{"id":937,"date":"2022-04-04T15:00:54","date_gmt":"2022-04-04T06:00:54","guid":{"rendered":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/?p=937"},"modified":"2022-04-04T14:36:22","modified_gmt":"2022-04-04T05:36:22","slug":"canadian-solar-reports-fourth-quarter-and-full-year-2021-results","status":"publish","type":"post","link":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/2022\/937.html","title":{"rendered":"CANADIAN SOLAR REPORTS FOURTH QUARTER AND FULL YEAR 2021 RESULTS"},"content":{"rendered":"<div class=\"container\">\n<div id=\"ndq-content\" class=\"ndq-14686\">\n<div class=\"region region-content\">\n<div id=\"block-nir-pid39-content\" class=\"block--system-main-block block--system-main-block--14686 block--content--system-main-block block--content--system-main-block--14686 block--6abec6db-6d59-472a-8d45-f17a2bc0f61a block--6abec6db-6d59-472a-8d45-f17a2bc0f61a--14686 block block-system block-system-main-block\">\n<article class=\"node node--nir-news--full node--type-nir-news node--view-mode-full node--promoted\" role=\"article\">\n<div class=\"node__content\">\n<div class=\"xn-content\">\n<p>GUELPH, Ontario,\u00a0March 17, 2022\u00a0\/PRNewswire\/ &#8212;\u00a0<a href=\"http:\/\/www.canadiansolar.com\/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Canadian Solar Inc.<\/a>\u00a0(&#8220;Canadian Solar&#8221; or the &#8220;Company&#8221;) (NASDAQ: CSIQ) today announced financial results for the fourth quarter and full year ended\u00a0December 31, 2021.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Fourth Quarter 2021 Highlights<\/strong><\/p>\n<ul type=\"disc\">\n<li>Solar module shipments of 3.8 GW, in line with guidance of 3.7 GW to 3.9 GW.<\/li>\n<li>47% increase in revenue year-over-year (&#8220;yoy&#8221;) to\u00a0$1.53 billion, in line with guidance of\u00a0$1.5 billion\u00a0to\u00a0$1.6 billion.<\/li>\n<li>19.7% gross margin exceeds guidance range of 14% to 16%.<\/li>\n<li>Net income attributable to\u00a0Canadian Solar\u00a0of\u00a0$26 million, or\u00a0$0.39\u00a0per diluted share.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><strong>Full Year 2021 Highlights<\/strong><\/p>\n<ul type=\"disc\">\n<li>28% yoy growth in total module shipments to 14.5 GW.<\/li>\n<li>52% increase in revenue to\u00a0$5.3 billion, with steady gross margin improvement in manufacturing operations throughout the year, as guided.<\/li>\n<li>Net income attributable to\u00a0Canadian Solar\u00a0of\u00a0$95 million\u00a0or\u00a0$1.46\u00a0per diluted share.<\/li>\n<li>896 MWh in battery storage shipments by the\u00a0CSI Solar\u00a0segment.<\/li>\n<li>2.1 GWp in projects monetized by the Global Energy segment, including 350 MW \/ 1400 MWh battery storage.<\/li>\n<li>Global Energy solar project pipeline of 24 GWp and storage pipeline of 27 GWh as of\u00a0January 2022.<\/li>\n<li>Carve-out IPO of\u00a0CSI Solar Co., Ltd.\u00a0(&#8220;CSI Solar&#8221; or the &#8220;CSI Solar\u00a0subsidiary&#8221;) remains on track.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><b>Dr.\u00a0Shawn Qu, Chairman and CEO<\/b>, commented, &#8220;We ended 2021 on a high note, delivering 47% year-over-year revenue growth and a nearly 20% gross margin in the fourth quarter. Over the past decade, we have consistently been a top 5 global module manufacturer and have pioneered numerous solar crystalline PV technology advancements as well as business model innovations. This includes our fast growing battery storage business, where we delivered nearly 900 MWh in our first year of launching, and which we expect to double in 2022. While we continue to manage challenging market conditions, we remain focused on leveraging the competitive advantages of our integrated business model to build greater long-term value for our shareholders.<\/p>\n<p>&#8220;We are also pleased to report that the carve-out IPO of\u00a0CSI Solar\u00a0remains on track. We received approval from the\u00a0Shanghai Stock Exchange\u00a0and are currently going through the registration process with the\u00a0China Securities Regulatory Commission, in line with usual procedures.&#8221;<\/p>\n<p>&nbsp;<\/p>\n<p><b>Yan Zhuang, President of\u00a0Canadian Solar&#8217;s\u00a0CSI Solar\u00a0subsidiary<\/b>, said, &#8220;Our team&#8217;s focus and execution allowed us to deliver\u00a0on our planned strong revenue growth and improving profitability in 2021. As one of the top global solar module brands, our unparalleled track record and brand recognition create meaningful entry barriers in a rapidly growing renewable energy market. This places us in a strong position to benefit from upstream capacity expansions which will gradually drive costs down. That said, near-term macro challenges remain as material costs have recently increased again and logistics costs stay elevated. We continue to focus on delivering differentiated products and services, expanding our market share, enhancing our brand and pricing power, and reducing manufacturing costs as we weather through the challenges. With solar energy at grid parity in most markets and hybrid solar plus storage approaching the same status, we believe clean energy is more attractive than ever before, providing affordable, reliable and clean energy for many generations to come.&#8221;<\/p>\n<p>&nbsp;<\/p>\n<p><b>Ismael Guerrero, Corporate VP and President of\u00a0Canadian Solar&#8217;s\u00a0Global Energy subsidiary<\/b>, said, &#8220;In 2021, we achieved 2.1 GWp in project sales, including a 1.4 GWh battery storage project, which was one of the world&#8217;s largest. We continued to expand our global development portfolio, with 24 GWp of solar and 27 GWh of battery storage pipeline giving us a strong platform for growth. At the same time, we continue to proactively manage risk, as we rebalance our portfolio to reduce potential currency and policy risks in certain markets, such as\u00a0Latin America, and continue to execute on projects while minimizing the impacts of inflation. Our focus remains on growing our base of recurring revenue both from retained assets and contracted services.&#8221;<\/p>\n<p>&nbsp;<\/p>\n<p><b>Dr.\u00a0Huifeng Chang, Senior VP and CFO<\/b>, added, &#8220;In the fourth quarter, we achieved\u00a0$1.5 billion\u00a0in revenue and a 19.7% gross margin. We were active in green financings, securing\u00a0$84 million\u00a0during the quarter to support growth in our global project development. We ended the quarter with a total cash position of\u00a0$1.43 billion\u00a0which gives us continued financial flexibility to support long term growth opportunities.&#8221;<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Fourth Quarter 2021 Results<\/strong><\/p>\n<p>Total module shipments in the fourth quarter\u00a0of 2021 were 3.83 GW, a 28% yoy\u00a0increase and 1% quarter-over-quarter (&#8220;qoq&#8221;) decrease. Of the total, 263 MW\u00a0were shipped\u00a0to the Company&#8217;s own utility-scale solar power projects.<\/p>\n<p>&nbsp;<\/p>\n<p>Net revenues in the fourth quarter of 2021 increased 24% qoq and 47% yoy to\u00a0$1.53 billion.\u00a0The sequential increase was driven by a higher solar module average selling price (&#8220;ASP&#8221;) and an increase in project sales. The yoy increase was driven by higher solar shipment volumes and ASP, and significant growth in the Company&#8217;s battery storage solutions business.<\/p>\n<p>&nbsp;<\/p>\n<p>Gross profit in the fourth quarter of 2021 was\u00a0$301 million, up 32% qoq and 114% yoy.\u00a0Gross margin in the fourth quarter of 2021 was 19.7%, above guidance of 14% to 16%, as the Company benefited from lower manufacturing costs and a higher module ASP, partially offset by lower margin project sales. The fourth quarter also benefited from a\u00a0U.S.\u00a0anti-dumping (&#8220;AD&#8221;) and countervailing duty (&#8220;CVD&#8221;) true up. Gross margin was 18.0%, excluding the AD\/CVD true-up benefit of\u00a0$26 million.<\/p>\n<p>&nbsp;<\/p>\n<p>Total operating expenses in the fourth quarter of 2021 were\u00a0$234 million\u00a0compared to\u00a0$176 million in the third quarter\u00a0of 2021 and\u00a0$139 million\u00a0in the fourth quarter of 2020.\u00a0The\u00a0sequential and annual increase was mainly driven by higher shipping and handling expenses, and investments in research and development to support growth.