Yet Another Round Of Staff Cuts At SolarEdge

After three rounds of layoffs announced in 2024, solar manufacturer SolarEdge will be shedding staff again – with hundreds more jobs to go.

In January last year, SolarEdge announced a restructuring plan that included approximately 900 employees being laid off. In July, then-CEO Zvi Lando revealed there would be a further reduction in the firm’s workforce, impacting approximately 400 employees.

Then in November 2024, the company announced it was axing its Energy Storage Division that was focused on utility-scale markets to concentrate on its core solar activities; a move that would see 500 employees – mainly in South Korea – lose their jobs.

In an SEC filing this week, SolarEdge said it expects to further reduce its headcount by approximately 400 employees globally, along with lowering overhead expenses and enhancing efficiency in other operating areas.

“Once the reductions in the workforce are completed, the Company anticipates that they will lead to a quarterly reduction in expenses of approximately $9 million to $11 million,” stated the firm.

The market responded positively to the news, with shares closing the day at USD $16.29 USD, up 6.61%. But it’s still a far cry from the maximum $365 reached at one point in 2021.

Job Losses – But Also New Jobs

According to Macrotrends, SolarEdge’s headcount in 2023 was 5,633 staff. In total, since January last year, SolarEdge has shed or plans to shed 1,800 staff.  But while it’s little comfort to those losing their employment, the firm has also been creating new jobs in connection with facilities in Austin, Texas and in Seminole, Florida. As at November, around 1,500 new jobs were connected with these facilities, a number expected to increase to ~1,750 jobs by the end of last year.

On a related note, the company announced in early December it had started shipping its new SolarEdge Home Battery ‘USA Edition’ to US customers.

“By expanding our U.S. manufacturing capabilities to include energy storage, SolarEdge is delivering on our commitment to provide installers with a domestically produced battery,” said Bertrand Vandewiele, General Manager of SolarEdge North America.

SolarEdge is also producing Home Hub Inverters and Power Optimizers at its Austin, Texas and Tampa, Florida manufacturing facilities.

A New CEO Too

Zvi Lando stepped down as CEO of SolarEdge in late August last, a position he held since 2019. He’s still associated with the firm as a member of the board of directors and was also serving as an advisor to the management team to support the leadership transition. The company’s interim CEO was Ronen Faier; previously SolarEdge’s Chief Financial Officer. In early December, SolarEdge announced the appointment of Shuki Nir as the new CEO. Mr. Nir was previously serving the company as CMO from June 2024.

Mr. Faier was to stay on with the company as an advisor during the leadership transition period.

“Now is the time to transition to a new generation of leadership to drive SolarEdge’s next stage of growth,” said Mr. Faier in December. “I could not be happier to welcome Shuki as SolarEdge’s next CEO; I believe he has the passion, the drive, and the vision that make him the right person to lead SolarEdge forward.”

SolarEdge was founded in 2006 and began manufacturing solar inverters and optimizers in 2010. It has since expanded its product offerings to include, among other things, home batteries and EV chargers; all of which are currently available in Australia.

Original Source: https://www.solarquotes.com.au/blog/solaredge-layoffs-again-mb3090/