SolarEdge Reports Mixed Q2 2025 Results: Revenue and Margin Growth Offset by Negative Free Cash Flow

SEDG
September 19, 2025
SolarEdge Technologies, Inc. announced its financial results for the second quarter ended June 30, 2025, reporting revenues of $289.4 million, a 32% increase from the prior quarter. Non-GAAP revenues, excluding discontinued operations, were $281.0 million, also up 32% sequentially. The company's GAAP gross margin improved to 11.1% and Non-GAAP gross margin reached 13.1%, compared to 8.0% and 7.8% respectively in the prior quarter. However, new tariffs had an approximate 1% negative impact on gross margin during the quarter. Despite sequential improvements in revenue and gross margin, SolarEdge reported cash used in operating activities of $7.8 million and free cash flow used of $9.1 million, a shift from positive free cash flow in previous quarters. For Q3 2025, the company provided revenue guidance in the range of $265 million to $285 million, with Non-GAAP gross margin projected between 8% and 12%. The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.