Slide 1: Fiscal Second Quarter 2016 Earnings Summary
Fiscal Second Quarter 2016 Earnings summary February 3, 2016 | 1 |
Slide 2: Use of Forward-Looking Statements
Use of Forward-Looking Statements SAFE HARBOR This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward looking statements include information, among other things, concerning: our possible or assumed future results
Slide 3: Key Operating Metrics
KEY OPERATING METRICS $$ 1,373K optimizers 59K inverters 416 Megawatts $124.8M revenues shipped shipped shipped | 3 |
Slide 4: Fiscal Second Quarter Highlights
FISCAL SECOND QUARTER HIGHLIGHTS Financial highlights for quarter Record revenue of $124.8 million, up 8.5% QoQ; 70.3% YoY GAAP gross margin of 30.9% GAAP net income of $24.1 million Non-GAAP net income of $19.8 million Continued to generate cash flow from operations Business highlights for quarter
Slide 5: Noteworthy
NOTEWORTHY First shipments of StorEdge solution (storage interface products) Acceleration of commercial business supported by 27 and 33 KW inverters Continued strong sales in the U.S. and Europe; U.K business expected to decline Installation of first HD-Wave products Continued expansion of profitabi
Slide 6: Financial Results
FINANCIAL RESULTS *USD in millions FYQ2 '16 FYQ1 '16 FYQ2 '15 Revenues 124.8 115.1 73.3 Gross margin 30.9% 29.1% 21.5% Operating expenses 19.3 18.7 11.5 Operating income 19.3 14.9 4.2 Net income 24.1 14.4 3.4 Net diluted earnings per share 0.55 0.32 0.00 *with the exception of gross margin and per s
Slide 7: Non-GAAP Financial Results
NON-GAAP FINANCIAL RESULTS *USD in millions FYQ2 '16 FYQ1 '16 FYQ2 '15 Revenues 124.8 115.1 73.3 Gross margin 31.1% 29.3% 21.6% Operating expenses 17.3 17.0 11.2 Operating income 21.5 16.7 4.7 Net income 19.8 16.3 4.1 Net diluted earnings per share 0.44 0.36 0.12 *with the exception of gross margin
Slide 8: Revenue Growth
REVENUE GROWTH USD millions 140.0 70.3% 120.0 100.0 80.0 60.0 40.0 20.0 - FYQ2 '15 FYQ3 '15 FYQ4 '15 FYQ1 '16 FYQ2 '16 | 8 |
Slide 9: Units Shipped
UNITS SHIPPED Optimizers shipped Inverters shipped K units Units 1,600 60,000 1,400 50,000 1,200 40,000 1,000 800 30,000 600 20,000 400 200 10,000 - - FYQ2 FYQ3 FYQ4 FYQ1 FYQ2 FYQ3 FYQ4 FYQ1 FYQ2 FYQ2 FYQ3 FYQ4 FYQ1 FYQ2 FYQ3 FYQ4' FYQ1' FYQ2' '14 '14 '14 '15 '15 '15 '15 '16 '16 '14 '14 '14 '15 '15
Slide 10: Gross Margin
GROSS MARGIN 30.9% 31.0% 29.1% 28.7% 29.0% 27.4% 27.0% 25.0% 23.0% 21.5% 21.0% 19.0% 17.0% 15.0% FYQ2 '15 FYQ3 '15 FYQ4 '15 FYQ1 '16 FYQ2 '16 | 10 |
Slide 11: Operating Expenses
OPERATING EXPENSES 20.0% 15.8% 16.1% 16.7% 16.2%* 15.5% 18.0% 16.0% 1.5% 2.3% 2.3% 3.0% 1.8% 14.0% 12.0% G&A 7.7% 7.4% 7.6% 7.1% 10.0% 7.2% S&M 8.0% R&D 6.0% 4.0% 6.5% 6.4% 6.8% 6.1% 6.6% 2.0% 0.0% FYQ2 '15 FYQ3 '15 FYQ4 '15 FYQ'1 16 FYQ'2 16 * G&A expenses include $600K, or 0.5% of revenues, of acc
Slide 12: GAAP Net Income
GAAP NET INCOME USD thousands | 12 |
Slide 13: Balance Sheet & Cash Flow
BALANCE SHEET & CASH FLOW USD in millions FYQ2 '16 FYQ1 '16 FYQ2 '15 Cash and investments 162.0 150.3 27.2 Inventory 87.4 79.9 47.6 Capital Expenditures 2.3 3.3 2.1 Total Debt - - 4.7 Cash Flow From Operations 13.1 5.9 9.7 | 13 |
Slide 14: Fiscal Third Quarter Outlook
FISCAL THIRD QUARTER OUTLOOK Revenues expected to be within the range of $121 million to $125 million Gross margin expected to be within the range of 29% to 31% | 14 |
Slide 15: Appendix
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Slide 16: Reconciliation of GAAP to Non-GAAP
RECONCILIATION OF GAAP TO NON-GAAP Reconciliation of Non-GAAP Financial Measures Reconciliation of GAAP to Non-GAAP Gross Profit Three months ended Six months ended Dec 31, 2015 Sep 30, 2015 Dec 31, 2014 (1) Dec 31, 2015 Dec 31, 2014 (1) Gross profit (GAAP) 38,582 33,527 15,781 72,109 29,811 Stock-b
Slide 17: Reconciliation of GAAP to Non-GAAP
RECONCILIATION OF GAAP TO NON-GAAP Reconciliation of GAAP to Non-GAAP Operating income Three months ended Six months ended Dec 31, 2015 Sep 30, 2015 Dec 31, 2014 (1) Dec 31, 2015 Dec 31, 2014 (1) Operating income (GAAP) 19,262 14,874 4,234 34,136 6,585 Stock-based compensation 2,226 1,832 459 4,058
Slide 18: Reconciliation of GAAP to Non-GAAP
RECONCILIATION OF GAAP TO NON-GAAP Reconciliation of GAAP to Non-GAAP Net income Three months ended Six months ended Dec 31, 2015 Sep 30, 2015 Dec 31, 2014 (1) Dec 31, 2015 Dec 31, 2014 (1) Net income (GAAP) 24,105 14,432 3,375 38,537 5,895 Stock-based compensation 2,226 1,832 459 4,058 780 Warrants
Slide 19: Reconciliation of GAAP to Non-GAAP
RECONCILIATION OF GAAP TO NON-GAAP Reconciliation of GAAP to Non-GAAP Net basic EPS Three months ended Six months ended Dec 31, 2015 Sep 30, 2015 Dec 31, 2014 (1) Dec 31, 2015 Dec 31, 2014 (1) Number of shares used in computing net basic earnings per share (GAAP) 39,511,967 39,301,620 2,815,694 39,4
Slide 20: Reconciliation of GAAP to Non-GAAP
RECONCILIATION OF GAAP TO NON-GAAP Reconciliation of GAAP to Non-GAAP Net diluted EPS Three months ended Six months ended Dec 31, 2015 Sep 30, 2015 Dec 31, 2014 (1) Dec 31, 2015 Dec 31, 2014 (1) Number of shares used in computing net diluted earnings per share (GAAP) 44,007,348 44,455,964 2,815,694
Slide 21: NASDAQ | SEDG
solar ze{e(-" NASDAQ | SEDG