Increased Sales Push SMA Solar’s Net Income to $56 Million in Q2 2023

The company’s revenue grew by 64% YoY during the quarter


Germany-based solar energy equipment supplier SMA Solar Technology reported a net income of €51.79 million (~$56.46 million) in the second quarter (Q2) of 2023, a vast improvement from the loss of €13.55 million (~$14.77 million) during Q2 2022.

The growth in net income was attributed to increased sales and profitability, which more than doubled during the period.

SMA’s portfolio contains a wide range of solar and battery inverters, system solutions for photovoltaics and battery-storage systems, intelligent energy management systems, and charging solutions for electric vehicles and power-to-gas applications.

The company reported a revenue of €411.73 million (~$448.88 million) in Q2 2023, an increase of 64% year-over-year (YoY).

The company registered earnings before interest and taxes (EBIT) of €55.66 million (~$60.68 million) compared to a loss of €8.29 million (~$9.04 million) in Q2 2022.

As of June 30, 2023, the SMA Group had an order backlog of €2.45 billion (~$2.67 billion) compared to that of €1.29 billion (~$1.41 billion) as of June 30, 2022.

Commenting on the results, Jürgen Reinert, CEO of SMA, said, “The good overall development in the first half of the year shows that we are optimally positioned with our diversified business model as a systems and solutions provider serving three segments. We want to continue to grow profitably. Our new gigawatt factory will create an additional 20 GW of capacity and more than 200 new jobs starting in 2025.”

1H 2023

The company’s net income surged to €103.48 million (~$112.82 million) in the first half (1H) of 2023, compared to a loss of €10.6 million (~$11.56 million) in 1H 2022.

The revenue from sales rose by 65.1% YoY to €778.9 million (~$849.19 million) in 1H 2023.

The home solutions segment more than doubled its sales to €327.3 million (~$356.84 million) in 1H 2023. Sales figures in the commercial & industrial solutions segment also grew by 64% YoY from €118.4 million (~$129.08 million) to €194.2 million (~$211.72 million).

Sales in the large-scale and project solutions segment reached €257.4 million (~$280.63 million), an increase of 18% YoY.

In 1H 2023, 75.3% of the external sales were generated in Europe, the Middle East, and Africa, 19.6% in North and South America, and 5.1% in the Asia Pacific region.

SMA Solar-1

The EBIT numbers for 1H 2023 stood at €106.02 million (~$115.58 million), compared to a loss of €2.75 million (~$2.99 million) during the same time last year. The growth can be attributed to increased sales due to improved material supply on the supplier side, the associated fixed cost degression in production, and a continued high-margin product mix.

Material shortages and supply chain disruptions had negatively impacted the sales and financials of SMA Solar during 1H of 2022. SMA Solar had recorded total sales of €472 million (~$514.59 million), a YoY dip of 3.27% from €488 million (~$532.04 million).

Mercom recently reported on how solar inverter suppliers remained optimistic and managed to meet the increasing demand even with the global chip shortage.