<\/p>\n<p>&nbsp;<\/p>\n<p>Non-cash depreciation and amortization charges in the fourth quarter of 2021 were $76\u00a0million,\u00a0up 7% qoq and 29% yoy. The increase was primarily driven by a continued expansion of the Company&#8217;s manufacturing capacity.<\/p>\n<p>&nbsp;<\/p>\n<p>Net foreign exchange gain in the fourth quarter of 2021 was $1\u00a0million, compared to a net loss of\u00a0$14 million\u00a0in the third quarter of 2021\u00a0and a net gain of\u00a0$4 million\u00a0in the fourth quarter of 2020.<\/p>\n<p>&nbsp;<\/p>\n<p>Income tax expense in the fourth quarter of 2021 was $27\u00a0million, compared to a\u00a0$3 million\u00a0income tax benefit in the\u00a0third quarter of 2021\u00a0and a\u00a0$2 million\u00a0income tax benefit in the fourth quarter of 2020.\u00a0The expense was a result of the Company&#8217;s higher income before income tax and an increased revenue contribution from higher tax jurisdictions.<\/p>\n<p>&nbsp;<\/p>\n<p>Net income attributable to\u00a0Canadian Solar\u00a0in the fourth quarter of 2021 was\u00a0$26 million, or\u00a0$0.39\u00a0per diluted share, compared to net income of\u00a0$35 million, or\u00a0$0.52\u00a0per diluted share in the third\u00a0quarter of 2021, and net income of\u00a0$7\u00a0million, or\u00a0$0.11\u00a0per diluted share in the fourth quarter of 2020. On a non-GAAP basis, net income attributable to\u00a0Canadian Solar\u00a0in the fourth quarter of 2021 was\u00a0$10 million, or\u00a0$0.17\u00a0per diluted share. This excludes a\u00a0$16 million\u00a0AD\/CVD true-up benefit, net of income tax effect and AD\/CVD provision true-up attributable to non-controlling interests. For a reconciliation of results under GAAP to non-GAAP results, see the accompanying table &#8220;About Non-GAAP Financial Measures&#8221;.<\/p>\n<p>&nbsp;<\/p>\n<p>The increase in basic and diluted shares outstanding was primarily due to the issuance of 3.6 million shares in connection with the at-the-market equity offering program for the twelve months ended\u00a0December 31, 2021, of which 1.0 million were issued in the fourth quarter. Earnings per share \u2013 diluted (&#8220;Diluted EPS&#8221;) includes the dilutive effect of the\u00a0$230 million\u00a0aggregate principal amount of convertible notes issued in 2020. For the three months ended\u00a0December 31, 2021, diluted EPS of\u00a0$0.39\u00a0was calculated from total earnings of\u00a0$27 million, including 2.5% coupon of\u00a0$1.3 million, divided by 70.5 million diluted shares outstanding, including 6.3 million shares issuable upon the conversion of the convertible notes. For the twelve months ended\u00a0December 31, 2021, diluted EPS of\u00a0$1.46\u00a0was calculated from total earnings of\u00a0$101 million, including 2.5% coupon of\u00a0$5.3 million, divided by 68.9 million diluted shares outstanding, including 6.3 million shares issuable upon the conversion of the convertible notes.<\/p>\n<p>&nbsp;<\/p>\n<p>Net cash used in operating activities in the fourth quarter of 2021 was $206\u00a0million, compared to net cash provided by operating activities\u00a0$29 million\u00a0in the third quarter of 2021. The operating cash outflow was mainly driven by a decrease in advances from customers and accounts payable due to timing of payments, partially offset by a decrease in accounts receivable and advances to suppliers.<\/p>\n<p>&nbsp;<\/p>\n<p>Total debt was\u00a0$2.4 billion, as of\u00a0December 31, 2021, compared to\u00a0$2.3 billion, as of\u00a0September 30, 2021. The increase was mainly driven by an increase in working capital facilities. Non-recourse debt used to finance solar power projects decreased to $515\u00a0million as of\u00a0December 31, 2021, from\u00a0$558 million\u00a0as of\u00a0September 30, 2021.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Corporate Structure<\/strong><\/p>\n<p>The Company has two business segments:\u00a0CSI Solar\u00a0and Global Energy. From\u00a0November 2021, the Company completed the transfer of the China Energy assets from\u00a0CSI Solar\u00a0to the Global Energy segment to avoid any potential competition between the Company and its\u00a0CSI Solar\u00a0subsidiary, as part of the\u00a0CSI Solar\u00a0carve-out listing\u00a0<span id=\"spanHghltad18\">process<\/span>.<\/p>\n<p>&nbsp;<\/p>\n<p>As such, the Company&#8217;s business segments are as follows:<\/p>\n<p>The\u00a0<b>Global Energy<\/b>\u00a0segment includes all of the Company&#8217;s global project development activities for both solar and battery storage project development. The Global Energy segment develops both stand-alone solar and stand-alone battery storage projects, as well as hybrid solar plus storage projects. Its monetization strategies vary between develop-to-sell, build-to-sell, and build-to-own, depending on business strategies and market conditions, with the goal of maximizing returns, accelerating cash turn, and minimizing capital risk.<\/p>\n<p>&nbsp;<\/p>\n<p>The\u00a0<b>CSI Solar<\/b>\u00a0segment consists of solar module manufacturing and total system solutions, including inverters, solar system kits and EPC (engineering, procurement and construction) services. The\u00a0CSI Solar\u00a0segment also includes the Company&#8217;s battery storage integration business, delivering bankable, end-to-end, turnkey battery storage solutions for utility scale, commercial and industrial, and residential applications. These storage systems solutions are complemented with long-term service agreements, including future battery capacity augmentation services.<\/p>\n<p>&nbsp;<\/p>\n<p>The distinction of the two battery storage businesses is that the former, Global Energy, is in the\u00a0<i>project development business<\/i>, including sourcing land, interconnection, structuring power purchase agreements and other permits and requirements for battery storage projects, whereas the latter,\u00a0CSI Solar, is in the<b>\u00a0<\/b><i>system integration business<\/i>, delivering turnkey battery storage technology solutions.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Global Energy Segment<\/strong><\/p>\n<p>Canadian Solar\u00a0has one of the world&#8217;s largest and most geographically diversified utility-scale solar and energy storage project development platforms, with a strong track record of originating, developing, financing, and building over 6.3 GWp of solar power plants across six continents. The Company has built a leadership position in solar project development with over 24 GWp total pipeline, as well as in energy storage project development with over 27 GWh of aggregate pipeline.<\/p>\n<p>&nbsp;<\/p>\n<p>The continued pipeline expansion and strong project development track record will support Global Energy&#8217;s growth in three key areas:<\/p>\n<p>&nbsp;<\/p>\n<ol type=\"1\">\n<li><b>Project sales<\/b>: The Company plans to grow its volume of project sales by a compound annual growth rate of approximately 20% to 2025, while holding and accumulating assets through investment vehicles (see below) in order to better capture asset value.<\/li>\n<li><b>Investment vehicles<\/b>: The Company is optimizing its project monetization strategy by establishing local investment vehicles that will help maximize the value of its project assets. The Company also intends to retain minority ownership in these vehicles. By 2025, the Company plans to reach at least 1 GW of combined net ownership in solar power projects through these vehicles. This approach will help the Company build and grow a stable base of long-term cash flows from contracted electricity. The Company plans to recycle a large portion of the capital into developing new solar projects for growth. Meanwhile,\u00a0Canadian Solar\u00a0expects to capture additional operational value throughout the partial ownership period, including long-term cash flows from power sales, operations and maintenance (O&amp;M), asset management and other services (see point 3). The Company currently owns a 15% stake in the\u00a0Canadian Solar Infrastructure Fund\u00a0(&#8220;CSIF&#8221;, TSE: 9284), the largest Japanese infrastructure fund\u00a0listed on the\u00a0Tokyo Stock Exchange, and has also established the CSFS Fund I, a closed-ended alternative investment fund of a similar nature in\u00a0Italy. Through launching these localized vehicles,\u00a0Canadian Solar\u00a0is building up its expertise in designing investment vehicles in local markets that will help maximize the value of its project assets.