxes, and ($180) million related to depreciation. Estimated EBITDA amounts above for fiscal 2017 include net adjustments that decrease net loss by approximately ($65) million related to sale-leaseback transactions, ($70) million related to stock-based compensation expense, ($25) million related to other items, ($65) million related to interest expense, ($25) million related to income taxes, and ($250) million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income and net income per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
July 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in |
Net income | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 177,715 |
$ 97,846 |
$ 144,891 |
$ 38,756 |
21.8% |
$ 8,323 |
8.5% |
$ (5,785) |
-4.0% |
$ (69,992) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,287) |
- |
(113) |
(419) |
179 |
30 |
- |
- |
- |
1,061 |
- |
17,188 |
18,039 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(40,085) |
- |
- |
4,128 |
- |
- |
- |
- |
- |
- |
4,128 | |||||||||||||||||||
|
Sale of operating lease assets |
10,183 |
- |
- |
2,966 |
- |
- |
- |
- |
- |
13 |
- |
- |
2,979 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
2,988 |
- |
- |
- |
- |
- |
- |
- |
2,988 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,652 |
745 |
3,067 |
2,965 |
8,046 |
- |
- |
- |
- |
16,475 | |||||||||||||||||||
|
Other |
- |
- |
- |
(706) |
(262) |
(3,070) |
1,190 |
508 |
117 |
(12) |
- |
- |
(2,235) | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(2,454) |
- |
(2,454) | |||||||||||||||||||
|
Non-GAAP |
$ 186,611 |
$ 110,492 |
$ 104,693 |
$ 42,249 |
22.6% |
$ 11,973 |
10.8% |
$ (1,630) |
-1.6% |
$ (30,072) | ||||||||||||||||||||||
|
April 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in |
Net income | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 151,807 |
$ 52,241 |
$ 180,827 |
$ 33,647 |
22.2% |
$ 7,015 |
13.4% |
$ 10,875 |
6.0% |
$ (85,409) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(1,312) |
- |
(13,862) |
(485) |
- |
(4,157) |
- |
- |
- |
1,062 |
- |
14,299 |
10,719 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
53,538 |
- |
- |
3,557 |
- |
- |
- |
- |
- |
- |
3,557 | |||||||||||||||||||
|
Sale of operating lease assets |
10,403 |
- |
- |
3,112 |
- |
- |
- |
- |
- |
8 |
- |
- |
3,120 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
827 |
652 |
2,646 |
3,032 |
9,363 |
- |
- |
- |
- |
16,520 | |||||||||||||||||||
|
Other |
- |
- |
- |
482 |
665 |
186 |
1,827 |
5,352 |
96 |
- |
- |
- |
8,608 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
1,684 |
- |
1,684 | |||||||||||||||||||
|
Non-GAAP |
$ 160,898 |
$ 52,241 |
$ 220,503 |
$ 37,583 |
23.4% |
$ 8,332 |
15.9% |
$ 13,107 |
5.9% |
$ (41,201) | ||||||||||||||||||||||
|
June 28, 2015 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in |
Net income | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 152,205 |
$ 62,984 |
$ 165,831 |
$ 35,226 |
23.1% |
$ 4,142 |
6.6% |
$ 31,513 |
19.0% |
$ 6,509 | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(4,688) |
- |
- |
(4,688) | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(4,313) |
- |
- |
(4,328) |
- |
- |
- |
- |
- |
- |
(4,328) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,212 |
531 |
1,516 |
2,380 |
8,401 |
- |
- |
- |
- |
14,040 | |||||||||||||||||||
|
Other |
- |
- |
- |
(1,028) |
(657) |
(1,984) |
330 |
6,548 |
1,749 |
8,880 |
- |
- |
13,838 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
1,797 |
- |
1,797 | |||||||||||||||||||
|
Non-GAAP |
$ 152,205 |
$ 62,984 |
$ 161,518 |
$ 35,410 |
23.3% |
$ 4,016 |
6.4% |
$ 26,717 |
16.5% |
$ 27,168 | ||||||||||||||||||||||
|
SIX MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
July 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in |
Net income | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 329,522 |
$ 150,087 |
$ 325,718 |
$ 72,403 |
22.0% |
$ 15,338 |
10.2% |
$ 5,090 |
1.6% |
$ (155,401) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
(2,599) |
- |
(13,975) |
(904) |
179 |
(4,127) |
- |
- |
- |
2,123 |
- |
31,487 |
28,758 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
13,453 |
- |
- |
7,685 |
- |
- |
- |
- |
- |
- |
7,685 | |||||||||||||||||||
|
Sale of operating lease assets |
20,586 |
- |
- |
6,078 |
- |
- |
- |
- |
- |
21 |
- |
- |
6,099 | |||||||||||||||||||
|
Sale-leaseback transactions |
- |
12,646 |
- |
- |
2,988 |
- |
- |
- |
- |
- |
- |
- |
2,988 | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
2,479 |
1,397 |
5,713 |
5,997 |
17,409 |
- |
- |
- |
- |
32,995 | |||||||||||||||||||
|
Other |
- |
- |
- |
(224) |
403 |
(2,884) |
3,017 |
5,860 |
213 |
(12) |
- |
- |
6,373 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(770) |
- |
(770) | |||||||||||||||||||
|
Non-GAAP |
$ 347,509 |
$ 162,733 |
$ 325,196 |
$ 79,832 |
23.0% |
$ 20,305 |
12.5% |
$ 11,477 |
3.5% |
$ (71,273) | ||||||||||||||||||||||
|
June 28, 2015 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income |
Benefit from |
Equity in |
Net income | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring |
||||||||||||||||||||||||
|
GAAP |
$ 307,529 |
$ 112,047 |
$ 402,315 |
$ 67,778 |
22.0% |
$ 6,325 |
5.6% |
$ 87,596 |
21.8% |
$ (3,072) | ||||||||||||||||||||||
|
Adjustments based on IFRS: |
||||||||||||||||||||||||||||||||
|
8point3 |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(4,688) |
- |
- |
(4,688) | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(14,583) |
- |
- |
(15,579) |
- |
- |
- |
- |
- |
- |
(15,579) | |||||||||||||||||||
|
Other adjustments: |
||||||||||||||||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
2,134 |
919 |
2,772 |
4,653 |
17,108 |
- |
- |
- |
- |
27,586 | |||||||||||||||||||
|
Other |
- |
- |
- |
776 |
(203) |
1,786 |
660 |
10,331 |
5,330 |
19,228 |
- |
- |
37,908 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
4,737 |
- |
4,737 | |||||||||||||||||||
|
Non-GAAP |
$ 307,529 |
$ 112,047 |
$ 387,732 |
$ 70,688 |
23.0% |
$ 7,041 |
6.3% |
$ 76,575 |
19.7% |
$ 46,892 | ||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
8/9/2016SunPower Congratulates Solar Impulse 2 for Completing Round-the-World Flight
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., July 25, 2016 /PRNewswire/ -- Innovative solar technology from SunPower (NASDAQ: SPWR) helped Solar Impulse 2 blaze new trails for renewable energy. Landing safely in Abu Dhabi, the single-seater solar plane has just completed its groundbreaking flight around the world with zero fuel, demonstrating the durability and reliability of high-efficiency solar power solutions. The feat was a first for an aircraft of this kind.
"The level of performance, durability and reliability required by the solar solution to achieve this groundbreaking flight made SunPower's unique cell technology a natural choice for the Solar Impulse team," said Peter Cousins, SunPower senior vice president, research, development and deployment. "We've helped Solar Impulse break boundaries and set world records using the same cell architecture found in our world-record efficiency solar panels that provide clean energy to our diverse customers from around the world."
Because SunPower solar cells are highly efficient, durable, lightweight, and about as thin as a human hair, they were first chosen to power Solar Impulse 1 which flew across the U.S. in 2013 and set eight world records—including becoming the first solar-powered plane ever to fly through the night, between two continents and across the United States.
Founded and run by Swiss visionaries Bertrand Piccard and André Borschberg, the Solar Impulse project has continually set out to demonstrate that alternative energy sources can achieve what many have considered to be impossible. Solar Impulse 2, the culmination of 12 years of research and experimentation, is an engineering triumph capable of flying non-stop, day and night, powered solely by solar energy and limited only by the pilot's endurance.
Visit the SunPower blog post here for more on record-breaking achievements and highlights from Solar Impulse 2's round-the-world flight, and what they could mean for the future of solar.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and MAXEON are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/26/2016SunPower to Announce Second-Quarter Results on August 9, 2016
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., July 19, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) will discuss its second-quarter 2016 financial results on a conference call on Tuesday, August 9 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on August 9, 2016.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/19/20167/7/2016 - SunPower Announces Credit Facility Update
SunPower Announces Credit Facility Update
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., July 7, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) today announced it has amended and extended the terms of its existing credit support agreement with Total S.A through 2018.
With this agreement, Total will guarantee SunPower's letters of credit in support of certain company activities. The companies have amended and restated the initial agreement, signed in 2011, to reduce the amount available under the facility to $500 million to more appropriately match SunPower's current and long-term credit needs. Additionally, terms for the facility remain substantially unchanged, subject to certain financial covenant requirements.
"The market opportunity for solar energy continues to grow and the continued support of Total is key for us to achieve our long-term goals," said Tom Werner, SunPower president and CEO. "We believe our shared vision of the importance of renewables as a viable and cost effective source of energy will benefit both companies over the next decade."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our current and long term credit needs and the strength of solar industry fundamentals. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the industry and downward pressure on average selling prices; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; and (5) fluctuations in our operating results;. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE SunPower Corp.
Article Date
7/7/2016SunPower Awarded 76 Percent of France's ZNI Tender
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., July 7, 2016 /PRNewswire/ --SunPower Corp. (Nasdaq: SPWR) announced today that it was selected to provide 39.1 megawatts of solar photovoltaic technology under the French government's tender for supplying the country's ZNI (non-interconnected zones) with renewable energy and storage. SunPower secured 27 out of the total of 33 awards, or 76 percent, under the tender program. As part of its award, SunPower developed and will design and build five solar power installations in Corsica and the French West Indies, which will include battery storage technology.
"SunPower applauds the French government for promoting solar power development in the ZNI, and its forward-thinking approach to integrating battery storage with these projects to provide a more resilient, reliable and sustainable utility grid infrastructure," said SunPower Executive Vice President Eduardo Medina. "With experience deploying more than six gigawatts of solar technology around the world, SunPower is committed to working with our customers to deliver the most innovative, high performance solutions to maximize long-term energy output, cost-effectively and sustainably."
SunPower was selected to supply 20.7 megawatts of its high efficiency solar panels, the world's first and only direct current solar panels to achieve the Cradle to Cradle Certified™ Silver designation for sustainable practices used in manufacturing. In addition, the company will design and build five development projects, totaling 18.4 megawatts of solar with battery storage. All of the projects are expected to be operational by mid-year 2019.
In Corsica, SunPower will build two solar power plants of approximately five megawatts each, and one 1.5-megawatt rooftop solar power system. All three projects, totaling 11.3 megawatts, are being developed in partnership with Corsica Sole.
SunPower will build two solar power plant projects on disturbed lands in the French West Indies, including a four-megawatt system at a refinery in Martinique and a three-megawatt system at a quarry in Guadeloupe.
SunPower, an affiliate of Total (CAC: TOTF.PA), operates facilities in De Vernejoul and Toulouse, France, where it sustainably manufactures high efficiency solar panels for the European market and beyond. The company has more than 2.5 gigawatts of solar power plants operating or under contract around the world.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines and projected energy output. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
7/7/2016Southern Company subsidiary acquires Henrietta Solar Project
Source: PR Newswire
ATLANTA, July 6, 2016 /PRNewswire/ -- Southern Company subsidiary Southern Power and SunPower Corp. today announced that Southern Power has acquired a controlling interest in the 102-megawatt (MW) Henrietta Solar Project in Kings County, California, from SunPower, which will own the remaining interest in the project.
"The acquisition of the Henrietta Solar Project underscores Southern Power's leadership in developing renewable energy," said Southern Power President and CEO Buzz Miller. "Through strategic partnerships, including with SunPower, we continue to accelerate our solar generation growth in California."
The Henrietta Solar Project represents Southern Power's first joint venture with SunPower, which developed, designed and is constructing the facility and will operate and maintain it upon completion. Construction began in May 2015, and the project is expected to be fully operational in the third quarter of this year.
"With over 30 years' experience and more than 2.5 gigawatts of innovative solar power plants operating around the world, SunPower is a global leader driving the adoption of reliable, cost-effective solar power at utility scale," said SunPower CEO Tom Werner. "We are proud to partner with Southern Power to deliver long-term value for the utility, its customer, and the California homes and businesses that will benefit from the emission-free power generated by the Henrietta Solar Project."
Existing Southern Power customer Pacific Gas and Electric Company will purchase the electricity and associated renewable energy credits (RECs) generated by the facility under a 20-year power purchase agreement.
SunPower is constructing a SunPower® Oasis® Power Plant system at the approximately 670-acre Henrietta site. Oasis is a fully-integrated, modular solar power block that is engineered to rapidly and cost-effectively deploy utility-scale solar projects while optimizing land use. Once operational, the facility is expected to be capable of generating enough electricity to help meet the energy needs of approximately 24,000 average U.S. homes.
The Henrietta Solar Project fits Southern Power's business strategy of growing its wholesale business through the acquisition and construction of generating assets substantially covered by long-term contracts. With more than 2,100 MW of renewable generating capacity ownership, Southern Power assembled its nationally recognized renewable portfolio through the strategic acquisition or development of 28 solar, wind and biomass projects that are either in operation or under construction across the United States. The Henrietta Solar Project marks Southern Power's 11th solar project in California and is the company's first acquisition in Kings County.
Southern Power provides wholesale generation to more than 40 energy providers that serve more than 40 million customers across the country.
About Southern Power
Southern Power, a subsidiary of Southern Company, is a leading U.S. wholesale energy provider meeting the electricity needs of municipalities, electric cooperatives, investor-owned utilities, and other energy customers. Southern Power and its subsidiaries own or have the rights to 37 facilities operating or under construction in 10 states with more than 10,700 MW of generating capacity in Alabama, California, Florida, Georgia, Maine, Nevada, New Mexico, North Carolina, Oklahoma and Texas.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Southern Company
Southern Company (NYSE: SO) is America's premier energy company, with 44,000 megawatts of generating capacity and 1,500 billion cubic feet of combined natural gas consumption and throughput volume serving 9 million electric and gas utility customers through its subsidiaries. The company provides clean, safe, reliable and affordable energy through electric utilities in four states, natural gas distribution utilities in seven states, a competitive generation company serving wholesale customers across America and a nationally recognized provider of customized energy solutions, as well as fiber optics and wireless communications. Southern Company brands are known for excellent customer service, high reliability and affordable prices that are below the national average. Through an industry-leading commitment to innovation, Southern Company and its subsidiaries are inventing America's energy future by developing the full portfolio of energy resources, including carbon-free nuclear, 21st century coal, natural gas, renewables and energy efficiency, and creating new products and services for the benefit of customers. Southern Company has been named by the U.S. Department of Defense and G.I. Jobs magazine as a top military employer, recognized among the Top 50 Companies for Diversity by DiversityInc, listed by Black Enterprise magazine as one of the 40 Best Companies for Diversity and designated a Top Employer for Hispanics by Hispanic Network. The company has earned a National Award of Nuclear Science and History from the National Atomic Museum Foundation for its leadership and commitment to nuclear development and is continually ranked among the top utilities in Fortune's annual World's Most Admired Electric and Gas Utility rankings. Visit our website at www.southerncompany.com.
Cautionary Notes Regarding Forward-Looking Statements:
Southern Company and Southern Power
Certain information contained in this release is forward-looking information based on current expectations and plans that involve risks and uncertainties. Forward-looking information includes, among other things, statements concerning the construction and subsequent operation of the Henrietta Solar project. Southern Company and Southern Power caution that there are certain factors that can cause actual results to differ materially from the forward-looking information that has been provided. The reader is cautioned not to put undue reliance on this forward-looking information, which is not a guarantee of future performance and is subject to a number of uncertainties and other factors, many of which are outside the control of Southern Company and Southern Power; accordingly, there can be no assurance that such suggested results will be realized. The following factors, in addition to those discussed in each of Southern Company's and Southern Power's Annual Reports on Form 10-K for the year ended December 31, 2015, and subsequent securities filings, could cause actual results to differ materially from management expectations as suggested by such forward-looking information: the ability to control costs and avoid cost overruns during the development and construction of generating facilities, to construct facilities in accordance with the requirements of permits and licenses, and to satisfy any operational and environmental performance standards, including the requirements of tax credits and other incentives; and potential business strategies, including acquisitions or dispositions of assets or businesses, which cannot be assured to be completed or beneficial to Southern Company or Southern Power. Southern Company and Southern Power expressly disclaim any obligation to update any forward-looking information.
SunPower
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE Southern Company
Article Date
7/6/2016Four-Megawatt SunPower System Under Construction at CSU Fullerton
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
FULLERTON, Calif., June 28, 2016 /PRNewswire/ -- At the 15th Annual California Higher Education Sustainability Conference (CHESC) underway this week at California State University, Fullerton (CSUF), the university and SunPower Corp. (Nasdaq: SPWR) announced that construction is underway on a four-megawatt SunPower® solar power system at three university parking areas. CSUF will purchase the emission-free solar power generated by the system under a power purchase agreement that offers competitive rates, enabling the university to offset over one-third of their peak electrical load, potentially saving millions in electricity costs over almost 20 years, according to CSUF.
"With the cost-competitive solar power generated by our SunPower systems, the university will control electricity costs and reduce our carbon footprint," said Willem van der Pol, interim associate vice president for facilities management at CSUF. "SunPower's experience partnering with universities is as important to us as the proven high performance of its technology. CSUF has supported sustainability in our operations for more than two decades, and we are proud to support the long-term health of our students, staff and community by increasing our reliance on solar power."
At the campus, SunPower is constructing solar carports on two parking structures and a parking lot. At all three sites, SunPower will install high efficiency SunPower direct current solar panels, the most efficient on the market today, and the world's first to achieve a Cradle to Cradle Certified™ Silver designation for the sustainable practices and materials used in their manufacturing. In addition to generating power, the carports will provide needed shade. All of the systems are expected to be operational by the end of this year.
"Cal State Fullerton can rely on these SunPower systems to deliver exceptional long term value," said Howard Wenger, SunPower president, business units. "SunPower has extensive experience working with universities and colleges to deliver innovative solar solutions. It is extremely rewarding to enable our higher education institutions to achieve significant operational savings while inspiring students with the great potential of solar power."
CSUF owns the renewable energy credits associated with the systems.
The solar power generated by the system will be equivalent to the energy used by 501 average American homes in one year, according to the estimates provided by the U.S. Environmental Protection Agency. SunPower estimates that one year of solar energy produced by the CSUF system could power more than 2,000 electric vehicles for 30 years.
This project is the latest in a 20-year-plus history of CSUF instituting efficient and sustainable practices. The campus installed its first 1-megawatt solar power system in 2012. It regularly upgrades its lighting efficiency, installed low-flow fixtures and irrigation meters, has constructed LEED-certified buildings, operates an energy-smart tri-generation plant and, in response to California's drought, installed bio-swales to retain rainwater and replaced turf with drought-tolerant plants throughout the campus.
About CSU Fullerton
Cal State Fullerton, a leading institution of the 23-campus California State University system, enrolls more than 38,000 students and offers 109 degree programs. An intellectual and cultural center for Orange County, Cal State Fullerton is a primary driver of workforce and economic development throughout the region and a national model for supporting student success through innovative high-impact educational and co-curricular experiences, including faculty-student collaborative research. The University embraces its rich diversity, recognizing that it both enhances the educational experience for students and uniquely prepares them to excel as emergent leaders in the global marketplace and in their communities. Cal State Fullerton is recognized as a top public university in the West, in particular for its work in supporting underrepresented students in earning a college degree.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
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SOURCE SunPower Corp.
Article Date
6/28/20166/27/2016 - SunPower and Clean Solar Help Children's Discovery Museum of San Jose Save Energy While Changing Lives
SunPower and Clean Solar Help Children's Discovery Museum of San Jose Save Energy While Changing Lives
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 27, 2016 /PRNewswire/ -- Downtown San Jose's iconic purple museum is going green. Clean energy, education, and job training are uniting four local partners on a mission to save energy, educate youth, and rebuild lives. SunPower®, one of the world's most innovative and sustainable companies, is donating 90 solar panels to Children's Discovery Museum of San Jose, and one of the Bay Area's leading solar installers and a SunPower Elite Dealer, Clean Solar, is providing installation services with the help of students from San Jose Conservation Corps, a nonprofit that helps young people get their high school diploma while learning valuable work and life skills. This partnership is part of a larger story unfolding in clean energy that is finding solutions to address climate crisis and income equality. Just ask Edward Wiltz, Jr. and Antonio Fabela – see below.
On June 29 at 11 a.m., Clean Solar technicians and young trainees from the Corps will be joined by San Jose Mayor Sam Liccardo as the team continues its installation of SunPower® panels on the roof of the museum's new fabrication facility, the "Builder Building," where hands-on exhibits are built. The museum estimates it will save between $6,000 and $7,000 annually in energy costs, the companies benefit from being introduced to potential new recruits, and the youth receive valuable training with the opportunity to showcase their skills and work ethic to potential employers.
"We're grateful for these donations from Clean Solar and SunPower.The panels will cover 50 percent of the costs to power the museum's 'Builder Building,' and will be part of future environmental education programs," said Marilee Jennings, the executive director of Children's Discovery Museum of San Jose. "To see this project come together in support of the museum's 'Environmental Stewardship commitment,' and also advance a job training program for disadvantaged youth, is incredibly rewarding for us."
"The passion for innovation, creativity and discovery sparks at an early age," said Mayor Sam Liccardo. "The partnership created today – among SunPower, Clean Solar, the San Jose Conservation Corps, and Children's Discovery Museum -- gives us the opportunity to pique the interests of our youth, while also supplying renewable energy to the museum. In this way, we inspire passionate children and limit carbon emissions. Overall, it's a terrific demonstration of how partnerships help the city accomplish its goals in new ways."
"At SunPower, our team works every day to help change the way our world is powered with our innovative, leading technology and solar solutions," said Doug Richards, executive vice president, administration at SunPower. "The Children's Discovery Museum's solar installation project is a great example of our ability to power an important learning facility in our back yard, educate visitors on environmental stewardship and teach those entering the workforce important skills in a growing sector."
POWERING LIVES
Edward Wiltz, Jr. and Antonio Fabela weren't looking to become symbols of the renewable economy – they were just looking for a way out and a way up.
Ed Wiltz, Jr. first worked with Clean Solar through a federally-funded solar training program, Solar Richmond, when he was 18 years old. "The biggest thing I was up against was making it out of the 'hood.' In Richmond, I didn't really see a lot of hope," said Ed Wiltz, Jr. Soon after, he applied for an installation position in the company - that was five years ago. Currently, Ed is on track to lead his own Clean Solar install team. Ed's story is featured in the award-winning documentary, "Catching the Sun," by director Shalini Kantayya. A national screen tour is currently presenting this film in theaters across the country. Clean Solar CEO, Randy Zechman, stated, "We're really proud and excited to be a part of the team installing solar on Children's Discovery Museum. It's important to make local investments and give back to the community that we live in. Ed Wiltz is a great success story and he's part of our Clean Solar family."
Antonio Fabela, a 21-year-old student with the San Jose Conservation Corps, admittedly made some bad decisions that led to his dropping out of high school. He eventually enrolled in the Corps after deciding, "I didn't want to continue living the same way and I wanted a better life with more opportunities and a good job." Now Antonio's motivated to graduate in 2017 and wants a career in clean tech. "I feel accomplished after each installation," said Antonio. "The San Jose Conservation Corps really helped me turn my life around and I wouldn't be here without their help pushing me to strive for more and to be better."
About Children's Discovery Museum of San Jose
With over 150 interactive exhibits and programs, Children's Discovery Museum of San Jose is one of the largest museums of its kind in the nation. Since opening its doors in 1990, CDM has welcomed over 7 million visitors and has offered new exhibits each year that respond to children's diverse educational needs. The striking 52,000 square foot purple building was designed by Mexico City-based architect Ricardo Legorreta and is a beacon of discovery. Encompassing the broad themes of community, connections and creativity, hands-on exhibits invite self-directed, open-ended explorations. For more information about the Museum, visit www.cdm.org.
