SolarEdge Announces Third Quarter 2026 Financial Results

Fourth-quarter revenue guidance is below third-quarter sales, while the latest results include a $36.0 million tariff-related benefit.

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Revenue of $326.1 million, in line with the midpoint of guidance

Cash flow from operations of $20.4 million; fifth consecutive quarter of positive free cash flow

Continued progress on the SolarEdge SST platform for the AI data center opportunity

MILPITAS, Calif.--(BUSINESS WIRE)-- SolarEdge Technologies, Inc. (Nasdaq: SEDG), a global leader in smart energy technology, today announced its financial results for the third quarter ended September 30, 2026.

“The SolarEdge team delivered third-quarter revenue of $326.1 million, at the midpoint of our guidance, with profitability in line with expectations,” said Shuki Nir, CEO of SolarEdge. “As near-term market uncertainty persists and given reduced revenue expectations for the fourth quarter, we are taking decisive steps to reduce costs, sharpen our focus, and support profitability amid softer demand. At the same time, we believe that our product innovation initiatives, including strong momentum in Nexis and increasing storage adoption, position us to capitalize on a market recovery. In addition, we are accelerating our efforts in the AI data center power infrastructure market, where live demonstrations of our solid-state transformer (SST) technology are generating increasing interest from potential partners and customers.”

Third Quarter 2026 Financial Highlights
(In millions, except percentages and per share data)

	GAAP			Non-GAAP (1)
	Q3 2026	Q2 2026	Q3 2025	Q3 2026	Q2 2026	Q3 2025
Revenue	$326.1	$346.2	$340.2	$325.4	$345.5	$339.7
Gross margin	33.2%	27.5%	21.2%	34.7%	28.6%	18.8%
Operating expenses	$110.1	$111.2	$107.3	$88.8	$88.5	$87.7
Operating income (loss)	$(1.9)	$(16.0)	$(35.2)	$23.9	$10.2	$(23.8)
Net income (loss)	$(8.4)	$(30.8)	$(50.1)	$21.1	$3.6	$(18.3)
EPS (diluted)	$(0.14)	$(0.50)	$(0.84)	$0.29	$0.05	$(0.31)
Adjusted EBITDA (loss) (1)	--	--	--	$31.8	$18.3	$(14.1)
(1) Non-GAAP financial measure. See “Non-GAAP Financial Measures” for additional information on Non-GAAP financial measures and a reconciliation to the most comparable GAAP measures.

• GAAP revenues were $326.1 million, down 5.8% from the prior quarter and down 4.1% from the third quarter of 2025.
• Non-GAAP revenues were $325.4 million, down 5.8% from the prior quarter and down 4.2% from the third quarter of 2025.
• GAAP gross margin was 33.2%, compared to 27.5% in the prior quarter and 21.2% in the third quarter of 2025. Results include a benefit of $36.0 million related to IEEPA tariff matters.
• Non-GAAP gross margin was 34.7%, compared to 28.6% in the prior quarter and 18.8% in the third quarter of 2025. Results include a benefit of $36.0 million related to IEEPA tariff matters.
• GAAP operating expenses were $110.1 million, compared to $111.2 million in the prior quarter and $107.3 million in the third quarter of 2025.
• Non-GAAP operating expenses were $88.8 million, compared to $88.5 million in the prior quarter and $87.7 million in the third quarter of 2025.
• GAAP operating loss was $1.9 million, compared to $16.0 million in the prior quarter and $35.2 million in the third quarter of 2025.
• Non-GAAP operating income was $23.9 million, compared to $10.2 million in the prior quarter and a non-GAAP operating loss of $23.8 million in the third quarter of 2025.
• GAAP net loss was $8.4 million, compared to $30.8 million in the prior quarter and $50.1 million in the third quarter of 2025.
• Non-GAAP net income was $21.1 million, compared to $3.6 million in the prior quarter and a non-GAAP net loss of $18.3 million in the third quarter of 2025.
• Free cash flow was $7.8 million, compared to $3.1 million in the prior quarter and $22.8 million in the third quarter of 2025, marking the fifth consecutive quarter of positive free cash flow.
• As of September 30, 2026, our cash and investments portfolio, net of debt, was $260.9 million, compared to $264.6 million as of June 30, 2026.

Outlook for the Fourth Quarter of 2026

The Company provides the following guidance for the fourth quarter ending December 31, 2026. This guidance excludes potential IEEPA refunds in the fourth quarter.

Guidance Metric	Q4 2026 Guidance
Revenue	$245 million – $275 million
Non-GAAP gross margin*	17% – 21%
Non-GAAP operating expenses*	$87 million – $91 million

*Non-GAAP gross margin and Non-GAAP operating expenses are non-GAAP financial measures, and these forward-looking measures have not been reconciled to the most comparable GAAP outlook because it is not possible to do so without unreasonable efforts due to the uncertainty and potential variability of reconciling items, which are dependent on future events and often outside of management’s control and which could be significant. Because such items cannot be reasonably predicted with the level of precision required, we are unable to provide outlook for the comparable GAAP measures. Forward-looking estimates of Non-GAAP gross margin and Non-GAAP operating expenses are made in a manner consistent with the relevant definitions and assumptions noted herein and in our filings with the SEC.

