SolarEdge Technologies (NASDAQ:SEDG) shares plunged more than 25% intra-day today following the company’s preliminary Q3 financial results. Revenue for the quarter is now expected to be between $720 million and $730 million, a significant drop from the earlier projection of $880 million to $920 million, and below the consensus estimate of $909.02 million at the midpoint.
CEO Zvi Lando attributed the decline to unexpected cancellations and delays in European distributor orders due to higher-than-anticipated channel inventory and slower installation rates. The company also expects significantly reduced revenues in Q4 as the inventory adjustment process continues.