Delaware (State or other jurisdiction of incorporation) | 001-33156 (Commission File Number) | 20-4623678 (I.R.S. Employer Identification No.) |
(d) Exhibits. | |||
99.1 | Press Release of First Solar, Inc. dated February 28, 2012. | ||
FIRST SOLAR, INC. | |||
(Registrant) | |||
Date: February 28, 2012 | By: | /s/ Mary Beth Gustafsson | |
Name: | Mary Beth Gustafsson | ||
Title: | Executive Vice President, General Counsel and Secretary |
News Release |
• | Net sales of $660 million for the fourth quarter and $2.8 billion for 2011 |
• | GAAP EPS loss of $4.78 in the fourth quarter and $0.46 for 2011 |
• | Non-GAAP EPS of $1.26 per fully diluted share in the fourth quarter and $6.01 for 2011 |
• | Cash and Marketable Securities of $788 million |
• | Updates 2012 Guidance |
• | Announced or completed the sale of four of the world's largest solar projects under construction - Agua Caliente, Desert Sunlight, Antelope Valley Solar Ranch One, and Topaz. In January 2012, First Solar energized the first 30 MW block of the Agua Caliente project. |
• | Set a world record for the efficiency of solar cells and modules using cadmium telluride (CdTe) semiconductor technology, achieving 17.3 percent and 13.4 percent, respectively, as certified by US Department of Energy's National Renewable Energy Labs (NREL). In January 2012, First Solar eclipsed its own record, reaching 14.4 percent module efficiency using commercial-scale equipment and materials. |
• | Increased average module efficiency to 12.2%, up 0.6 percentage points from the fourth quarter of 2010. |
• | Reduced average module manufacturing cost to $0.73 per watt, down $0.02 from the fourth quarter of 2010. |
• | Added approximately 650 MW AC of new projects to the Company's project pipeline, growing our pipeline to 2.7 GW AC. |
• | Exceeded 5 GW of cumulative production, enough to provide clean electricity for approximately 2.5 million homes and displace 3.3 million metric tons of CO2 annually. |
• | reducing net sales from $3.7-$4.0 billion to $3.5-$3.8 billion; |
• | reiterating earnings per fully diluted share of $3.75 to $4.25, excluding any impairment and restructuring charges that we may be taking in 2012; and |
• | reducing operating cash flow from $0.9-$1.1 billion to $0.8-$0.9 billion. |
December 31, 2011 | December 31, 2010 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 605,619 | $ | 765,689 | ||||
Marketable securities | 66,146 | 167,889 | ||||||
Accounts receivable trade, net | 310,568 | 305,537 | ||||||
Accounts receivable, unbilled | 533,399 | 1,482 | ||||||
Inventories | 475,867 | 195,863 | ||||||
Balance of systems parts | 53,784 | 4,579 | ||||||
Deferred tax assets, net | 41,144 | 388 | ||||||
Prepaid expenses and other current assets | 526,734 | 143,033 | ||||||
Total current assets | 2,613,261 | 1,584,460 | ||||||
Property, plant and equipment, net | 1,815,958 | 1,430,789 | ||||||
Project assets | 374,881 | 320,140 | ||||||
Deferred tax assets, net | 340,274 | 259,236 | ||||||
Marketable securities | 116,192 | 180,271 | ||||||
Restricted cash and investments | 200,550 | 86,003 | ||||||
Goodwill | 65,444 | 433,288 | ||||||
Inventories | 60,751 | 42,728 | ||||||
Other assets | 190,303 | 43,488 | ||||||
Total assets | $ | 5,777,614 | $ | 4,380,403 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 176,448 | $ | 82,312 | ||||
Income taxes payable | 9,541 | 16,831 | ||||||
Accrued expenses | 406,659 | 244,271 | ||||||
Current portion of long-term debt | 44,505 | 26,587 | ||||||
Other current liabilities | 336,571 | 99,676 | ||||||
Total current liabilities | 973,724 | 469,677 | ||||||
Accrued solar module collection and recycling liability | 167,378 | 132,951 | ||||||
Long-term debt | 619,143 | 210,804 | ||||||
Other liabilities | 373,506 | 112,026 | ||||||
Total liabilities | 2,133,751 | 925,458 | ||||||
Commitments and contingencies | ||||||||
Stockholders' equity: | ||||||||