Conference Call

The Company will host a conference call to discuss its results for the third quarter ended September 30, 2026 at 8:00 a.m. ET on Wednesday, November 4, 2026. The live call can be accessed by dialing +800-420-1459. For international callers, please dial +203-518-9861. The Conference ID is SEDG.

To avoid a delay in connecting to the call, please dial-in 10 minutes prior to the start time.

A live webcast will also be available in the Investors Relations section of the Company's website at: http://investors.solaredge.com. A replay of the webcast will be available in the Investor Relations section of the Company's web site approximately two hours after the conclusion of the call and will remain available for approximately 30 calendar days.

About SolarEdge

SolarEdge Technologies is a global leader in renewable energy technology that applies world-class engineering and innovation to provide solar PV solutions for the residential and commercial segments. SolarEdge brings an optimized approach to generating, storing, managing and consuming energy. The company develops and produces PV inverters, Power Optimizers, energy management and optimization solutions, energy storage and grid services. SolarEdge's DC-optimized technology is installed in millions of sites in over 145 countries, and more than 60% of Fortune 100 companies have SolarEdge technology on their rooftops. SolarEdge is accelerating the transition towards distributed, sustainable energy networks which will optimize energy everywhere. SolarEdge is online at www.solaredge.com.

Use of Non-GAAP Financial Measures

To provide investors and others with additional information regarding SolarEdge's results, SolarEdge has disclosed in this earnings release the following non-GAAP financial measures: non-GAAP revenue, non-GAAP operating income (loss), non-GAAP operating expenses, non-GAAP gross margin, non-GAAP net income (loss), non-GAAP net earnings (loss) per share, non-GAAP net free cash flow and Adjusted EBITDA. SolarEdge has provided a reconciliation of each non-GAAP financial measure used in this earnings release to the most directly comparable GAAP financial measure below. These non-GAAP financial measures differ from GAAP in that they exclude stock-based compensation, amortization and impairment of acquired intangible assets, restructuring and impairment charges, acquisition, disposition and other items, certain litigation and other contingencies, amortization of debt issuance cost, non-cash interest expense and non-cash revenue recognized from significant financing component, certain foreign currency exchange rates, gains and losses on investments, income and losses from equity method investments and discrete items that impacted our GAAP tax rate. Our non-GAAP financial measures also reflect the application of our non-GAAP tax rate.

SolarEdge's management uses these non-GAAP financial measures to understand and compare operating results across accounting periods, for internal budgeting and forecasting purposes, for short- and long-term operating plans, to calculate bonus payments and to evaluate SolarEdge's financial performance, the performance of its individual functional groups and the ability of operations to generate cash. Management believes these non-GAAP financial measures reflect SolarEdge's ongoing business in a manner that allows for meaningful period-to-period comparisons and analysis of trends in SolarEdge's business, as they exclude charges and gains that are not reflective of ongoing operating results. Management also believes that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating SolarEdge's operating results and future prospects from the same perspective as management and in comparing financial results across accounting periods.

The use of non-GAAP financial measures has certain limitations because they do not reflect all items of income and expense that affect SolarEdge's operations. These non-GAAP financial measures should be considered in addition to, not as a substitute for or in isolation from, measures prepared in accordance with GAAP and should not be considered measures of SolarEdge's liquidity. Further, these non-GAAP measures may differ from the non-GAAP information used by other companies, including peer companies, and therefore comparability may be limited. Management encourages investors and others to review SolarEdge's financial information in its entirety and not rely on a single financial measure.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

Statements contained in this press release may contain forward-looking statements that are based on our management's expectations, estimates, projections, beliefs and assumptions in accordance with information currently available to our management. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include information, among other things, concerning our possible or assumed future results of operations, our ability to maintain positive free cash flow generation, future demands for solar energy solutions, business strategies, technology developments, new products and services, financing and investment plans; dividend policy; competitive position, industry and regulatory environment, general economic conditions; potential growth opportunities; cancellations and pushouts of existing backlog; installation rates; goodwill impairment; the effects of competition; tariff impacts and other trade measures, including FCC restrictions on equipment produced in foreign countries; the impacts of the One Big Beautiful Bill Act. Forward-looking statements include statements that are not historical facts and can be identified by terms such as "anticipate," "believe," "could," "seek," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "will," "would" or similar expressions and the negatives of those terms.

Forward-looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Given these uncertainties, you should not place undue reliance on forward-looking statements. Also, forward-looking statements represent our management's beliefs and assumptions only as of the date of this release. Important factors that could cause actual results to differ materially from our expectations include, but are not limited to: our ability to be profitable in the future; the rapidly evolving and competitive nature of the solar industry; changes in tax laws, tax treaties, and regulations or the interpretation of them, including the Inflation Reduction Act and the H.R.1; future demand for renewable energy including solar energy solutions; our ability to maintain free cash flow positive generation; macroeconomic conditions in our domestic and international markets, as well as inflation concerns, rising interest rates and recessionary concerns; changes in the U.S. and global trade environments, including the imposition and/or increase of import tariffs or other restrictive trade measures; the retail price of electricity derived from the utility grid or alternative energy sources; our ability to forecast demand for our products accurately and to match production to such demand as well as our customers' ability to forecast demand based on inventory levels; interest rates and supply of capital in the global financial markets in general and in the PV market specifically; competition, including introductions of power optimizer, inverter, EV chargers, batteries, solid-state transformers (SST) and PV system monitoring products by our competitors; developments in alternative technologies or improvements in distributed solar energy generation; historic cyclicality of the solar industry and periodic downturns; product quality or performance problems in our products; changes in our geographic footprint or product and service offerings; our dependence upon a small number of outside contract manufacturers and limited or single source suppliers; delays, disruptions, and quality control problems in manufacturing; shortages, delays, price changes, or cessation of operations or production affecting our suppliers of key components; capacity constraints, delivery schedules, manufacturing yields, and costs of our contract manufacturers and availability of components; changing political, geopolitical conditions, and the conditions of the global energy market; performance of distributors and large installers in selling our products; consolidation in the solar industry among our customers and distributors; our ability to implement our new Enterprise Resource Planning ("ERP") system; our ability to successfully operate our global operations with a reduced work force; our ability to recognize expected benefits from restructuring plans; any unauthorized access to, disclosure, or theft of confidential or personal information or unauthorized access to our network or other similar cyber incidents; attempts by third parties, our employees, or our vendors might gain unauthorized access to our network or seek to compromise our products and services; emerging issues related to the development and use of artificial intelligence; loss of key executives, and our ability to retain key personnel and attract additional qualified personnel; disruption to our business operations due to the evolving conflict in Israel and other conditions in Israel that affect our operations; tax benefits that are available to us under Israeli law require us to meet various conditions and may be terminated or reduced in the future; difficulty to enforce a judgment of a U.S. court against our officers and directors, to assert U.S. securities laws claims in Israel; our dependence on ocean transportation to timely deliver our products in a cost-effective manner; fluctuations in global currency exchange rates; the impact of evolving legal and regulatory requirements, including corporate social responsibility and sustainability requirements; existing and future responses to and effects of pandemics, epidemics or other health crises; reduction, elimination or expiration of government subsidies and economic incentives for on-grid solar electricity applications; changes to net metering policies may reduce demand for electricity from PV systems; stringent and changing data privacy and security laws, rules, regulations and other obligations; federal, state, and local regulations governing the electric utility industry with respect to solar energy; business practices and regulatory compliance of our raw material suppliers; our ability to maintain our brand and to protect and defend our intellectual property; volatility of our stock price; our customers' financial stability, creditworthiness, and debt leverage ratio; our ability to effectively design, launch, market, and sell new generations of our products and services; our ability to retain, and events affecting, our major customers; our ability to service our debt; impairment of our goodwill or other long-lived and intangible assets; our liquidity and ability to service our debt; and the other factors set forth under "Item 1A. Risk Factors" in our Annual Report on Form 10-K/A for the year ended December 31, 2025, filed on March 23, 2026, in subsequent Quarterly Reports on Form 10-Q and in other documents we file from time to time with the SEC that disclose risks and uncertainties that may affect our business. The preceding list is not intended to be an exhaustive list of all of our forward‐looking statements. You should not rely upon forward‐looking statements as predictions of future events. Although we believe that the expectations reflected in the forward‐looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward‐looking statements will be achieved or will occur. Statements in this press release speak only as of the date they were made. The Company undertakes no duty or obligation to update any forward-looking statements contained in this release, whether as a result of new information, future events or changes in its expectations or otherwise, except as may be required by applicable law, regulation or other competent legal authority.

SOLAREDGE TECHNOLOGIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF LOSS (Unaudited)
(in thousands, except per share data)
		Three Months Ended September 30,								Nine Months Ended September 30,
			2026				2025				2026				2025
Revenues		$	326,076			$	340,177			$	982,822			$	849,086
Cost of revenues			217,841				268,034				711,154				727,276
Gross profit			108,235				72,143				271,668				121,810
Operating expenses:
Research and development, net			52,492				54,146				155,398				169,529
Sales and marketing			26,448				26,911				81,162				87,293
General and administrative			28,718				26,574				89,679				76,546
Other operating expense (income), net			2,484				(338	)			18,425				41,811
Total operating expenses			110,142				107,293				344,664				375,179
Operating loss			(1,907	)			(35,150	)			(72,996	)			(253,369	)
Financial income (expense), net			(1,952	)			3,040				(15,367	)			5,785
Other expense, net			—				(15,011	)			—				(10,846	)
Loss before income taxes			(3,859	)			(47,121	)			(88,363	)			(258,430	)
Income taxes			(4,526	)			(2,563	)			(8,141	)			(13,946	)
Net loss from equity method investments			—				(376	)			—				(951	)
Net loss		$	(8,385	)		$	(50,060	)		$	(96,504	)		$	(273,327	)

