Solaredge Technologies Inc
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.86%.
Did SEDG Beat Earnings? Q2 2025 Results
SolarEdge Technologies posted a credible beat across the board in Q2 2025, signaling that its multi-quarter turnaround is gaining traction. The solar inverter maker reported a non-GAAP loss of $0.81 per share, edging past the consensus estimate of $0.84 by 3.49%, while revenue of $289.43 million topped expectations by 5.44% and grew 9.1% year over year. The single most material driver was a sharp sequential revenue recovery, with sales surging 32% from $219.48 million in Q1 as inverter shipments reached 1,194 MW, allowing the company to demonstrate meaningful operating leverage; non-GAAP gross margin expanded to 13.1% from 7.8% the prior quarter despite an approximately 1% tariff drag. The improving margin trajectory gives management confidence heading into Q3, where SolarEdge guided revenue of $315 million to $355 million and non-GAAP gross margin of 15% to 19%, even as tariff headwinds are expected to intensify modestly, with CEO Shuki Nir emphasizing disciplined execution as the company scales toward profitability.
- Second consecutive quarter of year-over-year and sequential revenue growth
- Non-GAAP gross margin expansion from 7.8% to 13.1% sequentially
- Non-GAAP operating expenses reduced from $89.1 million to $85.2 million sequentially
- Shipped 1,194 MW (AC) of inverters and 247 MWh of batteries for PV applications
- Non-GAAP net loss per share improved from -$1.14 to -$0.81 sequentially
“I'm proud of the steady progress we made in turning SolarEdge around this quarter. This was our second consecutive quarter of year-over-year and sequential revenue growth, along with margin expansion. We are staying laser focused on elevating our execution and advancing our strategic priorities, positioning SolarEdge for the opportunities we see ahead.”
SolarEdge CEO, on the earnings call
Forward Guidance & Outlook
For Q3 2025, SolarEdge expects revenues of $315 million to $355 million, non-GAAP gross margin of 15% to 19% (including approximately 2% of new tariff impact), and non-GAAP operating expenses of $85 million to $90 million. The guidance reflects continued sequential growth and margin expansion, with tariff headwinds expected to intensify modestly in Q3.
SEDG YoY Financials
Figures from SEC filings and company reports. Not investment advice.