SolarCity Misses On Q4 EPS Expectations

SolarCity Corp SCTY reported fourth quarter financial results Wednesday.

Revenue came in at $71.808 million, in line with estimates of $71.75 million and above the $47.30 million reported in the year-ago period.

The company reported a net loss of $141.43 million compared to a net loss of $39.79 million the prior year period.

The adjusted Non-GAAP Net Loss was $1.33 per share, worse than estimates of a $1.27 loss per share.

The company’s letter to shareholders stated, “As of the end of 2014, we had 190k customers, $2.8 billion of solar energy systems assets capitalized on our balance sheet, and Estimated Nominal Contracted Payments Remaining of $5.0 billion. Our forecast of Retained Value for our PPAs/leases was up to $2.4 billion (and MyPower would have added an additional estimated $166 million in unlevered Retained Value).”

The company guided, on a GAAP basis, Q1 Operating Lease and Solar Energy Systems Incentive Revenue of $47 million to $52 million. Solar Energy System and Component Sale Revenue was expected to range between $6 million and $8 million for Q1.

Operating Lease and Solar Energy Systems Incentive Gross Margin is expected to range between 28-32 percent (or 37-42 percent excluding the impact of approximately $5 million in amortization of intangibles).

Driven largely by an increase in sales investment, the company expected Operating Expenses of $148 million to $156 million (including between $30 million and $35 million in non-cash amortization of intangibles and stock compensation expense).

Non-GAAP Loss Per Share (before Loss) Attributable to Noncontrolling Interests and Redeemable Noncontrolling Interests) was expected to range between ($1.65) – ($1.75).

SolarCity Corp traded at $54.51 in the after hours session, down 4.54 percent.