Summary by Moomoo AI
SolarEdge Technologies reported a significant Q3 2024 net loss of $1.2 billion, compared to a $61.2 million loss in Q3 2023, as revenue plunged 64% to $260.9 million. The results were heavily impacted by a $627.9 million inventory write-down due to slowing demand and channel inventory buildup. Gross margin turned negative at -269.2% versus 19.7% a year ago.The company faced substantial headwinds from unexpected order cancellations and pushouts from European distributors that began in Q3 2023, driven by high channel inventory and slower installation rates. Operating expenses increased to $382.9 million from $159.5 million last year, including $233.9 million in impairment charges related to property, plant, equipment and intangible assets.Management has implemented cost reduction measures, including a 16% workforce reduction in early 2024. The company maintains a solid liquidity position with $303.9 million in cash and $430.9 million in marketable securities. In June 2024, SolarEdge raised $300 million through convertible notes due 2029 and used proceeds to repurchase $285 million of existing 2025 notes.
