Table of Contents _________________________________________ Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol Name of exchange on which registered Common Stock, $0.001 par value per share SPWR The Nasdaq Stock Market LLC UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 1, 2023 OR ☐ TRANSITION REPORT PURS ...

SunPower Corporation (NASDAQ:SPWR) Q3 2023 Earnings Conference Call November 1, 2023 8:00 AM ET Company Participants Mike Weinstein - Vice President, Investor Relations Peter Faricy - Chief Executive Officer Beth Eby - Chief Financial Officer Conference Call Participants Tristan Richardson - Scotiabank Colin Rusch - Oppenheimer & Company, Inc. Philip Shen - Roth MKM Pavel Molchanov - Raymond James Joseph Osha - Guggenheim Brian Lee - Goldman Sachs Ben Kallo - Baird Jon Windham - UBS Julien Dumoulin-Smith - ...

November 1, 2023 SunPower Confidential and Proprietary | © 2023 SunPower Corporation Safe Harbor Statement This presentation contains forward-looking statements within the meaning of (1) regulatory changes and the availability of economic incentives promoting use of solar the Private Securities Litigation Reform Act of 1995, including, but not limited to, energy; (2) potential disruptio ...

Table of Contents _________________________________________ Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol Name of exchange on which registered Common Stock, $0.001 par value per share SPWR The Nasdaq Stock Market LLC UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended July 2, 2023 OR ☐ TRANSITION REPORT PURSUAN ...

SunPower Corporation (NASDAQ:SPWR) Q2 2023 Earnings Conference Call August 1, 2023 8:00 AM ET Company Participants Mike Weinstein - Vice President, Investor Relations Peter Faricy - Chief Executive Officer Beth Eby - Executive Vice President and Chief Financial Officer Conference Call Participants Sean Morgan - Evercore ISI Tristan Richardson - Scotiabank Pavel Molchanov - Raymond James Philip Shen - Roth MKM Kashy Harrison - Piper Sandler Michael Blum - Wells Fargo Andrew Percoco - Morgan Stanley Brian Lee ...

Aug 1, 2023 ...

SunPower Corporation (NASDAQ:SPWR) Q1 2023 Earnings Conference Call May 3, 2023 8:00 AM ET Company Participants Mike Weinstein - Vice President of Investor Relations Peter Faricy - Chief Executive Officer Guthrie Dundas - Interim Chief Financial Officer Conference Call Participants Kashy Harrison - Piper Sandler Sean Morgan - Evercore ISI Julien Dumoulin-Smith - Bank of America Ben Kallo - Baird Tristan Richardson - Scotiabank Philip Shen - Roth MKM Andrew Percoco - Morgan Stanley Biju Perincheril - Susqueh ...

Table of Contents _________________________________________ Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol Name of exchange on which registered Common Stock, $0.001 par value per share SPWR The Nasdaq Stock Market LLC UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 2, 2023 OR ☐ TRANSITION REPORT PURSUA ...

```markdown [Part I.](index=5&type=section&id=Part%20I.) This section covers the company's business overview, risk factors, properties, and legal disclosures [Item 1. Business](index=6&type=section&id=Item%201.%20Business) SunPower is a leading solar and energy services provider in the U.S. and Canada, offering integrated solutions and adapting to regulatory shifts - SunPower is a leading solar technology and energy services provider in the U.S. and Canada, offering fully integrated solar, storage, and home energy solutions[22](index=22&type=chunk) - The company's strategy is built on five pillars: Customer Care, Products, Growth (multi-channel), Digital Innovation, and Financial Solutions[22](index=22&type=chunk) - Completed the sale of its Commercial and Industrial Solutions (C&I Solutions) business for a preliminary purchase price of **$190.0 million**, receiving net cash consideration of **$149.2 million**[25](index=25&type=chunk) - The Inflation Reduction Act (IRA) was enacted, expanding and extending the solar investment tax credit (ITC) to **30%** for eligible solar and standalone battery storage systems through 2032, which is favorable to the business[27](index=27&type=chunk)[28](index=28&type=chunk) - The new net energy metering program (NEM 3.0) in California, effective April 15, 2023, is expected to increase demand for solar systems with battery storage due to reduced utility bill savings for solar-only systems[31](index=31&type=chunk) - Launched SunPower Financial in fiscal 2021 to offer a complete range of financing products, including loans and leases, to make renewable energy more affordable and accessible[39](index=39&type=chunk) - The majority of solar panels are sourced from Maxeon Solar under a master supply agreement, with diversification efforts including Waaree Energies Ltd. and Hanwha Qcells[42](index=42&type=chunk) - As of January 1, 2023, SunPower held **238 patents** in the United States and **202 patents** in foreign jurisdictions, with additional applications pending[56](index=56&type=chunk) Employee Headcount as of January 1, 2023 | Category | Number of Employees | | :----------------------- | :------------------ | | Full-time employees | 4,710 | | - United States | 3,480 | | - Philippines | 1,230 | | Engaged in construction | 2,725 | | Research and development | 100 | | Sales and marketing | 1,415 | | General and administrative | 470 | | Contractors | 2,280 | [Corporate History](index=6&type=section&id=Corporate%20History) [Company Overview](index=6&type=section&id=Company%20Overview) [Recent Developments](index=7&type=section&id=Recent%20Developments) [Sale of the C&I Solutions Business](index=7&type=section&id=Sale%20of%20the%20C%26I%20Solutions%20Business) [Inflation Reduction Act of 2022 ("IRA")](index=7&type=section&id=Inflation%20Reduction%20Act%20of%202022%20%28%22IRA%22%29) [Segment Information](index=7&type=section&id=Segment%20Information) [Our COVID-19 Response](index=8&type=section&id=Our%20COVID-19%20Response) [Outlook](index=8&type=section&id=Outlook) [Solutions](index=8&type=section&id=Solutions) [OneRoof®](index=9&type=section&id=OneRoof%C2%AE) [SunVault™ Storage](index=9&type=section&id=SunVault%E2%84%A2%20Storage) [Flexible Financing Options](index=9&type=section&id=Flexible%20Financing%20Options) [Supply](index=10&type=section&id=Supply) [Technology](index=10&type=section&id=Technology) [Energy Management Services](index=10&type=section&id=Energy%20Management%20Services) [Inverters](index=10&type=section&id=Inverters) [Warranties](index=11&type=section&id=Warranties) [Customers](index=11&type=section&id=Customers) [Competition](index=11&type=section&id=Competition) [Intellectual Property](index=12&type=section&id=Intellectual%20Property) [Regulations](index=13&type=section&id=Regulations) [Public Policy Considerations](index=13&type=section&id=Public%20Policy%20Considerations) [Environmental, Social, Governance ("ESG")](index=14&type=section&id=Environmental%2C%20Social%2C%20Governance%20%28%22ESG%22%29) [Information concerning certain limited activities related to Iran](index=14&type=section&id=Information%20concerning%20certain%20limited%20activities%20related%20to%20Iran) [Exploration & Production](index=14&type=section&id=Exploration%20%26%20Production) [Gas, Renewables & Power](index=15&type=section&id=Gas%2C%20Renewables%20%26%20Power) [Marketing & Services](index=15&type=section&id=Marketing%20%26%20Services) [Patents & Trademarks](index=16&type=section&id=Patents%20%26%20Trademarks) [Seasonal Trends and Economic Incentives](index=16&type=section&id=Seasonal%20Trends%20and%20Economic%20Incentives) [Human Capital Management](index=16&type=section&id=Human%20Capital%20Management) [How SunPower develops, attracts, and retains personnel](index=16&type=section&id=How%20SunPower%20develops%2C%20attracts%2C%20and%20retains%20personnel) [The importance of diversity, equity, and inclusion](index=17&type=section&id=The%20importance%20of%20diversity%2C%20equity%2C%20and%20inclusion) [A strong safety culture](index=17&type=section&id=A%20strong%20safety%20culture) [Available Information](index=17&type=section&id=Available%20Information) [Item 1A. Risk Factors](index=18&type=section&id=Item%201A.%20Risk%20Factors) The company faces diverse risks including pandemic impacts, financing dependency, operational challenges, supply chain issues, and regulatory changes - The COVID-19 pandemic continues to adversely affect business operations, demand, supply chains, and customer purchasing ability[86](index=86&type=chunk)[87](index=87&type=chunk)[88](index=88&type=chunk) - Growth strategy is highly dependent on the continued availability of third-party financing and SunPower Financial's ability to provide direct financing, which is sensitive to general economic conditions and interest rates[105](index=105&type=chunk)[106](index=106&type=chunk)[109](index=109&type=chunk) - Changes in international trade policies, tariffs (e.g., Section 201, Section 301, AD/CVD duties), or trade disputes could significantly increase product prices and reduce demand[100](index=100&type=chunk)[101](index=101&type=chunk)[103](index=103&type=chunk) - Reduction, modification, or elimination of government incentives (e.g., solar investment tax credit, net metering) could cause revenue to decline and harm financial results[123](index=123&type=chunk)[124](index=124&type=chunk) - Dependence on a limited number of suppliers for critical components (solar modules, microinverters, storage solutions) exposes the company to risks of shortages, interruptions, delays, and price changes[155](index=155&type=chunk)[156](index=156&type=chunk)[157](index=157&type=chunk) - Quality issues with solar and related products, such as the third-party connector issue in fiscal 2021 (**$19.8 million** in repair costs), can decrease sales, profit, and harm reputation[164](index=164&type=chunk)[165](index=165&type=chunk) - Substantial indebtedness of approximately **$507.6 million** as of January 1, 2023, and debt service requirements could adversely affect business operations and financial condition[149](index=149&type=chunk) - Total and GIP's ownership of approximately **50.5%** of common stock gives them significant influence and control, potentially limiting other stockholders' influence and affecting stock liquidity[209](index=209&type=chunk)[211](index=211&type=chunk) - As of January 1, 2023, the company