Boston, MA 08/07/2014 (wallstreetpr) – First Solar, Inc. (NASDAQ:FSLR) announced the Q2 2014 financial results couple of days back. According to reports, Q2 was not as good for the company as the Q1, and the main reason behind it was but reduction in sales. The net sales recorded in Q2 were $544 million, which was $406 million less than the sales done by FSLR in the Q1 2014.
Reasoning behind negative sales:
According to the spokesperson of FSLR, the main reason behind the downfall in sales in Q2 2014 was Campo Verde project. FSLR had been trying hard to achieve revenue recognition in this project in Q2, which delayed proceedings in Q3 that ultimately resulted in reduced sales.
Other financial details:
GAAP EPS of the company in Q2 2014 was recorded as $0.04 in comparison with $1.10 of Q1 2014. First Solar, Inc. (NASDAQ:FSLR) couldn’t maintain the same market position in terms of current assets as well. Reports claim that cash and marketable securities of the company were as much as $1.3 billion at the end of Q2, around $30 million less than Q1 2014. Amongst negative market conditions, FSLR managed to earn $118 million from operating activities.
Solar cell efficiency:
According to latest reports, First Solar, Inc. (NASDAQ:FSLR) achieved net solar cell efficiency of 21% in Q2 2014 which was slightly more than what it achieved (20.4%) in Q1 2014. It was one of those positive things that happened with FSLR in Q2.
Year 2014 Outlook:
FSLR aims to hit a significant mark of $2.40-2.80 in terms of earnings per share for the entire year. On the basis of first two-quarters, it can be said that FSLR will have to try hard to achieve the desired results. It expects to generate total operating cash flow of $300-500 million in the entire year. First Solar, Inc. (NASDAQ:FSLR) had not had a good previous quarter; hence it will have to try its level best to achieve the yearly targets.