SOLAREDGE TECHNOLOGIES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
(in thousands, except per share data)
		September 30, 2026				December 31, 2025
ASSETS
CURRENT ASSETS:
Cash and cash equivalents		$	555,083			$	455,075
Restricted cash			42,731				84,771
Marketable securities			—				38,097
Trade receivables, net of allowances of $29,034 and $17,224, respectively			209,616				267,441
Inventories, net			621,088				552,632
Prepaid expenses and other current assets			408,132				341,831
Total current assets			1,836,650				1,739,847
LONG-TERM ASSETS:
Property, plant and equipment, net			250,764				269,351
Operating lease right-of-use assets, net			47,567				48,178
Intangible assets, net			5,309				7,129
Goodwill			49,859				50,123
Other long-term assets			77,908				67,566
Total long-term assets			431,407				442,347
Total assets			2,268,057				2,182,194
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Trade payables			490,106				271,983
Employees and payroll accruals			71,845				73,992
Warranty obligations			59,634				89,330
Deferred revenues and customer advances			46,520				70,371
Accrued expenses and other current liabilities			199,733				297,819
Total current liabilities			867,838				803,495
LONG-TERM LIABILITIES:
Convertible senior notes, net			332,724				331,561
Warranty obligations			243,600				268,559
Deferred revenues and customer advances			332,032				293,328
Finance lease liabilities			18,273				18,558
Operating lease liabilities			40,865				36,648
Other long-term liabilities			9,499				2,581
Total long-term liabilities			976,993				951,235
STOCKHOLDERS’ EQUITY:
Common stock of $0.0001 par value - Authorized: 125,000,000; Issued and outstanding: 61,908,887 and 60,360,154 shares as of September 30, 2026 and December 31, 2025, respectively			6				6
Additional paid-in capital			1,949,067				1,872,760
Accumulated other comprehensive income (loss)			4,296				(11,663	)
Accumulated deficit			(1,530,143	)			(1,433,639	)
Total stockholders’ equity			423,226				427,464
Total liabilities and stockholders’ equity		$	2,268,057			$	2,182,194

SOLAREDGE TECHNOLOGIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
(in thousands, except per share data)
		Nine Months Ended September 30,
			2026				2025
Cash flows from operating activities:
Net loss		$	(96,504	)		$	(273,327	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization			17,049				23,430
Impairment of asset held-for-sale			—				36,277
Impairment of privately-held companies			—				15,057
Stock-based compensation expenses			63,220				72,572
Loss from business disposition			10,874				17,875
Loss (gain) from exchange rate fluctuations			(3,376	)			2,874
Loss (gain) from sale of property, plant and equipment			9,550				(10,075	)
Other items			(924	)			281
Changes in assets and liabilities:
Trade receivables, net			56,214				(124,459	)
Inventories, net			(50,658	)			130,408
Prepaid expenses and other assets			(85,572	)			58,655
Operating lease right-of-use assets, net			9,932				8,185
Trade payables			218,207				175,906
Employees and payroll accruals			9,049				1,847
Warranty obligations			(54,627	)			(37,316	)
Deferred revenues and customer advances			15,118				(46,597	)
Operating lease liabilities			(11,172	)			(10,051	)
Accrued expenses and other liabilities			(50,149	)			10,090
Net cash provided by operating activities			56,231				51,632
Cash flows from investing activities:
Investment in available-for-sale marketable securities			—				(454,635	)
Proceeds from maturities of available-for-sale marketable securities			38,068				682,866
Proceeds from sales of available-for-sale marketable securities			—				76,288
Purchase of property, plant and equipment			(24,550	)			(14,174	)
Business dispositions, net of cash sold			(2,631	)			(7,322	)
Proceeds from sale of property, plant and equipment			661				38,026
Repayment related to governmental grant			—				(6,643	)
Proceeds from sale of investment in privately-held company			—				4,000
Withdrawal from restricted bank deposits			2,700				2,823
Payments made before lease commencement			(26,162	)			—
Proceeds from loan receivables			91				50,743
Other investing activities			473				(191	)
Net cash provided by (used in) investing activities			(11,350	)			371,781
Cash flows from financing activities:
Payment for settlement of convertible notes			—				(342,250	)
Repurchase of convertible debt			—				(5,093	)
Issuance of common stock upon exercise of stock-based awards			3,850				220
Tax withholding in connection with stock-based awards, net			(2,803	)			323
Other financing activities			(1,124	)			(2,737	)
Net cash used in financing activities			(77	)			(349,537	)
Effect of exchange rate changes on cash, cash equivalents and restricted cash			4,474				3,181
Increase in cash, cash equivalents and restricted cash including cash classified within current held-for-sale assets			49,278				77,057
Change in cash classified within current held-for-sale assets			8,690				—
Increase in cash, cash equivalents and restricted cash			57,968				77,057
Cash, cash equivalents and restricted cash, beginning of period			539,846				409,939
Cash, cash equivalents and restricted cash, end of period		$	597,814			$	486,996