had federal net operating loss carryforwards of **$147.3 million** and California state net operating loss carryforwards of **$638.1 million**, subject to limitations on utilization[222](index=222&type=chunk)[583](index=583&type=chunk) [Risks Related to COVID-19 Pandemic](index=18&type=section&id=Risks%20Related%20to%20COVID-19%20Pandemic) [Risks Related to the Spin-Off](index=18&type=section&id=Risks%20Related%20to%20the%20Spin-Off) [Risks Related to Our Sales Channels](index=19&type=section&id=Risks%20Related%20to%20Our%20Sales%20Channels) [Risks Related to Our Liquidity](index=28&type=section&id=Risks%20Related%20to%20Our%20Liquidity) [Risks Related to Our Supply Chain](index=30&type=section&id=Risks%20Related%20to%20Our%20Supply%20Chain) [Risks Related to Our Operations](index=32&type=section&id=Risks%20Related%20to%20Our%20Operations) [Risks Related to Our Intellectual Property](index=38&type=section&id=Risks%20Related%20to%20Our%20Intellectual%20Property) [Risks Related to Our Equity Securities](index=40&type=section&id=Risks%20Related%20to%20Our%20Equity%20Securities) [General Risk Factors](index=43&type=section&id=General%20Risk%20Factors) [Item 1B. Unresolved Staff Comments](index=47&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) There are no unresolved staff comments to report - No unresolved staff comments[250](index=250&type=chunk) [Item 2. Properties](index=47&type=section&id=Item%202.%20Properties) SunPower's principal properties are leased corporate headquarters and global support offices in various U.S. states and the Philippines Principal Properties as of January 1, 2023 | Facility | Location | Square Footage | Ownership | Year When Lease Term Ends | | :----------------------- | :----------------------- | :------------- | :-------- | :------------------------ | | Corporate headquarters | California, U.S. | 163,000 | Leased | 2023 | | Global support offices | Texas, U.S. | 46,000 | Leased | 2024 | | Global support offices | Texas, U.S. | 23,000 | Leased | 2024 | | Global support offices | Philippines | 129,000 | Leased | 2026 | | Global support offices | Utah, U.S. | 54,169 | Leased | 2027 | | Global support offices | Georgia, U.S. | 2,000 | Leased | 2023 | | Global support offices | North Carolina, U.S. | 2,000 | Leased | 2023 | | Global support offices | Washington, U.S. | 17,969 | Leased | 2027 | [Item 3. Legal Proceedings](index=48&type=section&id=Item%203.%20Legal%20Proceedings) Legal proceedings information is incorporated by reference from Note 9 to the Consolidated Financial Statements - Legal proceedings disclosure is incorporated by reference from Note 9. Commitments and Contingencies-Legal Matters[252](index=252&type=chunk) [Item 4. Mine Safety Disclosures](index=48&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to SunPower Corporation - Mine Safety Disclosures are not applicable[253](index=253&type=chunk) [Part II.](index=47&type=section&id=Part%20II.) This section provides financial market information, management's discussion and analysis, market risk disclosures, and audited financial statements [Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=48&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) SunPower's common stock is listed on Nasdaq, with approximately 575 holders, and no cash dividends are planned due to debt restrictions - Common stock is listed on the Nasdaq Global Select Market under the trading symbol "SPWR"[253](index=253&type=chunk) - As of March 3, 2023, there were approximately **575** holders of record of common stock[253](index=253&type=chunk) - The company has never declared or paid cash dividends and does not intend to in the foreseeable future, with debt agreements restricting such payments[254](index=254&type=chunk) Issuer Purchases of Equity Securities (October 3, 2022 - January 1, 2023) | Period | Total Number of Shares Purchased | Average Price Per Share ($) | | :------------------------------------- | :------------------------------- | :-------------------------- | | October 3, 2022 through October 30, 2022 | 11,999 | 22.98 | | October 31, 2022 through November 27, 2022 | 28,160 | 17.53 | | November 28, 2022 through January 1, 2023 | 7,313 | 23.72 | | **Total** | **47,472** | | - Shares purchased represent shares surrendered to satisfy tax withholding obligations in connection with the vesting of restricted stock issued to employees[256](index=256&type=chunk) [Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=48&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenues increased significantly in fiscal 2022, driven by organic growth and acquisitions, with improved net income and strong liquidity - Total revenues increased by **54%** in fiscal 2022 compared to fiscal 2021, primarily due to higher volume in organic residential business across all channels and the acquisition of Blue Raven[264](index=264&type=chunk) - Total cost of revenues increased by **53%** in fiscal 2022 due to organic revenue growth, the Blue Raven acquisition, and rising material, freight, and labor costs[267](index=267&type=chunk) - Gross margin remained fairly constant at **21%** in fiscal 2022 compared to **20%** in fiscal 