SolarEdge Announces Restructuring Plan To Cut Costs

• Israel's SolarEdge has announced job cuts as part of its restructuring plan 
• It would cut down 16% of the global workforce, or around 900 jobs 
• The management said this is aimed at aligning the company's cost structure to current market dynamics 

Israel-headquartered solar PV inverter manufacturer SolarEdge Technologies says it will cut down its global workforce by 16% to reduce its operating expenses and 'align cost structure to current market dynamics.' 

It would entail letting go of close to 900 employees, of which the largest chunk of around 500 will be removed from various manufacturing sites. 

"We have made a very difficult, but necessary decision to implement a workforce reduction and other cost-cutting measures in order to align our cost structure with the rapidly changing market dynamics," said company CEO Zvi Lando. 

The management plans to share the details during its end-of-year financial results reporting at the end of February 2024. 

Lando also stated, "We remain confident in the long-term growth of the solar energy market and our leading position in the smart energy space." 

Earlier this year, BlackRock increased its total stake in SolarEdge to 15.8%. 

This move follows the company's 2023 decision to discontinue manufacturing in Mexico and reduce capacity in China, due to lower demand environment that it expects to persist (see SolarEdge Reports Q3/2023 GAAP Net Loss Of $61.2 Million). 

Bulging inventories of solar products in European warehouses and high interest rates in the US prompted solar microinverter manufacturer Enphase Energy to reduce its global workforce by 10% as announced by the company in December 2023 (see Troubled Times For US Solar PV Industry?).