<\/li>\n<li><b>Services<\/b>:\u00a0Canadian Solar\u00a0currently manages over 2 GW of operational projects under long-term O&amp;M agreements, and an additional 2 GW of contracted projects that will be operated and maintained by the Company once they are placed in operation. The Company&#8217;s target is to reach 11 GW of projects under O&amp;M agreements by 2025.<\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<p>Management targets to achieve the following over the next few years:<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td nowrap=\"nowrap\"><b>Global Energy Targets<\/b><\/td>\n<td nowrap=\"nowrap\"><b>2021A<\/b><\/td>\n<td nowrap=\"nowrap\"><b>2022E<\/b><\/td>\n<td nowrap=\"nowrap\"><b>2023E<\/b><\/td>\n<td nowrap=\"nowrap\"><b>2024E<\/b><\/td>\n<td><b>2025E<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Annual Project Sales, GWp<\/td>\n<td nowrap=\"nowrap\">2.1<\/td>\n<td nowrap=\"nowrap\">2.1-2.6<\/td>\n<td nowrap=\"nowrap\">2.8-3.3<\/td>\n<td nowrap=\"nowrap\">3.5-4.0<\/td>\n<td>4.0-4.5<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Operational O&amp;M Projects, GWp<\/td>\n<td nowrap=\"nowrap\">2.1<\/td>\n<td nowrap=\"nowrap\">4.3<\/td>\n<td nowrap=\"nowrap\">6.5<\/td>\n<td nowrap=\"nowrap\">9.2<\/td>\n<td>11.0<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Net Cumulative Projects Retained, MWp<\/td>\n<td nowrap=\"nowrap\">292<\/td>\n<td nowrap=\"nowrap\">370<\/td>\n<td nowrap=\"nowrap\">630<\/td>\n<td nowrap=\"nowrap\">1,000<\/td>\n<td>1,300<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Gross Cumulative Projects Retained, MWp<\/td>\n<td nowrap=\"nowrap\">748<\/td>\n<td nowrap=\"nowrap\">1,500<\/td>\n<td nowrap=\"nowrap\">2,580<\/td>\n<td nowrap=\"nowrap\">4,200<\/td>\n<td>7,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><em>*Net projects retained represents CSIQ&#8217;s net partial ownership of solar projects; the gross number represents the aggregate size of projects including the share which is not owned by CSIQ.<\/em><\/p>\n<\/div>\n<p><em><u>Solar Project Pipeline<\/u><\/em><\/p>\n<p>As of\u00a0January 31, 2022, the Company&#8217;s total project pipeline was 24.4 GWp, including 1.6 GWp under construction, 4.2 GWp of backlog, and 18.6 GWp of earlier stage pipeline.<\/p>\n<p>&nbsp;<\/p>\n<p><b>Backlog<\/b>\u00a0<b>projects<\/b>\u00a0are late-stage projects that have passed their Risk Cliff Date and are expected to be built in the next 1-4 years. A project&#8217;s Risk Cliff Date is the date on which the project passes the last high-risk development stage and varies depending on the country where it is located. This is usually after the projects have received all the required environmental and regulatory approvals, and entered into interconnection agreements, feed-in tariff (&#8220;FIT&#8221;) arrangements and power purchase agreements (&#8220;PPAs&#8221;). Over 90% of projects in backlog are contracted (i.e., have secured a PPA or FIT), and the remaining are reasonably assured of securing PPAs.<\/p>\n<p>&nbsp;<\/p>\n<p><b>Pipeline projects<\/b>\u00a0are early- to mid-stage project opportunities currently under development that are yet to be de-risked.<\/p>\n<p>&nbsp;<\/p>\n<p>The following table presents the Company&#8217;s total project pipeline.<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td><\/td>\n<td colspan=\"5\" nowrap=\"nowrap\"><b>Total Project Pipeline (as of\u00a0January 31, 2022) \u2013 MWp<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\"><b>Region<\/b><\/td>\n<td><b>In Construction<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Backlog<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Pipeline<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">North America<\/td>\n<td>262<\/td>\n<td nowrap=\"nowrap\">509<\/td>\n<td nowrap=\"nowrap\">7,247<\/td>\n<td nowrap=\"nowrap\"><b>8,018<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Latin America<\/td>\n<td>841*<\/td>\n<td nowrap=\"nowrap\">2,435<\/td>\n<td nowrap=\"nowrap\">3,437<\/td>\n<td nowrap=\"nowrap\"><b>6,713<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Europe, the\u00a0Middle East\u00a0and\u00a0Africa\u00a0(&#8220;EMEA&#8221;)<\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">294<\/td>\n<td nowrap=\"nowrap\">4,379<\/td>\n<td nowrap=\"nowrap\"><b>4,673<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Japan<\/td>\n<td>174<\/td>\n<td nowrap=\"nowrap\">172<\/td>\n<td nowrap=\"nowrap\">72<\/td>\n<td nowrap=\"nowrap\"><b>418<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Asia Pacific\u00a0excluding\u00a0Japan\u00a0and\u00a0China<\/td>\n<td>345<\/td>\n<td nowrap=\"nowrap\">191<\/td>\n<td nowrap=\"nowrap\">1,695<\/td>\n<td nowrap=\"nowrap\"><b>2,231<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">China**<\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">550<\/td>\n<td nowrap=\"nowrap\">1,770<\/td>\n<td nowrap=\"nowrap\"><b>2,320<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<td><b>1,622<\/b><\/td>\n<td nowrap=\"nowrap\"><b>4,151<\/b><\/td>\n<td nowrap=\"nowrap\"><b>18,600<\/b><\/td>\n<td nowrap=\"nowrap\"><b>24,373<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"6\"><i>*Note: All numbers are gross MWp, including 403 MWp in construction in\u00a0Latin America\u00a0already sold to third parties.<\/i><\/p>\n<p><i>**Note:\u00a0China\u00a0portfolio is part of the Global Energy segment from\u00a0November 2021.<\/i><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p>The Company has 345 MWp of premium, high FIT projects in\u00a0Japan. The table below sets forth the expected COD schedule of the Company&#8217;s project backlog in development and construction in\u00a0Japan, as of\u00a0January 31, 2022:<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td colspan=\"8\"><b>Expected COD Schedule\u00a0<\/b><b>\u2013\u00a0<\/b><b>MWp<\/b><\/td>\n<\/tr>\n<tr>\n<td><b>2022<\/b><\/td>\n<td><b>2023<\/b><\/td>\n<td><b>2024 and<br \/>\nthereafter<\/b><\/td>\n<td><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">205<\/td>\n<td nowrap=\"nowrap\">0<\/td>\n<td nowrap=\"nowrap\">140<\/td>\n<td nowrap=\"nowrap\"><b>345<\/b><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p><em><u>Battery Storage Project Pipeline<\/u><\/em><\/p>\n<p>The Global Energy segment has been actively developing utility-scale solar plus energy storage projects, as well as stand-alone battery storage projects. Since the first quarter of 2021, the Company has been co-hosting energy storage facilities with solar power plants on the same piece of land for nearly all projects under development. By using one interconnection point per project, the Company expects to significantly enhance the efficiency of its development and the value of its assets under development.<\/p>\n<p>&nbsp;<\/p>\n<p>In addition,\u00a0Canadian Solar\u00a0has already signed several storage tolling agreements with a variety of power purchasers, including community choice aggregators, investor-owned utilities, universities, and public utility districts. The Company has also signed development services agreements to retrofit operational solar projects with battery storage, many of which were previously developed by the Company.<\/p>\n<p>&nbsp;<\/p>\n<p>The table below sets forth\u00a0<b>Global Energy&#8217;s storage project development<\/b>\u00a0backlog and pipeline.