FIRST SOLAR, INC. Leases Disclosure
| 2025 | 2024 | 2023 | ||||||||||||||||||
Finance lease cost: | ||||||||||||||||||||
Amortization of right-of-use assets | $ | 1,803 | $ | 924 | $ | 14 | ||||||||||||||
| Interest on lease liabilities | 2,248 | 1,451 | 51 | |||||||||||||||||
| Operating lease cost | 20,257 | 14,403 | 12,090 | |||||||||||||||||
| Variable lease cost | 3,426 | 2,902 | 3,421 | |||||||||||||||||
| Short-term lease cost | 1,200 | 954 | 472 | |||||||||||||||||
| Total lease cost | $ | 28,934 | $ | 20,634 | $ | 16,048 | ||||||||||||||
Cash paid for amounts included in the measurement of: | ||||||||||||||||||||
| Operating lease liabilities | $ | 17,663 | $ | 13,774 | $ | 11,815 | ||||||||||||||
| Finance lease liabilities | 2,188 | 677 | — | |||||||||||||||||
Lease assets obtained in exchange for: | ||||||||||||||||||||
| Operating lease liabilities | $ | 63,681 | $ | 41,772 | $ | 7,163 | ||||||||||||||
| Finance lease liabilities | 7,422 | 13,406 | 17,063 | |||||||||||||||||
| December 31, 2025 | December 31, 2024 | |||||||||||||||||||||||||
| Operating Leases | Finance Leases | Operating Leases | Finance Leases | |||||||||||||||||||||||
Lease assets | $ | 161,756 | $ | 34,302 | $ | 114,283 | $ | 29,262 | ||||||||||||||||||
Lease liabilities – current | 15,183 | 2,907 | 11,799 | 1,482 | ||||||||||||||||||||||
Lease liabilities – noncurrent | 103,753 | 34,920 | 66,211 | 29,532 | ||||||||||||||||||||||
| Weighted-average remaining lease term | 12 years | 24 years | 9 years | 28 years | ||||||||||||||||||||||
| Weighted-average discount rate | 5.7 | % | 6.6 | % | 5.5 | % | 6.6 | % | ||||||||||||||||||
Operating Leases | Finance Leases | |||||||||||||
| 2026 | $ | 20,832 | $ | 3,717 | ||||||||||
| 2027 | 14,113 | 3,766 | ||||||||||||
| 2028 | 13,670 | 3,833 | ||||||||||||
| 2029 | 11,971 | 3,924 | ||||||||||||
| 2030 | 10,345 | 3,974 | ||||||||||||
| Thereafter | 96,812 | 56,255 | ||||||||||||
| Total future payments | 167,743 | 75,469 | ||||||||||||
| Less: interest | (48,807) | (37,642) | ||||||||||||
| Total lease liabilities | $ | 118,936 | $ | 37,827 | ||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 24, 2026 | Showing above |
| 2024 | Feb 25, 2025 | |
| 2023 | Feb 27, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Mar 1, 2022 | |
| 2019 | Feb 21, 2020 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.