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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q

(Mark one)

    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2022
or
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to

Commission file number: 001-33156
fslr-20220331_g1.jpg
First Solar, Inc.
(Exact name of registrant as specified in its charter)
Delaware20-4623678
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)

350 West Washington Street, Suite 600
Tempe, Arizona 85281
(Address of principal executive offices, including zip code)

(602414-9300
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of each exchange on which registered
Common stock, $0.001 par valueFSLRThe NASDAQ Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filerAccelerated filerNon-accelerated filer
Smaller reporting companyEmerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes  No 

As of April 22, 2022, 106,584,190 shares of the registrant’s common stock, $0.001 par value per share, were outstanding.




FIRST SOLAR, INC.

FORM 10-Q FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2022

TABLE OF CONTENTS
  Page



PART I. FINANCIAL INFORMATION

Item 1. Condensed Consolidated Financial Statements (Unaudited)

FIRST SOLAR, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended
March 31,
20222021
Net sales$367,040 $803,374 
Cost of sales355,577 618,607 
Gross profit11,463 184,767 
Operating expenses:
Selling, general and administrative36,728 52,087 
Research and development27,108 19,873 
Production start-up7,338 11,354 
Total operating expenses71,174 83,314 
Gain on sales of businesses, net1,907 150,895 
Operating (loss) income(57,804)252,348 
Foreign currency loss, net(4,198)(2,595)
Interest income2,325 956 
Interest expense, net(2,865)(2,996)
Other (expense) income, net(212)8,448 
(Loss) income before taxes(62,754)256,161 
Income tax benefit (expense)19,499 (46,490)
Net (loss) income$(43,255)$209,671 
Net (loss) income per share:
Basic$(0.41)$1.98 
Diluted$(0.41)$1.96 
Weighted-average number of shares used in per share calculations:
Basic106,412 106,088 
Diluted106,412 106,890 

See accompanying notes to these condensed consolidated financial statements.
1

FIRST SOLAR, INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In thousands)
(Unaudited)
Three Months Ended
March 31,
20222021
Net (loss) income$(43,255)$209,671 
Other comprehensive loss:
Foreign currency translation adjustments
(10,125)(9,716)
Unrealized loss on marketable securities and restricted marketable securities, net of tax of $1,246 and $1,121(22,521)(16,590)
Unrealized (loss) gain on derivative instruments, net of tax of $94 and $(637)(442)3,382 
Other comprehensive loss(33,088)(22,924)
Comprehensive (loss) income$(76,343)$186,747 

See accompanying notes to these condensed consolidated financial statements.

2

FIRST SOLAR, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)
(Unaudited)
 
 
March 31,
2022
December 31,
2021
ASSETS
Current assets: 
Cash$1,326,363 $1,450,654 
Marketable securities223,091 375,389 
Accounts receivable trade, net293,357 429,436 
Accounts receivable unbilled, net28,764 25,273 
Inventories840,750 666,299 
Other current assets282,668 244,192 
Total current assets2,994,993 3,191,243 
Property, plant and equipment, net2,785,824 2,649,587 
PV solar power systems, net214,386 217,293 
Project assets391,774 315,488 
Deferred tax assets, net61,794 59,162 
Restricted marketable securities220,167 244,726 
Goodwill14,462 14,462 
Intangible assets, net42,769 45,509 
Inventories237,854 237,512 
Other assets435,202 438,764 
Total assets$7,399,225 $7,413,746 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:  
Accounts payable$146,233 $193,374 
Income taxes payable4,759 4,543 
Accrued expenses334,975 288,450 
Current portion of long-term debt4,701 3,896 
Deferred revenue218,923 201,868 
Other current liabilities25,399 34,747 
Total current liabilities734,990 726,878 
Accrued solar module collection and recycling liability137,455 139,145 
Long-term debt247,354 236,005 
Other liabilities404,251 352,167 
Total liabilities1,524,050 1,454,195 
Commitments and contingencies
Stockholders’ equity:
Common stock, $0.001 par value per share; 500,000,000 shares authorized; 106,583,300 and 106,332,315 shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively107 106 
Additional paid-in capital2,863,318 2,871,352 
Accumulated earnings3,141,200 3,184,455 
Accumulated other comprehensive loss(129,450)(96,362)
Total stockholders’ equity5,875,175 5,959,551 
Total liabilities and stockholders’ equity$7,399,225 $7,413,746 

See accompanying notes to these condensed consolidated financial statements.