<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td><\/td>\n<td colspan=\"5\" nowrap=\"nowrap\"><b>Storage<\/b><b>\u00a0Project Development Backlog and Pipeline<\/b><b>\u00a0<\/b><b>(as of\u00a0January 31, 2022) \u2013 MWh<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\"><b>Region<\/b><\/td>\n<td><b>In Construction<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Backlog<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Pipeline<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">North America<\/td>\n<td>2,681<\/td>\n<td nowrap=\"nowrap\">&#8211;<\/td>\n<td nowrap=\"nowrap\">14,725<\/td>\n<td nowrap=\"nowrap\"><b>17,406<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Latin America<\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">465<\/td>\n<td nowrap=\"nowrap\">3,185<\/td>\n<td nowrap=\"nowrap\"><b>3,650<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Europe, the\u00a0Middle East\u00a0and\u00a0Africa\u00a0(&#8220;EMEA&#8221;)<\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">56<\/td>\n<td nowrap=\"nowrap\">2,611<\/td>\n<td nowrap=\"nowrap\"><b>2,667<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">Japan<\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">&#8211;<\/td>\n<td nowrap=\"nowrap\">19<\/td>\n<td nowrap=\"nowrap\"><b>19<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\"><span id=\"spanHghlte774\">Asia Pacific\u00a0excluding\u00a0Japan\u00a0and China\u00a0<\/span><\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">20<\/td>\n<td nowrap=\"nowrap\">2,280<\/td>\n<td nowrap=\"nowrap\"><b>2,300<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\">China*<\/td>\n<td>&#8211;<\/td>\n<td nowrap=\"nowrap\">300<\/td>\n<td nowrap=\"nowrap\">800<\/td>\n<td nowrap=\"nowrap\"><b>1,100<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"2\" nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<td><b>2,681<\/b><\/td>\n<td nowrap=\"nowrap\"><b>841<\/b><\/td>\n<td nowrap=\"nowrap\"><b>23,620<\/b><\/td>\n<td nowrap=\"nowrap\"><b>27,142<\/b><\/td>\n<\/tr>\n<tr>\n<td colspan=\"6\"><b>*<\/b><i>China\u00a0portfolio is part of the Global Energy segment beginning\u00a0November 2021.<\/i><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p><em><u>Solar Power Plants and Battery Storage Projects in Operation<\/u><\/em><\/p>\n<p>As of\u00a0January 31, 2022, the Company&#8217;s solar power plants in operation totaled 445 MWp, with a combined estimated net resale value of approximately\u00a0$260 million\u00a0to\u00a0Canadian Solar. The estimated resale value is based on selling prices that\u00a0Canadian Solar\u00a0is currently negotiating or comparable asset sales.<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td colspan=\"5\" nowrap=\"nowrap\">\n<p style=\"text-align: center;\"><b>Solar Power Plants in Operation \u2013 MWp<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">\n<p style=\"text-align: center;\"><b>Latin America<\/b><\/p>\n<\/td>\n<td style=\"text-align: center;\"><b>Japan<\/b><\/td>\n<td style=\"text-align: center;\" nowrap=\"nowrap\"><b>Asia Pacific\u00a0<\/b><\/p>\n<p><b>ex.\u00a0Japan\u00a0and\u00a0China<\/b><\/td>\n<td style=\"text-align: center;\" nowrap=\"nowrap\"><b>China<\/b><\/td>\n<td style=\"text-align: center;\" nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" nowrap=\"nowrap\">316<\/td>\n<td style=\"text-align: center;\">31<\/td>\n<td style=\"text-align: center;\" nowrap=\"nowrap\">16<\/td>\n<td style=\"text-align: center;\" nowrap=\"nowrap\">82<\/td>\n<td nowrap=\"nowrap\">\n<p style=\"text-align: center;\"><b>445<\/b><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<div>\n<table id=\"convertedTabledd2d\" style=\"height: 116px;\" border=\"1\" width=\"435\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td><i>Note: All numbers are gross MWp, including 196 MWp in\u00a0Latin America\u00a0and\u00a0<\/i><i>2<\/i><i>\u00a0MWp in\u00a0Asia Pacific\u00a0ex.\u00a0Japan\u00a0and\u00a0China\u00a0already sold to third parties.<br \/>\nChina\u00a0portfolio is part of the Global Energy segment from\u00a0November 2021.<\/i><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p><em><u>Operating Results<\/u><\/em><\/p>\n<p>The following table presents unaudited select results of operations data of the Global Energy segment for the periods indicated.<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td colspan=\"8\">\n<p style=\"text-align: center;\"><b>Global Energy Segment Financial Results<\/b><\/p>\n<p style=\"text-align: center;\"><b>(<\/b><b>In Thousands of\u00a0U.S.\u00a0Dollars, Except Percentages)<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><\/td>\n<td colspan=\"3\" nowrap=\"nowrap\"><b>Three Months Ended<\/b><\/td>\n<td colspan=\"2\"><b>Twelve Months Ended<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><\/td>\n<td nowrap=\"nowrap\"><b>December 31,<\/b><\/p>\n<p><b>2021<\/b><\/td>\n<td nowrap=\"nowrap\"><b>September 30,<\/b><\/p>\n<p><b>2021<\/b><\/td>\n<td nowrap=\"nowrap\"><b>December 31,<\/b><\/p>\n<p><b>2020<\/b><\/td>\n<td><b>December 31,<\/b><\/p>\n<p><b>2021<\/b><\/td>\n<td><b>December 31,<\/b><\/p>\n<p><b>2020<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Net revenues<\/td>\n<td nowrap=\"nowrap\">232,418<\/td>\n<td>139,989<\/td>\n<td>372,617<\/td>\n<td>1,124,083<\/td>\n<td>726,167<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Cost of revenues<\/td>\n<td nowrap=\"nowrap\">224,359<\/td>\n<td>78,848<\/td>\n<td>340,403<\/td>\n<td>930,099<\/td>\n<td>577,052<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Gross profit<\/td>\n<td nowrap=\"nowrap\">8,059<\/td>\n<td>61,141<\/td>\n<td>32,214<\/td>\n<td>193,984<\/td>\n<td>149,115<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Operating expenses<\/td>\n<td nowrap=\"nowrap\">22,787<\/td>\n<td nowrap=\"nowrap\">30,442<\/td>\n<td nowrap=\"nowrap\">30,434<\/td>\n<td>96,805<\/td>\n<td>95,701<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Income (loss) from operations<\/td>\n<td nowrap=\"nowrap\">(14,728)<\/td>\n<td nowrap=\"nowrap\">30,699<\/td>\n<td nowrap=\"nowrap\">1,780<\/td>\n<td>97,179<\/td>\n<td>53,414<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><i>Gross margin<\/i><\/td>\n<td nowrap=\"nowrap\"><i>3.5%<\/i><\/td>\n<td nowrap=\"nowrap\"><i>43.7%<\/i><\/td>\n<td nowrap=\"nowrap\"><i>8.6%<\/i><\/td>\n<td><i>17.3%<\/i><\/td>\n<td><i>20.5%<\/i><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><i>Operating margin<\/i><\/td>\n<td nowrap=\"nowrap\"><i>-6.3%<\/i><\/td>\n<td nowrap=\"nowrap\"><i>21.9%<\/i><\/td>\n<td nowrap=\"nowrap\"><i>0.5%<\/i><\/td>\n<td><i>8.6%<\/i><\/td>\n<td><i>7.4%<\/i><\/td>\n<\/tr>\n<tr>\n<td colspan=\"7\" nowrap=\"nowrap\"><i>*Income (loss) from operations reflects management&#8217;s allocation and estimate as some services are shared by the<br \/>\nCompany&#8217;s two business segments.<\/i><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p>&nbsp;<\/p>\n<p><strong>CSI Solar Segment<\/strong><\/p>\n<p>CSI Solar&#8217;s\u00a02022 capacity expansion targets are detailed below.<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td style=\"text-align: center;\" colspan=\"4\"><b><u>Manufacturing Capacity, GW<\/u><\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><\/td>\n<td><b><u>Dec. 2021<br \/>\nActual<\/u><\/b><\/td>\n<td><b><u>Jun. 2022<br \/>\nPlan<\/u><\/b><\/td>\n<td><b><u>Dec. 2022<br \/>\nPlan<\/u><\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Ingot<\/td>\n<td>5.4<\/td>\n<td>5.4<\/td>\n<td>10.4<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Wafer<\/td>\n<td>11.5<\/td>\n<td>11.5<\/td>\n<td>14.5<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Cell<\/td>\n<td>13.9<\/td>\n<td>13.9<\/td>\n<td>14.5<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Module<\/td>\n<td>23.9<\/td>\n<td>27.9<\/td>\n<td>32.0<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p>Note: Nameplate annualized capacities at said point in time. Capacity expansion plans are subject to change without notice based on market conditions and capital allocation plans.<\/p>\n<p><em><u>Operating Results<\/u>\u00a0<\/em><\/p>\n<p>The following table presents unaudited select results of operations data of the\u00a0CSI Solar\u00a0segment for the periods indicated.<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td colspan=\"9\">\n<p style=\"text-align: center;\"><b>CSI Solar Segment Financial Results<\/b><b>*<\/b><b>\u00a0<\/b><\/p>\n<p style=\"text-align: center;\"><b>(In Thousands of\u00a0U.S.