About Clean Solar
Clean Solar has been installing residential and commercial solar since 2007 and since day one, has given back to the community with each client selecting a charity for Clean Solar to donate to in their name. To date, Clean Solar has donated over $250,000 to local nonprofits. Clean Solar continues to be at the forefront of exceptional customer service in an effort to change the way home and business owners look at solar. Clean Solar is the Bay Area's leading residential and commercial solar installation company. Home and business owners receive comprehensive, custom solar solutions to meet their specific electricity needs. Along with custom solutions, Clean Solar also offers many financial options including PACE and $0 down solar leases. They are top rated on review sites like Yelp, Angie's List, and Diamond Certified and have numerous awards as the Best Bay Area Solar Installer. Clean Solar is headquartered in San Jose, California, and was founded by Randy Zechman and Jeff Ritchey in 2007. For information about Clean Solar, visit www.CleanSolar.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About San Jose Conservation Corps
San Jose Conservation Corps & Charter School programs have provided quality career technical and construction/green building education programs for 23,000 at-risk youth throughout Santa Clara County for over 28 years. The San Jose Conservation Corps & Charter School offers high school education leading to a diploma, paid career technical education training, as well as YouthBuild and AmeriCorps leadership and service opportunities to youth who have previously dropped out of high school. It is the mission of the San Jose Conservation Corps & Charter School to provide youth with a quality high school education and valuable work and life skills that empower them to become responsive, productive and caring citizens.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are the property of their respective owners.
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SOURCE SunPower Corp.
Article Date
6/27/2016SunPower® Solar Panel Again Raises the Bar in Efficiency
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 27, 2016 /PRNewswire/ -- SunPower has again set a new solar power panel efficiency record, as validated by the U.S. Department of Energy's National Renewable Energy Laboratory (NREL). After achieving 22.8 percent efficiency for its X-Series solar panel earlier this year, SunPower has reached 24.1 percent efficiency – surpassing the previous world record for the highest efficiency of a solar panel using silicon cells.
"With greater efficiency, we can fit more watts on the roof with the outstanding reliability of the SunPower X-Series solar panel," said Peter Cousins, SunPower senior vice president, research, development and deployment. "SunPower's world record efficiency panels offer customers the best value for energy and superior aesthetics due to our unique architecture."
NREL rigorously evaluates renewable energy and energy efficiency technologies and maintains the industry's accepted chart of records. This module was made using laboratory solar cells of 25 percent mean efficiency and builds on the commercially available SunPower X-Series architecture, pushing the design to the next level.
"SunPower's X-Series panel was tested by our lab under standard test or reporting conditions," said NREL scientist Keith Emery, manager of the PV cell and module performance laboratory. "The module measured 11310.1 cm2 (aperture area) and had a power of 272.5 Watts. We recorded 24.1 percent efficiency, which is a new record for silicon module efficiency."
SunPower has a proud tradition of raising the bar on efficiency. In February, NREL tested and verified that a SunPower® X-Series solar panel reached 22.8 percent efficiency – a new world record among panels in production. Compared to conventional solar panels with efficiencies that range from 15 to 18 percent, a SunPower X-Series solar panel produces up to 70 percent more energy in the same space over the first 25 years.
Read more about SunPower's leadership in solar panel efficiency on our blog.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/27/2016SunPower's Cradle to Cradle Certified(TM) Silver Solar Panels Earn Top Product of the Year Award from Environmental Leader
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 24, 2016 /PRNewswire/ -- Since 2014, SunPower has manufactured a portion of its direct current E-Series and X-Series solar panels to meet Cradle to Cradle Certified™ Silver standards and now 100 percent of SunPower® direct current panels hold this certification. This week, Environmental Leader – an energy, environmental and sustainability news source published by Business Sector Media LLC – named SunPower's Cradle to Cradle Certified™ Silver solar panels the 2016 Environmental Leader Product of the Year.
With rapid advancements and a continuous rate of change in the industry, it can be challenging for sustainability and energy professionals to know what products best help their companies increase energy, environmental, and sustainability performance. The Environmental Leader Product & Project Awards give companies a solid base of products, vetted by experts, to choose from, as well as a variety of successful projects to illustrate how sustainability and energy management are helping companies improve.
Scores were determined by a panel of independent judges headed by Peter Bussey of LNS Research and also including judges from Ball Aerospace & Technology, BSI Group, C&A, ConAgra Foods, Denver International Airport, ERM, Fetzer Vineyards, General Motors, LNS Research, MUFG Union Bank, Sears Holding Corporation, Staples, the University of California Berkeley, University of Colorado, U.S. Department of Energy, and USG Corporation.
One judge had this to say about SunPower's Cradle to Cradle Certified™ Silver solar panels:
"A comprehensive approach to the sustainable development of highly efficient solar panels. SunPower is an industry leader in the solar panel market and the only provider who has achieved the Cradle to Cradle Certified™ Silver designation."
The Product of the Year award criteria specifically focuses on innovative products that improve energy management, waste management, water efficiency, supply chain efficiency, packaging, air quality, or any other area of energy and environmental management. Administered by the Cradle to Cradle Products Innovation Institute, Cradle to Cradle certification evaluates a product across five similar categories including material health, material reutilization, renewable energy use, water stewardship, and social fairness.
"SunPower's manufacturing facilities and employees around the world operate with environmental sustainability and social responsibility at their core," said Marty Neese, SunPower chief operating officer. "Customers can trust that we make our solar panels as sustainably as the clean energy they produce, helping them reach long-term sustainability goals like achieving LEED certification for a building or reducing a home's carbon footprint."
Four SunPower facilities located in Mexico, France and the Philippines are producing Cradle to Cradle Certified™ Silver solar panels – the only solar panels in the world that carry the mark. These same SunPower manufacturing sites are on a path to becoming "triple certified" to add landfill-free verification and Leadership in Energy and Environmental Design (LEED) certification to their list of sustainability achievements.
For a comprehensive look at SunPower's sustainable manufacturing initiatives, visit the latest press release here.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Safe Harbor Statement
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our future plans to achieve certain certifications. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited changes in our relationships with our suppliers or in our manufacturing processes. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. Cradle to Cradle Certified™ is a multi-attribute certification program that assesses products and materials for safety to human and environmental health, design for future use cycles, and sustainable manufacturing.
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SOURCE SunPower Corp.
Article Date
6/24/2016New Construction Homes Trending Toward Net Zero Energy with California Leading the Way
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 21, 2016 /PRNewswire/ -- More than 80 percent of buyers today want energy-saving features in a new construction home, according to the National Association of Home Builders (NAHB). Due in part to growing consumer demand, building codes across the U.S. have evolved to encourage more energy-efficient new homes from builders. Title 24, for example, is California's state energy code requiring that all new homes are built to net-zero energy standards by 2020. Effective January 1, 2017, Title 24's updated code will also – for the first time ever – accept solar electric systems as a way for builders to comply.
SunPower (Nasdaq: SPWR), a solar partner trusted by eight of the top 10 U.S. homebuilders, is launching its SunPower Up™ program this week at PCBC, the largest homebuilding tradeshow representing the west coast region. It combines innovative customer segmented sales and marketing strategies for builders with the company's game-changing SunPower Equinox™ solar solution which delivers 70 percent more energy over 25 years with 70 percent fewer visible parts. Designed to help builders efficiently comply with energy codes like Title 24, the SunPower Up™ program is expected to keep builder construction costs down while empowering homebuyers to choose how and from where they purchase electricity for their new home.
"Through our innovative SunPower Up™ program, we'll continue to help homebuilders cost-effectively meet stringent energy codes and higher demand for net-zero energy design," said Howard Wenger, SunPower president, business units. "Homebuyers and homebuilders today understand the return on investment that an energy efficient home delivers, and we look forward to helping both meet their sustainability goals with solar from SunPower."
A renewed commitment to California's New Solar Homes Partnership (NSHP) program offering incentives through June 1, 2018 to homebuilders constructing energy-efficient, solar-powered homes, is also expected to help expedite the number of new production net-zero energy homes on the market. A leading national homebuilder and long-time SunPower partner, KB Home has been constructing net-zero energy homes with solar since 2011.
"For the last five years, we have offered SunPower solar as a standard feature in many KB Home communities," said Jacob Atalla, KB Home, vice president, sustainability initiatives. "KB Home is being proactive in meeting the state's new energy codes, and SunPower's understanding of the homebuilding industry combined with their reliable, high-efficiency solar solutions offer one of the most cost-effective ways for us to accomplish this, while also delivering valuable savings to our homeowners."
Beyond the Golden State, the 2015 International Energy Conservation Code (IECC) has been adopted by more than 47 states and municipalities. Its voluntary Energy Rating Index (ERI) compliance path allows builders to meet code based on a home's overall energy consumption score in a given climate zone. The lower the score, the more energy efficient a home is and the less expensive it is to operate. Today, nearly 40 percent of all new homes are rated based on the Home Energy Rating System (HERS) from Residential Energy Services Network (RESNET). Under the 2015 IECC, a high-efficiency SunPower solar system can be used to lower a home's HERS score and achieve code compliance.
Since 2006, SunPower has helped more than 100 homebuilders across the U.S. offer its reliable solar energy solutions to more than 20,000 new home buyers in nearly 700 communities. Most recently, the company expanded its partnership with Meritage Homes to offer SunPower Equinox systems as a standard feature in select Florida communities throughout 2016. Shortly before Earth Day this year, Meritage Homes introduced its first Florida net-zero energy home producing electricity with a SunPower solar system.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX and SUNPOWER UP are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/21/20167.75-Megawatt SunPower System Planned to Power New Toyota Headquarters
Source: PR Newswire
PLANO, Texas and SAN JOSE, Calif., June 14, 2016 /PRNewswire/ -- SunPower Corp. (Nasdaq: SPWR) and Toyota announced today that SunPower is designing and plans to construct a 7.75-megawatt solar power system at Toyota's new North American headquarters in Plano, Texas, which the auto maker plans to occupy next year. Expected to generate 25 percent of the headquarters' total electricity demand, the system is anticipated to be the largest corporate office on-site solar installation among non-utility companies in the state of Texas.
The project will be comprised of three solar carport structures using high efficiency SunPower® solar panels. Two of the carports will each have a 2.45-megawatt capacity, and are planned to be operational mid-year 2017. The third, 2.83-megawatt solar carport is expected to be delivering power for the Toyota campus by end-of-year 2017.
Compared to conventional solar panels, SunPower solar panels produce 45 percent more power from the same space in the first year of operation, which will allow Toyota to maximize the clean, renewable solar power generated on site. SunPower's direct current panels are also the world's first and only solar panels to achieve the Cradle to Cradle Certified™ Silver designation for the sustainable practices used in their manufacturing.
Toyota is integrating a range of energy efficient technologies and sustainable materials into the design of its state-of-the-art campus, with the intention of achieving USGBC Platinum LEED Certification for the facility. High efficiency, Cradle to Cradle Certified™ Silver SunPower solar panels may offer Toyota a significant advantage toward achieving that goal.
"We are dedicated to making sure our new headquarters campus supports – even redefines – Toyota's commitment to the environment," said Kevin Butt, regional director, North American Environmental Division, Toyota. "The Plano solar system will not only reduce our environmental footprint and educate team members about renewable energy, it moves us closer to Toyota's 2050 global environmental challenge to eliminate carbon emissions in all operations."
"Toyota products are valued for innovation and reliability, and the company clearly has a strong commitment to sustainability. These are features that also differentiate SunPower and our technology, resulting in a powerful synergy between our two organizations," said Howard Wenger, SunPower president, business units. "SunPower is proud that our high-performance solar carport technology will be generating emission-free power at Toyota's new headquarters, raising the bar for corporate solar leadership in Texas and beyond."
SunPower solar power systems are currently operating a number of Toyota facilities in the U.S.:
Toyota estimates that the SunPower system installed at its new headquarters will reduce carbon dioxide emissions by approximately 7122 metric tons, or the equivalent of almost 1,000 homes electricity usage for a year, and will position Toyota as the leader among auto companies in U.S. for installed solar power.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Toyota
Toyota, the world's top automaker and creator of the Prius and the Mirai fuel cell vehicle, is committed to building vehicles for the way people live through our Toyota, Lexus and Scion brands. Over the past 50 years, we've built more than 30 million cars and trucks in North America, where we operate 14 manufacturing plants (10 in the U.S.) and directly employ more than 44,000 people (more than 34,000 in the U.S.). Our 1,800 North American dealerships (1,500 in the U.S.) sold more than 2.8 million cars and trucks (nearly 2.5 million in the U.S.) in 2015 – and about 80 percent of all Toyota vehicles sold over the past 20 years are still on the road today.
Toyota partners with philanthropic organizations across the country, with a focus on education, safety and the environment. As part of this commitment, we share the company's extensive know-how garnered from building great cars and trucks to help community organizations and other nonprofits expand their ability to do good. For more information about Toyota, visit www.toyotanewsroom.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding construction, completion and delivery schedules, expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. Cradle to Cradle Certified™ is a multi-attribute certification program that assesses products and materials for safety to human and environmental health, design for future use cycles, and sustainable manufacturing.
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Article Date
6/14/20166/13/2016 - Con Edison "Virtual Power Plant" Program Combines Solar and Storage to Improve Grid Resiliency
Con Edison "Virtual Power Plant" Program Combines Solar and Storage to Improve Grid Resiliency
Source: PR Newswire
NEW YORK, June 13, 2016 /PRNewswire/ -- Beginning this summer, Con Edison (NYSE: ED) and SunPower Corp. (Nasdaq: SPWR) will partner on a pilot program to offer solar power systems with battery storage to more than 300 New York homeowners. The aggregation of hundreds of homes with solar power and battery storage will provide the utility with a cost-effective and innovative "virtual power plant," providing participating homeowners with a backup system in case of an outage while also supplementing the traditional energy delivery model to improve grid resiliency, reliability and sustainability.
With the integration of over 1.8 megawatts of solar power and about 1.8 megawatts, or 4 megawatt hours, of battery storage, this partnership will represent the largest residential distributed energy storage program in the U.S. It results from New York's Reforming the Energy Vision (REV) initiative, designed to harness and integrate renewables into the state's power grid.
Under the program, qualified participants will have leased high-efficiency SunPower® solar systems installed on their homes to help reduce the homeowners' monthly electricity costs. For an additional low monthly payment, participants also will have Sunverge Energy battery systems, owned by Con Edison, installed and connected to their SunPower systems. In the event of an outage, solar power stored in a participant's battery storage system will be available to power certain essential load appliances in the home.
Using the storage system's intelligence, Con Edison will be able to link the hundreds of solar-plus-storage systems together into a "virtual power plant" that can act as a local generation resource to supply power to the grid during peak usage periods. Supervisory control and data acquisition (SCADA) integration will provide remote monitoring and control, allowing Con Edison to forecast and optimize the performance and reduce the need for the utility to rely on traditional non-renewable power sources to meet peak demand.
"The integrated solar and storage approach enhances value to the grid by providing a dispatchable renewable power source that Con Edison can control and rely on in real time," said Matthew Ketschke, Con Edison's vice president of Distributed Resource Integration. "We are excited to offer customers high performance SunPower systems for no upfront cost, and a cheaper, greener, simpler alternative to a traditional backup generator."
"This ambitious program with Con Edison represents a significant milestone in U.S. energy delivery, demonstrating that combining solar and energy storage can result in a stronger, more resilient grid while providing end customers the opportunity to save on electricity bills," said Howard Wenger, SunPower president, business units. "Increasingly, SunPower is working with forward-thinking utilities to integrate advanced energy solutions and enable the transition to a more sustainably powered world."
"Solar plus storage facilitates innovative new approaches for utilities to serve customers, including alternative tariff structures and virtual power plants, and Con Edison is at the forefront of that innovation," said Sunverge Co-Founder and CEO Ken Munson. "We're proud to partner with Con Edison and SunPower on this very significant project, providing intelligent storage to help ensure the delivery of reliable renewable power to New York residents even during power outages."
Con Edison residential homeowner customers who are interested in participating in the program can find more information here: http://solar.sunpower.com/asp-nystorage
About Con Edison
Con Edison is a subsidiary of Consolidated Edison, Inc. [NYSE: ED], one of the nation's largest investor-owned energy companies, with approximately $13 billion in annual revenues and $46 billion in assets. The utility provides electric, gas and steam service to more than three million customers in New York City and Westchester County, New York. For additional financial, operations and customer service information, visit us on the web at www.conEd.com, for energy efficiency rebates and incentives at www.coned.com/energyefficiency, and on Twitter and Facebook.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About Sunverge
San Francisco-based Sunverge Energy allows homeowners efficient management of their own renewable energy generation and helps utilities, retailers and solar power providers manage those renewable power sources and aggregate them into Virtual Power Plants across neighborhoods, communities and entire service areas — reliably, effectively and intelligently. Founded in 2009, the company makes the Sunverge Solar Integration System (SIS), a distributed energy storage and management appliance comprised of powerful storage batteries, power electronics, and system-management software running in the cloud. The Sunverge SIS lowers costs, increases energy reliability, strengthens the grid, and accelerates the adoption and integration of distributed renewable energy. Investors include the Australian Renewable Energy Agency (ARENA), SBCVC, Siemens Venture Capital and Total Energy Ventures International. For more information, please visit www.sunverge.com.
SunPower's Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected product performance, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to regulatory changes and the availability of economic incentives promoting use of solar energy, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/13/20166/9/2016 - Hundreds of California High School Students' Summer Plans Include SunPower's Solar Energy Academy
Hundreds of California High School Students' Summer Plans Include SunPower's Solar Energy Academy
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 9, 2016 /PRNewswire/ -- Approximately 550 students from more than 30 California school districts are planning to participate in this summer's SunPower® Solar Energy Academy, an innovative work-based learning program provided by SunPower Corp., a global solar technology and energy services company.
In total, nearly 1,000 students and more than 110 teachers have participated since the summer academy was launched in 2012; there are nearly twice the numbers of students and districts enrolled in this year's programs as participated last summer.
The project- and activity-based learning program is delivered over the course of one week in each participating region, immersing high school students in a solar-focused curriculum that emphasizes the real-world application of science, technology, engineering and mathematics (STEM). Participating students and teachers work with industry professionals, and participate in learning laboratories and field trips to nearby solar system installations. The program concludes with student presentations to a panel of industry representatives, school board members, teachers and community leaders.
"As solar power plays an increasingly critical role in meeting global energy demand, students participating in the SunPower Solar Energy Academy may be the engineers and business leaders charting our energy future," said Bill Kelly, SunPower vice president, Commercial Americas. "In the process of learning about solar technology and energy solutions, the students' enthusiasm and ability to understand complex concepts is very inspiring. SunPower is proud of the increasing number of participants in the Solar Energy Academy program we attract each year."
The 2016 summer schedule started this week with 36 students and teachers from Pajaro Valley Unified School District (PVUSD) joining STEM instructors and solar professionals at Cabrillo College in Watsonville, Calif. to learn the engineering, design and economics of residential solar power systems.
"This is the third year we are offering this SunPower program to our students and staff, and we're excited to get started," said PVUSD Assistant Superintendent of Curriculum and Instruction Susan Perez. "The SunPower Solar Energy Academy brings relevant and real-life knowledge into the classroom, while preparing students for the challenges of the 21st century. We're proud to support the development of our district's young people with this valuable STEM curriculum during the summer months."
Other Northern California school districts participating in this summer's program include Antioch, Benicia, East Side Union, Fairfield-Suisun, Mount Diablo, Napa Valley, Oakland, Pittsburg, San Jose, San Rafael City, San Ramon Valley, Tamalpais Union, Travis, Vacaville, Vallejo, Novato and West Contra Costa. Participating Central Valley districts include Dinuba, Kern, Lindsay, Lemoore, Orosi and Porterville. In Southern California, school districts engaged in the program include Santa Ana, Colton, Escondido, Fontana, Grossmont, Moreno Valley, Oxnard, Rialto and San Bernardino City. Several of these districts also participated in the program in previous years.
SunPower is a leader in delivering innovative energy solutions to California school districts. At 23 school districts across the state, the company has installed solar power systems totaling more than 90 megawatts which, according to the Solar Energy Industries Association, generates the equivalent amount of power for 22,500 average California homes.
The SunPower Solar Energy Academy is one offering of the SunPower Horizons™ initiative, the company's suite of educational programs that also includes project-based STEM curriculum delivered in partnership with Project Lead the Way, a provider of world-class STEM programs. Since 2008, SunPower's educational programs have reached more than 13,500 students in the U.S.
In 2014, the Solar Foundation estimated that more than 3,700 K-12 schools in the U.S. have solar power systems on site, serving nearly 2.7 million students across the nation and saving about $77.8 million in electricity costs annually.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and SUNPOWER HORIZONS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/9/2016SunPower To Begin Construction on Solar Power Plant at U.S. Army Post Redstone Arsenal
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., June 3, 2016 /PRNewswire/ -- SunPower Corp. (Nasdaq: SPWR) announced today that it expects to start construction this month on a 10-megawatt (DC) photovoltaic solar power plant that is expected to generate up to 18,000 megawatt hours per year for the Redstone Arsenal U.S. Army post in Alabama. SunPower is delivering the energy from the plant under a power purchase agreement, allowing the Army to buy 100 percent of the power generated by the plant and avoid the costs of power plant construction, maintenance and operation.
"This represents a continuation of the Army's deployment of renewable energy at installations across the country. It is symbolic of the changing dynamics of energy produced in the United States, especially in the Southeast," said Richard Kidd, deputy assistant secretary of the Army (Energy and Sustainability). "The project substantially increases the amount of installed solar power in Alabama at no additional cost to consumers. It is also testament to what the Army can accomplish by working with industry stakeholders such as SunPower, local officials, and other partners such as the U.S Army Corps of Engineers and Redstone Arsenal."
"Every renewable energy project we implement brings our Army closer to its energy goals and further strengthens our energy security," said former Col. Robert Ruch, Huntsville Center commander. "Under this agreement, we are benefitting from cost-competitive, reliable solar power without the upfront costs of asset ownership."
"Solar is cost-competitive with traditional energy sources today, and is helping the U.S. military reduce operational costs," said Howard Wenger, SunPower president, business units. "We commend Redstone Arsenal for managing its significant energy demand by relying on abundant, renewable solar power. The high performance SunPower® technology we are installing for the agency will maximize energy production over the long term."
The innovative project, developed by Redstone Arsenal's Directorate of Public Works, the U.S. Army Office of Energy Initiatives and the U.S. Army Corps of Engineers - Huntsville Center's Energy Division, is the first power purchase agreement project solicited through a renewable and alternative energy Multiple Award Task Order Contract (MATOC) awarded by Huntsville Center. It will involve a 27-year Renewable Energy Services Agreement and lease with SunPower, which has designed the project, and will construct, operate and maintain it.
Under the power purchase agreement, SunPower will deliver approximately 18,000 megawatt hours of electricity to the Army annually. All electricity generated by the plant will be purchased at a cost equal to or less than Redstone Arsenal's current and projected utility rates. The solar system is also being designed as micro-grid ready so it may be connected to a future micro-grid and thereby contribute to the overall energy security of the installation.
SunPower designed and is installing a SunPower® Oasis® Power Plant system at the site. The Oasis system is a fully-integrated, modular solar power block that is engineered for rapid and cost-effective deployment of utility-scale solar projects while optimizing land use. The technology includes robotic solar panel cleaning capability that uses 75 percent less water than traditional cleaning methods and can help improve system performance by up to 15 percent.
SunPower calculates the annual output from the power plant will be equal to the electricity needed to power approximately 5,400 electric vehicles. The plant is expected to offset the equivalent amount of annual carbon emissions as 10,000 acres of U.S. forests can neutralize in one year, according to estimates provided by the U.S. Environmental Protection Agency.
The U.S. Army has a goal to derive 25 percent of total energy consumed from renewable sources by 2025, as well as a commitment to deploy one gigawatt of renewable energy on Army installations by 2025.
SunPower has installed more than 100 megawatts of solar power at 33 federal government project sites, including some of the largest operating solar power plants on U.S. military installations. Operational projects include more than 28 megawatts at Nellis Air Force Base in Nevada and 13.78 megawatts at Naval Air Weapons Station China Lake in California.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
6/3/2016Colbún Awards 15-Year Contract To Total And SunPower
Source: PR Newswire
SANTIAGO, Chile, May 26, 2016 /PRNewswire/ -- This morning, Colbún S.A. announced the award of a 15-year power purchase agreement to Total (CAC: TOTF.PA) and SunPower (Nasdaq: SPWR) for 500 gigawatt hours (GWh) of photovoltaic solar energy per year, with the construction of a 164MW solar power plant. The decision resulted from a competitive tender process, in which more than 13 companies participated submitting more than 20 power purchase agreements alternatives.
"This contract is a further step towards strategy optimizing our generation mix and strengthening our market position," said Thomas Keller, CEO of Colbún.
