PHOENIX, Feb. 13, 2008 (PRIME NEWSWIRE) -- First Solar, Inc. (Nasdaq:FSLR) today announced its financial results for the fourth quarter and fiscal year ended, December 29, 2007. Quarterly revenues were $200.8 million, up from $159.0 million in the third quarter of fiscal 2007 and up from $52.7 million in the fourth quarter of fiscal 2006. Revenues for the fiscal year ended December 29, 2007 were $504.0 million, up from $135.0 million in fiscal year 2006.
Net income for the fourth quarter of fiscal 2007 was $62.9 million or $0.77 per share on a fully diluted basis, compared to net income of $46.0 million or $0.58 per share on a fully diluted basis for the third quarter of fiscal 2007. Net income for the third quarter of fiscal 2007 included a one time tax benefit of $7.5 million, or $0.09 per fully diluted share due to the reversal of valuation allowances against previously established deferred tax assets in Germany. Net income for the fourth quarter of fiscal 2006 was $8.0 million or $0.11 per share on a fully diluted pro-forma basis.
Net income for fiscal 2007 was $158.4 million or $2.03 per share on a fully diluted basis compared to net income of $4.0 million for fiscal 2006 or $0.05 per share on a fully diluted pro-forma basis.
Pro-forma earnings per share for the three months and fiscal year ended, December 30, 2006, have been adjusted to give effect to the Company's equity offerings during 2006, including its initial public offering, as if each occurred on January 1, 2006. The Company believes the pro-forma earnings per share presentation represents a meaningful basis for the comparison of its current results to results during fiscal periods occurring prior to the Company's initial public offering.
"During the fourth quarter of 2007 we benefited from the full capacity and economies of scale of our Frankfurt/Oder plant. This combined with continued throughput and conversion efficiency gains afforded us strong operating leverage and decreased our manufacturing cost per watt by 12% year over year to $1.12 per watt in the fourth quarter of 2007, further solidifying our cost leadership position in the industry," said Michael J. Ahearn, Chief Executive Officer of First Solar.
First Solar will discuss these results and expected results for fiscal 2007 and 2008 in a conference call scheduled for today at 6:00 a.m. MST (8:00 a.m. EST). To participate in the conference call, please dial 800-896-8445 or 785-830-1916. Investors may also access a live audio web cast of this conference call in the Investors section of the Company's website at http://www.firstsolar.com. An audio replay of the conference call will be available approximately two hours after the conclusion of the call. The audio replay will remain available until Saturday, February 16, 2008 at 8:00 a.m. MST (10:00 a.m. EST) and can be accessed by dialing 888-203-1112 or 719-457-0820 and entering access ID number 9023734.
About First Solar:
First Solar, Inc. (Nasdaq:FSLR) manufactures solar modules with an advanced thin film semiconductor process that significantly lowers solar electricity costs. By enabling clean renewable electricity at affordable prices, First Solar provides an economic alternative to peak conventional electricity and the related fossil fuel dependence, greenhouse gas emissions and peak time grid constraints.