\u00a0Dollars, Except Percentages)<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" colspan=\"4\" nowrap=\"nowrap\"><b>Three Months Ended<\/b><\/td>\n<td style=\"text-align: center;\" colspan=\"4\"><b>Twelve Months Ended<\/b><\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td nowrap=\"nowrap\"><b>December 31,<\/b><\/p>\n<p><b>2021<\/b><\/td>\n<td nowrap=\"nowrap\"><b>September\u00a0<\/b><b>30,<\/b><\/p>\n<p><b>2021<\/b><\/td>\n<td colspan=\"2\" nowrap=\"nowrap\"><b>December 31,<\/b><\/p>\n<p><b>2020<\/b><\/td>\n<td><b>December 31,<\/b><\/p>\n<p><b>2021<\/b><\/td>\n<td colspan=\"2\"><b>December 31,<\/b><\/p>\n<p><b>2020<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Net revenues<\/td>\n<td nowrap=\"nowrap\">1,343,278<\/td>\n<td>1,149,215<\/td>\n<td colspan=\"2\">784,588<\/td>\n<td>4,371,603<\/td>\n<td colspan=\"2\">3,105,044<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Cost of revenues<\/td>\n<td nowrap=\"nowrap\">1,056,750<\/td>\n<td>976,212<\/td>\n<td colspan=\"2\">678,410<\/td>\n<td>3,689,126<\/td>\n<td colspan=\"2\">2,496,153<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Gross profit<\/td>\n<td nowrap=\"nowrap\">286,528<\/td>\n<td>173,003<\/td>\n<td colspan=\"2\">106,178<\/td>\n<td>682,477<\/td>\n<td colspan=\"2\">608,891<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Operating expenses<\/td>\n<td nowrap=\"nowrap\">204,969<\/td>\n<td nowrap=\"nowrap\">142,734<\/td>\n<td colspan=\"2\" nowrap=\"nowrap\">103,378<\/td>\n<td>608,345<\/td>\n<td colspan=\"2\">355,786<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Income from operations<\/td>\n<td nowrap=\"nowrap\">81,559<\/td>\n<td nowrap=\"nowrap\">30,269<\/td>\n<td colspan=\"2\" nowrap=\"nowrap\">2,800<\/td>\n<td>74,132<\/td>\n<td colspan=\"2\">253,105<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><i>Gross margin<\/i><\/td>\n<td nowrap=\"nowrap\"><i>21.3%<\/i><\/td>\n<td nowrap=\"nowrap\"><i>15.1%<\/i><\/td>\n<td colspan=\"2\" nowrap=\"nowrap\"><i>13.5%<\/i><\/td>\n<td>15.6%<\/td>\n<td colspan=\"2\"><i>19.6%<\/i><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><i>Operating margin<\/i><\/td>\n<td nowrap=\"nowrap\"><i>6.1%<\/i><\/td>\n<td nowrap=\"nowrap\"><i>2.6%<\/i><\/td>\n<td colspan=\"2\" nowrap=\"nowrap\"><i>0.4%<\/i><\/td>\n<td><i>1.7%<\/i><\/td>\n<td colspan=\"2\"><i>8.2%<\/i><\/td>\n<\/tr>\n<tr>\n<td colspan=\"10\" nowrap=\"nowrap\"><i>*<\/i><i>I<\/i><i>ncludes\u00a0<\/i><i>effects of both sales to\u00a0<\/i><i>third-part<\/i><i>y customers\u00a0<\/i><i>and to\u00a0<\/i><i>the Company&#8217;s Global En<\/i><i>ergy\u00a0<\/i><i>segment<\/i><i>.<\/i><i>\u00a0Please refer to the<br \/>\nattached financial tables for intercompany transaction elimination information. Income from operations reflects m<br \/>\nanagement&#8217;s allocation and estimate as some services are shared by the Company&#8217;s two business segments.<\/i><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<p>The table below provides the geographic distribution of the net revenues of\u00a0CSI Solar:<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td colspan=\"6\" nowrap=\"nowrap\"><b>CSI Solar Net Revenues Geographic Distribution* (In Millions of\u00a0U.S.\u00a0Dollars, Except Percentages)<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><\/td>\n<td nowrap=\"nowrap\"><b>Q4 2021<\/b><\/td>\n<td nowrap=\"nowrap\"><b>% of Net<br \/>\nRevenues<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Full Year 2021<\/b><\/td>\n<td nowrap=\"nowrap\"><b>% of Net<br \/>\nRevenues<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Asia<\/td>\n<td nowrap=\"nowrap\">546<\/td>\n<td nowrap=\"nowrap\">42<\/td>\n<td nowrap=\"nowrap\">1,795<\/td>\n<td nowrap=\"nowrap\">43<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Americas<\/td>\n<td nowrap=\"nowrap\">493<\/td>\n<td nowrap=\"nowrap\">38<\/td>\n<td nowrap=\"nowrap\">1,568<\/td>\n<td nowrap=\"nowrap\">38<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Europe\u00a0and others<\/td>\n<td nowrap=\"nowrap\">257<\/td>\n<td nowrap=\"nowrap\">20<\/td>\n<td nowrap=\"nowrap\">790<\/td>\n<td nowrap=\"nowrap\">19<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<td nowrap=\"nowrap\"><b>1,296<\/b><\/td>\n<td nowrap=\"nowrap\"><b>100<\/b><\/td>\n<td nowrap=\"nowrap\"><b>4,153<\/b><\/td>\n<td nowrap=\"nowrap\"><b>100<\/b><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<div>\n<p><i>*Excludes sales from\u00a0CSI Solar\u00a0to Global Energy.<\/i><\/p>\n<p>CSI Solar\u00a0shipped 3.8 GW of modules to more than 70\u00a0countries in the fourth quarter\u00a0of 2021.\u00a0For both the fourth quarter and full year of 2021, the top five markets ranked by shipments were\u00a0China, the\u00a0U.S.,\u00a0Brazil,\u00a0Germany\u00a0and\u00a0Japan.<\/p>\n<p><em><u>Battery Storage Solutions<\/u><\/em><\/p>\n<p>Within\u00a0CSI Solar, the battery storage solutions team provides customers with competitive turnkey, integrated battery storage solutions, including bankable and fully wrapped capacity and performance guarantees. These guarantees are complemented with long term O&amp;M agreements, which include future battery capacity augmentation services and bring in longer term, stable income.<\/p>\n<p>&nbsp;<\/p>\n<p>In 2021,\u00a0CSI Solar\u00a0delivered 896 MWh of battery storage projects that were recognized in revenue.<\/p>\n<p>&nbsp;<\/p>\n<p>The table below sets forth\u00a0<b>CSI Solar&#8217;s\u00a0battery storage system integration&#8217;s<\/b>\u00a0project pipeline as of\u00a0January 31, 2022.<\/p>\n<p>&nbsp;<\/p>\n<div>\n<table border=\"0\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td nowrap=\"nowrap\"><\/td>\n<td><b>LTSA (Long<br \/>\nTerm Service<br \/>\nAgreement)<\/b><\/td>\n<td><b>Contracted\/<\/b><\/p>\n<p><b>In Construction<\/b><\/td>\n<td><b>Forecast<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Pipeline<\/b><\/td>\n<td nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Storage (MWh)<\/td>\n<td>300<\/td>\n<td>2,043<\/td>\n<td nowrap=\"nowrap\">390<\/td>\n<td nowrap=\"nowrap\">3,619<\/td>\n<td nowrap=\"nowrap\"><b>6,352<\/b><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p>LTSA projects are operational battery storage projects delivered by\u00a0CSI Solar\u00a0that are under multi-year long-term service agreements and generate recurring earnings. Contracted\/in construction projects are expected to be delivered within the next 12 to 18 months. Forecast projects include those that have more than 75% probability of being contracted within the next 12 months, and the remaining pipeline includes projects that have been identified but have a below 75% probability of being contracted.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Business Outlook<\/strong><\/p>\n<p>The Company&#8217;s business outlook is based on management&#8217;s current views and estimates given factors such as existing market conditions, order book, production capacity, input material prices, foreign exchange fluctuations, anticipated timing of project sales, and the global economic environment. This outlook is subject to uncertainty with respect to, among other things, customer demand, project construction and sale schedules, product sales prices and costs, the global impact of the ongoing COVID-19 pandemic, and recent geopolitical conflicts. Management&#8217;s views and estimates are subject to change without notice.<\/p>\n<p>&nbsp;<\/p>\n<p>For the first quarter of 2022, the Company expects total module shipments to be in the range of 3.6 GW to 3.8 GW, including approximately 210 MW of module shipments to the Company&#8217;s own projects. Total revenues are expected to be in the range of\u00a0$1.25 billion\u00a0to\u00a0$1.35 billion. Gross margin is expected to be between 14.5% and 15.5%, reflecting the impact of higher material costs, which the Company plans to partially mitigate through pricing and sales channel strategies.<\/p>\n<p>&nbsp;<\/p>\n<p>For the full year 2022, the Company reiterates its prior outlook for total shipments to be in the range of 20 GW to 22 GW, while increasing its outlook for total battery storage shipments to be in the range of 1.8 GWh to 1.9 GWh, from 1.4 GWh to 1.5 GWh\u00a0previously. The Company expects total project sales of 2.1 GW to 2.6 GW, from 2.4 GW to 2.9 GW previously. The Company is increasing its expectations for total revenue to be in the range of\u00a0$7.0 billion\u00a0to\u00a0$7.5 billion, from\u00a0$6.5 billion\u00a0to\u00a0$7.0 billion\u00a0previously.<\/p>\n<p>&nbsp;<\/p>\n<p><b>Dr.