Emeren Group Ltd (NYSE:SOL) Q3 2023 Earnings Conference Call November 21, 2023 5:00 PM ET

Company Participants

Yujia Zhai - Managing Director, The Blueshirt Group

Yumin Liu - Chief Executive Officer

Ke Chen - Chief Financial Officer

Conference Call Participants

Philip Shen - ROTH MKM

Pavel Molchanov - Raymond James & Associates

Donovan Schafer - Northland Capital Markets

Amit Dayal - HCW

Operator

Hello, ladies and gentlemen. Thank you for standing by for Emeren’s Group Limited Third Quarter 2023 Earnings Conference Call. Please note we are recording today's conference call.

I will now turn the call over to Mr. Yujia Zhai, Managing Director of Blueshirt Group. Please go ahead, Mr. Zhai.

Yujia Zhai

Thanks, operator, and hello, everyone. Thank you for joining us today to discuss our third quarter of 2023 results. We released our shareholder letter after the market closed today, and it's available on our website at ir.emeren.com. We also provided a supplemental presentation that's posted on our IR website that we will reference during our prepared remarks.

On the call with me today are Mr. Yumin Liu, Chief Executive Officer; and Mr. Ke Chen, Chief Financial Officer.

Before we continue, please turn to slide two. Let me remind you that remarks made during this call may include predictions, estimates, and other information that might be considered forward-looking. These forward-looking statements represent Emeren Group's current judgment for the future. However, they are subject to risks and uncertainties that could cause actual results of differ materials. Those risks are described under risk factors and elsewhere in Emeren Group's filings with SEC. Please do not place undue reliance on these forward-looking statements, which reflect Emeren Group's opinions only as of the date of this call. Emeren Group is not obligated to update you on any revisions to these forward-looking statements. Also, please note that unless otherwise stated, all figures mentioned during the conference call are in U.S. dollars.

With that, let me now turn the call over to Mr. Yumin Liu. Yumin?

Yumin Liu

Thank you, Yujia. Thank you everyone for joining our call today. I will start by giving you a big picture look at how we perform in the third quarter of 2023. Then I'll delve into our project pipeline and our guidance. Following that, Ke will provide a detailed rundown of our financial results for Q3.

We closed Q3 with revenue of $13.9 million, gross margin of 40.8%, and net loss of $9.4 million. Our revenue was below our guidance, mainly due to the timing of our final government approval for our 53 megawatt solar NTP product portfolio in Hungary. We expected to receive the approval based on the government official processing timeline before mid-August. Had we received approval within their standard timeline? Our revenue would have been near the low-end of our guidance range.