Colbún is the second largest generation company in Chile's Central Interconnected System (SIC) and has promoted the development of more than 350 MW of NCRE power generation projects, including solar, mini hydro and wind technologies.
"As a world leader in the solar industry, we are proud to launch a new solar project with Colbún, delivering 500 gigawatt hours per year of reliable, cost-effective clean power," says Bernard Clément, senior vice president of Business & Operations, of the New Energies division of Total. "We are pleased to assist Chile in the diversification of its energy mix and we look forward to further developing our solar activities in the country. This project supports our ambition to become the responsible energy major."
SunPower, an affiliate of Total and a global solar technology provider, has over 30 years of experience in the solar industry, including six gigawatts (GW) of solar projects around the world. SunPower will design and build the project and provide operations and maintenance once it is operational. The company will construct a SunPower® Oasis® Power Plant system at the site. Oasis is a fully-integrated, modular solar power block that is engineered for rapid and cost-effective deployment of utility-scale solar projects while optimizing land use. The technology includes robotic solar panel cleaning capability that uses 75 percent less water than traditional cleaning methods and can help improve system performance by up to 15 percent.
"SunPower is proud to provide Colbún's customers with cost-competitive, renewable solar power," said Eduardo Medina, executive vice president, global power plants, SunPower. "Solar is an ideal energy source for Chile because of the country's high solar resource and transparent energy policies. In partnership with Total, SunPower is committed to the continued growth of our business in Chile."
About Colbún S.A.
Colbun SA is a company dedicated to power generation. It owns 24 plants across Chile and Peru, through which it supplies 3,852 MW of the installed capacity. With 21% market share in Chile's Central Interconnected System and nearly 1,000 employees, it is SIC's second largest generation company. Its portfolio of assets has a balanced distribution of thermal and hydraulic generation.
About Total
Total is a global integrated energy producer and provider, a leading international oil and gas company, and the world's second-ranked solar energy operator with SunPower. Our 96,000 employees are committed to better energy that is safer, cleaner, more efficient, more innovative and accessible to as many people as possible. As a responsible corporate citizen, we focus on ensuring that our operations in more than 130 countries worldwide consistently deliver economic, social and environmental benefits. total-chile.cl or total.com
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
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SOURCE SunPower Corp.
Article Date
5/26/2016The World's First Metro to Run on Solar Energy Powered by Total and SunPower
Source: PR Newswire
SANTIAGO, Chile, May 23, 2016 /PRNewswire/ -- Total and SunPower Corp. (Nasdaq: SPWR) today announced that SunPower has signed a power purchase agreement for the supply of 300 gigawatt hours per year of clean solar energy to Metro of Santiago. With this agreement, Metro of Santiago will become the first public transportation system in the world to run mostly on solar energy. Metro of Santiago currently serves 2.2 million passengers per day.
The power will be generated from the El Pelícano Solar Project, a 100-megawatt (AC) project near the municipalities of La Higuera (Coquimbo Region) and Vallenar (Atacama Region). Construction of the solar power plant will begin this year, with expected operation by the end of 2017.
"This contract is expressing Chile's commitment for a sustainable world. We are proud to partner with Metro in developing a new way of powering public transportation systems through competitive, reliable and clean energy. This project supports our ambition to become the responsible energy major," says Bernard Clément, senior vice president of Business & Operations, of the New Energies division of Total.
"SunPower is proud to serve Metro of Santiago's growing energy demand with cost-competitive, renewable solar power," said Eduardo Medina, executive vice president, global power plants, SunPower. "Solar is an ideal energy source for Chile because of the country's high solar resource and transparent energy policies. In partnership with Total, SunPower is committed to the continued growth of our business in Chile."
SunPower, a leading global solar technology company and an affiliate of Total, will design and build the project and provide operations and maintenance once it is operational. The company will construct a SunPower® Oasis® power plant system at the site. The Oasis system is a fully-integrated, modular solar power block that is engineered for rapid and cost-effective deployment of utility-scale solar projects while optimizing land use. The technology includes robotic solar panel cleaning capability that uses 75 percent less water than traditional cleaning methods and can help improve system performance by up to 15 percent.
About Total
Total is a global integrated energy producer and provider, a leading international oil and gas company, and the world's second-ranked solar energy operator with SunPower. Our 96,000 employees are committed to better energy that is safer, cleaner, more efficient, more innovative and accessible to as many people as possible. As a responsible corporate citizen, we focus on ensuring that our operations in more than 130 countries worldwide consistently deliver economic, social and environmental benefits. total-chile.cl or total.com
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy; challenges inherent in constructing and maintaining certain of our large projects; maintaining or increasing our manufacturing capacity, containing associated costs, and manufacturing difficulties that could arise; challenges managing our joint ventures and partnerships;and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and OASIS are trademarks or registered trademarks of SunPower Corporation in Chile, in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
5/23/20165/5/2016 - SunPower Reports First Quarter 2016 Results
SunPower Reports First Quarter 2016 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., May 5, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) today announced financial results for its first quarter ended April 3, 2016.
|
($ Millions, except percentages and per-share data) |
1st Quarter 2016 |
4th Quarter 2015 |
1st Quarter 2015 |
|
GAAP revenue |
$384.9 |
$374.4 |
$440.9 |
|
GAAP gross margin |
13.4% |
5.4% |
20.6% |
|
GAAP net loss |
($85.4) |
($127.6) |
($9.6) |
|
GAAP net loss per diluted share |
($0.62) |
($0.93) |
($0.07) |
|
Non-GAAP revenue1 |
$433.6 |
$1,363.9 |
$430.6 |
|
Non-GAAP gross margin1 |
13.6% |
28.8% |
20.5% |
|
Non-GAAP net income (loss)1 |
($41.2) |
$270.4 |
$19.7 |
|
Non-GAAP net income (loss) per diluted share1 |
($0.30) |
$1.73 |
$0.13 |
|
EBITDA1 |
$6.3 |
$379.9 |
$58.8 |
|
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"Our first quarter results reflect solid execution against our long term strategy," said Tom Werner, SunPower president and CEO. "With the recent launch of our Helix™ and SunPower Equinox™ complete solutions for the commercial and residential markets respectively, we are now in a position to offer standardized plug and play solutions across all primary solar applications from large scale power plants to individual homes and businesses. This positions SunPower very well to facilitate the adoption of solar power as a mainstream energy technology. In our upstream solar cell and panel manufacturing operations, we delivered strong yields and record panel output, and we continue to ramp volume at our new Fab 4 cell manufacturing facility. During the quarter, we also began commercial shipments of our new, lower cost, high efficiency Performance Series panel product line and we are on track to ramp volume significantly starting in the third quarter.
"In our power plant business, consistent with our strong, historical delivery execution, we continued construction on a number of key U.S. projects slated for completion during the second half of 2016, including our 100-megawatt (MW) project for NV Energy, the 102-MW Henrietta power plant and our 68-MW project for Stanford University. Additionally, we achieved commercial operation on our 50-MW Hooper project for Xcel Energy, a project currently owned by 8point3 Energy Partners. SunPower also achieved notable international success during the first quarter when we were awarded approximately 500-MW of power purchase agreements in Mexico's first electricity auction. This award comprised approximately 25 percent of the awarded solar capacity, or around 20 percent of the entire awarded energy across all resources, and demonstrates the increasing cost competitiveness of wholesale solar power versus competing technologies. We also expect to begin construction of our second solar power plant project in Chile later this year with a capacity of approximately 100-MW. With a pipeline of more than 2.5 gigawatts (GW) in Latin America and more than 14-GW globally, we see significant long term opportunity in the power plant segment.
"Our residential business continued its strong performance as we met or exceeded our quarterly goals across all regions. In North America, we grew recognized megawatts by more than 50 percent year over year, gained market share, and launched our SunPower Equinox complete residential solution in the U.S. We believe this fully integrated product generates up to 70 percent more lifetime energy with 70 percent fewer visible components compared with a conventional residential system, while reducing installation time and improving quality and aesthetics. We also added a key residential channel partnership during the quarter including an exclusive co-marketing agreement with AT&T. With solid residential industry fundamentals, particularly in the U.S, we expect continued strong performance in this segment during 2016.
"We also made significant progress in our commercial business during the quarter, adding projects to our pipeline which stands over $1 billion. The rollout of our new Helix platform is going very well as we installed our first commercial system during the quarter. As a result, we expect to double our commercial market share in the U.S. this year. Internationally, we also had a significant win in Japan during the quarter, where we booked a 17-MW supply contract with a leading Japanese commercial rooftop project developer," Werner concluded.
"Overall, we executed well in the first quarter as we achieved our development targets and saw solid performance across our segments," said Chuck Boynton, SunPower CFO. "We continued to add to our HoldCo asset base with a number of large projects scheduled for completion in the second half of the year. We exited the quarter with a strong balance sheet including significant liquidity through our $300 million revolver, which remains undrawn. In addition, we were pleased to close our most recent financing, a $200 million construction revolver that will be used to finance our anticipated growth, primarily in the commercial sector."
Additionally, first quarter fiscal 2016 non-GAAP results include net adjustments that, in the aggregate, decreased non-GAAP net loss by $44.2 million, including $10.7 million related to 8point3 Energy Partners, $3.6 million related to utility and power plant projects, $3.1 million related to sale of operating lease assets, $16.5 million related to stock-based compensation expense, $8.6 million related to other adjustments, and $1.7 million related to tax effect.
Financial Outlook
The company's second quarter fiscal 2016 non-GAAP guidance is as follows: revenue of $310 million to $360 million, gross margin of 12 percent to 14 percent, EBITDA of $0 to $25 million and megawatts deployed in the range of 360 MW to 385 MW. On a GAAP basis, the company expects revenue of $290 million to $340 million, gross margin of 10 percent to 12 percent and net loss of $90 million to $65 million. Second quarter 2016 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting.
For fiscal year 2016, the company's non-GAAP financial guidance is unchanged. Non-GAAP expectations are as follows: revenue of $3.2 billion to $3.4 billion, gross margin of 14 percent to 16 percent, EBITDA of $450 million to $500 million, capital expenditures of $210 million to $260 million and gigawatts deployed in the range of 1.6 GW to 1.9 GW.
On a GAAP basis, the company now expects 2016 revenue of $2.8 billion to $3.0 billion, gross margin of 13 percent to 15 percent and net income of $0 million to $50 million. Fiscal year 2016 GAAP guidance includes the impact of the company's HoldCo asset strategy and revenue and timing deferrals due to real estate accounting.
The company will host a conference call for investors this afternoon to discuss its first quarter 2016 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its first quarter 2016 performance on the Events and Presentations section of the SunPower Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) our ability to facilitate the adoption of solar power; (b) the ramping of panel production; (c) construction, completion and delivery schedules; (d) expectations around our future opportunities, performance and market share across our business segments; (e) the expected performance of our SunPower Equinox integrated offering; (f) our project pipeline; (g) second quarter fiscal 2016 guidance, including non-GAAP revenue, gross margin, EBITDA, and MW deployed, as well as GAAP revenue, gross margin, and net loss; and (h) full year fiscal 2016 guidance, including non-GAAP revenue, gross margin, capital expenditures, and gigawatts deployed, as well as GAAP revenue, gross margin and net income. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the industry and downward pressure on average selling prices; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) regulatory changes and the availability of economic incentives promoting use of solar energy; (4) challenges inherent in constructing certain of our large projects; (5) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (6) fluctuations in our operating results; (7) maintaining or increasing our manufacturing capacity, containing associated costs, and manufacturing difficulties that could arise; (8) challenges managing our joint ventures and partnerships; (9) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; and (10) fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All rights reserved. SUNPOWER, the SUNPOWER logo, SUNPOWER EQUINOX, and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Apr. 3, |
Jan. 3, | ||
|
2016 |
2016 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 555,178 |
$ 954,528 | |
|
Restricted cash and cash equivalents, current portion |
24,572 |
24,488 | |
|
Accounts receivable, net |
177,443 |
190,448 | |
|
Costs and estimated earnings in excess of billings |
56,503 |
38,685 | |
|
Inventories |
386,787 |
382,390 | |
|
Advances to suppliers, current portion |
95,421 |
85,012 | |
|
Project assets - plants and land, current portion |
662,868 |
479,452 | |
|
Prepaid expenses and other current assets |
415,128 |
359,517 | |
|
Total current assets |
2,373,900 |
2,514,520 | |
|
Restricted cash and cash equivalents, net of current portion |
43,470 |
41,748 | |
|
Restricted long-term marketable securities |
6,560 |
6,475 | |
|
Property, plant and equipment, net |
802,944 |
731,230 | |
|
Solar power systems leased and to be leased, net |
561,534 |
531,520 | |
|
Project assets - plants and land, net of current portion |
5,900 |
5,072 | |
|
Advances to suppliers, net of current portion |
251,763 |
274,085 | |
|
Long-term financing receivables, net |
378,802 |
334,791 | |
|
Goodwill and other intangible assets, net |
110,715 |
119,577 | |
|
Other long-term assets |
299,267 |
297,975 | |
|
Total assets |
$ 4,834,855 |
$ 4,856,993 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 530,178 |
$ 514,654 | |
|
Accrued liabilities |
283,502 |
313,497 | |
|
Billings in excess of costs and estimated earnings |
142,210 |
115,739 | |
|
Short-term debt |
63,348 |
21,041 | |
|
Customer advances, current portion |
35,307 |
33,671 | |
|
Total current liabilities |
1,054,545 |
998,602 | |
|
Long-term debt |
498,197 |
478,948 | |
|
Convertible debt |
1,111,466 |
1,110,960 | |
|
Customer advances, net of current portion |
119,423 |
126,183 | |
|
Other long-term liabilities |
562,723 |
564,557 | |
|
Total liabilities |
3,346,354 |
3,279,250 | |
|
Redeemable noncontrolling interests in subsidiaries |
78,818 |
69,104 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
138 |
137 | |
|
Additional paid-in capital |
2,376,771 |
2,359,917 | |
|
Accumulated deficit |
(833,026) |
(747,617) | |
|
Accumulated other comprehensive loss |
(12,599) |
(8,023) | |
|
Treasury stock, at cost |
(174,142) |
(155,265) | |
|
Total stockholders' equity |
1,357,142 |
1,449,149 | |
|
Noncontrolling interests in subsidiaries |
52,541 |
59,490 | |
|
Total equity |
1,409,683 |
1,508,639 | |
|
Total liabilities and equity |
$ 4,834,855 |
$ 4,856,993 | |
|
SUNPOWER CORPORATION | ||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||
|
(In thousands, except per share data) | ||||||
|
(Unaudited) | ||||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | ||||
|
2016 |
2016 |
2015 | ||||
|
Revenue: |
||||||
|
Residential |
$ 151,807 |
$ 172,428 |
$ 155,324 | |||
|
Commercial |
52,241 |
80,113 |
49,063 | |||
|
Power Plant |
180,827 |
121,823 |
236,484 | |||
|
Total revenue |
384,875 |
374,364 |
440,871 | |||
|
Cost of revenue: |
||||||
|
Residential |
118,160 |
142,287 |
122,772 | |||
|
Commercial |
45,226 |
81,541 |
46,880 | |||
|
Power Plant |
169,952 |
130,233 |
180,401 | |||
|
Total cost of revenue |
333,338 |
354,061 |
350,053 | |||
|
Gross margin |
51,537 |
20,303 |
90,818 | |||
|
Operating expenses: |
||||||
|
Research and development |
32,706 |
32,362 |
21,168 | |||
|
Selling, general and administrative |
97,791 |
105,643 |
77,214 | |||
|
Restructuring charges |
96 |
335 |
3,581 | |||
|
Total operating expenses |
130,593 |
138,340 |
101,963 | |||
|
Operating loss |
(79,056) |
(118,037) |
(11,145) | |||
|
Other expense, net |
(18,416) |
(13,282) |
(17,745) | |||
|
Loss before income taxes and equity in earnings (loss) of unconsolidated investees |
(97,472) |
(131,319) |
(28,890) | |||
|
Provision for income taxes |
(3,181) |
(28,778) |
(2,351) | |||
|
Equity in earnings (loss) of unconsolidated investees |
(764) |
462 |
2,191 | |||
|
Net loss |
(101,417) |
(159,635) |
(29,050) | |||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
16,008 |
32,014 |
19,469 | |||
|
Net loss attributable to stockholders |
$ (85,409) |
$ (127,621) |
$ (9,581) | |||
|
Net loss per share attributable to stockholders: |
||||||
|
- Basic |
$ (0.62) |
$ (0.93) |
$ (0.07) | |||
|
- Diluted |
$ (0.62) |
$ (0.93) |
$ (0.07) | |||
|
Weighted-average shares: |
||||||
|
- Basic |
137,203 |
136,653 |
132,033 | |||
|
- Diluted |
137,203 |
136,653 |
132,033 | |||
|
SUNPOWER CORPORATION | |||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||
|
(In thousands) | |||||
|
(Unaudited) | |||||
|
THREE MONTHS ENDED | |||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | |||
|
2016 |
2016 |
2015 | |||
|
Cash flows from operating activities: |
|||||
|
Net loss |
$ (101,417) |
$ (159,635) |
$ (29,050) | ||
|
Adjustments to reconcile net loss to net cash used in operating activities: |
|||||
|
Depreciation and amortization expense |
42,117 |
40,638 |
28,563 | ||
|
Stock-based compensation |
16,520 |
16,476 |
13,546 | ||
|
Non-cash interest expense |
346 |
416 |
4,680 | ||
|
Equity in loss (earnings) of unconsolidated investees |
764 |
(462) |
(2,191) | ||
|
Excess tax benefit from stock-based compensation |
- |
(14,285) |
(572) | ||
|
Deferred income taxes |
(1,169) |
41,004 |
(5,078) | ||
|
Other, net |
890 |
649 |
855 | ||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||
|
Accounts receivable |
12,561 |
19,641 |
32,735 | ||
|
Costs and estimated earnings in excess of billings |
(17,525) |
408 |
140,970 | ||
|
Inventories |
(18,248) |
(50,611) |
(108,072) | ||
|
Project assets |
(179,376) |
(263,218) |
(93,150) | ||
|
Prepaid expenses and other assets |
(45,034) |
(99,650) |
(25,090) | ||
|
Long-term financing receivables, net |
(44,011) |
(34,555) |
(29,198) | ||
|
Advances to suppliers |
11,913 |
20,760 |
13,903 | ||
|
Accounts payable and other accrued liabilities |
(69,974) |
150,745 |
(51,781) | ||
|
Billings in excess of costs and estimated earnings |
26,866 |
34,629 |
5,621 | ||
|
Customer advances |
(5,124) |
179 |
(10,099) | ||
|
Net cash used in operating activities |
(369,901) |
(296,871) |
(113,408) | ||
|
Cash flows from investing activities: |
|||||
|
Decrease (increase) in restricted cash and cash equivalents |
(1,806) |
4,485 |
(18,828) | ||
|
Purchases of property, plant and equipment |
(47,044) |
(97,699) |
(24,564) | ||
|
Cash paid for solar power systems, leased and to be leased |
(23,238) |
(23,957) |
(19,403) | ||
|
Proceeds from (payments to) 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
(9,968) |
175,863 |
- | ||
|
Cash paid for acquisitions, net of cash acquired |
- |
(5,735) |
- | ||
|
Cash paid for investments in unconsolidated investees |
(9,752) |
- |
- | ||
|
Cash paid for intangibles |
- |
(6,535) |
(526) | ||
|
Net cash provided by (used in) investing activities |
(91,808) |
46,422 |
(63,321) | ||
|
Cash flows from financing activities: |
|||||
|
Proceeds from issuance of convertible debt, net of issuance costs |
- |
416,305 |
- | ||
|
Cash paid for repurchase of convertible debt |
- |
- |
(324,273) | ||
|
Proceeds from settlement of 4.50% Bond Hedge |
- |
- |
74,628 | ||
|
Repayment of bank loans and other debt |
(7,725) |
(231) |
(7,946) | ||
|
Proceeds from issuance of non-recourse residential financing, net of issuance costs |
28,339 |
17,444 |
- | ||
|
Repayment of non-recourse residential financing |
(1,065) |
(445) |
(10,944) | ||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
24,082 |
47,149 |
45,890 | ||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests attributable to residential projects |
(5,309) |
(3,501) |
(2,260) | ||
|
Proceeds from issuance of non-recourse power plant and commercial financing, net of issuance costs |
79,440 |
212,709 |
90,718 | ||
|
Repayment of non-recourse power plant and commercial financing |
(37,301) |
(12,166) |
(90) | ||
|
Contributions from noncontrolling interests attributable to power plant and commercial projects |
- |
12,410 |
- | ||
|
Proceeds from exercise of stock options |
- |
50 |
3 | ||
|
Excess tax benefit from stock-based compensation |
- |
14,285 |
572 | ||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(18,876) |
(1,373) |
(38,704) | ||
|
Net cash provided by (used in) financing activities |
61,585 |
702,636 |
(172,406) | ||
|
Effect of exchange rate changes on cash and cash equivalents |
774 |
(540) |
(5,467) | ||
|
Net increase (decrease) in cash and cash equivalents |
(399,350) |
451,647 |
(354,602) | ||
|
Cash and cash equivalents, beginning of period |
954,528 |
502,881 |
956,175 | ||
|
Cash and cash equivalents, end of period |
$ 555,178 |
$ 954,528 |
$ 601,573 | ||
|
Non-cash transactions: |
|||||
|
Assignment of financing receivables to third parties |
$ 1,097 |
$ 573 |
$ 1,307 | ||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
15,085 |
19,309 |
14,664 | ||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
9,050 |
10,972 |
6,388 | ||
|
Costs of solar power systems under sale-leaseback financing arrangements sourced from project assets |
- |
- |
1,050 | ||
|
Property, plant and equipment acquisitions funded by liabilities |
81,369 |
28,950 |
20,185 | ||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
8,726 |
97,272 |
- | ||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income; net income per diluted share; and earnings before interest, taxes, depreciation and amortization ("EBITDA"). Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, and the sale of operating lease assets as described below. Non-GAAP gross margin includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, stock-based compensation, and other items as described below. In addition to those same adjustments, non-GAAP net income and non-GAAP net income per diluted share are adjusted for the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income, EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for income taxes, and depreciation.
Non-GAAP Adjustments
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. This treatment is consistent with the accounting rules relating to the sale of such projects under International Financial Reporting Standards ("IFRS"). Under these rules, with certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting rules depending upon the nature of the individual asset contributed, with outcomes ranging from no profit recognition to full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations consistent with IFRS rules. Equity in earnings of unconsolidated investees includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP. Management believes that these adjustments for the impact of 8point3 enable investors to better evaluate the company's revenue and profit generation performance.
