First Solar (NASDAQ:FSLR) shares dropped more than 6% after the company reported third-quarter earnings that missed expectations, alongside a significant revenue shortfall and a reduced full-year forecast.
For Q3, First Solar posted adjusted earnings per share of $2.91, falling short of the $3.11 consensus. Revenue totaled $887.67 million, well below the estimated $1.07 billion and a decline from $1 billion in the prior quarter. The revenue dip was attributed to lower module sales volumes and a $50 million product warranty reserve.
The company revised its full-year 2024 guidance, now expecting earnings per share between $13.00 and $13.50, below the previous Street consensus of $13.44. First Solar also cut its revenue outlook to $4.1 billion to $4.25 billion, down from the prior estimate of $4.44 billion.
CEO Mark Widmar acknowledged the challenges of the quarter but maintained that First Solar was making progress despite industry volatility and political uncertainties.