Mon, Aug 19, 8:45 PM (148 days ago)
Emeren Group Ltd reported a decline in quarterly performance for Q2 2024, generating $30.1 million in revenue, down from $33.8 million in Q2 2023. Gross profit decreased to $9.4 million, with a gross margin of 31.2%, attributed to lower revenues from solar project development and electricity generation. The company incurred a net income of $0.7 million, significantly lower than the $7.7 million in the prior year, primarily due to a $1.7 million write-off from canceled projects and foreign exchange losses of $0.8 million. Operating expenses remained controlled, but general and administrative costs increased. The company experienced a negative operating cash flow of $9 million, reflecting challenges in project execution and market fluctuations. Despite these challenges, Emeren holds positive working capital of $167 million and plans to expand its Development Service Agreement (DSA) business, particularly in solar and battery storage across Europe and the U.S. Looking ahead, Emeren aims to capitalize on the growing demand for renewable energy, leveraging its existing project pipeline of 7,844 MW.