SolarEdge Technologies, Inc. (NASDAQ:SEDG), a global leader in smart energy technology, today announced its financial results for the third quarter ended September 30, 2025.

"We're making steady progress in our turnaround, with three consecutive quarters of revenue growth and improving margins, and we're not done yet," said Shuki Nir, CEO of SolarEdge. "With energy taking an increasingly vital role in powering the global economy, we believe that SolarEdge is positioned for continued growth, sustained profitability, and leadership in smart energy solutions."

Third Quarter 2025 Summary

The Company reported revenues of $340.2¹ million, up 18% from $289.4¹ million in the prior quarter.

Non-GAAP revenues² were $339.7 million, up 21% from $281.0 million the prior quarter.

During the quarter approximately 92.7 thousand inverters, 2.95 million optimizers and 230 MWh of batteries for PV applications were recognized as revenue.

The Company shipped 1,471 MW (AC) of inverters in the quarter and 269 MWh of batteries for PV applications during the quarter.³

GAAP gross margin was 21.2 %¹, compared to 11.1%¹in the prior quarter.

Non-GAAP gross margin² was 18.8%, compared to 13.1% in the prior quarter. Tariffs had a negative impact of approximately 2% in the third quarter.

GAAP operating expenses were $107.3¹ million, compared to $147.6¹ million in the prior quarter.

Non-GAAP operating expenses² were $87.7 million, compared to $85.2 million in the prior quarter.

GAAP operating loss was $35.2¹ million, compared to $115.5¹ million in the prior quarter.

Non-GAAP operating loss² was $23.8 million, compared to $48.3 million in the prior quarter.

GAAP net loss was $50.1 million¹, compared to $124.7¹ million in the prior quarter.

Non-GAAP net loss² was $18.3 million, compared to $47.7 million in the prior quarter.

GAAP net loss per share was $0.84¹, compared to a GAAP net loss per share of $2.13¹ in the prior quarter.

Non-GAAP net loss per share² was $0.31, compared to a Non-GAAP net loss per share of $0.81 in the prior quarter.

Cash generated in operating activities was $25.6 million, compared with $7.8 million used by operating activities in the prior quarter.

Free cash flow² generated was $22.8 million, compared with free cash flow used of $9.1 million in the prior quarter.

As of September 30, 2025, our cash and investments portfolio, net of debt, grew by $77.0 million to $208.8 million, compared to $131.8 million as of June 30, 2025.

1 Includes impairments, write offs and discontinued operation. See financials and reconciliation for details.

2 Non-GAAP financial measure. See "Non-GAAP Financial Measures" for additional information on non-GAAP financial measures and a reconciliation to the most comparable GAAP measures.

3 Starting in Q4 2025, we are going to be reporting on the key performance metrics consisting of i) inverters recognized as revenue, ii) optimizers recognized as revenue, and iii) mWh of batteries recognized as revenue and will stop reporting on what we no longer consider to be our key performance metrics of i) inverters shipped, ii) optimizers shipped, iii) mWh of batteries shipped, and iv) Megawatts shipped because we believe revenue recognition is a more accurate measurement than products shipped, for the purpose of assessing the Company's actual earnings rather than mere operational activity and due to our reducing the variety of SKUs in a manner in which we would no longer be able to track Megawatts shipped as a metric.

Outlook for the Fourth Quarter 2025

The Company also provides guidance for the fourth quarter ending December 31, 2025 as follows:

Revenues to be within the range of $310 million to $340 million;
Non-GAAP gross margin* expected to be within the range of 19% to 23%, including approximately 2% of tariff impact;
Non-GAAP operating expenses* to be within the range of $85 million to $90 million.

*Non-GAAP gross margin and Non-GAAP operating expenses are non-GAAP financial measures, and these forward-looking measures have not been reconciled to the most comparable GAAP outlook because it is not possible to do so without unreasonable efforts due to the uncertainty and potential variability of reconciling items, which are dependent on future events and often outside of management's control and which could be significant. Because such items cannot be reasonably predicted with the level of precision required, we are unable to provide outlook for the comparable GAAP measures. Forward-looking estimates of Non-GAAP gross margin and Non-GAAP operating expenses are made in a manner consistent with the relevant definitions and assumptions noted herein and in our filings with the SEC.

