US thin-film solar module manufacturer, First Solar Inc, posted a net profit of USD 236.6 million (EUR 220.8m) for the first quarter of 2024, compared to USD 42.6m a year earlier. The company’s gross profit margin increased to 43.6% from 20.4% in Q1, attributed to the recognition of Section 45X advanced manufacturing production credit, reduced sales freight costs, and a higher average selling price (ASP). Net sales expanded 45% year-over-year to USD 794.1 million, mainly due to an increase in the module sales to third parties and an increased ASP per watt of the company’s modules. Despite this, net sales were below the previous quarter level due to seasonal reductions in module sales. First Solar expects to produce between 15.6 GW and 16 GW for the whole of 2024 and sell between 15 and 16.3 GW of solar modules. Volatility in the industry is due to structural overcapacity in China, with China ending 2023 with 861 GW of capacity, significantly exceeding the 2023 global deployments.
Solar Dominates US Energy Capacity Growth
The Federal Energy Regulatory Commission (FERC) has published data showing that solar accounted for over 75% of US electrical generating
