Published on November 8th, 2018 | by Joshua S Hill0
Sunrun Installs 100 Megawatts Of Solar But Posts Surprise Net Loss
November 8th, 2018 by Joshua S Hill
One of the world’s leading residential solar companies, Sunrun, posted its third-quarter earnings on Wednesday to mixed reception, reporting that it installed 100 megawatts (MW) worth of new solar installations over the quarter, but also posting a net loss which surprised investors and analysts.
Sunrun is the largest residential solar provider in the United States and, according to a report published by Navigant Research in mid-October, also the world’s leading solar-plus-storage vendor. But the company has been experiencing turbulence over the last year, either managing to install significant levels of solar capacity but returning poor financials, or — as we saw in the first quarter — reporting lower installation figures but increased revenue.
In the previous three quarters, Sunrun installed 85 MW (Q4), 68 MW (Q1), and 91 MW (Q2). The company backed this up in the third quarter, reporting that it installed an impressive 100 MW.
However, while this is good news in and of itself, the company was again unable to consistently capitalize on the financial side of things, reporting net revenue of $205 million — up 42% from the same quarter a year earlier and up 20% on the second quarter — but a surprise net loss of $2.9 million, or $0.02 as expressed in earnings per share, missing analyst expectations by $0.20 per share.
Nevertheless, the stock market was impressed with the company’s results this time around, and as of writing the company’s shares have increased by 3%.
“We installed a record amount of solar energy and home batteries this quarter and delivered more than 50% year-over-year growth in our direct business,” said Lynn Jurich, Sunrun’s chief executive officer. “Americans are united on the value of rooftop solar energy and batteries in their homes. It’s the future: clean, affordable and reliable energy, which results in less pollution and healthier communities. Our employees are proud to accelerate the country toward a carbon-free and resilient power system with our Brightbox home solar and battery service.”