Sell Off Seen In First Solar Inc. (NASDAQ:FSLR)

Posted by George Brook February 26, 2014 0 Comment 664 views


First Solar, Inc. (NASDAQ:FSLR) shares received the wrath of Wall Street, going down by 11% after the company fourth quarter earnings came below consensus estimates. The bad results were slightly overshadowed with good news that indicated the company’s researchers had developed a world record 20.4% cadmium telluride, thin film photovoltaic cell

Fourth quarter results

First Solar, Inc. (NASDAQ:FSLR) net sales for the fourth quarter came in at $768 million a drop of $497 million compared to sales for the same year third quarter. The company attributed the decline in net sales for the quarter to lower systems business project revenues   as the sale of ABW projects.

GAAP net income for the quarter came in at $0.64 per diluted share a drop from highs of $1.94 for the third quarter of the same fiscal year. The below par results for the quarter was largely due to high pretax restructuring and asset impairment charges that rose to highs of $24.9 million. This was primarily related to a change in marketing strategy and additional write downs.

Non GAAP net income for the quarter came in at $0.89 per diluted share with full year GAAP net income coming in at $3.70 per diluted share. Full year GAAP net income was inclusive earlier announced restructuring activities as well as the sale of Mesa Arizona Facility

Liquidity levels

Cash and marketable securities as of the end of the fourth quarter came in at $1.8 billion a high of $232 million compared to the third quarter of the same fiscal year. Fourth quarter cash flows on the other hand clocked in at $192 million and $856 for full year.

Q1 Guidance

First Solar, Inc. (NASDAQ:FSLR) projects earnings per share of between 50 and 60 cents for the current first quarter at the back of net sales of between $800 and $900 million.



About George Brook

George Brook covers money and politics for GDP Insider. George is a veteran journalist who has also covered Congress, national political conventions and presidential politics. George also covers the White House as well as economic and domestic policy for GDP insider. George's reporting has won numerous awards, including two Scripps Howard awards, two National Headliners, two Gerald Loeb Awards, as well as honors from Sigma Delta Chi and the National Press Club.

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