\u00a0Shawn Qu, Chairman and CEO,<\/b>\u00a0commented, &#8220;First quarter margins will be impacted by the recent uptick in material costs, partially mitigated through pricing and sales channel strategies. Shipping costs are also expected to remain elevated, but should start to normalize with improvement in the global pandemic situation later in the year. Longer term, our focus remains on profitable revenue growth and building shareholder value as we continue to leverage our advantaged market position and competitiveness. We will continue to invest in technology and upstream capacity and expect to continue growing our solar module market share. We are also excited by the significant progress and accelerating growth of our battery storage business, which is a large greenfield opportunity for us. As with our other markets, we plan to succeed by introducing innovative products, including our own battery storage product, which we expect to launch in the coming quarters. Overall, long-term market fundamentals remain positive with both company and market-specific catalysts in each of our business segments.&#8221;<\/p>\n<p>&nbsp;<\/p>\n<p><b>Financial Performance Forecast of\u00a0CSI Solar, as Part of Its Submission to the SSE in Connection with the STAR Market IPO Application (December 2, 2021\u00a0Submission)<\/b><\/p>\n<p>In connection with the previously announced STAR Market IPO application of\u00a0CSI Solar,\u00a0CSI Solar\u00a0has responded to certain inquiries from the SSE regarding its business and industry. This is in line with the usual review procedures of the SSE. The full question and answer document for the inquiries is posted on the SSE&#8217;s website in Chinese at\u00a0<span style=\"color: #993300;\"><u><a style=\"color: #993300;\" href=\"http:\/\/kcb.sse.com.cn\/renewal\/xmxq\/index.shtml?auditId=961&amp;anchor_type=0\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">http:\/\/kcb.sse.com.cn\/renewal\/xmxq\/index.shtml?auditId=961&amp;anchor_type=0<\/a><\/u>.<\/span><\/p>\n<p>As part of the SSE&#8217;s inquiries,\u00a0CSI Solar\u00a0was requested to provide preliminary estimates of its financial performance forecast for 2022. In response,\u00a0CSI Solar\u00a0provided preliminary estimates in its application documents on\u00a0December 2, 2021, as follows, determined in accordance with Accounting Standards for\u00a0Business Enterprises\u00a0under Chinese generally accepted accounting principles (&#8220;Chinese GAAP&#8221;).<\/p>\n<p>For 2022,\u00a0CSI Solar\u00a0estimates its total module shipments to be in the range of 14 GW to 21 GW, and its revenues to be in the range of\u00a0RMB33 billion\u00a0to\u00a0RMB48 billion, taking into account current and future trends in the price of modules and income from other main business operations. Also for 2022, net profit attributable to\u00a0CSI Solar\u00a0is expected to be in the range of\u00a0RMB700 million\u00a0to\u00a0RMB1.7 billion, and net profit attributable to\u00a0CSI Solar\u00a0after deduction of non-recurring profit or loss is expected to be in the range of\u00a0RMB700 million\u00a0to\u00a0RMB1.6 billion. The forecast is generally consistent with\u00a0Canadian Solar&#8217;s\u00a0guidance for full year 2022 provided in &#8220;Business Outlook&#8221; above.<\/p>\n<p>&nbsp;<\/p>\n<p>The forecast is subject to significant assumptions, qualifications, uncertainties and limitations. See &#8220;Important Disclaimers Regarding CSI Solar&#8217;s Forecast&#8221; below.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Recent Developments<\/strong><\/p>\n<p>On\u00a0March 8, 2022,\u00a0Canadian Solar\u00a0announced it signed two 10-year PPAs with\u00a0Axpo Italia\u00a0for the purchase of 70% of the energy produced by two solar power plants under development totaling 84 MWp.\u00a0Axpo Italia\u00a0is one of the largest market operators in the free energy market in\u00a0Italy\u00a0and a highly reliable and bankable renewables generator counterparty.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0February 25, 2022,\u00a0Canadian Solar\u00a0announced that its Global Energy business group signed private PPAs with Usinas Siderurgicas de\u00a0Minas Gerais S.A., one of the largest steelmakers in\u00a0Latin America, committing 50% of the total electricity production of a 381 MWp solar power project in\u00a0Brazil.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0January 5, 2022,\u00a0Canadian Solar\u00a0announced that its wholly-owned subsidiary Recurrent Energy completed a purchase and sale agreement to sell its 150 MWac Firefly Energy solar project in\u00a0Virginia\u00a0to\u00a0Appalachian Power. The Firefly project will be developed and constructed by Recurrent Energy under a Build Transfer Agreement. Once construction is completed,\u00a0Appalachian Power\u00a0will be the long-term owner of the project.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0December 14, 2021,\u00a0Canadian Solar\u00a0announced that it completed the sale of its 635 MWp Ja\u00edba V solar project in\u00a0Brazil\u00a0to VTRM, a leading renewable energy company in\u00a0Brazil.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0December 13, 2021,\u00a0Canadian Solar\u00a0announced that its majority-owned subsidiary\u00a0CSI Solar\u00a0Co., Ltd. received approval for the proposed initial public\u00a0offering and\u00a0listing of its shares by the stock listing committee of\u00a0the Science\u00a0and Technology Innovation Board (&#8220;STAR Market&#8221;)\u00a0of the\u00a0Shanghai Stock Exchange (&#8220;SSE&#8221;). As a next step,\u00a0CSI Solar\u00a0will be required to go through the registration process with the China Securities Regulatory\u00a0Commission before\u00a0it can complete the\u00a0listing of its shares on the STAR Market.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0December 2, 2021,\u00a0Canadian Solar\u00a0announced that its indirectly wholly-owned subsidiary\u00a0Canadian Solar EMEA Capital Markets, S.A.U., successfully completed a \u20ac 30 million green bond issuance due in\u00a0December 2026\u00a0under its \u20ac 100 million Canadian Solar EMEA Green Medium Term Note Program in the Spanish multilateral trading facility (MTF) for debt securities (MARF).<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0November 29, 2021,\u00a0Canadian Solar\u00a0announced that it completed its previously announced &#8220;at-the-market&#8221; offering program of common shares, having sold 3,639,918 of its common shares, which raised\u00a0$150 million\u00a0in gross proceeds before deducting commissions and offering expenses.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0November 24, 2021,\u00a0Canadian Solar\u00a0announced that its majority-owned subsidiary\u00a0CSI Solar Co., Ltd.\u00a0signed a strategic cooperation framework agreement with Contemporary Amperex Technology Co., Ltd., a global leader of new energy innovative technologies to cooperate holistically in the areas of battery storage system solutions, supply of lithium-ion battery modules, operation and maintenance services of battery storage projects, and innovative renewable energy technology.<\/p>\n<p>&nbsp;<\/p>\n<p>On\u00a0November 19, 2021,\u00a0Canadian Solar\u00a0announced that its indirectly wholly-owned subsidiary\u00a0Canadian Solar EMEA Capital Markets, S.A.U., registered in\u00a0Spain\u00a0a \u20ac\u00a0100 million medium term note program, dated\u00a0November 15, 2021, in the Spanish multilateral trading facility (MTF) for debt securities (MARF). The notes may qualify as &#8220;green bonds&#8221; pursuant to the\u00a0International Capital Market Association\u00a0(ICMA) Green Bond Principles and the Green Financing Framework adopted by the Company in\u00a0Europe,\u00a0the Middle East\u00a0and\u00a0Africa, or EMEA region.\u00a0With the note program,\u00a0Canadian Solar\u00a0aims to use the fund proceeds to finance the development and acquisition of new solar PV and battery storage projects, both nationally and internationally.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Conference Call Information<\/strong><b><br \/>\n<\/b>The Company will hold a conference call at\u00a08:00 a.m.\u00a0U.S.\u00a0Eastern Daylight Time on\u00a0Thursday, March 17, 2022\u00a0(8:00 p.m.,\u00a0Thursday, March 17, 2022\u00a0in\u00a0Hong Kong) to discuss its fourth quarter and full year 2021 results and business outlook. The dial-in phone number for the live audio call is +1-833-239-5565 (toll-free from the\u00a0U.S.), +852-3018-6771 (local dial-in from\u00a0Hong Kong), 400-8205-286 (local dial-in from Mainland China) or +1-332-208-9468 \/ +65-6713-5590 from international locations. The passcode for the call is 3789541. A live webcast of the conference call will also be available on the investor relations section of\u00a0Canadian Solar&#8217;s\u00a0website at\u00a0<u><a href=\"http:\/\/www.canadiansolar.com\/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">www.canadiansolar.com<\/a><\/u><\/p>\n<p>&nbsp;<\/p>\n<p>A replay of the call will be available 2 hours after the conclusion of the call until\u00a08:00 a.m.