By Sabela Ojea

Shares of Enphase Energy climbed after the company posted higher-than-expected revenue and adjusted earnings in the fourth quarter and its outlook for the first quarter beat estimates.

The stock was up 6.4%, to $70.48, in post-market trading Tuesday, representing the largest percent increase since December 2024. Through the close, shares have dropped 34% over the past 12 months.

The solar-energy company posted a fourth-quarter net profit of $62.2 million, or 45 cents a share, compared with $45.8 million, or 33 cents a share, for the same period a year earlier.

Stripping out one-time items, the company's earnings per share came in at 94 cents. Analysts polled by FactSet had forecast adjusted earnings of 73 cents a share.

Revenue rose 0.5%, to $382.7 million, beating the $377.2 million expected by Wall Street, according to FactSet.

"We are generally seeing stable demand in the U.S., both in California as well as outside of California," Chief Executive Badrinarayanan Kothandaraman said on a call with analysts. Outside the U.S., the company saw fourth-quarter revenue in Europe down 25% when compared to the third quarter.

For the first quarter, Enphase Energy guided for revenue of $340 million to $380 million, coming ahead of the $337.6 million forecast by analysts polled by FactSet.

Enphase believes its new products will help drive gradual revenue growth throughout 2025, with safe harbor ordering in the U.S. having the potential to accelerate growth as it progresses into the second half of 2025, Kothandaraman said, adding that overall the company has doubled down on U.S. manufacturing for microinverters and batteries.

Write to Sabela Ojea at sabela.ojea@wsj.com

(END) Dow Jones Newswires

February 04, 2025 18:29 ET (23:29 GMT)

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