Array Technologies, a solar tracker supplier, has announced its financial results for the opening quarter of 2023, citing an increase in revenue due to higher volume sales and average selling price (ASP). The company's Q1 2023 revenue reached US$376.8 million, a 25% increase from the same period in the previous year, where the company generated US$300.6 million in revenue.
Additionally, Array's adjusted EBITDA increased substantially from US$0.7 million during Q1 2022, which was a bumpy year due to supply chain issues affecting the company's revenue, to US$67 million in Q1 2023. This impressive growth is attributed to the company's notable deals with Avangrid, the US subsidiary of Spanish utility Iberdrola, to deploy US$30 million worth of trackers, along with supplying trackers to solar developer Lightsource bp's 188MW project in Indiana.
The company also won a 130MW supply agreement in Australia earlier in the year, where it will set up a manufacturing facility to supply solar trackers to meet the growing demand for renewables in the region.
Array's CEO, Kevin Hostetler, noted a slowdown in the company's order activity this quarter, which was not unexpected. Hostetler mentioned that many of the company's customers are still awaiting final IRA guidelines around domestic content before issuing the final award and are delaying project start dates to provide more time to evaluate its provisions.
Due to this dynamic, the company has updated its forward guidance for the full year of 2023, reducing the top end of the revenue range it presented during its preliminary results for the full year of 2022. The company now expects its revenue to be between US$1.8-1.9 billion, with an adjusted EBITDA to be in the range of US$240-265 million.
Array Technologies' Q1 2023 financial results are indicative of the company's continued growth and success in the renewable energy industry. The company's strategic partnerships and expansion plans in key regions like Australia will likely continue to propel its success in the coming years.