\u00a0U.S.\u00a0Eastern Daylight Time on\u00a0Friday, March 25, 2022\u00a0(8:00 p.m.,\u00a0March 25, 2022\u00a0in\u00a0Hong Kong) and can be accessed by dialing +1-855-452-5696 (toll-free from the\u00a0U.S.), +852-3051-2780 (local dial-in from\u00a0Hong Kong), 400-6322-162 (toll-free from Mainland China) or +1-646-254-3697 from international locations. The passcode for the replay is 3789541. A webcast replay will also be available on the investor relations section of\u00a0Canadian Solar&#8217;s\u00a0at<span style=\"color: #993300;\">\u00a0<u><a style=\"color: #993300;\" href=\"http:\/\/www.canadiansolar.com\/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">www.canadiansolar.com<\/a><\/u><\/span>.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>About\u00a0Canadian Solar Inc.<\/strong><\/p>\n<p>Canadian Solar\u00a0was founded in 2001 in\u00a0Canada\u00a0and is one of the world&#8217;s largest solar technology and renewable energy companies. It is a leading manufacturer of solar photovoltaic modules, provider of solar energy and battery storage solutions, and developer of utility-scale solar power and battery storage projects with a geographically diversified pipeline in various stages of development. Over the past 20 years,\u00a0Canadian Solar\u00a0has successfully delivered around 67\u00a0GW\u00a0of premium-quality, solar photovoltaic modules to customers across the world. Likewise, since entering the project development business in 2010,\u00a0Canadian Solar\u00a0has developed, built and connected over 6.3 GWp in over 20 countries across the world. Currently, the Company has 445 MWp of projects in operation, nearly 6 GWp of projects under construction or in backlog (late-stage), and an additional 18.6 GWp of projects in pipeline (mid- to early- stage).\u00a0Canadian Solar\u00a0is one of the most bankable companies in the solar and renewable energy industry, having been publicly listed on the NASDAQ since 2006.\u00a0For additional information about the Company, follow\u00a0Canadian Solar\u00a0on\u00a0<span style=\"color: #993300;\"><a style=\"color: #993300;\" href=\"https:\/\/www.linkedin.com\/company\/canadian-solar-inc-\/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">LinkedIn\u00a0<\/a><\/span>or visit\u00a0<span style=\"color: #993300;\"><a style=\"color: #993300;\" href=\"http:\/\/www.canadiansolar.com\/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">www.canadiansolar.com<\/a><\/span>.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Safe Harbor\/Forward-Looking Statements<\/strong><\/p>\n<p>Certain statements in this press release, including those regarding the Company&#8217;s expected future shipment volumes, revenues, gross margins and project sales, and\u00a0CSI Solar&#8217;s\u00a0forecast operating income and net profit, \u00a0are forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially. These statements are made under the &#8220;Safe Harbor&#8221; provisions of the\u00a0U.S.\u00a0Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by such terms as &#8220;believes,&#8221; &#8220;expects,&#8221; &#8220;anticipates,&#8221; &#8220;intends,&#8221; &#8220;estimates,&#8221; the negative of these terms, or other comparable terminology. Factors that could cause actual results to differ include general business and economic conditions and the state of the solar industry; volatility, uncertainty, delays and disruptions related to the COVID-19 pandemic; governmental support for the deployment of solar power; future available supplies of high-purity silicon; demand for end-use products by consumers and inventory levels of such products in the supply chain; changes in demand from significant customers; changes in demand from major markets such as\u00a0Japan, the\u00a0U.S.,\u00a0China\u00a0and\u00a0Brazil; changes in customer order patterns; changes in product mix; capacity utilization; level of competition; pricing pressure and declines in average selling prices; delays in new product introduction; delays in utility-scale project approval process; delays in utility-scale project construction; delays in the completion of project sales; continued success in technological innovations and delivery of products with the features that customers demand; shortage in supply of materials or capacity requirements; availability of financing; exchange rate fluctuations; litigation and other risks as described in the Company&#8217;s filings with the\u00a0Securities and Exchange Commission\u00a0(the &#8220;<span id=\"spanHghltf861\">SEC&#8221;),<\/span>\u00a0including its annual report on Form 20-F filed on\u00a0April 19, 2021. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements. Investors should not place undue reliance on these forward-looking statements. All information provided in this press release is as of today&#8217;s date, unless otherwise stated, and\u00a0Canadian Solar\u00a0undertakes no duty to update such information, except as required under applicable law.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Important Disclaimers Regarding CSI Solar&#8217;s Forecast<\/strong><\/p>\n<p><i>Inherent Uncertainty of the Forecast<\/i><\/p>\n<p>&nbsp;<\/p>\n<p>The forecast is based on numerous assumptions, many of which are beyond the control of\u00a0CSI Solar\u00a0and\u00a0Canadian Solar, and some or all of which may not materialize.<\/p>\n<p>&nbsp;<\/p>\n<p>Additionally, to the extent that the assumptions are based upon future business decisions and objectives, they are subject to change. Although the forecast is based on reasonable expectations developed by\u00a0CSI Solar&#8217;s\u00a0management, the assumptions and estimates underlying the forecast are subject to significant business, economic, regulatory and competitive uncertainties and contingencies, many of which are beyond the control of\u00a0CSI Solar\u00a0and\u00a0Canadian Solar. Accordingly, the forecast is only an estimate and is necessarily speculative in nature. It is expected that some or all of the assumptions in the forecast will not be realized and that actual results will vary from the forecast. Such variations may be material and may increase over time. In light of the foregoing, readers are cautioned not to place undue reliance on the forecast. The forecast should not be regarded as a representation or warranty by\u00a0Canadian Solar,\u00a0CSI Solar\u00a0or any other person that the forecast can or will be achieved.<\/p>\n<p>&nbsp;<\/p>\n<p><i>Chinese GAAP<\/i><\/p>\n<p>The forecast was prepared in accordance with Chinese GAAP, whereas\u00a0Canadian Solar&#8217;s\u00a0financial statements are prepared in accordance with generally accepted accounting principles in\u00a0the United States\u00a0(&#8220;U.S.\u00a0GAAP&#8221;).\u00a0CSI Solar\u00a0has not prepared a reconciliation of the forecast between Chinese GAAP and\u00a0U.S.\u00a0GAAP and has not quantified such differences. In addition,\u00a0Canadian Solar&#8217;s\u00a0financial statements eliminate all intercompany transactions between\u00a0Canadian Solar\u00a0and its\u00a0CSI Solar\u00a0and Global Energy subsidiaries. As a result, the forecast is not directly comparable to the corresponding consolidated financial performance of\u00a0Canadian Solar. Investors should consult their own professional advisors for an understanding of the differences between Chinese GAAP and\u00a0U.S.\u00a0GAAP and how those differences might affect the information contained in the forecast.<\/p>\n<p>&nbsp;<\/p>\n<p><i>Not Compliant with\u00a0SEC, AICPA or PCAOB Guidelines<\/i><\/p>\n<p>&nbsp;<\/p>\n<p>The forecast has not been prepared or presented in accordance with the standards and guidelines of the\u00a0SEC, the\u00a0American Institute of Certified Public Accountants\u00a0(the &#8220;AICPA&#8221;) or the\u00a0Public Company Accounting Oversight Board\u00a0(United States) (the &#8220;PCAOB&#8221;) for the preparation and presentation of projected or forecasted financial information. Accordingly, the forecast does not disclose all information required by the\u00a0SEC, the AICPA and the PCAOB for projected or forecasted financial information.