First Solar Q4 earnings miss estimates, stock edges higher on strong guidance

Published 26/02/2025, 00:00
First Solar Q4 earnings miss estimates, stock edges higher on strong guidance

TEMPE, Ariz. - First Solar, Inc. (NASDAQ:FSLR) reported fourth-quarter earnings that fell short of analyst expectations, but the solar panel manufacturer’s shares rose 1.6% in after-hours trading as investors focused on strong revenue growth and upbeat guidance for 2025.

The company posted adjusted earnings per share of $3.65 for the fourth quarter, missing the analyst consensus of $4.83. However, revenue came in at $1.5 billion, slightly above the $1.49 billion estimate and up significantly from $0.9 billion in the previous quarter.

For the full year 2024, First Solar reported net sales of $4.2 billion, a 27% increase from $3.3 billion in 2023. The company attributed the growth to higher module sales volumes to third parties.

Looking ahead, First Solar provided guidance for 2025 that largely met or exceeded analyst expectations. The company forecasts full-year revenue between $5.3 billion and $5.8 billion, compared to the consensus estimate of $5.52 billion. Earnings per share are projected to be in the range of $17.00 to $20.00, with the midpoint slightly below the $20.17 analyst estimate.

"In 2024, we continued building the foundations required for our long-term growth strategy," said Mark Widmar, CEO of First Solar. "Even as we maintained a highly selective approach to bookings, we expanded manufacturing capacity by commissioning our Alabama facility and progressed construction of our new Louisiana facility."

The company ended 2024 with a net cash balance of $1.2 billion, up from $0.7 billion at the end of the third quarter. First Solar expects to maintain a strong financial position, projecting a year-end 2025 net cash balance between $0.7 billion and $1.2 billion.

First Solar’s guidance includes expectations of selling between 18 and 20 gigawatts of solar modules in 2025, reflecting continued strong demand for its products in the growing renewable energy market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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