Conference Call

The Company will host a conference call to discuss its results for the third quarter ended September 30, 2025 at 8:00 a.m. ET on Wednesday, November 5, 2025. The call will be available, live, to interested parties by dialing +1 800-225-9448. For international callers, please dial +1 203-518-9708. The Conference ID is SEDG. To avoid a delay in connecting to the call, please dial in 10 minutes prior to the start time. A live webcast will also be available in the Investors Relations section of the Company's website at: http://investors.solaredge.com

______________________________________________________________________

A replay of the webcast will be available in the Investor Relations section of the Company's web site approximately two hours after the conclusion of the call and will remain available for approximately 30 calendar days.

About SolarEdge

SolarEdge is a global leader in smart energy technology. By leveraging world-class engineering capabilities and with a relentless focus on innovation, SolarEdge creates smart energy solutions that power our lives and drive future progress. SolarEdge developed an intelligent inverter solution that changed the way power is harvested and managed in photovoltaic (PV) systems. The SolarEdge DC optimized inverter seeks to maximize power generation while lowering the cost of energy produced by the PV system. Continuing to advance smart energy, SolarEdge addresses a broad range of energy market segments through its PV, storage, EV charging, batteries, and grid services solutions. SolarEdge is online at www.solaredge.com

Use of Non-GAAP Financial Measures

To provide investors and others with additional information regarding SolarEdge's results, SolarEdge has disclosed in this earnings release the following non-GAAP financial measures: non-GAAP revenue, non-GAAP operating income (loss), non-GAAP operating expenses, non-GAAP gross margin, non-GAAP net income (loss), non-GAAP net earnings (loss) per share, and non-GAAP net free cash flow. SolarEdge has provided a reconciliation of each non-GAAP financial measure used in this earnings release to the most directly comparable GAAP financial measure below. These non-GAAP financial measures differ from GAAP in that they exclude stock-based compensation, amortization and impairment of acquired intangible assets, restructuring and impairment charges, acquisition, disposition and other items, certain litigation and other contingencies, amortization of debt issuance cost, non-cash interest expense and non-cash revenue recognized from significant financing component, certain foreign currency exchange rates, gains and losses on investments, income and losses from equity method investments and discrete items that impacted our GAAP tax rate. Our non-GAAP financial measures also reflect the application of our non-GAAP tax rate.

SolarEdge's management uses these non-GAAP financial measures to understand and compare operating results across accounting periods, for internal budgeting and forecasting purposes, for short- and long-term operating plans, to calculate bonus payments and to evaluate SolarEdge's financial performance, the performance of its individual functional groups and the ability of operations to generate cash. Management believes these non-GAAP financial measures reflect SolarEdge's ongoing business in a manner that allows for meaningful period-to-period comparisons and analysis of trends in SolarEdge's business, as they exclude charges and gains that are not reflective of ongoing operating results. Management also believes that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating SolarEdge's operating results and future prospects from the same perspective as management and in comparing financial results across accounting periods.

The use of non-GAAP financial measures has certain limitations because they do not reflect all items of income and expense that affect SolarEdge's operations. These non-GAAP financial measures should be considered in addition to, not as a substitute for or in isolation from, measures prepared in accordance with GAAP and should not be considered measures of SolarEdge's liquidity. Further, these non-GAAP measures may differ from the non-GAAP information used by other companies, including peer companies, and therefore comparability may be limited. Management encourages investors and others to review SolarEdge's financial information in its entirety and not rely on a single financial measure.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

Statements contained in this press release contains may contain forward-looking statements that are based on our management's expectations, estimates, projections, beliefs and assumptions in accordance with information currently available to our management. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include information, among other things, concerning our possible or assumed future results of operations, return to positive free cash flow generation, future demands for solar energy solutions, business strategies, technology developments, new products and services, financing and investment plans; dividend policy; competitive position, industry and regulatory environment, general economic conditions; potential growth opportunities; cancellations and pushouts of existing backlog; installation rates; goodwill impairment; the effects of competition; tariff impacts and the impacts of the One Big Beautiful Bill Act. Forward-looking statements include statements that are not historical facts and can be identified by terms such as "anticipate," "believe," "could," "seek," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "will," "would" or similar expressions and the negatives of those terms.