2021[263](index=263&type=chunk)[268](index=268&type=chunk) - SG&A expenses increased by **$135.2 million** in fiscal 2022, driven by the Blue Raven acquisition, strategic hiring, increased investments in subscriptions/licenses/consulting, and higher marketing/advertising expenses[272](index=272&type=chunk) - Net income from continuing operations attributable to stockholders was **$102.4 million** in fiscal 2022, a significant increase from **$6.1 million** in fiscal 2021[263](index=263&type=chunk) - Other income, net, increased by **$93.1 million** in fiscal 2022, primarily due to a **$115.2 million** gain on an equity investment with readily determinable fair value[284](index=284&type=chunk) - Income tax benefit of **$8.2 million** in fiscal 2022 was primarily due to the reversal of deferred taxes for California following Senate Bill 113, which restored the ability to utilize net operating losses[285](index=285&type=chunk) - Net cash used in operating activities increased by **$137.0 million** in fiscal 2022, primarily due to changes in operating assets and liabilities, including increased prepaid expenses, deferred revenue, and inventories[313](index=313&type=chunk) - Net cash provided by investing activities increased by **$438.7 million** in fiscal 2022, mainly from cash received from the sale of equity investments and the C&I Solutions business[315](index=315&type=chunk) - As of January 1, 2023, unrestricted cash and cash equivalents were **$377.0 million**, up from **$123.7 million** as of January 2, 2022[318](index=318&type=chunk) - The company repaid **$425.0 million** of **4.00%** debentures due 2023 on January 17, 2023, using cash on hand, proceeds from Enphase stock sales, and a **$100.0 million** draw from its Term Loan Facility[321](index=321&type=chunk)[453](index=453&type=chunk) Consolidated Statements of Operations Summary (Fiscal Years Ended) | Metric (in thousands) | January 1, 2023 | January 2, 2022 | January 3, 2021 | | :-------------------- | :-------------- | :-------------- | :-------------- | | Total revenues | $1,741,072 | $1,132,029 | $870,017 | | Total cost of revenues | $1,377,169 | $902,718 | $733,371 | | Gross profit | $363,903 | $229,311 | $136,646 | | Operating income (loss) | $(492) | $14,754 | $(7,546) | | Net income (loss) from continuing operations attributable to stockholders | $102,358 | $6,101 | $600,381 | Cash Flows Summary (Fiscal Years Ended) | Metric (in thousands) | January 1, 2023 | January 2, 2022 | January 3, 2021 | | :---------------------------------------- | :-------------- | :-------------- | :-------------- | | Net cash (used in) provided by operating activities | $(181,482) | $(44,476) | $(187,391) | | Net cash provided by (used in) investing activities | $492,971 | $54,294 | $129,190 | | Net cash (used in) provided by financing activities | $(58,070) | $(108,009) | $(153,852) | [Overview](index=49&type=section&id=Overview) [Recent Developments](index=49&type=section&id=Recent%20Developments) [Recent Accounting Pronouncements](index=49&type=section&id=Recent%20Accounting%20Pronouncements) [Results of Operations](index=50&type=section&id=Results%20of%20Operations) [Total Revenues](index=50&type=section&id=Total%20Revenues) [Total Cost of Revenues and Gross Margin](index=51&type=section&id=Total%20Cost%20of%20Revenues%20and%20Gross%20Margin) [Research and Development ("R&D")](index=51&type=section&id=Research%20and%20Development%20%28%22R%26D%22%29) [Sales, General, and Administrative ("SG&A")](index=52&type=section&id=Sales%2C%20General%2C%20and%20Administrative%20%28%22SG%26A%22%29) [Restructuring charges (credits)](index=52&type=section&id=Restructuring%20charges%20%28credits%29) [(Gain) loss on sale and impairment of residential lease assets](index=52&type=section&id=%28Gain%29%20loss%20on%20sale%20and%20impairment%20of%20residential%20lease%20assets) [(Gain) loss on business divestitures, net](index=53&type=section&id=%28Gain%29%20loss%20on%20business%20divestitures%2C%20net) [Expense (income) from transition services agreement, net](index=53&type=section&id=Expense%20%28income%29%20from%20transition%20services%20agreement%2C%20net) [Other Income (Expense), Net](index=53&type=section&id=Other%20Income%20%28Expense%29%2C%20Net) [Income Taxes](index=54&type=section&id=Income%20Taxes) [Equity in earnings (losses) of unconsolidated investees](index=55&type=section&id=Equity%20in%20earnings%20%28losses%29%20of%20unconsolidated%20investees) [Net Loss (Income) Attributable to Noncontrolling Interests](index=55&type=section&id=Net%20Loss%20%28Income%29%20Attributable%20to%20Noncontrolling%20Interests) [Critical Accounting Estimates](index=55&type=section&id=Critical%20Accounting%20Estimates) [Revenue Recognition](index=56&type=section&id=Revenue%20Recognition) [Solar Power Systems and Component Sales](index=56&type=section&id=Solar%20Power%20Systems%20and%20Component%20Sales) [Accounting for Business Combinations](index=56&type=section&id=Accounting%20for%20Business%20Combinations) [Product Warranties](index=56&type=section&id=Product%20Warranties) [Inventories](index=57&type=section&id=Inventories) [Retail installment contract