Common stock, $0.001 par value per share; 500,000,000 shares authorized; 86,467,873 and 85,843,511 shares issued and outstanding at December 31, 2011 and December 31, 2010, respectively | 86 | 86 | ||||||
Additional paid-in capital | 2,022,743 | 1,815,420 | ||||||
Contingent consideration | — | 1,118 | ||||||
Accumulated earnings | 1,626,071 | 1,665,564 | ||||||
Accumulated other comprehensive loss | (5,037 | ) | (27,243 | ) | ||||
Total stockholders' equity | 3,643,863 | 3,454,945 | ||||||
Total liabilities and stockholders' equity | $ | 5,777,614 | $ | 4,380,403 |
Years Ended | ||||||||||||
December 31, 2011 | December 31, 2010 | December 26, 2009 | ||||||||||
Net sales | $ | 2,766,207 | $ | 2,563,515 | $ | 2,066,200 | ||||||
Cost of sales | 1,794,456 | 1,378,669 | 1,021,618 | |||||||||
Gross profit | 971,751 | 1,184,846 | 1,044,582 | |||||||||
Operating expenses: | ||||||||||||
Research and development | 140,523 | 94,797 | 78,161 | |||||||||
Selling, general and administrative | 412,541 | 321,704 | 272,898 | |||||||||
Production start-up | 33,620 | 19,442 | 13,908 | |||||||||
Goodwill impairment | 393,365 | — | — | |||||||||
Restructuring | 60,366 | — | — | |||||||||
Total operating expenses | 1,040,415 | 435,943 | 364,967 | |||||||||
Operating (loss) income | (68,664 | ) | 748,903 | 679,615 | ||||||||
Foreign currency gain (loss) | 995 | (3,468 | ) | 5,207 | ||||||||
Interest income | 13,391 | 14,375 | 9,735 | |||||||||
Interest expense, net | (100 | ) | (6 | ) | (5,258 | ) | ||||||
Other income (expense), net | 665 | 2,273 | (2,985 | ) | ||||||||
(Loss) income before income taxes | (53,713 | ) | 762,077 | 686,314 | ||||||||
Income tax (benefit) expense | (14,220 | ) | 97,876 | 46,176 | ||||||||
Net (loss) income | $ | (39,493 | ) | $ | 664,201 | $ | 640,138 | |||||
Net (loss) income per share: | ||||||||||||
Basic | $ | (0.46 | ) | $ | 7.82 | $ | 7.67 | |||||
Diluted | $ | (0.46 | ) | $ | 7.68 | $ | 7.53 | |||||
Weighted-average number of shares used in per share calculations: | ||||||||||||
Basic | 86,067 | 84,891 | 83,500 | |||||||||
Diluted | 86,067 | 86,491 | 85,044 |
Three Months Ended December 31, 2011 (In thousands except per share data) | ||||||||||||||||||||
GAAP (1) | Warranty and Cost in Excess of Normal Warranty Expense | Goodwill Impairment Charge | Restructuring | Non-GAAP | ||||||||||||||||
(Loss) income before income taxes | $ | (481,442 | ) | $ | 163,525 | (4) | $ | 393,365 | $ | 60,366 | $ | 135,814 | ||||||||
Income tax (benefit) expense | (68,329 | ) | 18,023 | (5) | 53,211 | (5) | 22,915 | (5) | $ | 25,820 | ||||||||||
Net (loss) income | $ | (413,113 | ) | $ | 145,502 | $ | 340,154 | $ | 37,451 | $ | 109,994 | |||||||||
Net (loss) income per share | $ | (4.74 | ) | (2) | $ | 1.67 | $ | 3.90 | $ | 0.43 | $ | 1.26 | ||||||||
Weighted -average shares outstanding | 87,123 | (3) | 87,123 | 87,123 | 87,123 | 87,123 |
(1) | Except for Net (loss) income per share and Weighted-average shares outstanding. |
(2) | Reflects Non-GAAP net (loss) income per share. GAAP net (loss) income per share was $(4.78). |
(3) | Reflects Non-GAAP weighted-average shares outstanding. GAAP weighted-average shares outstanding were 86,428. |
(4) | Balance includes (i) $70.1 million in product warranty expense reflecting the net increase in the expected number of replacement modules required in connection with our remediation efforts for the 2008-2009 manufacturing excursion (ii) $37.8 million for an increase in the expected number of warranty claims primarily due to increases related to future claims expected due to modules installed in certain climates (iii) $31.8 million for compensation payments to customers under certain circumstances for power lost prior to the remediation of the customers system under our remediation program and (iv) $23.9 million in connection with our remediation efforts for module removal, replacement and logistical services related to the manufacturing excursion. |
