- SunPower Corporation is a developer and operator of renewable energy, operating in more than 100 countries.
- The once-mighty $10 billion company filed for bankruptcy protection in a Delaware court on August 5, 2024.
- At the end of 2023, SunPower had almost as much debt ($1.1 billion) as assets ($1.2 billion).
Read more
Furniture giant files for bankruptcy after 46 years. Stores are being closed
SunPower – 40 years in the renewable energy market
SunPower Corporation is a renewable energy developer and operator operating in more than 100 countries. The once-mighty Richmond-based company filed for bankruptcy protection in a Delaware court on August 5, 2024. That spells the end of business as usual for the 40-year-old company as it tries to find buyers for its assets, repay creditors and neutralize customer uncertainty.
Founded in 1985 by a Stanford University professor, the company has been a leader in the photovoltaic industry for the past two decades, helping build the largest U.S. solar plant, Solar Star, and installing solar panels on more than 100,000 homes.
Solar technology is improving energy efficiency in supermarkets. Solar energy management systems are also used in energy-intensive wine production, eco-tourism, ecological residential and commercial facilities, and buildings with a positive energy balance.
SunPower was valued at $10 billion as recently as January 2021, helped by the expansion of its renewable energy program to include residential solar panels. But the company’s value has fallen sharply since then, and this year has been particularly difficult. The company hasn’t filed financial reports since December, saying it lost money in the most recent quarter. The announcement said there was “substantial doubt about its ability to continue as a going concern due to the accumulation of debt.”
Specialist media commented that at a time when the US and other governments were supporting investments in the production of solar panels, the company's achievements were undone by the power of Chinese industrial policy in the race to reduce costs and its own strategic mistakes.
In July 2024, SunPower informed its dealers that it would completely stop shipping solar panel systems (Photo: Shutterstock / Sherif M. Alyamany)
SunPower – almost as much debt as assets
The company’s collapse didn’t come without warning signs. In recent years, SunPower has been plagued by accounting errors, having to restate several quarters of its financial results, numerous investor lawsuits, and accusations of violating a credit agreement.
In April of this year, CEO Tom Werner announced the layoff of 1,000 employees and the end of direct sales and the residential installation program. In July, management informed its dealers that it was completely ceasing deliveries of solar panel systems. It also announced plans to cut another 290 jobs.
According to information submitted to the Securities and Exchange Commission, SunPower achieved a profit of $ 471.8 million in 2021, but lost $ 47.4 million the following year. In 2023, the American company achieved sales of $ 1.7 billion, generating a loss of $ 247 million. High interest rates on loans and changes in subsidies have a negative impact on the entire sector, experts point out.
The bankruptcy filing details the bankrupt’s dire financial situation. At the end of 2023, SunPower had almost as much debt ($1.1 billion) as assets ($1.2 billion). The debts include significant amounts owed to various companies, including $15.4 million to Zyxel Communications, $4 million to Fremont-based Enphase Energy, $3 million to Google and $3 million to Leonard Roofing.
SunPower Corporation is a US company operating in the energy market. In 1985, it began designing and then producing crystalline silicon photovoltaic cells, which are used to make roof tiles and solar panels for residential and commercial buildings. In 2019, the photovoltaic technology was spun off into Maxeon Solar Technologies. This company was created on the basis of a division of the American corporation SunPower. It manufactures and distributes products in over 100 countries through a global sales network of over 1,100 partners.