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Gross profit (loss) (GAAP)	$	108,235			$	95,152			$	68,281			$	74,471			$	72,143			$	196,281			$	(877,204	)		$	703,823
Revenues from finance component		(661	)			(572	)			(498	)			(456	)			(351	)			(1,375	)			(984	)			(834	)
Discontinued operation revenues		—				(152	)			(64	)			(1,107	)			(85	)			(16,422	)			—				—
Discontinued operation cost of revenues		4				(240	)			573				(331	)			(13,101	)			(4,806	)			24,921				36,648
Stock-based compensation		4,376				3,693				3,607				3,687				3,959				16,022				21,952				23,200
Amortization of stock-based compensation capitalized in inventories		314				320				313				613				825				2,701				3,138				1,100
Amortization and depreciation of acquired assets		500				499				500				495				501				1,970				5,412				6,038
Restructuring charges		—				—				278				344				31				815				15,327				23,154
Gross profit (loss) (Non-GAAP)	$	112,768			$	98,700			$	72,990			$	77,716			$	63,922			$	195,186			$	(807,438	)		$	793,129
Gross margin (loss) (GAAP)		33.2	%			27.5	%			22.0	%			22.2	%			21.2	%			16.6	%			(97.3	)%			23.6	%
Revenues from finance component		(0.2	)			(0.3	)			(0.2	)			0.0				0.0				(0.1	)			(0.1	)			0.0
Discontinued operation revenues		—				0.0				0.0				0.0				0.0				(1.4	)			—				—
Discontinued operation cost of revenues		0.0				(0.1	)			0.2				0.0				(3.9	)			(0.4	)			2.8				1.2
Stock-based compensation		1.4				1.2				1.1				1.1				1.2				1.4				2.4				0.9
Amortization of stock-based compensation capitalized in inventories		0.1				0.1				0.1				0.0				0.2				0.2				0.3				0.0
Amortization and depreciation of acquired assets		0.2				0.2				0.2				0.0				0.1				0.3				0.6				0.2
Restructuring charges		—				—				0.1				0.0				0.0				0.1				1.7				0.8
Gross margin (loss) (Non-GAAP)		34.7	%			28.6	%			23.5	%			23.3	%			18.8	%			16.7	%			(89.6	)%			26.7	%

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Operating expenses (GAAP)	$	110,142			$	111,198			$	123,324			$	122,781			$	107,293			$	497,960			$	831,084			$	663,618
Stock-based compensation - R&D		(9,379	)			(8,403	)			(8,061	)			(8,442	)			(10,681	)			(44,890	)			(62,546	)			(66,944	)
Stock-based compensation - S&M		(4,814	)			(3,996	)			(4,151	)			(4,298	)			(4,348	)			(17,730	)			(27,328	)			(30,987	)
Stock-based compensation - G&A		(5,102	)			(3,605	)			(4,033	)			(3,546	)			(2,897	)			(13,903	)			(25,425	)			(28,814	)
Amortization and depreciation of acquired assets - R&D		—				—				—				—				—				—				(1,000	)			(989	)
Amortization and depreciation of acquired assets - S&M		50				(116	)			(116	)			(116	)			(116	)			(772	)			(1,599	)			(927	)
Amortization and depreciation of acquired assets - G&A		—				—				—				—				—				—				(6	)			(15	)
Amortization of stock-based compensation capitalized in assets		(111	)			(109	)			(110	)			—				—				—				—				—
Discontinued operation		678				176				556				(6,989	)			(316	)			(35,896	)			(3,293	)			(388	)
Restructuring charges		26				18				(371	)			(423	)			(426	)			(4,329	)			(5,607	)			—
Assets impairment and disposal by abandonment		—				(6,646	)			(970	)			(3,135	)			(672	)			(5,998	)			(251,823	)			(30,790	)
Gain (loss) from assets sales		(2,649	)			—				(8,327	)			(7,117	)			(158	)			(23,721	)			(5,746	)			1,262
Certain litigation and other contingencies		—				—				—				—				—				—				399				(1,786	)
Acquisition costs		—				—				—				—				—				—				(9	)			(135	)
Operating expenses (Non-GAAP)	$	88,841			$	88,517			$	97,741			$	88,715			$	87,679			$	350,721			$	447,101			$	503,105
Operating income (loss) (GAAP)		(1,907	)			(16,046	)			(55,043	)			(48,310	)			(35,150	)			(301,679	)			(1,708,288	)			40,205
Revenues from finance component		(661	)			(572	)			(498	)			(456	)			(351	)			(1,375	)			(984	)			(834	)
Discontinued operation		(674	)			(568	)			(47	)			5,551				(12,870	)			14,668				28,214				37,036
Stock-based compensation		23,671				19,697				19,852				19,973				21,885				92,545				137,251				149,945
Amortization of stock-based compensation capitalized in inventories		314				320				313				613				825				2,701				3,138				1,100
Amortization and depreciation of acquired assets		450				615				616				611				617				2,742				8,017				7,969
Amortization of stock-based compensation capitalized in assets		111				109				110				—				—				—				—				—
Restructuring charges		(26	)			(18	)			649				767				457				5,144				20,934				23,154
Assets impairment and disposal by abandonment		—				6,646				970				3,135				672				5,998				251,823				30,790
Loss (gain) from assets sales		2,649				—				8,327				7,117				158				23,721				5,746				(1,262	)
Certain litigation and other contingencies		—				—				—				—				—				—				(399	)			1,786
Acquisition costs		—				—				—				—				—				—				9				135
Operating income (loss) (Non-GAAP)	$	23,927			$	10,183			$	(24,751	)		$	(10,999	)		$	(23,757	)		$	(155,535	)		$	(1,254,539	)		$	290,024

