SolarEdge, an Israel-based manufacturer of solar inverters, power optimizers, and monitoring systems, reported a revenue of $655.1 million in the first quarter (Q1) of 2022, an increase of 19% from $551.9 million in Q4 2021.

The revenue increased 62% year-over-year (YoY) from $405.5 million in the same quarter last year due to record quarterly revenues in the US and 14 European countries, including the Netherlands, Italy, Poland, and Switzerland. In the U.S., the company’s inverter shipments grew over 40% during the quarter. About 100 MWh of batteries shipped in Q1, more than doubled quarter-over-quarter.

The solar segment contributed the most to the revenue with $608 million, an increase of 21% from $502.7 million in Q4 2021 and 62% from $376.4 million in the same quarter last year.

Net income, however, dropped 19% from the previous quarter to $33.1 million from $41.0 million.

The gross margin from the solar segment was 30.2%, down from 32.8% in Q4 2021 and from 39.7% in the same quarter last year. Operating profit from the solar segment was $98.7 million

The company reported a cash flow of $163 million, compared with $89.6 million generated from operating activities in the previous quarter and $24.1 million in the same quarter last year.

During Q1 2022, SolarEdge shipped 2,130 MW_AC of inverters against 1,922 MW_AC in Q4 2021. Of this, 1.132 GW was for the residential segment (53%) and 999 MW for commercial (47%). SolarEdge shipped 721 MW of inverters to the United States and 1,110 MW to Europe and 309 MW to the rest of the world.

In Q1 2021, SolarEdge posted $405.5 million in revenue, up 13% from $358.1 million in the previous quarter.

Commenting on the financial results, Zvi Lando, Chief Executive Officer of SolarEdge, said that the revenue for the first quarter was driven by record revenue in the United States and 14 countries in Europe.

SolarEdge addresses a broad range of energy market segments through photovoltaics, storage, electric vehicle (EV) charging, batteries, EV powertrains, and grid services solutions.

In March this year, SolarEdge completed an underwritten public offering of 2,300,000 shares, raising $678.5 million. The company plans to use the proceeds to make acquisitions, among other activities.