First Solar, Inc. Announces Fourth Quarter and Full Year 2021 Financial Results and 2022 Guidance – EQ Mag Pro

• 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 GW DC of 2021 net bookings; 11.8 GW DC since third quarter earnings call

• 2022 net sales guidance of $2.4 billion to $2.6 billion

• 2022 EPS guidance of $0.00 to $0.60

• Year-end 2022 net cash balance guidance of $1.1 billion to $1.35 billion

• Company in advanced stage discussions to sell Japan project development and O&M platform

TEMPE, Ariz. : First Solar, Inc. (Nasdaq: FSLR) today announced financial results for the fourth quarter and year ended December 31, 2021. Net sales for the fourth quarter were $0.9 billion, an increase of $0.3 billion from the prior quarter. The increase was primarily a result of international project sales and increased module sales in the fourth quarter.

“I would like to express my gratitude to the entire First Solar team for their hard work and perseverance in a year where much of the solar PV manufacturing industry faced supply chain, logistics, cost, and pandemic-related challenges,” said Mark Widmar, CEO of First Solar. “Despite these dynamics, our full year 2021 earnings per diluted share result came in above the mid-point of the guidance range we provided at the time of our third quarter earnings call, and is solidly within the original guidance range provided last February.”

The Company reported fourth quarter net income per diluted share of $1.23, and full year net income per diluted share of $4.38.

Cash, cash equivalents, restricted cash, and marketable securities at the end of the fourth quarter decreased to $1.8 billion from $1.9 billion at the end of the prior quarter. The decrease was primarily a result of capital expenditures related to expansion in India and Ohio and operating expenses.

Forecasted net sales for 2022 are $2.4 billion to $2.6 billion. Operating income is forecasted to be $55 million to $150 million, which includes production start-up expense of $85 million to $90 million, underutilization losses related to factory upgrades of $10 million to $15 million, and a pre-tax gain related to the potential sale of the Japan project development and O&M platform of approximately $270 million to $290 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. The complete 2022 guidance is as follows:

(1) Includes $10 million to $15 million of underutilization losses
(2) Includes $85 million to $90 million of production start-up expense
(3) Includes $95 million to $105 million of production start-up expense and underutilization losses
(4) Includes $270 million to $290 million pre-tax gain related to the potential sale of the Japan project development and O&M platform
(5) Defined as cash, cash equivalents, marketable securities, and restricted cash less expected debt at the end of 2022

“We will continue to navigate near-term headwinds with a focus on the future, as we invest in realizing the full value of our differentiated thin-film technology,” said Mark Widmar, CEO of First Solar. “This pivotal year will revolve around continued significant investment in R&D, new products, manufacturing expansion, and employing new contracting strategies, all of which we believe set the stage for sustained growth in 2023 and beyond.”

First Solar also announced today that it is in advanced stage discussions to sell its project development and O&M platform in Japan. The consideration of a potential sale for its Japan project development and O&M platform by First Solar is at a preliminary stage and may not result in any transaction being consummated. First Solar does not intend to disclose further developments with respect to this process except to the extent the process is concluded or it is required by law or otherwise deemed appropriate.

The guidance figures presented above are forward-looking statements that are subject to a variety of assumptions and estimates. Investors are encouraged to listen to the conference call and to review the accompanying materials, which contain more information about First Solar’s fourth quarter and full year 2021 financial results, 2022 guidance, and financial outlook.

About First Solar, Inc.

First Solar is a leading American solar technology company and global provider of responsibly-produced eco-efficient solar modules advancing the fight against climate change. Developed at R&D labs in California and Ohio, the company’s advanced thin film photovoltaic (“PV”) modules represent the next generation of solar technologies, providing a competitive, high-performance, lower-carbon alternative to conventional crystalline silicon PV panels. From raw material sourcing and manufacturing through end-of-life module recycling, First Solar’s approach to technology embodies sustainability and a responsibility towards people and the planet.