First Solar Inc
.
FSLR
reported second-quarter 2021 adjusted earnings of 77 cents per share, which surpassed the Zacks Consensus Estimate of 60 cents by 28.3%. The reported figure also soared 120% from the prior-year quarter’s earnings of 35 cents.
Sales Update
First Solar’s sales of $629.2 million in the reported quarter missed the Zacks Consensus Estimate of $632 million by 0.5%. The top line also witnessed a 2.1% decline from the year-ago quarter’s $642.4 million.
Operational Highlights
In the second quarter, gross profit totaled $174.1 million, which increased significantly from $137.5 million reported in the year-ago quarter.
Total operating expenses declined 28.4% to $62 million due to lower selling, general and administrative costs and reduced production start-up costs.
The company reported an operating income of $110.4 million compared to the operating income of $50.9 million reported in the year-ago quarter. The upside can primarily be attributable to significantly higher gross profit in the quarter.
First Solar, Inc. Price, Consensus and EPS Surprise
Financial Performance
First Solar had $1,346.9 million of cash and cash equivalents as of Jun 30, 2021, up from $1,227 million as of Dec 31, 2020.
Long-term debt totaled $276.1 million at the end of the second quarter compared with $237.7 million as of Dec 31, 2020.
2021 Guidance
The company expects earnings to be $4.00-$4.60 per share on updated sales of $2.875-3.10 billion in 2021.
The Zacks Consensus Estimate for 2021 earnings, pegged at $4.32 per share, lies above the midpoint of the company’s projected range. The Zacks Consensus Estimate for 2021 sales, pegged at $2.94 billion, lies below the midpoint of the guided range.
Meanwhile, First Solar forecasts shipments of 7.6-8.0 gigawatts.
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
.
A Recent Solar Release
Enphase Energy
ENPH
reported second-quarter 2021 adjusted earnings of 53 cents per share, which surpassed the Zacks Consensus Estimate of 42 cents by 26.2%.
Upcoming Solar Releases
SunPower Corporation
SPWR
is set to release second-quarter numbers on Aug 3.
Sunrun
RUN
is set to release second-quarter 2021 results on Aug 5.
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