Enphase Reports record revenues up 57 percent year-on-year
Enphase Energy, Inc has announced financial results for the fourth quarter and year ended December 31, 2014.
Enphase Energy reported total revenue for the fourth quarter of 2014 of $105.2 million, an increase of 57 percent compared to the fourth quarter of 2013, and an increase of 6 percent compared to the third quarter of 2014. During the fourth quarter of 2014, Enphase sold 180MW (AC) or 799,000 microinverters, an increase in MW of 67 percent compared to the fourth quarter of 2013.
GAAP gross margin for the fourth quarter of 2014 was 33.3 percent, compared to 32.1 percent in the fourth quarter of 2013. Non-GAAP gross margin was 33.5 percent, compared to 32.3 percent for the fourth quarter of 2013.
GAAP operating expenses for the fourth quarter of 2014 were $33.1 million and non-GAAP operating expenses were $30.4 million.
GAAP operating income for the fourth quarter of 2014 was $2.0 million, and non-GAAP operating income was $4.8 million, compared to a GAAP operating loss of $1.6 million and non-GAAP operating income of $0.4 million in the fourth quarter of 2013.
GAAP net income for the fourth quarter of 2014 was $0.4 million, or $0.01 per diluted share, compared to a GAAP net loss of $2.8 million, or a net loss of $0.07 per share in the fourth quarter of 2013. On a non-GAAP basis, net income was $3.5 million, or $0.07 per diluted share, compared to a non-GAAP net loss of $0.7 million, or a net loss of $0.02 per share in the fourth quarter of 2013.
The Company generated $8.9 million of cash from operations in the fourth quarter of 2014 and exited the quarter with a total cash balance of $42.0 million and no debt. During the fourth quarter of 2014, the Company paid $5.8 million to extinguish all outstanding term loans and is currently debt free. Also during the fourth quarter, the Company acquired substantially all of the assets of Next Phase Solar, a leading provider of solar operations and maintenance services, for an initial consideration of $2.5 million.
"We ended 2014 with record-breaking financial results," said Paul Nahi, CEO of Enphase Energy. "During the fourth quarter, we achieved record revenue, megawatts shipped and gross margin, along with impressive bottom line results, including our highest ever operating income. Our high-technology business model, world-class products and superior customer support continued to propel our growth during the quarter."
"We continued to drive our balanced profitable growth strategy," said Kris Sennesael, CFO of Enphase Energy. "The combination of strong revenue growth, gross margin expansion and operating expense leverage resulted in another quarter of profitability. Additionally, in just one year, we improved the non-GAAP operating margin from breakeven in the fourth quarter of 2013 to approximately 5 percent in the fourth quarter of 2014."