Forward-looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Given these uncertainties, you should not place undue reliance on forward-looking statements. Also, forward-looking statements represent our management's beliefs and assumptions only as of the date of this release. Important factors that could cause actual results to differ materially from our expectations include, but are not limited to: the impact of the continued U.S. government shutdown; future demand for renewable energy including solar energy solutions; our ability to maintain a return to free cash flow positive generation; our ability to forecast demand for our products accurately and to match production to such demand as well as our customers' ability to forecast demand based on inventory levels; changes in tax laws, tax treaties, and regulations or the interpretation of them, including the Inflation Reduction Act and the One Big Beautiful Bill Act; changes in the U.S. or global trade environment, including the recent imposition of import tariffs by the U.S. and any future increase in such tariffs and/or subsequent retaliatory tariffs or other restrictive trade measures that other countries have taken or may take in response; tariff impacts and our ability to estimate the impact of tariffs on our operations; our ability to successfully operate our global operations with a reduced work force; macroeconomic conditions in our domestic and international markets, as well as inflation concerns, rising interest rates, and recessionary concerns; changes, elimination or expiration of government subsidies and economic incentives for on-grid solar energy applications;; the retail price of electricity derived from the utility grid or alternative energy sources; interest rates and supply of capital in the global financial markets in general and in the solar market specifically; competition, including introductions of power optimizer, inverter and solar photovoltaic system monitoring products by our competitors; developments in alternative technologies or improvements in distributed solar energy generation; historic cyclicality of the solar industry and periodic downturns; product quality or performance problems in our products; shortages, delays, price changes, or cessation of operations or production affecting our suppliers of key components; our dependence upon a small number of outside contract manufacturers and limited or single source suppliers; changes to net metering policies or the reduction, elimination or expiration of government subsidies and economic incentives for on-grid solar energy applications; capacity constraints, delivery schedules, manufacturing yields, and costs of our contract manufacturers and availability of components; performance of distributors and large installers in selling our products; consolidation in the solar industry among our customers and distributors; our ability to effectively manage changes in our organization and expansion into new markets; our ability to recognize expected benefits from restructuring plans; any unauthorized access to, disclosure, or theft of personal information or unauthorized access to our network or other similar cyber incidents; our ability to implement our new ERP system; our ability to integrate acquired businesses; disruption to our business operations due to the evolving state of war in Israel and political conditions related to the war and Israeli government's plans to significantly reduce the Israeli Supreme Court's judicial oversight; our dependence on ocean transportation to timely deliver our products in a cost-effective manner; fluctuations in global currency exchange rates; the impact of evolving legal and regulatory requirements, including corporate social responsibility and sustainability requirements; existing and future responses to and effects of pandemics, epidemics or other health crises; federal, state, and local regulations governing the electric utility industry with respect to solar energy; business practices and regulatory compliance of our raw material suppliers; our ability to maintain our brand and to protect and defend our intellectual property; volatility of our stock price; our customers' financial stability, creditworthiness, and debt leverage ratio; our ability to effectively design, launch, market, and sell new generations of our products and services; our ability to retain, and events affecting, our major customers; our ability to service our debt; impairment of our goodwill or other long-lived and intangible assets; our liquidity and ability to service our debt;; and the other factors set forth under "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2024, filed on February 25, 2025, in subsequent Quarterly Reports on Form 10Q and in other documents we file from time to time with the SEC that disclose risks and uncertainties that may affect our business. The preceding list is not intended to be an exhaustive list of all of our forward‐looking statements. You should not rely upon forward‐looking statements as predictions of future events. Although we believe that the expectations reflected in the forward‐looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward‐looking statements will be achieved or will occur. Statements in this press release speak only as of the date they were made. The Company undertakes no duty or obligation to update any forward-looking statements contained in this release, whether as a result of new information, future events or changes in its expectations or otherwise, except as may be required by applicable law, regulation or other competent legal authority.

