en.Wedoany.com Reported - U.S.-based solar photovoltaic technology company First Solar reported its Q2 2026 financial results, with quarterly net sales of $1.06 billion, down 4% year-over-year; adjusted EBITDA of $644 million, up 15% year-over-year.

During the reporting period, the company's net income rose to $423 million, a 24% increase from $324 million in the same period last year. Gross margin improved by 12 percentage points year-over-year to 57%, supported by a global capacity utilization rate of 86%, with U.S. capacity utilization at 98% and India at 86%.

Management attributed the year-over-year decline in net sales to the termination of certain customer contracts, while adding that increased module volumes sold to third parties offset this loss. During the quarter, the company produced 4.3 GW of modules and sold 3.7 GW; in Q2 2025, it produced 4.2 GW and sold 3.6 GW, both within the guidance range.

The company stated that its cumulative global module shipments have surpassed 100 GW. As of the end of the quarter, First Solar's contracted backlog stood at 45.1 GW, covering through 2030. Since the last earnings call, the company has secured 1.9 GW of orders in the United States at an average selling price of $0.36 per watt.

First Solar reaffirmed its full-year 2026 outlook: net sales guidance remains at $4.9 billion to $5.2 billion, module sales of 17.0 to 18.2 GW, adjusted EBITDA of $2.6 billion to $2.8 billion, and capital expenditures of $800 million to $1 billion. Gross profit is expected to be $2.4 billion to $2.6 billion, including $2.1 billion to $2.19 billion in Section 45X tax credits and $115 million to $135 million in capacity underutilization costs.

For Q3 2026, the company expects to sell 3.9 to 4.5 GW of modules, with U.S. operations contributing 3.2 to 3.7 GW, and adjusted EBITDA projected at $625 million to $775 million.

On the technology front, the company is rolling out its CuRe technology, which replaces copper with other elements to enhance module performance, durability, and energy output. In the first half of 2026, a manufacturing facility in Ohio was permanently converted to CuRe technology, with plans for phased deployment across additional plants.

The company also continues to advance its perovskite thin-film technology R&D to improve solar module efficiency and reduce costs. A dedicated R&D line is currently under construction in Ohio, with the perovskite pilot line expected to become operational in 2027.

First Solar also stated that it has reduced Series 6 module production at its international manufacturing facilities due to market conditions. These conditions include: oversupply of low-cost Chinese modules in the European market; weak prices driven by solar module oversupply in Southeast Asia; the closure of the Indian market to Southeast Asian products; and U.S. tariffs on imported modules. The company said it will continue to focus on its proprietary technology, localized supply chain, R&D, and domestic manufacturing strategy going forward.