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION |
|||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES |
|||||||
|
(In thousands, except percentages and per share data) |
|||||||
|
(Unaudited) |
|||||||
|
Adjustments to Revenue: |
|||||||
|
THREE MONTHS ENDED |
|||||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | |||||
|
2016 |
2016 |
2015 | |||||
|
GAAP revenue |
$ 384,875 |
$ 374,364 |
$ 440,871 | ||||
|
8point3 |
(15,174) |
952,115 |
- | ||||
|
Utility and power plant projects |
53,538 |
31,012 |
(10,270) | ||||
|
Sale of operating lease assets |
10,403 |
6,447 |
- | ||||
|
Non-GAAP revenue |
$ 433,642 |
$ 1,363,938 |
$ 430,601 | ||||
|
Adjustments to Gross margin: |
|||||||
|
THREE MONTHS ENDED |
|||||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | |||||
|
2016 |
2016 |
2015 | |||||
|
GAAP gross margin |
$ 51,537 |
$ 20,303 |
$ 90,818 | ||||
|
8point3 |
(4,642) |
351,661 |
- | ||||
|
Utility and power plant projects |
3,557 |
13,079 |
(11,251) | ||||
|
Sale of operating lease assets |
3,112 |
2,000 |
- | ||||
|
Stock-based compensation expense |
4,125 |
3,308 |
2,566 | ||||
|
Other |
1,333 |
2,124 |
6,028 | ||||
|
Non-GAAP gross margin |
$ 59,022 |
$ 392,475 |
$ 88,161 | ||||
|
GAAP gross margin (%) |
13.4% |
5.4% |
20.6% | ||||
|
Non-GAAP gross margin (%) |
13.6% |
28.8% |
20.5% | ||||
|
Adjustments to Net income (loss): |
|||||||
|
THREE MONTHS ENDED |
|||||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | |||||
|
2016 |
2016 |
2015 | |||||
|
GAAP net loss attributable to stockholders |
$ (85,409) |
$ (127,621) |
$ (9,581) | ||||
|
8point3 |
10,719 |
394,097 |
- | ||||
|
Utility and power plant projects |
3,557 |
13,079 |
(11,251) | ||||
|
Sale of operating lease assets |
3,120 |
2,000 |
- | ||||
|
Stock-based compensation expense |
16,520 |
16,476 |
13,546 | ||||
|
Other |
8,608 |
5,030 |
24,070 | ||||
|
Tax effect |
1,684 |
(32,663) |
2,940 | ||||
|
Non-GAAP net income (loss) attributable to stockholders |
$ (41,201) |
$ 270,398 |
$ 19,724 | ||||
|
Adjustments to Net income (loss) per diluted share: |
|||||||
|
THREE MONTHS ENDED |
|||||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | |||||
|
2016 |
2016 |
2015 | |||||
|
Net income (loss) per diluted share |
|||||||
|
Numerator: |
|||||||
|
GAAP net loss available to common stockholders1 |
$ (85,409) |
$ (127,621) |
$ (9,581) | ||||
|
Non-GAAP net income (loss) available to common stockholders1 |
$ (41,201) |
$ 270,731 |
$ 20,275 | ||||
|
Denominator: |
|||||||
|
GAAP weighted-average shares |
137,203 |
136,653 |
132,033 | ||||
|
Effect of dilutive securities: |
|||||||
|
Stock options |
- |
2 |
41 | ||||
|
Restricted stock units |
- |
1,478 |
2,994 | ||||
|
Upfront warrants (held by Total) |
- |
6,564 |
6,908 | ||||
|
Warrants (under the CSO2015) |
- |
- |
1,781 | ||||
|
0.75% debentures due 2018 |
- |
12,026 |
12,026 | ||||
|
Non-GAAP weighted-average shares1 |
137,203 |
156,723 |
155,783 | ||||
|
GAAP net loss per diluted share |
$ (0.62) |
$ (0.93) |
$ (0.07) | ||||
|
Non-GAAP net income (loss) per diluted share |
$ (0.30) |
$ 1.73 |
$ 0.13 | ||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income (loss) per diluted share. |
|||||||
|
EBITDA: |
|||||||
|
THREE MONTHS ENDED |
|||||||
|
Apr. 3, |
Jan. 3, |
Mar. 29, | |||||
|
2016 |
2016 |
2015 | |||||
|
GAAP net loss attributable to stockholders |
$ (85,409) |
$ (127,621) |
$ (9,581) | ||||
|
8point3 |
10,719 |
394,097 |
- | ||||
|
Utility and power plant projects |
3,557 |
13,079 |
(11,251) | ||||
|
Sale of operating lease assets |
3,120 |
2,000 |
- | ||||
|
Stock-based compensation expense |
16,520 |
16,476 |
13,546 | ||||
|
Cash interest expense, net of interest income |
12,184 |
10,180 |
11,092 | ||||
|
Provision for income taxes |
3,181 |
28,778 |
2,351 | ||||
|
Depreciation |
33,826 |
37,890 |
28,604 | ||||
|
Other |
8,608 |
5,030 |
24,070 | ||||
|
EBITDA |
$ 6,306 |
$ 379,909 |
$ 58,831 | ||||
|
Q2 2016 and FY 2016 GUIDANCE (in thousands except percentages) |
Q2 2016 |
FY 2016 |
|
Revenue (GAAP) |
$290,000-$340,000 |
$2,800,000-$3,000,000 |
|
Revenue (non-GAAP) (1) |
$310,000-$360,000 |
$3,200,000-$3,400,000 |
|
Gross margin (GAAP) |
10%-12% |
13%-15% |
|
Gross margin (non-GAAP) (2) |
12%-14% |
14%-16% |
|
Net income (loss) (GAAP) |
($90,000)-($65,000) |
$0-$50,000 |
|
EBITDA (3) |
$0-$25,000 |
$450,000-$500,000 |
|
(1) |
Estimated non-GAAP amounts above for Q2 2016 include net adjustments that increase revenue by approximately $20 million of revenue related to 8point3. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase revenue by approximately $400 million of revenue related to 8point3. |
|
(2) |
Estimated non-GAAP amounts above for Q2 2016 include net adjustments that increase gross margin by approximately $3 million related to 8point3, $5 million related to stock-based compensation expense, and $1 million related to other items. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase gross margin by approximately $60 million related to 8point3, $15 million related to stock-based compensation expense, and $10 million related to other items. |
|
(3) |
Estimated EBITDA amounts above for Q2 2016 include net adjustments that decrease net loss by approximately $16 million related to 8point3, $18 million related to stock-based compensation expense, $5 million related to other items, $15 million related to interest expense, $1 million related to income taxes and $35 million related to depreciation. Estimated EBITDA amounts above for fiscal 2016 include net adjustments that increase net income by approximately $100 million related to 8point3, $70 million related to stock-based compensation expense, $10 million related to other items, $60 million related to interest expense, $40 million related to income taxes and $170 million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income and net income per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | ||||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | ||||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | ||||||||||||||||||||||||||||||||
|
April 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 151,807 |
$ 52,241 |
$ 180,827 |
$ 33,647 |
22.2% |
$ 7,015 |
13.4% |
$ 10,875 |
6.0% |
$ (85,409) | ||||||||||||||||||||||
|
8point3 |
(1,312) |
- |
(13,862) |
(485) |
- |
(4,157) |
- |
- |
- |
1,062 |
- |
14,299 |
10,719 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
53,538 |
- |
- |
3,557 |
- |
- |
- |
- |
- |
- |
3,557 | |||||||||||||||||||
|
Sale of operating lease assets |
10,403 |
- |
- |
3,112 |
- |
- |
- |
- |
- |
8 |
- |
- |
3,120 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
827 |
652 |
2,646 |
3,032 |
9,363 |
- |
- |
- |
- |
16,520 | |||||||||||||||||||
|
Other |
- |
- |
- |
482 |
665 |
186 |
1,827 |
5,352 |
96 |
- |
- |
- |
8,608 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
1,684 |
- |
1,684 | |||||||||||||||||||
|
Non-GAAP |
$ 160,898 |
$ 52,241 |
$ 220,503 |
$ 37,583 |
23.4% |
$ 8,332 |
15.9% |
$ 13,107 |
5.9% |
$ (41,201) | ||||||||||||||||||||||
|
January 3, 2016 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 172,428 |
$ 80,113 |
$ 121,823 |
$ 30,141 |
17.5% |
$ (1,428) |
-1.8% |
$ (8,410) |
-6.9% |
$ (127,621) | ||||||||||||||||||||||
|
8point3 |
(1,443) |
54,793 |
898,765 |
(640) |
13,930 |
338,371 |
- |
- |
- |
1,057 |
- |
41,379 |
394,097 | |||||||||||||||||||
|
Utility and power plant projects |
- |
- |
31,012 |
- |
- |
13,079 |
- |
- |
- |
- |
- |
- |
13,079 | |||||||||||||||||||
|
Sale of operating lease assets |
6,447 |
- |
- |
2,000 |
- |
- |
- |
- |
- |
- |
- |
- |
2,000 | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,089 |
840 |
1,379 |
3,113 |
10,055 |
- |
- |
- |
- |
16,476 | |||||||||||||||||||
|
Other |
- |
- |
- |
651 |
425 |
1,048 |
705 |
1,879 |
335 |
(13) |
- |
- |
5,030 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(32,663) |
- |
(32,663) | |||||||||||||||||||
|
Non-GAAP |
$ 177,432 |
$ 134,906 |
$ 1,051,600 |
$ 33,241 |
18.7% |
$ 13,767 |
10.2% |
$ 345,467 |
32.9% |
$ 270,398 | ||||||||||||||||||||||
|
March 29, 2015 | ||||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | ||||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and |
Selling, general |
Restructuring charges |
||||||||||||||||||||||||
|
GAAP |
$ 155,324 |
$ 49,063 |
$ 236,484 |
$ 32,552 |
21.0% |
$ 2,183 |
4.4% |
$ 56,083 |
23.7% |
$ (9,581) | ||||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(10,270) |
- |
- |
(11,251) |
- |
- |
- |
- |
- |
- |
(11,251) | |||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
922 |
388 |
1,256 |
2,273 |
8,707 |
- |
- |
- |
- |
13,546 | |||||||||||||||||||
|
Other |
- |
- |
- |
1,804 |
454 |
3,770 |
330 |
3,783 |
3,581 |
10,348 |
- |
- |
24,070 | |||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
2,940 |
- |
2,940 | |||||||||||||||||||
|
Non-GAAP |
$ 155,324 |
$ 49,063 |
$ 226,214 |
$ 35,278 |
22.7% |
$ 3,025 |
6.2% |
$ 49,858 |
22.0% |
$ 19,724 | ||||||||||||||||||||||
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SOURCE SunPower Corp.
Article Date
5/5/20165/4/2016 - SunPower Breaks Ground on 9.5-Megawatt Solar Project for California Department of Water Resources
SunPower Breaks Ground on 9.5-Megawatt Solar Project for California Department of Water Resources
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., May 4, 2016 /PRNewswire/ -- SunPower (Nasdaq: SPWR) announced today that construction has started on a 9.5-megawatt (AC) solar power plant in Los Angeles County, Calif., which will generate power for use by the California Department of Water Resources (DWR). Located on DWR's property adjacent to its Pearblossom Pumping Plant, southeast of Palmdale, the project is expected to be operational by the end of this year.
"This is an important project that will help us achieve our 2050 goal of reducing greenhouse gas emissions 80 percent below 1990 levels," said Veronica Hicks, chief of the State Water Project Power and Risk Office of DWR.
"Solar is cost-competitive with traditional energy sources today, and is helping fiscally responsible public agencies reduce electricity costs to better serve their constituencies," said Howard Wenger, SunPower president, business units. "We commend DWR for managing its significant energy demand by relying on abundant, renewable solar power. The high performance SunPower technology we are installing for the agency will maximize the clean, renewable solar power generated over the long term."
DWR will purchase the power generated by the plant under a power purchase agreement (PPA) with SunPower. The PPA provides DWR with competitive electricity rates. DWR is retaining the renewable energy credits associated with the system.
SunPower designed and is installing a SunPower® Oasis® Power Plant system at the site. Oasis is a fully-integrated, modular solar power block that is engineered for rapid and cost-effective deployment of utility-scale solar projects while optimizing land use. The technology includes robotic solar panel cleaning capability that uses 75 percent less water than traditional cleaning methods and can help improve system performance by up to 15 percent.
SunPower calculates the annual output from the power plant will be equal to the electricity needed to power approximately 8,500 electric vehicles for 30 years. The plant is expected to offset the equivalent amount of annual carbon emissions as 157 acres of preserved U.S. forests can neutralize in one year, according to estimates provided by the U.S. Environmental Protection Agency.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding expected project timelines, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy, challenges inherent in constructing and maintaining certain of our large projects, and fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and OASIS are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
5/4/2016SunPower to Deliver 11.4 Megawatt Solar Power System for the County of Santa Clara
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., May 3, 2016 /PRNewswire/ -- SunPower Corp. (Nasdaq: SPWR) announced today that construction has started on 11.4 megawatts (DC) of solar power systems to power public facilities operated by the County of Santa Clara in California.
The County will own the systems, as well as their associated renewable energy credits. SunPower will construct a total of six systems at County facilities, all of which are expected to be operational by the end of 2016. SunPower estimates that the equivalent amount of electricity generated by the systems when they are operational could power more than 6,000 electric vehicles for 30 years.
"SunPower works with public agencies that require innovative, effective approaches to managing energy costs without reducing services in their communities," said Howard Wenger, SunPower president, business units. "Solar makes sense for counties and municipalities today because it's cost-competitive, fast to install, and supports sustainability goals. We are particularly pleased to serve the interests of the County of Santa Clara, where SunPower has been headquartered for 30 years, with high performance SunPower® solar power systems that will maximize long-term value."
To fund the project, the County of Santa Clara secured U.S. Department of Treasury clean renewable energy bonds (CREBs), which are available to certain entities, primarily in the public sector, to finance renewable energy projects. California's net energy metering (NEM) and RES-BCT programs also helped make ownership of on-site solar power systems accessible for the county.
At five of the county sites, SunPower is installing ground-mounted solar power systems featuring SunPower solar panels, the most efficient solar panels commercially available today. The sixth installation will be a solar carport that generates emission-free solar power while providing needed shade.
SunPower has approximately 45 megawatts of large commercial and public agency solar power systems operating or under contract in Santa Clara County.
For more than a decade, SunPower has been delivering solar solutions to cities and counties. Other customers in California have included Yolo County and the cities of San Francisco, Riverside and Ontario.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding our plans and objectives for existing and future project development and construction, projected energy output, and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our liquidity, substantial indebtedness, and our ability to obtain additional financing for our projects and our customers; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; (3) challenges inherent in constructing and maintaining large projects; and (4) manufacturing difficulties that could arise. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
5/3/2016SunPower to Announce First-Quarter Results on May 5, 2016
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 26, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) will discuss its first-quarter 2016 financial results on a conference call on Thursday, May 5 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on May 5, 2016.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
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SOURCE SunPower Corp.
Article Date
4/26/2016AT&T and SunPower Collaborate on Solar IoT Connectivity in the United States
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
HANOVER, Germany, and SAN JOSE, Calif., April 26, 2016 /PRNewswire/ -- AT&T* and SunPower have entered into an agreement that brings Internet of Things (IoT) technology to SunPower's newest home energy solution — SunPower Equinox™. The companies will also collaborate on co-marketing efforts to offer a SunPower® home solar system to qualified AT&T customers this summer.
SunPower recently released its SunPower Equinox system to homeowners in the U.S. SunPower calculates that its solution delivers 70 percent more energy over 25 years with 70 percent fewer visible parts compared to conventional solar. Over the next two years, AT&T and SunPower expect to wirelessly connect at least 100,000 solar electric systems in the U.S. providing customers with reliable access to system performance through AT&T's IoT capabilities. The technology collaboration is designed to reduce onsite homeowner visits by allowing SunPower to wirelessly support solar power systems as needed and in near real-time.
"Our IoT solutions help customers remotely monitor cargo, homes, vehicles, containers and also —solar panels," said Mike Troiano, vice president, Internet of Things, AT&T. "Connectivity is changing how companies operate. We're thrilled SunPower chose us to give them near real-time insights into how their solar energy solutions are performing for their customers and the tools to help manage them remotely."
"Through this IoT collaboration and innovative marketing with AT&T, we are making solar even more mainstream," said Howard Wenger, SunPower president, business units. "The SunPower Equinox system is already a game changer for home solar, offering our customers unbeatable power, long-term performance and curb appeal. Now by incorporating AT&T IoT technology into SunPower's solar energy solutions, we are enabling a future of solar energy management that is reliable, simple, and cost-effective."
For more information on AT&T IoT solutions, visit: www.att.com/iot.
For more information on SunPower Equinox, visit www.sunpower.com/equinox.
*AT&T products and services are provided or offered by subsidiaries and affiliates of AT&T Inc. under the AT&T brand and not by AT&T Inc.
About AT&T
AT&T Inc. (NYSE:T) helps millions around the globe connect with leading entertainment, mobile, high speed Internet and voice services. We're the world's largest provider of pay TV. We have TV customers in the U.S. and 11 Latin American countries. We offer the best global coverage of any U.S. wireless provider.* And we help businesses worldwide serve their customers better with our mobility and highly secure cloud solutions.
Additional information about AT&T products and services is available at http://about.att.com. Follow our news on Twitter at @ATT, on Facebook at http://www.facebook.com/att and YouTube at http://www.youtube.com/att.
© 2016 AT&T Intellectual Property. All rights reserved. AT&T, the Globe logo and other marks are trademarks and service marks of AT&T Intellectual Property and/or AT&T affiliated companies. SUNPOWER, the SUNPOWER logo and SUNPOWER EQUINOX are trademarks or registered trademarks of SunPower Corporation in Europe, the U.S. and in other countries as well. All other marks contained herein are the property of their respective owners.
*Global coverage claim based on offering discounted voice and data roaming; LTE roaming; voice roaming; and world-capable smartphone and tablets in more countries than any other U.S. based carrier. International service required. Coverage not available in all areas. Coverage may vary per country and be limited/restricted in some countries.
Cautionary Language Concerning Forward-Looking Statements
Information set forth in this news release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results may differ materially. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update or revise statements contained in this news release based on new information or otherwise.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ:SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, estimates regarding the future performance and reliability of our products and development plans. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our ability to obtain additional financing for our projects and our customers; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; (3) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (4) fluctuations or declines in the performance of our solar panels and other products and solutions; and (5) other risks discussed in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
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SOURCE AT&T Inc.
Article Date
4/26/2016Macy's and SunPower Celebrate Earth Day - and 10 Years of Partnership Resulting in Solar Power Systems at 71 Macy's Locations
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
CINCINNATI and SAN JOSE, Calif., April 22, 2016 /PRNewswire/ -- Today Macy's, Inc. and SunPower Corp. (Nasdaq: SPWR) are recognizing a decade-long partnership between the two companies that has resulted in SunPower® systems installed at or planned for 71 Macy's and Bloomingdale's locations in 10 states, totaling approximately 39 megawatts. Fifty SunPower systems are operating to date, and the company is contracted to install its technology at 21 additional Macy's and Bloomingdale's facilities this year. Celebrations to mark Earth Day and this significant achievement are planned at Macy's Sacramento, Calif. store today, and tomorrow at Macy's store in Bowie, Md.
Macy's extraordinary commitment to solar power positioned the company in the top ten of 2015's U.S. corporate solar champions, according to the Solar Energy Industries Association. Including solar technology that was not installed by SunPower, solar arrays were installed on 78 Macy's, Inc. facilities by year-end 2015.
"We are so excited to partner with SunPower and join the fight against climate change," said Chuck Abt, Macy's senior vice president of operations and logistics. "Macy's is dedicated to giving back to local communities and, through this partnership, we continue to make a meaningful difference in improving the environment. This solar technology partnership is a major component of our sustainable practice and we are committed to improving our carbon footprint for years to come."
Of the 21 systems planned for Macy's facilities this year, 19 of them – or 13 megawatts – will use the SunPower® Helix™ Roof product, the world's first fully-integrated rooftop solar solution for commercial customers. Helix is a pre-engineered, modular solution that is built to last, maximizes power production, and can be installed almost three times faster than competing technology, enabling customers to scale their solar programs quickly with minimal business disruption.
"We are honored to work closely with Macy's over the last decade and proud to have such a visionary solar power partner," said Howard Wenger, SunPower president, business units. "Macy's continues to demonstrate extraordinary leadership in sustainability and clean power for its business and the communities in which it operates. With SunPower's new Helix Roof product we can deliver even more value through innovation, benefiting customers with an exclusive combination of the most efficient solar panels installed at world record speed."
In addition to solar systems, SunPower is also providing Macy's with battery storage systems at three stores in Southern California. The energy storage technology is expected to help those locations further manage energy costs by offsetting demand charges incurred by commercial customers.
Macy's is financing the majority of the SunPower solar power systems on its stores through power purchase agreements, which allows the retailer to buy power at competitive rates that act as a hedge against future utility rate increases, with no upfront capital cost. Macy's does not own the renewable energy credits associated with most of the SunPower solar power systems installed on its facilities.
According to SunPower's calculations, the amount of power expected to be generated annually by the 71 SunPower solar power systems operating on and planned for Macy's facilities could power more than 15,000 electric vehicles for 30 years. According to estimates provided by the U.S. Environmental Protection Agency, the carbon dioxide emissions avoided each year as a result of the power produced from the 71 installed and contracted SunPower solar power systems on Macy's facilities is equivalent to the CO2 emissions from more than 37 million pounds of coal burned, or almost 4 million gallons of gasoline consumed.
About Macy's
Macy's, Inc., with corporate offices in Cincinnati and New York, is one of the nation's premier retailers, with fiscal 2015 sales of $27.079 billion. The company operates about 870 stores in 45 states, the District of Columbia, Guam and Puerto Rico under the names of Macy's, Macy's Backstage Bloomingdale's, Bloomingdale's Outlet, and Bluemercury, as well as the macys.com, bloomingdales.com and bluemercury.com websites. Bloomingdale's in Dubai is operated by Al Tayer Group LLC under a license agreement.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, estimates regarding the future performance and reliability of our products and construction schedules. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our ability to obtain additional financing for our projects and our customers; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; (3) challenges inherent in constructing and maintaining certain of our large projects; (4) fluctuations or declines in the performance of our solar panels and other products and solutions; and (5) other risks discussed in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/22/2016SunPower's Mobile Solar Design Studio Hits the Road for Earth Day
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 20, 2016 /PRNewswire/ -- Last year was a revolutionary one for solar in the U.S. with more than 7 gigawatts installed, helping to bring the total number of solar-powered homes to 960,000 according to the Solar Energy Industries Association (SEIA). In 2016, the industry is expected to see that number double with 16 gigawatts of electricity coming from the sun. This year, solar is expected to install more new capacity than any other electricity source on the planet. In celebration of Earth Day and to support the continued adoption of clean, renewable solar energy, SunPower will debut its new traveling Solar Design Studio this month at community events across the Golden State. It will make additional stops in California over the next several months, and SunPower will offset all carbon emissions from the tour by supporting sustainable projects through TerraPass.
The Solar Design Studio offers a hands-on experience to show homeowners how SunPower's high efficiency solar can deliver real value, helping them save on electricity costs and reduce their carbon footprints. Solar panels from SunPower can offer 70 percent more energy compared to conventional solar solutions in the same amount of space over 25 years, while having a cleaner and more elegant appearance on rooftops. The Studio's first stop will be at the Ventura Earth Day Eco Fest from 10 a.m. to 5 p.m., Saturday, April 23 along the city's oceanfront boardwalk between Promenade Park and Surfer's Point.
"Our Solar Design Studio offers homeowners an innovative and engaging way to explore how record-setting, proven solar power solutions from SunPower can help save on electricity costs while lowering carbon footprints on Earth Day, and every day," said Martin DeBono, SunPower senior vice president, residential solar. "More than 500,000 residential customers have chosen SunPower's high-efficiency solar for their home, sharing in the company's commitment to changing the way our world is powered."
Solar Design Studio visitors will have an opportunity to:
As one of the world's most sustainable energy companies, SunPower offers its customers the industry's only direct current solar panels that are Cradle to Cradle Certified™ Silver. SunPower panels are manufactured as sustainably as the clean energy they produce in the company's LEED certified plant in the Philippines and landfill-free facilities in France and Mexico.
Learn more about the highest quality home solar available by exploring SunPower's latest consumer awareness campaign, "Demand Better Solar™," or visit the Solar Design Studio at an upcoming event, listed below:
For real-time updates to the event calendar, visit www.sunpower.com/solarmobile or follow SunPower on Twitter.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
* NO PURCHASE NECESSARY. Legal residents of the 50 United States (D.C.) 18 years or older. Ends 06/30/2016. To enter and for Official Rules, including odds and prize descriptions, click here. Void where prohibited.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and DEMAND BETTER SOLAR are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/20/20164/14/2016 - 1.1-Megawatt SunPower® Solar Power System Planned for Grossmont Union High School District
1.1-Megawatt SunPower® Solar Power System Planned for Grossmont Union High School District
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
LA MESA and SAN JOSE, Calif., April 14, 2016 /PRNewswire/ -- Grossmont Union High School District (GUHSD) and SunPower Corp. (Nasdaq: SPWR) today announced plans for a 1.1-megawatt SunPower® solar carport to be installed at Valhalla High School in El Cajon, Calif. GUHSD will not own the system; rather, it will buy power at a competitive rate under a power purchase agreement (PPA) with SunPower. SunPower estimates that 78.5 percent of the school's energy will be offset as a result of the agreement, saving $6.3 million in electricity costs over the next 20 years.
"Any reduction in utility cost allows us to redirect limited resources to academic programs, faculty support, or additional facility upgrades," said GUHSD Deputy Superintendent Scott Patterson. "SunPower's experience working with school districts, as well as the long-term performance of its technology were the primary reasons they were selected for this project."
"School districts work hard to maximize value from their limited resources. SunPower's power purchase agreements give districts the ability to enhance their operational budgets by providing competitive electricity rates and a hedge against potential utility rate increases, with no upfront capital investment," said Howard Wenger, SunPower president, business units. "It is extremely rewarding to help districts such as GUHSD to achieve significant savings while inspiring students with innovation and the great potential of solar power."
The SunPower solar carport system will feature high efficiency SunPower solar panels, the most efficient on the market today. In addition to generating power, the carports will provide needed shade in the schools' parking areas.
The system to be constructed at Valhalla High School is expected to be operational by the end of this year.
SunPower is a leader in delivering innovative energy solutions to California school districts. At 23 school districts across the state, the company has installed solar power systems totaling more than 90 megawatts which, according to the Solar Energy Industries Association, generates the equivalent amount of power for 22,500 average California homes.