SOLAREDGE TECHNOLOGIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF LOSS
(in thousands, except per share data)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2025			2024			2025			2024
	Unaudited						Unaudited
Revenues	$	340,177		$	235,435		$	849,086		$	705,239
Cost of revenues		268,034			963,229			727,276			1,470,189
Gross profit (loss)		72,143			(727,794	)		121,810			(764,950	)
Operating expenses:
Research and development		54,146			70,372			169,529			214,999
Sales and marketing		26,911			37,427			87,293			116,316
General and administrative		26,574			41,212			76,546			111,085
Other operating expense (income), net		(338	)		233,929			41,811			237,271
Total operating expenses		107,293			382,940			375,179			679,671
Operating loss		(35,150	)		(1,110,734	)		(253,369	)		(1,444,621	)
Financial income (expense), net		3,040			5,558			5,785			(2,371	)
Other income (expense), net		(15,011	)		(3,928	)		(10,846	)		14,623
Loss before income taxes		(47,121	)		(1,109,104	)		(258,430	)		(1,432,369	)
Income taxes		(2,563	)		(121,108	)		(13,946	)		(85,109	)
Net loss from equity method investments		(376	)		(577	)		(951	)		(1,440	)
Net loss	$	(50,060	)	$	(1,230,789	)	$	(273,327	)	$	(1,518,918	)

SOLAREDGE TECHNOLOGIES INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)

	September 30, 2025			December 31, 2024
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	439,515		$	274,611
Restricted cash		47,481			135,328
Marketable securities		59,064			311,279
Trade receivables, net of allowances of $20,840 and $43,038, respectively		286,258			160,423
Inventories, net		530,799			645,897
Prepaid expenses and other current assets		404,399			523,027
Total current assets		1,767,516			2,050,565
LONG-TERM ASSETS:
Marketable securities		—			42,597
Property, plant and equipment, net		318,230			343,438
Operating lease right-of-use assets, net		41,937			41,393
Intangible assets, net		7,754			9,666
Goodwill		50,520			48,380
Loan receivables, net		—			45,678
Other long-term assets		46,353			64,736
Total long-term assets		464,794			595,888
Total assets		2,232,310			2,646,453
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Trade payables		283,505			107,543
Employees and payroll accruals		70,829			76,292
Warranty obligations		111,738			140,249
Deferred revenues and customers advances		45,873			140,870
Accrued expenses and other current liabilities		262,842			246,078
Convertible senior notes, net		—			346,305
Total current liabilities		774,787			1,057,337
LONG-TERM LIABILITIES:
Convertible senior notes, net		331,169			330,006
Warranty obligations		283,106			292,116
Deferred revenues		277,131			231,049
Finance lease liabilities		40,959			39,159
Operating lease liabilities		29,961			30,018
Other long-term liabilities		15,437			8,426
Total long-term liabilities		977,763			930,774
COMMITMENTS AND CONTINGENT LIABILITIES
STOCKHOLDERS' EQUITY:
Common stock of $0.0001 par value - Authorized: 125,000,000 shares; issued: 59,800,052 shares as of September 30, 2025 and 58,780,490 shares as of December 31, 2024; outstanding: 59,559,546 shares as of September 30, 2025 and 58,027,126 shares as of December 31, 2024.		6			6
Additional paid-in capital		1,861,340			1,813,198
Treasury stock, at cost; 240,506 and 753,364 stocks held as of September 30, 2025 and December 31, 2024, respectively		(16,024	)		(50,194	)
Accumulated other comprehensive loss		(64,044	)		(76,477	)
Accumulated deficit		(1,301,518	)		(1,028,191	)
Total stockholders' equity		479,760			658,342
Total liabilities and stockholders' equity	$	2,232,310		$	2,646,453

SOLAREDGE TECHNOLOGIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands, except per share data)