3

FIRST SOLAR, INC.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(In thousands)
(Unaudited)
Three Months Ended March 31, 2022
 Common StockAdditional
Paid-In
Capital
Accumulated EarningsAccumulated
Other
Comprehensive (Loss) Income
Total
Stockholders' Equity
 SharesAmount
Balance at December 31, 2021106,332 $106 $2,871,352 $3,184,455 $(96,362)$5,959,551 
Net loss— — — (43,255)— (43,255)
Other comprehensive loss— — — — (33,088)(33,088)
Common stock issued for share-based compensation
414 1  — — 1 
Tax withholding related to vesting of restricted stock
(163) (11,505)— — (11,505)
Share-based compensation expense
— — 3,471 — — 3,471 
Balance at March 31, 2022106,583 $107 $2,863,318 $3,141,200 $(129,450)$5,875,175 
Three Months Ended March 31, 2021
 Common StockAdditional
Paid-In
Capital
Accumulated EarningsAccumulated
Other
Comprehensive (Loss) Income
Total
Stockholders' Equity
 SharesAmount
Balance at December 31, 2020105,980 $106 $2,866,786 $2,715,762 $(61,726)$5,520,928 
Net income— — — 209,671 — 209,671 
Other comprehensive loss— — — — (22,924)(22,924)
Common stock issued for share-based compensation
536   — —  
Tax withholding related to vesting of restricted stock
(205) (15,689)— — (15,689)
Share-based compensation expense
— — 2,794 — — 2,794 
Balance at March 31, 2021106,311 $106 $2,853,891 $2,925,433 $(84,650)$5,694,780 

See accompanying notes to these condensed consolidated financial statements.
4

FIRST SOLAR, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
 Three Months Ended
March 31,
20222021
Cash flows from operating activities:  
Net (loss) income$(43,255)$209,671 
Adjustments to reconcile net (loss) income to cash used in operating activities:
Depreciation, amortization and accretion65,207 63,205 
Impairments and net losses on disposal of long-lived assets1,892 4,501 
Share-based compensation3,503 3,115 
Deferred income taxes1,083 (11,538)
Gain on sales of businesses, net(1,907)(150,895)
Gains on sales of marketable securities and restricted marketable securities (11,696)
Other, net273 1,412 
Changes in operating assets and liabilities:
Accounts receivable, trade and unbilled144,286 (320,461)
Other current assets(15,044)(42,750)
Inventories(175,990)12,602 
Project assets and PV solar power systems(98,695)59,623 
Other assets(15,794)(20,814)
Income tax receivable and payable(23,502)33,278 
Accounts payable(55,371)7,853 
Accrued expenses and other liabilities74,475 (116,584)
Net cash used in operating activities(138,839)(279,478)
Cash flows from investing activities:
Purchases of property, plant and equipment(154,761)(90,155)
Purchases of marketable securities(750,220)(292,308)
Proceeds from sales and maturities of marketable securities and restricted marketable securities900,165 508,289 
Proceeds from sales of businesses1,860 145,969 
Other investing activities12 43 
Net cash (used in) provided by investing activities(2,944)271,838 
Cash flows from financing activities:
Repayment of long-term debt(737)(37,378)
Proceeds from borrowings under long-term debt, net of discounts and issuance costs18,006 21,616 
Payments of tax withholdings for restricted shares(11,505)(15,689)
Net cash provided by (used in) financing activities5,764 (31,451)
Effect of exchange rate changes on cash, cash equivalents and restricted cash15,162 (652)
Net decrease in cash, cash equivalents and restricted cash(120,857)(39,743)
Cash, cash equivalents and restricted cash, beginning of the period1,455,837 1,273,594 
Cash, cash equivalents and restricted cash, end of the period$1,334,980 $1,233,851 
Supplemental disclosure of noncash investing and financing activities:  
Property, plant and equipment acquisitions funded by liabilities$105,643 $76,095 
Proceeds to be received from sales of businesses$ $156,965 

See accompanying notes to these condensed consolidated financial statements.
5

FIRST SOLAR, INC.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)

1. Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of First Solar, Inc. and its subsidiaries in this Quarterly Report have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission (the “SEC”). Accordingly, these interim financial statements do not include all of the information and footnotes required by U.S. GAAP for annual financial statements. In the opinion of First Solar management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement have been included. Certain prior period balances have been reclassified to conform to the current period presentation.

The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Despite our intention to establish accurate estimates and reasonable assumptions, actual results could differ materially from such estimates and assumptions. Operating results for the three months ended March 31, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022 or for any other period. The condensed consolidated balance sheet at December 31, 2021 has been derived from the audited consolidated financial statements at that date, but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These interim financial statements and notes should be read in conjunction with the audited financial statements and notes thereto for the year ended December 31, 2021 included in our Annual Report on Form 10-K, which has been filed with the SEC.