<\/p>\n<p><i>No Audit or Review<\/i><\/p>\n<p>&nbsp;<\/p>\n<p>The forecast has not been audited or reviewed by the independent public accountants of\u00a0Canadian Solar\u00a0or\u00a0CSI Solar. The forecast should not be relied upon by investors to provide the same type or quality of information as information that has been subject to an audit or review by independent auditors.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>No Offer or Solicitation<\/strong><\/p>\n<p>This communication is not an offer to sell or a solicitation of an offer to buy securities of\u00a0Canadian Solar\u00a0or\u00a0CSI Solar.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>FINANCIAL TABLES FOLLOW<\/strong><\/p>\n<p>&nbsp;<\/p>\n<p><b>The following tables provide unaudited select financial data for the Company&#8217;s\u00a0CSI Solar\u00a0and Global Energy businesses.<\/b><\/p>\n<div>\n<table style=\"height: 98px;\" width=\"712\">\n<tbody>\n<tr>\n<td style=\"text-align: center;\"><strong>Select Financial Data \u2013\u00a0CSI Solar\u00a0and Global Energy<\/strong><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\"><strong>Three Months Ended\u00a0December 31, 2021<br \/>\n(In Thousands of\u00a0U.S.\u00a0Dollars, Except Percentages<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<table style=\"height: 1403px;\" border=\"0\" width=\"711\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td><\/td>\n<td nowrap=\"nowrap\"><b>CSI Solar<\/b><\/td>\n<td><b>Global Energy<\/b><\/td>\n<td><b>Elimination<br \/>\nand<br \/>\nunallocated<br \/>\nitems<sup>\u00a0(1)<\/sup><\/b><\/td>\n<td nowrap=\"nowrap\"><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Net revenues<\/td>\n<td>1,343,278<\/td>\n<td>232,418<\/td>\n<td>(46,977)<\/td>\n<td>1,528,719<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Cost of revenues<\/td>\n<td>1,056,750<\/td>\n<td>224,359<\/td>\n<td>(53,684)<\/td>\n<td>1,227,425<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Gross profit<\/td>\n<td>286,528<\/td>\n<td>8,059<\/td>\n<td>6,707<\/td>\n<td>301,294<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Gross margin<\/td>\n<td>21.3%<\/td>\n<td>3.5%<\/td>\n<td>\u2014<\/td>\n<td>19.7%<\/td>\n<\/tr>\n<tr>\n<td nowrap=\"nowrap\">Income (loss) from operations\u00a0<sup>(2)<\/sup><\/td>\n<td>81,559<\/td>\n<td>(14,728)<\/td>\n<td>594<\/td>\n<td>67,425<\/td>\n<\/tr>\n<tr>\n<td colspan=\"7\"><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" colspan=\"7\"><b>Select Financial Data \u2013\u00a0CSI Solar\u00a0and Global Energy<\/b><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" colspan=\"7\"><b>Twelve Months Ended\u00a0December 31, 2021<br \/>\n(In Thousands of\u00a0U.S.\u00a0Dollars, Except Percentages)<\/b><\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td><strong>CSI Solar<\/strong><\/td>\n<td><b>Global Energy<\/b><\/td>\n<td><b>Elimination<br \/>\nand<br \/>\nunallocated<br \/>\nitems<sup>\u00a0(1)<\/sup><\/b><\/td>\n<td><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td>Net revenues<\/td>\n<td>4,371,603<\/td>\n<td>1,124,083<\/td>\n<td>(218,517)<\/td>\n<td>5,277,169<\/td>\n<\/tr>\n<tr>\n<td>Cost of revenues<\/td>\n<td>3,689,126<\/td>\n<td>930,099<\/td>\n<td>(251,368)<\/td>\n<td>4,367,857<\/td>\n<\/tr>\n<tr>\n<td>Gross profit<\/td>\n<td>682,477<\/td>\n<td>193,984<\/td>\n<td>32,851<\/td>\n<td>909,312<\/td>\n<\/tr>\n<tr>\n<td>Gross margin<\/td>\n<td>15.6%<\/td>\n<td>17.3%<\/td>\n<td>\u2014<\/td>\n<td>17.2%<\/td>\n<\/tr>\n<tr>\n<td>Income from operations\u00a0<sup>(2)<\/sup><\/td>\n<td>74,132<\/td>\n<td>97,179<\/td>\n<td>19,070<\/td>\n<td>190,381<\/td>\n<\/tr>\n<tr>\n<td colspan=\"7\"><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" colspan=\"7\"><b>Select Financial Data \u2013\u00a0CSI Solar\u00a0and Global Energy<\/b><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" colspan=\"7\"><b>Three Months Ended\u00a0December 31, 2020<br \/>\n(In Thousands of\u00a0U.S.\u00a0Dollars, Except Percentages)<\/b><\/td>\n<\/tr>\n<tr>\n<td><strong>CSI Solar<\/strong><\/td>\n<td><b>Global Energy<\/b><\/td>\n<td><b>Elimination<br \/>\nand<br \/>\nunallocated<br \/>\nitems<sup>\u00a0(1)<\/sup><\/b><\/td>\n<td><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td>Net revenues<\/td>\n<td>784,588<\/td>\n<td>372,617<\/td>\n<td>(116,551)<\/td>\n<td>1,040,654<\/td>\n<\/tr>\n<tr>\n<td>Cost of revenues<\/td>\n<td>678,410<\/td>\n<td>340,403<\/td>\n<td>(119,247)<\/td>\n<td>899,566<\/td>\n<\/tr>\n<tr>\n<td>Gross profit<\/td>\n<td>106,178<\/td>\n<td>32,214<\/td>\n<td>2,696<\/td>\n<td>141,088<\/td>\n<\/tr>\n<tr>\n<td>Gross margin<\/td>\n<td>13.5%<\/td>\n<td>8.6%<\/td>\n<td>\u2014<\/td>\n<td>13.6%<\/td>\n<\/tr>\n<tr>\n<td>Income from operations\u00a0<sup>(2)<\/sup><\/td>\n<td>2,800<\/td>\n<td>1,780<\/td>\n<td>(2,101)<\/td>\n<td>2,479<\/td>\n<\/tr>\n<tr>\n<td colspan=\"7\"><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: center;\" colspan=\"5\"><b>Twelve\u00a0Months\u00a0Ended\u00a0December\u00a031,\u00a02020<br \/>\n(In Thousands of\u00a0U.S.\u00a0Dollars, Except Percentages)<\/b><\/td>\n<\/tr>\n<tr>\n<td><\/td>\n<td><b>CSI Solar<\/b><\/td>\n<td><b>Global Energy<\/b><\/td>\n<td><b>Elimination<br \/>\nand<br \/>\nunallocated<br \/>\nitems<sup>(1)<\/sup><\/b><\/td>\n<td><b>Total<\/b><\/td>\n<\/tr>\n<tr>\n<td>Net revenues<\/td>\n<td>3,105,044<\/td>\n<td>726,167<\/td>\n<td>(354,716)<\/td>\n<td>3,476,495<\/td>\n<\/tr>\n<tr>\n<td>Cost of revenues<\/td>\n<td>2,496,153<\/td>\n<td>577,052<\/td>\n<td>(286,624)<\/td>\n<td>2,786,581<\/td>\n<\/tr>\n<tr>\n<td>Gross profit<\/td>\n<td>608,891<\/td>\n<td>149,115<\/td>\n<td>(68,092)<\/td>\n<td>689,914<\/td>\n<\/tr>\n<tr>\n<td>Gross margin<\/td>\n<td>19.6%<\/td>\n<td>20.5%<\/td>\n<td>\u2014<\/td>\n<td>19.8%<\/td>\n<\/tr>\n<tr>\n<td>Income from operations\u00a0<sup>(2)<\/sup><\/td>\n<td>253,105<\/td>\n<td>53,414<\/td>\n<td>(86,089)<\/td>\n<td>220,430<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<div>\n<table id=\"convertedTable2da1\" style=\"height: 145px;\" border=\"1\" width=\"707\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td>(1) Includes inter-segment elimination, and unallocated corporate costs not considered part of management&#8217;s evaluation of reportable segment operating performance.<\/td>\n<\/tr>\n<tr>\n<td>(2) Income (loss) from operations reflects management&#8217;s allocation and estimate as some services are shared by the Company&#8217;s two business segments.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p id=\"PURL\"><img loading=\"lazy\" decoding=\"async\" title=\"Cision\" src=\"https:\/\/c212.net\/c\/img\/favicon.png?sn=CN95254&amp;sd=2022-03-17\" alt=\"Cision\" width=\"12\" height=\"12\" \/>\u00a0View original content:<span style=\"color: #993300;\"><a id=\"PRNURL\" style=\"color: #993300;\" href=\"https:\/\/www.prnewswire.com\/news-releases\/canadian-solar-reports-fourth-quarter-and-full-year-2021-results-301504922.html\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">https:\/\/www.prnewswire.com\/news-releases\/canadian-solar-reports-fourth-quarter-and-full-year-2021-results-301504922.html<\/a><\/span><\/p>\n<p>SOURCE Canadian Solar Inc.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>GUELPH, Ontario,\u00a0March 17, 2022\u00a0\/PRNewswire\/ &#8212;\u00a0Canadian Solar Inc.\u00a0(&#8220;Canadian Solar&#8221; or the  [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-937","post","type-post","status-publish","format-standard","hentry","category-results"],"_links":{"self":[{"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/posts\/937","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/comments?post=937"}],"version-history":[{"count":12,"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/posts\/937\/revisions"}],"predecessor-version":[{"id":949,"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/posts\/937\/revisions\/949"}],"wp:attachment":[{"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/media?parent=937"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/categories?post=937"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadiansolar-energy.co.jp\/en\/news_release\/wp-json\/wp\/v2\/tags?post=937"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}