About Grossmont Union High School District
The District covers a 465-square-mile area in eastern San Diego County including: the cities of El Cajon, Santee, La Mesa and Lemon Grove and a small portion of City of San Diego, as well as adjacent unincorporated communities of Alpine, Dulzura, Jamul, Lakeside, and Spring Valley. The District was established in 1920 and currently operates nine comprehensive high schools, two charter high schools, one continuation high school, two alternative education sites, three special education facilities, a middle college high school program, a Career Technical Education Program, and an adult education program and a student population of approximately 21,860 students in 2015-16.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower's Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding projected energy output and expected cost savings. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: regulatory changes and the availability of economic incentives promoting use of solar energy. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/14/20164/4/2016 - Con Edison and SunPower Partnership Offers Electricity Savings to Greater New York Homeowners
Con Edison and SunPower Partnership Offers Electricity Savings to Greater New York Homeowners
Source: PR Newswire
NEW YORK and SAN JOSE, Calif., April 4, 2016 /PRNewswire/ -- Con Edison, the utility that provides electricity to 3.4 million customers in the New York City area, and SunPower, one of the world's most innovative and sustainable solar companies, today announced a collaboration to offer high-performance SunPower® solar energy systems to homeowners. Con Edison will deliver personalized energy usage details to its customers through the utility's innovative, digital Connected Homes platform starting this spring. By fall, SunPower solar will be highlighted as an effective, clean energy solution for managing consumer electricity costs in Con Edison's Home Energy Reports.
"Customer engagement is at the heart of our Connected Homes platform, which will provide customers with more energy choices and an ability to manage their consumption," said Jamie Brennan, director of Demonstration Projects for Con Edison. "Customers will get personalized information about their energy usage and an introduction to SunPower's innovative solar solutions."
Prior to designing and installing a SunPower solar power system sized to best meet each consumer's needs, SunPower will work with homeowners to cover the variety of financing options available. Homeowners may choose to own the system through a cash purchase or loan, or lease the system which requires no upfront investment for qualified customers. Owning solar power systems may allow customers to take advantage of federal and state incentives, and may also increase their property value.
"We are pleased to work with Con Edison, making solar more accessible to New York homeowners through this innovative partnership," said Howard Wenger, SunPower president, business units. "SunPower offers industry-leading solar technology that generates 70 percent more energy in the same space than conventional panels over the first 25 years, as well as superior reliability and aesthetics. Combining SunPower's 30 years of experience delivering high-performance solar solutions with Con Edison's long history of delivering electricity to New York homeowners can help further propel the state's new energy vision."
About Con Edison
Con Edison is a subsidiary of Consolidated Edison, Inc. [NYSE: ED], one of the nation's largest investor-owned energy companies, with approximately $13 billion in annual revenues and $46 billion in assets. The utility provides electric, gas and steam service to customers in New York City and Westchester County, New York. For more information, visit www.coned.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
4/4/20168point3 Energy Partners Enters Into Agreements to Acquire Interests in 90 Megawatts of Solar Projects
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., April 1, 2016 /PRNewswire/ -- 8point3 Energy Partners LP (Nasdaq: CAFD), the joint venture formed by SunPower (Nasdaq: SPWR) and First Solar (Nasdaq: FSLR), announced today that it has entered into agreements to acquire an interest in the 50 megawatt (MW) Hooper Project from SunPower and the 40 MW Kingbird Project from First Solar. These drop-down acquisitions are expected to generate approximately $9 million in combined annual pre-tax cash flow and have a 20 year average contract life.
"We're pleased to announce our second and third drop-down transactions today," said Chuck Boynton, CEO of 8point3 Energy Partners. "These acquisitions continue our long-term strategy of adding high quality solar projects with investment grade off-takers to our portfolio."
Hooper and Kingbird Project Details
The 50 MW Hooper Project is located in Colorado's San Luis Valley and commenced operations in December 2015. Xcel Energy is purchasing the power generated by the Hooper Project under a 20 year power purchase agreement. All conditions have been satisfied and the transaction is expected to close today.
The 40 MW Kingbird Project has been acquired and is located in Kern County, California. Construction of the plant is expected to be completed next month. Following commercial operation, power generated by the Kingbird Project will be sold to member cities of the Southern California Public Power Authority and the City of Pasadena under separate 20 year power purchase agreements.
"These transactions, along with our purchase of the Kern County School District project in January, should enable us to achieve our targeted annual distribution growth rate of 12-15 percent through the end of 2017 without additional project acquisitions," Boynton added.
ROFO Portfolio Adjustment
With the increased opportunity to potentially acquire solar power plant projects beyond 2016 due to the recent extension of the federal Investment Tax Credit and with the desire to finance acquisitions on favorable terms while simultaneously maintaining a conservative capital structure, the partnership has agreed to make certain adjustments to the ROFO portfolio. These adjustments include (i) waiving the partnership's right of first offer on a portion of First Solar's interest in the 300 MW Stateline Project and (ii) adding First Solar's 179 MW Switch Station Project in Nevada to the ROFO portfolio, which has an expected commercial operation date in 2017. 8point3 Energy Partners now expects to be offered First Solar's remaining ownership stake in the Stateline Project, approximately 35 percent in the aggregate, at the end of 2016 or the first half of 2017. The partnership believes that these adjustments better align the ROFO portfolio with its targeted long-term growth plan while maintaining its stated targeted annual distribution growth.
About 8point3 Energy Partners
8point3 Energy Partners LP (NASDAQ: CAFD) is a growth-oriented limited partnership formed by First Solar, Inc. and SunPower Corporation to own, operate and acquire solar energy generation projects. 8point3 Energy Partners' primary objective is to generate predictable cash distributions that grow at a sustainable rate. The partnership owns interests in projects in the United States that generate long-term contracted cash flows and serve utility, commercial and residential customers. For more information about 8point3 Energy Partners, please visit: www.8point3energypartners.com.
For 8point3 Energy Partners Investors
This press release includes various "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements expressing management's expectations, beliefs, estimates, forecasts, projections and assumptions. You can identify our forward-looking statements by words such as "anticipate", "believe", "estimate", "expect", "forecast", "goals", "objectives", "outlook", "intend", "plan", "predict", "project", "risks", "schedule", "seek", "target", "could", "may", "will", "should" or "would" or other similar expressions that convey the uncertainty of future events or outcomes. In accordance with "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, these statements are accompanied by cautionary language identifying important factors, though not necessarily all such factors, which could cause future outcomes to differ materially from those set forth in forward-looking statements. In particular, expressed or implied statements concerning the expectations of plans, strategies, objectives and growth and anticipated financial and operational performance of the partnership and its subsidiaries, including guidance regarding the partnership's revenue, adjusted EBITDA, cash available for distribution and distributions, other future actions, conditions or events such as the projected commercial operation dates of projects, future operating results or the ability to generate sales, income or cash flow or to make distributions are forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future actions, conditions or events and future results of operations may differ materially from those expressed in these forward-looking statements. Forward-looking statements speak only as of the date of this press release, April 1, 2016, and we disclaim any obligation to update such statements for any reason, except as required by law. All forward-looking statements contained in this press release are expressly qualified in their entirety by the cautionary statements contained or referred to in this paragraph. Many of the factors that will determine these results are beyond our ability to control or predict. These factors include the risk factors described under "Risk Factors" in the partnership's Transition Report on Form 10-K for the transition period from December 28, 2014 to November 30, 2015, filed with the Securities Exchange Commission on January 28, 2016. If any of those risks occur, it could cause our actual results to differ materially from those contained in any forward-looking statement. Because of these risks and uncertainties, you should not place undue reliance on any forward-looking statement.
SOURCE 8point3 Energy Partners LP
Article Date
4/1/20164/1/2016 - SunPower Awarded Approximately 500 Megawatts of Solar in Mexico's First Electricity Auction
SunPower Awarded Approximately 500 Megawatts of Solar in Mexico's First Electricity Auction
Source: PR Newswire
SAN JOSE, Calif., April 1, 2016 /PRNewswire/ -- SunPower Corp. (Nasdaq: SPWR) announced today that, under Mexico's first electricity power auction, the company has been awarded power purchase agreements with CFE, Mexico's state-owned electric utility, to deliver one terawatt-hour of energy, equivalent to approximately 500 megawatts, over the term of the agreements. The auction was held as a result of Mexico's sweeping energy sector reform, which opened the market for energy companies to compete as generation providers.
SunPower's awards from the auction include almost 400 megawatts in Yucatan and more than 100 megawatts in Guanajuato, and their associated clean energy certificates. Based on the auction results released by Mexico's National Center for Energy Control, or CENACE, SunPower won approximately 20 percent of the total energy, and 25 percent of the solar energy, awarded from the energy auction. Project development and construction is contingent on factors including contract execution.
"With more than seven gigawatts of solar power systems around the world using our high performance technology, SunPower has the experience and expertise to deliver reliable, cost-competitive solar power to serve Mexico's growing energy demand," said Tom Werner, SunPower President and CEO. "SunPower is proud to have this opportunity to partner with CFE to accelerate Mexico's transition to a robust clean energy economy."
In December, SunPower announced a long term power purchase agreement under which the company would provide 36 megawatts of solar power to Grupo Aeroportuario del Sureste, S.A.B. de C.V. (NYSE: ASR; BMV: ASUR) (ASUR), a privatized airport group in Mexico and operator of Cancun Airport and eight other airports in southeast Mexico. SunPower expects to start construction this year and, once the project is operational, the company will provide operations and maintenance services, including monitoring power plant production.
SunPower has operated in Mexico since 2011, and has a manufacturing facility in Mexicali that produces more than one gigawatt of high efficiency SunPower® solar panels annually. SunPower panels manufactured in Mexicali were the first and only solar panels in the world to achieve Cradle to Cradle Certified™ Silver designation for their sustainable manufacturing practices. Ninety-nine percent of the waste generated from SunPower's Mexicali facility is diverted from landfills, making it the first of any industry in Mexico to be third-party verified as landfill-free.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
SunPower Safe Harbor Statement
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding expected project development and construction and estimates regarding the future performance and reliability of our products. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our ability to obtain additional financing for our projects and our customers; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; (3) challenges inherent in constructing and maintaining certain of our large projects; (4) maintaining or increasing our manufacturing capacity, containing associated costs, and manufacturing difficulties that could arise; (5) fluctuations or declines in the performance of our solar panels and other products and solutions; and (6) other risks discussed in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute. Cradle to Cradle Certified™ is a multi-attribute certification program that assesses products and materials for safety to human and environmental health, design for future use cycles, and sustainable manufacturing.
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SOURCE SunPower Corp.
Article Date
4/1/2016ISE Group, Total And SunPower Corporation To Build Solar Power Plant In Japan
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
TOKYO, March 23, 2016 /PRNewswire/ -- Ise Total Nanao Power Plant G.K., ISE Group, Total (CAC: TOTF.PA) and SunPower Corporation (Nasdaq: SPWR), today announced the construction start of a 27-megawatt-peak* (MWp) photovoltaic (PV) solar power plant in Nanao, Ishikawa Prefecture, on Honshu Island in Japan.
The Nanao PV project is jointly managed by ISE Group, which will own 50 percent of the project, while Total and its affiliate SunPower Corporation will equally share the remaining 50 percent equity portion. It will be financed through non-recourse project debt arranged by Sumitomo Mitsui Banking Corporation (SMBC), the mandated lead arranger for the project.
Construction of the Nanao PV power plant has just begun, with commercial operations planned in the first quarter of 2017. Over the first 20 years of operation, the power plant is expected to produce approximately 29 gigawatt-hours (GWh) of power annually, which is enough to serve the needs of more than 8,900 Japanese households in the region.
Constructed on 25 hectares land owned by ISE Group, a major egg producer based in Japan with operations around the world, the facility will connect to the regional power infrastructure and deliver affordable, clean and reliable energy to the community through a local electricity utility company.
"Ise Group is pleased to launch construction of one of the largest PV plants in the Hokuriku region," said Hikonobu Ise, Chairman of the Ise Group. "As a company which has been providing eggs to customers across the nation for more than 100 years, we are now able to contribute to the region by providing clean electricity through photovoltaic projects using our lands. With the success of this 10-billion Japanese yen-sized project with Total, the largest energy company in France, and SunPower, Total's US-based solar technology and energy services affiliate, we will continue to aggressively develop PV business not only in other regions in Japan but also in other South Eastern Asian countries."
"Total is honored to launch this solar project in Japan in partnership with ISE Group. We welcome Mr. Hikonobu Ise's vision and commitment to develop renewable energies in the country," said Bernard Clement, Total Senior Vice-President, Business & Operations, New Energies. "Total has been present in Japan since 1957 and remains very committed to the country. As a world leader in the solar industry, we are pleased to assist Japan in its objective to raise the proportion of electricity from renewables to 20 percent by 2030. The Nanao project illustrates the advantage of the high efficiency solar technology developed by our affiliate SunPower Corporation. Maximizing the electricity output is key in the Japanese market given the local irradiation and the complex topography of the country. We look forward to further developing our solar activities in Japan and throughout the Asia region."
Nanao PV will feature high efficiency Maxeon® solar panels by SunPower Corporation which produce 60 percent more energy in the same amount of space compared to conventional solar panels, and offer unmatched reliability. The ground-mounted solar power plant has been designed to fully meet the stringent Japanese earthquake-resistant building standards.
"With more than 7 gigawatts of operating SunPower solar systems on six continents, the power plants we deliver leverage SunPower's proven experience and innovative, high performance technology," said Eduardo Medina, SunPower Corporation's executive vice president, power plants. "We are pleased to partner with Total and ISE Group to build our first solar power plant in Japan, which will power regional homes and businesses with sustainable, cost-competitive solar."
About ISE Group
ISE Group, which started genetic and breeding improvement business for egg producing chickens in Takaoka City in Toyama prefecture in 1912, celebrated its 100th year in business in 2012 thanks to many customers' countenance. As a top runner in the egg producing industry in Japan, we are committed to improve egg sanitation by introducing ISE Integration System which manages all of the processes from producing feedstuff and growing to egg shipment in an integrated manner. In overseas, we have 65 percent market share in main 6 states in the US east cost and expands its business to China and South East Asia.
About Total
Total is a global integrated energy producer and provider, a leading international oil and gas company, and the world's second-ranked solar energy operator with SunPower Corporation. Our 100,000 employees are committed to better energy that is safer, cleaner, more efficient, more innovative and accessible to as many people as possible. As a responsible corporate citizen, we focus on ensuring that our operations in more than 130 countries worldwide consistently deliver economic, social and environmental benefits. More information is available at: www.total.com.
About SunPower Corporation
As one of the world's most innovative and sustainable energy companies, SunPower Corporation (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower Corporation has dedicated customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
©2016 SunPower Corporation. All rights reserved. MAXEON and the MAXEON SOLAR BY SUNPOWER CORPORATION logo are registered trademarks of SunPower Corporation in Japan and other countries as well.
* A megawatt-peak (MWp) = 1 million peak watts. A peak watt, the unit used to rate the performance of photovoltaic collectors, will deliver 1 watt of electricity under standard conditions of 1,000 watts of light intensity per square meter and temperature of 25°C
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SOURCE SunPower Corp.
Article Date
3/24/20163/22/2016 - ecobee and SunPower Launch Program Helping Homeowners to Take Control of Electricity Costs
ecobee and SunPower Launch Program Helping Homeowners to Take Control of Electricity Costs
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
TORONTO and SAN JOSE, Calif., March 22, 2016 /PRNewswire/ -- ecobee Inc., maker of the first Wi-Fi-smart thermostat, is teaming up with SunPower, one of the world's most innovative and sustainable energy companies, to help homeowners in California and New York take greater control of their electricity costs. Participating consumers can receive clean, solar electricity from SunPower at prices competitive with traditional sources, while ensuring that energy is efficiently used in the home with ecobee's smart thermostat. As part of the pilot program, SunPower is offering ecobee owners a $500 mail-in rebate with the installation of a high efficiency SunPower solar energy system.
"On average, ecobee owners save 23 percent annually on heating and cooling bills, and in just one year the ecobee3 generates enough savings to pay for itself," said Stuart Lombard, president and CEO of ecobee. "We are thrilled to now offer our customers a new way to save money and lower their impact on the environment using solar energy. SunPower is an excellent partner to support ecobee's commitment to innovative programs that drive value, savings and efficiency for our customers."
ecobee has solved the biggest problem plaguing all thermostats: they only measure temperature in one location, typically the hallway or living room where it is most likely to be installed. Using room sensors, the ecobee3 is capable of monitoring the temperature in every room of a home. By detecting occupancy in multiple locations, ecobee3 is able to automatically adjust temperatures for those rooms to deliver maximum comfort in the areas of a home that matter most.
"This partnership program helps homeowners maximize electricity savings by combining reliable ecobee smart thermostat technology with high performance solar solutions from SunPower," said Martin DeBono, SunPower senior vice president, residential solar. "Our collaboration with ecobee will help consumers take very simple steps toward building a Smart Energy home of the future that efficiently manages energy production and consumption, giving them greater control of electricity costs."
The SunPower rebate is available to ecobee customers that lease or purchase a high efficiency SunPower solar energy system. SunPower solar panels generate up to 70 percent more energy from the same space over the first 25 years when compared to conventional solar, which can reduce the number of panels needed to meet consumers' energy needs. They are predicted to have an active lifespan of more than 40 years, and come with the industry's best 25-year combined power and product warranty. With flexible financing options, qualified ecobee customers can start saving on solar electricity from SunPower for little to no cost up front. Customers who purchase solar from SunPower, may also qualify for a 30 percent federal income tax credit.
To learn more about the program, estimate solar savings potential, as well as request a free solar quote, ecobee customers can visit http://solar.sunpower.com/asp-ecobee.
About ecobee
ecobee, Inc., based in Toronto, Canada, introduced the world's first Wi-Fi connected smart thermostat in 2009. The company continues to innovate in the smart thermostat space and launched the ecobee3 with remote sensors in 2014. In 2015, the ecobee3 became the first Apple HomeKit-enabled smart thermostat, allowing users to control the device with Siri. ecobee's award-winning thermostats have enabled hundreds of thousands of consumers and businesses to control their home or building comfort anytime and from anywhere, using their smartphone, tablet or computer. The company's partnerships with utilities across North America have delivered innovative and reliable strategies for energy efficiency and demand response. For more information, visit www.ecobee.com.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
3/22/2016SunPower Reinvents Home Solar with SunPower Equinox(TM)
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., March 21, 2016 /PRNewswire/ -- Today, SunPower introduces the SunPower Equinox™ system, now available to U.S. homeowners. It is the first residential solar solution in the nation in which every major component has been designed and engineered by one company to work seamlessly together, delivering unbeatable power, long-term performance and curb appeal. With a typical SunPower Equinox installation, only the solar panels and a Smart Energy management device are visible, reflecting SunPower's minimalist architectural approach at the system level.
Experience the interactive Multimedia News Release here: http://www.multivu.com/players/English/7706152-sunpower-reinvents-home-solar-equinox/
The SunPower Equinox platform was engineered based on the company's The Power of One™ philosophy, which drives innovation of preconfigured solutions that simplify solar for consumers. In 2010, SunPower introduced its Oasis® Power Plant, the world's first fully integrated utility solar platform, which enables rapid, cost-effective construction of large-scale power plants, now with over 1.8 gigawatts deployed. In 2015, SunPower introduced the industry's first fully integrated solar solution for commercial customers, the SunPower® Helix™ system, which can be installed on commercial rooftops more than 2.5 times faster than any commercial solar solution on the market. Now, the SunPower Equinox™ system brings The Power of One™ to homeowners.
"The SunPower Equinox system is a game changer for home solar," said Howard Wenger, SunPower president, business units. "This powerfully elegant solution produces 70 percent more energy with 70 percent fewer visible parts compared to conventional solar, and we're backing it by the best combined power and product warranty in the industry. SunPower continues to raise the innovation bar by delivering solutions that make the complex simple, reducing costs, speeding installation, and increasing satisfaction for our customers – while improving quality and aesthetics."
Key SunPower Equinox elements and homeowner benefits include:
"Conventional home solar design and systems can be complicated and not harmonious, with companies assembling disparate parts − each built in isolation by different manufacturers," Wenger continued. "For homeowners, this piecemeal approach can result in decreased performance, substandard reliability, low-quality aesthetics, and longer installation times. With 30 years of experience and a vertically integrated business model, SunPower is uniquely positioned to offer a holistic solution like the SunPower Equinox system to consumers."
SunPower recently launched a consumer awareness campaign called "Demand Better Solar™" reminding homeowners that solar technology differs widely from brand to brand. Not all solar systems deliver the most energy, look as elegant on a roof, or are guaranteed to last as long as promised. However, with the SunPower Equinox system, U.S. homeowners can have the best solar technology available today.
To learn more, visit the latest SunPower blog post titled, "SunPower Equinox™ Makes Home Solar Simple, Powerful, Beautiful" or visit www.sunpower.com/equinox.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Safe Harbor Statement
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, estimates regarding the future performance and reliability of our products. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our ability to obtain additional financing for our projects and our customers; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; and (3) other risks discussed in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, DEMAND BETTER SOLAR, HELIX, OASIS, SUNPOWER EQUINOX and THE POWER OF ONE are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
SOURCE SunPower Corp.
Article Date
3/21/2016Now 100 Percent of SunPower's Direct Current E-Series and X-Series Solar Panels Produced are Cradle to Cradle Certified(TM) Silver
Source: PR Newswire
SAN JOSE, Calif., March 17, 2016 /PRNewswire/ -- With environmental sustainability and social responsibility at its core, SunPower demonstrates continued industry leadership by manufacturing 100 percent of its direct current E-Series and X-Series solar panels to meet Cradle to Cradle Certified™ Silver standards. Administered by the Cradle to Cradle Products Innovation Institute, Cradle to Cradle certification evaluates a product across five categories: material health, material reutilization, renewable energy use, water stewardship and social fairness.
"Consumers can drive significant environmental change by supporting products that are sustainably designed, sourced and manufactured, and Cradle to Cradle certification provides trusted validation that these products are made with minimal impact to our earth and local communities," said Lewis Perkins, president of the Cradle to Cradle® Products Innovation Institute. "We congratulate SunPower for their commitment to helping residential and commercial customers reach their long-term sustainability goals whether it be by achieving LEED certification for a building or reducing a home's carbon footprint with Cradle to Cradle Certified™ Silver solar panels."
Four SunPower facilities located in Mexico, France and now the Philippines are producing Cradle to Cradle Certified™ Silver solar panels – the only solar panels in the world that carry the mark. These same SunPower manufacturing sites are on a path to becoming "triple certified" to add landfill-free verification and Leadership in Energy and Environmental Design (LEED) certification to their list of sustainability achievements.
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Mexicali, Mexico |
De Vernejoul and Toulouse, France |
Binãn, Philippines | |
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Cradle to Cradle |
* Click here to read more |
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Landfill-free |
* Click here to read more |
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LEED |
* Click here to read more |
Most Recent Landfill-free Verification Earned in France
At the end of 2015, SunPower facilities in De Vernejoul and Toulouse, France, joined the company's Mexicali facility in earning landfill-free verification from NSF Sustainability, a division of the global public health organization NSF International.
"Achieving landfill-free status and having it verified by NSF Sustainability shows the commitment that SunPower is making to more sustainable operations," said Jenny Oorbeck, General Manager of NSF International's Sustainability Division. "We congratulate SunPower on these waste reduction accomplishments."
With this recognition, three SunPower facilities now hold the verification demonstrating that 99 percent of the waste generated at each location is diverted from landfills.
Latest Industry Recognition and Continued Commitment to Sustainability
SunPower continues to earn industry recognition for its sustainability initiatives. Most notably, the company placed first in the 2015 Solar Scorecard released by Silicon Valley Toxics Coalition (SVTC), showing leadership in manufacturing solar panels according to environmental, sustainability and social justice factors. In six years of the report being published, SunPower received the highest rating ever acquired by a participating solar company with 97 points.
"Toward the end of 2015, world leaders reached a historic agreement to address climate change head-on. At SunPower, we believe solar power will help significantly meet the challenge, and we'll continue driving innovations that allow us to design and manufacture high-efficiency solar products even more sustainably," said Marty Neese, SunPower COO. "SunPower has proven that there's a holistically better way to help residential, commercial and power plant solar customers globally achieve their renewable energy goals with minimal impact to the environment, and we look forward to further reducing our carbon footprints, together."
For more on SunPower sustainability, visit www.sunpower.com/sustainability.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About the Cradle to Cradle Products Innovation Institute
The Cradle to Cradle Products Innovation Institute is a non-profit organization whose mission is to turn the making of things into a positive force for people, the economy and the planet. It stewards the Cradle to Cradle Certified™ Product Program, a system for assessing and continuously improving product quality based upon five categories: material health, material reuse, renewable energy, water stewardship, and social fairness. The Institute is headquartered in San Francisco, California with satellite offices in Amsterdam, NL, Venlo, NL and Raleigh, NC.