receivables, net](index=57&type=section&id=Retail%20installment%20contract%20receivables%2C%20net) [Accounting for Income Taxes](index=57&type=section&id=Accounting%20for%20Income%20Taxes) [Liquidity and Capital Resources](index=58&type=section&id=Liquidity%20and%20Capital%20Resources) [Cash Flows](index=58&type=section&id=Cash%20Flows) [Operating Activities](index=58&type=section&id=Operating%20Activities) [Investing Activities](index=58&type=section&id=Investing%20Activities) [Financing Activities](index=59&type=section&id=Financing%20Activities) [Debt and Credit Sources](index=59&type=section&id=Debt%20and%20Credit%20Sources) [Liquidity](index=59&type=section&id=Liquidity) [Contractual Obligations](index=60&type=section&id=Contractual%20Obligations) [Liabilities Associated with Uncertain Tax Positions](index=60&type=section&id=Liabilities%20Associated%20with%20Uncertain%20Tax%20Positions) [Item 7A. Quantitative and Qualitative Disclosures About Market Risk](index=59&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to credit, interest rate, and equity price risks, particularly from customer financing and Enphase stock investments - Exposed to credit risk from customer payment delinquencies on retail installment contracts, with an average FICO score of **740+** for customers as of January 1, 2023[329](index=329&type=chunk) - Interest rate risk is significant due to reliance on debt financing for customers and long-term financing receivables. A hypothetical **50 basis points** increase/decrease in market interest rates would change the fair value of receivables by approximately **$3.6 million**/**$3.4 million**[330](index=330&type=chunk) - Recorded a gain of **$115.2 million** on Enphase common stock in fiscal 2022 and sold **two million shares** for **$440.1 million**. Retained **0.5 million shares** as of January 1, 2023, which were subsequently sold for **$121.7 million** in January 2023[332](index=332&type=chunk)[492](index=492&type=chunk)[493](index=493&type=chunk) - Outstanding convertible debentures of **$425.0 million** (**4.00%** due 2023) were repaid on January 17, 2023[334](index=334&type=chunk)[453](index=453&type=chunk) [Credit Risk](index=59&type=section&id=Credit%20Risk) [Interest Rate Risk](index=61&type=section&id=Interest%20Rate%20Risk) [Equity Price Risk Involving Minority Investments in Joint Ventures and Other Public and Non-Public Companies](index=61&type=section&id=Equity%20Price%20Risk%20Involving%20Minority%20Investments%20in%20Joint%20Ventures%20and%20Other%20Public%20and%20Non-Public%20Companies) [Interest Rate Risk and Market Price Risk Involving Debt](index=62&type=section&id=Interest%20Rate%20Risk%20and%20Market%20Price%20Risk%20Involving%20Debt) [Item 8. Financial Statements and Supplementary Data](index=62&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents audited consolidated financial statements, including balance sheets, statements of operations, and cash flows - Ernst & Young LLP issued an **unqualified opinion** on the consolidated financial statements for the period ended January 1, 2023, and on the **effectiveness** of internal control over financial reporting[339](index=339&type=chunk)[348](index=348&type=chunk) - A **critical audit matter** identified was the high degree of subjectivity in auditing the company's standard product warranty statistical model due to limited historical data and sensitivity of assumptions[344](index=344&type=chunk) Consolidated Balance Sheets Summary (in thousands) | Metric | January 1, 2023 | January 2, 2022 | | :---------------------- | :-------------- | :-------------- | | Total current assets | $1,268,514 | $1,073,466 | | Total assets | $1,780,007 | $1,554,806 | | Total current liabilities | $1,050,346 | $509,596 | | Total liabilities | $1,204,353 | $1,164,782 | | Total equity | $575,654 | $390,024 | Consolidated Statements of Operations Summary (in thousands) | Metric (in thousands) | January 1, 2023 | January 2, 2022 | January 3, 2021 | | :-------------------- | :-------------- | :-------------- | :-------------- | | Total revenues | $1,741,072 | $1,132,029 | $870,017 | | Gross profit | $363,903 | $229,311 | $136,646 | | Operating (loss) income | $(492) | $14,754 | $(7,546) | | Net income (loss) from continuing operations | $107,034 | $5,956 | $599,194 | | Net income (loss) attributable to stockholders | $56,037 | $(37,358) | $475,048 | Consolidated Statements of Cash Flows Summary (in thousands) | Metric (in thousands) | January 1, 2023 | January 2, 2022 | January 3, 2021 | | :---------------------------------------- | :-------------- | :-------------- | :-------------- | | Net cash (used in) provided by operating activities | $(181,482) | $(44,476) | $(187,391) | | Net cash provided by (used in) investing activities | $492,971 | $54,294 | $129,190 | | Net cash (used in) provided by financing activities | $(58,070) | $(108,009) | $(153,852) | | Cash, cash equivalents, and restricted cash, end of period | $402,032 | $148,613 | $246,804 | [Report of Independent Registered Public Accounting Firm](index=63&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm) [Opinion on the Financial Statements](index=63&type=section&id=Opinion%20on%20the%20Financial%20Statements) [Basis