Enphase Energy, Inc. (ENPH) reported first-quarter 2024 adjusted earnings of 35 cents per share, highlighting a 74.5% decline from $1.37 reported in the prior-year quarter. The bottom line also lagged the Zacks Consensus Estimate of 42 cents per share by 16.7%.Including one-time adjustments, the company posted a GAAP loss of 12 cents per share, which significantly deteriorated from the year-ago quarter’s earnings of $1.02.RevenuesEnphase Energy’s first-quarter revenues of $263.3 million missed the Zacks Con ...

Key TakeawaysEnphase Energy shares slumped more than 8% in premarket trading Wednesday after the solar solutions maker missed analysts' Q1 earnings and sales estimates, and issued a soft current-quarter sales outlook.The company said a further softening of the U.S. solar market, along with seasonality factors and a reduction in shipping, weighed on revenue in the quarter.A close below last week's low at $105.61 could see a continuation of the long-term downtrend in Enphase shares. Enphase Energy (ENPH) rele ...

Financial Data and Key Metrics Changes - The company reported quarterly revenue of $263.3 million, a decrease from the previous quarter, with a gross margin of 46% and operating income of 15% on a non-GAAP basis [27][56] - Non-GAAP net income for Q1 was $48 million, down from $73.5 million in Q4, resulting in non-GAAP diluted earnings per share of $0.35 compared to $0.54 in Q4 [56][80] - GAAP net loss for Q1 was $16.1 million, compared to a net income of $20.9 million in Q4, leading to a GAAP diluted loss per share of $0.12 [56][80] Business Line Data and Key Metrics Changes - Approximately 1.4 million microinverters and 75.5 megawatt hours of batteries were shipped in Q1, with a focus on reducing channel inventory by $113 million [27][28] - The company shipped about 506,000 microinverters from US manufacturing facilities that qualified for 45X production tax credits [28] - The sell-through of microinverters and batteries in the US was down 23% in Q1 compared to Q4, with California experiencing a 30% decline [29][44] Market Data and Key Metrics Changes - In non-California states, overall sell-through was down 21% in Q1 compared to Q4, while in California, sell-through of microinverters was down 37% and batteries down 18% [29][44] - In the Netherlands, sell-through was down 4% compared to Q4, but demand signals improved following government support for net metering [30] - The company reported a 70% sequential revenue increase in Europe, with sell-through of microinverters up 3% and batteries up 28% in Q1 [45] Company Strategy and Development Direction - The company plans to increase battery manufacturing capability in the US during Q3 2024 and is focused on operational excellence, reducing operating expenses, and maintaining healthy gross margins [28][37] - The introduction of new products, including the IQ8 Microinverters and IQ Batteries, is part of the strategy to expand market share in Europe and Asia [34][45] - The company is optimistic about the long-term potential of NEM 3.0 systems, which have a high battery attach rate and are expected to stabilize California revenue [73][77] Management's Comments on Operating Environment and Future Outlook - Management indicated that Q1 was the bottom quarter, with expectations for recovery in Q2 driven by improved demand in Europe and non-California states [68][77] - The company is cautiously optimistic about the future, noting that installers are adapting to NEM 3.0 and that financing options are becoming more available [32][123] - Management highlighted the importance of maintaining profitability and free cash flow while navigating through market challenges [52][83] Other Important Information - The company repurchased 332,735 shares at an average price of $126.21 per share, totaling approximately $42 million in Q1 [57] - Capital expenditures were reduced to $7.4 million in Q1 from $20.1 million in Q4 due to decreased US manufacturing spending [58] - The company expects GAAP gross margin to be in the range of 42% to 45% for Q2, with non-GAAP gross margin expected to be between 44% and 47% [59][84] Q&A Session Summary Question: Can you discuss the under-shipment in Q1 and the expected normalized demand? - Management acknowledged under-shipping due to softer demand and indicated that normalized demand is expected to be around $490 million after accounting for inventory adjustments [65][93] Question: What are the dynamics around pricing and discounts as inventory is cleared? - Management emphasized discipline in pricing and indicated that the average selling price (ASP) variance is primarily due to product mix rather than price drops [64][90] Question: How is the company forecasting sell-through for Q2? - Management noted that sell-through demand is expected to increase to $400 million in Q2, reflecting improved conditions in various markets [68][93] Question: What is the outlook for new markets and energy storage? - Management expressed confidence in the growth of energy storage and the transition to solar plus storage in new markets, particularly in Europe [89][120]

Enphase Energy (ENPH) came out with quarterly earnings of $0.35 per share, missing the Zacks Consensus Estimate of $0.42 per share. This compares to earnings of $1.37 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -16.67%. A quarter ago, it was expected that this solar technology company would post earnings of $0.54 per share when it actually produced earnings of $0.54, delivering no surprise.Over the last four quarters, the ...

