RICHMOND, Calif. : SunPower Corp. announced financial results for the third quarter, ending October 2, 2022.
“In the third quarter we continued to break records for customer growth and revenue, putting us on track toward the high end of our 2022 guidance for these metrics. Our strategy is working: with our focus on providing a world-class customer experience and industry-leading products, coupled with the right financing options, we are driving strong market share gains and a significant backlog that we believe will benefit us well into 2023,” said Peter Faricy, CEO of SunPower. “We also introduced new products and strategic alliances that keep SunPower at the forefront as consumer demand for better, cleaner, more reliable energy continues to grow.”
THIRD QUARTER BUSINESS HIGHLIGHTS
World-class customer experience
- Highest rated solar company: In the third quarter of 2022, SunPower held its position as the number one1 rated solar company in the U.S. CNET also named SunPower the best solar company overall in its list of best solar companies in 2022.
Best, most affordable products
- Expanded SunVault® portfolio: In September, SunPower announced two new battery storage configurations offering increased energy density and maximized space within the battery box. Additionally this quarter, Good Housekeeping awarded SunVault a spot on its list of top home renovation products in the Biggest Energy Savers category.
Growth
- Powering homes of the future with General Motors: In October, SunPower announced a collaboration with General Motors (NYSE:GM) to develop a new home energy system that will enable General Motors’ compatible electric vehicles (EVs) to provide backup energy to an equipped home with bi-directional charging. GM also named SunPower as a preferred EV charger installation provider and its exclusive solar provider.
- Investing in high-potential dealers: SunPower announced it made minority investments in Renova Energy and EmPower Solar in September. As the latest entrants in its Dealer Accelerator Program, SunPower will provide capital financing and business strategy support to accelerate their growth and meet the increasing homeowner demand for solar nationwide. Dealers in the program exclusively sell industry-leading SunPower® solar systems, offer SunVault battery storage and leverage SunPower Financial™ offerings.
- Continuing to lead in new homes: SunPower’s new homes business achieved a record number of installed homes in the third quarter. The Company also continues to expand its new homes business across the country: in the third quarter, the Company solidified a four-year, nationwide exclusive agreement with Dream Finders Homes (NYSE:DFH) to be its exclusive provider of solar and storage solutions. This expands upon SunPower’s deal with Dream Finders Homes last quarter to build five solar-standard communities in Colorado.
Digital innovation
- Launched new digital tools to enhance customer experience: SunPower launched a new real-time data visualization tool that enables dealers to identify device production and communication issues and panel performance trends more quickly and accurately. Doing so supports SunPower’s aim to continue to improve its category-leading customer responsiveness and ensure customer’s systems are performing as desired.
World-class financial solutions
- Financial bookings increasing rapidly: SunPower Financial achieved 49% bookings attach rate in September, achieving its 2022 run-rate goal a quarter early. Net bookings of SunPower Financial products in the third quarter grew 94% YoY.
- Strong demand for lease and Power Purchase Agreements (PPA): The company’s lease and PPA net bookings have grown more than 120% YoY, following the passage of the Inflation Reduction Act.
1 Based on public solar providers in the U.S. Includes average of BBB, Yelp, ConsumerAffairs, BestCompany, Google, SolarReviews and EnergySage reviews scores as of 10/1/22
Financial Highlights
| ($ Millions, except percentages, residential customers, and per-share data) | 3rd Quarter 2022 | 2nd Quarter 2022 | 3rd Quarter 2021 |
| GAAP revenue from continuing operations | $475.7 | $417.8 | $283.3 |
| GAAP gross margin from continuing operations | 22.2 % | 19.5 % | 22.0 % |
| GAAP net income (loss) from continuing operations | $139.4 | $(42.5) | $(72.7) |
| GAAP net income (loss) from continuing operations per diluted share | $0.74 | $(0.24) | $(0.42) |
| Non-GAAP revenue from continuing operations1 | $469.8 | $414.1 | $281.6 |
| Non-GAAP gross margin from continuing operations1 | 22.8 % | 21.3 % | 22.4 % |
| Non-GAAP net income (loss) from continuing operations1 | $23.6 | $5.2 | $20.4 |
| Non-GAAP net income (loss) from continuing operations per diluted share1 | $0.13 | $0.03 | $0.12 |
| Adjusted EBITDA1 | $32.6 | $15.2 | $26.3 |
| Residential customers | 486,700 | 463,600 | 390,200 |
| Cash2 | $396.5 | $206.4 | $260.5 |
| The sale of our C&I Solutions business met the criteria for classification as “discontinued operations” in accordance with the guidance in ASC 205-20, Discontinued Operations, beginning the first quarter of fiscal 2022. For all periods presented, the financial results of C&I Solutions are excluded in the table above. |
| 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 |
2022 Financial Outlook
SunPower affirmed prior 2022 guidance of $2,000-$2,400 Adjusted EBITDA per customer and 73,000-80,000 incremental customers, resulting in $90-$110 million Adjusted EBITDA for the year.
