Dec 31, 2021

First Solar Q4 2021 Earnings Report

Announced financial results for the fourth quarter and year ended December 31, 2021.

Key Takeaways

First Solar reported Q4 net sales of $0.9 billion and net income per diluted share of $1.23. The company's full year earnings per diluted share came in above the mid-point of the guidance range. Year-end cash, cash equivalents, restricted cash, and marketable securities decreased to $1.8 billion.

Net sales of $2.9 billion for 2021 and $0.9 billion for the fourth quarter

Net income per diluted share of $4.38 for 2021 and $1.23 for the fourth quarter

Year-end 2021 cash, cash equivalents, restricted cash, and marketable securities of $1.8 billion

17.5 GWDC of 2021 net bookings; 11.8 GWDC since third quarter earnings call

Total Revenue
$907M
Previous year: $609M
+48.9%
EPS
$1.23
Previous year: $1.08
+13.9%
Gross Profit
$246M
Previous year: $160M
+54.2%
Cash and Equivalents
$1.45B
Previous year: $1.23B
+18.2%
Free Cash Flow
-$160M
Previous year: $97M
-265.4%
Total Assets
$7.41B
Previous year: $7.11B
+4.3%

First Solar

First Solar

Forward Guidance

Forecasted net sales for 2022 are $2.4 billion to $2.6 billion. Operating income is forecasted to be $55 million to $150 million. Forecasted net income per diluted share is $0.00 to $0.60. The year-end 2022 ending net cash balance is projected to be in the range of $1.1 billion to $1.35 billion.

Positive Outlook

  • Net Sales $2.4B to $2.6B
  • Gross Margin $155M to $215M
  • Operating Income $55M to $150M
  • Earnings per Diluted Share $0.00 to $0.60
  • Net Cash Balance $1.1B to $1.35B

Challenges Ahead

  • Includes $10 million to $15 million of underutilization losses
  • Includes $85 million to $90 million of production start-up expense
  • Includes $95 million to $105 million of production start-up expense and underutilization losses
  • Includes $270 million to $290 million pre-tax gain related to the potential sale of the Japan project development and O&M platform
  • Capital Expenditures $850M to $1.1B