SolarEdge Reports ‘Record’ 2022 Revenues, Up 58% Annually

SolarEdge Gets Ready To Start Shipping Initial Products From US Fab By Q3/2023, After Reporting Strong Financials In 2022

SolarEdge Reports ‘Record’ 2022 Revenues, Up 58% Annually

SolarEdge has published its 2022 and Q4/2022 financial results. (Source: SolarEdge Technologies, Inc)

  • SolarEdge reported 2022 revenues to have gone up 58% annually to $3.11 billion
  • Its Q4/2022 revenues of $890.7 million comprise $837 million from the solar segment
  • Management guides for Q1/2023 revenues to fall within the range of $915 million to $945 million, with solar segment contributing $875 million to $905 million

Israel based solar inverter supplier SolarEdge Technologies, Inc exited 2022 with ‘record’ revenues of $3.11 billion that increased 58% annually, including $890.7 million in Q4/2022 as it expects to start rolling out initial products from the planned US manufacturing facility in Q3/2023.

While its revenues increased in 2022, SolarEdge reported 27.2% annual GAAP gross margin, down from 32% in 2021 while that of solar energy was 29.8%, down from 36.4% in the previous year. Its net income too declined to $93.8 million, having come down from $169.2 million last year.

Even for quarterly results of Q4/2022, $890.7 million included $837 million from the solar segment that increased its share 6% sequentially and 66% annually. GAAP gross margin for the quarter was 29.3% having dropped from 29.1% from last year, while solar segment’s gross margin of 32.4% dropped from 32.8% in Q4/2021 (see SolarEdge’s Q4/2021 Financial Results).

In a call with analysts to share the results, SolarEdge said its Q4/2022 solar revenues came majorly from the European Union (EU) accounting for 57% of the total, with the US following next with 36% and rest of the world 7%.

The company shipped 3.14 GW AC of inverters and 217.6 MWh of batteries in Q4/2022, that contributed to 10.5 GW AC and 889 MWh shipped in 2022, respectively.

SolarEdge said the company’s current commercial and industrial (C&I) backlog has more than doubled since the beginning of 2022 which gives it a healthy perspective for 2023. Till the end of March 2022, it was reportedly 5.5 GW.

Talking about its US manufacturing plans, the management said it will opt for a mix of contract as well as company owned facilities for this market. It expects to manufacture its initial products from the fab by Q3/2023, with majority of the Inflation Reduction Act (IRA) accredited residential and commercial products for the US to be manufactured within the country by H2/2024 (see SolarEdge Reports $837 Million Revenues in Q3/2022).


Moving forward, the company has guided for its Q1/2023 revenues to fall within the range of $915 million to $945 million, with solar segment contributing anywhere between $875 million to $905 million. Non-GAAP gross margin for total revenue is likely to be around 28% to 31% and for solar the guidance is within 31% to 34% range.

Philip Shen of Roth Capital Partners anticipates slowdown in the residential US segment, but believes for SolarEdge it will likely be compensated by the EU. Jeffrey Osborne of Cowen also stated, “While management echoed a softening in the US residential market in the immediate term, the company’s relative strength in European and commercial markets afford it the ability to better navigate the expected near-term headwinds.”

About The Author

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews. Anu is our solar news whirlwind. At TaiyangNews she covers everything that is of importance in the world of solar power.

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