Enphase Energy Q3 results miss estimates on weak US, Europe demand
ENPH•Enphase Energy reported Q3 revenue of $293.3 million and adjusted EPS of $0.41, missing analyst estimates of $304.04 million and $0.51. The company forecast Q4 revenue of $225 million to $255 million and cited soft US and European solar demand.
1. Quarterly results
Enphase Energy's Q3 revenue declined year over year to $293.3 million, below the $304.04 million analyst consensus. Adjusted EPS was $0.41, missing the $0.51 estimate; net income was $23.4 million and adjusted net income was $54 million.
2. Demand and outlook
The company said soft US residential solar demand limited revenue growth, while European revenue fell because of seasonality and continued weakness in some solar markets. Enphase expects Q4 revenue of $225 million to $255 million and non-GAAP gross margin of 40% to 43%. It cited higher interest rates and the expiration of a tax credit as headwinds for the US residential solar market.
