Slide 1: First Solar Q3'20 Earnings Call
First Solar Q3’20 Earnings Call October 27, 2020
Slide 2: Important Information
| Important Information Cautionary Note Regarding Forward Looking Statements This presentation contains forward-looking statements which are made pursuant to safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements in this presentation, other than statements of
Slide 3: Module Segment Update
| Module Segment Update 4.9 GW of year-to-date production(1), including 4.7 GW of Series 6 Fleet-wide Each factory averaged over 100% capacity utilization during the third quarter Performance Commenced commercial production of 445 watt modules Metrics 16.9(2) / 17.7(3) MWs produced per day a
Slide 4: Expected Module Shipments (GWDC)
| Expected Module Shipments(1) (GWDC): Systems + Third-Party Module 0.3 GW 12.2 GW 11.7 GW (3.6) GW(2) 3.8 GW (3.7) GW(2) Dec 31, 2019 YTD Shipments as of YTD Bookings as of QTD Bookings Oct 27, 2020(5) Sept 30, 2020 Sept 30, 2020(3) Q4’20(4) The above table presents the actual module shipments for
Slide 5: Potential Booking Opportunities: By Geography
| Potential Booking Opportunities: By Geography 8.3 GWDC Opportunity Other Mid-to-Late Stage Only Europe North America © 2020 Copyright First Solar, Inc. 0.7 GW contracted, subject Module: 7.7 GW to conditions precedent Systems: 0.6 GW 5 First Solar Proprietary & Confidential - Finance/Accounting/RN
Slide 6: Series 6 CuRe vs. Leading c-Si Bifacial Module
| Series 6 CuRe vs. Leading c-Si Bifacial Module (1) Expected Energy Yield Advantage Over 30 Years Series 6 CuRe Expected to unlock up to 10.0% more lifetime energy vs. © 2020 Copyright First Solar, Inc. leading bifacial c-Si… …and up to 14.0% more than traditional c-Si. Cumulative Specific Expected
Slide 7: Technology, Cost, and Risk | Levers of ASP
| Technology, Cost, and Risk | Levers of ASP Increased Energy Lower Cost per Watt (CpW) Higher BOS Higher Dev. Costs Additional Risk Series 6 Improved efficiency, Improved efficiency Minimal change to Minimal change to temperature No risk associated with CuRe coefficient, and long- reduces fixed and
Slide 8: Quarterly Income Statement Highlights
| Quarterly Income Statement Highlights (In millions, except per share amounts)(1) Q3 2020A Q2 2020A Q3 2019A QoQ Change YoY Change Net sales $928 $642 $547 $285 $381 Gross profit % 31.6% 21.4% 25.3% 10.2% 6.3% Selling, general and administrative 50 52 54 (2) (4) Research and development 23 22 25 0
Slide 9: Quarterly Balance Sheet Highlights
| Quarterly Balance Sheet Highlights (In millions)(1) Q3 2020A Q2 2020A Q3 2019A QoQ Change YoY Change Cash and marketable securities(2) $1,671 $1,642 $1,637 29 33 Accounts receivable(3) 307 352 532 (44) (225) Inventories (current and noncurrent) 765 703 729 62 36 Balance of systems parts 34 35 69 (
Slide 10: Q4'20 Guidance Assumptions
| Q4’20 Guidance Assumptions Given the uncertainty around any outcome from the evaluation of strategic options for our U.S. project development business, and the sale timing of our North American O&M business, Strategic our fourth quarter guidance assumes no change to our existing lines of busines
Slide 11: Q4'20 Guidance as of October 27, 2020
| Q4’20 Guidance as of October 27, 2020 Q4’20 Implied FY’20 Net Sales $540M to $790M $2.6B to $2.9B Gross Margin (%)(1) 26.5% to 27.0% 25% Operating Expenses(2) $90M to $95M $351M to $356M Operating Income(3) $50M to $120M $310M to $380M Earnings Per Share $1.00 to $1.50 $3.65 to $4.15 Net Cash Bala
Slide 12: Summary & Highlights
| Summary & Highlights Q3’20 EPS of $1.45 per share $1.4 billion net cash(1) position Financial Module segment gross margin expansion quarter-over-quarter Reinstated fourth quarter 2020 financial guidance Strong manufacturing performance Series 6 Each factory averaged over 100% capacity
Slide 13: © 2020 Copyright First Solar, Inc.
© 2020 Copyright First Solar, Inc. 13 First Solar Proprietary & Confidential - Finance/Accounting/RND