Unless expressly stated or the context otherwise requires, the terms “the Company,” “we,” “us,” “our,” and “First Solar” refer to First Solar, Inc. and its consolidated subsidiaries, and the term “condensed consolidated financial statements” refers to the accompanying unaudited condensed consolidated financial statements contained in this Quarterly Report.

2. Sales of Businesses

Sales of North American and International O&M Operations

In August 2020, we entered into an agreement with a subsidiary of Clairvest Group, Inc. (“Clairvest”) for the sale of our North American operations and maintenance (“O&M”) operations. In March 2021, we completed the transaction and received initial consideration of $146.0 million. As a result of this transaction, we recognized a gain of $119.2 million, net of transaction costs, during the three months ended March 31, 2021, which was included in “Gain on sales of businesses, net” in our condensed consolidated statements of operations.

In January 2022, we completed the sale of certain international O&M operations to a separate subsidiary of Clairvest for consideration of $1.9 million. As a result of this transaction, we recognized a gain of $1.9 million, net of transaction costs and post-closing adjustments, during the three months ended March 31, 2022, which was included in “Gain on sales of businesses, net” in our condensed consolidated statements of operations.

6

Sale of U.S. Project Development Business

In January 2021, we entered into an agreement with Leeward Renewable Energy Development, LLC (“Leeward”), a subsidiary of the Ontario Municipal Employees Retirement System, for the sale of our U.S. project development business. In March 2021, we completed the transaction and received consideration of $151.4 million for the sale of such business. As a result of this transaction, we recognized a gain of $31.8 million, net of transaction costs, during the three months ended March 31, 2021, which was included in “Gain on sales of businesses, net” in our condensed consolidated statements of operations.

3. Cash and Marketable Securities

Cash and marketable securities consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
March 31,
2022
December 31,
2021
Cash$1,326,363 $1,450,654 
Marketable securities:
Foreign debt85,010 103,317 
U.S. debt18,030 18,627 
Time deposits120,051 253,445 
Total marketable securities223,091 375,389 
Total cash and marketable securities$1,549,454 $1,826,043 

The following table provides a reconciliation of cash and restricted cash reported within our condensed consolidated balance sheets as of March 31, 2022 and December 31, 2021 to the total of such amounts as presented in the condensed consolidated statements of cash flows (in thousands):
Balance Sheet Line ItemMarch 31,
2022
December 31,
2021
CashCash$1,326,363 $1,450,654 
Restricted cash current
Other current assets2,353 1,532 
Restricted cash noncurrent
Other assets6,264 3,651 
Total cash and restricted cash$1,334,980 $1,455,837 

During the three months ended March 31, 2021, we sold marketable securities for proceeds of $5.5 million and realized gains of less than $0.1 million on such sales. See Note 8. “Fair Value Measurements” to our condensed consolidated financial statements for information about the fair value of our marketable securities.

7

The following tables summarize the unrealized gains and losses related to our available-for-sale marketable securities, by major security type, as of March 31, 2022 and December 31, 2021 (in thousands):
 As of March 31, 2022
Amortized
Cost
Unrealized
Gains
Unrealized
Losses
Allowance for Credit LossesFair
Value
Foreign debt$85,228 $26 $220 $24 $85,010 
U.S. debt19,000  968 2 18,030 
Time deposits120,085   34 120,051 
Total$224,313 $26 $1,188 $60 $223,091 
 As of December 31, 2021
Amortized
Cost
Unrealized
Gains
Unrealized
Losses
Allowance for Credit LossesFair
Value
Foreign debt$103,263 $81 $18 $9 $103,317 
U.S. debt19,003 10 384 2 18,627 
Time deposits253,531   86 253,445 
Total$375,797 $91 $402 $97 $375,389 

The following table presents the change in the allowance for credit losses related to our available-for-sale marketable securities for the three months ended March 31, 2022 and 2021 (in thousands):
Three Months Ended
March 31,
20222021
Allowance for credit losses, beginning of period$97 $121 
Provision for credit losses, net49 122 
Sales and maturities of marketable securities(86)(105)
Allowance for credit losses, end of period$60 $138 

The contractual maturities of our marketable securities as of March 31, 2022 were as follows (in thousands):
Fair
Value
One year or less$214,062 
One year to two years 
Two years to three years 
Three years to four years4,635 
Four years to five years 
More than five years4,394 
Total$223,091 

8

4. Restricted Marketable Securities

Restricted marketable securities consisted of the following as of March 31, 2022 and December 31, 2021 (in thousands):
 