About NSF International
NSF International is a global independent organization that writes standards, and tests and certifies products for the food, water and consumer goods industries to minimize adverse health effects and protect the environment (nsf.org). Founded in 1944, NSF is committed to protecting human health and safety worldwide. NSF Sustainability offers a range of business solutions, including sustainable standards development, certification and claims validation for commercial and consumer products as well as process verification services such as greenhouse gas and landfill-free verification and sustainable forestry and e-waste certification.
SAFE HARBOR STATEMENT
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including our expectations regarding the pace of our innovations and planned improvements to our manufacturing processes. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) our ability to obtain additional financing for our projects and our customers; (2) regulatory changes and the availability of economic incentives promoting use of solar energy; and (3) other risks discussed in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent report on Form 10-K, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are registered trademarks of SunPower Corporation in the U.S. and other countries as well. Cradle to Cradle Certified™ is a certification mark licensed by the Cradle to Cradle Products Innovation Institute.
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SOURCE SunPower Corp.
Article Date
3/17/20163/9/2016 - The Solar Program announces partnership with SunPower to offer SunPower Direct in New York City
The Solar Program announces partnership with SunPower to offer SunPower Direct in New York City
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
NEW YORK and SAN JOSE, Calif., March 9, 2016 /PRNewswire/ -- The Solar Program, a New York founded Solar Marketing and Sales Company, and SunPower Corporation, the world's leader in solar technology, have partnered to offer a direct solar solution for New Yorkers. This partnership creates a new way for New Yorkers to go solar. Homeowners can now take advantage by purchasing, financing, or leasing SunPower panels and deal directly with the manufacturer. This means from design, through permitting, and even install, SunPower will be part of the homeowner's experience. SunPower's panels are not only the highest producing solar panels in the world, but have the industry's most comprehensive warranty.
"It makes perfect sense," said Keith Finkel, CEO of The Solar Program. "We have brought solar to more New Yorkers than anyone else. We have always offered customers the world's best panels, but now we can give them the world's best service." Traditionally, solar companies use sub-contractors to provide install services for their customers. With the new direct structure this is now a thing of the past. "Who better to oversee the design and install of your solar system than the company that manufactures and warranties your solar system?" Keith Finkel continued.
SunPower direct means New Yorkers can have the peace of mind that their solar system project is being facilitated by the company that manufactures them. The Solar Program will be the first point of contact for those looking to go solar. The Solar Program will qualify homes and educate homeowners on how solar works, the savings, and the benefits. The Solar Program has an extensive team of knowledgeable project coordinators; not only in solar technology, but available rebate and incentive programs.
About The Solar Program
The Solar Program is a privately held company. Since 2013 they have brought solar to more New Yorkers than anyone else. The Solar Program's main goal is to save homeowners money while educating them on the eco-friendliness of renewable clean solar power. The Solar Program since inception has offered homeowners SunPower products. They are a 2 year back to back award winning top producer of solar electricity. The Solar Program is headquartered in Staten Island, NY. For more information, visit www.thesolarprogram.com or call: 1-855-GODIRECT
About SunPower Corporation
SunPower Corp. (NASDAQ: SPWR) designs, manufactures and delivers the highest efficiency, highest reliability solar panels and systems available today. Residential, business, government and utility customers rely on SunPower's 30 years of experience and guaranteed performance to provide maximum return on investment throughout the life of the solar system. Headquartered in San Jose, Calif., SunPower has offices in North and South America, Europe, Australia, Africa and Asia. For more information, visit www.sunpower.com.
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SOURCE The Solar Program
Article Date
3/9/2016SunPower Smashes Installation Time Record for Commercial Solar Power Systems
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 29, 2016 /PRNewswire/ -- SunPower Corp. (Nasdaq: SPWR) announced today that its SunPower® Helix™ Roof product, the world's first fully-integrated rooftop solar solution for commercial customers, can be installed at least two and a half times faster than competing commercial rooftop solar power systems currently available. As measured by DNV GL, a global independent energy expert and certification body, the SunPower Helix Roof ST product is installed at more than 33 panels per installer hour. Leading competitive commercial rooftop systems have publicly reported maximum install speeds of 12 to 13 panels per installer hour.
"The SunPower Helix Roof product delivers value through innovation, benefiting our commercial customers with an exclusive combination of the most efficient solar panels installed at world record speed," said Howard Wenger, SunPower president, business units. "For businesses and organizations choosing SunPower Helix systems, installation time that is two and a half times faster means less business disruption and the opportunity to fast track cost savings and sustainability goals."
One key feature of the SunPower Helix platform that significantly reduces installation time while enhancing reliability, is a plug-and-play power station – the only one available in the U.S. commercial solar market – that eliminates the need to strip and land wires on site. The Helix Roof system requires 67 percent fewer field connections compared to conventional commercial rooftop systems.
DNV GL conducted a Mounting System Installation Efficiency Test in December 2015 on a 21.6-kilowatt (DC) rooftop system composed of 66 high efficiency SunPower solar panels. The 3-person team of solar installers had no previous experience installing a Helix system.
"With standardized Helix components, we have eliminated the inefficiencies and added costs of complex system design," added Wenger. "Helix makes the complex simple, allowing our commercial and public agency customers to easily and intelligently manage their energy use and costs and maximize solar power production over the long-term."
Six out of the top 10 U.S. corporate solar users, as compiled by the Solar Energy Industries Association in 2015, are SunPower customers.
More information on Helix can be found on SunPower's blog and at http://us.sunpower.com/commercial-solar-energy-system-helix/.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and HELIX are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
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SOURCE SunPower Corp.
Article Date
2/29/20162/23/2016 - SunPower Solar Power Systems Planned for Four Escondido Union High School District Schools
SunPower Solar Power Systems Planned for Four Escondido Union High School District Schools
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ESCONDIDO, Calif. and SAN JOSE, Calif., Feb. 23, 2016 /PRNewswire/ -- Escondido Union High School District (EUHSD) and SunPower Corp. (Nasdaq: SPWR) today announced a power purchase agreement (PPA) under which SunPower will build two megawatts of solar power systems at four district schools. The district estimates that the agreement will offset approximately 75 percent of its annual electricity demand, and save $13.4 million in electricity costs over the next 20 years.
Requiring no upfront capital investment on behalf of the district, the PPA provides EUHSD with competitive electricity rates and a hedge against potential utility rate increases.
"As a result of this agreement with SunPower, Escondido Union High School District will significantly reduce our energy costs, enabling us to apply the savings where they are needed, such as for enhanced academic programs or facility upgrades," said EUHSD Assistant Superintendent of Business Services Michael Simonson. "SunPower's deep experience working with school districts is as important as the long-term performance of its technology. We are proud to support the development of additional solar power resources in our community."
At the four district sites, SunPower will install solar carport systems, using high efficiency SunPower solar panels, the most efficient on the market today. In addition to generating power, the carports will provide needed shade in the schools' parking areas. The systems are expected to be operational by the end of this year.
"Escondido Union High School District can rely on these SunPower systems to deliver exceptional value for the next 20 years," said Howard Wenger, SunPower president, business units. "SunPower has extensive experience working with school districts to deliver innovative solar solutions. It is extremely rewarding to enable our public schools to achieve significant operational savings while inspiring students with the great potential of solar power."
SunPower is a leader in delivering energy solutions to California school districts. At 22 school districts across the state, the company has installed solar power systems totaling more than 89 megawatts which, according to the Solar Energy Industries Association, generates the equivalent amount of power for almost 14,000 average California homes.
About Escondido Union High School District
EUHSD is proud to not only have one of the county's oldest schools (Escondido High, founded in 1894), but one of the newest campuses (Del Lago Academy, opened in Fall 2013). For over 120 years, generations of students have been inspired, guided and at times gently nudged to reach for the stars. Whether in the classroom, library, Learning Center, lunch room or on the field, every student deserves the chance to develop knowledge and skills that will prepare them for a successful future. With Advanced Placement, Independent Study, after school enrichment, career exploration, and college/career technical programs available on every campus, opportunities are abundant. Currently over 7,800 students attend Escondido, Orange Glen, San Pasqual, Valley or Del Lago Academy, choosing the unique learning environment in which they can best thrive.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
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SOURCE SunPower Corp.
Article Date
2/23/2016SunPower Reports Fourth Quarter and Fiscal Year 2015 Results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 17, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) today announced financial results for its fourth quarter and fiscal year ended Jan. 3, 2016.
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($ Millions, except percentages and per-share data) |
4th Quarter 2015 |
3rd Quarter 2015 |
4th Quarter 2014 |
FY 2015 |
FY 2014 |
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GAAP revenue |
$374.4 |
$380.2 |
$1,164.2 |
$1,576.5 |
$3,027.3 |
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GAAP gross margin |
5.4% |
16.5% |
22.3% |
15.5% |
20.6% |
|
GAAP net income (loss) |
($127.6) |
($56.3) |
$134.7 |
($187.0) |
$245.9 |
|
GAAP net income (loss) per diluted share |
($0.93) |
($0.41) |
$0.83 |
($1.39) |
$1.55 |
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Non-GAAP revenue1 |
$1,363.9 |
$441.4 |
$609.7 |
$2,612.7 |
$2,618.7 |
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Non-GAAP gross margin1 |
28.8% |
17.7% |
20.4% |
23.9% |
19.6% |
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Non-GAAP net income1 |
$270.4 |
$20.5 |
$39.4 |
$337.8 |
$205.1 |
|
Non-GAAP net income per diluted share1 |
$1.73 |
$0.13 |
$0.26 |
$2.17 |
$1.33 |
|
EBITDA1 |
$379.9 |
$54.2 |
$84.9 |
$556.5 |
$373.9 |
|
1Information about SunPower's use of non-GAAP financial information, including a reconciliation to U.S. GAAP, is provided under "Use of Non-GAAP Financial Measures" below. |
"2015 was a transformational year for the solar industry as increasing demand, favorable policy developments and broad global support for renewables created strong industry growth fundamentals. SunPower benefited from these trends as we exceeded our forecasts and closed out the year with record fourth quarter and full year non-GAAP 2015 results. During the year, we executed on our technology roadmaps, added new products and launched our joint YieldCo vehicle 8point3 Energy Partners. We are well positioned to capitalize on the continued growing adoption of solar in North America as well as key international markets such as China and Latin America. We also expanded our global power plant footprint while completing the world's largest solar power plant, located in California. In distributed generation, we made further investments in Smart Energy and launched a range of complete customer solutions for the commercial market that will significantly reduce cost while improving performance," said Tom Werner, SunPower president and CEO. "Upstream, we again delivered record output and yield while ramping our new Fab 4 cell manufacturing facility for volume production in 2016. We made strong progress on our cost reduction roadmaps and in the fourth quarter announced the launch of our new lower cost, high efficiency Performance Series product line which enhances our ability to rapidly expand SunPower's global footprint with significantly lower capital cost.
"In the power plant segment for the fourth quarter, we successfully met our project commitments, added to our pipeline and further built out our U.S. HoldCo asset base, improving visibility for drop downs to 8point3 Energy Partners in 2016. Specifically, our 135-megawatt (MW) Quinto project achieved commercial operation during the quarter and is now generating energy for 8point3 Energy Partners. Our quarterly power plant segment results benefited from strong Engineering, Procurement and Construction (EPC) execution as our 50-MW Hooper project for Xcel was completed a quarter ahead of schedule. We also commenced construction on our 100-MW project for NV Energy in Nevada and recently dedicated our second 15-MW project at Nellis Air Force base. Going forward, we see significant upside opportunity in the U.S. power plant market as the recent extension of the U.S. federal solar investment tax credit (ITC) provides a sustainable, long term market structure to support further growth. Internationally, we continue to expand our footprint into new markets and recently announced our first project in Mexico, a 36-MW project for Aeropuertos Del Sureste (ASUR), a leading airport operator in the country. This power purchase agreement (PPA) is one of the first significant solar PPAs in Mexico and extends our position as a leader in international solar development. Construction of this project will begin this year and is expected to be completed in 2017.
"We also executed well in our residential business. In North America, our performance was solid as our fourth quarter results exceeded plan, we gained market share and broadened our leasing footprint as megawatt installed growth exceeded 45 percent year over year. Additionally, based on our fourth quarter bookings, we expect continued strong residential demand in 2016. Finally, we also expanded our utility partnership strategy during the quarter as we announced an innovative agreement with TXU Energy to bring SunPower solar solutions to the Texas market.
In our commercial segment, we are well positioned for 2016, having added projects to our backlog and building our pipeline to over $1 billion. As we announced during the quarter, we launched our Helix platform, the world's first fully-integrated solar solution for commercial customers. Designed for the rooftop, carport and commercial ground-mount markets, Helix delivers significantly lower costs and improved reliability while reducing installation times. We are currently shipping our first systems, and interest from both new and existing customers is significant. Finally, we were pleased to announce that we recently completed our first commercial project drop down to 8point3 Energy Partners. This 20-MW project for Kern County School District consists of 27 carports at various locations across the district and will be constructed in three phases with completion scheduled before the end of 2016," Werner concluded.
"Solid execution across all segments, along with the ability to leverage our development capabilities, enabled us to post record results for the fourth quarter and 2015 fiscal year," said Chuck Boynton, SunPower CFO. "Our balance sheet remains strong as we successfully executed a new convertible bond offering and recently renewed our revolver including increasing its size to $300 million. With an approximately $1 billion cash position and our undrawn revolver, we have the resources we need to continue our long term growth initiatives. Finally, we prudently managed our working capital during the quarter as we improved our performance in a number of key cash metrics while adding assets to our HoldCo base."
Fourth quarter and fiscal year 2015 GAAP and non-GAAP results reflect a charge of $33 million, or approximately 20 cents on a non-GAAP basis, related to the contracted sale, at current market based rates, of above market priced polysilicon acquired through a long term supply agreement.
Additionally, fourth quarter fiscal 2015 non-GAAP results include net adjustments that, in the aggregate, increased non-GAAP net income by $398.0 million, including $394.1 million related to 8point3 Energy Partners, $13.1 million related to utility and power plant projects, $2.0 million related to sale of operating lease assets, $16.5 million related to stock-based compensation expense, $1.7 million related to the 8point3 Energy Partners initial public offering, and $3.3 million related to other adjustments, offset by $32.7 million related to tax effect.
Financial Outlook
Given strong global demand as well as a favorable policy environment, the company remains very confident that it can achieve its long term strategic and financial goals by leveraging its flexible business model to drive sustainable growth. With the recent extension of the ITC, the company anticipates increasing its investment in the United States while maintaining its global go-to-market focus.
The company's fourth quarter financial results reflected a shift of approximately $65 million in EBITDA originally forecasted to be recognized in fiscal year 2016. This shift was primarily due to earlier than forecasted project completions in power plants, accelerated recognition of residential leases and earlier than anticipated benefits related to 8point3 Energy Partners. As a result of this approximately $65 million EBITDA shift, the company now expects 2016 EBITDA to be in the range of $450 million to $500 million compared to previous guidance of $515 million to $565 million. For 2017, the company believes that with the ITC extension, further investment in the U.S. market and a strong global project pipeline, it is well positioned to sustainably grow its EBITDA.
For fiscal year 2016, the company's non-GAAP expectations are as follows: revenue of $3.2 billion to $3.4 billion, gross margin of 14 percent to 16 percent, capital expenditures of $210 million to $240 million and gigawatts deployed in the range of 1.7 GW to 2.0 GW. On a GAAP basis, the company expects 2016 revenue of $2.2 billion to $2.4 billion, gross margin of 17 percent to 19 percent and net income of $0 million to $50 million. Fiscal year 2016 GAAP guidance includes the impact of the company's HoldCo strategy and deferrals due to real estate accounting.
The company's first quarter fiscal 2016 non-GAAP guidance is as follows: revenue of $290 million to $340 million, gross margin of 12 percent to 13 percent, EBITDA of $0 to $25 million and megawatts deployed in the range of 315 MW to 340 MW. On a GAAP basis, the company expects revenue of $280 million to $330 million, gross margin of 11 percent to 12 percent and net loss of $115 million to $90 million. First quarter 2016 GAAP guidance includes the impact of the company's HoldCo strategy and deferrals due to real estate accounting.
The company will host a conference call for investors this afternoon to discuss its fourth quarter and fiscal year 2015 performance at 1:30 p.m. Pacific Time. The call will be webcast and can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
This press release contains both GAAP and non-GAAP financial information. Non-GAAP figures are reconciled to the closest GAAP equivalent categories in the financial attachment of this press release. Please note that the company has posted supplemental information and slides related to its fourth quarter 2015 performance on the Events and Presentations section of the SunPower Investor Relations page at http://investors.sunpower.com/events.cfm. The capacity of power plants in this release is described in approximate megawatts on a direct current (dc) basis unless otherwise noted.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, and North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding: (a) strong industry growth fundamentals, including continued growing adoption of solar in key markets; (b) our ability to reduce costs while improving product performance; (c) timing of volume production at our Fab 4 cell manufacturing facility and production of our Performance Series product line enhancing our ability to rapidly expand our global footprint with significantly lower capital cost; (d) improved visibility for drop downs to 8point3 Energy Partners; (e) upside opportunity in the U.S. power plant market; (f) the impact of certain government policies supporting adoption of solar, including the U.S. federal solar investment tax credit (ITC); (g) our continued expansion into new markets; (h) construction schedules; (i) our backlog and project pipeline; (j) the adequacy of our financial resources for executing on our initiatives to drive long term strategic and financial goals, including sustainable growth of EBITDA; (k) first quarter fiscal 2016 guidance, including non-GAAP revenue, gross margin, EBITDA, and MW deployed, as well as GAAP revenue, gross margin, and net loss; (l) full year fiscal 2016 guidance, including non-GAAP revenue, gross margin, capital expenditures, and gigawatts deployed, as well as GAAP revenue, gross margin and net income; and (m) full year fiscal 2017 guidance, including non-GAAP EBITDA. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the industry and downward pressure on average selling prices; (2) our liquidity, substantial indebtedness, and ability to obtain additional financing for our projects and customers; (3) risks relating to our residential lease business, including risks of customer default, challenges securing lease financing, and declining conventional electricity prices; (4) our ability to meet our cost reduction targets; (5) regulatory changes and the availability of economic incentives promoting use of solar energy; (6) challenges inherent in constructing and maintaining certain of our large projects; (7) the success of our ongoing research and development efforts and our ability to commercialize new products and services, including products and services developed through strategic partnerships; (8) fluctuations in our operating results; (9) maintaining or increasing our manufacturing capacity, containing associated costs, and manufacturing difficulties that could arise; (10) challenges managing our joint ventures and partnerships; (11) challenges executing on our HoldCo and YieldCo strategies, including the risk that 8point3 Energy Partners may be unsuccessful; and (12) fluctuations or declines in the performance of our solar panels and other products and solutions. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpower.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
©2016 SunPower Corporation. All rights reserved. SUNPOWER and the SUNPOWER logo are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well. All other trademarks are the property of their respective owners.