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Financial income (expense), net (GAAP)	$	(1,952	)		$	(12,378	)		$	(1,037	)		$	(77,784	)		$	3,040			$	(71,999	)		$	(14,570	)		$	41,212
Non cash interest expense		5,385				5,208				4,793				4,420				4,462				17,259				14,877				12,703
Currency fluctuation related to lease standard		(1,937	)			4,382				(317	)			3,360				1,552				10,430				(744	)			(3,055	)
Discontinued operation		964				(1,613	)			3				1,402				(958	)			2,433				—				—
CTA reclassification upon liquidation of a foreign subsidiary		(459	)			20				225				59,520				—				59,520				—				—
One‑time foreign exchange impact from VAT settlement agreement		(145	)			—				(3,900	)			10,963				—				10,963				—				—
Financial income (expense), net (Non-GAAP)	$	1,856			$	(4,381	)		$	(233	)		$	1,881			$	8,096			$	28,606			$	(437	)		$	50,860
Other income (loss) (GAAP)	$	—			$	—			$	—			$	(6,582	)		$	(15,011	)		$	(17,428	)		$	14,547			$	(318	)
Loss (gain) from sale of equity and debt investments		—				—				—				—				—				(2	)			(2,966	)			193
Gain from business combination		—				—				—				—				—				—				(1,125	)			—
Gain from the repurchase of convertible notes		—				—				—				—				—				(146	)			(15,456	)			—
Loss (gain) from sale of private held companies		—				—				—				155				—				(3,862	)			—				—
Loss from impairment of private held companies		—				—				—				6,427				15,011				21,438				5,000				—
Other income (loss) (Non-GAAP)	$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	(125	)
Income tax benefit (expense) (GAAP)	$	(4,526	)		$	(2,329	)		$	(1,286	)		$	564			$	(2,563	)		$	(13,382	)		$	(96,150	)		$	(46,420	)
Income tax adjustment		(187	)			105				(15	)			389				(124	)			10				39,007				(45,896	)
Income tax benefit (expense) (Non-GAAP)	$	(4,713	)		$	(2,224	)		$	(1,301	)		$	953			$	(2,687	)		$	(13,372	)		$	(57,143	)		$	(92,316	)
Equity method investments income (loss) (GAAP)	$	—			$	—			$	—			$	(9	)		$	(376	)		$	(960	)		$	(1,896	)		$	(350	)
Loss from equity method investments		—				—				—				9				376				960				1,896				350
Equity method investments income (loss) (Non-GAAP)	$	—			$	—			$	—			$	—			$	—			$	—			$	—			$	—

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Net income (loss) (GAAP)	$	(8,385	)		$	(30,753	)		$	(57,366	)		$	(132,121	)		$	(50,060	)		$	(405,448	)		$	(1,806,357	)		$	34,329
Revenues from finance component		(661	)			(572	)			(498	)			(456	)			(351	)			(1,375	)			(984	)			(834	)
Discontinued operation		290				(2,181	)			(44	)			6,953				(13,828	)			17,101				28,214				37,036
Stock-based compensation		23,671				19,697				19,852				19,973				21,885				92,545				137,251				149,945
Amortization of stock-based compensation capitalized in inventories		314				320				313				613				825				2,701				3,138				1,100
Amortization and depreciation of acquired assets		450				615				616				611				617				2,742				8,017				7,969
Amortization of stock-based compensation capitalized in assets		111				109				110				—				—				—				—				—
Restructuring charges		(26	)			(18	)			649				767				457				5,144				20,934				23,154
Assets impairment and disposal by abandonment		—				6,646				970				3,135				672				5,998				251,823				30,790
Loss (gain) from assets sales		2,649				—				8,327				7,117				158				23,721				5,746				(1,262	)
Certain litigation and other contingencies		—				—				—				—				—				—				(399	)			1,786
Acquisition costs		—				—				—				—				—				—				9				135
Non cash interest expense		5,385				5,208				4,793				4,420				4,462				17,259				14,877				12,703
CTA reclassification upon liquidation of a foreign subsidiary		(459	)			20				225				59,520				—				59,520				—				—
One‑time foreign exchange impact from VAT settlement agreement		(145	)			—				(3,900	)			10,963				—				10,963				—				—
Currency fluctuation related to lease standard		(1,937	)			4,382				(317	)			3,360				1,552				10,430				(744	)			(3,055	)
Loss (gain) from sale of equity and debt investments		—				—				—				—				—				(2	)			(2,966	)			193
Gain from business combination		—				—				—				—				—				—				(1,125	)			—
Gain from the repurchase of convertible notes		—				—				—				—				—				(146	)			(15,456	)			—
Loss (gain) from sale of private held companies		—				—				—				155				—				(3,862	)			—				—
Loss from impairment of private held companies		—				—				—				6,427				15,011				21,438				5,000				—
Income tax adjustment		(187	)			105				(15	)			389				(124	)			10				39,007				(45,896	)
Equity method adjustments		—				—				—				9				376				960				1,896				350
Net income (loss) (Non-GAAP)	$	21,070			$	3,578			$	(26,285	)		$	(8,165	)		$	(18,348	)		$	(140,301	)		$	(1,312,119	)		$	248,443

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Net basic earnings (loss) per share (GAAP)	$	(0.14	)		$	(0.50	)		$	(0.95	)		$	(2.21	)		$	(0.84	)		$	(6.88	)		$	(31.64	)		$	0.61
Revenues from finance component		(0.01	)			(0.01	)			(0.01	)			(0.01	)			(0.01	)			(0.02	)			(0.02	)			(0.02	)
Discontinued operation		0.00				(0.04	)			0.00				0.12				(0.23	)			0.29				0.49				0.66
Stock-based compensation		0.38				0.32				0.33				0.33				0.37				1.57				2.41				2.65
Amortization of stock-based compensation capitalized in inventories		0.01				0.01				0.01				0.01				0.01				0.05				0.05				0.02
Amortization and depreciation of acquired assets		0.01				0.01				0.01				0.01				0.01				0.04				0.14				0.14
Amortization of stock-based compensation capitalized in assets		0.00				0.00				0.00				—				—				—				—				—
Restructuring charges		0.00				0.00				0.01				0.02				0.01				0.09				0.37				0.41
Assets impairment and disposal by abandonment		—				0.11				0.02				0.05				0.01				0.10				4.41				0.54
Loss (gain) from assets sales		0.04				—				0.14				0.12				0.00				0.40				0.10				(0.02	)
Certain litigation and other contingencies		—				—				—				—				—				—				(0.01	)			0.03
Acquisition costs		—				—				—				—				—				—				0.00				0.00
Non cash interest expense		0.09				0.09				0.08				0.07				0.08				0.30				0.26				0.23
CTA reclassification upon liquidation of a foreign subsidiary		(0.01	)			0.00				0.00				1.00				—				1.01				—				—
One‑time foreign exchange impact from VAT settlement agreement		0.00				—				(0.06	)			0.18				—				0.18				—				—
Currency fluctuation related to lease standard		(0.03	)			0.07				(0.01	)			0.06				0.02				0.18				(0.01	)			(0.06	)
Loss (gain) from sale of equity and debt investments		—				—				—				—				—				0.00				(0.05	)			0.01
Gain from business combination		—				—				—				—				—				—				(0.02	)			—
Gain from the repurchase of convertible notes		—				—				—				—				—				0.00				(0.27	)			—
Loss (gain) from sale of private held companies		—				—				—				0.00				—				(0.07	)			—				—
Loss from impairment of private held companies		—				—				—				0.11				0.26				0.36				0.09				—
Income tax adjustment		0.00				0.00				0.00				0.00				(0.01	)			0.00				0.68				(0.81	)
Equity method adjustments		—				—				—				0.00				0.01				0.02				0.03				0.00
Net basic earnings (loss) per share (Non-GAAP)	$	0.34			$	0.06			$	(0.43	)		$	(0.14	)		$	(0.31	)		$	(2.38	)		$	(22.99	)		$	4.39