The First Solar, Inc. logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=3052
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. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended Twelve Months Ended
------------------ -------------------
Dec. 29, Dec. 30, Dec. 29, Dec. 30,
2007 2006 2007 2006
-------- -------- -------- --------
Net sales $200,797 $ 52,695 $503,976 $134,974
Cost of sales 89,847 27,080 252,573 80,730
-------- -------- -------- --------
Gross profit 110,950 25,615 251,403 54,244
-------- -------- -------- --------
Operating expenses:
Research and development 4,432 1,649 15,107 6,361
Selling, general and
administrative 24,191 10,950 82,248 33,348
Production start-up 4,065 3,975 16,867 11,725
-------- -------- -------- --------
Total operating expenses 32,688 16,574 114,222 51,434
-------- -------- -------- --------
Operating income 78,262 9,041 137,181 2,810
Foreign currency gain 1,165 2,752 1,881 5,544
Interest income 7,214 1,755 20,413 2,648
Interest expense, net (163) (157) (2,294) (1,023)
Other expense (338) (328) (1,219) (799)
-------- -------- -------- --------
Income before income taxes 86,140 13,063 155,962 9,180
Income tax benefit (expense) (23,266) (5,025) 2,392 (5,206)
-------- -------- -------- --------
Net income $ 62,874 $ 8,038 $158,354 $ 3,974
======== ======== ======== ========
Net income per share:
Basic $ 0.80 $ 0.13 $ 2.12 $ 0.07
======== ======== ======== ========
Diluted $ 0.77 $ 0.12 $ 2.03 $ 0.07
======== ======== ======== ========
Weighted-average number of
shares used in per share
calculations:
Basic 78,192 63,968 74,701 56,310
======== ======== ======== ========
Diluted 81,318 66,324 77,971 58,255
======== ======== ======== ========
FIRST SOLAR, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except per share amounts)
(Unaudited)
December 29, December 30,
2007 2006
------------ ------------
ASSETS
Current assets:
Cash and cash equivalents $ 404,264 $ 308,092
Marketable securities - current 232,686 323
Accounts receivable, net 18,165 27,123
Inventories 40,204 16,510
Deferred project costs 2,643 --
Economic development funding receivable 35,877 27,515
Deferred tax asset, net - current 3,890 --
Prepaid expenses and other current
assets 64,780 8,959
------------ ------------
Total current assets 802,509 388,522
Property, plant and equipment, net 430,104 178,868
Deferred tax asset, net - noncurrent 51,811 --
Marketable securities - noncurrent 32,713 --
Restricted investments 14,695 8,224
Goodwill 33,449 --
Other assets - noncurrent 6,031 2,896
------------ ------------
Total assets $ 1,371,312 $ 578,510
============ =============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued expenses $ 132,366 $ 32,083
Short-term debt 24,473 16,339
Current portion of long-term debt 14,836 3,311
Other current liabilities 14,803 340
------------ ------------
Total current liabilities 186,478 52,073
Accrued collection and recycling
liabilities 13,079 3,724
Long-term debt 68,856 61,047
Other liabilities - noncurrent 5,632 --
------------ ------------
Total liabilities 274,045 116,844
Commitments and contingencies:
Employee stock options on redeemable
shares -- 50,226
Stockholders' equity:
Common stock, $0.001 par value per
share; 500,000,000 shares authorized;
78,575,211 shares issued and
outstanding at December 29, 2007 79 72
Additional paid-in capital 1,079,775 555,749
Accumulated earnings (deficit) 12,895 (145,403)
Accumulated other comprehensive income 4,518 1,022
------------ ------------
Total stockholders' equity 1,097,267 411,440
------------ ------------
Total liabilities and stockholders'
equity $ 1,371,312 $ 578,510
============ ============
FIRST SOLAR, INC.
PRO-FORMA vs. GAAP EARNINGS PER SHARE
(in thousands, except per share data)
A reconciliation of the denominator used in calculating pro-forma
fully diluted earnings per share is as follows:
Three Months Ended Fiscal Years Ended
---------------------------- ------------------
Dec. 29, Sept. 29, Dec. 30, Dec. 29, Dec. 30,
2007 2007 2006 2007 2006
---------------------------- ------------------
(Unaudited) (Unaudited)
Net income $ 62,874 $ 46,034 $ 8,038 $158,354 $ 3,974
Weighted-average
shares outstanding,
diluted 81,318 79,088 66,324 77,971 58,255
Adjustment to
reflect the IPO
shares as if they
had been outstanding
since the beginning
of 2006 -- -- 8,363 -- 14,236
Pro-forma weighted-
average shares
outstanding, diluted 81,318 79,088 74,687 77,971 72,491
Net income per share
diluted as
reported $ 0.77 $ 0.58 $ 0.12 $ 2.03 $ 0.07
Net income per share
diluted pro-forma $ 0.77 $ 0.58 $ 0.11 $ 2.03 $ 0.05