First Solar Updates 2011 Financial Guidance and Announces 2012 Financial Guidance
TEMPE, Ariz.--(BUSINESS WIRE)--
First Solar, Inc. (NASDAQ: FSLR) today updated the Company's 2011
financial guidance and announced 2012 guidance.
First Solar now forecasts 2011 net sales in the range of $2.8 to $2.9
billion, down from the Company's prior guidance range for net sales of
$3.0 to $3.3 billion. The Company expects diluted earnings per share
(EPS) for 2011 to be in the range of $5.75 to $6.00, with consolidated
operating income of $575 to $600 million. The primary reason for the
revised 2011 guidance is continued delays of certain projects in First
Solar's systems business due to weather and other factors.
Not included in the revised guidance are expected charges related to a
series of initiatives to accelerate operating cost reductions and
improve overall operating efficiency, the majority of which the Company
expects to incur in the current quarter. These charges include up to
$0.75 per fully diluted share of impairment and associated charges
primarily related to certain equipment, and a severance charge of up to
$0.10 per fully diluted share related to a workforce reduction of
approximately 100 associates, less than 1.5 percent of First Solar's
For 2012, First Solar forecasts net sales in the range of $3.7 to $4.0
billion, including approximately $1.7 billion from the systems business.
Diluted EPS is expected to be in the range of $3.75 to $4.25, and
consolidated operating income is expected to be $425 to $450 million.
The Company expects to generate $0.9 to $1.1 billion of operating cash
flow and plans for approximately $375-$425 million in capital investment
"Our diverse business model and robust project pipeline will help First
Solar generate a significant amount of cash in 2012 while improving
operational efficiencies, but we are recalibrating our business to focus
on building and serving sustainable markets rather than pursuing
subsidized markets," said Mike Ahearn, Chairman and Interim CEO of First
Solar. "By channeling our core strength in utility-scale PV systems to
markets with immediate need for mass-scale renewable energy our goal is
to earn substantially all of our new revenues from sustainable markets
by the end of 2014."
First Solar will discuss the Company's revised 2011 guidance and outlook
for 2012 in a conference call scheduled for today at 8:00 a.m. EST.
Investors may access a live audio webcast of this call and presentation
in the Investors section of the Company's website at www.firstsolar.com.
An audio replay of the conference call will also be available
approximately two hours after the conclusion of the call. The audio
replay will remain available until Sunday, December 18th, 2011 at 11:59
p.m. EST and can be accessed by dialing 888-203-1112 if you are calling
from within the United States or 719-457-0820 if you are calling from
outside the United States and entering the replay pass code 7459995. A
replay of the webcast will be available on the Investors section of the
Company's web site approximately two hours after the conclusion of the
call and remain available for approximately 90 calendar days. If you are
a subscriber of FactSet or Thomson One, you can obtain a written
About First Solar, Inc.
First Solar manufactures solar modules with an advanced semiconductor
technology, and is a premier provider of comprehensive photovoltaic (PV)
system solutions. The company is delivering an economically viable
alternative to fossil-fuel generation today. From raw material sourcing
through end-of-life collection and recycling, First Solar is focused on
creating value-driven renewable energy solutions that protect and
enhance the environment. For more information about First Solar, please
For First Solar Investors
This release contains forward-looking statements which are made pursuant
to the safe harbor provisions of Section 21E of the Securities Exchange
Act of 1934. The forward-looking statements in this release do not
constitute guarantees of future performance. Those statements involve a
number of factors that could cause actual results to differ materially,
including risks associated with the company's business involving the
company's products, their development and distribution, economic and
competitive factors and the company's key strategic relationships and
other risks detailed in the company's filings with the Securities and
Exchange Commission. First Solar assumes no obligation to update any
forward-looking information contained in this press release or with
respect to the announcements described herein.
First Solar, Inc.
Source: First Solar, Inc.
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