for Opinion](index=63&type=section&id=Basis%20for%20Opinion) [Critical Audit Matter](index=63&type=section&id=Critical%20Audit%20Matter) [Report of Independent Registered Public Accounting Firm (Internal Control)](index=64&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm%20%28Internal%20Control%29) [Opinion on Internal Control over Financial Reporting](index=64&type=section&id=Opinion%20on%20Internal%20Control%20over%20Financial%20Reporting) [Basis for Opinion (Internal Control)](index=64&type=section&id=Basis%20for%20Opinion%20%28Internal%20Control%29) [Definition and Limitations of Internal Control Over Financial Reporting](index=65&type=section&id=Definition%20and%20Limitations%20of%20Internal%20Control%20Over%20Financial%20Reporting) [Consolidated Balance Sheets](index=66&type=section&id=Consolidated%20Balance%20Sheets) [Consolidated Statements of Operations](index=69&type=section&id=Consolidated%20Statements%20of%20Operations) [Consolidated Statements of Comprehensive Income (Loss)](index=71&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20%28Loss%29) [Consolidated Statements of Equity](index=72&type=section&id=Consolidated%20Statements%20of%20Equity) [Consolidated Statements of Cash Flows](index=74&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) [Notes to the Consolidated Financial Statements](index=76&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) [Note 1. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES](index=76&type=section&id=Note%201.%20ORGANIZATION%20AND%20SUMMARY%20OF%20SIGNIFICANT%20ACCOUNTING%20POLICIES) [Organization](index=76&type=section&id=Organization) [Liquidity](index=77&type=section&id=Liquidity) [Basis of Presentation and Preparation](index=77&type=section&id=Basis%20of%20Presentation%20and%20Preparation) [Management Estimates](index=77&type=section&id=Management%20Estimates) [Summary of Significant Accounting Policies](index=77&type=section&id=Summary%20of%20Significant%20Accounting%20Policies) [Note 2. DISCONTINUED OPERATIONS](index=85&type=section&id=Note%202.%20DISCONTINUED%20OPERATIONS) [Note 3. TRANSACTIONS WITH TOTAL AND TOTALENERGIES SE](index=87&type=section&id=Note%203.%20TRANSACTIONS%20WITH%20TOTAL%20AND%20TOTALENERGIES%20SE) [Affiliation Agreement](index=88&type=section&id=Affiliation%20Agreement) [Cooperation Agreement](index=88&type=section&id=Cooperation%20Agreement) [4.00% Debentures Due 2023](index=89&type=section&id=4.00%25%20Debentures%20Due%202023) [Related-Party Transactions with Total and its Affiliates:](index=89&type=section&id=Related-Party%20Transactions%20with%20Total%20and%20its%20Affiliates%3A) [Note 4. REVENUE FROM CONTRACTS WITH CUSTOMERS](index=90&type=section&id=Note%204.%20REVENUE%20FROM%20CONTRACTS%20WITH%20CUSTOMERS) [Disaggregation of Revenue](index=90&type=section&id=Disaggregation%20of%20Revenue) [Contract Assets and Liabilities](index=90&type=section&id=Contract%20Assets%20and%20Liabilities) [Note 5. BALANCE SHEET COMPONENTS](index=91&type=section&id=Note%205.%20BALANCE%20SHEET%20COMPONENTS) [Accounts Receivable, Net](index=91&type=section&id=Accounts%20Receivable%2C%20Net) [Allowance for Credit Losses](index=91&type=section&id=Allowance%20for%20Credit%20Losses) [Inventories](index=91&type=section&id=Inventories) [Prepaid Expenses and Other Current Assets](index=91&type=section&id=Prepaid%20Expenses%20and%20Other%20Current%20Assets) [Property, Plant and Equipment, Net](index=92&type=section&id=Property%2C%20Plant%20and%20Equipment%2C%20Net) [Other Long-term Assets](index=92&type=section&id=Other%20Long-term%20Assets) [Accrued Liabilities](index=93&type=section&id=Accrued%20Liabilities) [Other Long-term Liabilities](index=93&type=section&id=Other%20Long-term%20Liabilities) [Accumulated Other Comprehensive Income](index=93&type=section&id=Accumulated%20Other%20Comprehensive%20Income) [Note 6. GOODWILL AND OTHER INTANGIBLE ASSETS](index=93&type=section&id=Note%206.%20GOODWILL%20AND%20OTHER%20INTANGIBLE%20ASSETS) [Goodwill](index=93&type=section&id=Goodwill) [Other Intangible Assets](index=94&type=section&id=Other%20Intangible%20Assets) [Note 7. FAIR VALUE MEASUREMENTS](index=94&type=section&id=Note%207.%20FAIR%20VALUE%20MEASUREMENTS) [Assets and Liabilities Measured at Fair Value on a Recurring Basis](index=95&type=section&id=Assets%20and%20Liabilities%20Measured%20at%20Fair%20Value%20on%20a%20Recurring%20Basis) [Money market funds](index=95&type=section&id=Money%20market%20funds) [Equity investments with fair value option ("FVO")](index=95&type=section&id=Equity%20investments%20with%20fair%20value%20option%20%28%22FVO%22%29) [Level 3 significant unobservable inputs sensitivity](index=96&type=section&id=Level%203%20significant%20unobservable%20inputs%20sensitivity) [Equity investments with readily determinable fair value](index=96&type=section&id=Equity%20investments%20with%20readily%20determinable%20fair%20value) [Interest Rate Swaps](index=96&type=section&id=Interest%20Rate%20Swaps) [Equity investments without readily determinable fair value](index=97&type=section&id=Equity%20investments%20without%20readily%20determinable%20fair%20value) [Retail installment contract receivables, net](index=97&type=section&id=Retail%20installment%20contract%20receivables%2C%20net) [Note 8. RESTRUCTURING](index=97&type=section&id=Note%208.