Shoals Technologies Group, Inc. (NASDAQ:SHLS) Q1 2024 Earnings Call Transcript

Brandon Moss: Yes. Jonathan, most importantly, look, we’re looking at these project delays and the turbulence that we have in the market is short term. In no way, shape or form are we only cutting back resources to serve our utility scale our core of core customers here domestically. In fact, we’re doing the opposite. We’re increasing touch points. We’re increasing visibility with our customers. So again, as Dominic alluded to, I think, in the plant, you’re always looking for ways where you can shift labor and spread your absorption a little bit. But with our salaried staff, again, we’re pedal down and focused on growth mode and focus on this low growth that is coming.

Donovan Schafer: Okay. And then as a follow-up, the last questioner pointed out that things are on timing — the 50% growth in 2023 compared to the installed capacity growth, 2024 and things like that. And there’s kind of a lot of moving parts, but what I’d like to get is kind of strip as much as possible and kind of directly as possible to kind of ask the question around market share where if we took — to make it apples-to-apples and took like the core offering, like, let’s call it, DLA [ph] or combiner boxes, like the things that people use out in the field to connect the whole like 1 million panels into some bank of inverters to collect all of that, that set of apparatus stripped down to kind of its core. Is your position still that your market share from the time of the IPO has increased held the same or decrease and specifically just the US, if we just talk about that. Just trying to get the essence there.

Brandon Moss: I think you said it very well. We made some comments in our prepared remarks of what sales outside of our core domestic utility scale solar was in 2023 and what is represented in the first quarter of 2024. So I think you could classify virtually all of these sales to — related to domestic utility sales solar. There has been some instances where we’ve written some large projects internationally over the course of the period that has outlined the Page 14. But on the aggregate, the vast majority of the sales have come from US domestic solar. So I think the comp of 40% growth over a period of 20% growth is correlated.

Operator: We have reached the end of our question-and-answer session. I would now like to turn the floor back over to Brandon Moss for concluding comments.

Brandon Moss: Yes, I’d just like to thank all of you for joining us today and for the thoughtful questions. And Dominic, Mehgan and I look forward to seeing all of you in person related upcoming conferences. So thanks for the time today. I appreciate all the questions.

Operator: This concludes today’s conference. Thank you for your participation. You may disconnect your lines at this time.