NASDAQ$ENPH

Enphase Energy Inc. · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Enphase reported a decrease in revenue due to macroeconomic conditions, but non-GAAP gross margin increased driven by increased net IRA benefit.

Enphase Energy reported Q3 2023 revenue of $551.1 million. The company shipped 3,905,239 microinverters (1,585.6 MW DC) and 86.2 MWh of IQ Batteries. Non-GAAP gross margin was 48.4%, and the company exited the quarter with $1.78 billion in cash, cash equivalents, and marketable securities.

  • Quarterly revenue was $551.1 million.
  • GAAP gross margin was 47.5%; non-GAAP gross margin was 48.4%, inclusive of net IRA benefit of 2.6%.
  • GAAP net income was $114.0 million; non-GAAP net income was $141.8 million.
  • Free cash flow was $122.0 million; ending cash, cash equivalents, and marketable securities were $1.78 billion.

Headline financials

Total Revenue

$551M

Previous: $635M-13.2%
EPS (adj)

$1.02

Previous: $1.25-18.4%
Microinverters shipped

3.9M

Previous: 4.3M-10.1%
MW DC shipped

1.6K

Previous: 1.7K-7.2%
Capital Expenditures

-$90.3M

Previous: -$30M-200.9%
Free Cash Flow

$23.6M

Previous: $84.8M-72.1%
Net Income

$114M

Previous: $115M-0.7%
Operating Income

$118M

Previous: $135M-12.9%
Gross Profit

$262M

Previous: $268M-2.2%
Cash & Equivalents

$290M

Previous: $338M-14.1%
Total Assets

$3.55B

Previous: $2.7B+31.7%
Stock-Based Comp

$43.8M

No prior period

Revenue & EPS history

Enphase · Revenue · Quarterly

$551M

Q3 2023-13.2%vs Q3 2022
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

Enphase Energy estimates for Q4 2023 revenue to be within a range of $300.0 million to $350.0 million, which includes shipments of 80 to 100 megawatt hours of IQ Batteries. GAAP gross margin to be within a range of 46.0% to 49.0% with net IRA benefit and 38.0% to 41.0% before net IRA benefit.

Tailwinds

  • Revenue to be within a range of $300.0 million to $350.0 million
  • Shipments of 80 to 100 megawatt hours of IQ Batteries
  • GAAP gross margin to be within a range of 46.0% to 49.0% with net IRA benefit
  • Non-GAAP gross margin to be within a range of 48.0% to 51.0% with net IRA benefit
  • Net IRA benefit to be within a range of $26.0 to $28.0 million

Headwinds

  • GAAP gross margin to be within a range of 38.0% to 41.0% before net IRA benefit
  • Non-GAAP gross margin to be within a range of 40.0% to 43.0% before net IRA benefit
  • GAAP operating expenses to be within a range of $142.0 million to $146.0 million
  • Non-GAAP operating expenses to be within a range of $85.0 million to $89.0 million, excluding $57.0 million estimated for stock-based compensation expense and acquisition related expenses and amortization
  • GAAP and non-GAAP annualized effective tax rate with IRA benefit is expected to be within a range of 21.0% to 23.0%

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

+2.5%

Avg return

Earnings day

+5.0%

Avg return

5 days after

+14.3%

Avg return

30 days after

52%

29 / 56 earnings

Positive

+39.3%

Q4 2019

Best reaction

-33.2%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+34.8%+15.5%+118.7%
Q1 2026+4.5%-5.2%+98.9%
Q3 2025-15.2%-19.6%-21.4%
Q1 2025-15.6%-13.0%-25.8%
Q4 2024-1.5%-4.8%-7.0%
Q3 2024-13.2%-7.3%-29.7%
Q2 2024+11.6%+13.9%+10.3%
Q1 2024-3.0%+1.3%+6.3%
Q4 2023+20.2%+25.2%+32.6%
Q3 2023-13.0%-15.7%+6.2%
Q2 2023-11.0%-13.3%-28.4%
Q1 2023-27.1%-26.9%-26.7%
Q4 2022-1.8%-4.9%-3.2%
Q3 2022+15.2%+20.5%+24.7%
Q2 2022+16.6%+30.0%+37.2%
Q1 2022+5.1%+2.4%+13.4%
Q4 2021+15.0%+3.5%+27.0%
Q3 2021+20.5%+29.1%+42.2%
Q2 2021+2.7%+7.3%-2.4%
Q1 2021-14.9%-19.3%-17.6%
Q4 2020+2.1%+4.4%-16.4%
Q3 2020-0.8%-5.4%+34.1%
Q2 2020+22.5%+19.0%+10.8%
Q1 2020+19.8%+30.2%+17.4%
Q4 2019+39.3%+43.8%-36.1%
Q3 2019-26.3%-26.0%-9.4%
Q2 2019+32.8%+37.4%+46.9%
Q1 2019+27.1%+35.5%+54.5%
Q4 2018+10.0%+12.9%+12.7%
Q3 2018+4.6%+3.2%+8.9%
Q2 2018-1.6%-5.6%-17.1%
Q1 2018+11.6%+3.6%+38.1%
Q4 2017+23.9%+28.0%+70.5%
Q3 2017+17.4%+32.2%+87.9%
Q2 2017+6.7%-5.7%+49.4%
Q1 2017-9.4%-29.1%-32.5%
Q4 2016-15.3%-22.6%-28.9%
Q3 2016+17.0%+17.0%+11.0%
Q2 2016-1.1%+4.4%+0.6%
Q1 2016-18.0%
Q4 2015-10.4%
Q3 2015-33.2%
Q2 2015+27.6%
Q1 2015-12.8%
Q4 2014-7.2%
Q3 2014-18.8%
Q2 2014+13.8%
Q1 2014+7.3%
Q4 2013+10.5%
Q3 2013+0.9%
Q2 2013-9.1%
Q1 2013-5.2%
Q4 2012+5.4%
Q3 2012-12.8%
Q2 2012-8.2%
Q1 2012-0.4%
Q4 2011
Q3 2011
Q2 2011
Q1 2011
Q4 2010
Q3 2010
Q2 2010
Q1 2010

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro