SolarCity reported lower-than-expected earnings for the latest quarter on Tuesday. Though the solar company reported growth in revenues, the results dragged down the entire solar energy industry. The costly customer acquisition and ramp-up of these companies’ operations have left investors impatient, and it showed in their stock prices.
Unsettling trend for SolarCity
It has happened for the third time consecutively that SolarCity’s shares plunged after it released its latest results. This time, it reported a net loss attributable to shareholders of $25 million or 25 cents per share, while for the same quarter last year, it reported a loss of $21.5 million or 22 cents per share.
For the first quarter, the solar power systems provider’s revenues rose 81.6% to $122.6 million. Total operating expenses last year were at $147.4 million, and now, they have increased to $226.9 million. This pushed down SolarCity stock 18% in premarket trading.