Enphase Energy Q1 Earnings Beat Estimates, Revenues Decline Y/Y

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Enphase Energy Q1 Earnings Beat Estimates, Revenues Decline Y/Y

Enphase Energy, Inc. ENPH reported first-quarter 2026 adjusted earnings of 47 cents per share, which decreased 30.9% from 68 cents reported in the prior-year quarter. However, the bottom line topped the Zacks Consensus Estimate of 43 cents by 8.2%.

Including one-time adjustments, the company posted a GAAP loss of 6 cents per share against GAAP earnings of 22 cents in the year-ago quarter.

The year-over-year earnings decline can be attributed to lower revenues as well as lower income from operations from the year-ago quarter.

ENPH’s Revenues

Enphase Energy’s first-quarter revenues of $282.9 million missed the Zacks Consensus Estimate of $284 million by 0.2%. The top line also decreased 28.6% from the prior-year quarter’s reported figure of $356.1 million.

The year-over-year plunge was mainly due to weaker sales in the United States.

Enphase Energy, Inc. Price, Consensus and EPS Surprise

Enphase Energy, Inc. Price, Consensus and EPS Surprise

Enphase Energy, Inc. price-consensus-eps-surprise-chart | Enphase Energy, Inc. Quote

Enphase Energy’s Operational Update

The company’s shipments amounted to approximately 1.41 million microinverters and 103.1 megawatt-hours (MWh) of Enphase IQ Batteries.

The company’s adjusted gross margin decreased 500 basis points year over year to 43.9%.

Adjusted operating expenses dropped 3.1% year over year to $76.9 million. 

The adjusted operating income totaled $47.3 million, down 50.1% from the year-ago quarter.

Financial Details of ENPH

Enphase Energy had $497.5 million in cash and cash equivalents as of March 31, 2026 compared with $474.3 million as of Dec. 31, 2025.

The net cash flow from operating activities amounted to $102.9 million as of March 31, 2026 compared with $47.6 million as of Dec. 31, 2025.

Q2 2026 Guidance by Enphase Energy

For the second quarter of 2026, ENPH expects revenues in the range of $280-$310 million. The Zacks Consensus Estimate for second-quarter revenues is pegged at $303.7 million, which is higher than the midpoint of the company’s guided range.

Enphase Energy expects to ship IQ batteries in the range of 100-110 MWh in the second quarter.

Adjusted operating expenses are expected between $75 million and $79 million. This excludes approximately $45 million estimated for stock-based compensation expenses, acquisition-related costs and amortization, as well as restructuring and asset impairment charges.

The adjusted gross margin is expected in the range of 44-47%, excluding stock-based compensation expenses and acquisition-related amortization.

ENPH’s Zacks Rank

Enphase Energy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Solar Releases

First Solar, Inc. FSLR is scheduled to report first-quarter 2026 results on April 30, after market close. The Zacks Consensus Estimate for FSLR’s earnings is pegged at $2.80 per share, which suggests a year-over-year rise of 43.6%.

The consensus estimate for sales stands at $1.05 billion, which indicates growth of 23.8%.

SolarEdge Technologies SEDG is slated to report first-quarter 2026 results on May 6, before market open. The Zacks Consensus Estimate for SEDG’s earnings is pegged at a loss of 23 cents per share.

The consensus estimate for sales is pegged at $303.4 million, which indicates an improvement of 38.2%.

Sunrun Inc. RUN is slated to report first-quarter 2026 results on May 6, after market close. The Zacks Consensus Estimate for RUN’s earnings is pegged at a loss of 5 cents per share.

The consensus estimate for sales is pegged at $675.3 million, which calls for a jump of 33.9%.

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First Solar, Inc. (FSLR): Free Stock Analysis Report
 
Enphase Energy, Inc. (ENPH): Free Stock Analysis Report
 
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Sunrun Inc. (RUN): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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