Enphase Energy, Inc. (NASDAQ:ENPH) Q4 2022 Earnings Call Transcript

Pavel Molchanov: Okay. And then I think other than Europe, your main international exposure is Australia. Can we get a quick update on that?

Badri Kothandaraman: Yes. Australia basically had a weak first half of €˜22. And the fourth quarter is basically recovering back to original levels. The exciting thing for Australia is we are just about to introduce our third-generation battery into Australia in the second quarter. And in addition, we are also planning to introduce our IQ8 microinverters there. So, they are going to have some brand-new products. And many Australian installers €“ we meet with the Australian installers once a quarter in a round table. And many of those Australian installers are excited about third-generation product. So, that will be an incremental revenue for us once we release it.

Pavel Molchanov: Appreciate the update on that. Thanks, guys.

Badri Kothandaraman: Thank you.

Operator: The next question comes from Sean Milligan of Janney. Please go ahead.

Sean Milligan: Good afternoon, guys. Thanks for taking my questions. Could you address or help us understand what percentage of the battery storage sales are going internationally right now? And then I know you are introducing that in a number of new markets. Can you help us understand how the pace of ramp up in new markets, what we should expect for that over this year?

Badri Kothandaraman: Yes. We normally do not breakout batteries between U.S. and Europe. But I will say this that Europe is getting started. U.S., we have introduced batteries now for the last since Q3 of 2020. So basically, 2.5 years there. The Europe guys are getting started, but they are rapidly expanding. We have introduced the product in two countries, Germany and Belgium and there are a lot more countries that we plan to introduce in 2023. Immediately, we are going to introduce in four countries, basically, Austria, Netherlands, France and I think Switzerland and the fifth one as well, which is Spain. So we are going to steadily ramp up the megawatt hours there. And when it becomes we will actually look at it between Mandy and me and see whether we will start breaking that out for future quarters.

Sean Milligan: Okay, great. Thanks.

Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Badri Kothandaraman for any closing remarks.

Badri Kothandaraman: Alright. Thank you for joining us today and for your continued support of Enphase. We look forward to speaking with you again next quarter. Bye.

Operator: The conference has now concluded. Thank you for attending today’s presentation and you may now disconnect.