NASDAQ$ENPH

Enphase Energy Inc. · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Enphase reported a decrease in revenue due to reduced shipments and softened demand, while non-GAAP gross margin increased due to IRA benefits.

Enphase Energy reported Q4 2023 revenue of $302.6 million, a decrease from the previous quarter. The company's non-GAAP gross margin was 50.3%, and it shipped 660.1 MWdc of microinverters and 80.7 MWh of IQ Batteries. Enphase is streamlining manufacturing by ceasing operations at its Romania and Wisconsin locations.

  • Q4 revenue was $302.6 million.
  • Shipped 660.1 MWdc of microinverters and 80.7 MWh of IQ Batteries.
  • Non-GAAP gross margin was 50.3% with net IRA benefit.
  • Exited Q4 with $1.70 billion in cash, cash equivalents, and marketable securities.

Headline financials

Total Revenue

$303M

Previous: $725M-58.2%
EPS (adj)

$0.54

Previous: $1.51-64.2%
Microinverters shipped

1.6M

Previous: 4.9M-67.3%
MW DC shipped

660.1

Previous: 2.0M-100.0%
Capital Expenditures

-$20.1M

No prior period
Net Income

$20.9M

Previous: $154M-86.4%
Operating Income

-$10.2M

Previous: $157M-106.5%
Gross Profit

$147M

Previous: $311M-52.8%
R&D Expense

$55.3M

No prior period

Revenue & EPS history

Enphase · Revenue · Quarterly

$303M

Q4 2023-58.2%vs Q4 2022
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

Enphase Energy anticipates revenue between $260.0 million and $300.0 million for Q1 2024, including 70 to 90 MWh of IQ Battery shipments. GAAP gross margin is expected to be 42.0% to 45.0%, and non-GAAP gross margin is expected to be 44.0% to 47.0%, both with net IRA benefit.

Tailwinds

  • Revenue to be within a range of $260.0 million to $300.0 million
  • Shipments of 70 to 90 megawatt hours of IQ Batteries
  • GAAP gross margin to be within a range of 42.0% to 45.0%, with net IRA benefit
  • Non-GAAP gross margin to be within a range of 44.0% to 47.0% with net IRA benefit and 40.0% to 43.0% excluding net IRA benefit
  • Net IRA benefit to be within a range of $12.0 to $14.0 million based on estimated shipments of 500,000 units of U.S. manufactured microinverters

Headwinds

  • GAAP operating expenses to be within a range of $144.0 million to $148.0 million
  • Non-GAAP operating expenses to be within a range of $80.0 million to $84.0 million, excluding $64.0 million estimated for stock-based compensation expense, acquisition related expenses and amortization, and restructuring and asset impairment charges
  • The declines were primarily the result of reduced shipments to manage high inventory at our distribution partners along with a further softening in demand.
  • Our revenue in the United States for the fourth quarter of 2023 decreased approximately 35%, compared to the third quarter of 2023.
  • Our revenue in Europe decreased approximately 70%, compared to the third quarter of 2023.

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 Q4 2023

Historical avgQ4 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

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