	Nine Months Ended September 30
	2025			2024
Cash flows from operating activities:
Net loss	$	(273,327	)	$	(1,518,918	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization		23,430			47,215
Loss on impairment and disposal of property, plant and equipment		2,665			206,620
Provision to write down inventories to net realizable value		12,533			638,966
Impairment of asset held-for-sale		36,277			—
Impairment of goodwill and intangible assets		0			24,725
Impairment of privately-held companies		15,057			5,000
Stock-based compensation expenses		72,572			112,818
Loss from business disposition		17,875			—
Deferred income taxes, net		(976	)		79,831
Gain from repurchasing of convertible notes		—			(15,455	)
Loss from exchange rate fluctuations		2,874			8,243
Loss (gain) from sale of property, plant and equipment		(10,075	)		1,838
Other items		(1,408	)		3,461
Changes in assets and liabilities:
Trade receivables, net		(124,459	)		379,214
Inventories, net		117,875			15,858
Prepaid expenses and other assets		58,655			74,108
Operating lease right-of-use assets, net		8,185			12,286
Trade payables		175,906			(385,342	)
Warranty obligations		(37,316	)		(39,294	)
Deferred revenues and customers advances		(46,597	)		1,253
Operating lease liabilities		(10,051	)		(11,881	)
Accrued expenses and other liabilities		11,937			8,330
Net cash provided by (used in) operating activities		51,632			(351,124	)
Cash flows from investing activities:
Investment in available-for-sale marketable securities		(454,635	)		(200,919	)
Proceeds from maturities of available-for-sale marketable securities		682,866			632,866
Proceeds from sales of available-for-sale marketable securities		76,288			70,642
Purchase of property, plant and equipment		(14,174	)		(95,905	)
Business combinations, net of cash acquired		—			(10,417	)
Proceeds from sale of investment in privately-held company		4,000			—
Business dispositions, net of cash sold		(7,322	)		(2,598	)
Proceeds from sale of property, plant and equipment		38,026			1,733
Repayment related to governmental grant		(6,643	)		—
Purchase of intangible assets		—			(10,000	)
Disbursements for loans receivables		—			(37,500	)
Investment in privately-held companies		(300	)		(25,742	)
Proceeds from loan receivables		50,743			27,092
Other investing activities		2,932			(5,029	)
Net cash provided by investing activities		371,781			344,223
Cash flows from financing activities:
Repurchase of common stock		—			(50,315	)
Proceeds from issuance of Notes 2029, net of issuance costs		—			329,214
Capped call transactions related to Notes 2029		—			(28,342	)
Payment for settlement of convertible notes		(342,250	)		—
Repurchase of convertible debt		(5,093	)		(267,900	)
Other financing activities		(2,194	)		(2,530	)
Net cash used in financing activities		(349,537	)		(19,873	)
Effect of exchange rate changes on cash, cash equivalents and restricted cash		3,181			(7,790	)
Increase (decrease) in cash, cash equivalents and restricted cash		77,057			(34,564	)
Cash, cash equivalents and restricted cash, beginning of period		409,939			338,468
Cash, cash equivalents and restricted cash, end of period	$	486,996		$	303,904

SOLAREDGE TECHNOLOGIES INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)

	Three months ended															Year ended
	September 30, 2025			June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			December 31, 2024			December 31, 2023			December 31, 2022
Gross profit (loss) (GAAP)	$	72,143		$	32,131		$	17,536		$	(112,254	)	$	(727,794	)	$	(877,204	)	$	703,823		$	844,648
Revenues from finance component		(351	)		(304	)		(264	)		(254	)		(250	)		(984	)		(834	)		(614	)
Discontinued operation revenues		(85	)		(8,132	)		(7,098	)		—			—			—			—			—
Discontinued operation cost of revenues		(13,101	)		7,834			792			26,118			(6	)		24,921			36,648			4,314
Stock-based compensation		3,959			4,004			4,372			3,727			6,038			21,952			23,200			21,818
Amortization of stock-based compensation capitalized in inventories		825			882			381			1,095			1,484			3,138			1,100			—
Amortization and depreciation of acquired asset		501			483			491			484			2,034			5,412			6,038			7,429
Restructuring charges		31			10			430			3,770			1,217			15,327			23,154			—
Gross profit (loss) (Non-GAAP)	$	63,922		$	36,908		$	16,640		$	(77,314	)	$	(717,277	)	$	(807,438	)	$	793,129		$	877,595

Gross margin (loss) (GAAP)		21.2	%		11.1	%		8.0	%		(57.2	)%		(309.1	)%		(97.3	)%		23.6	%		27.2	%
Revenues from finance component		0.0			0.0			0.0			(0.1	)		(0.1	)		(0.1	)		0.0			0.0
Discontinued operation revenues		0.0			(2.8	)		(3.2	)		—			—			—			—			—
Discontinued operation cost of revenues		(3.9	)		3.0			0.4			13.3			0.0			2.8			1.2			0.1
Stock-based compensation		1.2			1.4			2.0			1.9			2.6			2.4			0.9			0.7
Amortization of stock-based compensation capitalized in inventories		0.2			0.3			0.2			0.6			0.6			0.3			0.0			—
Amortization and depreciation of acquired asset		0.1			0.2			0.2			0.2			1.0			0.6			0.2			0.2
Restructuring charges		0.0			0.0			0.2			1.9			1.0			1.7			0.8			—
Gross margin (loss) (Non-GAAP)		18.8	%		13.2	%		7.8	%		(39.4	)%		(304.0	)%		(89.6	)%		26.7	%		28.2	%

