Solar Accounting Practices Questioned

Some analysts have expressed concern that major solar firms like First Solar Inc. (Nasdaq: FSLR) may be using "aggressive accounting methods" according to a Reuters report.

First Solar denied the claim in an e-mail, stating that it reports operating income and cash in accordance with US Generally Accepted Accounting Principles (GAAP).

Analysts have said that cash flow at major solar companies has fallen behind reported profit. First Solar attributed the discrepancy to several factors, including an extension of payment periods and longer shipping times from its Malaysian factory.

Read the full report at the link below.