Proactive Investors - Enphase Energy Inc (NASDAQ:ENPH) shares slid 15% to $81.34 in late-morning trading on Friday after solar equipment maker reported third-quarter 2023 revenue that fell 13% year over year to $551.1 million, missing Wall Street expectations, as the company cited a “substantial” drop in US and European demand that will likely last into next year.
The company's US revenue, which decreased 16% from the previous quarter, was impacted by high interest rates and California’s recent changes to how solar homeowners are compensated for excess electricity they sell to the grid.
Looking ahead, Enphase sees 4Q revenue of $300 million to $350 million, well below the analyst consensus estimate of $577 million.
Enphase CEO Badri Kothandaraman, meanwhile, told Bloomberg that demand should start recovering in the second quarter of 2024, and the company is diversifying into other countries and introducing new products.
Shares of Enphase Energy have plunged 68% year to date.