FSLR · 10-Q · 2026Q3 · Full report

Research and Development Expense

FIRST SOLAR, INC. · 2026-10-29 · Importance 41 · Surprise 48 · In source text

Research and development expense increased 25.6% to $210.410 million for the nine months ended September 30, 2026, from $167.468 million in 2025; three-month expense increased 10.9% to $67.223 million. The nine-month increase primarily reflected higher equipment-purchase and depreciation costs and impairment of equipment no longer expected to be used in the technology roadmap. Higher compensation costs from increased headcount and continued investment in R&D facilities and equipment also contributed to the quarterly increase.

Key facts

• R&D expense for the nine months ended September 30, 2026 was $210.410 million, up $42.942 million, or 25.6%, from $167.468 million in 2025. source
• First Solar expects a perovskite pilot line to be available in 2027 and is constructing and operating a dedicated perovskite development line in Ohio. source
• R&D expense for the three months ended September 30, 2026 was $67.223 million, up $6.631 million, or 10.9%, from $60.592 million in 2025. source
• R&D expense as a percentage of net sales was 5.5% for the three months ended September 30, 2026 versus 3.8% in 2025, and 6.3% for the nine months versus 4.7% in 2025. source
• Three-month R&D expense increased primarily because of higher compensation costs from increased headcount and higher equipment-purchase and depreciation costs from continued investment in R&D facilities and equipment. source
• Nine-month R&D expense increased primarily because of higher equipment-purchase and depreciation costs and impairment of equipment no longer expected to be used in the technology roadmap. source

Impact estimates