Israeli provider of power optimizer, solar inverter and monitoring systems for photovoltaic arrays SolarEdge Technologies (Nasdaq: SEDG) beat the analysts' expectations on fourth quarter revenue but missed on profit. The company also provided higher than expected revenue guidance for the first quarter of 2022 in its fourth quarter and full year 2021 results.
SolarEdge reported $552 million revenue in the fourth quarter of 2021, up 54% from the corresponding quarter of 2021. Total revenue in 2021 was $1.96 billion, up 34.6% from 2020, despite the crisis in components and the rise in shipping costs, which did hit profit.
GAAP net profit amounted to $41 million in the fourth quarter and $169 in 2021. Non-GAAP net profit in the fourth quarter was $62.8 million ($1.10 per share) and $273 million in 2021, up 21.6% from 2020.
Guidance for the first quarter of 2022 is for revenue of $615-645 million, 10% above the analysts' expectations, but gross profitability will be eroded from 32.5% in the corresponding quarter to 28%-30%.
SolarEdge CEO Zvi Lando said, "We are ending 2021 with record revenues for the quarter and for the year. The global demand for solar energy across all segments and geographies is extremely strong and generating unprecedented demand for our products. In particular, we are excited about the strong momentum of the commercial market and the increasing rate of adoption of our innovative technology within this segment. Our focus is to ensure customers have the products they need to execute their projects and we are enabling this by ramping production in multiple sites and navigating supply chain and logistic challenges."
SolarEdge's share price rose 5.19% on Wall Street yesterday to $262.16, giving a market cap of $13.77 billion. In premarket trading today, the share price is down 3.11%.
Published by Globes, Israel business news - en.globes.co.il - on February 16, 2022.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.