First Solar, Inc. stock research
FY2025 Q4
First Solar (FSLR) Gross Margin — Quarter Ended Dec 31, 2025
Revenue, gross profit, and cost of revenue all increased compared to both the prior quarter and the same quarter last year. Gross margin improved sequentially and year-over-year, reflecting a larger proportion of revenue flowing through to gross profit relative to cost of revenue.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue, gross profit, and cost of revenue all increased compared to both the prior quarter and the same quarter last year. Gross margin improved sequentially and year-over-year, reflecting a larger proportion of revenue flowing through to gross profit relative to cost of revenue.
- The strongest observable driver is the gross margin rate, which improved from the prior quarter and from the year-ago quarter, indicating that gross profit grew faster than revenue.
- Compared to the immediately preceding quarter, revenue, gross profit, and cost of revenue were higher, and gross margin improved. Compared to the same quarter one year earlier, all metrics were higher, and gross margin strengthened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
39.5%
Gross profit
$665.3M
Revenue
$1.7B
Cost of revenue
$1.0B
Quarter-over-quarter change
+1.2 pts
Year-over-year change
+2.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2025 | $844.6M | $344.4M | $500.2M | 40.8% |
| Jun 30, 2025 | $1.1B | $499.9M | $597.3M | 45.6% |
| Sep 30, 2025 | $1.6B | $610.7M | $984.1M | 38.3% |
| Dec 31, 2025 | $1.7B | $665.3M | $1.0B | 39.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
+1.2 pts
Year-over-year change
Dec 31, 2024
+2.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver is the gross margin rate, which improved from the prior quarter and from the year-ago quarter, indicating that gross profit grew faster than revenue.
Compared to the immediately preceding quarter, revenue, gross profit, and cost of revenue were higher, and gross margin improved. Compared to the same quarter one year earlier, all metrics were higher, and gross margin strengthened.
Monitor the filing context regarding the availability of tax credit sales and potential indemnification obligations, as these could affect future results of operations and financial condition.