|
SUNPOWER CORPORATION | |||
|
CONSOLIDATED BALANCE SHEETS | |||
|
(In thousands) | |||
|
(Unaudited) | |||
|
Jan. 3, |
Dec. 28, | ||
|
2016 |
2014 | ||
|
Assets |
|||
|
Current assets: |
|||
|
Cash and cash equivalents |
$ 954,528 |
$ 956,175 | |
|
Restricted cash and cash equivalents, current portion |
24,488 |
18,541 | |
|
Accounts receivable, net |
190,448 |
504,316 | |
|
Costs and estimated earnings in excess of billings |
38,685 |
187,087 | |
|
Inventories |
382,390 |
208,573 | |
|
Advances to suppliers, current portion |
85,012 |
98,129 | |
|
Project assets - plants and land, current portion |
479,452 |
101,181 | |
|
Prepaid expenses and other current assets |
359,517 |
328,845 | |
|
Total current assets |
2,514,520 |
2,402,847 | |
|
Restricted cash and cash equivalents, net of current portion |
41,748 |
24,520 | |
|
Restricted long-term marketable securities |
6,475 |
7,158 | |
|
Property, plant and equipment, net |
731,230 |
585,344 | |
|
Solar power systems leased and to be leased, net |
531,520 |
390,913 | |
|
Project assets - plants and land, net of current portion |
5,072 |
15,475 | |
|
Advances to suppliers, net of current portion |
274,085 |
311,528 | |
|
Long-term financing receivables, net |
334,791 |
269,587 | |
|
Goodwill and other intangible assets, net |
119,577 |
37,981 | |
|
Other long-term assets |
297,975 |
300,229 | |
|
Total assets |
$ 4,856,993 |
$ 4,345,582 | |
|
Liabilities and Equity |
|||
|
Current liabilities: |
|||
|
Accounts payable |
$ 514,654 |
$ 419,919 | |
|
Accrued liabilities |
313,497 |
331,034 | |
|
Billings in excess of costs and estimated earnings |
115,739 |
83,440 | |
|
Short-term debt |
21,041 |
18,105 | |
|
Convertible debt, current portion |
- |
245,325 | |
|
Customer advances, current portion |
33,671 |
31,788 | |
|
Total current liabilities |
998,602 |
1,129,611 | |
|
Long-term debt |
478,948 |
214,181 | |
|
Convertible debt, net of current portion |
1,110,960 |
692,955 | |
|
Customer advances, net of current portion |
126,183 |
148,896 | |
|
Other long-term liabilities |
564,557 |
555,344 | |
|
Total liabilities |
3,279,250 |
2,740,987 | |
|
Redeemable noncontrolling interests in subsidiaries |
69,104 |
28,566 | |
|
Equity: |
|||
|
Preferred stock |
- |
- | |
|
Common stock |
137 |
131 | |
|
Additional paid-in capital |
2,359,917 |
2,219,581 | |
|
Accumulated deficit |
(747,617) |
(560,598) | |
|
Accumulated other comprehensive loss |
(8,023) |
(13,455) | |
|
Treasury stock, at cost |
(155,265) |
(111,485) | |
|
Total stockholders' equity |
1,449,149 |
1,534,174 | |
|
Noncontrolling interests in subsidiaries |
59,490 |
41,855 | |
|
Total equity |
1,508,639 |
1,576,029 | |
|
Total liabilities and equity |
$ 4,856,993 |
$ 4,345,582 | |
|
SUNPOWER CORPORATION | ||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
|
(In thousands, except per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
Revenue: |
||||||||||
|
Residential |
$ 172,428 |
$ 163,563 |
$ 181,137 |
$ 643,520 |
$ 655,936 | |||||
|
Commercial |
80,113 |
84,983 |
105,407 |
277,143 |
361,828 | |||||
|
Power Plant |
121,823 |
131,672 |
877,694 |
655,810 |
2,009,501 | |||||
|
Total revenue |
374,364 |
380,218 |
1,164,238 |
1,576,473 |
3,027,265 | |||||
|
Cost of revenue: |
||||||||||
|
Residential |
142,287 |
126,411 |
157,571 |
508,449 |
541,812 | |||||
|
Commercial |
81,541 |
72,337 |
105,841 |
259,600 |
326,324 | |||||
|
Power Plant |
130,233 |
118,826 |
641,347 |
563,778 |
1,534,002 | |||||
|
Total cost of revenue |
354,061 |
317,574 |
904,759 |
1,331,827 |
2,402,138 | |||||
|
Gross margin |
20,303 |
62,644 |
259,479 |
244,646 |
625,127 | |||||
|
Operating expenses: |
||||||||||
|
Research and development |
32,362 |
24,973 |
22,725 |
99,063 |
73,343 | |||||
|
Selling, general and administrative |
105,643 |
81,109 |
74,500 |
345,486 |
288,321 | |||||
|
Restructuring charges |
335 |
726 |
13,213 |
6,391 |
12,223 | |||||
|
Total operating expenses |
138,340 |
106,808 |
110,438 |
450,940 |
373,887 | |||||
|
Operating income (loss) |
(118,037) |
(44,164) |
149,041 |
(206,294) |
251,240 | |||||
|
Other expense, net |
(13,282) |
(11,949) |
(17,637) |
(36,017) |
(66,626) | |||||
|
Income (loss) before income taxes and equity in earnings of unconsolidated investees |
(131,319) |
(56,113) |
131,404 |
(242,311) |
184,614 | |||||
|
Provision for income taxes |
(28,778) |
(36,224) |
(11,628) |
(66,694) |
(8,760) | |||||
|
Equity in earnings of unconsolidated investees |
462 |
5,052 |
1,833 |
9,569 |
7,241 | |||||
|
Net income (loss) |
(159,635) |
(87,285) |
121,609 |
(299,436) |
183,095 | |||||
|
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests |
32,014 |
30,959 |
13,106 |
112,417 |
62,799 | |||||
|
Net income (loss) attributable to stockholders |
$ (127,621) |
$ (56,326) |
$ 134,715 |
$ (187,019) |
$ 245,894 | |||||
|
Net income (loss) per share attributable to stockholders: |
||||||||||
|
- Basic |
$ (0.93) |
$ (0.41) |
$ 1.03 |
$ (1.39) |
$ 1.91 | |||||
|
- Diluted |
$ (0.93) |
$ (0.41) |
$ 0.83 |
$ (1.39) |
$ 1.55 | |||||
|
Weighted-average shares: |
||||||||||
|
- Basic |
136,653 |
136,473 |
131,393 |
134,884 |
128,635 | |||||
|
- Diluted |
136,653 |
136,473 |
164,075 |
134,884 |
162,751 | |||||
|
SUNPOWER CORPORATION | |||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||
|
(In thousands) | |||||||||
|
(Unaudited) | |||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | ||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | |||||
|
2016 |
2015 |
2014 |
2016 |
2014 | |||||
|
Cash flows from operating activities: |
|||||||||
|
Net income (loss) |
$ (159,635) |
$ (87,285) |
$ 121,609 |
$ (299,436) |
$ 183,095 | ||||
|
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: |
|||||||||
|
Depreciation and amortization expense |
40,638 |
37,364 |
33,671 |
138,007 |
108,795 | ||||
|
Stock-based compensation |
16,476 |
14,898 |
13,652 |
58,960 |
55,592 | ||||
|
Non-cash interest expense |
416 |
517 |
5,593 |
6,184 |
21,585 | ||||
|
Equity in earnings of unconsolidated investees |
(462) |
(5,052) |
(1,833) |
(9,569) |
(7,241) | ||||
|
Excess tax benefit from stock-based compensation |
(14,285) |
(18,363) |
(2,379) |
(39,375) |
(2,379) | ||||
|
Deferred income taxes and other tax liabilities |
41,004 |
28,480 |
23,549 |
63,672 |
21,656 | ||||
|
Gain on sale of residential lease portfolio to 8point3 Energy Partners LP |
- |
- |
- |
(27,915) |
- | ||||
|
Other, net |
649 |
563 |
2,660 |
2,589 |
5,278 | ||||
|
Changes in operating assets and liabilities, net of effect of acquisitions: |
|||||||||
|
Accounts receivable |
19,641 |
226,900 |
14,429 |
311,743 |
(31,505) | ||||
|
Costs and estimated earnings in excess of billings |
408 |
9,380 |
(140,831) |
148,426 |
(155,300) | ||||
|
Inventories |
(50,611) |
(56,427) |
(25,107) |
(237,764) |
(1,247) | ||||
|
Project assets |
(263,218) |
(188,073) |
(34,909) |
(763,065) |
(68,247) | ||||
|
Prepaid expenses and other assets |
(99,650) |
(16,785) |
351,803 |
(87,010) |
201,858 | ||||
|
Long-term financing receivables, net |
(34,555) |
(39,160) |
(17,205) |
(142,973) |
(94,314) | ||||
|
Advances to suppliers |
20,760 |
4,706 |
(7,765) |
50,560 |
(26,343) | ||||
|
Accounts payable and other accrued liabilities |
150,745 |
6,243 |
61,144 |
90,904 |
45,768 | ||||
|
Billings in excess of costs and estimated earnings |
34,629 |
(13,298) |
(265,650) |
30,661 |
(225,210) | ||||
|
Customer advances |
179 |
(8,527) |
(10,082) |
(20,830) |
(23,481) | ||||
|
Net cash provided by (used in) operating activities |
(296,871) |
(103,919) |
122,349 |
(726,231) |
8,360 | ||||
|
Cash flows from investing activities: |
|||||||||
|
Decrease (increase) in restricted cash and cash equivalents |
4,485 |
748 |
(2,012) |
(23,174) |
(11,562) | ||||
|
Purchases of property, plant and equipment |
(97,699) |
(63,574) |
(56,997) |
(230,051) |
(102,505) | ||||
|
Cash paid for solar power systems, leased and to be leased |
(23,957) |
(22,587) |
(15,415) |
(88,376) |
(50,974) | ||||
|
Cash paid for solar power systems |
- |
- |
(8,540) |
(10,007) |
(13,457) | ||||
|
Proceeds from sales or maturities of marketable securities |
- |
- |
- |
- |
1,380 | ||||
|
Proceeds from 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio |
175,863 |
22,754 |
- |
539,791 |
- | ||||
|
Purchases of marketable securities |
- |
- |
- |
- |
(30) | ||||
|
Cash paid for acquisitions, net of cash acquired |
(5,735) |
(59,021) |
(28,184) |
(64,756) |
(35,078) | ||||
|
Cash paid for investments in unconsolidated investees |
- |
3,000 |
(92,000) |
(4,092) |
(97,013) | ||||
|
Cash paid for intangibles |
(6,535) |
(2,875) |
- |
(9,936) |
- | ||||
|
Net cash provided by (used in) investing activities |
46,422 |
(121,555) |
(203,148) |
109,399 |
(309,239) | ||||
|
Cash flows from financing activities: |
|||||||||
|
Proceeds from issuance of convertible debt, net of issuance costs |
416,305 |
- |
- |
416,305 |
395,275 | ||||
|
Cash paid for repurchase of convertible debt |
- |
(79) |
(97) |
(324,352) |
(42,250) | ||||
|
Proceeds from settlement of 4.75% Bond Hedge |
- |
- |
- |
- |
68,842 | ||||
|
Payments to settle 4.75% Warrants |
- |
- |
- |
- |
(81,077) | ||||
|
Proceeds from settlement of 4.50% Bond Hedge |
- |
- |
17 |
74,628 |
131 | ||||
|
Payments to settle 4.50% Warrants |
- |
- |
- |
(574) |
- | ||||
|
Proceeds from issuance of non-recourse debt financing, net of issuance costs |
11,684 |
25,615 |
7,086 |
92,129 |
81,926 | ||||
|
Repayment of non-recourse debt financing |
(445) |
(256) |
(244) |
(1,528) |
(244) | ||||
|
Proceeds from issuance of project loans, net of issuance costs |
212,709 |
21,356 |
61,537 |
424,556 |
61,537 | ||||
|
Assumption of project loan by customer |
- |
- |
- |
- |
(40,672) | ||||
|
Repayment of bank loans, project loans and other debt |
(12,397) |
(38) |
(533) |
(252,595) |
(17,073) | ||||
|
Proceeds from residential lease financing |
5,760 |
2,219 |
- |
7,979 |
- | ||||
|
Repayment of residential lease financing |
- |
- |
- |
(39,975) |
(15,686) | ||||
|
Proceeds from sale-leaseback financing |
- |
- |
27,022 |
17,219 |
50,600 | ||||
|
Repayment of sale-leaseback financing |
- |
- |
(2,856) |
(2,237) |
(4,216) | ||||
|
Proceeds from 8point3 Energy Partners LP attributable to operating leases and unguaranteed sales-type lease residual values |
- |
- |
- |
29,300 |
- | ||||
|
Contributions from noncontrolling interests attributable to real estate projects |
12,410 |
- |
- |
12,410 |
- | ||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests |
47,149 |
41,796 |
25,371 |
180,881 |
100,683 | ||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests |
(3,501) |
(2,223) |
(2,285) |
(10,291) |
(5,093) | ||||
|
Proceeds from exercise of stock options |
50 |
289 |
113 |
517 |
1,052 | ||||
|
Excess tax benefit from stock-based compensation |
14,285 |
18,363 |
2,379 |
39,375 |
2,379 | ||||
|
Purchases of stock for tax withholding obligations on vested restricted stock |
(1,373) |
(2,081) |
(1,548) |
(43,780) |
(57,548) | ||||
|
Net cash provided by financing activities |
702,636 |
104,961 |
115,962 |
619,967 |
498,566 | ||||
|
Effect of exchange rate changes on cash and cash equivalents |
(540) |
351 |
(1,717) |
(4,782) |
(4,023) | ||||
|
Net increase (decrease) in cash and cash equivalents |
451,647 |
(120,162) |
33,446 |
(1,647) |
193,664 | ||||
|
Cash and cash equivalents, beginning of period |
502,881 |
623,043 |
922,729 |
956,175 |
762,511 | ||||
|
Cash and cash equivalents, end of period |
$ 954,528 |
$ 502,881 |
$ 956,175 |
$ 954,528 |
$ 956,175 | ||||
|
Non-cash transactions: |
|||||||||
|
Assignment of financing receivables to a third party financial institution |
$ 573 |
$ 1,053 |
$ 1,604 |
$ 3,315 |
$ 8,023 | ||||
|
Costs of solar power systems, leased and to be leased, sourced from existing inventory |
19,309 |
16,867 |
15,396 |
66,604 |
41,204 | ||||
|
Costs of solar power systems, leased and to be leased, funded by liabilities |
10,972 |
8,229 |
3,786 |
10,972 |
3,786 | ||||
|
Costs of solar power systems under sale-leaseback financing arrangements sourced from project assets |
- |
- |
10,926 |
6,076 |
28,259 | ||||
|
Property, plant and equipment acquisitions funded by liabilities |
28,950 |
43,083 |
11,461 |
28,950 |
11,461 | ||||
|
Issuance of common stock upon conversion of convertible debt |
- |
- |
- |
- |
188,263 | ||||
|
Sale of residential lease portfolio in exchange for non-controlling equity interests in the 8point3 Group |
- |
- |
- |
68,273 |
- | ||||
|
Acquisition of intangible assets funded by liabilities |
- |
6,512 |
- |
- |
- | ||||
|
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group |
97,272 |
5,061 |
- |
102,333 |
- | ||||
Use of Non-GAAP Financial Measures
To supplement its consolidated financial results presented in accordance with GAAP, the company uses non-GAAP measures that are adjusted for certain items from the most directly comparable GAAP measures, as described below. The specific non-GAAP measures listed below are: revenue; gross margin; net income; net income per diluted share; earnings before interest, taxes, depreciation and amortization ("EBITDA"); and free cash flow. Management believes that each of these non-GAAP measures is useful to investors, enabling them to better assess changes in each of these key elements of the company's results of operations across different reporting periods on a consistent basis, independent of certain items as described below. Thus, each of these non-GAAP financial measures provides investors with another method to assess the company's operating results in a manner that is focused on its ongoing, core operating performance, absent the effects of these items. Management uses these non-GAAP measures internally to assess the business, its financial performance, current and historical results, as well as for strategic decision-making and forecasting future results. Many of the analysts covering the company also use these non-GAAP measures in their analyses. Given management's use of these non-GAAP measures, the company believes these measures are important to investors in understanding the company's operating results as seen through the eyes of management. These non-GAAP measures are not prepared in accordance with GAAP or intended to be a replacement for GAAP financial data; the non-GAAP measures should be reviewed together with the GAAP measures and are not intended to serve as a substitute for results under GAAP, and may be different from non-GAAP measures used by other companies.
Non-GAAP revenue includes adjustments relating to 8point3, utility and power plant projects, and the sale of operating lease assets as described below. Non-GAAP gross margin includes adjustments relating to 8point3, utility and power plant projects, the sale of operating lease assets, the FPSC arbitration ruling, stock-based compensation, and other items as described below. In addition to those same adjustments, non-GAAP net income and non-GAAP net income per diluted share are adjusted for adjustments relating to IPO-related costs and the tax effect of these non-GAAP adjustments as described below. In addition to the same adjustments as non-GAAP net income, EBITDA includes adjustments relating to cash interest expense (net of interest income), provision for (benefit from) income taxes, and depreciation. Free cash flow includes adjustments relating to investing cash flows and lease financings as described below.
Non-GAAP Adjustments
The company includes adjustments related to the sales of projects contributed to 8point3 based on the difference between the fair market value of the consideration received and the net carrying value of the projects contributed, of which, a portion is deferred in proportion to the company's retained equity stake in 8point3. The deferred profit is subsequently recognized over time. This treatment is consistent with the accounting rules relating to the sale of such projects under International Financial Reporting Standards ("IFRS"). Under these rules, with certain exceptions such as for projects already in operation, the company's revenue is equal to the fair market value of the consideration received, and cost of goods sold is equal to the net carrying value plus a partial deferral of profit proportionate with the retained equity stake. Under GAAP, these sales are recognized under either real estate, lease, or consolidation accounting rules depending upon the nature of the individual asset contributed, with outcomes ranging from no profit recognition to full profit recognition. IFRS profit, less deferrals associated with retained equity, is recognized for sales related to the residential lease portfolio. Revenue recognition for other projects sold to 8point3 is deferred until these projects reach commercial operations consistent with IFRS rules. Equity in earnings of unconsolidated investees includes the impact of the company's share of 8point3's earnings related to sales of projects receiving sales recognition under IFRS but not GAAP. Management believes that these adjustments for the impact of 8point3 enable investors to better evaluate the company's revenue and profit generation performance.
The amounts recorded in "Other" during the fourth quarter of fiscal 2015 are driven by adjustments which would have previously been disclosed under other non-GAAP adjustment captions, including "Amortization of intangible assets," "Non-cash interest expense," and "Restructuring."
Management presents this non-GAAP financial measure to give investors a basis to evaluate the company's performance, including compared with the performance of other companies.
Management presents this non-GAAP financial measure to enable investors to evaluate the company's performance, including compared with the performance of other companies.
For more information about these non-GAAP financial measures, please see the tables captioned "Reconciliations of GAAP Measures to Non-GAAP Measures" set forth at the end of this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
|
SUNPOWER CORPORATION | ||||||||||
|
RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||
|
(In thousands, except percentages and per share data) | ||||||||||
|
(Unaudited) | ||||||||||
|
Adjustments to Revenue: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
GAAP revenue |
$ 374,364 |
$ 380,218 |
$ 1,164,238 |
$ 1,576,473 |
$ 3,027,265 | |||||
|
8point3 |
952,115 |
59,619 |
- |
1,011,734 |
- | |||||
|
Utility and power plant projects |
31,012 |
1,567 |
(554,577) |
17,996 |
(408,616) | |||||
|
Sale of operating lease assets |
6,447 |
- |
- |
6,447 |
- | |||||
|
Non-GAAP revenue |
$ 1,363,938 |
$ 441,404 |
$ 609,661 |
$ 2,612,650 |
$ 2,618,649 | |||||
|
Adjustments to Gross margin: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
GAAP gross margin |
$ 20,303 |
$ 62,644 |
$ 259,479 |
$ 244,646 |
$ 625,127 | |||||
|
8point3 |
351,661 |
18,296 |
- |
369,957 |
- | |||||
|
Utility and power plant projects |
13,079 |
(516) |
(195,997) |
(3,016) |
(190,712) | |||||
|
Sale of operating lease assets |
2,000 |
- |
- |
2,000 |
- | |||||
|
FPSC arbitration ruling |
- |
(7,500) |
56,806 |
(14,600) |
56,806 | |||||
|
Stock-based compensation expense |
3,308 |
4,210 |
3,443 |
13,343 |
14,321 | |||||
|
Other |
2,124 |
1,088 |
661 |
12,671 |
8,003 | |||||
|
Non-GAAP gross margin |
$ 392,475 |
$ 78,222 |
$ 124,392 |
$ 625,001 |
$ 513,545 | |||||
|
GAAP gross margin (%) |
5.4% |
16.5% |
22.3% |
15.5% |
20.6% | |||||
|
Non-GAAP gross margin (%) |
28.8% |
17.7% |
20.4% |
23.9% |
19.6% | |||||
|
Adjustments to Net income (loss): |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
GAAP net income (loss) attributable to stockholders |
$ (127,621) |
$ (56,326) |
$ 134,715 |
$ (187,019) |
$ 245,894 | |||||
|
8point3 |
394,097 |
19,371 |
- |
408,780 |
- | |||||
|
Utility and power plant projects |
13,079 |
(516) |
(195,997) |
(3,016) |
(190,712) | |||||
|
Sale of operating lease assets |
2,000 |
- |
- |
2,000 |
- | |||||
|
FPSC arbitration ruling |
- |
(7,500) |
56,806 |
(14,600) |
56,806 | |||||
|
Stock-based compensation expense |
16,476 |
14,898 |
13,652 |
58,960 |
55,592 | |||||
|
IPO-related costs |
1,669 |
1,233 |
- |
28,033 |
- | |||||
|
Other |
3,361 |
2,357 |
20,814 |
25,595 |
41,813 | |||||
|
Tax effect |
(32,663) |
46,959 |
9,424 |
19,033 |
(4,282) | |||||
|
Non-GAAP net income attributable to stockholders |
$ 270,398 |
$ 20,476 |
$ 39,414 |
$ 337,766 |
$ 205,111 | |||||
|
Adjustments to Net income (loss) per diluted share: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
Net income (loss) per diluted share |
||||||||||
|
Numerator: |
||||||||||
|
GAAP net income (loss) available to common stockholders1 |
$ (127,621) |
$ (56,326) |
$ 136,124 |
$ (187,019) |
$ 252,524 | |||||
|
Non-GAAP net income available to common stockholders1 |
$ 270,731 |
$ 20,808 |
$ 39,964 |
$ 339,492 |
$ 209,843 | |||||
|
Denominator: |
||||||||||
|
GAAP weighted-average shares |
136,653 |
136,473 |
164,075 |
134,884 |
162,751 | |||||
|
Effect of dilutive securities: |
||||||||||
|
Stock options |
2 |
18 |
- |
24 |
- | |||||
|
Restricted stock units |
1,478 |
1,170 |
- |
1,781 |
- | |||||
|
Upfront warrants (held by Total) |
6,564 |
6,531 |
- |
6,801 |
- | |||||
|
Warrants (under the CSO2015) |
- |
- |
- |
913 |
- | |||||
|
0.75% debentures due 2018 |
12,026 |
12,026 |
- |
12,026 |
- | |||||
|
0.875% debentures due 2021 |
- |
- |
(8,203) |
- |
(4,530) | |||||
|
Non-GAAP weighted-average shares1 |
156,723 |
156,218 |
155,872 |
156,429 |
158,221 | |||||
|
GAAP net income (loss) per diluted share |
$ (0.93) |
$ (0.41) |
$ 0.83 |
$ (1.39) |
$ 1.55 | |||||
|
Non-GAAP net income per diluted share |
$ 1.73 |
$ 0.13 |
$ 0.26 |
$ 2.17 |
$ 1.33 | |||||
|
1In accordance with the if-converted method, net income (loss) available to common stockholders excludes interest expense related to the 0.75%, 0.875%, and 4.0% debentures if the debentures are considered converted in the calculation of net income (loss) per diluted share. If the conversion option for a debenture is not in the money for the relevant period, the potential conversion of the debenture under the if-converted method is excluded from the calculation of non-GAAP net income per diluted share. | ||||||||||
|
EBITDA: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
GAAP net income (loss) attributable to stockholders |
$ (127,621) |
$ (56,326) |
$ 134,715 |
$ (187,019) |
$ 245,894 | |||||
|
8point3 |
394,097 |
19,371 |
- |
408,780 |
- | |||||
|
Utility and power plant projects |
13,079 |
(516) |
(195,997) |
(3,016) |
(190,712) | |||||
|
Sale of operating lease assets |
2,000 |
- |
- |
2,000 |
- | |||||
|
FPSC arbitration ruling |
- |
(7,500) |
56,806 |
(14,600) |
56,806 | |||||
|
Stock-based compensation expense |
16,476 |
14,898 |
13,652 |
58,960 |
55,592 | |||||
|
IPO-related costs |
1,669 |
1,233 |
- |
28,033 |
- | |||||
|
Other |
3,361 |
2,357 |
20,814 |
25,595 |
41,813 | |||||
|
Cash interest expense, net of interest income |
10,180 |
8,348 |
11,006 |
37,643 |
48,364 | |||||
|
Provision for income taxes |
28,778 |
36,224 |
11,628 |
66,694 |
8,760 | |||||
|
Depreciation |
37,890 |
36,142 |
32,282 |
133,456 |
107,406 | |||||
|
EBITDA |
$ 379,909 |
$ 54,231 |
$ 84,906 |
$ 556,526 |
$ 373,923 | |||||
|
Free Cash Flow: |
||||||||||
|
THREE MONTHS ENDED |
TWELVE MONTHS ENDED | |||||||||
|
Jan. 3, |
Sep. 27, |
Dec. 28, |
Jan. 3, |
Dec. 28, | ||||||
|
2016 |
2015 |
2014 |
2016 |
2014 | ||||||
|
Net cash provided by (used in) operating activities |
$ (296,871) |
$ (103,919) |
$ 122,349 |
$ (726,231) |
$ 8,360 | |||||
|
Net cash provided by (used in) investing activities |
46,422 |
(121,555) |
(203,148) |
109,399 |
(309,239) | |||||
|
Proceeds from issuance of non-recourse debt financing, net of issuance costs |
11,684 |
25,615 |
7,086 |
92,129 |
81,926 | |||||
|
Repayment of non-recourse debt financing |
(445) |
(256) |
(244) |
(1,528) |
(244) | |||||
|
Proceeds from residential lease financing |
5,760 |
2,219 |
- |
7,979 |
- | |||||
|
Repayment of residential lease financing |
- |
- |
- |
(39,975) |
(15,686) | |||||
|
Proceeds from sale-leaseback financing |
- |
- |
27,022 |
17,219 |
50,600 | |||||
|
Repayment of sale-leaseback financing |
- |
- |
(2,856) |
(2,237) |
(4,216) | |||||
|
Proceeds from 8point3 Energy Partners LP attributable to operating leases and unguaranteed sales-type lease residual values |
- |
- |
- |
29,300 |
- | |||||
|
Contributions from noncontrolling interests attributable to real estate projects |
12,410 |
- |
- |
12,410 |
- | |||||
|
Contributions from noncontrolling interests and redeemable noncontrolling interests |
47,149 |
41,796 |
25,371 |
180,881 |
100,683 | |||||
|
Distributions to noncontrolling interests and redeemable noncontrolling interests |
(3,501) |
(2,223) |
(2,285) |
(10,291) |
(5,093) | |||||
|
Free cash flow |
$ (177,392) |
$ (158,323) |
$ (26,705) |
$ (330,945) |
$ (92,909) | |||||
|
Q1 2016 and FY 2016 GUIDANCE (in thousands except percentages) |
Q1 2016 |
FY 2016 |
|
Revenue (GAAP) |
$280,000-$330,000 |
$2,200,000-$2,400,000 |
|
Revenue (non-GAAP) (1) |
$290,000-$340,000 |
$3,200,000-$3,400,000 |
|
Gross margin (GAAP) |
11%-12% |
17%-19% |
|
Gross margin (non-GAAP) (2) |
12%-13% |
14%-16% |
|
Net income (loss) (GAAP) |
($115,000)-($90,000) |
$0-$50,000 |
|
EBITDA (3) |
$0-$25,000 |
$450,000-$500,000 |
|
(1) |
Estimated non-GAAP amounts above for Q1 2016 include net adjustments that increase revenue by approximately $10 million of revenue related to 8point3. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase revenue by approximately $1,000 million of revenue related to 8point3. |
|
(2) |
Estimated non-GAAP amounts above for Q1 2016 include net adjustments that increase gross margin by approximately $3 million related to 8point3, $3 million related to stock-based compensation expense, and $1 million related to other items. Estimated non-GAAP amounts above for fiscal 2016 include net adjustments that increase gross margin by approximately $60 million related to 8point3, $15 million related to stock-based compensation expense, and $10 million related to other items. |
|
(3) |
Estimated EBITDA amounts above for Q1 2016 include net adjustments that decrease net loss by approximately $8 million related to 8point3, $17 million related to stock-based compensation expense, $5 million related to other items, $15 million related to interest expense, $35 million related to income taxes and $35 million related to depreciation. Estimated EBITDA amounts above for fiscal 2016 include net adjustments that increase net income by approximately $100 million related to 8point3, $70 million related to stock-based compensation expense, $10 million related to other items, $60 million related to interest expense, $40 million related to income taxes and $170 million related to depreciation. |
The following supplemental data represent the adjustments, individual charges and credits that are included or excluded from SunPower's non-GAAP revenue, gross margin, net income and net income per diluted share measures for each period presented in the Consolidated Statements of Operations contained herein.
