A U.S. maker of solar panels, T1 Energy runs a 5 GW module plant in Texas producing PERC and TOPCon panels for utility, commercial, and home use, with a solar-cell factory now going up nearby. It began life as FREYR Battery, a Norwegian startup founded in 2018, then rebranded as T1 Energy in 2025 and bought its Texas plant from Trina Solar. The old name honored Freyr, the Norse god of sunshine and good harvests — a fitting mascot for a solar company.
Revenue rose 88% to $250.1M, but a new warranty program and patent fight cloud the outlook.
rose 88% to $250.1 million as the G1 Dallas plant ramped production. grew to $49.1 million, but selling, general and administrative expenses consumed 29% of revenue and the company launched its own T1 Warranty after Trina Solar ended product warranty support. The company is now fighting a patent infringement case that could block its solar cell imports.
Key takeaways
rose 88% to $250.1 million, driven by higher production volume at the G1 Dallas solar module plant.
Cost of sales rose 101% to $201.0 million, partially offset by a $24.4 million benefit from the company deemed probable.
Selling, general and administrative expenses rose 15% to $71.9 million, driven by higher legal and professional fees tied to various transactions.
Section summaries
Management's Discussion and Analysis
Q2 2026 net sales surged 88% YoY to $250.1M driven by ramped production at G1_Dallas, while cost of sales rose 101%.
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Total reached $250.1M in Q2 2026, an 88% increase from $132.8M in Q2 2025, primarily due to higher production volume at the G1_Dallas facility.
Cost of sales increased 101% to $201.0M, driven by higher production, partially offset by a $24.4M benefit from IEEPA tariff refund claims.
The company raised $184.0 million through a 4.00% offering in April 2026, and expects Section 45X tax credits to remain a significant funding source.
First Solar initiated patent infringement proceedings seeking to block imports of the company's solar cells, and the International Trade Commission is now investigating.
Following the FEOC Restructuring, Trina Solar no longer provides product warranties, so the company launched its own T1 Warranty effective with first deliveries in July 2026.
What changed
The G1 Dallas plant restored production after a sharp pullback in Q1 2026, with rising 41% sequentially to $250.1 million from $177.6 million, though it remains below the $358.6 million peak in Q4 2025.
The company disclosed a new risk: Trina Solar ended its product warranty support after the FEOC Restructuring, forcing T1 Energy to launch its own T1 Warranty, which may be less competitive or expose the company to claims exceeding its reserves.
The First Solar patent infringement case, first flagged in Q1 2026, has now moved to an International Trade Commission investigation that could block imports of the company's solar cells.
The U.S. Customs and Border Protection duty bills on 2024 imports, previously flagged as an unquantified risk, now total $31.7 million, and the company is contesting them through an administrative protest.
What to watch
Whether the International Trade Commission investigation into First Solar's patent infringement claim results in an import ban on the company's solar cells.
Whether the new T1 Warranty, launched in July 2026 without Trina Solar's backing, affects sales cycles or customer retention.
The amount and timing of cash received from the sale of 2025 Section 45X tax credits, for which the company has an agreement to sell approximately $160 million in credits for $145.6 million.
Whether the G1 Dallas plant can sustain or grow the $250.1 million quarterly run rate and improve gross margins beyond the 20% recorded this quarter.
Selling, general and administrative expenses rose 15% to $71.9M, mainly from incremental legal and professional fees for various transactions.
Loss from continuing operations before taxes narrowed slightly to $36.1M, as growth was offset by higher operating expenses and a $7.6M decrease in other income.
Cash used in operations was $103.0M for H1 2026, worsening by $91.6M due to increased needs.
The company raised $184.0M via 4.00% in April 2026 and expects 45X Tax Credits to remain a significant funding source.
The company is involved in several legal matters including customs duties, tariff refunds, a contract dispute, and patent infringement, but believes resolution will not materially impact its finances.
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U.S. Customs and Border Protection issued notices and bills for potential duties on goods imported in 2024 by an entity acquired in the Trina Business Combination; the company is contesting these and has filed an administrative protest.
The company has submitted claims for refunds of IEEPA tariffs declared invalid by the U.S. Supreme Court and recognized a $33.5 million receivable, of which $24.4 million was deemed probable and recorded as a reduction to Cost of sales.
A subsidiary and TUS were sued by RWE Investco EPC MGMT, LLC for breach of a long-term ; the company filed a cross-complaint and a separate action to enforce a guaranty of up to $100 million.
First Solar, Inc. initiated patent infringement proceedings against the company and its subsidiaries, alleging infringement of the '074 Patent by importing certain solar cells; the district court case is stayed pending an International Trade Commission investigation.
The company states that, considering indemnities, defenses, insurance, and reserves, it believes the ultimate resolution of these matters will not materially impact its financial position, results of operations, or cash flows.
The Company's new T1 Warranty, established after the FEOC Restructuring ended Trina Solar's product warranty support, may be less competitive or expose the Company to claims exceeding insurance coverage and financial reserves.
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Following the FEOC Restructuring, Trina Solar no longer provides product warranties for the Company's PV modules, prompting the Company to launch its own T1 Warranty effective with first deliveries in July 2026.
The T1 Warranty is benchmarked against leading manufacturers' warranties and is expected to be backed by third-party insurance, but any failure in warranty support capabilities could damage customer relationships and future sales.
If the T1 Warranty is less competitive than rival offerings, or if warranty claims surpass available insurance and financial reserves, the Company may face longer sales cycles and difficulty attracting or retaining customers.