SolarEdge expects to break more records in Q1

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from pv magazine Global

Israeli solar inverter and battery maker SolarEdge has said it expects its record-breaking run for revenue, including from its solar business, to continue during the April-June 2022 reporting period.

Announcing its first-quarter 2022 figures, the manufacturer said the new high for revenue posted during the January-March period, of $655 million, is likely to be topped by an expected $710 million to $740 million for April to June.

That first-quarter 2022 figure included solar business trade worth $608 million, a record for SolarEdge in the segment. The company expects to have generated $660 million to $690 million during the April-June period.

The company shipped 2.13 GWac worth of inverters in the first three months of the 2022, although its net income slipped 19% from the final three months of 2021 to $33.1 million. No explanation was given for the reverse in the press release issued by SolarEdge to announce the results, nor on the investor slide presentation on the company website as pv magazine went to press. But it could reflect the rising materials and shipping costs which have dogged solar manufacturers worldwide, especially as CEO Zvi Lando stated the rise in revenue was driven by business in the United States and 14 European countries.

Gross margin in the company’s solar business also slipped, from 34.5% in the first three months of 2021, and 32.8% in October-December 2021, to 30.2% in the first three months of 2022. The figure could retreat again during April-June 2022, with SolarEdge stating it could range from 28% to 31%.

Whatever the explanation for the quarterly changes, they do not appear to have affected the company’s bottom line. With SolarEdge raising $651 million on March 17, the cash and bank balances that amounted to $548 million at the end of December 2021 had risen to $979 million by the end of March 2022, the company said.

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