Enphase forecasts lower fourth-quarter sales as solar demand stays weak
Revenue guidance of $225 million to $255 million points to a sequential decline after a weak third quarter.
Enphase Energy's latest outlook points to another decline in quarterly sales. The solar technology company expects fourth-quarter revenue of $225 million to $255 million, below the $293.3 million it reported for the third quarter.
The results were released Tuesday. Third-quarter revenue fell 29% from a year earlier, while adjusted earnings were $0.41 a share. The weaker sales backdrop is separate from the sequential decline the company now expects in the fourth quarter.
Demand reaching end customers was also weaker than the company had expected. Global sell-through increased about 1% from the previous quarter, against its expectation of 10% growth. U.S. sell-through fell 35% from a year earlier; European sell-through declined 12% from the previous quarter. Those comparisons use different time periods and should not be treated as directly comparable regional growth rates.
The fourth-quarter revenue outlook assumes sell-through falls 10% from the third quarter, according to Enphase. That remains a forecast, not a reported fourth-quarter result. Adjusted earnings are a non-GAAP measure, with the company's release providing the reconciliation to its GAAP figures.
