February 15 (Renewables Now) - Photovoltaic (PV) inverter supplier SolarEdge Technologies Inc (NASDAQ:SEDG) on Wednesday reported strong fourth-quarter and full-year results, with gross margin hitting 37.5% in the October-December period.
"We ended the fourth quarter and full year of 2017 with record results in our key financial and operational metrics," said chief executive, chairman and founder Guy Sella.
The quarterly gross margin was up from 34.9% in the prior quarter and 35% a year ago. The Israel-based company said it was achieved thanks to stable average selling price (ASP) and continued cost reduction, and in spite of industry-wide component availability issues.
Revenue in the fourth quarter rose 14% quarter-on-quarter and 70% year-on-year to a record USD 189.3 million (EUR 151.6m). SolarEdge shipped 766 MW of inverters in the period.
The company's first-quarter 2018 guidance calls for revenues of between USD 200 million and USD 210 million. Gross margins are expected to stay flat at about 36%-38%.
More details of SolarEdge's GAAP results are given in the table below.
|USD in millions||Q4 2017||Q4 2016||2017||2016|
|Net diluted earnings per share||0.42||0.22||1.85||1.44|
Fourth-quarter and full-year revenues, gross margin and profitability were at record levels besides an one-time tax provision in the fourth quarter.
"We grew our revenues in each of the geographies in which we operate and overcame a challenging year in terms of industry-wide component availability and growing our manufacturing capacity to support the growing demand for our products," the CEO said.
(USD 1 = EUR 0.801)