(5) | The amount adjusts the provision for income taxes to reflect the effect of the non-GAAP adjustments on non-GAAP net income. |
Year Ended December 31, 2011 (In thousands except per share data) | ||||||||||||||||||||
GAAP (1) | Warranty and Cost in Excess of Normal Warranty Expense | Goodwill Impairment Charge | Restructuring | Non-GAAP | ||||||||||||||||
(Loss) income before income taxes | $ | (53,713 | ) | $ | 210,414 | (4) | $ | 393,365 | $ | 60,366 | $ | 610,432 | ||||||||
Income tax (benefit) expense | (14,220 | ) | 24,970 | (5) | 53,211 | (5) | 22,915 | (5) | $ | 86,876 | ||||||||||
Net (loss) income | $ | (39,493 | ) | $ | 185,444 | $ | 340,154 | $ | 37,451 | $ | 523,556 | |||||||||
Net (loss) income per share | $ | (0.45 | ) | (2) | $ | 2.13 | $ | 3.90 | $ | 0.43 | $ | 6.01 | ||||||||
Weighted -average shares outstanding | 87,117 | (3) | 87,117 | 87,117 | 87,117 | 87,117 |
(1) | Except for Net (loss) income per share and Weighted-average shares outstanding. |
(2) | Reflects Non-GAAP net (loss) income per share. GAAP net (loss) income per share was $(0.46). |
(3) | Reflects Non-GAAP weighted-average shares outstanding. GAAP weighted-average shares outstanding were 86,067. |
(4) | Balance includes (i) $70.1 million in product warranty expense reflecting the net increase in the expected number of replacement modules required in connection with our remediation efforts for the 2008-2009 manufacturing excursion (ii) $37.8 million for an increase in the expected number of warranty claims primarily due to increases related to future claims expected due to modules installed in certain climates (iii) $40.3 million for compensation payments to customers under certain circumstances for power lost prior to the remediation of the customers system under our remediation program and (iv) $62.2 million in connection with our remediation efforts for module removal, replacement and logistical services related to the manufacturing excursion. |
(5) | The amount adjusts the provision for income taxes to reflect the effect of the non-GAAP adjustments on non-GAAP net income. |
Three Months Ended December 31, 2010 (In thousands, except per share amounts) | ||||||||||||
GAAP (1) | Warranty and Cost in Excess of Normal Warranty Expense | Non-GAAP | ||||||||||
Income before income taxes | $ | 173,365 | $ | 8,456 | (1) | $ | 181,821 | |||||
Income tax expense | 17,421 | 1,252 | (2) | $ | 18,673 | |||||||
Net income | $ | 155,944 | $ | 7,204 | $ | 163,148 | ||||||
Net income per share | $ | 1.8 | $ | 0.08 | $ | 1.88 | ||||||
GAAP weighted-average shares outstanding | 86,840 | 86,840 | 86,840 |
(1) | Expense in connection with our remediation efforts for module removal, replacement and logistical services related to the 2008-2009 manufacturing excursion. |
(2) | The amount adjusts the provision for income taxes to reflect the effect of the non-GAAP adjustments on non-GAAP net income. |
Year Ended December 31, 2010 (In thousands, except per share amounts) | ||||||||||||
GAAP (1) | Warranty and Cost in Excess of Normal Warranty Expense | Non-GAAP | ||||||||||
Income before income taxes | $ | 762,077 | $ | 36,129 | (1) | $ | 798,206 | |||||
Income tax expense | 97,876 | 5,317 | (2) | $ | 103,193 | |||||||
Net income | $ | 664,201 | $ | 30,812 | $ | 695,013 | ||||||
Net income per share | $ | 7.68 | $ | 0.36 | $ | 8.04 | ||||||
GAAP weighted-average shares outstanding | 86,491 | 86,491 | 86,491 |
(1) | Balance includes (i) $30.5 million in connection with our remediation efforts for module removal, replacement and logistical services related to the 2008-2009 manufacturing excursion and (ii) $5.6 million for compensation payments to customers under certain circumstances for power lost prior to the remediation of the customers system under our remediation program. |
(2) | The amount adjusts the provision for income taxes to reflect the effect of the non-GAAP adjustments on non-GAAP net income. |