First Solar's shares dropped 14% after missing earnings and revenue forecasts due to tariffs, permitting delays, and weak U.S. demand, despite strong backlog and revenue growth.

First Solar's shares fell nearly 14% after reporting fourth-quarter 2025 earnings of $4.84 per share, slightly below expectations, despite revenue of $1.68 billion, up 11.1% year-over-year. The company projected 2026 net sales of $4.9 billion to $5.2 billion, well below the $6.12 billion analysts expected, citing ongoing tariff impacts, permitting delays, and underutilized international facilities. Although full-year 2025 sales reached $5.2 billion and the backlog stood at 50.1 gigawatts, rising tariffs and weak U.S. residential demand are weighing on outlook. The company expects $125 million to $135 million in net tariff costs in 2026 and plans to ramp up U.S. manufacturing with new facilities in Louisiana and South Carolina.