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SolarEdge’s $310 Million Rebound: Can Nexis & AI Power Narrow The Losses?

SolarEdge Technologies reported its first-quarter results for the period ended March 31, 2026, highlighting a transformative phase aimed at achieving profitable growth, expanding global market share, innovating product offerings, and entering high-growth adjacencies such as AI data center power solutions. The company recorded non-GAAP revenues of $310 million, reflecting a 46% increase year-over-year but a 7% decline sequentially, which outperformed typical seasonal trends. The U.S. market contributed 51% of revenues ($150 million), declining 20% quarter-over-quarter amid challenges including changes in tax credit policies and uncertainties around tax equity funding, which strained installer finances. Europe saw a 14% sequential revenue increase to $114 million, its highest since Q4 2023, supported by stronger demand for batteries in both residential and commercial segments. International markets grew 5% to $38 million. The gross margin reached 23.5%, marginally up from prior quarter, largely due to a favorable product mix and reduced warranty costs.