 
March 31,
2022
December 31,
2021
Foreign government obligations$57,867 $64,855 
Supranational debt10,085 10,997 
U.S. debt131,862 145,326 
U.S. government obligations20,353 23,548 
Total restricted marketable securities$220,167 $244,726 

Our restricted marketable securities represent long-term investments to fund the estimated future cost of collecting and recycling modules covered under our solar module collection and recycling program. We have established a trust under which estimated funds are put into custodial accounts with an established and reputable bank, for which First Solar, Inc.; First Solar Malaysia Sdn. Bhd.; and First Solar Manufacturing GmbH are grantors. As of March 31, 2022 and December 31, 2021, such custodial accounts also included noncurrent restricted cash balances of $3.5 million and $0.9 million, respectively, which were reported within “Other assets.” Trust funds may be disbursed for qualified module collection and recycling costs (including capital and facility related recycling costs), payments to customers for assuming collection and recycling obligations, and reimbursements of any overfunded amounts. Investments in the trust must meet certain investment quality criteria comparable to highly rated government or agency bonds. As necessary, we fund any incremental amounts for our estimated collection and recycling obligations on an annual basis based on the estimated costs of collecting and recycling covered modules, estimated rates of return on our restricted marketable securities, and an estimated solar module life of 25 years, less amounts already funded in prior years.

During the three months ended March 31, 2021, we sold all our restricted marketable securities for proceeds of $258.9 million and realized gains of $11.7 million on such sales. See Note 8. “Fair Value Measurements” to our condensed consolidated financial statements for information about the fair value of our restricted marketable securities.

The following tables summarize the unrealized gains and losses related to our restricted marketable securities, by major security type, as of March 31, 2022 and December 31, 2021 (in thousands):

 As of March 31, 2022
Amortized
Cost
Unrealized
Gains
Unrealized
Losses
Allowance for Credit LossesFair
Value
Foreign government obligations$65,733 $ $7,854 $12 $57,867 
Supranational debt11,310  1,225  10,085 
U.S. debt149,623  17,728 33 131,862 
U.S. government obligations24,618  4,260 5 20,353 
Total$251,284 $ $31,067 $50 $220,167 
9

 As of December 31, 2021
Amortized
Cost
Unrealized
Gains
Unrealized
Losses
Allowance for Credit LossesFair
Value
Foreign government obligations$66,867 $ $2,002 $10 $64,855 
Supranational debt11,362  365  10,997 
U.S. debt150,060  4,697 37 145,326 
U.S. government obligations24,640  1,086 6 23,548 
Total$252,929 $ $8,150 $53 $244,726 

The following table presents the change in the allowance for credit losses related to our restricted marketable securities for the three months ended March 31, 2022 and 2021 (in thousands):
Three Months Ended
March 31,
20222021
Allowance for credit losses, beginning of period$53 $13 
Provision for credit losses, net(3)16 
Sales of restricted marketable securities (29)
Allowance for credit losses, end of period$50 $ 

As of March 31, 2022, the contractual maturities of our restricted marketable securities were between 9 years and 17 years.

5. Consolidated Balance Sheet Details

Accounts receivable trade, net

Accounts receivable trade, net consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Accounts receivable trade, gross$293,836 $430,100 
Allowance for credit losses(479)(664)
Accounts receivable trade, net$293,357 $429,436 

Accounts receivable unbilled, net

Accounts receivable unbilled, net consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Accounts receivable unbilled, gross$28,764 $25,336 
Allowance for credit losses (63)
Accounts receivable unbilled, net$28,764 $25,273 

10

Allowance for credit losses

The following tables present the change in the allowances for credit losses related to our accounts receivable for the three months ended March 31, 2022 and 2021 (in thousands):
Three Months Ended
March 31,
Accounts receivable trade20222021
Allowance for credit losses, beginning of period$664 $3,009 
Provision for credit losses, net(185)2,915 
Writeoffs (97)
Allowance for credit losses, end of period$479 $5,827 
Three Months Ended
March 31,
Accounts receivable unbilled20222021
Allowance for credit losses, beginning of period$63 $303 
Provision for credit losses, net(63)(27)
Allowance for credit losses, end of period$ $276 

Inventories

Inventories consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Raw materials$399,138 $404,727 
Work in process57,854 65,573 
Finished goods621,612 433,511 
Inventories$1,078,604 $903,811 
Inventories – current$840,750 $666,299 
Inventories – noncurrent$237,854 $237,512 

Other current assets

Other current assets consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Spare maintenance materials and parts$111,651 $112,070 
Prepaid income taxes64,705 41,379 
Operating supplies40,896 41,034 
Prepaid expenses30,186 28,232 
Derivative instruments (1)14,854 5,816 
Restricted cash2,353 1,532 
Other18,023 14,129 
Other current assets$282,668 $244,192 
——————————
(1)See Note 6. “Derivative Financial Instruments” to our condensed consolidated financial statements for discussion of our derivative instruments.

