First Solar Restructures: Expedited New Module Rollout, 25% Workforce Cut on Modest 2017 Outlook

First Solar solar energy, the vertically Solar Project integrated solar power plant and module manufacturer, solar energy just announced solar energy deep Solar Project slewing drive layoffs, a disappointing 2017 guidance and an acceleration of its transition to the new Series 6 module. In a difficult business cycle for solar, solar tracker actuator one of the more conservative and effective PV manufacturing Solar Project leaders is preparing for a rough spell in 2017 solar energy and 2018, despite raising its 2016 EPS Solar Project  solar tracker actuator guidance.

News of First Solar's restructuring Solar Project slewing drive sent its stock tumbling and required a solar energy halt in trading late yesterday. The stock price is currently down more solar inverter than 4 percent today and down solar energy about 30 percent from its solar tracker actuator November 2 closing Solar Project price.

The Solar Project restructuring will solar energy eliminate approximately 1,600 jobs, more than 25 solar energy percent of First Solar's global solar energy Solar Project  headcount.

Accelerating Solar Project rollout of solar energy the new PV module
 

First Solar is focusing on the accelerated transition to its new, larger solar module to reduce production costs, balance-of-system costs and soft costs.

According to solar slewing drive CEO Mark Widmar, the transition to the new technology will "use existing solar damper manufacturing infrastructure." The current series 4 production solar inverter will begin to be phased out later this year solar damper, but "will continue across our manufacturing lines over the course slewing drive of 2017 and 2018."
 

The company solar inverter said, "At launch, we expect the Series 6 module to have an efficiency of greater than 18 percent and exceed Photovoltaic holder 420 watts per panel. When both solar slewing drive the energy yield and efficiency advantages are taken together, we believe this will entitle Series 6 to a price benefit solar damper relative to market pricing of crystalline silicon whether multi or mono-PERC technologies," with slewing drive a "manufacturing cost slewing drive of slewing drive approximately 40 percent lower than Series solar slewing drive 4."
 

Module solar slewing drive conversion efficiency on First Solar's slewing drive best line averaged 16.6 solar slewing drive percent this quarter, and the solar tracker actuator lead line exited the quarter at 16.9 percent solar tracker actuator. For historical context,solar inverter  in solar slewing drive 2011 the company was at 11.6 percent efficiency solar tracker actuator and a cost per watt of slewing drive $0.75.
 

First Solar will deploy new module production in its "existing Ohio and Malaysia factories" and is "considering using [its] slewing drive factory in Vietnam that was constructed but never solar inverter utilized." Full Series 6 production will start in 2018, with approximately 3 gigawatts solar slewing drive of production expected in 2019.
 

Oppenheimer Equity solar tracker actuator believes solar inverter that First Solar "is pursuing its best option by ramping Series Photovoltaic holder 6,solar tracker slewing drive actuator" but notes that "significant uncertainty remains, particularly related to pricing." The solar inverter  solar slewing drive equity analyst foresees module costs approaching $0.20 per watt in 2019. Baird views the acceleration of the Series 6 as positive and said First Solar’s balance Photovoltaic holder sheet "solar slewing drive continues to be solar tracker actuator best in solar inverter industry."

A transition year 2017 guidance

The solar tracker actuator thin-film solar inverter solar leader aims for 2017 GAAP results to range from a loss of $0.10 per share to earnings of $0.45 per share, and its adjusted 2017 EPS from breakeven to earnings of $0.50 per share. The 2017 profit guidance was solar slewing drive well below consensus, as was the shipment outlook of 2.4 gigawatts to 2.6 gigawatts compared to analyst expectations of something closer to 3 solar inverter gigawatts.
 

The firm guided 2017 net sales to be between $2.5 billion and $2.6 billion, with a gross margin percentage between 12.5 percent and 14.5 percent, both metrics below analyst solar inverter slewing drive consensus.
 

First Solar is trimming its 2020 sales goal for China, and notes that "lower demand in China in the second half of 2016 has been one of the key catalysts of the recent module pricing decline." The CEO noted solar damper that "pricing pressure has not only been solar tracker actuator on modules. We solar slewing drive continue to see PPA pricing reach new lows, particularly in the solar slewing drive international markets based on bids by developers that may prove to be solar inverter solar slewing drive uneconomical."

Management solar slewing drive characterized 2017 as "a solar slewing drive transition year for First Solar."
 

This isn't the first time First Solar has restructured (and rebounded) in solar inverter recent Photovoltaic holder memory. In 2012 solar tracker actuator, First Solar closed its Frankfurt manufacturing facility and idled four solar damper production lines in Malaysia. The company slashed headcount by 2,000 positions -- about slewing drive 30 percent of its workforce -- during that painful Photovoltaic holder reset.
 

First Solar contended, "Beyond 2017, we are encouraged that we already have PPAs in place for projects totaling solar inverter  solar tracker actuator approximately 1.3 gigawatts (DC). In addition to slewing drive this contracted pipeline, we solar damper have a late-stage Photovoltaic holder  pipeline in Japan of up to 200 megawatts."
 

The solar slewing drive company reminded the analysts, "If you look at our slewing drive track record of meeting efficiency targets and module cost Photovoltaic holder work targets solar solar tracker actuator inverter across 2013, ‘14 and ‘15, Photovoltaic holder  slewing drive we have consistently met those goals. There is a very deep solar damper understanding of what solar tracker actuator it takes to Photovoltaic holder slewing drive transition...[and] improve these technologies, and we have shown a track record of being able to hit those targets. We are confident of solar damper solar inverter being able to do that again in our transition to  solar slewing drive Series 6."