First Solar's Q2 Profit Doubles Due to Increased Module Shipments
POWER & RENEWABLE ENERGY

First Solar's Q2 Profit Doubles Due to Increased Module Shipments

US-based First Solar reported a significant increase in its net income for the second quarter of 2024, which rose by 104.8 per cent to reach $349.4 million, up from $170.6 million the previous year. This growth was attributed mainly to higher module sales and improved pricing.

The company's quarterly net sales climbed to $1.01 billion, marking a 24.6 per cent increase from $810.7 million in the same period of 2023, reflecting a rise in module shipments.

Operating expenses saw a modest decrease of 11 per cent, falling from $142 million last year to $126.4 million, which positively impacted the company?s profitability. This reduction was primarily due to lower litigation-related expenses.

Gross margin also showed improvement, with gross profit rising by 60.7 per cent to $498.9 million for the quarter, compared to $310.4 million the previous year. This increase in profitability was driven by reduced costs in warehousing, logistics, and production.

As of now, the company?s year-to-date net bookings stand at 3.6 GW, and the total contracted backlog is at 75.9 GW, with orders extending through 2030.

During a post-earnings call with analysts, CEO Mark Widmar expressed concerns about the uncertain policy environment facing the solar industry with the upcoming November election. He noted that this uncertainty is impacting access to capital and project development decisions.

Widmar observed that as the second quarter progressed, the effects of this uncertainty became more evident, with increasing constraints on access to capital for both emerging solar technology companies and established firms aiming to expand domestic manufacturing. He mentioned that financing parties are delaying investment decisions until there is more clarity on the policy landscape.

Widmar also raised concerns about potential changes to the Inflation Reduction Act and related policies if Republicans gain control of the presidency and Congress or through executive actions by a new administration. He pointed out that this uncertainty is leading some developers to reconsider renewable projects in favour of fossil fuel alternatives.

The 14th RAHSTA Expo, part of the India Construction Festival, will be held on October 9 and 10, 2024, at the Jio Convention Centre in Mumbai. For more details, visit: https://rahstaexpo.com

US-based First Solar reported a significant increase in its net income for the second quarter of 2024, which rose by 104.8 per cent to reach $349.4 million, up from $170.6 million the previous year. This growth was attributed mainly to higher module sales and improved pricing. The company's quarterly net sales climbed to $1.01 billion, marking a 24.6 per cent increase from $810.7 million in the same period of 2023, reflecting a rise in module shipments. Operating expenses saw a modest decrease of 11 per cent, falling from $142 million last year to $126.4 million, which positively impacted the company?s profitability. This reduction was primarily due to lower litigation-related expenses. Gross margin also showed improvement, with gross profit rising by 60.7 per cent to $498.9 million for the quarter, compared to $310.4 million the previous year. This increase in profitability was driven by reduced costs in warehousing, logistics, and production. As of now, the company?s year-to-date net bookings stand at 3.6 GW, and the total contracted backlog is at 75.9 GW, with orders extending through 2030. During a post-earnings call with analysts, CEO Mark Widmar expressed concerns about the uncertain policy environment facing the solar industry with the upcoming November election. He noted that this uncertainty is impacting access to capital and project development decisions. Widmar observed that as the second quarter progressed, the effects of this uncertainty became more evident, with increasing constraints on access to capital for both emerging solar technology companies and established firms aiming to expand domestic manufacturing. He mentioned that financing parties are delaying investment decisions until there is more clarity on the policy landscape. Widmar also raised concerns about potential changes to the Inflation Reduction Act and related policies if Republicans gain control of the presidency and Congress or through executive actions by a new administration. He pointed out that this uncertainty is leading some developers to reconsider renewable projects in favour of fossil fuel alternatives.

Next Story
Infrastructure Energy

Gujarat Powers Ahead with Solar Energy

Gujarat is emerging as a leader in India’s solar energy sector, with an installed capacity of 14.7 GW, making it the second-highest solar capacity state in the country. The state's total renewable energy capacity stands at 27.8 GW, and ambitious plans aim to add 31.9 GW of solar-wind hybrid projects. These details were shared by Arun Mahesh Babu, Managing Director of Uttar Gujarat Vij Company Limited (UGVCL) and Gujarat Power Corporation Limited (GPCL). Babu highlighted Gujarat’s solar and wind energy projects, which are instrumental in helping India meet its national target of 500 GW of ..

Next Story
Infrastructure Energy

UK Shuts Last Coal Plant as India Maintains Coal in Energy Mix

As the UK officially closed its last coal power plant signaling its exit from coal-based energy, policy experts in India emphasized that coal will remain part of India's energy mix for the foreseeable future. While developed nations like the UK are moving towards coal-free energy systems by 2040, India faces unique challenges as a developing country with substantial energy demands. The UK's closure of its last coal plant marks a significant moment in energy history, as the country had been one of the pioneers of coal power since 1882. According to global energy think tank Ember, more than a th..

Next Story
Infrastructure Urban

NCLAT Clears Supertech to Resume Work on Doon Square in Dehradun

The National Company Law Appellate Tribunal (NCLAT) has granted approval for Supertech to resume construction of its Doon Square project in Dehradun. This decision follows the submission by Supertech that the lender, co-developer, and homebuyers had all accepted its proposal to complete the stalled project. The approval paves the way for the project’s completion within 515 days, or just over one year and four months. Out of the 750 planned units, only 150 studio apartments have been delivered, with the remaining awaiting completion. Supertech’s proposal, submitted to NCLAT, was accepted by..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000