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Net diluted earnings (loss) per share (GAAP)	$	(0.14	)		$	(0.50	)		$	(0.95	)		$	(2.21	)		$	(0.84	)		$	(6.88	)		$	(31.64	)		$	0.60
Revenues from finance component		0.02				(0.01	)			(0.01	)			(0.01	)			(0.01	)			(0.02	)			(0.02	)			(0.01	)
Discontinued operation		0.00				(0.04	)			0.00				0.12				(0.23	)			0.29				0.49				0.64
Stock-based compensation		0.37				0.34				0.33				0.33				0.37				1.57				2.41				2.57
Amortization of stock-based compensation capitalized in inventories		0.00				0.01				0.01				0.01				0.01				0.05				0.05				0.02
Amortization and depreciation of acquired assets		0.01				0.00				0.01				0.01				0.01				0.04				0.14				0.14
Amortization of stock-based compensation capitalized in assets		0.00				0.01				0.00				—				—				—				—				—
Restructuring charges		0.00				0.00				0.01				0.02				0.01				0.09				0.37				0.40
Assets impairment and disposal by abandonment		—				0.10				0.02				0.05				0.01				0.10				4.41				0.53
Loss (gain) from assets sales		0.04				—				0.14				0.12				0.00				0.40				0.10				(0.02	)
Certain litigation and other contingencies		—				—				—				—				—				—				(0.01	)			0.03
Acquisition costs		—				—				—				—				—				—				0.00				0.00
Non cash interest expense		0.03				0.08				0.08				0.07				0.08				0.30				0.26				0.03
CTA reclassification upon liquidation of a foreign subsidiary		(0.01	)			0.00				0.00				1.00				—				1.01				—				—
One‑time foreign exchange impact from VAT settlement agreement		0.00				—				(0.06	)			0.18				—				0.18				—				—
Currency fluctuation related to lease standard		(0.02	)			0.06				(0.01	)			0.06				0.02				0.18				(0.01	)			(0.05	)
Loss (gain) from sale of equity and debt investments		—				—				—				—				—				0.00				(0.05	)			0.00
Gain from business combination		—				—				—				—				—				—				(0.02	)			—
Gain from the repurchase of convertible notes		—				—				0.00				—				—				0.00				(0.27	)			—
Loss (gain) from sale of private held companies		—				—				—				0.00				—				(0.07	)			—				—
Loss from impairment of private held companies		—				—				—				0.11				0.26				0.36				0.09				—
Income tax adjustment		(0.01	)			0.00				0.00				0.00				(0.01	)			0.00				0.68				(0.76	)
Equity method adjustments		—				—				—				0.00				0.01				0.02				0.03				0.00
Net diluted earnings (loss) per share (Non-GAAP)	$	0.29			$	0.05			$	(0.43	)		$	(0.14	)		$	(0.31	)		$	(2.38	)		$	(22.99	)		$	4.12

SOLAREDGE TECHNOLOGIES, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)
	Three months ended																				Year ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				December 31, 2025				December 31, 2024				December 31, 2023
Number of shares used in computing net diluted earnings (loss) per share (GAAP)		61,652,745				61,045,194				60,517,248				59,828,042				59,278,269				58,954,380				57,082,182				57,237,518
Stock-based compensation		5,017,672				4,772,503				—				—				—				—				—				725,859
Notes due 2025		—				—				—				—				—				—				—				2,276,818
Notes due 2029		9,819,347				—				—				—				—				—				—				—
Number of shares used in computing net diluted earnings (loss) per share (Non-GAAP)		76,489,764				65,817,697				60,517,248				59,828,042				59,278,269				58,954,380				57,082,182				60,240,195
Net cash provided by (used in) operating activities (GAAP)	$	20,387			$	11,416			$	24,428			$	52,629			$	25,608			$	104,261			$	(313,319	)		$	(180,113	)
Purchases of property and equipment		(12,567	)			(8,282	)			(3,701	)			(9,293	)			(2,809	)			(23,467	)			(108,163	)			(170,523	)
Discontinued operation		—				—				—				—				—				(3,867	)			—				—
Free cash flow (deficit) (Non-GAAP)	$	7,820			$	3,134			$	20,727			$	43,336			$	22,799			$	76,927			$	(421,482	)		$	(350,636	)
Operating income (loss) (Non-GAAP)	$	23,927			$	10,183			$	(24,751	)		$	(10,999	)		$	(23,757	)		$	(155,535	)		$	(1,254,539	)		$	290,024
Excluding: Depreciation		7,825				8,068				7,488				8,840				9,671				36,911				51,966				49,544
Adjusted EBITDA (Non-GAAP)	$	31,752			$	18,251			$	(17,263	)		$	(2,159	)		$	(14,086	)		$	(118,624	)		$	(1,202,573	)		$	339,568

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20261104002934/en/

Investor Contacts
SolarEdge Technologies, Inc.
Jeff Osborne, Head of Investor Relations
investors@solaredge.com

Sapphire Investor Relations, LLC
Erica Mannion and Michael Funari
investors@solaredge.com

Source: SolarEdge Technologies, Inc.

Key Terms

non-gaap financial measures financial

Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.

free cash flow financial

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

View in glossary

convertible senior notes financial

Convertible senior notes are a type of loan that a company issues to investors, which can be turned into company shares later on. They are called "senior" because they are paid back before other debts if the company runs into trouble. This allows investors to earn interest like a loan but also have the chance to own part of the company if its value rises.