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Mar 31, 2020

Enphase Q1 2020 Earnings Report

Reported revenue of $205.5 million and an all-time record for gross margin, despite COVID-19.

Key Takeaways

Enphase Energy reported a strong first quarter in 2020 with revenue of $205.5 million, a 105% increase year-over-year, and record gross margins. The company shipped approximately 643 MW DC, equivalent to 2,012,476 microinverters. Despite challenges from COVID-19, Enphase maintained product availability and on-time customer deliveries.

Revenue was $205.5 million, including approximately $44.5 million of safe harbor revenue.

Cash flow from operations was $39.2 million, with an ending cash balance of $593.8 million.

GAAP gross margin was 39.2%, and non-GAAP gross margin was 39.5%.

GAAP net income was $68.9 million, including a gain of $15.3 million from changes in fair value of derivatives and an income tax benefit of $11.9 million; non-GAAP net income was $51.9 million.

Total Revenue
$206M
Previous year: $100M
+105.2%
EPS
$0.38
Previous year: $0.08
+375.0%
Megawatts DC Shipped
643
Microinverters Shipped
2.01M
Gross Profit
$80.7M
Cash and Equivalents
$549M
Free Cash Flow
$39.2M
Total Assets
$1.03B

Enphase

Enphase

Forward Guidance

For the second quarter of 2020, Enphase Energy estimates revenue to be within a range of $115 million to $130 million and GAAP and non-GAAP gross margin to be within a range of 37% to 40%.

Positive Outlook

  • Revenue to be within a range of $115 million to $130 million
  • GAAP and non-GAAP gross margin to be within a range of 37% to 40%

Challenges Ahead

  • GAAP operating expenses to be within a range of $33 million to $35 million, including $7.5 million estimated for stock-based compensation expenses and acquisition related amortization
  • Non-GAAP operating expenses to be within a range of $25.5 million to $27.5 million, excluding $7.5 million estimated for stock-based compensation expenses and acquisition related amortization