Operating expenses (GAAP)	$	107,293		$	147,624		$	120,262		$	151,413		$	382,940		$	831,084		$	663,618		$	678,528
Stock-based compensation - R&D		(10,681	)		(9,856	)		(15,911	)		(10,653	)		(17,115	)		(62,546	)		(66,944	)		(63,211	)
Stock-based compensation - S&M		(4,348	)		(4,342	)		(4,742	)		(4,452	)		(6,816	)		(27,328	)		(30,987	)		(31,017	)
Stock-based compensation - G&A		(2,897	)		(1,059	)		(6,401	)		(5,600	)		(6,672	)		(25,425	)		(28,814	)		(29,493	)
Amortization and depreciation of acquired assets - R&D		—			—			—			(189	)		(270	)		(1,000	)		(989	)		(1,206	)
Amortization and depreciation of acquired assets - S&M		(116	)		(116	)		(424	)		(442	)		(566	)		(1,599	)		(927	)		(822	)
Amortization and depreciation of acquired assets - G&A		—			—			—			—			(2	)		(6	)		(15	)		(21	)
Discontinued operation		(316	)		(27,069	)		(1,522	)		(3,350	)		11			(3,293	)		(388	)		—
Restructuring charges		(426	)		(867	)		(2,613	)		—			(1,299	)		(5,607	)		—			—
Assets impairment and disposal by abandonment		(672	)		(1,967	)		(224	)		(17,989	)		(232,102	)		(251,823	)		(30,790	)		(119,141	)
Gain (loss) from assets sales		(158	)		(17,108	)		662			(1,910	)		(1,827	)		(5,746	)		1,262			2,603
Certain litigation and other contingencies		—			—			—			—			—			399			(1,786	)		—
Acquisition costs		—			—			—			—			—			(9	)		(135	)		(350	)
Operating expenses (Non-GAAP)	$	87,679		$	85,240		$	89,087		$	106,828		$	116,282		$	447,101		$	503,105		$	435,870

SOLAREDGE TECHNOLOGIES INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)

	Three months ended															Year ended
	September 30, 2025			June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			December 31, 2024			December 31, 2023			December 31, 2022
Operating income (loss) (GAAP)	$	(35,150	)	$	(115,493	)	$	(102,726	)	$	(263,667	)	$	(1,110,734	)	$	(1,708,288	)	$	40,205		$	166,120
Revenues from finance component		(351	)		(304	)		(264	)		(254	)		(250	)		(984	)		(834	)		(614	)
Discontinued operation		(12,870	)		26,771			(4,784	)		29,468			(17	)		28,214			37,036			4,314
Stock-based compensation		21,885			19,261			31,426			24,432			36,641			137,251			149,945			145,539
Amortization of stock-based compensation capitalized in inventories		825			882			381			1,095			1,484			3,138			1,100			—
Amortization and depreciation of acquired assets		617			599			915			1,115			2,872			8,017			7,969			9,478
Restructuring charges		457			877			3,043			3,770			2,516			20,934			23,154			—
Assets impairment and disposal by abandonment		672			1,967			224			17,989			232,102			251,823			30,790			119,141
Loss (gain) from assets sales		158			17,108			(662	)		1,910			1,827			5,746			(1,262	)		(2,603	)
Certain litigation and other contingencies		—			—			—			—			—			(399	)		1,786			—
Acquisition costs		—			—			—			—			—			9			135			350
Operating income (loss) (Non-GAAP)	$	(23,757	)	$	(48,332	)	$	(72,447	)	$	(184,142	)	$	(833,559	)	$	(1,254,539	)	$	290,024		$	441,725

