ReneSola -5% as Q3 earnings, revenues miss estimates

|About: ReneSola Ltd. (SOL)|By:, SA News Editor

ReneSola (SOL -5.2%) sinks after reporting a wider than expected Q3 loss and below consensus revenues while also guiding Q4 revenues below expectations.

SOL says Q3 results missed expectations as weak demand led to reduced shipments and significant pricing pressure; gross margin of 10.1% was in-line with guidance but well below 16.5% in Q2 2016 and 16.1% in the year-ago quarter.

The company now sees Q4 revenues of $220M-$240M vs. $246M consensus from limited coverage, with gross margin in the high-single digits, reflecting reduced shipments due to weak domestic demand, high polysilicon prices and declining wafer prices.