Enphase Energy reported annual revenue of $1.33 billion for 2024, down 42% from $2.29 billion in 2023, primarily due to a 58% decrease in microinverter shipments amid broad-based market slowdown. Net income declined to $102.7 million from $438.9 million last year. The company recognized $157.5 million in advanced manufacturing production tax credits under the Inflation Reduction Act, partially offsetting the revenue decline.The slowdown was attributed to higher interest rates, elevated channel inventory, and California's transition from NEM 2.0 to NEM 3.0 in the U.S. market, while Europe faced softer demand due to dropping utility rates and policy changes. Despite challenges, battery storage shipments increased 48% to 521.0 MWh in 2024 compared to 351.6 MWh in 2023.The company expanded U.S. manufacturing capacity to produce five million microinverters per quarter and began shipping products with higher domestic content to qualify for tax credits. Gross margin improved to 47.3% from 46.2% in 2023, benefiting from IRA credits and higher microinverter ASPs. The company maintained a strong balance sheet with $1.72 billion in cash and marketable securities at year-end.

Enphase Energy reported annual revenue of $1.33 billion for 2024, down 42% from $2.29 billion in 2023, primarily due to a 58% decrease in microinverter shipments amid broad-based market slowdown. Net income declined to $102.7 million from $438.9 million last year. The company recognized $157.5 million in advanced manufacturing production tax credits under the Inflation Reduction Act, partially offsetting the revenue decline.The slowdown was attributed to higher interest rates, elevated channel inventory, and California's transition from NEM 2.0 to NEM 3.0 in the U.S. market, while Europe faced softer demand due to dropping utility rates and policy changes. Despite challenges, battery storage shipments increased 48% to 521.0 MWh in 2024 compared to 351.6 MWh in 2023.The company expanded U.S. manufacturing capacity to produce five million microinverters per quarter and began shipping products with higher domestic content to qualify for tax credits. Gross margin improved to 47.3% from 46.2% in 2023, benefiting from IRA credits and higher microinverter ASPs. The company maintained a strong balance sheet with $1.72 billion in cash and marketable securities at year-end.