Revenue and Sales Performance - Net revenues for the three months ended March 31, 2024, decreased by $462.7 million, or 64%, compared to the same period in 2023, primarily due to a 71% decrease in microinverter units shipped[144]. - Approximately 1.4 million microinverter units were sold in Q1 2024, down from approximately 4.8 million units in Q1 2023, and IQ Batteries shipped decreased from 102.4 MWh to 75.5 MWh[145]. - The demand environment for products experienced a slowdown beginning in Q2 2023, leading to elevated inventory levels with distributors and installers[136]. - The company expects continued adverse effects on revenue in 2024 due to higher interest rates and changes in net energy metering policies in key markets[136]. Profitability and Expenses - Gross profit for Q1 2024 was $115.5 million, a decrease of $210.9 million, or 65%, from $326.4 million in Q1 2023, with a gross margin of 43.9%[146]. - Research and development expenses decreased by $2.9 million, or 5%, in Q1 2024, totaling $54.2 million, primarily due to restructuring actions[149]. - Sales and marketing expenses for Q1 2024 were $53.3 million, down $11.3 million, or 18%, from $64.6 million in Q1 2023[151]. - General and administrative expenses decreased by $1.1 million, or 3%, in Q1 2024 compared to Q1 2023, mainly from lower facility and equipment costs[154]. - Restructuring and asset impairment charges increased by $1.2 million, or 175%, in Q1 2024 compared to Q1 2023, reflecting a new restructuring plan[156]. Financial Position and Cash Flow - Cash, cash equivalents, and marketable securities decreased by $148.8 million, or 8%, to $1.63 billion in Q1 2024 compared to Q1 2023[165]. - Net cash provided by operating activities decreased by $197.0 million to $49.2 million in Q1 2024, primarily due to lower revenue[171]. - Net cash provided by investing activities was $17.7 million in Q1 2024, compared to a net cash used of $363.5 million in Q1 2023[172]. - The company repurchased 332,735 shares for an aggregate amount of $42.0 million under its share repurchase program in Q1 2024[168]. - Total debt increased by $3.5 million, or 0.3%, to $1.3 billion in Q1 2024 compared to Q1 2023, primarily due to accretion of debt discount[166]. Interest and Taxation - Interest income rose to $19.7 million in Q1 2024, up 51% from $13.0 million in Q1 2023, primarily due to increased interest rates[158]. - The income tax provision decreased by $27.5 million, or 86%, to $4.6 million in Q1 2024 from $32.1 million in Q1 2023, due to lower profitability[162]. Product and Market Information - The average selling price (ASP) for microinverters increased due to a favorable product mix, with more IQ8 microinverters sold compared to IQ7 microinverters[145]. - The company shipped approximately 75 million microinverters and deployed over 4.1 million residential and commercial systems in more than 150 countries as of March 31, 2024[132]. - The Enphase IQ Battery storage systems have usable capacities of 10.1 kWh and 3.4 kWh for the U.S. market, and 10.5 kWh and 3.5 kWh for Europe and other international markets[140].

Enphase Energy Reports Financial Results for the First Quarter of 2024 FREMONT, Calif., April 23, 2024 - Enphase Energy, Inc. (NASDAQ: ENPH), a global energy technology company and the world's leading supplier of microinverter-based solar and battery systems, announced today financial results for the first quarter of 2024, which included the summary below from its President and CEO, Badri Kothandaraman. We reported quarterly revenue of $263.3 million in the first quarter of 2024, along with 46.2% for non-GA ...

FREMONT, Calif., April 22, 2024 (GLOBE NEWSWIRE) -- Enphase Energy, Inc. (NASDAQ:ENPH), a global energy technology company and the world's leading supplier of microinverter-based solar and battery systems, announced today a new strategic relationship with global energy and tech company, Octopus Energy Group. The parties will focus on deploying Enphase IQ8™ Microinverters and IQ™ Battery 5P™ in the United Kingdom. Octopus Energy's retail customers in the United Kingdom can now integrate Enphase's home solar ...

As Earth Day 2024 approaches, it’s the perfect time to reflect on how we can invest in the planet and our future. For those looking to make a positive impact with their investments, sustainable stocks offer a compelling opportunity.These companies not only prioritize environmental conservation and sustainability but also deliver strong financial returns. This Earth Day 2024, consider investing in three sustainable stocks that are helping to build a greener future while potentially growing your wealth.The hi ...

FREMONT, Calif., April 18, 2024 (GLOBE NEWSWIRE) -- Enphase Energy, Inc. (NASDAQ:ENPH), a global energy technology company and the world's leading supplier of microinverter-based solar and battery systems, today announced the launch of the IQ® Combiner Lite in the Netherlands to simplify installation and commissioning of small-scale solar installations on homes categorized as "social housing," where rent is capped by the Dutch government to increase accessibility for people with low incomes. The Netherlands ...

Enphase Energy, Inc. (ENPH) is scheduled to report first-quarter results on Apr 23, after the closing bell.In the last reported quarter, the company’s earnings came in line with the Zacks Consensus Estimate. Enphase Energy has a trailing four-quarter average earnings surprise of 7.24%.Factors to NoteSolid shipment of batteries backed by a solid demand trend in the solar market is expected to have contributed favorably to ENPH’s top-line growth.  Region-wise, the Netherlands, France, Germany and Europe are l ...