%20RESTRUCTURING) [January 2021 Restructuring Plan](index=97&type=section&id=January%202021%20Restructuring%20Plan) [December 2019 Restructuring Plan](index=98&type=section&id=December%202019%20Restructuring%20Plan) [Note 9. COMMITMENTS AND CONTINGENCIES](index=99&type=section&id=Note%209.%20COMMITMENTS%20AND%20CONTINGENCIES) [Facility and Equipment Leases](index=99&type=section&id=Facility%20and%20Equipment%20Leases) [Purchase Commitments](index=101&type=section&id=Purchase%20Commitments) [Product Warranties](index=101&type=section&id=Product%20Warranties) [Liabilities Associated with Uncertain Tax Positions](index=101&type=section&id=Liabilities%20Associated%20with%20Uncertain%20Tax%20Positions) [Indemnifications](index=102&type=section&id=Indemnifications) [Legal Matters](index=103&type=section&id=Legal%20Matters) [Class Action Lawsuit](index=103&type=section&id=Class%20Action%20Lawsuit) [Note 10. EQUITY INVESTMENTS](index=103&type=section&id=Note%2010.%20EQUITY%20INVESTMENTS) [Equity investments without readily determinable fair value](index=104&type=section&id=Equity%20investments%20without%20readily%20determinable%20fair%20value) [Variable Interest Entities ("VIEs")](index=104&type=section&id=Variable%20Interest%20Entities%20%28%22VIEs%22%29) [Unconsolidated VIEs](index=105&type=section&id=Unconsolidated%20VIEs) [Summarized Financial Information of Unconsolidated VIEs](index=105&type=section&id=Summarized%20Financial%20Information%20of%20Unconsolidated%20VIEs) [Related-Party Transactions with Investees](index=106&type=section&id=Related-Party%20Transactions%20with%20Investees) [Consolidated VIEs](index=106&type=section&id=Consolidated%20VIEs) [Note 11. DEBT AND CREDIT SOURCES](index=107&type=section&id=Note%2011.%20DEBT%20AND%20CREDIT%20SOURCES) [Convertible Debt](index=108&type=section&id=Convertible%20Debt) [September 2011 Letter of Credit Facility with Deutsche Bank and Deutsche Bank Trust Company Americas (together, "Deutsche Bank Trust")](index=108&type=section&id=September%202011%20Letter%20of%20Credit%20Facility%20with%20Deutsche%20Bank%20and%20Deutsche%20Bank%20Trust%20Company%20Americas%20%28together%2C%20%22Deutsche%20Bank%20Trust%22%29) [October 2021 Letter of Credit Facility with Bank of the West](index=108&type=section&id=October%202021%20Letter%20of%20Credit%20Facility%20with%20Bank%20of%20the%20West) [Loan Facility with Credit Suisse AG](index=108&type=section&id=Loan%20Facility%20with%20Credit%20Suisse%20AG) [Revolver and Term Loan Facility with Bank of America and Bank of the West](index=109&type=section&id=Revolver%20and%20Term%20Loan%20Facility%20with%20Bank%20of%20America%20and%20Bank%20of%20the%20West) [Note 12. RELATED-PARTY TRANSACTIONS](index=110&type=section&id=Note%2012.%20RELATED-PARTY%20TRANSACTIONS) [Note 13. INCOME TAXES](index=111&type=section&id=Note%2013.%20INCOME%20TAXES) [Valuation Allowance](index=114&type=section&id=Valuation%20Allowance) [Unrecognized Tax Benefits](index=114&type=section&id=Unrecognized%20Tax%20Benefits) [Classification of Interests and Penalties](index=115&type=section&id=Classification%20of%20Interests%20and%20Penalties) [Tax Years and Examination](index=115&type=section&id=Tax%20Years%20and%20Examination) [Note 14. COMMON STOCK](index=116&type=section&id=Note%2014.%20COMMON%20STOCK) [Voting Rights - Common Stock](index=116&type=section&id=Voting%20Rights%20-%20Common%20Stock) [Dividends - Common Stock](index=116&type=section&id=Dividends%20-%20Common%20Stock) [Shares Reserved for Future Issuance Under Equity Compensation Plans](index=116&type=section&id=Shares%20Reserved%20for%20Future%20Issuance%20Under%20Equity%20Compensation%20Plans) [Note 15. NET INCOME (LOSS) PER SHARE](index=116&type=section&id=Note%2015.%20NET%20INCOME%20%28LOSS%29%20PER%20SHARE) [Note 16. STOCK-BASED COMPENSATION](index=118&type=section&id=Note%2016.%20STOCK-BASED%20COMPENSATION) [Equity Incentive Programs](index=118&type=section&id=Equity%20Incentive%20Programs) [Restricted Stock Units](index=119&type=section&id=Restricted%20Stock%20Units) [Note 17. SUBSEQUENT EVENTS](index=119&type=section&id=Note%2017.%20SUBSEQUENT%20EVENTS) [Delaware Stockholder Derivative Action](index=119&type=section&id=Delaware%20Stockholder%20Derivative%20Action) [Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=121&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) There have been no changes in or disagreements with accountants on accounting and financial disclosure - No changes in and disagreements with accountants on accounting and financial disclosure[623](index=623&type=chunk) [Item 9A. Controls and Procedures](index=121&type=section&id=Item%209A.