SolarEdge Technologies, Inc. (Nasdaq: SEDG), a global leader in smart energy, today announced its financial results for the second quarter ended June 30, 2018.
Second Quarter 2018 Highlights
- Total revenues of $227.1 million
- GAAP gross margin of 36.1%
- GAAP net diluted EPS of $0.72
- Non-GAAP net diluted EPS of $0.82
- 985 Megawatts (AC) of inverters shipped
“We ended the second quarter of 2018 with record revenues, stable operating income and continued strong cash generation while expanding our activities on all fronts,” said Guy Sella, Founder, Chairman and CEO of SolarEdge. “This continued growth in the solar market coupled with the announced acquisition of Gamatronic that paves our way into the UPS market allows us to continue and expand our mid and long term profitability leveraging on our innovative technology and financial strength.”
Second Quarter 2018 Summary
The Company reported record revenues of $227.1 million, up 8% from $209.9 million in the prior quarter and up 67% from $136.1 million year over year.
GAAP gross margin was 36.1%, down from 37.9%, in the prior quarter and up from 34.6% year over year.
GAAP operating expenses was $41.3 million, up 6% from $38.8 million in the prior quarter and up 48% from $28.0 million year over year.
GAAP operating income was $40.7 million, unchanged from $40.8 million in the prior quarter and up 113% from $19.1 million year over year.
GAAP net income was $34.6 million, down 3% from $35.7 million in the prior quarter and up 53% from $22.5 million year over year.
Non-GAAP net income was $40.6 million, down 5% from $42.6 million in the prior quarter and up 57% from $25.8 million year over year.
GAAP net diluted earnings per share (“EPS”) was $0.72, down from $0.75 in the prior quarter and up from $0.50 year over year.
Non-GAAP net diluted EPS was $0.82, down from $0.87 in the prior quarter and up from $0.55 year over year.
Cash flow from operating activities was $43.9 million, down from $64.0 million in the prior quarter and up from $31.6 million year over year.
As of June 30, 2018, cash, cash equivalents, restricted cash and marketable securities totaled $437.6 million, compared to $400.8 million on March 31, 2018.
Outlook for the Third Quarter 2018
The Company also provides guidance for the third quarter ending September 30, 2018 as follows:
- Revenues to be within the range of $230 million to $240 million;
- Gross margins expected to remain flat within the range of 36% to 38%.