Enphase Energy Q2 shipments up 48% YOY


California-headquartered microinverter specialist Enphase Energy achieved record shipments in the second quarter of the year, suppling 195 MW (AC) of microinverter systems to customers globally – a year-over-year increase of 48%. Q2 shipments were also 21% higher quarter-over-quarter.

This strong performance was mirrored in the company’s revenues, which hit $102.1 million for Q2, a year-over-year increase of 25%. Revenue in Q2 2014 was $82 million in contrast.

GAAP gross margin in Q2 hit 32.3%, and non-GAAP gross margin stood at 32.7% over the quarter. This represented a quarter-over-quarter increase of 10 base points. Operating expenses were reduced by 1% compared to Q1, falling to $33.4 million (GAAP) and $30.3 million (non-GAAP), while GAAP net loss was $0.6 million – some $0.01 per share – and represented further improvement against Q2 2014, when net loss was at $3 million ($0.07 per share).

Enphase Energy president and CEO Paul Nahi called the Q2 financial results solid, adding: "Demand for our solar energy systems was strong in our core U.S. residential markets, as well as in Europe and Australia, resulting in a new quarterly shipment record of 195 MW. We continue to expand our customer base, including our recently announced partnership with Sunrun, and remain committed to developing the highest quality and most innovative solar energy system in the world."

Company CFO Kris Sennesael remarked that Enphase expects third quarter revenues to be within the range of $100 million to $105 million, and gross margin to be at around 30-32%. "We also expect non-GAAP operating expenses for the third quarter of 2015 to be flat up to 3%, compared to the second quarter of 2015," he added.

Despite this relatively soft Q3 guidance, Enphase Energy’s shares rose 4.6% on the back of the Q2 financial results – a performance boosted by the recent supply deal struck with U.S. residential installer Sunrun that will see Enphase microinverters supplied to all Sunrun home solar customers.

"The market-proven, highly reliable Enphase technology will help Sunrun continue to execute its strategy around installation efficiency and system performance," said Sunrun COO Paul Winnowksi. "Adding Enphase’s high-quality solar energy systems to our current product suite enables Sunrun to deliver best-in-class service and long-term savings to our customers. It is a great partnership between two market innovators."