Photovoltaic panel manufacturer Maxeon Solar Technologies Ltd. reported annual revenue of $509mn for 2024, down from $1.12bn in 2023—a 55% decrease—according to a statement released on April 30. This decline is primarily linked to the exclusion of several of the company’s products from the U.S. market by customs authorities, which also led to a 52% drop in global shipment volumes.
Customs ban and legal proceedings
Since July 2024, Maxeon 3, Maxeon 6, and Performance 6 models have been barred from entering the U.S. by U.S. Customs and Border Protection (CBP), in connection with the Uyghur Forced Labor Prevention Act (UFLPA). Chief Executive Officer George Guo stated that the company submitted complete supply chain documentation, yet CBP provided no justification for the continued ban. Maxeon has filed a legal action with the U.S. Court of International Trade to challenge the decision.
Simultaneously, the company has launched a reorganisation of its operations, aimed at building new supply chains and prioritising U.S.-based component suppliers. This strategic shift is intended to strengthen the company’s industrial resilience and improve its competitiveness in the American market.
International divestments and financial adjustment
In the first quarter of 2024, Maxeon finalised the divestment of its assets in the Philippines and of its non-U.S. operations. Chief Financial Officer Dmitri Hu noted that these divestments provided liquidity and reduced interest burdens through renegotiated debt schedules. These steps are part of a broader financial transformation strategy.
The company has also suspended the issuance of financial guidance, citing a volatile macroeconomic environment. Maxeon will no longer report quarterly earnings and will instead adopt a semi-annual reporting format in line with its status as a foreign private issuer. Financial results will be disclosed via the Form 20-F in compliance with Nasdaq listing requirements.
Deterioration of financial performance
Net loss attributable to shareholders reached $614.3mn in 2024, compared to $275.8mn in 2023. Gross profit was negative $249.4mn, down from a gross profit of $78.1mn the previous year. Operating expenses rose to $327.2mn, representing a 10% year-over-year increase.
In the fourth quarter, revenue dropped 79% year-on-year to $48.8mn, with shipments falling to 211 MW from 653 MW in the same period last year. Adjusted EBITDA for the quarter stood at -$74.9mn. Management stated that ongoing cost-cutting and streamlining efforts are underway to return the company to a sustainable profitability path over the medium term.