|
SUPPLEMENTAL DATA | |||||||||||||||||||||||||||||||
|
(In thousands, except percentages) | |||||||||||||||||||||||||||||||
|
THREE MONTHS ENDED | |||||||||||||||||||||||||||||||
|
January 3, 2016 | |||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | |||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
|||||||||||||||||||||||
|
GAAP |
$ 172,428 |
$ 80,113 |
$ 121,823 |
$ 30,141 |
17.5% |
$ (1,428) |
-1.8% |
$ (8,410) |
-6.9% |
$ (127,621) | |||||||||||||||||||||
|
8point3 |
(1,443) |
54,793 |
898,765 |
(640) |
13,930 |
338,371 |
- |
- |
- |
1,057 |
- |
41,379 |
394,097 | ||||||||||||||||||
|
Utility and power plant projects |
- |
- |
31,012 |
- |
- |
13,079 |
- |
- |
- |
- |
- |
- |
13,079 | ||||||||||||||||||
|
Sale of operating lease assets |
6,447 |
- |
- |
2,000 |
- |
- |
- |
- |
- |
- |
- |
- |
2,000 | ||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,089 |
840 |
1,379 |
3,113 |
10,055 |
- |
- |
- |
- |
16,476 | ||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
1,669 |
- |
- |
- |
- |
1,669 | ||||||||||||||||||
|
Other |
- |
- |
- |
651 |
425 |
1,048 |
705 |
210 |
335 |
(13) |
- |
- |
3,361 | ||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(32,663) |
- |
(32,663) | ||||||||||||||||||
|
Non-GAAP |
$ 177,432 |
$ 134,906 |
$ 1,051,600 |
$ 33,241 |
18.7% |
$ 13,767 |
10.2% |
$ 345,467 |
32.9% |
$ 270,398 | |||||||||||||||||||||
|
September 27, 2015 | |||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | |||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
|||||||||||||||||||||||
|
GAAP |
$ 163,563 |
$ 84,983 |
$ 131,672 |
$ 37,152 |
22.7% |
$ 12,646 |
14.9% |
$ 12,846 |
9.8% |
$ (56,326) | |||||||||||||||||||||
|
8point3 |
(1,311) |
60,930 |
- |
(508) |
18,804 |
- |
- |
- |
- |
993 |
- |
82 |
19,371 | ||||||||||||||||||
|
Utility and power plant projects |
- |
- |
1,567 |
- |
- |
(516) |
- |
- |
- |
- |
- |
- |
(516) | ||||||||||||||||||
|
FPSC arbitration ruling |
- |
- |
- |
(2,456) |
(1,299) |
(3,745) |
- |
- |
- |
- |
- |
- |
(7,500) | ||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,541 |
917 |
1,752 |
2,172 |
8,516 |
- |
- |
- |
- |
14,898 | ||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
1,233 |
- |
- |
- |
- |
1,233 | ||||||||||||||||||
|
Other |
- |
- |
- |
352 |
194 |
542 |
330 |
197 |
726 |
16 |
- |
- |
2,357 | ||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
46,959 |
- |
46,959 | ||||||||||||||||||
|
Non-GAAP |
$ 162,252 |
$ 145,913 |
$ 133,239 |
$ 36,081 |
22.2% |
$ 31,262 |
21.4% |
$ 10,879 |
8.2% |
$ 20,476 | |||||||||||||||||||||
|
December 28, 2014 | |||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | |||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
|||||||||||||||||||||||
|
GAAP |
$ 181,137 |
$ 105,407 |
$ 877,694 |
$ 23,566 |
13.0% |
$ (434) |
-0.4% |
$ 236,347 |
26.9% |
$ 134,715 | |||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(554,577) |
- |
- |
(195,997) |
- |
- |
- |
- |
- |
- |
(195,997) | ||||||||||||||||||
|
FPSC arbitration ruling |
- |
- |
- |
18,684 |
9,660 |
28,462 |
- |
- |
- |
- |
- |
- |
56,806 | ||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
1,068 |
483 |
1,892 |
1,983 |
8,226 |
- |
- |
- |
- |
13,652 | ||||||||||||||||||
|
Other |
- |
- |
- |
218 |
112 |
331 |
220 |
257 |
13,213 |
6,463 |
- |
- |
20,814 | ||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
9,424 |
- |
9,424 | ||||||||||||||||||
|
Non-GAAP |
$ 181,137 |
$ 105,407 |
$ 323,117 |
$ 43,536 |
24.0% |
$ 9,821 |
9.3% |
$ 71,035 |
22.0% |
$ 39,414 | |||||||||||||||||||||
|
TWELVE MONTHS ENDED | |||||||||||||||||||||||||||||||
|
January 3, 2016 | |||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | |||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
|||||||||||||||||||||||
|
GAAP |
$ 643,520 |
$ 277,143 |
$ 655,810 |
$ 135,071 |
21.0% |
$ 17,543 |
6.3% |
$ 92,032 |
14.0% |
$ (187,019) | |||||||||||||||||||||
|
8point3 |
(2,754) |
115,723 |
898,765 |
(1,148) |
32,734 |
338,371 |
- |
- |
- |
(2,638) |
- |
41,461 |
408,780 | ||||||||||||||||||
|
Utility and power plant projects |
- |
- |
17,996 |
- |
- |
(3,016) |
- |
- |
- |
- |
- |
- |
(3,016) | ||||||||||||||||||
|
Sale of operating lease assets |
6,447 |
- |
- |
2,000 |
- |
- |
- |
- |
- |
- |
- |
- |
2,000 | ||||||||||||||||||
|
FPSC arbitration ruling |
- |
- |
- |
(4,425) |
(2,593) |
(7,582) |
- |
- |
- |
- |
- |
- |
(14,600) | ||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
4,764 |
2,676 |
5,903 |
9,938 |
35,679 |
- |
- |
- |
- |
58,960 | ||||||||||||||||||
|
IPO-related costs |
- |
- |
- |
- |
- |
- |
- |
12,837 |
- |
15,196 |
- |
- |
28,033 | ||||||||||||||||||
|
Other |
- |
- |
- |
3,748 |
1,710 |
7,213 |
1,695 |
803 |
6,391 |
4,035 |
- |
- |
25,595 | ||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
19,033 |
- |
19,033 | ||||||||||||||||||
|
Non-GAAP |
$ 647,213 |
$ 392,866 |
$ 1,572,571 |
$ 140,010 |
21.6% |
$ 52,070 |
13.3% |
$ 432,921 |
27.5% |
$ 337,766 | |||||||||||||||||||||
|
December 28, 2014 | |||||||||||||||||||||||||||||||
|
Revenue |
Gross margin |
Operating expenses |
Other income (expense), net |
Benefit from (provision for) income taxes |
Equity in earnings of unconsolidated investees |
Net income (loss) attributable to stockholders | |||||||||||||||||||||||||
|
Residential |
Commercial |
Power Plant |
Residential |
Commercial |
Power Plant |
Research and development |
Selling, general and administrative |
Restructuring charges |
|||||||||||||||||||||||
|
GAAP |
$ 655,936 |
$ 361,828 |
$ 2,009,501 |
$ 114,124 |
17.4% |
$ 35,504 |
9.8% |
$ 475,499 |
23.7% |
$ 245,894 | |||||||||||||||||||||
|
Utility and power plant projects |
- |
- |
(408,616) |
- |
- |
(190,712) |
- |
- |
- |
- |
- |
- |
(190,712) | ||||||||||||||||||
|
FPSC arbitration ruling |
- |
- |
- |
18,684 |
9,660 |
28,462 |
- |
- |
- |
- |
- |
- |
56,806 | ||||||||||||||||||
|
Stock-based compensation expense |
- |
- |
- |
3,959 |
1,954 |
8,408 |
7,714 |
33,557 |
- |
- |
- |
- |
55,592 | ||||||||||||||||||
|
Other |
- |
- |
- |
765 |
379 |
6,859 |
239 |
1,053 |
12,223 |
20,295 |
- |
- |
41,813 | ||||||||||||||||||
|
Tax effect |
- |
- |
- |
- |
- |
- |
- |
- |
- |
- |
(4,282) |
- |
(4,282) | ||||||||||||||||||
|
Non-GAAP |
$ 655,936 |
$ 361,828 |
$ 1,600,885 |
$ 137,532 |
21.0% |
$ 47,497 |
13.1% |
$ 328,516 |
20.5% |
$ 205,111 | |||||||||||||||||||||
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
2/17/2016New 15-Megawatt Solar Plant Operating At Nellis Air Force Base
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 16, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) joined NV Energy, U.S. Senator Harry Reid, Assistant Secretary of the Air Force Miranda Ballentine and 99th Air Base Wing Commander Colonel Richard Boutwell in dedicating a new 15-megawatt SunPower® solar power system that is now operating at Nellis Air Force Base in Nevada.
SunPower designed and constructed the project. Approximately 150 jobs were created during construction of the plant and to strengthen NV Energy's transmission and distribution infrastructure for the Air Force base.
Called the Nellis Solar Array II Generating Station, the project is the first large-scale solar resource that is owned by NV Energy, and the 11th large-scale solar generating resource serving NV Energy customers.
"We appreciate the Public Utilities Commission of Nevada, Senator Reid, Governor Sandoval and others for their support of our efforts to reduce our dependency on coal-fired generation and to replace it with environmentally friendly renewable resources," said NV Energy President and CEO Paul Caudill.
The plant is the second large-scale solar project operating on the base. The first was also built by SunPower, and is a 13.2-megawatt solar field that has been operational since 2007. Together, the two solar projects can meet the energy requirements of the base during daylight hours, according to NV Energy.
"Increasingly, the U.S. military is relying on solar power to ensure a cost-effective, emission-free electricity supply for its operations," said Tom Werner, SunPower President and CEO. "We congratulate Nellis Air Force Base for its leading commitment to solar, and we are proud to partner with NV Energy on innovative large-scale solar projects like this one that deliver high-performance and long-term value for the utility and its customers."
As part of the project, NV Energy built a new adjacent substation and underground distribution lines to provide additional redundancy and electricity reliability at the Nellis Air Force Base.
The Nellis Solar Array II project was constructed over a closed landfill using SunPower® Oasis® Power Plant technology, a fully integrated, modular solar power block that is engineered to rapidly and cost-effectively deploy large solar projects that maximize power generation while optimizing land use.
SunPower is also currently constructing the 100-megawatt Boulder Solar I solar project under a power purchase agreement (PPA) with NV Energy. A second PPA with NV Energy, for the 50-megawatt Boulder Solar II project, was recently approved by the Public Utilities Commission of Nevada.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (NASDAQ: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo and OASIS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
2/16/2016The SunPower Horizons(TM) Program Offers Customizable, Experiential Science Technology, Engineering and Math Education
Source: PR Newswire
SAN JOSE, Calif., Feb. 4, 2016 /PRNewswire/ -- SunPower (Nasdaq: SPWR) announced today that the SunPower Horizons program, the company's suite of educational programs, has reached more than 10,000 students in the U.S. since 2008.
For students from kindergarten age through college, the SunPower Horizons program offers hands-on curriculum, lesson plans and teacher professional development to support student engagement and knowledge retention in science, technology, engineering and math (STEM). The program is designed to prepare students for STEM-related advanced academic study and professional careers by building STEM knowledge as well as skills in critical thinking, communication and collaboration.
"As solar power plays an increasingly critical role in meeting global energy demand, students participating in SunPower Horizons programs may become the engineers and business leaders charting our energy future," said Howard Wenger, SunPower president, business units. "In the process of learning about solar technology and energy solutions, the students' enthusiasm and ability to understand complex concepts is very inspiring. SunPower is proud of the increasing number of participants in the SunPower Horizons program we attract each year."
SunPower Horizons program offerings range from an innovative Summer Solar Energy Academy, which is a work-based summer learning experience in solar energy, to classroom project-based STEM curriculum delivered in partnership with Project Lead the Way, a provider of world-class STEM programs.
According to 2015 data from The Solar Foundation, the number of solar industry jobs is increasing almost 12 times faster than growth of the overall U.S. economy. With nearly 209,000 solar jobs in the U.S. by the end of 2015, the solar sector is expected to increase approximately 15 percent this year.
SunPower is a leader in delivering energy solutions to California school districts. At 21 school districts across the state, the company has installed solar power systems totaling more than 87 megawatts which, according to the Solar Energy Industries Association, is enough to power almost 14,000 average California homes.
In 2014, The Solar Foundation estimated that more than 3,700 K-12 schools in the U.S. have solar power systems, serving nearly 2.7 million students across the nation and saving about $77.8 million in electricity costs annually.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding worldwide product demand and market forecasts. These forward-looking statements are based on our current assumptions, expectations and beliefs and involve substantial risks and uncertainties that may cause results, performance or achievement to materially differ from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: (1) competition in the industry and downward pressure on average selling prices; (2) our liquidity, substantial indebtedness, and our ability to obtain additional financing for our projects and our customers; (3) our ability to meet our cost reduction targets; (4) regulatory changes and the availability of economic incentives promoting use of solar energy; (5) challenges inherent in constructing and maintaining certain of our large projects, such as the Solar Star projects; (6) the success of our ongoing research and development efforts and commercialization of new products and services; (7) fluctuations in our operating results; (8) manufacturing difficulties that could arise; and (9) challenges managing our joint ventures. A detailed discussion of these factors and other risks that affect our business is included in filings we make with the Securities and Exchange Commission (SEC) from time to time, including our most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors." Copies of these filings are available online from the SEC or on the SEC Filings section of our Investor Relations website at investors.sunpowercorp.com. All forward-looking statements in this press release are based on information currently available to us, and we assume no obligation to update these forward-looking statements in light of new information or future events.
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER, the SUNPOWER logo, and SUNPOWER HORIZONS are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
Photo - http://photos.prnewswire.com/prnh/20160203/329633
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SOURCE SunPower Corp.
Article Date
2/4/2016SunPower to Announce Fourth-Quarter Results on Feb. 17, 2016
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Feb. 2, 2016 /PRNewswire/ -- SunPower Corp. (NASDAQ: SPWR) will discuss its fourth-quarter 2015 financial results on a conference call on Wednesday, Feb. 17 at 1:30 p.m. Pacific Time. The call-in number is 517-623-4618, passcode: SunPower, or the webcast can be accessed from SunPower's website at http://investors.sunpower.com/events.cfm.
The earnings press release and supplemental financial information will be available on SunPower's website at http://investors.sunpower.com/events.cfm at 1:05 p.m. Pacific Time on Feb. 17, 2016.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
2/2/20168point3 Energy Partners and Wells Fargo Acquire Kern High School District's 22-Megawatts of SunPower® Solar Power Systems
Source: PR Newswire
SAN FRANCISCO and SAN JOSE, Calif., Jan. 27, 2016 /PRNewswire/ -- Wells Fargo & Company (NYSE: WFC) and 8point3 Energy Partners LP (Nasdaq: CAFD), the YieldCo joint venture formed by SunPower (Nasdaq: SPWR) and First Solar (Nasdaq: FSLR), announced today that a joint venture of the two companies has acquired 22 megawatts (DC) of SunPower solar power systems under construction at 27 Kern High School District (KHSD) sites in Kern County, California. The acquisition represents the first drop-down transaction for 8point3 Energy Partners.
"We're pleased to announce our first drop-down transaction today, an acquisition that further diversifies our portfolio with a very significant distributed generation asset and strengthens our current position and outlook for long-term growth," said Chuck Boynton, CEO of 8point3 Energy Partners. "We commend Kern High School District for its leadership in solar, and look forward to celebrating the completion of these systems later this year."
"We are excited about our new joint venture and are proud to contribute to the success of 8point3 Energy Partners and SunPower," said Barry Neal, executive vice president of Renewable Energy and Environmental Finance at Wells Fargo. "We are pleased to provide capital to solar projects that will decrease emissions while reducing costs, and applaud Kern High School District for making such a substantial commitment to solar."
According to data provided by The Solar Foundation, KHSD's solar projects represent the largest contracted commitment to solar power by any school district in the U.S.
Under a power purchase agreement, Wells Fargo and 8point3 Energy Partners will sell electricity to the district at competitive rates, providing KHSD a hedge against potential utility rate increases with no upfront capital cost. Once the systems are operational in 2016, the district estimates it will achieve $80 million in electricity cost savings over 25 years. KHSD will own the renewable energy credits associated with the systems.
At the KHSD sites, SunPower is installing solar carports in the schools' parking lots. The solar carports take advantage of underutilized space and provide needed shade, and they feature SunPower® solar panels, the most efficient and reliable panels on the market today. All of the KHSD systems are expected to be operational before the end of 2016.
About 8point3 Energy Partners
8point3 Energy Partners LP (NASDAQ: CAFD) is a growth-oriented limited partnership formed by First Solar, Inc. and SunPower Corporation to own, operate and acquire solar energy generation projects. 8point3 Energy Partners' primary objective is to generate predictable cash distributions that grow at a sustainable rate. The partnership owns interests in projects in the United States that generate long-term contracted cash flows and serve utility, commercial and residential customers. For more information about 8point3 Energy Partners, please visit: www.8point3energypartners.com.
About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a diversified, community-based financial services company with $1.8 trillion in assets. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance through 8,700 locations, 13,000 ATMs, the internet (wellsfargo.com) and mobile banking, and has offices in 36 countries to support customers who conduct business in the global economy. With approximately 265,000 team members, Wells Fargo serves one in three households in the United States. Wells Fargo & Company was ranked No. 30 on Fortune's 2015 rankings of America's largest corporations. Wells Fargo's vision is to satisfy our customers' financial needs and help them succeed financially. Wells Fargo perspectives are also available at Wells Fargo Blogs and Wells Fargo Stories.
In 2014, the Company donated $281.2 million to 17,100 nonprofits, and team members contributed more than 1.74 million volunteer hours around the country. A leader in reducing its own greenhouse gas emissions and building sustainably, Wells Fargo has been recognized by the U.S. Environmental Protection Agency's Center for Corporate Climate Leadership, the Carbon Disclosure Project and the U.S. Green Building Council. Since 2005, Wells Fargo has provided more than $52 billion in environmental finance, supporting sustainable buildings and renewable energy projects nationwide. This includes investments in more than 300 solar projects and 48 wind projects that have generated 103 terra-watt hours of electricity to date, enough to power 9.4 million American homes for one year and displace the release of 57 million metric tons of CO2e, equivalent to the CO2e released by 6.5 billion gallons of gasoline or 62 billion pounds of coal. For more information, please visit www.wellsfargo.com/environment.
About Kern High School District
The Kern High School District is located in Bakersfield, California and serves the county of Kern located at the southern end of the San Joaquin Valley. The Kern High School District is one of California's largest 9-12 high school districts with more than 37,000 students and 4,000 employees. Founded in 1893, the KHSD currently includes 18 comprehensive campuses, five alternative education campuses, four special education centers, three career technical education sites, one adult education center, and one charter school.
About Sage Renewables
Sage Renewables is an independent renewable energy consulting and project development firm with over 165 MW of project experience. Sage Renewables was retained by the Kern High School District to solicit proposals for the project, help guide vendor selection, and ensure District goals are met from design through implementation. From project conception to operations management, Sage provides unbiased expertise on all aspects of energy projects. Sage is technology and vendor neutral, and has implemented energy projects with all market-ready renewable technologies including solar PV, energy storage, energy management systems, solar thermal, fuel cell and wind. For more information, visit www.sagerenew.com.
SOURCE 8point3 Energy Partners LP
Article Date
1/27/2016Austin Families Will Soon Benefit From Efficient, Reliable SunPower® Solar
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
AUSTIN, Texas, Jan. 22, 2016 /PRNewswire/ -- About 80 Austin-based employee volunteers from global solar innovator, SunPower, brought the transformative power of solar energy to four low-income families in Austin's Blackland Neighborhood.
Working with national solar nonprofit GRID Alternatives over two days, the volunteers installed four rooftop solar systems totaling 13 kilowatts of generating capacity. The systems are expected to save each family electricity costs, and collectively reduce approximately 233 tons of greenhouse gas emissions over their expected 25-year life. The four homes are among 48 affordable homes built by the Blackland Community Development Corporation (CDC) to serve low-income families, seniors and people with disabilities.
"We are really appreciative of the help," said Bo McCarver, Board President of Blackland CDC. "Thanks to the assistance of GRID Alternatives and SunPower, we're able to provide electricity cost savings to struggling families."
SunPower has partnered with GRID Alternatives since 2006 to extend solar power's benefits to disadvantaged communities, helping more than 800 families and generating 80,000 hours of solar job training opportunities. SunPower also contributed 1 megawatt of high efficiency solar panels to GRID Alternatives in 2015 to support Solar Futures, a national education initiative targeting high school juniors and seniors.
"This is a meaningful opportunity to provide hands-on support, in addition to our leading technology, to local families in the community where more than 350 SunPower employees live and work," said Erin Mulligan Nelson, chief marketing officer and executive vice president. "We're proud that SunPower's innovative solutions are leading a solar revolution that is changing the way our world is powered."
SunPower by Freedom Solar, a SunPower Master Dealer recently ranked as one of Texas' largest solar contractors by Solar Power World Magazine, provided help installing the panels.
"These installations highlight the positive economic impacts that solar can generate for families struggling to pay their monthly bills, put food on their table or save for their children's futures," said Erica Mackie, co-founder and CEO of GRID Alternatives. "We're thrilled to be here in Austin with SunPower, our longest-running philanthropic partner, helping its employees make a real impact in their own backyard."
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. Since 2011, the company has had an office in Austin with about 350 employees. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
About GRID Alternatives
GRID Alternatives is America's largest non-profit solar installer bringing clean energy technology and job training to low-income families and underserved communities through a network of community partners, volunteers, and philanthropic supporters. GRID has installed over 6,300 rooftop solar systems with a combined installed capacity of 22.4 megawatts, saving $167 million in lifetime electricity costs, preventing 480,000 tons of greenhouse gas emissions, and providing over 24,000 people with solar training. For more information, visit www.gridalternatives.org
© 2016 SunPower Corporation. All Rights Reserved. SUNPOWER and the SUNPOWER logo are trademarks or registered trademarks of SunPower Corporation in the U.S. and other countries as well.
Photo - http://photos.prnewswire.com/prnh/20160122/325138
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
1/22/2016SunPower Appoints Eduardo Medina Executive Vice President, Power Plants
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
SAN JOSE, Calif., Jan. 4, 2016 /PRNewswire/ -- SunPower Corporation (NASDAQ: SPWR), a leading solar technology and energy services provider, today announced that renewables energy veteran Eduardo Medina has been named the company's executive vice president of power plants. In this role, he will lead the company's business development efforts for the global power plants business segment.
Medina, whose position is effective immediately, has extensive experience with leading public and private companies including Acciona Energia and General Electric. He will be based in SunPower's Lyon, France office.
"A seasoned energy executive, Eduardo brings excellent global markets expertise to our senior leadership team, building our bench strength," said SunPower President and CEO Tom Werner. "We saw a number of events - the Clean Power Plan, COP21 agreement and the Investment Tax Credit extension - that will all act as a catalyst for our business. Having Eduardo join our team is perfectly timed to take advantage of these opportunities going forward."
With more than 25 years of experience, Medina most recently served as executive managing director and head of business development for Acciona Energia, a Spanish-based global leader in infrastructure, energy, water and sustainable services. Prior to this position, he was Acciona's Asia director and director of Middle East North Africa and the Mediterranean region. He also held leadership roles at General Electric in the Power Generation unit, Gamesa Eolica, S.A.
About SunPower
As one of the world's most innovative and sustainable energy companies, SunPower Corp. (Nasdaq: SPWR) provides a diverse group of customers with complete solar solutions and services. Residential customers, businesses, governments, schools and utilities around the globe rely on SunPower's more than 30 years of proven experience. From the first flip of the switch, SunPower delivers maximum value and superb performance throughout the long life of every solar system. Headquartered in Silicon Valley, SunPower has dedicated, customer-focused employees in Africa, Asia, Australia, Europe, North and South America. For more information about how SunPower is changing the way our world is powered, visit www.sunpower.com.
Logo - http://photos.prnewswire.com/prnh/20150713/235415LOGO
SOURCE SunPower Corp.
Article Date
1/4/2016Projects & Assets
Direct Assets
Related Assets
Direct Projects
SunPower Santa Clara Solar System (subscriber access)Status: (subscriber access)
Boulder Solar I Facility (subscriber access)
Status: (subscriber access)
Gala Solar Power Plant (subscriber access)
Status: (subscriber access)
Vandenberg Air Force Solar Plant (subscriber access)
Status: (subscriber access)
Oasis Solar Power Plant (subscriber access)
Status: (subscriber access)
Related Projects
Gala Solar Power Plant (subscriber access)
Status: (subscriber access)
Parent Entities:
SunPower Corporation
SunPower Santa Clara Solar System (subscriber access)
Status: (subscriber access)
Parent Entities:
SunPower Corporation
Vandenberg Air Force Solar Plant (subscriber access)
Status: (subscriber access)
Parent Entities:
SunPower Corporation
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