First Solar misses on Q3 revenue, lowers 2025 guidance

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U.S. headquartered solar panel manufacturer First Solar released its Q3, 2024 earnings report. The company missed on expectations for revenue and moderately lowered its guidance for full year 2024 revenues.

First Solar (FSLR) posted revenues of $887 million, falling 17.6% short of expectations, while its reported earnings per share landed at $2.91, about 8% lower than expected.

The company lowered its 2024 full year revenue forecast to between $4.10 billion and $4.25 billion, down from its previous forecast of $4.4 billion to $4.6 billion.

Shares were down roughly 9% in after-hours trading sessions but recovered most of the losses on the following trading day at the time of writing.

The company reached a record quarter for manufacturing production, reaching 3.8 GW in Q3. The company has a contracted order backlog reaching into the next decade, with over 73.3 GW of orders.

First Solar ended the quarter with $1.3 billion in cash and cash equivalents and $582 million in total debt. It had a $431 million capital expenditure in-quarter. It also paid $50 million in warranty fees due to manufacturing issues with its Series 7 line.

“As we approach the end of 2024, we remain pleased with the progress made across our business, navigating against a backdrop of industry volatility and political uncertainty, with a continued focus on balancing growth, profitability, and liquidity,” said Mark Widmar, chief executive officer of First Solar. “We expect that our disciplined, long-term approach will allow us to work through the outcomes of the upcoming U.S. elections as well as the continued volatility across the solar manufacturing industry.”

First Solar has an average 12 month price target of $288, showing potential growth from current trading levels of $197 per share.

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