11

Property, plant and equipment, net

Property, plant and equipment, net consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Land$18,041 $18,359 
Buildings and improvements 693,740 693,289 
Machinery and equipment 2,566,495 2,527,627 
Office equipment and furniture140,292 139,611 
Leasehold improvements40,594 40,517 
Construction in progress614,845 461,708 
Property, plant and equipment, gross4,074,007 3,881,111 
Accumulated depreciation(1,288,183)(1,231,524)
Property, plant and equipment, net$2,785,824 $2,649,587 

Depreciation of property, plant and equipment was $58.6 million and $56.8 million for the three months ended March 31, 2022 and 2021, respectively.

PV solar power systems, net

PV solar power systems, net consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
PV solar power systems, gross $281,498 $281,660 
Accumulated depreciation(67,112)(64,367)
PV solar power systems, net$214,386 $217,293 

Depreciation of PV solar power systems was $2.8 million and $3.0 million for the three months ended March 31, 2022 and 2021, respectively.

We evaluate our PV solar power systems for impairment under a held and used impairment model whenever events or changes in circumstances arise that may indicate that the carrying amount of a particular system may not be recoverable. Such events or changes may include a significant decrease in the market price of the asset, current-period operating or cash flow losses combined with a history of such losses or a projection of future losses associated with the use of the asset, and changes in expectations regarding our intent to hold the asset on a long-term basis or the timing of a potential asset disposition.

As of March 31, 2022 and December 31, 2021, the recoverability of our Luz del Norte PV solar power plant was based, in part, on the likelihood of our continued ownership and operation of the system. However, it is reasonably possible that our intent to hold the asset may change in the near term due to our evaluation of strategic sale opportunities for the system. The pursuit of such opportunities, which require coordination with the system’s lenders, may result in a determination that the carrying value of the system is not recoverable based on the probability-weighted undiscounted future cash flows, which in turn could result in a possible impairment of the system in future periods. Accordingly, any changes in our expected use of the asset or its disposition may result in impairment charges that could be material to our condensed consolidated financial statements and have a significant adverse impact on our results of operations.

12

Project assets

Project assets consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Project assets – development costs, including project acquisition and land costs$107,609 $117,407 
Project assets – construction costs284,165 198,081 
Project assets$391,774 $315,488 

Goodwill

Goodwill for the relevant reporting unit consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
December 31,
2021
Acquisitions (Impairments)March 31,
2022
Modules$407,827 $ $407,827 
Accumulated impairment losses(393,365) (393,365)
Goodwill$14,462 $ $14,462 

Intangible assets, net

Intangible assets, net consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
March 31, 2022
 Gross AmountAccumulated AmortizationNet Amount
Developed technology$99,964 $(64,451)$35,513 
Power purchase agreements6,486 (1,703)4,783 
Patents8,480 (6,007)2,473 
Intangible assets, net$114,930 $(72,161)$42,769 
December 31, 2021
 Gross AmountAccumulated AmortizationNet Amount
Developed technology$99,964 $(61,985)$37,979 
Power purchase agreements6,486 (1,621)4,865 
Patents8,480 (5,815)2,665 
Intangible assets, net$114,930 $(69,421)$45,509 

Amortization of intangible assets was $2.7 million for the three months ended March 31, 2022 and 2021.

13

Other assets

Other assets consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Operating lease assets (1)$197,058 $207,544 
Advanced payments for raw materials91,854 86,962 
Income tax receivables39,862 39,862 
Indirect tax receivables28,980 21,873 
Accounts receivable unbilled, net19,387 20,840 
Accounts receivable trade, net9,376 21,293 
Restricted cash6,264 3,651 
Other42,421 36,739 
Other assets$435,202 $438,764 
——————————
(1)See Note 7. “Leases” to our condensed consolidated financial statements for discussion of our lease arrangements.

Accrued expenses

Accrued expenses consisted of the following at March 31, 2022 and December 31, 2021 (in thousands):
 March 31,
2022
December 31,
2021
Accrued property, plant and equipment$77,101 $42,031 
Accrued freight76,855 61,429 
Accrued project costs63,333 48,836 
Accrued inventory 49,543 42,170 
Accrued compensation and benefits21,295 34,606 
Product warranty liability (1)11,809 13,598 
Accrued other taxes11,597 23,103 
Other23,442 22,677 
Accrued expenses$334,975