Published on May 10, 2018 |
by Joshua S Hill
10. May 2018 by Joshua S Hill
Vivint Solar, One of the Leading Solar Installers in the US, Announced First Quarter Results This week saw dull growth and an unexpectedly high net loss, with the result that the company's stock plunged until investors took note of California's new building regulations that will power all new residential buildings from 2020 onwards
The cost per watt for installations in the first quarter was $ 3.15. an increase of $ 2.98 in the first quarter of 2017 and $ 2.95 in the fourth quarter of 2017.
Total revenue for the quarter was $ 68.3 million, well above the 53.1 recorded in the first quarter of 2017 Million USD. but only slightly above the $ 66.8 million in the fourth quarter. The company also reported an unexpectedly high net loss for the quarter of $ 13 million, compared to a gain of $ 13 million in the first quarter of 2017 and an impressive decline of 107% from the $ 183.9 million in the fourth quarter of 2017.
In spite of everything, the company management was enthusiastic about the current position and future of the company. David Bywater, Chief Executive Officer of Vivint Solar commented: "The first quarter was expected to be just over 40 megawatts in line with our forecast, and we continue to look forward to a positive development in the business, looking forward to the second quarter and For the rest of the year, I have the impression that the enthusiasm at Vivint Solar has been an all-time high since I took office. "
Despite management's trust, investors were less impressed and Vivint Solar shares fell 10% than the previous year The trade opened and untethering went on for several hours before the trust was restored after the California Energy Commission (CEC) had decided to build solar installations on all new residential buildings from 2020 onwards.
The news was not a surprise, with several reports leading up to the Wednesday commission meeting that predicted that CEC would unanimously approve the changes to the  2019 Building Energy Efficiency Standards on Wednesday That would require all new residential buildings to install solar panels or to connect with a community solar project. And as predicted, the Commission agreed to the changes, which also include energy storage and energy efficiency requirements and encouragement.
"This is an indisputably historic decision for the state and the US California has long been the largest solar champion in our nation and its massive deployment of solar energy has brought enormous economic and environmental benefits, including billions of dollars in investment the state, "said Abigail Ross Hopper, president and CEO of SEIA in response to the news. "Now California is once again taking bold leadership, recognizing that solar energy should be as commonplace as the front door that welcomes you home."
Vivint Solar also praised the efforts and congratulated "the State of California, which laid the groundwork for adopting a forward-looking approach to its renewable energy initiatives."
"Following a unanimous vote, we believe this to be a A good first step that all homeowners should support: helping households produce clean energy and using smart home products is a win-win for consumers, local air quality, and a greener world. "Vivint Solar welcomes The California Energy Commission's decision to evolve and continue to provide Californian residents with solar power and batteries California has demonstrated its commitment to building a clean, energy-driven future, and we hope its leadership will inspire other states to follow suit follow. "
In the course of the Announcing the CEC, Vivint Solar's share price returned to traditional levels. but it's probably a wake up call for the company, which will shake a few nerves.