SolarEdge Cuts 900 Jobs Amid Significant Drop In Revenue

SolarEdge is embarking on a massive layoff programme, with 900 employees, 550 of whom are headquartered in Israel. The company employs approximately 5,500 individuals, which translates to a 16 per cent reduction in overall staff.

This move comes despite a dramatic drop in SolarEdge's revenue. The renewable energy firm earlier stated that it expected revenues in the fourth quarter of 2023 to be roughly $325 million, 55 per cent lower than revenues in the third quarter.

The announcement startled analysts, who expected a reduction in sales but not to this level. The third quarter's revenues of $725 million were 27 per cent lower than the second quarter's revenues of $991 million.

Zvi Lando, chief executive officer of SolarEdge, said, “We have made a very difficult, but necessary decision to implement a workforce reduction and other cost-cutting measures in order to align our cost structure with the rapidly changing market dynamics. We are making every effort to treat our departing colleagues with respect and gratitude for their contributions and support them in their transition. We remain confident in the long-term growth of the solar energy market and our leading position in the smart energy space. These changes do not impact our strategic direction and priorities and we remain committed to continue to drive the renewable energy transformation, while providing best in class technology and support to our customers.”