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First Solar (FSLR) Q4 Earnings Beat Estimates, Sales Rise Y/Y

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Shares of First Solar, Inc. (FSLR - Free Report) rose 2.9% to $149.25 on Feb 28, following the company’s recent report release.  

The company reported fourth-quarter 2023 earnings of $3.25 per share against the prior-year quarter’s reported loss of 7 cents per share. The bottom line beat the Zacks Consensus Estimate of $3.19 by 1.9%.

FSLR recorded earnings of $7.74 per share in 2023 against a loss of 41 cents per share in 2022.

First Solar, Inc. Price, Consensus and EPS Surprise

First Solar, Inc. Price, Consensus and EPS Surprise

First Solar, Inc. price-consensus-eps-surprise-chart | First Solar, Inc. Quote

Sales Update

First Solar’s fourth-quarter net sales were $1,158.6 million, which lagged the Zacks Consensus Estimate of $1,311 million by 1.7%. However, the top line improved 15.6% from the year-ago quarter’s $1,002.4 million. The year-over-year upside can be attributed to increased module sales.

For 2023, the company generated revenues worth $3.32 billion compared with the prior-year figure of $2.62 billion.

Operational Highlights

In the fourth quarter, the gross profit was $502 million, which improved massively from $60.6 million in the year-ago quarter.

Total operating expenses increased 3.8% year over year to $110.8 million due to higher research and development costs as well as selling, general and administrative expenses.

FSLR reported an operating income of $397.8 million against an operating loss of $45.9 million in the year-ago quarter.

Financial Performance

First Solar had $1.95 billion in cash and cash equivalents as of Dec 31, 2023, up from $1.48 billion as of Dec 31, 2022.

The long-term debt totaled $464 million as of Dec 31, 2023, compared with $184.3 million as of Dec 31, 2022.

2024 Guidance

First Solar introduced its 2024 earnings guidance. FSLR expects earnings in the range of $13-$14 per share for 2024. The Zacks Consensus Estimate for earnings is pegged at $13.2 per share, lower than the midpoint of the company’s guided range.

FSLR expects sales in the range of $4.4-$4.6 billion in 2024. The Zacks Consensus Estimate for the same is pinned at $4.56 billion, higher than the midpoint of the company’s guided range.

First Solar expects gross profit in the band of $2-$2.1 billion. The operating income is anticipated in the $1.5-$1.6 billion range.

Meanwhile, the company expects module shipments in the band of 15.6-16.3 gigawatts in 2024.

Zacks Rank

First Solar currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Solar Releases

SolarEdge Technologies, Inc. (SEDG - Free Report) reported a fourth-quarter 2023 adjusted loss of 92 cents per share, narrower than the Zacks Consensus Estimate of a loss of $1.47. The bottom line deteriorated from the prior-year quarter’s reported earnings of $2.86 per share.

The company’s quarterly revenues of $316 million missed the Zacks Consensus Estimate of $320 million by 1.2%. The top line also declined 64.5% from the year-ago quarter’s figure of $890.7 million.

Enphase Energy, Inc. (ENPH - Free Report) reported fourth-quarter 2023 adjusted earnings of 54 cents per share, indicating a 64.2% decline from $1.51 reported in the prior-year quarter. The bottom line met the Zacks Consensus Estimate.

Enphase Energy’s fourth-quarter revenues of $302.6 million missed the Zacks Consensus Estimate of $327 million by 7.5%. The top line also declined 58.2% from the prior-year quarter’s reported figure of $724.7 million.

SunPower Corporation reported a fourth-quarter 2023 adjusted loss of 51 cents per share against earnings of 11 cents in the prior-year period. The loss was wider than the Zacks Consensus Estimate of a loss of 27 cents per share.

During the quarter under review, SunPower’s adjusted revenues totaled $361.3 million, while GAAP revenues amounted to $356.9 million. The GAAP top line deteriorated 28.3% from the year-ago quarter’s figure of $498 million. The Zacks Consensus Estimate for sales was pegged at $365 million.


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