Financial income (expense), net (GAAP)	$	3,040		$	(7,323	)	$	10,068		$	(12,199	)	$	5,558		$	(14,570	)	$	41,212		$	3,750
Non cash interest expense		4,462			4,326			4,051			3,920			3,785			14,877			12,703			9,954
Unrealized losses		—			—			—			—			—			—			—			119
Currency fluctuation related to lease standard		1,552			7,151			(1,633	)		1,089			966			(744	)		(3,055	)		(11,187	)
Discontinued operation		(958	)		2,265			(276	)		—			—			—			—			—
Financial income (expense), net (Non-GAAP)	$	8,096		$	6,419		$	12,210		$	(7,190	)	$	10,309		$	(437	)	$	50,860		$	2,636

Other income (loss) (GAAP)	$	(15,011	)	$	4,017		$	148		$	(76	)	$	(3,928	)	$	14,547		$	(318	)	$	7,285
Loss (gain) from sale of equity and debt investments		—			—			(2	)		76			(1,072	)		(2,966	)		193			(8,008	)
Loss (gain) from business combination		—			—			—			—			—			(1,125	)		—			—
Gain from the repurchase of convertible notes		—			—			(146	)		—			—			(15,456	)		—			—
Gain From sale of private held companies		—			(4,017	)		—			—			—			—			—			—
Loss from impairment of private held companies		15,011			—			—			—			5,000			5,000			—			—
Other income (loss) (Non-GAAP)	$	—		$	—		$	—		$	—		$	—		$	—		$	(125	)	$	(723	)

Income tax benefit (expense) (GAAP)	$	(2,563	)	$	(5,657	)	$	(5,726	)	$	(11,041	)	$	(121,108	)	$	(96,150	)	$	(46,420	)	$	(83,376	)
Income tax adjustment		(124	)		(100	)		(155	)		(176	)		44,602			39,007			(45,896	)		(9,067	)
Income tax benefit (expense) (Non-GAAP)	$	(2,687	)	$	(5,757	)	$	(5,881	)	$	(11,217	)	$	(76,506	)	$	(57,143	)	$	(92,316	)	$	(92,443	)

Equity method investments income (loss) (GAAP)	$	(376	)	$	(288	)	$	(287	)	$	(456	)	$	(577	)	$	(1,896	)	$	(350	)	$	—
Loss from equity method investments		376			288			287			456			577			1,896			350			—
Equity method investments income (loss) (Non-GAAP)	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—

SOLAREDGE TECHNOLOGIES INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited)
(in thousands, except per share data and percentages)

	Three months ended															Year ended
	September 30, 2025			June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			December 31, 2024			December 31, 2023			December 31, 2022
Net income (loss) (GAAP)	$	(50,060	)	$	(124,744	)	$	(98,523	)	$	(287,439	)	$	(1,230,789	)	$	(1,806,357	)	$	34,329		$	93,779
Revenues from finance component		(351	)		(304	)		(264	)		(254	)		(250	)		(984	)		(834	)		(614	)
Discontinued operation		(13,828	)		29,036			(5,060	)		29,468			(17	)		28,214			37,036			4,314
Stock-based compensation		21,885			19,261			31,426			24,432			36,641			137,251			149,945			145,539
Amortization of stock-based compensation capitalized in inventories		825			882			381			1,095			1,484			3,138			1,100			—
Amortization and depreciation of acquired assets		617			599			915			1,115			2,872			8,017			7,969			9,478
Restructuring charges		457			877			3,043			3,770			2,516			20,934			23,154			—
Assets impairment and disposal by abandonment		672			1,967			224			17,989			232,102			251,823			30,790			119,141
Loss (gain) from assets sales		158			17,108			(662	)		1,910			1,827			5,746			(1,262	)		(2,603	)
Certain litigation and other contingencies		—			—			—			—			—			(399	)		1,786			—
Acquisition costs		—			—			—			—			—			9			135			350
Non cash interest expense		4,462			4,326			4,051			3,920			3,785			14,877			12,703			9,954
Unrealized losses		—			—			—			—			—			—			—			119
Currency fluctuation related to lease standard		1,552			7,151			(1,633	)		1,089			966			(744	)		(3,055	)		(11,187	)
Loss (gain) from sale of equity and debt investments

SolarEdge Announces Third Quarter 2025 Financial Results