After recognizing Campo Verde, First Solar shows a strong net sale performance by increasing 26% (US$ 182 million) from 1Q13, achieving a revenue of US $950 million. Also, its GAAP net income per fully diluted share increased from US$0.64 to $1.10, representing a significant progress from higher net sales, project cost improvements, and lower restructuring and asset impairment charges.
According to the strong performance in the first quarter, First Solar is increasing full-year 2014 guidance:
- Gross Margin percentage of 17-18%, compared to prior guidance of 16-18%
- Operating Income of $290 to $340 million, compared to prior guidance of $270 to $320 million
- Earnings per fully diluted share guidance of $2.40 to $2.80, compared to prior guidance of $2.20 to $2.60
- Operating cash flow guidance of $300 - $500 million, compared to prior guidance of $250 - $450 million
In addition, Cash and Marketable Securities at the end of the first quarter were approximately $1.4 billion, quarterly decreased approximately $385 million. Cash flows used in operations were $318 million in the first quarter. The use of cash in the quarter is primarily related to ongoing construction of projects which have not yet been sold.
Jim Hughes, CEO of First Solar, commented: "In the first quarter we demonstrated significant progress towards achieving the financial and operational targets we outlined at our recent Analyst Day. We delivered strong earnings in the first quarter and are increasing our financial guidance for the year based on these results. We have also made significant progress in new bookings and continue to execute on our technology roadmap."
