German photovoltaic (PV) inverter manufacturer, SMA Solar Technology AG (ETR:S92), has disclosed a notable surge in net profit, reaching EUR 180.4 million (USD 192.5m) for the first nine months of 2023. This marks a significant increase from EUR 11 million during the same period in 2022, as the company continues its “dynamic growth course,” particularly in the third quarter of the year.
Earnings before interest, taxes, depreciation, and amortization (EBITDA) witnessed an impressive leap of 360.6%, reaching EUR 231.2 million. The EBITDA margin expanded to 17.3%, up from 6.9% in the corresponding period the previous year. SMA Solar Technology attributed this success to the enhanced utilization of production capacity and a decline in fixed costs resulting from increased sales volume.
All segments of the company, including Home Solutions, Large Scale and Project Solutions, and Commercial and Industrial Solutions, contributed positively to earnings. The Home Solutions division emerged as the most profitable, generating EUR 136.9 million in earnings before interest and tax (EBIT), significantly contributing to the overall EBIT of EUR 201.6 million—up from EUR 21.8 million a year ago.
SMA's sales experienced substantial growth, reaching EUR 1.33 billion compared to EUR 724.1 million in the first three quarters of 2022.
The company has reaffirmed its recently elevated sales and earnings forecast for the full year of 2023.