Enphase Energy Posts $282.9M Q1 Revenue, 43.9% Margin and Unveils 98.5% Efficient IQ SST
Enphase Energy reported Q1 2026 revenue of $282.9 million, non-GAAP gross margin of 43.9% and non-GAAP net income of $62.3 million. The company unveiled the IQ SST solid-state transformer for AI data centers, promising 98.5% efficiency and an 11 GW U.S. addressable market by 2031.
1. Q1 2026 Financial Results
Enphase Energy generated $282.9 million in revenue during Q1 2026, down from $343.3 million in Q4 2025, and reported a GAAP gross margin of 35.5% and non-GAAP gross margin of 43.9% (including a 4.3% tariff impact). The company recorded a GAAP net loss of $7.4 million and non-GAAP net income of $62.3 million, produced $83.0 million in free cash flow, and ended the quarter with $930.6 million in cash, cash equivalents and marketable securities.
2. IQ SST Solid-State Transformer Platform
Enphase unveiled the IQ SST, a 1.25 MW distributed solid-state transformer platform designed for AI data centers, leveraging 342 intelligent power modules per rack to deliver 98.5% efficiency and 99.999% availability without internal batteries. The system targets an initial U.S. addressable opportunity exceeding 11 GW by 2031, with full system demos later this year, customer pilots in 2027 and volume shipments in 2028.