%20Controls%20and%20Procedures) Disclosure controls and internal control over financial reporting were effective, with an ERP system implemented in fiscal 2022 - Disclosure controls and procedures were **effective** as of January 1, 2023, at a reasonable assurance level[625](index=625&type=chunk) - Internal control over financial reporting was **effective** as of January 1, 2023, based on COSO criteria, and audited by Ernst & Young LLP[626](index=626&type=chunk)[627](index=627&type=chunk) - A new enterprise resource planning (ERP) system was implemented in fiscal 2022, modifying internal control processes, but no other material changes to internal control over financial reporting occurred[628](index=628&type=chunk) [Item 9B. Other Information](index=121&type=section&id=Item%209B.%20Other%20Information) There is no other information to report under this item - No other information to report[629](index=629&type=chunk) [Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](index=121&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20that%20Prevent%20Inspections) This item is not applicable to SunPower Corporation - Disclosure regarding foreign jurisdictions that prevent inspections is not applicable[629](index=629&type=chunk) [Part III.](index=117&type=section&id=Part%20III.) This section outlines corporate governance, executive compensation, security ownership, and related party disclosures [Item 10. Directors, Executive Officers and Corporate Governance](index=122&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Corporate governance, executive officers, and director information is incorporated by reference from the proxy statement - Information is incorporated by reference to the proxy statement for the 2023 annual meeting of stockholders[630](index=630&type=chunk) - The company has adopted a Code of Business Conduct and Ethics applicable to all directors, officers, and employees[630](index=630&type=chunk) [Item 11. Executive Compensation](index=122&type=section&id=Item%2011.%20Executive%20Compensation) Executive compensation details are incorporated by reference from the 2023 annual meeting proxy statement - Information is incorporated by reference to the proxy statement for the 2023 annual meeting of stockholders[631](index=631&type=chunk) [Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=122&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Security ownership and related stockholder matters are incorporated by reference from the proxy statement - Information is incorporated by reference to the proxy statement for the 2023 annual meeting of stockholders[631](index=631&type=chunk) [Item 13. Certain Relationships and Related Transactions, and Director Independence](index=122&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Related transactions and director independence information is incorporated by reference from the proxy statement - Information is incorporated by reference to the proxy statement for the 2023 annual meeting of stockholders[631](index=631&type=chunk) [Item 14. Principal Accountant Fees and Services](index=122&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Principal accountant fees and services information is incorporated by reference from the proxy statement - Information is incorporated by reference to the proxy statement for the 2023 annual meeting of stockholders[632](index=632&type=chunk) [Part IV.](index=117&type=section&id=Part%20IV.) This section lists all exhibits, financial statement schedules, and certifications included in the report [Item 15. Exhibits and Financial Statement Schedules](index=122&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists all exhibits, financial statement schedules, and certifications included in the report - Includes reports of Ernst & Young LLP and consolidated financial statements (Balance Sheets, Statements of Operations, Comprehensive Income (Loss), Equity, Cash Flows, and Notes)[634](index=634&type=chunk) - All financial statement schedules are omitted as the required information is inapplicable or presented in the Consolidated Financial Statements or Notes[635](index=635&type=chunk) - A comprehensive exhibit index lists various agreements, including the Separation and Distribution Agreement, Affiliation Agreement, Master Supply Agreements with Enphase and Maxeon Solar, and equity incentive plans[636](index=636&type=chunk)[637](index=637&type=chunk)[638](index=638&type=chunk) [Item 16. Form 10-K Summary](index=126&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item indicates that no summary is provided for the Form 10-K - No Form 10-K Summary is provided[641](index=641&type=chunk) [SIGNATURES](index=127&type=section&id=SIGNATURES) The report is duly signed by the company's principal executive, financial, and accounting officers and directors - The report is signed by Guthrie Dundas, Interim Chief Financial Officer, and Peter Faricy, Chief Executive Officer, among others, on March 9, 2023[643](index=643&type=chunk)[644](index=644&type=chunk) ```

SunPower Corporation (NASDAQ:SPWR) Q4 2022 Earnings Conference Call February 15, 2023 5:00 PM ET Company Participants Mike Weinstein - Vice President of Investor Relations Peter Faricy - Chief Executive Officer Guthrie Dundas - Interim Chief Financial Officer Conference Call Participants Sean Morgan - Evercore ISI Philip Shen - ROTH Kashy Harrison - Piper Sandler Joseph Osha - Guggenheim Corinne Blanchard - Deutsche Bank Biju Perincheril - Susquehanna Financial Pavel Molchanov - Raymond James Ned Baramov ...