First Solar Beats Q2 Earnings Estimates, Raises '25 Sales Guidance

Core Insights - First Solar, Inc. reported second-quarter 2025 earnings of $3.18 per share, a decrease of 2.2% year-over-year, but exceeded the Zacks Consensus Estimate of $2.68 by 18.7% [1][8] - The company's net sales for the second quarter reached $1.10 billion, surpassing the Zacks Consensus Estimate of $1.03 billion by 6.6% and reflecting an 8.6% increase from the previous year's $1.01 billion [2][8] Financial Performance - Gross profit for the second quarter was $499.9 million, a slight increase of 0.2% from $498.9 million in the same quarter last year [3] - Total operating expenses rose by 9.4% year-over-year to $138.2 million, leading to an operating income of $361.6 million, down from $372.5 million in the prior-year quarter [3] - As of June 30, 2025, First Solar had $1.12 billion in cash and cash equivalents, a decrease from $1.62 billion at the end of 2024, while long-term debt decreased to $328 million from $373.4 million [4] Guidance Update - First Solar updated its 2025 earnings guidance to a range of $13.50-$16.50 per share, narrower than the previous range of $12.50-$17.50, with the Zacks Consensus Estimate at $14.81 per share [5] - The company now expects sales to be between $4.90-$5.70 billion, an increase from the earlier range of $4.50-$5.50 billion, with the Zacks Consensus Estimate at $4.98 billion [6] - Gross profit is anticipated to be in the range of $2.05-$2.35 billion, and operating income is expected to be between $1.53-$1.87 billion, both narrower than previous guidance [7]